We would like to express our sincere appreciation to our shareholders for their continued support.
The business environment surrounding our Group remains challenging, due to sustained high levels of raw material and energy costs, as well as rising labor and logistics expenses. In addition, heightened geopolitical risks in the Middle East have increased concerns over sharp rises in raw material prices and potential disruptions to energy supply, further increasing uncertainty about the outlook.
The automotive industry to which our Group belongs also continues to face difficult conditions, affected by U.S. tariff policies and their impact on production and sales volumes in the Japanese market, as well as declining market share of Japanese manufacturers in Thailand and China.
Under these circumstances, net sales for the fiscal year under review decreased by 7.5% year-on-year to ¥73,202 million, primarily due to reduced production and sales volumes by our customers.
Operating income decreased by 32.5% year-on-year to ¥1,591 million, mainly due to the decline in sales.
Ordinary income decreased by 44.4% year-on-year to ¥1,591 million.
Net loss attributable to owners of the parent amounted to ¥837 million (compared to net income attributable to owners of the parent of ¥328 million in the previous fiscal year), primarily due to the recognition of impairment losses on business assets held by the Company and its overseas subsidiaries.
For the fiscal year ending March 2026, we forecast net sales of ¥72,000 million, operating income of ¥1,500 million, ordinary income of ¥1,000 million, and net income attributable to owners of the parent of ¥200 million.
In addition, we regret to inform you that we will not declare dividends for the fiscal year ending March 2026, taking into consideration our business performance and financial position, as was the case in the previous fiscal year.
We sincerely apologize to our shareholders and will strive for an early resumption of dividend payments.
We kindly ask for your continued understanding and support.
May 14th, 2026
President & CEO
