Expanding the Business Base Through New Demand Development and Higher Production Efficiency

「当社グループは当連結会計年度を２年目とする中期経営計画に基づいて、引き続き「コア顧客との協業深化による製品の開発と顧客基盤の拡大」「ビジネスモデルの聖域なき見直しによる収益基盤の強化」「生産性向上と生産能力増強」「技術力強化」「投資強化」などの重点施策に取組み、売上高及び利益の拡大に努めました。」

「Under these circumstances, the Group continued to pursue priority measures under its medium-term management plan, which entered its second year in the current consolidated fiscal year, including “developing products and expanding the customer base through deeper collaboration with core customers,” “strengthening the earnings base through an unrestricted review of the business model,” “improving productivity and expanding production capacity,” “strengthening technological capabilities,” and “increasing investment,” among others, and worked to expand net sales and profit. In addition, although supply restrictions and price increases have occurred for some raw materials due to the worsening situation in the Middle East, the Group worked to ensure a stable supply of products.」

「Under these circumstances, based on the medium-term management plan for which the current consolidated fiscal year is the second year, the Group continued to pursue key measures, including "developing products through deeper collaboration with core customers and expanding the customer base," "strengthening the earnings base through an unrestricted review of the business model," "improving productivity and increasing production capacity," "strengthening technological capabilities," and "strengthening investment," while working to increase revenue and profit.」

「Under these circumstances, the Group pursued priority measures under its medium-term management plan, which began in the current consolidated fiscal year, including “developing products and expanding the customer base through deeper collaboration with core customers,” “strengthening the earnings base through an unrestricted review of the business model,” “improving productivity and expanding production capacity,” “strengthening technological capabilities,” and “increasing investment,” among others. The Group worked to increase corporate value with the aim of building an organization capable of achieving sustainable growth.」

「Under these circumstances, the Group is pursuing priority measures to increase corporate value based on its medium-term management plan. Regarding capital investment, the installation of the planned powder-coating production equipment at the Chiba Plant was completed as scheduled in February 2025, and the Group is working to expand powder-coating production capacity.」

「(1) Strengthening sales: We will seek to improve customer satisfaction through more attentive service to business partners and strengthen our sales base by developing products through deeper collaboration with customers that meet their needs. In particular, we will work to develop new demand through proposal-based sales of products that meet the needs of customers and society with a focus on sustainability, with the goal of expanding sales. (2) Developing new products: Demand for paints that reduce CO2 emissions and take the environment into consideration has increased in recent years, and initiatives to reduce energy consumption and environmental impact toward decarbonization are required. We will focus on developing environmentally friendly products that meet customer requirements, including low-temperature-baking paints that contribute to energy conservation, powder coatings that reduce VOC emissions, and paints with reduced levels of substances regulated under the Industrial Safety and Health Act. (3) Improving productivity and expanding production capacity: In addition to expanding and upgrading facilities and developing personnel, we will review production management methods and layouts and consider rationalizing and optimizing production facilities, thereby improving production efficiency while expanding production capacity and strengthening our earnings base. (4) Cost reductions: Reducing raw material and manufacturing costs is an important issue in improving the ordinary profit margin on net sales, a key management indicator for the company. We will reduce costs by strengthening and stabilizing the supply chain and consolidating and eliminating overlapping product types and raw materials. We will also continue to reduce manufacturing expenses by improving productivity through product-level profit and loss management and maintaining appropriate inventory management.」

「During the second quarter of the current consolidated fiscal year, there were no material changes or newly arising issues among the business and financial issues requiring priority action.」

「We will address issues in the business environment by giving priority to the following issues. (1) Strengthening sales: We will seek to improve customer satisfaction through more attentive service to business partners and strengthen our sales base by developing products that meet customer needs. In particular, we will work to develop new demand through proposal-based sales from an ESG/SDGs perspective aimed at meeting environmental requirements, with the goal of expanding sales. (3) Reviewing the production structure: We will improve production efficiency through facility upgrades and personnel development, and work to strengthen our earnings base. We will also consider reviewing production equipment and introducing automation to rationalize production and reduce labor requirements in order to meet customer needs. (4) Cost reductions: We will reduce costs by strengthening and stabilizing the supply chain and consolidating and eliminating overlapping product types and raw materials. We will also continue to reduce manufacturing expenses by improving productivity through product-level profit and loss management and maintaining appropriate inventory management.」

「During the third quarter of the current consolidated fiscal year, there were no material changes or newly arising issues among the business and financial issues requiring priority action.」

「During the second quarter of the current consolidated fiscal year, there were no material changes or newly arising issues among the business and financial issues requiring priority action.」

「During the first quarter of the current consolidated fiscal year, there were no material changes or newly arising issues among the business and financial issues requiring priority action.」

「During the third quarter of the current consolidated fiscal year, there were no material changes or newly arising issues among the business and financial issues requiring priority action.」

「During the second quarter of the current consolidated fiscal year, there were no material changes or newly arising issues among the business and financial issues requiring priority action.」

「During the first quarter of the current consolidated fiscal year, there were no material changes or newly arising issues among the business and financial issues requiring priority action.」

「We will address issues in the business environment by giving priority to the following issues. (1) Strengthening sales: We will strengthen cooperation with existing business partners and develop products that meet customer needs to strengthen our sales base. In particular, we will work to develop new demand through proposal-based sales from an ESG/SDGs perspective aimed at meeting environmental requirements, with the goal of expanding sales. (3) Reviewing the production structure: We will improve production efficiency through facility upgrades and personnel development, and work to strengthen our earnings base. We will also consider reviewing production equipment and introducing automation to rationalize production and reduce labor requirements in order to meet customer needs. (4) Cost reductions: We will reduce costs by strengthening and stabilizing the supply chain and consolidating and eliminating overlapping product types and raw materials.」

「As for profit, the company worked to reduce expenses, including by refraining from non-urgent capital investment, resulting in ordinary profit of ¥127 million, compared with ordinary loss of ¥12 million in the same period of the previous year」

「Net sales were ¥2,544 million, broadly in line with the plan and up 3.6% year on year. As for profit, the company worked to reduce expenses, including by refraining from non-urgent capital investment, resulting in ordinary profit of ¥84 million, up 1,307.7% year on year」

「worked to reduce expenses, including by refraining from non-urgent capital investment,」

「The Group will seek to further improve customer satisfaction, strengthen quality improvement and its ability to respond promptly to customers, expand its range of environmentally friendly paints, create new demand, meet customer requirements and focus on expanding its sales base. In addition, we will vigorously promote the “Structural Transformation” initiative currently under way, establish a higher-quality and more price-competitive production and sales structure, and work to further strengthen our earnings base.」

「During the third quarter of the current consolidated cumulative period, there were no material changes to, or newly arising issues among, the business and financial issues to be addressed.」

「In addition, we will vigorously promote the “Structural Transformation” initiative currently under way, establish a higher-quality and more price-competitive production and sales structure, and work to further strengthen our earnings base.」

「Under these circumstances, the Group focused on strengthening its business base, including improving profitability and production efficiency, as in the previous consolidated fiscal year.」

「Under these circumstances, the Group focused on strengthening its business base, including developing new demand and improving production efficiency, as in the previous consolidated fiscal year.」

「Under these circumstances, the Group continued to focus on strengthening its business foundation, including developing new demand and improving production efficiency, as it had in the previous consolidated fiscal year.」

「In addition, we will vigorously promote the “Structural Transformation” initiative currently under way, establish a higher-quality and more price-competitive production and sales structure, and work to further strengthen our earnings base.」

「Under these circumstances, the Group focused on strengthening its business base, including improving profitability and production efficiency, as in the previous consolidated fiscal year.」

「Under these circumstances, the Group focused on strengthening its business base, including developing new demand and improving production efficiency, as in the previous consolidated fiscal year.」

「Under these circumstances, the Group continued to focus on strengthening its business foundation, including developing new demand and improving production efficiency, as it had in the previous consolidated fiscal year.」

「Under these circumstances, the Group pursued its business operations by focusing on strengthening its business base through expanding its earnings base, improving business profitability and improving production efficiency, among other measures.」

「Under these circumstances, the Group focused on strengthening its business base, including improving profitability and production efficiency, as in the previous consolidated fiscal year.」

「Under these circumstances, the Group focused on strengthening its business base, including developing new demand and improving production efficiency, as in the previous consolidated fiscal year.」

「Under these circumstances, the Group continued to focus on strengthening its business foundation, including developing new demand and improving production efficiency, as it had in the previous consolidated fiscal year.」

「Under these circumstances, the Group focused on expanding and strengthening its business foundation by developing new demand, improving business profitability and improving production efficiency, as it had in the previous consolidated fiscal year.」

「Under these circumstances, the Group continued to focus on strengthening its business foundation, including developing new demand and improving production efficiency, as it had in the previous consolidated fiscal year.」

「Under these circumstances, the Group focused on strengthening its business foundation, including developing new demand and improving production efficiency, as it had in the previous consolidated fiscal year.」