Risk of surging prices for imported natural resources

「Sales of wrapping materials were ¥3,791 million, up 34.5% year on year, partly because we have been passing increases in raw material prices through to product prices since the previous fiscal year.」

「Some of the abrasives manufactured by the Group use natural resources imported from overseas as raw materials. The prices of these raw materials have risen sharply in recent years, and any further increase could lead to a further decline in profit and, ultimately, impairment of fixed assets, potentially having a significant impact on the Group's performance.」

「Against this backdrop, in addition to lower sales of products for the semiconductor industry, performance for the cumulative third quarter of the current consolidated fiscal year was affected by increases in raw material prices and other costs. Net sales were ¥37,778 million, down 16.4% year on year; operating profit was ¥6,109 million, down 45.7%; ordinary profit was ¥6,455 million, down 44.2%; and net profit attributable to owners of the parent was ¥4,797 million, down 43.7%.」

「Against this backdrop, in addition to lower sales of semiconductor products, the impact of higher raw material and other prices resulted in sales of ¥25,352 million, down 18.5% year on year, operating profit of ¥3,949 million, down 49.5%, ordinary profit of ¥4,430 million, down 46.6%, and profit attributable to owners of the parent of ¥3,377 million, down 45.1%, for the cumulative second quarter of the current fiscal year.」

「Against this backdrop, in addition to lower sales of products for the semiconductor industry, performance for the cumulative first quarter of the current consolidated fiscal year was affected by changes in the product mix and increases in raw material prices and other costs. Net sales were ¥13,225 million, down 12.6% year on year; operating profit was ¥2,351 million, down 43.4%; ordinary profit was ¥2,605 million, down 40.9%; and net profit attributable to owners of the parent was ¥1,825 million, down 41.6%.」

「No new business or other risks arose during the six months ended 30 September. There were also no material changes to the business and other risks described in the securities report for the previous fiscal year.」

「To address these risks, we are implementing measures to mitigate their impact, including promoting multiple sourcing.」

「No new business or other risks arose during the nine months ended 31 December. There were also no material changes to the business and other risks described in the securities report for the previous fiscal year.」

「During the first six months of the current consolidated fiscal year, there were no newly arising business or other risks. In addition, there were no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「No new business or other risks arose during the cumulative third quarter under review. In addition, there have been no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「No new business or other risks arose during the cumulative second quarter of the current consolidated fiscal year. There have been no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「No new business or other risks arose during the three months ended 30 June. There were also no material changes to the business and other risks described in the securities report for the previous fiscal year.」

「No new business or other risks arose during the nine months ended 31 December. There were also no material changes to the business and other risks described in the securities report for the previous fiscal year.」

「No new business or other risks arose during the six months ended 30 September. There were also no material changes to the business and other risks described in the securities report for the previous fiscal year.」

「No new business or other risks arose during the first quarter of the current consolidated cumulative period. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「Raw material prices have risen sharply in recent years, and any further increase could lead to a further decline in profit and affect the performance of the Group.」

「No new business or other risks arose during the cumulative third quarter under review. In addition, there have been no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「Raw material prices have risen sharply in recent years, and any further increase could lead to a further decline in profit and affect the performance of the Group.」

「Some of the abrasives manufactured by our group use natural resources imported from overseas as raw materials. The prices of these raw materials have risen sharply in recent years, and further increases could lead to a further decline in profit and affect the performance of our group.」