Expansion into New Markets for Specialty Alloy Powders and Precision Castings

「For soft magnetic powders, which have been designated a particular focus area, investment to expand capacity is under way, and mass production of a new steel grade is scheduled to begin in the fourth quarter of the fiscal year ending March 2027.」

「Revenue in the Special Materials segment was ¥4,452 million, down ¥160 million, or 3.5%, year on year. Although sales volume of special alloy powders increased, sales volume of other products, including precision castings, declined, leaving sales broadly unchanged from the previous period. Operating profit was ¥293 million, up ¥38 million, or 15.0%, year on year. Profit increased due to the pass-through of higher manufacturing costs for precision castings and higher alloy raw material prices for special alloy powders through selling prices, as well as progress in improving production costs.」

「Revenue in the Special Materials segment was ¥4,612 million, up ¥134 million, or 3.0%, year on year. Revenue increased slightly due mainly to higher sales volume of precision castings, particularly vanes for turbochargers. Operating profit was ¥255 million, up ¥57 million, or 29.0%, year on year, due to higher sales volume and progress in improving selling prices and costs.」

「Revenue in the Special Materials segment was ¥6,683 million, down ¥1,255 million, or 15.8%, year on year. Although selling price improvements progressed, revenue declined due to lower sales volume following the end of cast steel product (Esco) production. Operating profit was ¥315 million, down ¥198 million, or 38.6%, year on year, despite progress in improving selling prices and costs, due to the decline in sales.」

「In the Special Materials segment, although selling prices for special alloy powders were improved and orders for new products were received, sales volume declined due to the end of production of cast steel products (Esco) and customers' inventory adjustments for components used in automotive internal combustion engines. Operating profit was ¥522 million, down ¥334 million, or 39.1%, from the previous period.」

「In the Special Materials segment, although there were orders for new special alloy powder products, sales volume declined due to customers' inventory adjustments for components used in automotive internal combustion engines, as well as the end of production of cast steel products (Esco). Meanwhile, progress in improving selling prices in response to higher raw material prices and other costs resulted in revenue of ¥7,939 million, up ¥197 million, or 2.6%, year on year. Operating profit was ¥513 million, down ¥220 million, or 30.0%, year on year, due to the decline in sales volume and the failure of selling price improvements to keep pace with increases in raw material prices and other costs.」

「Although there were orders for new special alloy powder products, sales volume declined due to customers' inventory adjustments. Meanwhile, improved selling prices in response to higher raw material prices and other costs resulted in revenue of ¥5,519 million, up ¥562 million, or 11.3%, year on year.」

「Although the Special Materials segment was affected by shortages of components such as semiconductors, revenue increased by ¥189 million, or 7.2%, year on year to ¥2,814 million, due to improved selling prices for special alloy powders and orders for new products.」

「In the Special Materials segment, in addition to increased demand as the market recovered from the impact of COVID-19, sales of newly ordered special alloy powders and precision castings remained strong. Revenue was ¥7,741 million, up ¥1,855 million, or 31.5%, year on year. Operating profit was ¥734 million, up ¥1,001 million year on year, due to higher sales volume and improved production costs, compared with an operating loss of ¥267 million in the same period of the previous year.」

「In the Special Materials segment, in addition to increased demand as the market recovered from the impact of COVID-19, revenue increased due to higher sales of newly ordered special alloy powders and precision castings. Revenue was ¥2,624 million, up ¥472 million, or 22.0%, year on year. Operating profit was ¥298 million, up ¥326 million year on year, reflecting the increase in sales volume and improved operating efficiency from higher production volumes, compared with an operating loss of ¥27 million in the same period of the previous year.」

「In the Special Materials segment, in addition to lower sales of special alloy powders and precision-machined components due to the impact of COVID-19, sales also declined following the withdrawal from the magnetic products business. Revenue was ¥8,417 million, down ¥1,223 million, or 12.7%, year on year. Although improvements in the quality and cost of precision castings and other products contributed to earnings, the impact of the revenue decline was significant, and operating profit was ¥21 million, down ¥67 million, or 75.9%, year on year.」

「In the Special Materials segment, demand from automotive and electronic parts manufacturers in Japan and overseas remained sluggish due to the impact of COVID-19, resulting in lower sales of precision castings and special alloy powders. In addition, sales of magnetic products declined following the withdrawal from that business. Revenue was ¥5,885 million, down ¥1,224 million, or 17.2%, year on year. Operating profit was significantly affected by the revenue decline, resulting in an operating loss of ¥267 million, a deterioration of ¥268 million year on year, compared with operating profit of ¥1 million in the same period of the previous year.」

「In the formed materials business, revenue declined ¥284 million, or 11.7%, year on year to ¥2,151 million due to lower sales of special-alloy powders and precision castings following production stoppages at automobile-parts and electronic-components manufacturers in Japan and overseas caused by COVID-19. Operating profit was significantly affected by the decline in sales, resulting in an operating loss of ¥27 million, down ¥31 million year on year, compared with operating profit of ¥3 million in the same period of the previous year.」

「In the formed materials business, increased sales, including progress in improving selling prices and expanding sales of new products, resulted in revenue of ¥8,642 million, up ¥892 million, or 11.5%, year on year. In addition to the effect of higher sales, including improved selling prices, progress in improving the quality of turbine wheels and other factors resulted in operating profit of ¥206 million, up ¥183 million, or 796.3%, year on year.」

「In the formed materials business, increased sales, including progress in improving selling prices and expanding sales of new products, resulted in revenue of ¥5,752 million, up ¥824 million, or 16.7%, year on year. Although higher costs for quality improvements and lower orders for magnets had a negative impact, the increase in sales, including improved selling prices, resulted in operating profit of ¥72 million, up ¥51 million, or 243.8%, year on year.」

「In the formed materials business, increased sales of precision-machined products and expanded sales of special-alloy powders and other factors resulted in revenue of ¥10,787 million, up ¥1,325 million, or 14.0%, from the previous fiscal year.」

「In the formed materials business, expanded sales of special-alloy powders and other factors resulted in revenue of ¥7,749 million, up ¥670 million, or 9.5%, year on year. Operating profit declined ¥246 million, or 91.5%, year on year to ¥22 million, due to the continued impact of high alloy raw-material prices and higher costs for quality improvements to turbine wheels.」

「In the formed materials business, expanded sales of special-alloy powders and other factors resulted in revenue of ¥4,928 million, up ¥164 million, or 3.5%, year on year. Operating profit declined ¥175 million, or 89.3%, year on year to ¥21 million, as the response in selling prices through alloy surcharges was insufficient to offset the increase in costs caused by higher raw-material prices.」

「In the formed materials business, increased sales of special-alloy powders and precision-machined products resulted in revenue of ¥2,480 million, up ¥188 million, or 8.2%, year on year. Operating profit increased ¥7 million, or 7.5%, year on year to ¥112 million, due to higher sales.」

「We will also focus on improving and developing production technologies and further expand sales of new products and into new fields.」

「In the formed materials business, increased sales of special melting materials and precision-machined products, together with new sales expansion for special-alloy powders, resulted in revenue of ¥4,763 million, up ¥355 million, or 8.1%, year on year. Operating profit increased ¥152 million, or 338.8%, year on year to ¥196 million, due to higher sales and cost improvements.」

「We will focus on improving and developing production technologies and further expand sales of new products and into new fields.」