Stabilizing Overseas Subsidiary Earnings and Selective Overseas Investment

「Centered on the Overseas Business Management Office, established in April 2026, the Group is working to obtain a prompt and accurate understanding of the operating conditions of its overseas subsidiaries and is implementing timely and appropriate improvement measures in cooperation with the relevant departments. The shares were transferred on 30 April 2026. As a result, BCM was excluded from the Group's consolidated subsidiaries and is scheduled to become an equity-method affiliate during the fiscal year ending March 2027.」

「As a result, BCM will be excluded from the Company's consolidated subsidiaries and is scheduled to become an equity-method affiliate during the fiscal year ending March 2027.」

「Net sales substantially exceeded the same period of the previous year due to the consolidation of PREMIER CENTRE GROUP SDN. BHD., which operates a filling business for home care and personal care products in Malaysia, as well as an increase in beverage filling products in Thailand.」

「During the current interim consolidated accounting period, the Group acquired shares in PREMIER CENTRE GROUP SDN. BHD. and made the company and its subsidiaries, PREMIER CENTRE SERVICES SDN. BHD. and PREMIER CENTRE TRADING SDN. BHD., consolidated subsidiaries. Crown Seal Public Co., Ltd. was a consolidated subsidiary at the end of the previous fiscal year. However, due to changes in its officer structure and other factors, the Group was no longer deemed to have effective control over the company's decision-making bodies. Accordingly, from the beginning of the current interim consolidated accounting period, the company has been classified as an equity-method affiliate.」

「To expand the filling business in Asia, where future growth is expected, the Group entered into a share transfer agreement to make Premier Centre Group Sdn. Bhd., which provides OEM and ODM services for home care and personal care products in Malaysia, a subsidiary.」

「Following discussions, the transferee of the BCM shares, the number of shares to be transferred and the date of execution of the share transfer agreement were changed. The number of shares to be transferred was changed to a number equivalent to 25.1% of voting rights, and the transaction no longer constituted a share transfer involving a change in a consolidated subsidiary or sub-subsidiary. BCM remains a consolidated subsidiary of the Group. The previous disclosure stated that BCM would be excluded from the scope of consolidation once the share transfer was completed, but the reduction in the number of shares transferred to the Boonrawd Group means that BCM will remain within the scope of consolidation.」

「At a meeting of the Board of Directors held on 3 August 2023, the Group resolved to approve the execution of a basic agreement stating that 東洋製罐株式会社, the Group's consolidated subsidiary, and Bangkok Glass Public Company Limited would proceed with concrete discussions regarding the transfer of part of the shares in Bangkok Can Manufacturing Co.,Ltd. held by 東洋製罐株式会社. 東洋製罐株式会社 and Bangkok Glass Public Company Limited entered into the basic agreement on the same date.」

「Overseas businesses, particularly the engineering business centered on Stolle Machinery Company,LLC and the beverage filling businesses in Thailand and China, recorded substantial growth. In addition, sales volumes of secondary battery materials for automotive applications increased in the steel products-related business, resulting in record-high net sales of ¥821.565 billion.」

「Toyo Glass Mold (Thailand) Co., Ltd. completed its liquidation in December 2020 and was therefore excluded from the scope of consolidation during the third quarter of the current fiscal year.」

「The Group's consolidated subsidiary Bangkok Can Manufacturing Co., Ltd. built a new plant to meet growing demand for empty beverage cans in Thailand. The new plant has been operating since November 2019.」

「Plastic film declined following the withdrawal from the film business in Malaysia in September 2016, and net sales were below the previous fiscal year.」

「Plastic film declined following the withdrawal from the film business in Malaysia in September 2016, and net sales were substantially below the same period of the previous year.」

「In Myanmar, to establish a business base and strengthen relationships with customers, the Group established the joint venture Yangon Can Manufacturing Co., Ltd. with joint investment from Loi Hein Co., Ltd. on 4 July 2016 to manufacture and sell empty beverage cans, and is preparing for operations to begin in the second half of 2017. In India, NCC Crowns Private Limited, a joint venture established with Carlsberg India Private Limited to manufacture and sell beer and beverage caps in the India-Nepal region, where market growth is expected, began production in September 2016. In the steel products-related business, installation of steel sheet manufacturing equipment was completed and production of some product types began at the joint venture TOSYALI TOYO CELIK ANONIM SIRKETI in Turkey.」

「Following the transfer of all shares in Malaysia Packaging Industry Berhad held by the Group's consolidated subsidiary 東洋製罐株式会社, the company was excluded from the scope of consolidation during the second quarter of the current fiscal year.」

「MPIB has played an important role as a base for the film business in the ASEAN region, including exports to neighboring countries such as Thailand, Vietnam and Indonesia. In recent years, however, it has remained difficult to secure earnings due to factors including higher raw material prices and labor costs.」

「The Group will work to stabilize the earnings of overseas subsidiaries launched in recent years and plan and execute appropriate overseas investment decisions based on business- and region-specific strategies.」