Roadmap for rebuilding the Housing Technology business

「Although business profit was affected by lower sales and expenses related to the discontinuation of the ceramic siding business, price revisions and cost reductions offset these effects, resulting in higher profit of ¥26.710 billion, up 2.6% year on year.」

「Although business profit was affected by lower revenue and expenses recognized in connection with the ceramic siding business, price revisions and cost reductions offset these effects, leaving business profit nearly unchanged year on year at ¥12.257 billion, down 0.4%.」

「Business profit declined 18.7% year on year to ¥29.172 billion, due to the substantial impact of sluggish sales for new construction and the continued effect of higher costs resulting from persistently high materials and energy prices.」

「Business profit declined 25.7% year on year to ¥13.837 billion because the effects of higher cost of sales and SG&A expenses resulting from persistently high materials and energy prices, in addition to the impact of lower revenue, could not be fully offset by higher remodeling sales and an improved product mix.」

「Although business profit continued to be affected by higher costs from elevated material and energy prices, growth in sales of renovation-related products, securing gross profit through the effects of price revisions and steady profitability improvements from productivity measures such as shifting production operations to an asset-light model increased business profit substantially to ¥35.887 billion, up 85.4% year on year.」

「Although business profit continued to be affected by higher costs from elevated material and energy prices, growth in sales of renovation-related products, securing gross profit through the effects of price revisions and steady profitability improvements from productivity measures such as shifting production operations to an asset-light model increased business profit substantially to ¥32.883 billion, 2.1 times the year-earlier level.」

「Although business profit continued to be affected by higher costs from elevated material and energy prices, growth in sales of renovation-related products, securing gross profit through the effects of price revisions and steady profitability improvements from productivity measures such as shifting production operations to an asset-light model increased business profit substantially to ¥18.624 billion, 3.1 times the year-earlier level.」

「Business profit also rose sharply to ¥837.3 million, 2.7 times the year-earlier level. Although costs continued to be affected by persistently high materials and energy prices, profitability steadily improved as revenue growth from renovation products and gross-profit protection through price revisions took effect, sales of high-performance aluminum sash products grew, and the shift toward an asset-light production operation gained traction.」

「Meanwhile, although profitability continued to improve steadily through securing an appropriate gross margin via price revisions, growth in sales of high-performance window products and the shift to an asset-light model gaining traction, business profit fell to ¥19.360 billion, down 38.9% year on year, due in part to a substantial increase in costs resulting from lower sales volumes caused by sluggish demand for new housing, higher-than-expected material prices and a further rise in overseas procurement prices for components.」

「Meanwhile, although profitability continued to improve steadily through securing gross profit via price revisions, growth in sales of high-performance aluminum sash products and the shift to an asset-light model gaining traction, business profit fell to ¥15.481 billion, down 49.3% year on year, due in part to a substantial increase in costs resulting from a greater-than-expected surge in material prices, primarily reflecting sharp exchange-rate fluctuations, and a further rise in overseas procurement prices for components.」

「Meanwhile, although profitability continued to improve steadily as measures to strengthen the business foundation and promote price revisions, which have been pursued since the previous consolidated fiscal year, progressed and the shift to an asset-light model gained traction, business profit fell to ¥5.987 billion, down 67.8% year on year, due in part to a substantial increase in costs resulting from a greater-than-expected surge in material prices, primarily reflecting the weaker yen, and a further rise in the prices of components and products imported from overseas.」

「Meanwhile, although profitability continued to improve steadily as measures to strengthen the business foundation and promote price revisions, which have been pursued since the previous consolidated fiscal year, progressed and the shift to an asset-light model gained traction, business profit fell to ¥3.130 billion, down 68.5% year on year, due mainly to cost increases resulting from a greater-than-expected surge in material prices, primarily reflecting the weaker yen.」

「During the consolidated fiscal year, platform development of production lines in the domestic Housing Technology business was completed, enabling multiple different products to be manufactured on a single production line and improving productivity.」

「In the Housing Technology business, renovation demand remained firm, supported by growing awareness of the "new normal" and changes in consumer preferences as people spent more time at home. However, revenue fell 3.2% year on year to ¥354.415 billion, partly due to the sale of a subsidiary in the previous consolidated fiscal year. Meanwhile, although higher material prices caused further cost increases, continued progress in measures to strengthen the business foundation, sales price revisions and improved production efficiency drove profitability improvements, increasing business profit 11.9% to ¥29.054 billion.」

「In the Housing Technology business, renovation demand remained firm, supported by changes in consumer preferences, including the desire to spend time at home more comfortably amid the "new normal." However, revenue fell 2.5% year on year to ¥229.734 billion, partly due to the sale of a subsidiary in the previous consolidated fiscal year. Meanwhile, although higher raw-material prices increased costs, progress in measures to strengthen the business foundation, product price revisions, and reforms to improve production and operational efficiency improved profitability, increasing business profit 34.3% to ¥18.249 billion.」

「In the Housing Technology business, the business environment remained challenging because trends in new housing starts were unstable, and revenue was also affected by the sale of a subsidiary in the previous consolidated fiscal year. Revenue therefore fell 2.2% year on year to ¥114.753 billion. However, business profit rose substantially, increasing 98.1% to ¥10.353 billion, as reforms including growth in renovation products and improved production efficiency accompanying progress in platform standardization improved profitability.」

「In the Housing Technology business, improved production efficiency accompanying progress in platform standardization, improved gross margins from a higher proportion of renovation sales and restraint of selling, general and administrative expenses contributed to an increase in business profit to ¥31.435 billion, up 11.1% year on year.」

「In the Housing Technology business, in addition to being significantly affected by COVID-19, like the Water Technology business, revenue was affected by lower demand due to the decline in new housing starts and the reaction to the increase in demand ahead of the consumption tax increase in the previous consolidated fiscal year. Revenue therefore fell 12.2% year on year to ¥366.142 billion. Although the decline was partly offset by improved production efficiency accompanying platform standardization and restraint of selling, general and administrative expenses, business profit fell 2.4% to ¥25.953 billion, resulting in lower revenue and profit.」

「In the Housing Technology business, in addition to being significantly affected by COVID-19, like the Water Technology business, revenue was affected by lower demand due to the decline in new housing starts and the reaction to the increase in demand ahead of the consumption tax increase in the previous year. Revenue therefore fell 15.6% year on year to ¥235.564 billion. Although the decline was partly offset by improved production efficiency accompanying platform standardization and restraint of selling, general and administrative expenses, business profit fell 25.4% to ¥13.593 billion, resulting in lower revenue and profit.」

「In the Housing Technology business, in addition to being significantly affected by COVID-19, like the Water Technology business, revenue was affected by a decline in new housing starts and the relatively strong performance in the previous year driven by disaster-related demand. Revenue therefore fell 13.6% year on year to ¥117.324 billion. Although the decline in gross profit accompanying lower revenue was partly offset by restraint of selling, general and administrative expenses, business profit fell 29.9% to ¥5.227 billion, resulting in lower revenue and profit.」

「Business profit was ¥28.288 billion, up 36.5% year on year, resulting in higher revenue and profit.」

「In the Housing Technology business, sales declined in the second half due to the reaction following the consumption tax increase in Japan and the subsiding of demand for exterior products generated by natural disasters in the previous fiscal year. However, supported by strong demand in the first half and the effects of price revisions, revenue was ¥417.140 billion, up 3.0% year on year. In addition, increased gross profit resulting from an improved product mix, particularly through sales growth in exterior products and interior building materials, and the benefits of improved production efficiency accompanying platform standardization contributed to business profit of ¥26.603 billion, up 65.8%, resulting in higher revenue and profit.」

「In the Housing Technology business, products including sashes, exterior products and interior building materials continued to perform well from the second half of the previous fiscal year, supported by strong demand in Japan and the effects of new product launches. In addition, demand increased ahead of the consumption tax increase. Revenue was ¥279.088 billion, up 8.6% year on year, while increased gross profit from the improved product mix and the effects of price revisions, in addition to the effect of higher revenue, contributed to business profit of ¥18.211 billion, 3.9 times the year-earlier level, resulting in higher revenue and profit.」

「In the Housing Technology business, products including sashes, exterior products and interior building materials continued to perform well from the second half of the previous fiscal year, supported by strong demand in Japan and the effects of new product launches. As a result, revenue was ¥135.795 billion, up 6.5% year on year, while the increase in gross profit from the improved product mix and the restraint of selling, general and administrative expenses, in addition to the effect of higher revenue, contributed to business profit of ¥7.456 billion, 2.9 times the year-earlier level, resulting in higher revenue and profit.」

「In the Housing Technology business, the Company is expanding high-function products that combine environmental performance and comfort, including the new LW window, developed to embody the inherent value and role of windows by integrating the Group's latest technologies and functions, and the GranDel 2 high-insulation entrance door, which achieves one of the highest levels of insulation performance in Japan,」

「Although the product mix improved and margins increased substantially in the third quarter due mainly to strong sales of exterior products and high-insulation products, this was not sufficient to offset the decline in revenue and profit through the cumulative second quarter,」

「In addition, rebuilding the Housing Technology business remains a priority. Although the business continues to face a challenging operating environment, signs of progress are emerging, including the launch of high-end differentiated products in Japan and overseas.」

「The Company has already taken short-term measures to address these issues and will implement strategies based on the roadmap for rebuilding LHT from a longer-term perspective. Specifically, it will promote measures including the development of differentiated products and acceleration of the product launch cycle, improved production efficiency through platform standardization and the common use of components, consolidation of processing plants through the standardization of factory equipment, and expansion of overseas operations.」