Achievement of Sales and Profit Targets under the Medium-Term Management Plan

「Because the full-year earnings forecast for the fiscal year ending April 2027 is progressing steadily in line with the plan established at the beginning of the fiscal year, there are no changes from the earnings forecast announced on 12 June 2026.」

「After withdrawing from the exposure equipment-related business in the fiscal year ending April 2025, we reviewed the medium-term management plan and formulated a new plan in June 2025 with the fiscal year ending April 2028 as its target year.」

「Amid this business environment, under its purpose of “Opening the way to a creative society through reliable technology and relentless challenges,” the company launched its medium-term management plan for the fiscal years ending April 2026 through April 2028 and is addressing key priorities to achieve a sustainable society and enhance corporate value.」

「In addition to the order backlog at the end of the interim accounting period, orders received thereafter that are scheduled to be recognized as revenue during the fiscal year ending April 2025 have been steadily accumulated, and the full-year plan is expected to be achieved.」

「In light of this business environment, we reviewed the medium-term management plan beginning with the fiscal year ending April 2023 and formulated the medium- to long-term management plan “inspec Vision 2030,” with 2030 as its target year. Under “inspec Vision 2030,” the company targets revenue of ¥10 billion, operating profit of ¥2 billion, and an operating margin of at least 20% for the fiscal year ending April 2030. It positions the fiscal years ending April 2025 through April 2027 as the “First Medium-Term Management Plan” and the fiscal years ending April 2028 through April 2030 as the “Second Medium-Term Management Plan,” and has newly formulated the “First Medium-Term Management Plan” beginning with the fiscal year ending April 2025.」

「However, in the semiconductor substrate-related field within our core electronics-related business, the global shipment volume of PCs and smartphones is trending downward, and difficult market conditions are expected in 2023. Meanwhile, in the automotive-related field, production of automotive FPCs used inside vehicles has increased in recent years as electric vehicles (EVs) and battery electric vehicles (BEVs) have become more widespread. In light of this business environment, we have newly formulated a medium-term management plan beginning with the fiscal year ending April 2024 and plan to disclose it when announcing the second-quarter results.」

「We formulated a medium-term management plan targeting annual revenue growth of at least 20%, an operating margin of at least 15%, an overseas revenue ratio of at least 50%, and an equity ratio of at least 35% by the fiscal year ending April 2025.」

「Accordingly, the medium-term management plan beginning with the fiscal year ending April 2023 is currently being formulated and is scheduled for publication in June 2022.」

「We hereby report on the status of the medium-term management plan announced on 7 June 2019, whose final fiscal year is the fiscal year ending April 2022. We have adopted a three-year medium-term plan operated on a rolling basis, with annual revisions to reflect changes in the business environment. However, we have postponed the revision because the spread of COVID-19 has created many uncertainties.」

「Revenue is expected to increase substantially year on year in the fiscal year ending April 2019, and the company expects to achieve the initially announced revenue and profit targets in the fiscal year ending April 2020, the final year of the medium-term management plan.」