Increasing the proportion of stable, recurring businesses through balanced management

「During the interim consolidated fiscal period, special retirement payments and other costs arising from business reorganization accompanying the promotion of business portfolio management were recorded as special losses under costs for improving the business structure.」

「In fiscal 2025, the company decided on measures including withdrawal from the bridge business, with sales activities for new projects to cease on 5 February 2026, plant operations to end during fiscal 2026, and withdrawal from the business planned during fiscal 2030; the partial transfer of shares in 日立造船マリンエンジン株式会社, effective 31 March 2026; the transfer of all shares in 株式会社ブイテックス, effective 1 June 2026; and the transfer of the all-solid-state battery business, effective 1 July 2026.」

「The company will continue to promote portfolio management, seeking to improve profitability through business selection and concentration and strengthen competitiveness by building strategic partnerships with other companies.」

「On 31 October 2022, the company transferred all of its shares in 日本プスネス株式会社, formerly a consolidated subsidiary, to 今治造船株式会社. As a result, 日本プスネス株式会社 was excluded from the scope of consolidation.」

「In these circumstances, the Company determined that transferring all of its shares in 日本プスネス to Imabari Shipbuilding, making Imabari Shipbuilding the parent company of 日本プスネス, would enable 日本プスネス to use Imabari Shipbuilding's expertise and network in corporate management, thereby supporting further business efficiency and stronger competitiveness aimed at increasing corporate value.」

「The Company evaluated each business using 4 categories: “Core,” “Growth,” “Profitability Improvement Required” and “Action Required.” It established and began operating a framework for making focused investments in areas more closely aligned with the long-term “Hitz 2030 Vision.”」

「The Company will promote the selection and concentration of businesses based on a comprehensive assessment combining the achievement of target figures for each business and product line under the Hitz target management system (quantitative evaluation) with an assessment of each business's attractiveness and future prospects (qualitative evaluation).」

「Within the Group, low-profitability businesses have been weighing on overall performance. Although the Group has promoted global business expansion, the expansion of its operating regions has highlighted shortages in corporate strength and management resources. The Group will continue selecting and concentrating on businesses, with the aim of establishing a management structure capable of allocating management resources with clear priorities by addressing businesses undergoing structural reform and managing overseas operations.」

「The company will position each of the Group's businesses within a portfolio, pursue business selection and concentration, and rigorously concentrate management resources in growth areas. For underperforming businesses, it will develop plans to improve profitability and transform the businesses. It will also invest actively in human resources development to strengthen its business foundation.」

「The company aims to achieve a "balanced management" model by selecting businesses, implementing management measures such as concentrating management resources in growth areas, and increasing the proportion of business segments expected to make stable and continuous contributions to earnings.」