Expanding Sales of Bridal Products Leveraging Forging Technology and Mask-Compatible Earrings and Parts

「During the interim accounting period, the Company promoted initiatives to address diversifying customer needs by leveraging its broad product lineup, resulting in steady domestic orders. Overseas orders also showed signs of recovery, creating a stable order environment in both Japan and overseas.」

「Although overseas sales were affected at times by U.S. trade policy and foreign exchange trends, overseas orders are recovering as market conditions stabilized toward the latter half of the period and intensified sales activities through local trade shows and other channels proved effective.」

「To achieve its management objective of "Creating a Better World through Jewelry," the Company has focused on developing high-value-added products that meet social needs, including functional products supporting women's participation in the workforce and allergy-conscious products, based on its proprietary technological capabilities. It has also actively pursued the ultra-lightweight design of products and improvements in functionality.」

「While domestic sales were affected by a decline in personal consumption resulting from natural disasters, rising prices and other factors, overseas sales remained firm, supported by the continued weakness of the yen and the Company's focus on expanding sales channels.」

「The Company has pursued various measures, including strengthening the development of high-value-added products, allergy-conscious products, and functional products incorporating its proprietary technology; passing higher costs resulting from price increases for raw materials, energy and various consumables on to selling prices; thoroughly reducing manufacturing costs; improving productivity per hour; and expanding sales channels. Overseas sales remained strong, supported by the continued weakness of the yen.」

「The Company has focused on developing and selling lightweight products and products with high functionality and asset value, drawing on its proprietary technology to meet the needs of business partners and consumers. Overseas sales remained strong, partly due to the impact of the historically weak yen. As a result, revenue for the cumulative three-month period was ¥991 million, up 14.4% year on year.」

「In the Jewelry Parts business, orders in Japan and overseas remained strong, particularly for earring parts. In the Jewelry business, the Company focused on expanding sales channels. As a result, despite the impact of natural disasters and other factors, revenue increased from the previous fiscal year.」

「Against this backdrop, to achieve its management objective of "Creating a Better World through Jewelry," the Company implemented various measures to expand performance and improve profitability, including passing higher manufacturing costs resulting from surging prices for gold, platinum and other key raw materials on to selling prices, reducing manufacturing and other costs, and establishing and strengthening its production structure. Although domestic sales were affected by challenging market conditions, including rising prices, overseas sales remained strong, supported by the weaker yen and other factors. As a result, revenue for the cumulative nine-month period was ¥2,592 million, up 1.5% year on year.」

「For jewelry component products, we have worked to make products centered on patented products such as earring components standard components for all fashion jewelry. For jewelry products, we have worked to develop bridal products specializing in forging technology processed using our proprietary technology.」

「The core Jewelry Parts business recorded higher revenue than in the previous fiscal year, as sales of patented products and new earring parts remained strong in Japan and overseas. In the Jewelry business, the Company focused on expanding sales channels for bridal products made using its proprietary processing technology, but revenue declined from the previous fiscal year amid challenging business conditions, including weaker consumer sentiment resulting from rising prices.」

「Against this backdrop, revenue for the cumulative nine-month period was ¥2,553 million, up 15.6% year on year, mainly due to increased orders from overseas.」

「Against this backdrop, orders from overseas were active, resulting in substantial revenue growth in the second quarter. Net sales were ¥1,776 million, up ¥280 million, or 18.8%, year on year.」

「Orders from overseas were particularly active, resulting in net sales of ¥830 million for the first quarter, up ¥70 million, or 9.2%, year on year.」

「In the jewelry business, we expanded sales of bridal products leveraging our core forging technology. In the jewelry components business, orders increased as a rebound from the previous fiscal year's sales decline, and overseas sales also increased. As a result, net sales exceeded the level recorded in the fiscal year before the previous fiscal year, before the spread of COVID-19.」

「In addition to a spot increase in orders for jewelry components as customers resolved their inventory shortages during the first half, firm orders from existing customers and orders secured from new customers resulted in higher revenue in the first 3 quarters. Net sales were ¥2,208 million, up ¥716 million, or 48.0%, year on year.」

「In addition to a spot increase in orders for jewelry components as customers resolved their inventory shortages during the first quarter, firm orders from existing customers and orders from new customers resulted in substantial revenue growth in the second quarter. Net sales were ¥1,496 million, up ¥616 million, or 70.2%, year on year.」

「Orders from domestic and overseas customers for jewelry components increased as they prepared to resume business activities, relieving inventory shortages caused by their decision to hold back on orders since last year. In addition, we secured orders for bridal products, which had remained firm even amid the COVID-19 pandemic, from new customers including leading regional retailers, as well as existing customers. As a result, net sales for the first quarter were ¥760 million, an increase of ¥218 million year on year.」

「Following the declaration of a state of emergency, in the jewelry business we focused on expanding sales of bridal products that leverage our core forging technology. In the jewelry components business, we focused on developing new products such as earrings and components designed for use while wearing a mask, and securing orders for them.」