Developing Solutions in Disaster Preparedness, Video and Communications, and Enhancing the Value Added of Existing Businesses

「In System Solutions, the introduction of IT infrastructure systems for education and government agencies progressed as planned. Deliveries of large-scale, high-speed wireless network systems under the Ministry of Education, Culture, Sports, Science and Technology's GIGA School Initiative made a significant contribution to operating profit.」

「In Network Solutions, the smooth delivery of products related to the transition to the new J-Alert receivers from fiscal 2025 resulted in sales of ¥854 million, up 29.5% year on year, but the decline in high-margin projects resulted in an operating loss of ¥28 million, compared with an operating loss of ¥19 million in the same period of the previous year. In Electronic Components and Equipment, sales increased at consolidated subsidiary Aero Partners due to the acceleration from the second half of projects for aircraft parts for the Ministry of Defense and foreign exchange movements. Strong data center demand, driven by the spread of AI and cloud services, also increased projects for functional adhesives used in optical fiber applications, resulting in sales of ¥7,529 million, up 1.8%, and operating profit of ¥491 million, down 3.8%.」

「In System Solutions, increased university projects involving networks, servers and other systems resulted in sales of ¥1,564 million, up 12.3% year on year, but higher expenses resulted in an operating loss of ¥84 million, compared with an operating loss of ¥74 million in the same period of the previous year. In Network Solutions, although low-earth-orbit satellite projects increased as demand grew for data utilization from defense and disaster prevention perspectives and an increase in the number of satellites was expected, sales declined to ¥659 million, down 6.4%, because the previous fiscal year included the carryover of installation support and maintenance for large projects from the prior fiscal year. However, improvements in margins and expenses reduced the operating loss to ¥19 million, compared with an operating loss of ¥56 million. In Electronic Components and Equipment, business at consolidated subsidiary Aero Partners remained strong due to increased demand accompanying higher defense spending. Aircraft parts and repair projects for the Ministry of Defense ordered in the previous fiscal year contributed to sales, along with the weaker yen and accelerated delivery of second-half projects, resulting in sales of ¥7,394 million, up 158.3%, and operating profit of ¥510 million, up 377.6%.」

「In System Solutions, as the same period of the previous year included large system projects for universities and 3D mechanical CAD projects for manufacturers, sales were ¥2,262 million, down 10.6% year on year, and the operating loss was ¥129 million, compared with an operating loss of ¥59 million. In Network Solutions, the carryover of digital broadcasting equipment and maintenance projects from the previous fiscal year resulted in sales of ¥875 million, up 60.5%, and an operating loss of ¥16 million, compared with an operating loss of ¥155 million. In Electronic Components and Equipment, although sensor components for manufacturing equipment declined on a non-consolidated basis, strong projects for the Ministry of Defense at consolidated subsidiary Aero Partners resulted in sales of ¥4,500 million, up 9.5%, and operating profit of ¥198 million, up 1.5%.」

「In System Solutions, as the same period of the previous year included a large system project for a university, sales were ¥1,546 million, down 8.4% year on year, and the operating loss was ¥95 million, compared with operating profit of ¥27 million. In Network Solutions, the carryover of digital broadcasting equipment projects from the previous fiscal year resulted in sales of ¥551 million, up 40.1%, and an operating loss of ¥35 million, compared with an operating loss of ¥94 million. In Electronic Components and Equipment, projects for the Ministry of Defense and parts for civil aviation performed well at consolidated subsidiary Aero Partners, but the previous year included a bulk sale of sensor components for manufacturing equipment by the company on a non-consolidated basis, resulting in sales of ¥2,863 million, down 1.4%, and operating profit of ¥106 million, down 31.2%.」

「In System Solutions, delays in delivery caused by the semiconductor shortage resulted in university system projects being carried over from the previous fiscal year, leading to sales of ¥717 million, up 28.1% year on year, and an operating loss of ¥92 million, compared with an operating loss of ¥109 million in the same period of the previous year. In Network Solutions, digital broadcasting equipment projects carried over from the previous fiscal year resulted in sales of ¥309 million, up 210.5%, and an operating loss of ¥14 million, compared with an operating loss of ¥62 million. In Electronic Components and Equipment, functional adhesives for electronic components performed well, but sales declined to ¥1,542 million, down 10.4%, and operating profit was ¥47 million, down 52.1%, because the same period of the previous year included delivery of a high-value aircraft components project at consolidated subsidiary Aero Partners.」

「In System Solutions, increases in system projects for universities and 3D mechanical CAD software for manufacturers resulted in sales of ¥2,531 million, up 20.5% year on year, and an operating loss of ¥59 million, compared with an operating loss of ¥115 million in the same period of the previous year. In Network Solutions, the decline in video distribution systems resulted in sales of ¥545 million, down 20.8%, and an operating loss of ¥155 million, compared with an operating loss of ¥90 million. In Electronic Components and Equipment, although there had been projects for the Ministry of Defense and other customers mainly in the same period of the previous year, those projects had tapered off in the current period, resulting in sales of ¥4,109 million, down 22.0%, and operating profit of ¥195 million, down 33.5%.」

「In System Solutions, the acceleration of system projects for universities resulted in sales of ¥1,687 million, up 15.5% year on year, and an operating loss of ¥27 million, compared with an operating loss of ¥56 million in the same period of the previous year. In Network Solutions, increased wireless communications projects resulted in sales of ¥393 million, up 32.6%, and an operating loss of ¥94 million, compared with an operating loss of ¥98 million. In Electronic Components and Equipment, sales declined to ¥2,903 million, down 31.5%, and operating profit was ¥155 million, down 42.1%, because the same period of the previous year included the acceleration of projects for the Ministry of Defense at consolidated subsidiary Aero Partners.」

「In System Solutions, the decline in measurement and analysis products resulted in sales of ¥560 million, down 5.2% year on year, and an operating loss of ¥109 million, compared with an operating loss of ¥100 million in the same period of the previous year. In Network Solutions, weak digital broadcasting equipment projects resulted in sales of ¥99 million, down 19.1%, and an operating loss of ¥62 million, unchanged from the same period of the previous year. In Electronic Components and Equipment, sales declined to ¥1,721 million, down 18.9%, and operating profit was ¥99 million, down 22.4%, because the previous year's figures included the acceleration of projects for the Ministry of Defense at consolidated subsidiary Aero Partners.」

「The VR/AR business is growing steadily.」

「In System Solutions, the decline in system projects for universities resulted in sales of ¥1,981 million, compared with ¥2,565 million in the same period of the previous year, and an operating loss of ¥82 million, compared with an operating loss of ¥73 million. In Network Solutions, increased satellite communications and maintenance projects resulted in sales of ¥808 million, compared with ¥557 million, and an operating loss of ¥123 million, compared with an operating loss of ¥174 million. In Electronic Components and Equipment, increased sensor components for manufacturing equipment and projects for the Ministry of Defense, as well as higher sales to the Ministry of Defense and other customers at consolidated subsidiary Aero Partners, resulted in sales of ¥5,270 million, compared with ¥4,048 million, and operating profit of ¥293 million, up 190.0% year on year.」

「In System Solutions, the decline in system projects for universities resulted in sales of ¥1,388 million, compared with ¥1,696 million in the same period of the previous year, and an operating loss of ¥30 million, compared with an operating loss of ¥48 million. In Network Solutions, although disaster prevention information systems declined, higher maintenance projects resulted in sales of ¥369 million, compared with ¥367 million, and an operating loss of ¥124 million, compared with an operating loss of ¥115 million. In Electronic Components and Equipment, the acceleration of projects for the Ministry of Defense at subsidiary Aero Partners resulted in sales of ¥4,241 million, compared with ¥2,942 million, and operating profit of ¥268 million, up 189.3% year on year.」

「In System Solutions, the decline in system projects for universities resulted in sales of ¥561 million, compared with ¥842 million in the same period of the previous year, and an operating loss of ¥85 million, compared with an operating loss of ¥53 million. In Network Solutions, weak performance in disaster prevention information systems resulted in sales of ¥152 million, compared with ¥154 million, and an operating loss of ¥77 million, compared with an operating loss of ¥63 million. In Electronic Components and Equipment, the acceleration of projects for the Ministry of Defense resulted in sales of ¥2,122 million, compared with ¥1,858 million, and operating profit of ¥128 million, up 61.3% year on year.」

「In the transmission and distribution systems business, the challenges are to promptly support video distribution over the internet in addition to conventional satellite communications and to expand sales into new markets, such as in-house corporate use. At the same time, business opportunities are expanding as the number of video content providers increases.」

「In System Solutions, the decline in large-scale system renewal projects for the Ministry of Internal Affairs and Communications resulted in sales of ¥2,565 million, down 16.3% year on year, and an operating loss of ¥73 million, compared with an operating loss of ¥81 million in the same period of the previous year. In Network Solutions, weak performance in transmission and distribution systems resulted in sales of ¥557 million, down 18.4%, and an operating loss of ¥174 million, compared with an operating loss of ¥126 million in the same period of the previous year. In Electronic Components and Equipment, strong projects for the Ministry of Defense at subsidiary Aero Partners resulted in sales of ¥4,048 million, up 34.5%, and operating profit of ¥101 million, compared with an operating loss of ¥43 million in the same period of the previous year.」

「In System Solutions, the decline in large-scale system renewal projects for the Ministry of Internal Affairs and Communications resulted in sales of ¥1,696 million, down 27.6% year on year, and an operating loss of ¥48 million, compared with operating profit of ¥6 million in the same period of the previous year. In Network Solutions, weak performance in transmission and distribution systems resulted in sales of ¥367 million, down 28.5%, and an operating loss of ¥115 million, compared with an operating loss of ¥67 million in the same period of the previous year. In Electronic Components and Equipment, sales increased to ¥2,942 million, up 44.0%, and operating profit was ¥92 million, compared with an operating loss of ¥26 million in the same period of the previous year, due to the acceleration of projects for the Ministry of Defense at subsidiary Aero Partners.」

「In System Solutions, sales of systems for the Ministry of Internal Affairs and Communications declined, resulting in sales of ¥842 million, down 4.8% year on year, and an operating loss of ¥53 million, compared with an operating loss of ¥73 million in the same period of the previous year. In Network Solutions, sales increased with growth in long-distance wireless LAN, resulting in sales of ¥154 million, up 15.0%, and an operating loss of ¥63 million, compared with an operating loss of ¥91 million in the same period of the previous year. In Electronic Components and Equipment, sales increased to ¥1,858 million, up 108.3%, and operating profit was ¥79 million, compared with an operating loss of ¥23 million in the same period of the previous year, due to the acceleration of projects for the Ministry of Defense at subsidiary Aero Partners.」

「In system solutions, strong performance in system projects for central government agencies resulted in net sales of ¥4.088 billion, up 16.1% year on year, and operating income of ¥57 million, up 3.6% year on year. In network solutions, although disaster-preparedness information system projects for local governments declined, satellite communication system projects performed steadily, resulting in net sales of ¥1.426 billion, up 4.1% year on year, and operating income of ¥24 million, up 71.6% year on year.」

「In system solutions, strong performance in system projects for central government agencies resulted in net sales of ¥2.702 billion, up 31.6% year on year, and an operating loss of ¥68 million, compared with an operating loss of ¥80 million. In network solutions, the decline in transmission and distribution system projects resulted in net sales of ¥683 million, down 18.1% year on year, and an operating loss of ¥126 million, compared with an operating loss of ¥103 million. In electronic components and equipment, reduced sensor components for manufacturing equipment and the presence of a large defense-related repair project in the same period of the previous year resulted in net sales of ¥3.370 billion, down 11.0% year on year, and an operating loss of ¥56 million, compared with operating income of ¥24 million.」

「In system solutions, strong performance in system projects for central government agencies resulted in net sales of ¥2.050 billion, up 37.3% year on year, and operating income of ¥4 million, compared with an operating loss of ¥27 million. In network solutions, the transmission and distribution system performed sluggishly, resulting in net sales of ¥513 million, down 15.0% year on year, and an operating loss of ¥67 million, compared with an operating loss of ¥46 million. In electronic components and equipment, reduced sensor components for manufacturing equipment resulted in net sales of ¥2.335 billion, down 5.6% year on year, and an operating loss of ¥24 million, compared with operating income of ¥8 million.」

「In system solutions, the 3D mechanical CAD system for manufacturers performed sluggishly, resulting in net sales of ¥703 million, down 4.4% year on year, and an operating loss of ¥82 million, compared with an operating loss of ¥40 million. In network solutions, the transmission and distribution system performed sluggishly, resulting in net sales of ¥134 million, down 43.6% year on year, and an operating loss of ¥91 million, compared with an operating loss of ¥57 million. In electronic components and equipment, orders at subsidiary Aero Partners, which had performed well in the same period of the previous year, were delayed. Net sales were ¥1.073 billion, down 5.1% year on year, and the operating loss was ¥14 million, compared with an operating loss of ¥17 million.」

「In network solutions, steady progress on the video distribution system project and a large long-distance wireless LAN project for local governments resulted in net sales of ¥1.370 billion, up 38.7% year on year, and operating income of ¥14 million, compared with an operating loss of ¥209 million in the same period of the previous year.」

「In network solutions, the video distribution system project progressed steadily, resulting in net sales of ¥835 million, up 77.1% year on year, and an operating loss of ¥103 million, compared with an operating loss of ¥298 million in the same period of the previous year. In electronic components and equipment, the consolidation of Aero Partners Co., Ltd. resulted in net sales of ¥3.788 billion, up 81.1% year on year, and operating income of ¥24 million, compared with an operating loss of ¥66 million.」

「In system solutions, because the same period of the previous fiscal year included a large system-renewal project for central government agencies, net sales were ¥1.493 billion, down 3.9% year on year, and the operating loss was ¥27 million, unchanged from the same period of the previous year. In network solutions, a video distribution system project performed steadily, resulting in net sales of ¥603 million, up 98.2% year on year, and an operating loss of ¥46 million, compared with an operating loss of ¥208 million. In electronic components and equipment, the consolidation of Aero Partners Co., Ltd. resulted in net sales of ¥2.472 billion, up 96.3% year on year, and operating income of ¥8 million, compared with an operating loss of ¥28 million.」

「In system solutions, a system-renewal project for central government agencies contributed to net sales of ¥735 million, up 63.4% year on year, and an operating loss of ¥40 million, compared with an operating loss of ¥67 million in the same period of the previous year. In network solutions, a video distribution system project performed steadily, resulting in net sales of ¥238 million, up 58.9% year on year, and an operating loss of ¥57 million, compared with an operating loss of ¥112 million. In electronic components and equipment, the consolidation of Aero Partners Co., Ltd. resulted in net sales of ¥1.131 billion, up 195.3% year on year, and an operating loss of ¥17 million, compared with an operating loss of ¥61 million.」

「In system solutions, the receipt of a large system-renewal project for central government agencies resulted in net sales of ¥3.615 billion, up 46.9% year on year, and operating income of ¥77 million, compared with an operating loss of ¥4 million in the same period of the previous year.」

「In system solutions, a large system-renewal project for central government agencies contributed to net sales of ¥2.311 billion, up 41.8% year on year, and an operating loss of ¥57 million, compared with an operating loss of ¥98 million in the same period of the previous year. In network solutions, because the same period of the previous year included a video distribution equipment renewal project, net sales were ¥471 million, down 44.6% year on year, and the operating loss was ¥298 million, compared with an operating loss of ¥75 million. In electronic components and equipment, increased parts sales in Japan and overseas resulted in net sales of ¥2.091 billion, up 17.5% year on year, and an operating loss of ¥66 million, compared with an operating loss of ¥31 million.」

「In system solutions, a large system-renewal project for central government agencies contributed to net sales of ¥1.553 billion, up 21.6% year on year. However, because the same period of the previous year included a large project with a high profit margin, the operating loss was ¥27 million, compared with an operating loss of ¥5 million. In network solutions, because the same period of the previous year included a video distribution equipment renewal project, net sales were ¥304 million, down 48.8% year on year, and the operating loss was ¥208 million, compared with an operating loss of ¥48 million. In electronic components and equipment, increased overseas parts sales and materials for the Ministry of Defense resulted in net sales of ¥1.259 billion, up 10.6% year on year, and an operating loss of ¥28 million, compared with an operating loss of ¥4 million.」

「In system solutions, a large system-renewal project for central government agencies contributed to net sales of ¥450 million, up 28.4% year on year, and an operating loss of ¥67 million, compared with an operating loss of ¥85 million in the same period of the previous year.」

「System solutions performed steadily, with university systems contributing to sales of ¥1.630 billion, up 22.1% year on year, and an operating loss of ¥98 million, compared with an operating loss of ¥227 million in the same period of the previous year. In network solutions, there was a project to expand satellite facilities and a project to build antenna systems for a broadcaster. Net sales were ¥850 million, up 34.7% year on year, and the operating loss was ¥75 million, compared with an operating loss of ¥134 million in the same period of the previous year. In electronic components and equipment, reduced parts sales to China and Hong Kong and delayed shipments of materials for the Ministry of Defense resulted in net sales of ¥1.780 billion, down 20.2% year on year, and an operating loss of ¥31 million, compared with operating income of ¥9 million in the same period of the previous year.」

「System solutions performed steadily, including the early delivery of systems for universities. Net sales were ¥1.277 billion, up 49.6% year on year, and the operating loss was ¥5 million, compared with an operating loss of ¥145 million in the same period of the previous year. In network solutions, there was a project to build systems for broadcasters. Net sales were ¥595 million, up 22.5% year on year, and the operating loss was ¥48 million, compared with an operating loss of ¥59 million in the same period of the previous year.」

「Based on its medium-term management plan, the company worked to focus its business operations on strategies including developing and expanding solutions in disaster preparedness, video, and communications; expanding sales of emergency response systems; strengthening competitiveness by increasing the added value of its system solutions business; and enhancing expertise and expanding the business areas of its electronic components and equipment business.」