Slide 1: FY 2025 Investor Briefing
1/33 FY 2025 Investor Briefing —Challenge, Creativity, Solutions SMKCorporation（6798） May 22, 2026
Slide 2: Agenda
Agenda 2/33 1. Outline of FY2025 Financial Results P. 3～10 and FY2026 Forecast 2. Progress of Medium-Term Business Plan P. 11～20 “SMK Next100” and Structural Reform Progress 3. Growth Strategies for CS and SCI Divisions P. 21～29
Slide 3: Outline of FY2025 Financial Results and FY2026 Forecast
3/33 1. Outline of FY2025 Financial Results P. 3～10 and FY2026 Forecast 2. Progress of Medium-Term Business Plan P. 11～20 “SMK Next100” and Structural Reform Progress 3. Growth Strategies for CS and SCI Divisions P. 21～29 Yasumitsu Ikeda President, CEO and COO
Slide 4: FY2025 Financial Results
FY2025 Financial Results 4/33 ◼ Net sales were ¥48.2 billion, a slight increase of 0.3%. Operating profit was ¥430M, changing from FY2024 operating loss of ¥220M benefited from the reduction of fixed costs through the structural reform program. ◼ Ordinary profit rose 126.3% YoY to ¥1.24 billion, dri
Slide 5: FY2025 Results | by Segment
FY2025 Results | by Segment 5/33 ◼ CS: Although the automotive, home appliance, and industry markets performed well, Sales increased but profit decreased due to a sluggish ICT market ◼ SCI: Automotive and home appliance markets remained steady; the deficit narrowed due to reductions in fixed costs a
Slide 6: FY2025 Quarterly Results | by Segment
FY2025 Quarterly Results | by Segment 6/33 ◼ CS: While the automotive, home appliance, and industrial markets remained strong, the ICT market remained sluggish through the second half of the year ◼ SCI: The company posted a profit in Q3 due to the recovery of development costs and other factors; how
Slide 7: FY2025 Results | Sales by Market
FY2025 Results | Sales by Market 7/33 ◼ ICT: Sales fell below the previous year due to sluggish demand for smartphone-related connectors ◼ Automotive: Sales exceeded the previous year due to strong performance in connectors and units for vehicles and e-bikes Unit: ¥ Millions FY2024 FY2025 YoY Result
Slide 8: FY2025 Results | Sales by Region
FY2025 Results | Sales by Region 8/33 ◼ In Japan, sales of remote controls for sanitary and units for vehicles and e-bikes performed well, exceeding the previous year's figures ◼ In North America, sales of units for smart home appliances and housing equipment were sluggish, falling below the previou
Slide 9: FY2025 Results (YoY) | Changes in Operating Profit
FY2025 Results (YoY) | Changes in Operating Profit 9/33 ◼ Driven by sales growth on a real basis excluding currency impact, and fixed-cost reductions by the structural reform program, turned a profit of ¥430 million, shifting from an operating loss in the previous term Unit: ¥ Millions Operating Pro
Slide 10: FY2026 Forecast | FY2025–FY2026
FY2026 Forecast | FY2025–FY2026 10/33 ◼ Sales is projected to reach ¥49 billion, 1.7% increase from the previous term. Operating profit is expected to rise from ¥430M in the previous term to ¥800M, driven by the effects of fixed-cost reductions from the structural reform program and increased sales.
Slide 11: Progress of Medium-Term Business Plan SMK Next100
11/33 1. Outline of FY2025 Financial Results P. 3–10 and FY2026 Forecast 2. Progress of Medium-Term Business Plan P. 11–20 “SMK Next100” and Structural Reform Progress 3. Growth Strategies for CS and SCI Divisions P. 21–29 Yasumitsu Ikeda, President, CEO and COO
Slide 12: Progress of SMK Next100 | Sales and Profit by Segment
Progress of “SMK Next100” | Sales and Profit by Segment 12/33 ◼ Although market conditions deteriorated in the second half of FY2024 and the challenging environment is continued into FY2025, the implementation of our structural reform program has enabled us to reach a profit of ¥430M. ◼ For FY2026,
Slide 13: Progress of SMK Next100 | FY2026 Target vs. Forecast
Progress of “SMK Next100” | FY2026 Target vs. Forecast 13/33 <Reasons for missing sales target> CS: Delays in new product adoption in ICT and automotive market, and changes in major customer trends. Progress ofin"SMK Next100" trends in home|appliance FY2026 Targetsmarket. vs. Forecast ◼ ◼ SCI: Chang
Slide 14: Progress on SMK Next100 | Cash Allocation
Progress on "SMK Next100" | Cash Allocation 14/33 [FY2024–FY2026 Mid-Term Target] ◼ Approx. 80% (¥9 billion) of operating cash flow (¥11 billion) will be allocated to growth investments, and approx. 20% (¥2 billion) will be allocated to shareholder returns 【FY2024–FY2026 Forecast】 ◼ Although operati
Slide 15: Business Strategy for Growth | CS Division, SCI Division
Business Strategy for Growth | CS Division, SCI Division 15/33 Segment Management Policy Initiatives ◼ Expanding orders with a primary focus on the "automotive" market. ◆ Aiming to enhance our presence in the - xEV, E-Bikes, 4-Wheeled and 2-Wheeled Vehicles electronics market through sustainable gro
Slide 16: Business Strategy for Growth | Innovation Center
Business Strategy for Growth | Innovation Center 16/33 ◆ Aiming for Early Commercialization Management ◆ Accelerate the business development cycle and strengthen cost management through rapid decisions Policy on whether to continue or discontinue development Initiatives ➢ Speech-based head health an
Slide 17: Accelerating Structural Reform | Progress on Cost Structure
Accelerating Structural Reform | Progress on Cost Structure 17/33 ◼Review Through the optimization of domestic headcount and the rationalization of European and U.S. operations, we reduced fixed costs by ¥220 million in the first half and ¥450 million in the second half of FY2025. Initiatives Progre
Slide 18: Measures to Achieve Management Takes Capital Costs and Stock Prices into Account
Measures to Achieve Management Takes Capital Costs and Stock Prices into Account 18/33 ◼ Strengthen initiatives to address the factors causing the low PBR: (1) sluggish sales and profits, and (2) low ROE and the underlying low operating profit margin to return to a growth trajectory ◼ We will also g
Slide 19: ESG & Sustainability Management Initiatives
ESG & Sustainability Management Initiatives 19/33 Challenges Initiatives ◼ Strengthening Corporate Governance ・Appointment of a female outside director (June 24, 2025) Structure to be changed from 2 to 3 outside directors and 4 to 3 inside directors ・Plan to reduce director terms (from 2 years to 1
Slide 20: Topics: Opening of India Representative Office
Topics 20/33 | Opening of India Representative Office ◼ Date of Establishment: February 13, 2026 ◼ Location: Gurugram ◼ Promoting marketing activities with a focus on connectors for the mobility sector Exterior Photo Opening Ceremony
Slide 21: Growth Strategies for CS and SCI Divisions
21/33 1. Outline of FY2025 Financial Results P. 3–10 and FY2026 Forecast 2. Progress of Medium-Term Business Plan P. 11–20 “SMK Next100” and Structural Reform Progress 3. Growth Strategies for CS and SCI Divisions P. 21–29
Slide 22: CS Division (Connection System)
CS Division (Connection System) 22/33 [Main Products] Various Connectors Home Appliances / Industry ICT Automotive & Others Connectors for photovoltaic module High-frequency High-current FPC/FFC Connectors Coaxial FAKRA board-to-board small board to board With locking feature Connectors connectors c
Slide 23: CS Division | FY2025 Results – FY2026 Forecast
CS Division | FY2025 Results – FY2026 Forecast 23/33 <FY2025 Results> ・Sales: ¥22.5 billion (4% over forecast) ・Operating Profit: ¥1.2 billion (7% below forecast) ◼ Excluding the ICT market, sales in the automotive, home appliance, and industrial machinery markets exceeded forecasts <FY2026 Forecast
Slide 24: CS Division | Business Strategy for Growth
CS Division | Business Strategy for Growth 24/33 ◆ Aiming to Enhance Our Presence in the Electronics Market Through Sustainable Growth and Management Overwhelming Product Competitiveness Policy ◆ Strengthening strategic resource allocation, including sales personnel, organizational structure, and in
Slide 25: CS Division | Business Strategy for Growth
CS Division | Business Strategy for Growth 25/33 Automotive Strengthening Product Development for BMS and Inverters ・Expanding sales of EV battery-related connectors → Active business negotiations ADAS, Infotainment ・In-vehicle camera connectors Expanding applications and increasing installation num
Slide 26: SCI Division (Sensing, Communication & Interface)
SCI Division (Sensing, Communication & Interface) 26/33 [Major Products] Switches, In-Vehicle Cameras, Wireless Modules, Remote Controls, Touch Sensors SW - Switch - CU - Composite Unit - HCF ® Switches Mini 1-Dome Switches In-vehicle camera modules Milweb® HarvestLoop® (Millimeter-wave sensors) (Se
Slide 27: SCI Division | FY2025 Results – FY2026 Forecast
SCI Division | FY2025 Results – FY2026 Forecast 27/33 <FY2025 Results> ・Net Sales: ¥25.6 billion (5% increase vs. forecast) ・Operating Income: △¥380 million (¥40 million decrease vs. forecast) ◼ Net Sales exceeded forecasts in all markets, with the home appliance market performing particularly well
Slide 28: SCI Division | Business Strategy for Growth
SCI Division | Business Strategy for Growth 28/33 Management ◆ Thoroughly Implement Structural Reforms to Achieve Profitability Policy ◆ Developing the Sensor and Sensing Business into a New Pillar Initiatives Progress ◼ Maintain and expand sales in core ➢ Securing new product sales opportunities, p
Slide 29: SCI Division | Business Strategy for Growth
SCI Division | Business Strategy for Growth 29/33 Commercialization of sensor and sensing-related products — Accurately addressing increasingly sophisticated market needs to create next-generation value Strength: Product development capabilities that integrate wireless communication and power-saving
Slide 30: Appendix
30/33 Appendix
Slide 31: Appendix: Financial Position | End of FY2025
Appendix: Financial Position | End of FY2025 31/33 Unit: ¥ millions Change March 2025 (A) March 2026 (B) (B) – (A) Assets 57,684 57,625 △59 Cash and cash equivalents 10,475 9,673 △801 Accounts receivable 13,935 13,301 △634 Inventories 7,673 6,741 △931 Tangible and Intangible 14,956 14,666 △290 Fixed
Slide 32: Appendix: FY2025 Consolidated Cash Flow Statement
Appendix: FY2025 <Consolidated> Cash Flow Statement 32/33 Unit: ¥ millions FY2024 FY2025 Operating Cash Flow 2,439 2,023 Working capital 245 401 Income before taxes △963 867 Depreciation 2,347 2,626 Change in assets and liabilities related to △133 △460 retirement benefits Payments for business restr
Slide 33: Important Notice
33/33 Important Notice The earnings forecasts and other information regarding future projections and strategies contained in this document are based on judgments made within the scope of what is normally foreseeable, using information reasonably available to the Company at the time of preparation. H