Consolidated Financial Results for the Three Months Ended June 30, 2025 ［PDF：619KB］

Consolidated Financial Results

for the Three Months Ended June 30, 2025 [Japanese GAAP]

August 7, 2025

Company name: DaikyoNishikawa Corporation Listing: Tokyo Stock Exchange

Securities code: 4246

URL: https://www.daikyonishikawa.co.jp/

Representative: Ikuo Sugiyama Representative Director and President

Inquiries: Hironori Matsuo Managing Executive Officer and Corporate Planning Division Manager Telephone: +81-82-493-5610

Scheduled date to commence dividend payments: -

Preparation of supplementary material on financial results: Yes Holding of financial results briefing: None

(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated Financial Results for the Three Months Ended June 30, 2025 (April 1, 2025 to June 30, 2025)

   1. Consolidated Operating Results(cumulative) (Percentages indicate year-on-year changes.)

      	Net sales		Operating profit		Ordinary profit		Profit attributable to owners of parent
      Three months ended	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
      June 30, 2025	42,092	3.8	2,713	1.4	2,873	(14.4)	1,997	(14.3)
      June 30, 2024	40,568	9.0	2,675	99.7	3,357	92.0	2,331	102.7

      (Note) Comprehensive income:	Three months ended June 30, 2025:	¥	(638) million [	-%]
      	Three months ended June 30, 2024:	¥	3,397 million [	184.4%]

      	Basic earnings per share	Diluted earnings per share
      Three months ended	Yen	Yen
      June 30, 2025	28.20	-
      June 30, 2024	32.80	-

   2. Consolidated Financial Position

   	Total assets	Net assets	Equity-to-asset ratio
   As of	Millions of yen	Millions of yen	%
   June 30, 2025	150,126	87,325	56.5
   March 31, 2025	154,554	89,949	56.5

   (Reference) Equity: As of June 30, 2025:	¥	84,751 million
   As of March 31, 2025:	¥	87,337 million

2. Dividends

   	Annual dividends
   	1st quarter-end	2nd quarter-end	3rd quarter-end	Year-end	Total
   	Yen	Yen	Yen	Yen	Yen
   Fiscal year ended March 31, 2025	-	17.00	-	19.00	36.00
   Fiscal year ending March 31, 2026	-
   Fiscal year ending March 31, 2026 (Forecast)		19.00	-	19.00	38.00

   (Note) Revision to the forecast for dividends announced most recently: None

3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2026(April 1, 2025 to March 31, 2026)

(Percentages indicate year-on-year changes.)

(Note) Revision to the financial results forecast announced most recently: None

* Notes:

1. Significant changes in the scope of consolidation during the period: None

2. Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: Yes

3. Changes in accounting policies, changes in accounting estimates, and restatement

   1. Changes in accounting policies due to revisions to accounting standards and other regulations: None

   2. Changes in accounting policies due to other reasons: None

   3. Changes in accounting estimates: None

   4. Restatement: None

4. Number of issued shares (common shares)

   1. Total number of issued shares at the end of the period (including treasury shares): June 30, 2025: 73,896,400 shares

      March 31, 2025: 73,896,400 shares

   2. Number of treasury shares at the end of the period:

      June 30, 2025: 3,737,108 shares

      March 31, 2025: 2,754,608 shares

   3. Average number of shares outstanding during the period:

Three months ended June 30, 2025: 70,831,767 shares

Three months ended June 30, 2024: 71,104,664 shares

• Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: Yes(voluntary)

• Proper use of earnings forecasts, and other special matters (Caution concerning forward-looking statements)

The earnings forecasts and other descriptions of the future presented in this report are based on information currently available to the Company and on certain assumptions deemed to be reasonable. Actual results may differ substantially due to various factors.

(Supplementary materials for financial results)

Supplementary materials will be posted on our website later.

• Attachment Table of Contents

1. Qualitative Information on Quarterly Financial Results 2

   1. Explanation of Operating Results 2

   2. Explanation of Financial Position 2

2. Quarterly Consolidated Financial Statements and Primary Notes 3

   1. Quarterly Consolidated Balance Sheet 3

   2. Quarterly Consolidated Statements of Income and Comprehensive Income 5

      Quarterly Consolidated Statement of Income 5

      For the three months ended June 30, 2025 5

      Quarterly Consolidated Statement of Comprehensive Income 6

      For the three months ended June 30, 2025 6

   3. Notes to Quarterly Consolidated Financial Statements 7

(Notes on Going Concern Assumption) 7

(Notes on Significant Changes in the Amount of Shareholders' Equity) 7

(Application of Special Accounting Methods for Quarterly Consolidated Financial Statements) 7

(Notes to Cash Flow Statement) 7

(Notes on Segment Information) 8

1

1. Qualitative Information on Quarterly Financial Results

   1. Explanation of Operating Results

      In the 1Q of the fiscal year under review, net sales increased by ¥1.523 billion (3.8%) year-on-year to ¥42.092 billion due to an increase in the number of production by customers in the United States and an increase in tool sales, despite a decrease in the number of production by major customers in Japan. Operating profit increased by ¥37 million (1.4%) year-on-year to ¥2.713 billion mainly due to cost improvement activities at all bases and the effect of increased sales in the U.S., despite the impact of decreased sales in Japan. Ordinary profit decreased by ¥484 million (14.4%) year-on-year to ¥2.873 billion due to a decrease in revenue of development discontinuation and foreign exchange gains. Quarterly profit attributable to owners of parent decreased by ¥334 million, or 14.3%, year-on-year to ¥1.997 billion.

      Results by segment are as follows.

      (Japan)

      In Japan, net sales decreased by ¥1.155 billion (4.5%) year-on-year to ¥24.703 billion due to a decrease in the number of production by major customers and a change in the product mix. Segment income (operating profit) decreased by ¥1.21 billion, or 75.1%, to ¥401 million due to the impact of lower sales, a reaction to production fluctuation compensation received in the previous fiscal year, actuarial differences in retirement benefits, and investment in human capital.

      (North America)

      In North America, net sales increased ¥2.349 billion, or 20.2%, year-on-year to ¥13.971 billion due to an increase in the number of production by customers in the United States and an increase in tool sales associated with new orders for exterior parts. Segment income (operating profit) increased ¥492 million, or 44.1%, to ¥1.609 billion due to the effect of the increase in sales.

      (ASEAN)

      In ASEAN, net sales increased by ¥165 million (6.2%) year-on-year to ¥2.848 billion due to an increase in tool sales in Indonesia, despite a decrease in the number of production by customers in Thailand. Segment income (operating profit) increased by ¥9 million (4.0%) year-on-year to ¥247 million.

      (China & Korea)

      In China and South Korea, net sales decreased by ¥83 million (4.3%) year-on-year to ¥1.848 billion due to a decrease in the production volume of gasoline vehicles associated with the Chinese government's new energy vehicle policy. Segment income (operating profit) was ¥32 million (compared with a segment loss of ¥122 million in the same period of the previous fiscal year).

   2. Explanation of Financial Position

      Total assets at the end of the 1Q of the current fiscal year decreased by ¥4.428 billion (2.9%) from the end of the previous fiscal year to ¥150.126 billion. This was mainly due to a decrease in property, plant and equipment and merchandise and finished goods.

      Liabilities decreased by ¥1.805 billion (2.8%) from the previous fiscal year-end to ¥62.8 billion. This was mainly due to a decrease in long-term borrowings and accounts payable-other, while accrued expenses increased.

      Net assets decreased by ¥2.623 billion (2.9%) from the previous fiscal year-end to ¥87.325 billion. This was mainly due to a decrease in foreign currency translation adjustments.

2. Quarterly Consolidated Financial Statements and Primary Notes

1. Quarterly Consolidated Balance Sheet

   (Millions of yen)

   As of March 31, 2025 As of June 30, 2025

   Assets

   Current assets

   Cash and deposits 30,922 30,508

(Millions of yen)

As of March 31, 2025 As of June 30, 2025

Liabilities

Current liabilities

1. Quarterly Consolidated Statements of Income and Comprehensive Income

Quarterly Consolidated Statement of Income For the three months ended June 30, 2025

For the three months ended June 30, 2024

(Millions of yen)

For the three months ended June 30, 2025

Net sales 40,568 42,092

Cost of sales 34,864 36,218

Gross profit 5,703 5,874

Selling, general and administrative expenses 3,027 3,160

Operating profit 2,675 2,713

Non-operating income

Interest income 93 80

Share of profit of entities accounted for using equity method

5

0

Dividend income 25 21

Foreign exchange gains 414 115

Revenue of development discontinuation 1,317 44

Other 46 77

Total non-operating income 1,903 341

Non-operating expenses

Interest expenses 354 176

Expense of compensation for development discontinuation

862 0

Other 4 4

Total non-operating expenses 1,221 181

Ordinary profit 3,357 2,873

Extraordinary income

Gain on sale of non-current assets 2 0

Total extraordinary income 2 0

Extraordinary losses

Loss on sale and retirement of non-current assets 9 9

Total extraordinary losses 9 9

Profit before income taxes 3,350 2,863

Income taxes 990 790

Profit 2,359 2,073

Profit attributable to non-controlling interests 27 75

Profit attributable to owners of parent 2,331 1,997

Comprehensive income attributable to owners of parent

3,293 (600)

Comprehensive income attributable to non-controlling interests

104

(37)

1. Notes to Quarterly Consolidated Financial Statements (Notes on Going Concern Assumption)

   Not applicable.

   (Notes on Significant Changes in the Amount of Shareholders' Equity)

   First quarter of the previous fiscal year (From April 1, 2024 To June 30, 2024) Not applicable.

   Current first quarter consolidated cumulative period (From April 1, 2025 To June 30, 2025)

   Based on the resolution of the Board of Directors meeting held on May. 13, 2025, we acquired 982,500 shares of treasury stock. As a result, treasury stock increased by ¥633 million in the 1Q of the current fiscal year, resulting in treasury stock of ¥4.63 billion at the end of the first quarter of the current fiscal year.

   (Application of Special Accounting Methods for Quarterly Consolidated Financial Statements) (Calculation of Tax Expenses)

   Tax expenses are calculated by reasonably estimating the effective tax rate after the application of tax effect accounting to net income before income taxes for the fiscal year including the first quarter of the fiscal year under review, and multiplying net income before income taxes by the estimated effective tax rate. However, if the calculation of tax expenses using the estimated effective tax rate is significantly unreasonable, the recoverability of deferred tax assets is considered in the amount obtained by multiplying net income before income taxes or net loss before income taxes by the statutory effective tax rate.

   (Notes to Cash Flow Statement)

   The quarterly consolidated statement of cash flows for the third quarter of the current fiscal year has not been prepared. The amount of depreciation and amortization (including amortization of intangible fixed assets) for the cumulative third quarter of the consolidated fiscal year under review is as follows: ) are as follows.

   First quarter of the previous fiscal year

   (From April 1, 2024

   To June 30, 2024)

   Current first quarter consolidated cumulative period

   (From April 1, 2025

   To June 30, 2025)

   Depreciation expense ¥2,790Million ¥2,353Million

   (Notes on Segment Information)

   【Segment Information】

   1. First three months of the fiscal year ended March 31, 2025 (from April 1, 2024 to June 30, 2024)

      １ Information on net sales and income (loss) by reportable segment and disaggregation of revenue

      (Millions of yen)
      	Reportable Segments				Total
      	Japan	North America	ASEAN	China & Korea
      Net sales
      Product sales	23,313	10,744	2,500	1,426	37,984
      Tool sales	1,428	830	122	17	2,398
      Other sales	85	40	10	48	185
      Revenue from contracts with customers	24,826	11,615	2,633	1,492	40,568
      Sales to external customers	24,826	11,615	2,633	1,492	40,568
      Inter segment sales or transfers	1,031	6	49	440	1,527
      Total	25,858	11,622	2,682	1,932	42,095
      Segment income (loss)	1,611	1,117	237	(122)	2,844

      ２ Differences between the total amounts of reportable segments and the amounts stated in the consolidated financial statements and the main contents of the differences (matters related to the adjustment of differences)

      (Millions of yen)
      Income	Amount
      Total amount of reportable segments	2,844
      Elimination of inter-segment transaction	(168)
      Operating profit in the consolidated financial statements	2,675

   2. First three months of the fiscal year ended March 31, 2026 (from April 1, 2025 to June 30, 2025)

１ Information on net sales and income (loss) by reportable segment and disaggregation of revenue

２ Differences between the total amounts of reportable segments and the amounts stated in the consolidated financial statements and the main contents of the differences (matters related to the adjustment of differences)