Sumitomo Electric Industries : Notice of Revisions to the Full-Year Consolidated Financial Forecasts of the Fiscal Year ending March 31, 2026 (221 KB)

(English Translation)

To whom it may concern: February 3, 2026

Company name: Sumitomo Electric Industries, Ltd.

Representative: Osamu Inoue, President and COO

(Code No: 5802, Tokyo Stock Exchange, Nagoya Stock Exchange, and Fukuoka Stock Exchange)

Contact details: Kazunari Inoue,

General Manager, Accounting Division TEL +81-6-6220-4141

Sumitomo Electric Industries, Ltd. (''the Company'') hereby announces the revisions to the full-year consolidated financial forecasts of the fiscal year ending March 31, 2026 announced on October 31, 2025 based on the latest trend of business performance, etc., as shown below:

1. Revisions to Consolidated Financial Forecasts

   Revisions to the full-year consolidated financial forecasts for the fiscal year ending March 31, 2026 (from April 1, 2025 to March 31, 2026)

   (Millions of yen, except per share figures)

   	Net sales	Operating profit	Ordinary profit	Profit attributable to owners of parent	Basic earnings per share (yen)
   Previous forecasts (A) （announced on October 31, 2025）	4,750,000	340,000	346,000	230,000	294.90
   Revised forecasts (B)	4,900,000	375,000	381,000	320,000	410.30
   Difference (B-A)	150,000	35,000	35,000	90,000	-
   Increase/decrease (%)	3.2	10.3	10.1	39.1	-
   (For reference) Actual results for the previous fiscal year ended March 31, 2025	4,679,789	320,663	309,496	193,771	248.47

2. Reason for the Revisions

The consolidated financial results for the nine months ended December 31, 2025 have exceeded the previous forecasts announced on October 31, 2025 due to continued steady demand in the Infocommunications sector and the Automotive sector as well as thorough cost reduction and improvement of selling prices.

Also, as ''Notice of Agreement Concerning Tender Offer for Shares of Consolidated Subsidiary (Sumitomo Densetsu Co., Ltd.), and Change in Consolidated Subsidiary (planned)'' announced on October 30, 2025, the tender offer conducted by Daiwa House Industry Co., Ltd. from October 31, 2025 was completed as of December 15, 2025. As a result of the successful completion of the tender offer, the Company will transfer all shares of Sumitomo Densetsu Co., Ltd. (''Sumitomo Densetsu'') held by the Company through a share buyback conducted by Sumitomo Densetsu. Profit attributable to owners of parent is expected to increase by approximately 70 billion yen due to the record of extraordinary income regarding this transfer.

Based on the latest outlook of business circumstances in addition to the above reason, the Company has revised up the full-year consolidated financial forecasts of the fiscal year ending March 31, 2026.

In addition, regarding the forecast of the year-end dividend per share for the fiscal year ending March 31, 2026, the dividend forecast announced on October 31, 2025 remains unchanged and the Company will reconsider it at the end of fiscal year. The proceeds from the transfer of Sumitomo Densetsu shares are intended to be used to fund the tender offer for shares of Sumitomo Riko Company Ltd. (''Sumitomo Riko'') for the purpose of making Sumitomo Riko the Company's wholly owned subsidiary. Therefore, regarding the year-end dividend for the fiscal year ending March 31, 2026, the Company plans to pay dividends based on profits generated from normal business activities, excluding the profit regarding this transfer.

※ This material contains forward-looking statements, based on judgments and estimates that have been made on the basis of currently available information. Therefore, the final results might be different from the forecast due to various factors.