Noda (7879) investor relations material

Executive summary

• Revenue for the first half was ¥31,916 million, down 0.2% year-over-year, with an operating loss of ¥341 million compared to a ¥32 million profit last year.

• Net income attributable to shareholders was ¥231 million, reversing a ¥367 million loss in the prior year, mainly due to gains from the sale of investment securities.

• The business environment remained challenging due to weak housing demand, rising costs, and geopolitical risks, despite efforts to expand sales and control costs.

Financial highlights

• Operating loss of ¥341 million versus a ¥32 million profit year-over-year; ordinary loss widened to ¥613 million from ¥100 million.

• Net income per share was ¥15.01, up from a loss of ¥23.47 per share last year.

• Total assets at period-end were ¥71,200 million, down ¥1,607 million from the previous year-end.

• Cash and equivalents decreased by ¥1,376 million to ¥17,454 million.

Outlook and guidance

• Full-year revenue forecast is ¥65,000 million (+0.5% YoY), with operating profit of ¥600 million and net profit of ¥200 million; no change from previous guidance.

• The company plans to raise prices for building materials and MDF products in Q3 to offset cost increases.

• Market conditions remain uncertain due to ongoing geopolitical risks and weak housing demand.