The Japan Steel Works (5631) Investor presentation summary

Update overview and revised financial targets

• Business strategies updated to reflect market changes, with financial targets revised upward for FY2028.

• Net sales target increased from 380 billion yen to 400 billion yen, and operating profit from 37 billion yen to 40 billion yen.

• Operating profit margin target raised to 10.0%, and ROE maintained at 10-11%.

• EBITDA target for FY2028 updated to 55.0 billion yen, up from 51.8 billion yen.

Vision and sustainability goals for FY2033

• Aims to achieve net sales of 500 billion yen, operating profit of 50 billion yen, and ROE of 11-12% by FY2033.

• Focus on creating value and solving social issues through industrial machinery and new materials.

• Emphasis on diversity, equity, inclusion, and belonging (DEI&B) as part of human capital strategy.

• Commitment to contributing to a low-carbon and recycling society.

Progress on JGP2028 basic policies

• Increased production capacity for plastic machinery and steel forgings, with new facilities and global expansion.

• Established new business divisions and R&D centers, focusing on innovation and photonics.

• Enhanced human capital and diversity, exceeding hiring targets and improving engagement.

• Strengthened corporate governance with increased diversity on the board and reduced policy shareholdings.