In Q3, net sales increased 8% YoY to a record high of JPY155.9 billion, mainly due to an increase in sales volume
resulting from the continued recovery trend in automobile production and foreign currency translation gains
resulting from the yen's depreciation.
As for profits, operating income increased 97% from the same period of the previous fiscal year to JPY11.2
billion due to an increase in sales volume as well as ongoing cost improvement and fixed cost reduction
activities.
Ordinary income increased 68% to JPY14.3 billion and net income for the quarter was also up by 75% toJPY10.9 billion, both of which were record highs for the first nine months.

Net sales increased JPY12.5 billion YoY to JPY155.9 billion, mainly due to an increase in sales volume and thepositive impact of foreign exchange rates resulting from the continued depreciation of the yen, despite thenegative impact of customer-received steel materials for stamping.

Operating income increased JPY5.5 billion YoY to JPY11.2 billion, mainly due to an increase in sales volumeand promotion of cost improvement, despite the negative impact of higher labor and expenses due toincreased sales volume and soaring material prices.

In the stamping and plastic molding business, sales increased 10% YoY to JPY113 billion and operating income
increased JPY5.8 billion to JPY7.8 billion, driven by an increased sales volume.
In the valves business, volume remained flat from the previous year, but sales increased by 5% to JPY42.7billion due to the impact of the weaker yen. Operating income decreased by JPY0.2 billion to JPY3.3 billion
due to the impact of soaring material prices sourced by overseas suppliers with the yen’s depreciation as wellas other input cost hike.

Sales in Japan decreased 3% YoY to JPY53.6 billion, and operating income increased JPY2.3 billion to JPY5.9billion. Sales in Europe and America increased 25% to JPY70.3 billion, and operating income rose JPY3.8 billion
to JPY2.5 billion. Sales in Asia were JPY31.9 billion, unchanged from the previous year, and operating income
decreased JPY1.1 billion to JPY1.8 billion.

Based on the financial performance through Q3, we have upwardly revised our full-year forecasts. Comparedto the figures announced on October 26, we are revising our forecasts to JPY200 billion in net sales, up JPY2billion, and JPY13 billion in operating income, up JPY1 billion. Ordinary income is revised upward by JPY1
billion to JPY16 billion, and net income is revised upward by JPY1 billion to JPY11.5 billion.
The forecasted exchange rate is JPY140 to the dollar for Q4. The annualized currency sensitivity is JPY100
million per yen depreciation/appreciation.

For the full year, we forecast net sales of JPY200 billion, up JPY8.7 billion from JPY191.2 billion in the previousyear due to an increase in sales volume and other factors, despite the decrease in sales due to the shift tostamping steel procurement for a fee.
The changes in net sales include the JPY25 billion decrease as a result of the impact of customer-received steel
materials for stamping, the JPY7.5 billion increase as a result of material prices and the JPY5.5 billion increase
as a result of exchange conversion. These factors will have no impact on profit.

Operating income for the full year is projected at JPY13 billion, an increase of JPY3.7 billion from JPY9.2 billion
in previous year due to increased sales volume and cost improvement, despite the negative impact of laborcost, expenses, and material prices.

Sales for stamping and plastic molding business are projected to increase 5% YoY to JPY144.8 billion, andoperating income is projected to increase JPY4.2 billion to JPY9.2 billion. Sales in the valves business areprojected to be flat from previous year with JPY55 billion, while operating income is expected to decrease by
JPY0.4 billion to JPY3.8 billion.

Sales in Japan is expected to decrease 3% YoY to JPY68.5 billion, while operating income is expected toincrease JPY1.3 billion to JPY6.3 billion.
Sales in Europe and America are projected to increase 15% to JPY90 billion, and operating income is projected
to increase JPY3.1 billion to JPY3 billion. Effective from the current fiscal year, the amortization period forstamping machines owned by the US subsidiary has been revised from 7 years to 15 years. As a result of thischange, depreciation and amortization expenses are expected to decrease by approximately JPY1.6 billion
from the previous level.
We forecast sales in Asia of JPY41.5 billion and operating income of JPY2.8 billion which is down by JPY800
million.
In FY2023, we plan to invest JPY38 billion, including construction of a new stamping plant in the Ogaki areaand preparation for production of electric expansion valves for battery EVs. In response to an increase inorders from customers, we will increase our production capacity and also invest in building a more efficient
production system to strengthen our competitiveness.

Compared to the level at the end of fiscal year ended in March 2023, total assets at the end of Q3 this year
increased by JPY22.7 billion. The main factor was an increase in fixed assets due to investments in a newstamping plant and other facilities, as well as the mark-to-market valuation of strategic shareholdings. The
Company will gradually sell its strategic shareholdings, aiming to hold no more than 20% of its net assets. In
terms of the existing businesses, we are promoting initiatives to improve our competitiveness, such as
strengthening our value propositions to customers and improving productivity.

For Alphard and Vellfire, which underwent a model change last year, we received many new orders for thefloor and battery area, etc., as a result of customers’ appreciation of our ultra-high tensile strength technology,
improved structural analysis technology, and aggressive proposal activities that we have cultivated over theyears. Number of orders received has significantly increased by 260% compared to the previous model. We
will continue to enhance our value propositions by identifying customer needs in each of our businesses.
The new stamping plant, which began full-scale operations in November, has completed the installation of six
stamping machines and has started mass production of products such as ultra-high tensile strengthcomponents and battery cases for hybrid electric vehicles. In addition to the efficient production lines that
follow the flow of the process, the factory pursues productivity through the introduction of robot-assisted
automatic transfers and AGVs. We are also committed to creating a comfortable work environment that leads
to increased engagement, such as air conditioning in our factories and adequate refreshment space.

In the new field, we are launching various products utilizing IoT technology and new ideas.
To make the e-WAVES multi-sensing logger available to a wide range of users, we have begun selling an entrylevel model with limited functions and a low price.
Chokkyu Raku raku is a new product that takes advantage of IoT technology, which is a packaged version of
our internal efficiency improvement tool we use at our manufacturing sites. The product can easily andinexpensively achieve paperless operations, improved quality, and increased operational efficiency at theworksite. The swallow-disorder checker Gokkuon is a product that easily measure the number of times saliva
is swallowed, making it easy to check oral frailty.
LcycL, an upcycling brand launched in last December, utilizes waste materials generated in the manufacturing
process of auto parts as resources. The brand name reflects our desire to respect the natural environmentand contribute to a recycling-oriented society, and we will continue to develop environmentally friendly
products and utilize recycled materials.
Through these products, we are expanding our capabilities outside the mobility field. Although it is a challenge
to develop new sales channels, we feel that the culture of endeavoring to new areas is taking root as wecontinue to drive these initiatives and launch new products.

For FY2023, automobile production remained at high level throughout the year, and we expect the same
situation to continue in the next fiscal year. On the other hand, the external environment is uncertain due tosuch factors as plateauing raw material prices and energy costs, exchange rate fluctuations caused by changes
in monetary policy in Japan and the US, and concerns about an economic slowdown in the US.
For now, we continue our efforts to strengthen our earnings structure by improving the efficiency ofproduction management operations through the use of digital tools, further promoting cost improvement
and price pass-on including profitability improvement of overseas sites through the support team dispatchedfrom Japan.
As for efforts related to electrification, new product development and order intake are in full earnest. This is
not only products that are already made to order but also in all businesses of stamping, plastic, and valves.
We will continue to identify customer needs and work to expand existing businesses. In areas other than themobility field, we will continue our activities to create and grow new businesses by strengthening ourdevelopment structure and utilizing internal competition program for new business, open innovation, andother initiatives.
In response to the TSE's request, the Company will also promote the improvement of capital efficiency byincreasing investment efficiency and improving the balance sheet. We will improve PER and PBR by achieving
ROE of 8% or more in 2026 and 10% or more in 2030 as targeted in our mid-term management plan and byenhancing investor relations.
We will holistically promote these initiatives to achieve medium- and long-term growth and to solve issues
for our customers and society, thereby enhancing our corporate value.