（No Explains）（No Explains）

In the past Q3, due to the prolonged effects of the semiconductor supply shortage that has been continuingsince last year, domestic automobile production bottomed out in October and has recovered to a certain
extent since November, but it did not reach the recovery production that we had previously expected.
Consolidated net sales of the Group were JPY143.4 billion, operating income was JPY5.6 billion, ordinary
income was JPY8.5 billion, and net income for the quarter was JPY6.2 billion.

Despite a decrease in sales due to the impact of selling prices, net sales for Q3 cumulatively totaled JPY143.4billion, due to foreign currency conversion resulting from a weaker yen, the impact of material prices following
increases in the price of stamped steel and other materials, and an increase in the volume of materials due toa recovery in production overseas.

Operating income for Q3 was JPY5.6 billion due to the impact of selling prices, increased cost burdens such aslabor costs resulting from changes in production plans, and the significant impact of increased expenses due
to higher material and energy prices.

Net sales of the stamping and molding business were JPY102.7 billion due to the impact of yen depreciation,material prices, and increased product volume, and operating income was JPY2 billion due to increased
expenses, labor costs, and other factors at the US stamping site.
Net sales in the valve business were JPY40.5 billion due to the significant impact of yen depreciation, andoperating income was JPY3.6 billion despite our efforts to promote price pass-through to compensate forhigher material and other costs.

Sales in Japan amounted to JPY55.3 billion, mainly due to the impact of material prices. Operating income wasJPY3.5 billion due to cost increases in materials and energy prices.
Net sales in Europe and North America were JPY55.9 billion, partly due to the effect of foreign currency
conversion resulting from the weaker yen, and operating income was a loss of JPY1.3 billion due to increasedmaterial, labor, and other costs.
Net sales in Asia were JPY32.1 billion and operating income was JPY2.9 billion due to an increase in sales
volume.

Based on Q3 results and customer production plans for Q4, the earnings forecast remains unchanged.
Although production in Q3 did not reach the previously anticipated level, we assume that we will move into
recovery production from February onward.
We forecast net sales of JPY185 billion, operating income of JPY8.5 billion, ordinary income of JPY11.5 billion,
and net income of JPY8.3 billion.
The exchange rate for Q4 is assumed to be JPY130 to the dollar. The exchange rate sensitivity is JPY100 million
per JPY1 per year.

Full-year net sales are expected to be JPY185 billion due to an increase in net sales resulting from foreigncurrency conversion due to yen depreciation and the impact of material prices, despite a decrease in net sales
due to the shift to supply and demand of stamping parts for a fee, which will be applied from Q4, and lower
selling prices.

Although operating income for the full year is expected to increase due to higher material prices and costs
associated with rising energy costs, we will strive to improve profitability by passing on prices, minimizing
losses, and other measures to ensure profitability.

Net sales for the stamping and molding business are projected at JPY132.3 billion and operating income at
JPY4.3 billion, reflecting an estimated JPY5.3 billion decrease in sales due to the change to receiving stamping
parts for a fee.
The valve business is projected to generate JPY52.6 billion in net sales and JPY4.3 billion in operating income.

The forecast for Japan is JPY69.9 billion in sales and JPY5 billion in operating income; for Europe and North
America, JPY73.4 billion in sales and JPY0.5 billion in operating income loss; and for Asia, JPY41.7 billion insales and JPY3.6 billion in operating income.

Although semiconductor supply shortages affected Q3 of the current fiscal year, sales were higher than Q2
due in part to the weaker yen. Profits also exceeded Q2 as we continued to improve profitability.
In Q4, we assume a recovery production and sales volume will increase, but sales will apparently decrease
due to the shift to paid receipt of stamped steel products. We will continue our efforts to improve profitability
and minimize losses.

In addition to the usual production preparations for the launch of new products, capital investments are being
made for future growth, including the construction of a new plant in the Ogaki area and the introduction ofstamping and welding equipment to increase production in Japan, the US, and China.
Capital expenditures are expected to be JPY25 billion, and depreciation and amortization expenses areexpected to be JPY18.5 billion, an increase of JPY2 billion from the previous year. The previous forecast wasfor capital investment of JPY30 billion, but this will be reduced by JPY5 billion from the previous forecast due
to the postponement of some payments for the construction of the new plant to FY2023.
The start-up date of the new plant is in line with the original plan. We will strengthen our competitiveness byincreasing production capacity in preparation for an increase in orders from customers, as well as investing ina more efficient production system.

We are promoting initiatives to enhance our corporate value, such as strengthening our ability to makeproposals to customers in existing businesses, contributing to solving social issues with new products, andbecoming carbon neutral.
For the new Prius launched last month, we received a project award in the cost category for our contribution
to cost reduction through our structural proposal. We will continue to promote the strengthening of ourproposal capabilities by identifying customer needs in each of our businesses.
In the new field of products, a high-spec model of e-WAVES, a multi-sensing logger that has been on sale since
the year before last, was announced on January 31. Responding to the needs of the pharmaceutical industry,
this product covers a wide temperature range from -200 to 100 degrees Celsius and improves quality controlof cell storage and transport by real-time monitoring, thereby contributing to the development of theregenerative medicine field. We plan to start sales in April of this year and will work with Iwatani Corporation
to expand sales.
We are also promoting activities to become carbon neutral on a global basis. We introduced solar power
generation at our factory in Thailand last year, and we are expanding the system at our domestic factories aswell. As a result, the percentage of renewable energy used has increased to 30% domestically and 13% globally.
We will continue our efforts to achieve our 2030 target of a global 20% renewable energy utilization rate.

In the next fiscal year, the supply shortage of semiconductors is expected to be resolved and the company will
move toward recovery production. On the other hand, the external environment is uncertain due to soaring
costs of raw materials, energy, etc., caused by the global inflationary trend, changes in monetary policy, andconcerns of an economic slowdown in the US.
Current efforts include the automation of production sites using AI and IoT and the streamlining of office workthrough digitalization, which will continue to strengthen the company's structure and shorten lead times.
As for initiatives related to electrification, development of new products and orders for such products areprogressing, and we will continue to identify customer needs.
We are working to capture new business opportunities while strengthening our development system in areas
other than the automotive field.
There is much work to be done to achieve sustainable growth, but we are formulating a new medium-term
management plan while envisioning the ideal state of the company for 2050 and 2030. Details will be
explained at the announcement of year-end financial results in April.