As announced in May, our Sixth Medium-Term Management Plan began with the fiscal year ending March 2026. Our group will leverage its strengths to take on new challenges, striving to achieve both sustainable growth and social contribution while responding to a changing social environment, technological innovation, and environmental issues. We will continue to move forward together with our communities, aiming to create a better future.

The consolidated results for the first quarter of the fiscal year ending March 2026 (April 2025 to March 2026) are as follows.

The consolidated results for the first quarter of the fiscal year ending March 2026 were almost in line with our plans.

In the Advanced Materials Business, overall performance remained steady, particularly in products for telecommunications equipment, transportation equipment, and industrial machinery. We have also begun initiatives such as developing new markets and launching new products in the US and Europe, as well as reflecting increased material costs in our sales prices. We will continue to strengthen our presence at exhibitions and promote environmentally conscious products, aiming to expand our sales channels worldwide.

In the Digital Twin Business, although we face challenges in acquiring new projects, the creation of BIM/CIM models for utility tunnels has been progressing steadily for design and construction companies, and we are also developing point cloud mapping projects and new services. In addition to expanding globally through new products and overseas exhibitions, we are accelerating demonstrations and efficiency improvements at our own factories by leveraging digital transformation technologies for manufacturing. We will continue to aim for increased orders across a wide range of fields.

The Technology Division has completed the relocation of high-performance liquid-related equipment to the Ibaraki Plant, aiming to accelerate future development. In addition, we are making large-scale capital investments to upgrade our manufacturing environment, and will continue to strengthen our technological capabilities and improve efficiency. The improvement theme presentation, which was previously centered on the technology department, has now expanded into a company-wide initiative, with each department taking on improvement themes. This time, the improvement activities of the Technology Division were recognized, resulting in a training trip to the Osaka Expo. We hope that this experience will lead to even greater achievements in the future.

This year as well, we held the 19th KIMOTO Cup (Youth Baseball Tournament) at the Mie Plant. We were deeply moved by the children giving their all and enjoying the game. We hope that this experience will become a great source of strength for them in the future. We look forward to continuing to grow together with everyone in the community.

We would like to thank all KIMOTO fans for their continued understanding and support.