#JapaneseStocks

Resolution to liquidate HI-LEX AMERICA INC. Reorganizing the North American production structure by liquidating HI-LEX AMERICA INC. among five manufacturing subsidiaries in the United States. In the future, continue to shift toward high value-added products. Start dissolution and liquidation procedures after 2028. A special loss of 1.0–2.0 billion yen is anticipated in fiscal 2026, to be disclosed once finalized.

An update toward realizing management mindful of capital costs and share price. The description includes approaches such as ROE/PBR considerations, improvement policy for financial leverage, and strategic strengthening of sales and investments.

Reorganize the domestic production system to optimize resources across 13 sites, improving production efficiency and utilization. By introducing product-specific and function-specific layouts, including depot and testing functions, aiming for supply stability, talent retention, and business continuity planning, evaluated from multiple angles. Completion targeted for FY2028, with activity starting in FY2027. Financial impact under review. Will notify if material disclosures arise.

June existing store sales were strong, up 4.9% YoY at 104.9% of the previous period. Domestic directly managed store sales are included (excluding franchise sales). Progress of newly opened reused stores and some store information are disclosed.

Announcement that the business partner Zen-to-Shin Bank Co., Ltd. has been placed into bankruptcy proceedings by the Osaka District Court. For the portion of the company's claims that is not secured by collateral, full allowance is planned to be made in the first quarter of FY2027 (year ending March 2027). There is no change to the consolidated earnings forecast announced...

Reports the June 2026 sales quick report values and department-wise sales. Figures are based on the earnings速報 and not yet audited by a CPA, so there may be differences from the actual results. Includes factors behind demand fluctuations in Aug–Sep 2025 and YoY trends.

Board resolved the disposition of treasury stock as restricted stock awards. Allocated 7,000 ordinary shares of the company to five directors as in-kind contributions, with a disposition date of 2026-08-06 and a transfer restriction until 2056-08-05. The disposal price is 1,410 yen per share, totaling 9,870,000 yen. Long-term incentive design aimed at sharing shareholder value and enhancing corporate value.

The payment procedures for the transfer of treasury stock acquired as restricted stock compensation have been completed. Number of shares transferred: 3,786 shares, transfer price: 2,440 yen per share, total amount: 9,237,840 yen. Transferees are 3 directors and 3 corporate officers, total of 6 people (excluding outside directors).

Interim end-August 2026 dividend forecast revised to 15 yen. Interim end second quarter 13 yen, total annual 28 yen, payout ratio around 27%–36%. Mid-term management vision EIP targets achieved in the next term, August 2027. Also announces changes to shareholder benefits vouchers accompanying the dividend.

Considering a reduction of the investment unit. At this stage, no specific measures or timing are decided, but the company will carefully examine, taking into account market trends, share price, trading volume, and shareholder composition (envisioning a move toward below 500,000 yen).

Monthly revenue is robust year-over-year at approximately 115.1%–130.9%. Monthly new customer acquisitions are around 97.8 thousand accounts, and the number of business days is around 22 per month. Note that overseas royalty income is included in the month-end revenue.

June directly managed store sales increased year over year by 102.6%, existing store sales at 94.6%, and customer count at 96.6%. The total number of stores was 455, with the change driven by one exit from a franchise store and new openings. Summer event 'Draft Beer Festival' was held, promoting sales with a special menu including draft beer prices.