Notice Regarding Recognition of Extraordinary Income (Gain on Sales of Equity-method Affiliates) in Separate and Consolidated Financial Statements

Overview of This Share Transfer

Hankyu Hanshin Holdings, Inc. has resolved and entered into an agreement to transfer all shares of Hankyu Hanshin Express, which constitutes the International Transportation segment, to Mitsubishi Warehouse Co., Ltd. As a result of the transfer, the company expects to recognize approximately 91,000 million yen of gain on sales of equity-method affiliates in the separate financial statements for the fiscal year ending March 2027 and approximately 75,000 million yen in the consolidated financial statements. After the transfer, Hankyu Hanshin Express and its 23 consolidated subsidiaries will be excluded from the company's consolidation scope.

Outlook and Strategy

This transaction is part of a medium- to long-term growth strategy to optimize group resource allocation and facilitate investments, including M&A, in growth areas. The transferee, Mitsubishi Warehouse Co., Ltd., aims to strengthen its domestic and international logistics base to enhance the competitiveness and growth of Hankyu Hanshin Express. Over the next three years, organizational integration will be promoted to improve the ability to provide solutions across the entire supply chain.