Notice Regarding Transfer of Fixed Assets and Recognition of Transfer Profit

Overview of the Transfer

IHI Corporation has decided to transfer the building and land shares of rental real estate located in Koto-ku, Tokyo via trust arrangement to improve capital efficiency, strengthen growth and development businesses, and secure investment funds for transforming its business portfolio. The transfer profit is expected to be approximately 39.3 billion yen. The transferees are multiple domestic general business corporations with no capital, personnel, or transactional relationships, and have been confirmed not to be antisocial forces.

Transfer Schedule and Earnings Impact

The transfer agreement is planned to be concluded in April 2026, with the ownership interest expected to be transferred within the same month. The transfer profit of approximately 39.3 billion yen is expected to be recorded as other income in the consolidated financial statements for the fiscal year ending March 2027, and as a special profit (gain on sale of fixed assets) in the individual financial statements. The company will continue to advance business structure reforms and promote planned asset sales.