Fiscal Year Ending March 2026 3rd Quarter Financial Summary [Japanese GAAP] (Consolidated)

Overview of Performance

For the nine months ended December 2025 of the fiscal year ending March 2026, consolidated net sales amounted to ¥371,778 million (3.8% decrease YoY), operating income was ¥40,927 million (19.3% decrease YoY), ordinary income was ¥55,656 million (19.0% decrease YoY), and net income attributable to owners of parent for the quarter was ¥41,574 million (4.6% decrease YoY). In the domestic beverage and food manufacturing and sales segment, sales promotion for dairy probiotic beverages and the 90th anniversary campaign were conducted, but sales declined compared to the previous year due to competition and rising costs. Overseas operations performed well with sales promotion and new product launches in the Americas, but overall sales decreased year-over-year. Other segments saw increased sales due to cosmetic sales and higher attendance at professional baseball games.

Financial Position and Shareholders' Equity

Total assets were ¥881,296 million, an increase of ¥16,978 million from the previous consolidated fiscal year-end, while net assets decreased by ¥3,251 million to ¥626,263 million, and the equity ratio decreased by 0.7 points to 65.7%. The number of outstanding shares was 331,985,236 shares, and treasury shares totaled 38,736,648 shares. Capital surplus and retained earnings decreased due to share buybacks and cancellations.

Dividends and Earnings Guidance

The annual dividend forecast for the fiscal year ending March 2026 is ¥70 per share (¥37 per share for the year-end dividend), an increase of ¥6 compared to the previous year. The full-year consolidated earnings forecast anticipates net sales of ¥489,500 million (2.0% decrease YoY), operating income of ¥48,500 million (12.4% decrease YoY), ordinary income of ¥67,000 million (11.7% decrease YoY), and net income attributable to owners of parent of ¥46,500 million (2.1% increase YoY).

Share Buyback and Cancellation

To enhance shareholder returns, from February 12, 2026, to June 18, 2026, a share buyback program will be conducted with an upper limit of 7,500,000 shares and a maximum acquisition cost of ¥15 billion. On February 27, 2026, 23,700,000 shares are scheduled for repurchase, and cancellation is planned for June 30, 2026. These measures aim to improve capital efficiency and increase shareholder value.