Fiscal Year Ending February 2026 Financial Summary [Japanese GAAP] (Consolidated)

Overview of Results

Consolidated results for the fiscal year ending February 2026 recorded net sales of 114,357 million yen (93.1% YoY increase), operating income of 10,301 million yen (74.1% YoY increase), ordinary income of 9,098 million yen (56.2% YoY increase), and net income attributable to owners of parent of 12,293 million yen (224.4% YoY increase), all reaching record highs. The significant increase in net income attributable to owners of parent was due to the recognition of a special gain of 11,861 million yen associated with the trust establishment and transfer of trust beneficiary rights for APA Hotel <TKP Nippori Ekimae>. By segment, all businesses — Space Regeneration Distribution, LILI COLOR, and Novarese & Escrit — achieved increases in both revenue and profit.

Outlook and Dividend Policy

Earnings guidance for the fiscal year ending February 2027 anticipates net sales of 146,000 million yen (27.7% increase over previous year), operating income of 11,000 million yen (6.8% increase over previous year), ordinary income of 9,700 million yen (6.6% increase over previous year), and net income attributable to owners of parent of 4,000 million yen (67.5% decrease compared to previous year). The decrease in net income is due to the absence of the special gain recorded in the previous fiscal year. Dividends have not been paid since the company's founding, and future decisions will be made considering business results and financial conditions. Share buybacks are conducted flexibly, with acquisitions amounting to 4,049 million yen during the current period.