Notice of Revision to Consolidated Earnings Forecast for the Second Quarter (Interim) and Full Year for the Fiscal Year Ending March 2027

Key Points of the Revision to Earnings Forecast

This report announces an upward revision to the consolidated earnings forecast for the second quarter of the fiscal year ending March 2027, reflecting the recognition of a gain on negative goodwill arising from the consolidation of Yomeishu Seizo Co., Ltd. as a consolidated subsidiary and the recognition of gains on the sale of investment securities. Ordinary income for the interim period is expected to increase compared with the previous forecast, and interim net income is expected to significantly exceed prior estimates. For the full year, net sales are expected to exceed the previous forecast, although the China business presents downside risks.

Impact on Shareholders and Future Outlook

In the revised full-year forecast, net sales are revised upward by 4.9 billion yen, and operating income is expected to remain robust due to a review of selling, general and administrative expenses. The recognition of a gain on negative goodwill may lead to a significant upside in net income attributable to owners of the parent; however, future results will depend on exchange rates and market trends. There is no change to the dividend forecast, and additional information will be disclosed as developments occur.