Kyokuto Kaihatsu Kogyo Co., Ltd. · TSE:7226
Kyokuto Kaihatsu Kogyo — FY2025 Earnings Presentation
45 slides from Kyokuto Kaihatsu Kogyo's earnings presentation, March 2026
Slide 1: Operating Results for FY2025
Operating Results for FY2025 Kyokuto Kaihatsu Kogyo Co., Ltd. TSE Prime: 7226
Slide 2: Table of Contents
Table of Contents 1. Results of FY2025 P3 ～ 5 2. Results by Segment P6 ～14 3. Full-Year Forecast for FY2026 P15～22 4. Disposition by the Japan Fair Trade Commission P23～26 5. Initiatives and Progress Toward P27～33 Achieving the Medium-term Management Plan 2025 - 27 2
Slide 3: 1. Results of FY2025
MI KyYoKuTo 1. Results of FY2025
Slide 4: Summary of Consolidated Financial Results for FY2025
Summary of Consolidated Financial Results for FY2025 Fiscal year FY2024 FY2025 Change Percentage Millions of yen Net sales 140,449 161,332 + 20,882 +14.9% Operating profit 6,656 8,877 + 2,221 +33.4% Ordinary profit 6,890 9,478 + 2,587 +37.5% Profit attributable to owners of parent 5,820 3,692 (2,128
Slide 5: Quarterly Trends in Consolidated Financial Results
Quarterly Trends in Consolidated Financial Results (Accumulation period) Fisc al ye ar FY2 0 2 4 FY2 0 2 5 Ch an ge (Ye ar - o n - ye ar ) Millio n s o f ye n 4Q 4Q Amo u n t P e r c e n tage Net sales 140,449 161,332 + 20,882 +14.9% 118,708 135,265 + 16,556 +13.9% Net sales Special Purpose Vehicles
Slide 6: 2. Results by Segment
MI KyYoKuTo 2. Results by Segment
Slide 7: Special Purpose Vehicles Business
Special Purpose Vehicles Business Net sales Domestic Recovery in the supply of chassis for medium- and small-sized dump trucks (included in construction-related), continued to increase from 3Q Share of Overseas India: Chennai Plant completed in February 2026 is fully operational, achieved record mon
Slide 8: Factors Causing Increase / Decrease in Consolidated Operating Profit (Special Purpose Vehicles Business)
Factors Causing Increase / Decrease in Consolidated Operating Profit (Special Purpose Vehicles Business) （Millions of yen） Operating profit +1,622 (+34.7%) FY2024 FY2025 8
Slide 9: Special Purpose Vehicles Business: Orders Received and Backlog
Special Purpose Vehicles Business: Orders Received and Backlog （Millions of yen） KYOKUTO Order backlog TREX Order backlog Total of orders received 120,628 111,644 108,010 97,779 99,336 95,309 90,124 84,989 80,219 77,553 70,870 73,233 59,831 55,517 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2025 9
Slide 10: Special Purpose Vehicles Business: Sales Composition
Special Purpose Vehicles Business: Sales Composition Top: Net sales (Millions of yen) Bottom: Sales volume (Units) Related to the environment / welfare 7,906 (2,100) Related to Related to Overseas logistics and construction /export Other FY2024 Trailer Wing/ van Total 118,708 26,144 20,098 labor-sav
Slide 11: Environmental Equipment and Systems Business
Environmental Equipment and Systems Business Net sales Plant construction: Construction of projects from backlog continued Share of Net sales increased due to the application of price indexation clauses net sales in plant construction 11.2% Operating profit Record-high operating profit recorded due
Slide 12: Environmental Equipment and Systems Business: Trend of Results
Environmental Equipment and Systems Business: Trend of Results (Plants/unit) (Acquired contract for operation/case) 210 40 205 Plant delivery record Number of received 30 (cumulative) contract for operation (in operation currently) 200 20 195 10 190 0 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2025
Slide 13: Car Parking Systems Business
Car Parking Systems Business Net sales Focused on renewal projects while struggling to acquire new properties Share of Pay-and-display parking utilization rate remained strong net sales Pay-and-display parking utilization rate increased due to Expo, car travel due 5.3% to heat waves, and increased s
Slide 14: Car Parking Systems Business: Trend in Results
Car Parking Systems Business: Trend in Results (Unit) Number of pallets for multi-level parking Number of lots for cars in pay-and-display parking equipment (cumulative) (in operation currently) FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2025 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2025 パレット数 N
Slide 15: 3. Full-Year Forecast for FY2026
3. Full-Year Forecast for FY2026 15
Slide 16: Impact on Supply of Products and Parts Due to Tensions in the Middle East
Impact on Supply of Products and Parts Due to Tensions in the Middle East Impact on Supply of Products and Parts Due to Tensions in the Middle East (Press Release on April 10, 2026) Currently, the situation in the Middle East, including around the Strait of Hormuz, is becoming increasingly tense, an
Slide 17: FY2026: Consolidated Results Forecast
FY2026: Consolidated Results Forecast Fiscal year FY2025 FY2026 Change Percentage Millions of yen (Results) （ Forecast） Net sales 161,332 180,000 + 18,668 +11.6% Operating profit 8,877 8,500 (377) (4.3%) Ordinary profit 9,478 7,900 (1,578) (16.6%) Profit attributable to 3,692 5,000 + 1,308 +35.4% ow
Slide 18: Trend in Consolidated Operating Profit (by Segment)
Trend in Consolidated Operating Profit (by Segment) (Millions of yen) 8,000 Special Purpose Vehicles Environment Car Parking 6,880 6,800 7,000 6,298 6,000 5,000 4,481 4,676 4,000 3,334 3,000 2,644 2,772 2,700 2,451 1,994 2,098 2,000 1,768 1,000 613 624 710 700 391 434 254 0 -1,000 (555) FY2020 FY202
Slide 19: Special Purpose Vehicles Business: Full-year Results Forecast
Special Purpose Vehicles Business: Full-year Results Forecast Special Purpose Vehicles Business ➢ Price revisions for finished goods led to higher sales (*some of the prices have been revised again from April 1, 2026) ➢ Through the Kyokuto Kaihatsu Group Technical Center (under construction), we wil
Slide 20: Truck Market and Net Sales Trend of Special Purpose Vehicles Business
Truck Market and Net Sales trend of Special Purpose Vehicles Business While the truck market has remained stagnant temporarily due in large part to the pandemic, semiconductor shortages, and chassis manufacturers’ misconduct related to vehicle certification, we have managed to secure sales through r
Slide 21: Environmental Equipment and Systems Business: Full-year Results Forecast
Environmental Equipment and Systems Business: Full-year Results Forecast Environmental Equipment and Systems Business ➢ Plant construction work continues to be prioritized Seven projects currently in progress: Kawaguchi City, Nishinomiya City, Chubo (Tokyo), Amagasaki City, Wajima City, Yufu City, E
Slide 22: Car Parking Systems Business: Full-Year Results Forecast
Car Parking Systems Business: Full-Year Results Forecast Car Parking Systems Business ➢ Multi-story parking systems : Stock-type business such as renovation and maintenance increases its sales, securing stable earnings ➢ Pay-and-display parking lots: Early monetization is pursued through enhancing f
Slide 23: 4. Disposition by the Japan Fair Trade Commission
4. Disposition by the Japan Fair Trade Commission 23
Slide 24: Disposition by the Japan Fair Trade Commission
Disposition by the Japan Fair Trade Commission Our company and our subsidiary, NIPPON TREX Co., Ltd., were subjected to an on-site inspection by the Japan Fair Trade Commission (JFTC) on November 12, 2024, on suspicion of forming a cartel regarding the sale of the “upper bodies” we manufacture. Sinc
Slide 25: Disposition by the Japan Fair Trade Commission: Recurrence Prevention Measures
Disposition by the Japan Fair Trade Commission Recurrence Prevention Measures and Progress Initiatives to Eliminate Legal Violations Progress of Actions Have the Board of Directors pass a resolution to not conduct any actions that violate the Act going forward. Completed (September 2025) Completed (
Slide 26: Transition to a Company with an Audit and Supervisory Committee
Transition to a Company with an Audit and Supervisory Committee At the Board of Directors meeting held on February 26, 2026, the Board resolved to shift from the current form of a company with a board of corporate auditors to a company with an audit and supervisory committee, subject to approval at
Slide 27: 5. Initiatives and Progress Toward Achieving the Medium-term Management Plan 2025-27
5. Initiatives and Progress Toward Achieving the Medium-term Management Plan 2025 - 27 27
Slide 28: Medium-term Management Plan 2025–27 Basic Policy
Medium-term Management Plan 2025–27 Basic Policy Long-Term FY2026 Growth Investment 30 billion yen FY2025 (Results) FY2027 (Target) Management (Forecast) Vision New M&A Net Sales 161.3 billion yen 180 billion yen 190 billion yen 200 billion yen Investment 10 billion yen Operating Profit 5.5% 4.7% 8%
Slide 29: Medium-term Management Plan 2025–27 Investment and Shareholder Returns
Medium-term Management Plan 2025–27 Investment and Shareholder Returns Growth Investment 30 billion yen New M&A Investment 10 billion yen <<Actual capital expenditures for FY2025>> Chennai Plant 12,602 million yen ⚫ Land for Group Technical Center ⚫ New Seibu Parts Center Group Technical Center (as
Slide 30: Initiatives to Enhance Corporate Value
Initiatives to Enhance Corporate Value ⚫ Corporate Value Enhancement Logic Tree Price revisions and increases Improve profitability Improve production efficiency (plant reorganization) Improve ROE (Target: 8% or more) Reduce cross-shareholdings Improve asset efficiency Use interest-bearing liabiliti
Slide 31: Price revisions and increases
Price revisions and increases Price revisions for Continuous product price revisions starting from FY2022 to cope with rising prices We plan to continue implementing as necessary, targeting vehicle models and parts for which profit Special Purpose margins are not adequately optimized products In add
Slide 32: Reduction of Cross-shareholdings, Production Efficiency Improvements
Reduction of Cross-shareholdings, Production Efficiency Improvements (Plant Reorganization) Continue reduction efforts while reviewing capital costs, contribution to performance, etc. Reduction of cross- Annually verify the reasonableness of the Company’s holdings, taking into consideration relation
Slide 33: Cost of Equity
Cost of Equity ⚫ Cost of Equity ⚫ Specific initiatives to control the cost of equity ◆ Sophisticated sustainability management, Calculate cost of equity with CAPM selected for multiple ESG indexes Cost of equity is estimated to be about 6-7%, WACC is estimated to be about 6% (as of March 31, 2026) ◆
Slide 34: For Reference: Supplementary Data
For Reference: Supplementary Data 34
Slide 35: Company Profile
Company Profile Company Name ： KYOKUTO KAIHATSU KOGYO CO.,LTD. Location of headquarters ： Chuo-ku, Osaka, Japan Founding date ： June 1, 1955 Capital ： 11,899,867,400 yen Title and name of Representative ： Representative Director, President, CEO Tatsuya Nunohara Number of employees ： consolidated 3,5
Slide 36: Business Line
Business Line Special Purpose Vehicles Business Manufacture, mounting, sale, and repair of special purpose vehicles and other transportation equipment, and manufacture and sale of parts thereof. Manufacture and sale of trailers, truck bodies, etc. Environmental Equipment and Systems Business Manufac
Slide 37: A research report by Shared Research
A research report by Shared Research We have released a research report by Shared Research Inc. to help investors better understand our company. We hope this will help you understand our business better. https://sharedresearch.jp/en/companies/7226 37
Slide 38: Publication of Integrated Report 2025
Publication of Integrated Report 2025 (end of October 2025) ➢ Clearly introducing the features of the Kyokuto Kaihatsu Group and its business strategies and processes for sustainable value creation ➢ In addition to messages from the Representative Director and President, and other responsible person
Slide 39: Business Environment Surrounding the Company
Business Environment Surrounding the Company Special Purpose Vehicles Business Japan Overseas ⚫ Although the effects of COVID-19 and the semiconductor shortages have gradually been resolved, ⚫ India’s reduction in the Goods and Services Tax (GST) rate, which was implemented in late September, produc
Slide 40: Solving Social Issues and Creating Value Through High Value-added Products and Services
Solving Social Issues and Creating Value Through High Value-added Products and Services Launch of “e Packer,” an electric garbage truck Launch of PT110-20M, an electrically powered New full maintenance pack stationary piston type concrete pump ⚫Features an electric motor drive for excellent environm
Slide 41: Improving Productivity and Strengthening the Profit Structure
Improving Productivity and Strengthening the Profit Structure Large-scale automated warehouse installed at the New Seibu Parts Center established new Seibu Parts Center ⚫Merged Chubu Parts Center and Seibu Parts Center to further ⚫Equipped with 20-meter-tall high-rise racks to improve efficiency of
Slide 42: Accelerating Growth of Overseas Business
Accelerating Growth of Overseas Business Construction of SATRAC Chennai Plant in India Construction of second plant in Indonesia ⚫Completed in February 2026 ⚫Responding to market needs for dump trucks for mining operations ⚫Reinforcement of product supply system for local truck ⚫Increased production
Slide 43: Creating an Attractive Company by Promoting Sustainability Management
Creating an Attractive Company by Promoting Sustainability Management KidZania Koshien pavilion exhibition Selected as a major ESG investment index ⚫A “Special Purpose Vehicle Design Company” pavilion opened at KidZania Koshien on July 31, where visitors can design their own ⚫Selected as a constitue
Slide 44: Creating an Attractive Company by Promoting Sustainability Management
Creating an Attractive Company by Promoting Sustainability Management Woody biomass boiler completed and orders received Start of the thermal energy supply business ⚫Woody biomass boiler completed for Chugai Match Co., Ltd. ⚫The woody biomass boiler is operated using wood chips as fuel, and the ⚫Rec
Slide 45: Cautionary Statement Regarding Forward-Looking Information
Cautionary Statement Regarding Forward-Looking Information The statements in this document regarding management targets and future forecasts have been made by the Company based on information available at the time of publication of this document. As these are subject to change due to various factors
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