Business Report（April 1,2024 - March 31,2025)

(English Translation)

March 31, 2025

1

Current Status of the Corporate Group

1. Business Conditions for the Consolidated Fiscal Year under Review

   1. Business progress and results

      During the consolidated fiscal year under review, the Japanese economy showed a moderate recovery trend with active capital investments backed by solid corporate earnings, improved private consumption backed by rising wages, and an increase in inbound tourism demand.

      On the other hand, the economic outlook remains uncertain due to rising corporate financing costs resulting from an increase in policy interest rates, stagnant real wage growth, continued high raw material materials, the reciprocal tariff policy of the Trump administration, and prolonged geopolitical risks.

      Although the Group has been working to achieve appropriate price levels, the Group continued to face a severe management environment due to the increase in labor costs and continued impact of high raw materials and energy costs.

      Under such a business environment, sales of specially equipped vehicles increased from the previous consolidated fiscal year backed by a resolution of certification problem related to the chassis of the truck-mounted aerial work platform. Similarly, for the service business, the Group continued to develop one-stop services and actively promoted business activities such as preventive maintenance proposals and vehicle inspections. As a result, sales of service business increased from the previous consolidated fiscal year and net sales increased from the previous consolidated fiscal year.

      On the profit front, the Group increased profits from the previous consolidated fiscal year as a result of various cost reduction activities such as cutting expenses and manufacturing costs, reducing inefficiency throughout the Group, and streamlining the operations.

      As a result, net sales for the consolidated fiscal year under review rose ¥6,177 million (12%) to

      ¥59,306 million. The breakdown of major net sales shows that sales of specially equipped vehicles rose ¥5,824 million (15%) year on year to ¥46,027 million, and sales of parts and repairs rose ¥372 million (3%) year on year to ¥12,689 million.

      Net sales by business segment are as follows.

      Category		Previous consolidated fiscal year		Consolidated fiscal year under review		Increase/decrease from the previous fiscal year
      		Amount	Percentage	Amount	Percentage	Amount	Percentage
      Specially equipped vehicles		Million yen	%	Million yen	%	Million yen	%
      	Digger derricks	2,367	4.5	4,002	6.7	1,634	69.0
      	Aerial work platforms	35,568	66.9	38,734	65.3	3,166	8.9
      	Other	2,266	4.3	3,289	5.5	1,023	45.2
      	Subtotal	40,202	75.7	46,027	77.6	5,824	14.5
      Parts and repairs		12,316	23.2	12,689	21.4	372	3.0
      Other		610	1.1	590	1.0	(19)	(3.2)
      Total		53,129	100.0	59,306	100.0	6,177	11.6

      As for profit, operating profit was ¥7,440 million, which is ¥1,098 million (17%) higher than the previous consolidated fiscal year, and ordinary profit was ¥8,225 million, which is ¥1,206 million (17%) higher than the previous consolidated fiscal year. Profit attributable to owners of parent was

      ¥6,334 million, increasing ¥1,064 million (20%) from the previous consolidated fiscal year.

   2. Capital expenditures

      The total amount of capital investment during the consolidated fiscal year under review was ¥3,452 million, as detailed below.

      Category Details Amount
      Construction in progress	Acquisition of buildings and equipment for new Takasaki Factory and others	Million yen 1,384
      Land	Acquisition of land for new Takasaki Factory	1,126
      Other	Increase in machinery and equipment for rental and others	941
      Total		3,452

   3. Financing status

      In the consolidated fiscal year under review, ordinary working funds and capital investment funds were covered by the company's own funds, and no funds were procured through a capital increase, corporate bonds, etc.

   4. Business transfer, absorption-type company split or incorporation-type company split There are no applicable items.

   5. Acquisition of businesses of other companies There are no applicable items.

   6. Succession of rights and obligations regarding businesses of other corporations, etc. through an absorption-type merger or absorption-type company split

      There are no applicable items.

   7. Acquisition or disposal of shares or other equity interests, stock options, etc. of other companies There are no applicable items.

2. Assets and Profit/Loss

   1. The corporate group's assets and profit/loss

      Category		Fiscal year ended March 2022	Fiscal year ended March 2023	Fiscal year ended March 2024	Fiscal year ended March 2025 (the consolidated fiscal year under review)
      Net sales	(Million yen)	56,591	60,678	53,129	59,306
      Ordinary profit	(Million yen)	7,736	8,016	7,018	8,225
      Profit attributable to owners of parent	(Million yen)	5,644	5,958	5,270	6,334
      Profit per share	(Yen)	74.09	79.16	70.26	84.96
      Total assets	(Million yen)	90,559	95,695	94,921	100,358
      Net assets	(Million yen)	76,043	78,573	81,789	84,023
      Net assets per share	(Yen)	1,006.05	1,044.71	1,096.95	1,126.92

   2. The Company's assets and profit/loss