Consolidated Financial Results for the Six Months Ended September 30, 2025[PDF: 354KB]

October 30, 2025

Company name: CHORI CO., LTD. Listing: Tokyo Stock Exchange (Prime) Securities code: 8014 URL: https://www.chori.co.jp/english/ Representative: Tatsuyuki Sakoda, President, CEO & COO

Inquiries: Kazuyoshi Matsuura, Manager of Corporate Management Dept. Telephone: +81-3-5781-6201

Scheduled date to file semi-annual securities report: November 12, 2025 Scheduled date to commence dividend payments: December 1, 2025 Preparation of supplementary material on financial results: Yes

Holding of financial results briefing: Yes (for institutional investors and analysts)

(Amounts are rounded down to the nearest million yen)

1. Consolidated Financial Results for the Six Months Ended September 30, 2025 (from April 1, 2025 to September 30, 2025)

   1. Consolidated operating results (cumulative)

      (Percentages indicate year-on-year changes)

      	Net sales		Operating profit		Ordinary profit		Profit before income taxes		Net profit attributable to owners of parent
      Six months ended	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
      Sep. 30, 2025	144,962	(6.1)	6,610	(10.5)	6,842	(20.1)	6,851	(26.4)	5,113	(27.3)
      Sep. 30, 2024	154,455	1.0	7,384	(5.3)	8,560	12.3	9,310	19.9	7,038	40.2

      Note: Comprehensive income

      For the six months ended Sep. 30, 2025: 4,328 million yen [(47.5)%]

      For the six months ended Sep. 30, 2024: 8,240 million yen [7.9%]

      	Basic earnings per share	Diluted earnings per share
      Six months ended	yen	yen
      Sep. 30, 2025	207.49	-
      Sep. 30, 2024	285.61	-

   2. Consolidated financial position

   	Total assets	Net assets	Equity ratio
   As of Sep. 30, 2025 Mar. 31, 2025	Millions of yen 143,909 146,076	Millions of yen 94,402 92,101	% 65.6 63.0

   Reference: Equity

   As of Sep. 30, 2025: 94,333 million yen

   As of Mar. 31, 2025: 92,009 million yen

2. Dividends

   	Annual dividends per share
   	1stquarter-end	2ndquarter-end	3rdquarter-end	Fiscal year-end	Total
   	yen	yen	yen	yen	yen
   Fiscal year ended Mar. 31, 2025	-	61.00	-	81.00	142.00
   Fiscal year ending Mar. 31, 2026	-	72.00
   Fiscal year ending Mar. 31, 2026 (Forecast)			-	72.00	144.00

   Note: Revisions to the most recently announced forecast of dividends: None

3. Forecast of Consolidated Financial Results for the Fiscal Year Ending March 31, 2026 (from April 1, 2025 to March 31, 2026)

(Percentages indicate year-on-year changes)

Note: Revisions to the most recently announced forecasts of consolidated financial results: None

1. Significant changes in the scope of consolidation during the period: None Newly included: -

   Excluded: -

2. Adoption of accounting treatment specific to the preparation of

   semi-annual consolidated financial statements: None

3. Changes in accounting policies, changes in accounting estimates, and restatements

   1. Changes in accounting policies due to the revision of accounting standards, etc.: None

   2. Changes in accounting policies due to other reasons: Yes

   3. Changes in accounting estimates: None

   4. Restatements: None

      Note: Please refer to "2. Interim Consolidated Financial Statements and Main Notes (4) Notes to Interim Consolidated Financial Statements (Changes in accounting policies)" on page 11 of the Appendix for details.

4. Number of issued shares (common shares)

Note: The Company has introduced the Board Benefit Trust - Restricted Stock (BBT-RS), and the number of shares of the Company held by the trust are included in that of treasury shares to be deducted in calculating the number of treasury shares at the end of the period and the average number of shares outstanding during the period.

• Semi-annual financial results reports are exempt from review conducted by certified public accountants or an audit firm.

• Proper use of earnings forecasts, and other special matters

The forward-looking statements in this document are based on the information available at the time of publication and certain assumptions that the Company judges as rational. In addition, actual financial results may vary significantly due to various reasons. The Company, therefore, wishes to caution that readers should not place undue reliance on forward-looking statements.

Please refer to "1. Overview of Operating Results (3) Explanation of Consolidated Financial Results Forecast and Other Forward-Looking Information" on page 4 of the Appendix for the prerequisites for the forward-looking statements and precautions on their use.

〇 Contents of Appendix

1. Overview of Operating Results 2

   1. Explanation of Operating Results for the Current Interim Consolidated Accounting Period 2

   2. Explanation of Financial Position for the Current Interim Consolidated Accounting Period 3

   3. Explanation of Consolidated Financial Results Forecast and Other Forward-Looking Information 4

2. Interim Consolidated Financial Statements and Main Notes 5

   1. Interim Consolidated Balance Sheet 5

   2. Interim Consolidated Statements of Income and Interim Consolidated Statements of

      Comprehensive Income 7

      Interim Consolidated Statements of Income 7

      Interim Consolidated Statements of Comprehensive Income 8

   3. Interim Consolidated Statements of Cash Flows 9

   4. Notes to Interim Consolidated Financial Statements 11

(Note regarding assumptions of a going concern) 11

(Notes in case of significant changes in shareholders' equity) 11

(Changes in accounting policies) 11

(Additional information) 11

(Notes on segment information, etc.) 12

1. Overview of Operating Results

1. Explanation of Operating Results for the Current Interim Consolidated Accounting Period

   During the interim consolidated period ended September 30, 2025, the Japanese economy, despite the impact of the U.S. tariff policy on corporate earnings came to the surface in certain sectors, maintained the stable employment and income environment and continued to experience a moderate recovery trend.

   In the global economy, China showed signs of a slowdown in domestic demand which had been supported by the government-led consumption stimulus measures. Furthermore, geopolitical risks in Russia, Ukraine, the Middle East, and other regions, as well as U.S. tariff policy, have acted as a drag, and the outlook remains uncertain.

   Under these circumstances, CHORI CO., LTD. (the "Company") and its subsidiaries (the "Chori Group" or the "Group") are steadily implementing the basic strategy of the medium-term management plan Chori Innovation Plan 2025 announced on April 28, 2023, and are working to achieve sustainable growth on a global basis and transform the Group's business through digital transformation.

   As for the consolidated financial results for the interim consolidated period, net sales decreased by 6.1% year-on-year to 144,962 million yen, operating profit decreased by 10.5% year-on-year to 6,610 million yen, ordinary profit decreased by 20.1% year-on-year to 6,842 million yen, profit before income taxes decreased by 26.4% year-on year to 6,851 million yen, and net profit attributable to owners of parent decreased by 27.3% year-on-year to 5,113 million yen.

   (Unit: Millions of yen)

   	Six months ended Sep. 30, 2024	Six months ended Sep. 30, 2025	Increase (decrease)	Year on year (%)
   Net sales	154,455	144,962	(9,493)	(6.1)
   Operating profit	7,384	6,610	(773)	(10.5)
   Ordinary profit	8,560	6,842	(1,717)	(20.1)
   Profit before income taxes	9,310	6,851	(2,458)	(26.4)
   Net profit attributable to owners of parent	7,038	5,113	(1,924)	(27.3)

   The results of each business segment are as follows.

   1. Fibers, Textiles, and Garments

      (Unit: Millions of yen)

      	Six months ended Sep. 30, 2024	Six months ended Sep. 30, 2025	Increase (decrease)	Year on year (%)
      Net sales	74,764	69,248	(5,516)	(7.4)
      Profit before income taxes	4,379	3,265	(1,114)	(25.4)

      In this segment, net sales decreased by 7.4% year-on-year to 69,248 million yen, primarily due to the automotive seat materials and textile product sectors performing sluggishly, as well as the slowdown in textile sales to the Middle East and China. Segment profit (profit before income taxes) decreased by 25.4% year-on-year to 3,265 million yen, mainly due to the absence of the gain on sale of investment securities recorded in the same period of the previous fiscal year.

   2. Chemicals

      (Unit: Millions of yen)

      	Six months ended Sep. 30, 2024	Six months ended Sep. 30, 2025	Increase (decrease)	Year on year (%)
      Net sales	79,233	75,314	(3,919)	(4.9)
      Profit before income taxes	4,543	3,958	(584)	(12.9)

      In this segment, net sales decreased by 4.9% year-on-year to 75,314 million yen, mainly due to sluggish market conditions in the performance chemicals field. Segment profit (profit before income taxes) decreased by 12.9% year-on-year to 3,958 million yen, mainly due to the absence of a reversal of allowance for doubtful accounts recorded in the same period of the previous fiscal year, when the Company collected a portion of receivables from a chemical manufacturing group in China.

   3. Machinery

      (Unit: Millions of yen)

      	Six months ended Sep. 30, 2024	Six months ended Sep. 30, 2025	Increase (decrease)	Year on year (%)
      Net sales	411	355	(55)	(13.6)
      Profit before income taxes	300	229	(70)	(23.4)

      In this segment, net sales decreased by 13.6% year-on-year to 355 million yen, mainly due to the sluggish automobile sales for Europe. Segment profit (profit before income taxes) decreased by 23.4% year-on-year to 229 million yen.

2. Explanation of Financial Position for the Current Interim Consolidated Accounting Period

   1. Status of assets, liabilities, and net assets (Assets)

Total assets at the end of the interim consolidated period under review were 143,909 million yen, a decrease of

2,166 million yen from the end of the previous consolidated fiscal year. This was mainly due to decreases of 4,859 million yen in software in progress, 4,410 million yen in notes and accounts receivable-trade, and 1,002 million yen in deposits paid to subsidiaries and associates, partially offset by an increase of 4,346 million yen in software, and 3,704 million yen in cash and deposits. Furthermore, the decrease in software in progress is attributable to the reclassification to software.

(Liabilities)

Liabilities at the end of the interim consolidated period under review were 49,507 million yen, a decrease of 4,467 million yen from the end of the previous consolidated fiscal year. This was mainly due to decreases of 3,944 million yen in notes and accounts payable-trade and 245 million yen in income taxes payable.

(Net assets)

Net assets at the end of the interim consolidated period under review were 94,402 million yen, an increase of 2,300 million yen from the end of the previous consolidated fiscal year. This was mainly due to increases of 5,113 million yen resulting from the recording of net profit attributable to owners of parent and 734 million yen in valuation difference on available-for-sale securities, offsetting decreases of 2,007 million yen due to the payment of dividends and 1,525 million yen in foreign currency translation adjustment.