Consolidated Financial Results for the Three Months Ended March 31, 2026 (Under Japanese GAAP)

Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

Company name: EBARA JITSUGYO CO.,LTD. Listing: Tokyo Stock Exchange

Securities code: 6328 URL: https://www.ejk.co.jp/

Representative: President and COO Takashi Ishii Senior Managing Executive Officer,

May 11, 2026

Inquiries:

Head of Planning & Strategy Office

Shuji Ohno TEL: +81-3-5565-2885

Scheduled date to commence dividend payments: -Preparation of supplementary material on financial results: Yes Holding of financial results briefing: None

(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the three months ended March 31, 2026 (from January 1, 2026 to March 31, 2026)

   1. Consolidated operating results (cumulative) Percentages indicate year-on-year changes

      	Net sales		Operating profit		Ordinary profit		Profit attributable to owners of parent
      	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
      Three months ended March 31, 2026	14,814	2.1	3,480	15.9	3,518	15.3	2,433	14.8
      Three months ended March 31, 2025	14,504	5.4	3,002	5.5	3,050	5.2	2,118	5.6

      Note: Comprehensive income For the three months ended March 31, 2026: ¥3,093 million [98.4%]

      For the three months ended March 31, 2025: ¥1,559 million [(45.1%)]

      	Basic earnings per share	Diluted earnings per share
      	Yen	Yen
      Three months ended March 31, 2026	102.21	-
      Three months ended March 31, 2025	89.07	-

      Note: The Company conducted a two-for-one stock split of its common stock, effective January 1, 2026. Basic earnings per share have been calculated on the assumption that the stock split had been conducted at the beginning of the previous fiscal year.

   2. Consolidated financial position

      	Total assets	Net assets	Equity-to-asset ratio
      	Millions of yen	Millions of yen	%
      As of March 31, 2026	50,435	30,039	59.6
      As of December 31, 2025	48,385	27,941	57.7

      Reference: Equity As of March 31, 2026: ¥30,039 million

      As of December 31, 2025: ¥27,941 million

2. Cash dividends

   	Annual dividends per share
   	1st quarter-end	2nd quarter-end	3rd quarter-end	Fiscal year-end	Total
   	Yen	Yen	Yen	Yen	Yen
   Year ended December 31, 2025	-	60.00	-	60.00	120.00
   Year ending December 31, 2026	-
   Year ending December 31, 2026 (Forecast)		37.50	-	37.50	75.00

   Note 1: Revisions to the forecast of cash dividends most recently announced: None

   Note 2: Breakdown of annual dividends for the fiscal year ended December 31, 2025: ordinary dividend of ¥100 and commemorative dividend of

   ¥20 (commemorative dividend for the Company's 80th anniversary).

   Note 3: The Company conducted a two-for-one stock split of its common stock, effective January 1, 2026, and the annual dividend for the fiscal year ending December 31, 2026 (forecast) is presented after giving effect to the stock split. If the stock split is not taken into consideration, the annual dividend for the fiscal year ending December 31, 2026 (forecast) would be ¥150.

3. Forecast of consolidated financial results for the year ending December 31, 2026 (from January 1, 2026 to December 31, 2026)

   Percentages indicate year-on-year changes

   	Net sales		Operating profit		Ordinary profit		Profit attributable to owners of parent		Basic earnings per share
   Full year	Millions of yen 44,000	% 6.8	Millions of yen 6,300	% 2.9	Millions of yen 6,500	% 2.9	Millions of yen 4,500	% 2.6	Yen 189.09

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

4. Notes

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

   2. Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: None

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

      1. Changes in accounting policies due to revisions to accounting standards and other regulations: None

      2. Changes in accounting policies due to other reasons: None

      3. Changes in accounting estimates: None

      4. Restatement: None

   4. Number of issued shares (common shares)

      1. Total number of issued shares at the end of the period (including treasury shares)

         As of March 31, 2026 25,860,000 shares

         As of December 31, 2025 25,860,000 shares

      2. Number of treasury shares at the end of the period

         As of March 31, 2026 2,132,882 shares

         As of December 31, 2025 2,030,516 shares

      3. Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year)

Note 1: Number of treasury shares at the end of the period and number of treasury shares to be deducted in calculating the average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) include the Company's shares held by the trust account of the employee stock ownership plan (ESOP) trust.

Note 2: The Company conducted a two-for-one stock split of its common stock, effective January 1, 2026. The number of shares issued at the end of the period (including treasury shares), the number of treasury shares at the end of the period, and the average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) have been calculated on the assumption that the stock split had been conducted at the beginning of the previous fiscal year.

• Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: None

• Proper use of earnings forecasts, and other special matters

  The forecasts and other forward-looking statements contained in this document are based on information currently available as of the date of release of this document and on assumptions regarding economic conditions, market trends, and other factors that could reasonably be made as of that date. Actual results may differ from these forecasts due to various factors in the future. For the assumptions underlying the financial results forecasts and notes on the use of such forecasts, please refer to "1. Overview of Business Results, etc. (3) Explanation of Forward-looking Information, Including Consolidated Financial Results Forecasts" on page 3 of the accompanying materials.

• Method of obtaining supplementary materials for financial results, etc.

  Supplementary materials for financial results are disclosed on TDnet the same day and posted on the Company's website.

  • Contents of Accompanying Materials

    1. Overview of Business Results, etc. 2

       1. Overview of Business Results for the First Quarter 2

       2. Overview of Financial Position for the First Quarter 3

       3. Explanation of Forward-looking Information, Including Consolidated Financial Results Forecasts 3

    2. Quarterly Consolidated Financial Statements and Selected Notes 4

       1. Quarterly Consolidated Balance Sheet 4

       2. Quarterly Consolidated Statements of Income and Comprehensive Income 6

       3. Notes to Quarterly Consolidated Financial Statements 8

(Notes on Segment Information, etc.) 8

(Notes on Significant Changes in the Amount of Shareholders' Equity) 9

(Notes on Going Concern Assumption) 9

(Notes on the Quarterly Consolidated Statement of Cash Flows) 9

1. Overview of Business Results, etc.

   1. Overview of Business Results for the First Quarter

      During the first three months of the fiscal year ending December 31, 2026 (January 1, 2026 to March 31, 2026), the Japanese economy continued on a moderate recovery trend, and corporate capital investment was on a gradual upward trend. However, uncertainty over the economic outlook has been increasing due to factors such as the situation in the Middle East and the impact of trade policies in various countries.

      In the environmental equipment and machinery industry in which the Company operates, demand in the public sector remained firm for the renewal and maintenance of water infrastructure facilities and for disaster prevention and mitigation measures, including rainwater drainage facilities, while capital investment in the private sector remained stable.

      Under these business conditions, the Company Group aims to enhance corporate value under its "EJ2027" Medium-Term Management Plan, which identifies the following as its basic policies and designates disaster prevention and mitigation, storage batteries, and fisheries as its three priority areas.

      • Strengthening existing businesses

      • Exploring new areas

      • Enhancing the management base

      As a result, orders received for the first three months of the fiscal year ending December 31, 2026 totaled ¥11,458 million, up 40.5% year on year; net sales were ¥14,814 million, up 2.1% year on year; operating profit was ¥3,480 million, up 15.9% year on year; ordinary profit was ¥3,518 million, up 15.3% year on year; and profit attributable to owners of parent was ¥2,433 million, up 14.8% year on year.

      Business results by segment were as follows:

      Manufacturing

      In the Manufacturing segment, which manufactures and sells environment-related products, orders received totaled ¥4,482 million, up 281.9% year on year. This increase was attributable to the receipt of large-scale orders related to land-based aquaculture facilities in the water treatment plant field, as well as growth in hygiene equipment for government agencies in the medical field. Meanwhile, net sales decreased 1.4% year on year to ¥2,244 million due to sales declines in the water treatment plant and medical fields despite increased sales in the deodorization field. Segment profit fell 6.6% year on year to ¥544 million.

      Engineering

      In the Engineering segment, which handles the design and construction of water supply and sewerage facilities, demand for the renewal and maintenance of public water infrastructure facilities as well as demand for disaster prevention and mitigation remained strong. Orders received decreased 4.1% year on year to ¥3,757 million. Net sales declined 6.1% year on year to ¥8,573 million, although sales were recorded in line with the plan, backed by a high level of order backlog. Segment profit rose 11.5% year on year to ¥2,407 million due to an increase in the gross profit margin, despite the decline in net sales.

      Trading

      In the Trading segment, which mainly sells pumps, chillers, air-conditioning equipment, and other products through its trading operations, private-sector capital investment remained stable. Orders received increased 5.2% year on year to ¥3,218 million. Net sales increased 29.1% year on year to ¥3,997 million on the back of strong domestic demand for capital investment. Segment profit rose 47.2% year on year to ¥862 million.

      Orders received by segment for the first three months of the fiscal year ending December 31, 2026 were as follows.

      Segment	Orders received (millions of yen)	Comparison with Q1 FY2025 (%)	Orders backlog (millions of yen)	Comparison with Q1 FY2025 (%)
      Manufacturing	4,482	381.9	6,993	192.1
      Engineering	3,757	95.9	20,268	112.8
      Trading	3,218	105.2	5,517	95.2
      Total	11,458	140.5	32,779	119.6

   2. Overview of Financial Position for the First Quarter

      Total assets of the Company Group at the end of the period under review (March 31, 2026) were ¥50,435 million, an increase of

      ¥2,050 million from the end of the previous fiscal year (December 31, 2025). This was mainly due to a ¥2,900 million increase in notes and accounts receivable - trade, and contract assets, as the Company Group's net sales tend to be concentrated in March, which marks the fiscal year-end for local governments, as well as a ¥965 million increase in investment securities due to a rise in the market value of shares held by the Company Group. This was partially offset by a ¥1,287 million decrease in cash and deposits, among other factors.

      Total liabilities at the end of the period under review were ¥20,396 million, a decrease of ¥47 million from the end of the previous fiscal year. This was mainly due to a ¥105 million decrease in notes and accounts payable - trade and a ¥225 million decrease in contract liabilities.

      Total net assets at the end of the period under review were ¥30,039 million, an increase of ¥2,098 million from the end of the previous fiscal year. This was mainly due to a ¥2,433 million increase resulting from the recording of quarterly profit attributable to owners of parent and a ¥661 million increase in valuation difference on available-for-sale securities due to a rise in the market value of shares held by the Company Group. These increases were partially offset by a ¥721 million decrease due to dividends of surplus.

   3. Explanation of Forward-looking Information, Including Consolidated Financial Results Forecasts

      There has been no change to the consolidated financial results forecasts for the fiscal year ending December 31, 2026, announced in the "Summary of Consolidated Financial Results for the Fiscal Year Ended December 31, 2025" dated February 9, 2026.

2. Quarterly Consolidated Financial Statements and Selected Notes

   1. Quarterly Consolidated Balance Sheet

      (Millions of yen)

      Assets

      Current assets

      As of December 31, 2025 As of March 31, 2026

      Cash and deposits	15,170	13,883
      Notes and accounts receivable - trade, and contract assets	17,067	19,967
      Merchandise and finished goods	1,286	857
      Work in process	387	385
      Costs on construction contracts in progress	207	49
      Raw materials and supplies	571	524
      Other	534	615
      Allowance for doubtful accounts	(56)	(1)
      Total current assets	35,168	36,283
      Non-current assets
      Property, plant and equipment Buildings and structures	3,830	3,838
      Accumulated depreciation	(2,322)	(2,348)
      Buildings and structures, net	1,508	1,490
      Machinery, equipment and vehicles	117	110
      Accumulated depreciation	(87)	(85)
      Machinery, equipment and vehicles, net	29	25
      Tools, furniture and fixtures	851	854
      Accumulated depreciation	(675)	(695)
      Tools, furniture and fixtures, net	175	158
      Land	1,526	1,526
      Construction in progress	7	-
      Other	38	38
      Accumulated depreciation	(17)	(18)
      Other, net	21	19
      Total property, plant and equipment	3,269	3,220
      Intangible assets	101	106
      Investments and other assets Investment securities	8,384	9,349
      Insurance funds	540	547
      Investment property, net	623	653
      Deferred tax assets	28	43
      Other	373	335
      Allowance for doubtful accounts	(103)	(102)
      Total investments and other assets	9,846	10,826
      Total non-current assets	13,216	14,152
      Total assets	48,385	50,435

      Liabilities

      Current liabilities

      (Millions of yen) As of December 31, 2025 As of March 31, 2026

      Notes and accounts payable - trade	11,491	11,386
      Short-term borrowings	1,010	1,010
      Current portion of long-term borrowings	85	85
      Income taxes payable	1,237	1,247
      Accrued consumption taxes	397	581
      Contract liabilities	1,834	1,609
      Provision for bonuses	-	430
      Provision for loss on construction contracts	44	44
      Other	1,282	768
      Total current liabilities	17,383	17,164
      Non-current liabilities
      Long-term borrowings	428	428
      Deferred tax liabilities	2,237	2,450
      Provision for retirement benefits for directors (and other officers)	146	146
      Retirement benefit liability	94	77
      Other	153	129
      Total non-current liabilities	3,059	3,232
      Total liabilities	20,443	20,396
      Net assets
      Shareholders' equity
      Share capital	1,001	1,001
      Capital surplus	1,179	1,179
      Retained earnings	22,998	24,709
      Treasury shares	(2,457)	(2,730)
      Total shareholders' equity	22,722	24,159
      Accumulated other comprehensive income
      Valuation difference on available-for-sale securities	5,203	5,864
      Remeasurements of defined benefit plans	15	14
      Total accumulated other comprehensive income	5,219	5,879
      Total net assets	27,941	30,039
      Total liabilities and net assets	48,385	50,435

   2. Quarterly Consolidated Statements of Income and Comprehensive Income

      Quarterly Consolidated Statement of Income (cumulative)		(Millions of yen)
      	Three months ended March 31, 2025	Three months ended March 31, 2026
      Net sales	14,504	14,814
      Cost of sales	9,650	9,395
      Gross profit	4,854	5,419
      Selling, general and administrative expenses	1,852	1,939
      Operating profit	3,002	3,480
      Non-operating income Interest income	0	1
      Dividend income	36	34
      Rental income from investment property	26	29
      Other	3	14
      Total non-operating income	67	80
      Non-operating expenses Interest expenses	2	3
      Rental expenses on real estate	10	28
      Foreign exchange losses	1	1
      Other	3	9
      Total non-operating expenses	18	42
      Ordinary profit	3,050	3,518
      Extraordinary income Gain on sale of investment securities	1	-
      Total extraordinary income	1	-
      Extraordinary losses
      Loss on disposal of non-current assets	0	2
      Total extraordinary losses	0	2
      Profit before income taxes	3,052	3,515
      Income taxes - current	1,062	1,188
      Income taxes - deferred	(128)	(106)
      Total income taxes	933	1,082
      Profit	2,118	2,433
      Profit attributable to owners of parent	2,118	2,433

      Quarterly Consolidated Statement of Comprehensive Income (cumulative)		(Millions of yen)
      Three months ended March 31, 2025		Three months ended March 31, 2026
      Profit	2,118	2,433
      Other comprehensive income Valuation difference on available-for-sale securities	(558)	661
      Remeasurements of defined benefit plans, net of tax	(0)	(0)
      Total other comprehensive income	(558)	660
      Comprehensive income	1,559	3,093
      Comprehensive income attributable to Comprehensive income attributable to owners of parent	1,559	3,093

      Comprehensive income attributable to non-controlling

      interests - -

   3. Notes to Quarterly Consolidated Financial Statements (Notes on Segment Information, etc.)

1. First Three Months of the Fiscal Year 2025 (January 1, 2025 to March 31, 2025)

   1. Net sales and profit/loss of each reporting segment and breakdown of revenue

   (Millions of yen)

   	Reporting segments			Total	Adjustment (Note) 1	Amount on quarterly consolidated statement of income (Note) 2
   	Manufacturing	Engineering	Trading
   Net sales
   Public sector	1,403	8,784	307	10,494	-	10,494
   Private sector	873	347	2,789	4,010	-	4,010
   Revenue from customer contracts	2,276	9,131	3,096	14,504	-	14,504
   Other revenue	-	-	-	-	-	-
   Net sales to external customers	2,276	9,131	3,096	14,504	-	14,504
   Internal net sales or transfers between segments	-	-	-	-	-	-
   Total	2,276	9,131	3,096	14,504	-	14,504
   Segment profit	582	2,159	585	3,327	(325)	3,002

   (Notes)

   1. The adjustment to segment profit mainly represents general and administrative expenses that do not belong to the reporting segments.

   2. Segment profits are adjusted for operating profit posted on the quarterly consolidated statement of income.

      2. Impairment loss or goodwill on non-current assets of the reporting segments Not applicable.

2. First Three Months of the Fiscal Year 2026 (January 1, 2026 to March 31, 2026)

   1. Net sales and profit/loss of each reporting segment and breakdown of revenue

(Millions of yen)

(Notes)

1. The adjustment to segment profit mainly represents general and administrative expenses that do not belong to the reporting segments.

2. Segment profits are adjusted for operating profit posted on the quarterly consolidated statement of income.

2. Impairment loss or goodwill on non-current assets of the reporting segments Not applicable.

(Notes on Significant Changes in the Amount of Shareholders' Equity) Not applicable.

(Notes on Going Concern Assumption) Not applicable.

(Notes on the Quarterly Consolidated Statement of Cash Flows)

The Company has not prepared a quarterly consolidated statement of cash flows for the three months ended March 31, 2026. Depreciation, including amortization of intangible assets excluding goodwill, for the three months ended March 31, 2026 was as follows.

Three months ended March 31, 2025

Three months ended March 31, 2026

Depreciation ¥57 million ¥60 million