Financial Results 4Q （April 1, 2025 - March 31, 2026）

May 12, 2026

Company name: FUJI OIL CO., LTD. Listing: Tokyo Stock Exchange

Securities code: 2607

URL: https://www.fujioil.co.jp/en/ Representative: Tatsuji Omori, President and CEO

Inquiries: Masaaki Nakanishi, Deputy General Manager, Finance and Accounting Headquarters Telephone: +81-(0)3-4477-5416

Scheduled date for ordinary general meeting of shareholders: June 23, 2026 Scheduled date to commence dividend payments: June 24, 2026

Scheduled date to file annual securities report: June 22, 2026 Preparation of supplementary material on financial results: Yes

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

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

1. Consolidated financial results for the Fiscal Year Ended March 31, 2026 (April 1, 2025 - March 31, 2026)
   1. Consolidated operating results

      (Percentages indicate year-on-year changes.)

      	Net sales		Business profit		Operating profit		Profit before tax		Profit
      Fiscal year ended	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
      March 31, 2026	772,288	15.1	36,048	171.8	29,822	159.1	23,430	239.5	11,510	113.6
      March 31, 2025	671,207	-	13,261	-	11,508	-	6,900	-	5,387	-

      	Profit attributable to owners of parent		Total comprehensive income		Basic earnings per share	Diluted earnings per share	Return on equity	Ratio of profit before tax to total assets	Ratio of business profit to net sales
      Fiscal year ended	Millions of yen	%	Millions of yen	% - -	Yen	Yen	%	%	%
      March 31, 2026	11,142	188.4	38,549		129.60	-	5.0	3.8	4.7
      March 31, 2025	3,863	-	△248		44.94	-	1.8	1.3	2.0

      (Note) Share of profit of investments accounted for using equity method

      For the fiscal year ended March 31, 2026: 239 million yen For the fiscal year ended March 31, 2025: 1,690 million yen

      Business Profit is calculated by adding share of profit (loss) of investments accounted for using equity method to operating profit and excluding gains and losses due to non-recurring factors.

   2. Consolidated financial position

      	Total assets	Total equity	Equity attributable to owners of parent	Ratio of equity attributable to owners of parent to total assets	Equity attributable to owners of parent per share
      As of	Millions of yen	Millions of yen	Millions of yen	%	Yen
      March 31, 2026	636,933	244,477	240,159	37.7	2,793.12
      March 31, 2025	597,076	210,926	206,923	34.7	2,406.81

   3. Consolidated cash flows

      	Cash flows from operating activities	Cash flows from investing activities	Cash flows from financing activities	Cash and cash equivalents at end of fiscal year
      Fiscal year ended March 31, 2026 March 31, 2025	Millions of yen 54,840 △48,828	Millions of yen △46,847 △21,753	Millions of yen △38,590 113,188	Millions of yen 46,811 70,840

2. Cash dividends

   	Annual dividends per share					Total dividends (annual)	Payout ratio (consolidated)	Ratio of dividends to equity attributable to owners of parent (consolidated)
   	First quarter-end	Second quarter-end	Third quarter-end	Fiscal year-end	Total
   Fiscal year ended March 31, 2025 Fiscal year ended March 31, 2026	Yen	Yen	Yen	Yen	Yen	Millions of yen	%	%
   	- -	26.00 26.00	- -	26.00 26.00	52.00 52.00	4,475 4,483	115.7 40.1	2.1 2.0
   Fiscal year ending March 31, 2027(Forecast)	-	31.00	-	31.00	62.00		27.3

3. Consolidated forecasts for the fiscal year ending March 31, 2027 (April 1, 2026 - March 31, 2027)

(Percentages indicate year-on-year changes.)

1. Significant changes in the scope of consolidation during the period: Yes New company: 2 companies (PROVENCE HUILES S.A.S, etc.)

   Excluded company: 2 companies (The former FUJI OIL CO., LTD. etc.)

2. Changes in accounting policies or changes in accounting estimates

   1. Changes in accounting policies required by IFRS: None

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

   3. Changes in accounting estimates: None

3. 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	87,569,383 shares
      As of March 31, 2025	87,569,383 shares

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

      As of March 31, 2026	1,586,896 shares
      As of March 31, 2025	1,595,432 shares

   3. Average number of shares outstanding during the period

• Consolidated financial results reports are exempt from review by certified public accountants or an audit firm.

• Explanations and other special notes concerning the appropriate use of business results forecasts

  The forward-looking statements included in this document are based on the information available at the time of this announcement. Actual results may differ from the forecasts in this report due to various factors.

  For matters related to the above forecast, please see "1. Qualitative Information on Results fot the Fiscal Year Ended March 31, 2026, (3) Future Outlook (P.4, Accompanying Materials)".

  The Group has voluntarily adopted International Financial Reporting Standards (IFRS) from the first quarter of the fiscal year ending March 31, 2026, and figures for the previous fiscal year have been reclassified to IFRS basis. Please refer to "3. Consolidated Financial Statements, (5) Notes to Consolidated Financial Statements (First-Time Adoption of IFRS) (Accompanying Materials)" for the differences of the consolidated financial figures between Japanese Generally Accepted Accounting Principles (hereinafter, "Japanese GAAP") and IFRS.

• How to access supplementary materials on financial results

  Supplementary materials on financial results are disclosed in Investor Relations on our company's website on the same day.

  Accompanying Materials - Contents

  1. Qualitative Information on Results for the Fiscal Year Ended March 31, 2026 2

     1. Details of Operating Results 2

     2. Details of Financial Position 3

     3. Future Outlook 4

     4. Basic Policy on the Payment of Dividends and Dividends for the Fiscal Year under Review and Next Fiscal Year… 5

  2. Basic Concept concerning the Selection of Accounting Standards… 6

  3. Consolidated Financial Statements 7

     1. Consolidated Statements of Financial Position 7

     2. Consolidated Statements of Income and Comprehensive Income 9

        Consolidated Statements of Income 9

        Consolidated Statements of Comprehensive Income 10

     3. Consolidated Statements of Changes in Equity 11

     4. Consolidated Statements of Cash flows 12

     5. Notes to Consolidated Financial Statements 14

(Notes Relating to Assumptions for the Going Concern) 14

(Segment Information) 14

(Per Share Information) 17

(First-Time Adoption of IFRS) 18

1. Qualitative Information on Results for the Fiscal Year Ended March 31, 2026
   1. Details of Operating Results

      During the current consolidated fiscal year, business conditions remained challenging due to concerns over U.S. tariff policies, the economic impact associated with rising geopolitical risks and economic trends in China. In Japan, although the effects of rising prices continued, consumer spending remained firm supported by factors such as improvements in employment and income conditions.

      The Group has formulated a Mid-Term Management Plan, United for Growth 2027, for the three-year period between fiscal year 2025 and fiscal year 2027. With the aim of sustainable growth in corporate value, the Group has set three basic policies of Enhance Governance, Further Strengthen Growth Fields, and Establish New Business Fields. Under these policies, the Group will focus on implementing an effective governance structure across the business and functional axes, further strengthening its core competencies in growth areas such as vegetable fats for chocolate (CBE) and compound chocolate, and fostering unique and innovative business fields that will serve as new pillars of business.

      The fiscal year ended March 31, 2026, the first year of the Mid-Term Management Plan, the Group demonstrated its core competencies in growth areas centered on vegetable fats for chocolate (CBE), leading to improvements in profitability. Blommer Chocolate Company, LLC (USA, hereinafter "Blommer") has been promoting a structural reform program announced in March 2024 and remains in the process of recovery after recording a loss in fiscal year 2024, reflecting higher procurement prices for cocoa. However, due to prolonged weak demand and increased fixed costs caused by improving business operation, disparities arose between the initial business plan and actual results. Under these circumstances, we determined that it would take time to realize the earnings initially anticipated for Blommer, we have recorded an impairment loss on goodwill and a deferred tax expense resulting from the reversal of deferred tax assets related to Blommer. To improve Blommer's profitability, the Group is implementing measures such as reducing risks by strengthening governance systems and expanding sales of compound chocolate by leveraging the Group's technological strengths.

      Operating results for the fiscal year ended were as follows.

      	Net sales	Business profit	Profit before tax	Profit attributable to owners of parent
      Fiscal year ended March 31, 2026 March 31, 2025	Millions of yen 772,288 671,207	Millions of yen 36,048 13,261	Millions of yen 23,430 6,900	Millions of yen 11,142 3,863
      Change	+101,080	+22,787	+16,529	+7,278
      	+15.1%	+171.8%	+239.5%	+188.4%

      Net sales increased due to higher sales prices to reflect rising key raw material prices, driven by an increase in palm oil prices compared to the same period last year, as well as sustained high cocoa bean prices following a surge in 2024. Business profit increased due to steady sales of vegetable fats for chocolate in the Vegetable Oils and Fats segment and stabilization of cocoa beans prices and a decline in cocoa bean-related costs at Blommer Chocolate Company, LLC (USA, hereinafter "Blommer"). Profit attributable to owners of parent increased due to an increase in business profit despite recognition of an impairment loss on goodwill and a deferred tax expense resulting from the reversal of deferred tax assets related to Blommer.

      From the current fiscal year, the Company has allocated corporate expenses which were not allocated to each reported segment and were included in "Adjustment". Therefore, the segment information for the previous fiscal year has been analyzed comparatively by allocating corporate expenses to each reported segment.

      The operating results by reported segment are shown below.

      	Net sales			Business profit
      		Year-on-year change			Year-on-year change
      	Millions of yen	Millions of yen	%	Millions of yen	Millions of yen	%
      Vegetable Oils and Fats	271,076	+63,747	+30.7%	33,394	+6,612	+24.7%
      Industrial Chocolate	370,904	+36,219	+10.8%	2,391	+16,560	-
      Emulsified and Fermented Ingredients	97,432	+3,180	+3.4%	1,144	△556	△32.7%
      Soy-based Ingredients	32,874	△2,066	△5.9%	△874	△57	-
      Adjustment	-	-	-	△8	+226	-
      Total	772,288	+101,080	+15.1%	36,048	+22,787	+171.8%

      (Vegetable Oils and Fats)

      Net sales increased due to higher sales prices to reflect rising raw material prices and expansion of demand, in addition to new consolidation during the current first quarter consolidated cumulative period. Business profit increased mainly due to steady sales of vegetable fats for chocolate.

      (Industrial Chocolate)

      Net sales increased due to higher sales prices to reflect rising raw material prices. Business profit increased due to a decline in cocoa bean-related costs at Blommer despite a decrease in sales volume at Blommer.

      (Emulsified and Fermented Ingredients)

      Net sales increased due to higher sales prices to reflect rising raw material prices. Business profit decreased due to a decline in profitability resulting from higher procurement prices and a decrease in sales volume in Asia.

      (Soy-based Ingredients)

      Net sales and business profit decreased mainly due to a decrease in sales volume of functional ingredients.

   2. Details of Financial Position

      1. Details of Consolidated Financial Position

         The consolidated financial position at the end of the consolidated fiscal year is as follows.

         (Millions of yen)

         		As of March 31, 2025	As of March 31, 2026	Change
         	Current assets Non-current assets	363,997 233,079	359,051 277,881	△4,946 +44,802
         Assets		597,076	636,933	+39,856
         	Interest-bearing debt Other	283,721 102,428	268,381 124,074	△15,340 +21,645
         Liabilities		386,150	392,455	+6,305
         Equity		210,926	244,477	+33,550

         (Assets)

         Current assets decreased due to a decrease in cash and cash equivalents despite an increase in inventories and trade receivables attributable to rising raw material prices and a newly consolidated company. Non-current assets increased due to an increase in goodwill resulting from the acquisition of shares of a newly consolidated company and purchase of property, plant and equipment. As a result, assets increased by 39,856 million yen from the end of the previous consolidated fiscal year to 636,933 million yen.

         (Liabilities)

         Liabilities increased due to an increase in trade payables which are included in other despite a decrease in interest-bearing debt from a decrease in working capital. As a result, liabilities increased by 6,305 million yen from the end of the previous consolidated fiscal year to 392,455 million yen.

         (Equity)

         Equity increased by 33,550 million yen from the end of the previous year to 244,477 million yen mainly due to an increase in other components of equity resulting from growth in retained earnings and the yen depreciation against US dollar, euro, and Brazilian real.

      2. Details of Consolidated Cash Flows

         The cash flows for the fiscal year ended are as follows.

         (Millions of yen)

         	Fiscal year ended March 31, 2025	Fiscal year ended March 31, 2026	Change
         Cash flows from operating activities	△48,828	54,840	+103,669
         Cash flows from investing activities	△21,753	△46,847	△25,094
         Free Cash flows	△70,581	7,993	+78,575
         Cash flows from financing activities	113,188	△38,590	△151,778
         Cash and cash equivalents at end of period	70,840	46,811	△24,029

         (Cash flows from operating activities)

         Cash flows from operating activities for the current consolidated fiscal year resulted in income of 54,840 million yen. Income increased by 103,669 million yen compared to the previous consolidated fiscal year mainly due to an improvement in working capital requirements.

         (Cash flows from investing activities)

         Cash flows from investing activities for the current consolidated fiscal year resulted in expenditures of 46,847 million yen. Expenditures increased by 25,094 million yen compared to the previous consolidated fiscal year mainly due to the acquisition of shares of a newly consolidated company and purchase of property, plant and equipment.

         (Cash flows from financing activities)

         Cash flows from financing activities for the current consolidated fiscal year resulted in expenditures of 38,590 million yen. Expenditures increased by 151,778 million yen compared to the previous consolidated fiscal year due to the rebound of the previous year and the repayment of borrowings using of funds in hand.

   3. Future Outlook

      For the fiscal year ending March 31, 2027, the Company forecasts consolidated net sales of 754,000 million yen, business profit of 37,500 million yen, and profit attributable to owners of parent of 19,500 million yen.

      The Fuji Oil Group has formulated the Mid-Term Management Plan "United for Growth 2027," covering the three-year period from fiscal year 2025 to fiscal year 2027. In the Vegetable Oils and Fats segment, we expect market uncertainty to continue due to factors such as climate change and geopolitical viewpoint. Under these circumstances, we aim to build a profit structure that does not affected by price competition by further enhancing the value of raw materials through sustainable procurement from the raw material stage and advancing the sophistication of functional products.In the Industrial Chocolate segment, we will

      work to restore Blommer's fundamental earnings capacity while advancing the establishment of a supply system for compound chocolate. Across the entire business, we will leverage our strengths in compound chocolate manufacturing technologies and application proposal capabilities to expand sales.In the Emulsified and Fermented Ingredients segment, we will accelerate expansion into regions with strong growth potential, such as Southeast Asia and China, while optimizing product lineups in accordance with the market characteristics of each region. In the Soy-based Ingredients Business, amid a challenging business environment marked by intensifying competition with Chinese products, we will strengthen cost competitiveness including further improvements in productivity and promote initiatives to improve profitability.

      In addition, by strengthening Group-wide management control framework and risk management, and by advancing the centralized oversight and optimal allocation of resources, we will ensure the realization of the growth trajectory outlined in this Mid-Term Management Plan, even amid a challenging business environment, and continue to enhance corporate value.

   4. Basic Policy on the Payment of Dividends and Dividends for the Fiscal Year under Review and Next Fiscal Year

      The Company regards stable payment, aiming for a dividend payout ratio of 30% to 40% after taking into consideration the internal reserves necessary for investment in future growth and business development, as an important policy of return to shareholders.

      Based on the policy, we plan to pay a year-end dividend of 26 yen per share for the current fiscal year, bringing the total annual dividend to 52 yen per share, in order to respond to the support of our shareholders.

      For the next fiscal year, we plan to pay an annual dividend of 62 yen per share.

2. Basic Concept concerning the Selection of Accounting Standards

   The Group has voluntarily adopted International Financial Reporting Standards ("IFRS") for its consolidated financial statements from the first three months of the fiscal year ending March 31, 2026.

3. Consolidated Financial Statements
   1. Consolidated Statements of Financial Position

      (Millions of yen)

      	Transition Date (As of April 1, 2024)	As of March 31, 2025	As of March 31, 2026
      Assets
      Current assets
      Cash and cash equivalents	28,499	70,840	46,811
      Trade receivables	92,399	112,298	115,202
      Inventories	109,349	160,718	182,031
      Other financial assets	2,888	1,304	2,736
      Other current assets	13,427	10,197	12,270
      Assets held for sale	-	8,637	-
      Total current assets	246,565	363,997	359,051
      Non-current assets
      Property, plant and equipment	141,344	138,081	165,950
      Right-of-use assets	10,048	9,257	13,200
      Intangible assets	33,605	32,572	41,317
      Goodwill	21,907	20,763	26,632
      Investments accounted for using equity method	11,134	13,426	16,102
      Retirement benefit asset	39	39	-
      Deferred tax assets	2,496	10,218	5,398
      Other financial assets	9,426	8,400	8,790
      Other non-current assets	624	319	488
      Total non-current assets	230,628	233,079	277,881
      Total assets	477,193	597,076	636,933

      (Millions of yen)

      	Transition Date (As of April 1, 2024)	As of March 31, 2025	As of March 31, 2026
      Liabilities
      Current liabilities
      Trade payables	41,013	46,538	68,082
      Borrowings	64,373	195,284	158,541
      Current portion of bonds payable	34,989	-	-
      Lease liabilities	2,410	2,062	2,615
      Income taxes payable	4,316	7,566	4,712
      Other financial liabilities	6,148	10,093	8,140
      Other current liabilities	15,589	14,063	15,231
      Liabilities directly associated with assets held for sale	-	259	-
      Total current liabilities	168,842	275,867	257,324
      Non-current liabilities
      Bonds payable	5,978	30,811	30,859
      Long-term borrowings	43,496	57,625	78,980
      Lease liabilities	7,168	6,668	10,101
      Deferred tax liabilities	14,627	10,777	10,870
      Retirement benefit liability	1,985	1,784	1,678
      Other non-current liabilities	2,526	2,613	2,640
      Total non-current liabilities	75,781	110,282	135,131
      Total liabilities	244,624	386,150	392,455
      Equity
      Share capital	13,208	13,208	13,208
      Capital surplus	15,323	8,443	8,715
      Retained earnings	151,046	150,944	157,829
      Treasury shares	△1,947	△1,919	△2,154
      Other components of equity	42,846	36,245	62,560
      Equity attributable to owners of parent	220,477	206,923	240,159
      Non-controlling interests	12,091	4,003	4,318
      Total equity	232,569	210,926	244,477
      Total liabilities and equity	477,193	597,076	636,933

   2. Consolidated Statements of Income and Comprehensive Income

      Consolidated Statements of Income

      (Millions of yen)

      	Fiscal year ended March 31, 2025	Fiscal year ended March 31, 2026
      Net sales	671,207	772,288
      Cost of sales	589,572	661,343
      Gross profit	81,635	110,944
      Selling, general and administrative expenses	71,473	77,611
      Other income	2,008	1,957
      Other expenses	662	5,468
      Operating profit	11,508	29,822
      Finance income	1,280	1,550
      Finance costs	7,579	8,182
      Share of profit (loss) of investments accounted for using equity method	1,690	239
      Profit (loss) before tax	6,900	23,430
      Income tax expense	1,512	11,919
      Profit (loss)	5,387	11,510
      Profit (loss) attributable to
      Owners of parent	3,863	11,142
      Non-controlling interests	1,523	367
      Earnings (loss) per share Basic earnings (loss) per share (yen) Diluted earnings (loss) per share (yen)	44.94 -	129.60 -

      Consolidated Statements of Comprehensive Income

      (Millions of yen)

      	Fiscal year ended March 31, 2025	Fiscal year ended March 31, 2026
      Profit (Loss)	5,387	11,510
      Other comprehensive income Items that will not be reclassified to profit or loss Net change in fair value of equity instruments measured through other comprehensive income Remeasurements of defined benefit plans Share of other comprehensive income of investments accounted for using equity method	145	667
      	118	49
      	△0	△1
      Total of items that will not be reclassified to profit or loss	263	716
      Items that may be reclassified to profit or loss
      Cash flow hedges	6	1,646
      Exchange differences on translation of foreign operations	△6,372	23,720
      Share of other comprehensive income of investments accounted for using equity method	465	955
      Total of items that may be reclassified to profit or loss	△5,899	26,323
      Total other comprehensive income	△5,636	27,039
      Comprehensive income	△248	38,549
      Comprehensive income attributable to
      Owners of parent	△1,543	38,010
      Non-controlling interests	1,294	539

   3. Consolidated Statements of Changes in Equity

      	Share capital	Capital surplus	Retained earnings	Treasury shares	Other components of equity	Equity attributable to owners of parent	Non-controlling interests	Total equity
      Balance at beginning of period	13,208	15,323	151,046	△1,947	42,846	220,477	12,091	232,569
      Profit (loss)	-	-	3,863	-	-	3,863	1,523	5,387
      Other comprehensive income	-	-	-	-	△5,407	△5,407	△229	△5,636
      Comprehensive income	-	-	3,863	-	△5,407	△1,543	1,294	△248
      Dividends of surplus	-	-	△4,475	-	-	△4,475	△2,699	△7,174
      Purchase of treasury shares	-	-	-	△0	-	△0	-	△0
      Disposal of treasury shares	-	-	-	28	-	28	-	28
      Changes in ownership interest in subsidiaries Transfer from other components of equity to retained earnings	- -	△6,858 -	- 509	- -	606 △509	△6,252 -	△6,683 -	△12,936 -
      Share-based payment transactions	-	△20	-	-	-	△20	-	△20
      Other	-	-	-	-	△1,290	△1,290	-	△1,290
      Total transactions with owners	-	△6,879	△3,965	27	△1,193	△12,011	△9,382	△21,394
      Balance at end of period	13,208	8,443	150,944	△1,919	36,245	206,923	4,003	210,926

      For the fiscal year ended March 31, 2025

      For the fiscal year ended March 31, 2026

      (Millions of yen)

      (Millions of yen)

      	Share capital	Capital surplus	Retained earnings	Treasury shares	Other components of equity	Equity attributable to owners of parent	Non-controlling interests	Total equity
      Balance at beginning of period	13,208	8,443	150,944	△1,919	36,245	206,923	4,003	210,926
      Profit (loss)	-	-	11,142	-	-	11,142	367	11,510
      Other comprehensive income	-	-	-	-	26,867	26,867	171	27,039
      Comprehensive income	-	-	11,142	-	26,867	38,010	539	38,549
      Dividends of surplus	-	-	△4,479	-	-	△4,479	△329	△4,808
      Purchase of treasury shares	-	-	-	△421	-	△421	-	△421
      Disposal of treasury shares	-	259	-	186	-	446	-	446
      Changes in ownership interest in subsidiaries Transfer from other components of equity to retained earnings	- -	- -	- 221	- -	- △221	- -	- -	- -
      Share-based payment transactions	-	11	-	-	-	11	-	11
      Other	-	-	-	-	△331	△331	104	△226
      Total transactions with owners	-	271	△4,257	△235	△553	△4,774	△224	△4,999
      Balance at end of period	13,208	8,715	157,829	△2,154	62,560	240,159	4,318	244,477

   4. Consolidated Statements of Cash flows

      (Millions of yen)

      	Fiscal year ended March 31, 2025	Fiscal year ended March 31, 2026
      Cash flows from operating activities
      Profit (loss) before tax	6,900	23,430
      Depreciation and amortization	19,337	21,356
      Decrease (increase) in retirement benefit asset	0	39
      Increase (decrease) in retirement benefit liability	18	△166
      Interest and dividend income	△1,060	△1,098
      Interest expenses	6,712	7,884
      Impairment losses	113	5,516
      Loss on disaster	-	46
      Share of loss (profit) of investments accounted for using equity method	△1,690	△239
      Loss (gain) on disposal of non-current assets	239	407
      Loss (gain) on sale of shares of subsidiaries and associates	△291	-
      Decrease (increase) in trade receivables	△22,866	8,426
      Decrease (increase) in inventories	△53,458	△4,563
      Increase (decrease) in trade payables	7,372	13,367
      Decrease (increase) in advance payments to suppliers	4,240	△268
      Other	△446	1,051
      Subtotal	△34,878	75,189
      Interest and dividends received	1,478	1,103
      Interest paid	△6,285	△8,188
      Income taxes refund (paid)	△9,142	△13,229
      Proceeds from insurance income	-	8
      Payments for loss on disaster	-	△43
      Net cash provided by (used in) operating activities	△48,828	54,840
      Cash flows from investing activities
      Purchase of property, plant and equipment	△21,189	△26,408
      Proceeds from sale of property, plant and equipment	529	188
      Purchase of intangible assets	△3,165	△3,094
      Payments for acquisition of subsidiaries	-	△16,726
      Proceeds from sale of shares of subsidiaries	1,819	-
      Purchase of shares of associates	△583	△1,482
      Payments for investments in capital	△82	△34
      Other	919	710
      Net cash provided by (used in) investing activities	△21,753	△46,847

      (Millions of yen)

      	Fiscal year ended March 31, 2025	Fiscal year ended March 31, 2026
      Cash flows from financing activities
      Net increase (decrease) in short-term borrowings	125,537	△88,581
      Net increase (decrease) in commercial papers	10,000	-
      Proceeds from long-term borrowings	17,629	64,921
      Repayments of long-term borrowings	△6,635	△7,080
      Proceeds from issuance of bonds	25,000	-
      Redemption of bonds	△35,000	-
      Dividends paid	△4,475	△4,479
      Dividends paid to non-controlling interests	△2,699	△329
      Payments for acquisition of interests in subsidiaries from non-controlling interests	△12,936	-
      Purchase of treasury shares	△0	△0
      Other	△3,231	△3,040
      Net cash provided by (used in) financing activities	113,188	△38,590
      Effect of exchange rate changes on cash and cash equivalents	△265	6,567
      Net increase (decrease) in cash and cash equivalents	42,341	△24,029
      Cash and cash equivalents at beginning of period	28,499	70,840
      Cash and cash equivalents at end of period	70,840	46,811

   5. Notes to Consolidated Financial Statements

Not applicable.

1. Reported segment

   The Company's reportable segments are the constituent units of the Company for which separate financial information is available and which are subject to periodic review by the Board of Directors in order to determine the allocation of management resources and evaluate performance.

   The Group is mainly engaged in the manufacture and sale of vegetable oils and fats products, industrial chocolate products, emulsified and fermented ingredients products and soy-based ingredients products, and is engaged in business activities in Japan and overseas for each product group handled.

   Therefore, the Group is composed of business segments based on product groups, and the four reportable segments are "vegetable oils and fats business", "industrial chocolate business", "emulsified and fermented ingredients business" and "soy-based ingredients business."

   The business activities of each reported segment are as follows.

   Reported segments	Business activities
   Vegetable Oils and Fats	Manufacturing and sales of edible processed oils and fats, edible oils, and fats for chocolate products, using vegetable oils such as palm oil and palm kernel oil
   Industrial Chocolate	Manufacturing and sales of chocolate products, compound chocolate, and cocoa products
   Emulsified and Fermented Ingredients	Manufacturing and sales of cream, margarine, fillings, and other related products
   Soy-based Ingredients	Manufacturing and sales of soy protein ingredients, soy protein foods, and water-soluble soy polysaccharides

   From the current fiscal year, the Company has allocated corporate expenses that were previously not allocated to each reported segment and were included in "Adjustment". The segment information for the previous fiscal year has been presented in accordance with the changed allocation method.

2. Reported segment information

Profits of reportable segments are based on business profit. Intersegment sales are based on prevailing market prices.

Transition date (as of April 1, 2024)

(Millions of yen)

Previous consolidated fiscal year (April 1, 2024 - March 31, 2025)

(Millions of yen)

(Note) 1. Adjustment of business profit (loss) △235 million yen includes the elimination of intersegment transactions.

1. Business profit (loss) is calculated by adding share of profit (loss) of investments accounted for using equity method to operating profit and excluding gains and losses arising from non-recurring factors.

2. Capital expenditure includes amounts attributable to right-of-use assets.

Consolidated fiscal year under review (April 1, 2025 - March 31, 2026)

(Millions of yen)

(Note) 1. Adjustment of business profit (loss) △8 million yen includes the elimination of intersegment transactions.

1. Business profit (loss) is calculated by adding share of profit (loss) of investments accounted for using equity method to operating profit and excluding gains and losses arising from non-recurring factors.

2. Capital expenditure includes amounts attributable to right-of-use assets.

The adjustments from business profit to profit (loss) before tax are as follows:

Fiscal Year Ended March 31, 2025

(Millions of yen) Fiscal Year Ended

March 31, 2026

Business profit 13,261 36,048

Gain on sale of fixed assets 64 64

Loss on disposal of fixed assets △303 △471

Gain on sale of shares of associates 291 －

Impairment losses △113 △5,516

Share of profit (loss) of investments accounted for using equity method

1,690 239

Profit (loss) before tax 6,900 23,430

Basic earnings per share and the basis for its calculation are as follows.

Since no dilutive potential ordinary shares exist, diluted earnings per share is omitted.

(Notes) The Company is applying stock remuneration system for its directors (excluding outside directors and directors serving as audit and supervisory committee member) and executive officers. The weighted average number of shares during the consolidated fiscal year under review, which is the basis for calculating "Basic earnings per share," includes the Company shares held by the Trust in treasury stock, which are deducted in the calculation. The weighted average number of such treasury shares during the period deducted for the calculation of basic earnings per share is 183,308 shares for the consolidated fiscal year under review (103,709 shares for the previous consolidated fiscal year).

The Group prepared its consolidated financial statements in compliance with IFRS from the current fiscal year. The most recent consolidated financial statements prepared in accordance with Japanese GAAP are those for the fiscal year ended March 31, 2025, and the transition date to IFRS is April 1, 2024.

1. Exemptions and mandatory exceptions under IFRS 1

   In principle, IFRS requires that companies adopting IFRS for the first time (hereinafter, "First-time Adopter") apply the standards required under IFRS retrospectively. However, for some of the standards required under IFRS, IFRS 1 First-Time Adoption of International Financial Reporting Standards (hereinafter, "IFRS 1") specifies standards for which the exemption is applied mandatorily and those for which the exemption is applied voluntarily. The impact based on the application of these exemptions is adjusted in retained earnings and other components of equity at the transition date.

   The exemptions that the Group applies in connection with the transition from Japanese GAAP to IFRS are as follows:

   ・Business combinations

   IFRS 1 permits a First-time Adopter to elect not to apply IFRS 3 Business Combinations (hereinafter,"IFRS 3") retrospectively to business combinations that occurred before the transition date to IFRS. If any business combination is restated upon retrospective application, all later business combinations shall be restated to comply with IFRS 3.

   The Group has elected not to apply IFRS 3 retrospectively to business combinations that occurred before the transition date. Accordingly, goodwill and equivalent to goodwill in equity method affiliates arising from business combinations that occurred before the transition date were recorded at the carrying amount under Japanese GAAP at the transition date.

   However, goodwill was tested for impairment as of the transition date irrespective of whether there was any indication of impairment.

   ・Use of deemed cost

   Under IFRS 1, the fair value of property, plant and equipment at the transition date can be used as deemed cost. The Group uses the fair value at the transition date as the deemed cost for certain items of property, plant and equipment.

   ・Designation of financial instruments recognized before the transition date

   IFRS 1 permits First-time Adopter to designate financial assets in accordance with IFRS 9 Financial Instruments (hereinafter,"IFRS 9") on the basis of the facts and circumstances that exist as at the transition date. The Group has designated equity instruments that were held as at the transition date as financial instruments measured at fair value through other comprehensive income (equity instruments) on the basis of the circumstances that existed as at the transition date.

   ・Leases (as lessee)

   IFRS 1 permits First-time Adopter to determine whether or not an arrangement contains a lease on the basis of facts and circumstances existing at the transition date. When First-time Adopter that is a lessee recognizes lease liabilities and right-of-use assets, it may measure lease liabilities and right-of-use assets for all of its leases at the transition date. The Group measured lease liabilities at the transition date at the present value of the remaining lease payments, discounted using the lessee's incremental borrowing rate at the transition date. The Group measured right-of-use assets at the transition date at an amount equal to the lease liabilities, adjusted by the amount of any prepaid or accrued lease payments relating to the leases recognized in the statement of financial position immediately before the transition date.

   ・Share-based payments

   IFRS 1 permits First-time Adopter to elect not to apply IFRS 2 Share-based Payment (hereinafter, "IFRS 2") to share-based payments vested before the transition date. The Group elected not to apply IFRS 2 to share-based payments vested before the transition date.

2. Mandatory exceptions to retrospective application under IFRS 1

   IFRS 1 prohibits the retrospective application of IFRS for certain items including "estimates," "derecognition of financial assets and financial liabilities," "hedge accounting," "non-controlling interests," and "classification and measurement of financial assets." The Group has applied IFRS to these items prospectively from the transition date.

3. Reconciliations

The reconciliations required to be disclosed under IFRS 1 are as follows. "Change in FYE" includes reconciliations that reflect the alignment of subsidiaries' fiscal year ending with the Group's as part of the transition to IFRS. "Reclassification" includes reconciliations that do not affect retained earnings and comprehensive income. "Difference in recognition and measurement" includes reconciliations that affect retained earnings and comprehensive income.

Reconciliation of equity as of April 1, 2024 (The transition date)

(Millions of yen)

(Millions of yen)

Reconciliations of equity as of March 31, 2025 (The previous consolidated fiscal year)

(Millions of yen)

(Millions of yen)

Reconciliation of profit or loss and comprehensive income for the previous fiscal year (April 1, 2024 - March 31, 2025)

(Millions of yen)

Notes on reconciliations

1. Reclassification

   1. Inventories

      Merchandise, finished goods, raw materials, and supplies, which were separately presented under Japanese GAAP are reclassified to "Inventories" under IFRS.

   2. Other financial assets (current assets)

      Foreign exchange forward contracts, etc., included in other (current assets) under Japanese GAAP are reclassified to "Other financial assets" (current assets) under IFRS.

   3. Other current assets

      Advance payment, suspense paid income tax and income taxes receivable, etc., which were included in other (current assets) under Japanese GAAP are reclassified to "Other current assets" under IFRS.

   4. Assets held for sale, Liabilities directly associated with assets held for sale

      Assets or asset group held for sale are reclassified to "Assets held for sale" and "Liabilities directly associated with assets held for sale" under IFRS.

   5. Property, plant and equipment

      Buildings and structures, machinery equipment and vehicles, and land, etc., which were separately presented under Japanese GAAP are reclassified to "Property, plant and equipment" under IFRS.

   6. Intangible assets

      Customer-related intangible assets which were separately presented under Japanese GAAP and right of trademark and software, etc., included in other (intangible assets) under Japanese GAAP are reclassified to "Intangible assets" under IFRS.

   7. Investments accounted for using equity method

      Investments accounted for using equity method included in investment securities under Japanese GAAP, are reclassified to "Investments accounted for using equity method" under IFRS.

   8. Other financial assets (non-current assets)

      Listed shares and unlisted shares included in investment securities under Japanese GAAP, and guarantee deposits and investment in capital, etc., included in other (investments and other assets) under Japanese GAAP, are reclassified to "Other financial assets" (non-current assets) under IFRS.

   9. Other non-current assets

      Long-term prepaid expenses, etc., included in other (investments and other assets) under Japanese GAAP, are reclassified to "Other non-current assets" under IFRS.

   10. Lease liabilities

       Lease liabilities included in other (current liabilities) under Japanese GAAP are reclassified to "Lease liabilities (current liabilities)" under IFRS.

   11. Borrowings

       Commercial papers separately presented under Japanese GAAP are reclassified to "Borrowings" under IFRS.

   12. Other financial liabilities (current liabilities)

       Construction accounts payable and accounts payable, etc., included in other (current liabilities) under Japanese GAAP are reclassified to "Other financial liabilities" (current liabilities) under IFRS.

   13. Other current liabilities

       Provision for bonuses which were separately presented under Japanese GAAP and accrued expenses, etc., included in other (current liabilities) under Japanese GAAP are reclassified to "Other current liabilities" under IFRS.

   14. Other non-current liabilities

       Deposits received - long term, etc., included in other (non-current liabilities) under Japanese GAAP are reclassified to "Other non-current liabilities" under IFRS.

   15. Other components of equity

       Foreign currency translation adjustment, remeasurements of defined benefit plans, valuation difference on available-for-sale securities, and deferred gains or losses on hedges, which were separately presented under Japanese GAAP are reclassified to "Other components of equity" under IFRS.

   16. Non-operating income (expenses), Extraordinary income (losses)

       Income and expenses, which were presented as non-operating income, non-operating expenses, extraordinary income, and extraordinary losses under Japanese GAAP, are included in "Finance income" and "Finance costs" for finance-related items, "Cost of sales" for impairment losses, etc., and "Other income", "Other expenses" and "Share of profit (loss) of investments accounted for using equity method" for the other items under IFRS.

   17. Income tax expense

       Income taxes - current and income taxes - deferred, which were separately presented under Japanese GAAP are reclassified in total as "Income tax expense" under IFRS.

2. Differences in recognition and measurement

1. Non-marketable equity instruments

   Under Japanese GAAP, non-marketable equity instruments were carried at cost. Under IFRS, they are designated as equity instruments measured at fair value through other comprehensive income in accordance with IFRS 9, and accordingly, equity instruments are measured at fair value, regardless of whether they are marketable or not, with the changes in fair value recognized through other comprehensive income.

2. Goodwill

   Under Japanese GAAP, goodwill was amortized on a straight-line basis over a reasonably estimated period during which its effect is expected to continue. Under IFRS, goodwill arising from business combinations is not amortized but tested for impairment each fiscal year.

3. Deferred tax assets and liabilities

   Under Japanese GAAP, deferred tax assets on unrealized profits from intercompany inventories transactions were measured using the seller's effective tax rate. Under IFRS, they are measured using the buyer's effective tax rate. As a result of the transition to IFRS, adjustments were made to deferred tax assets and liabilities due to temporary differences and the reassessment of the recoverability of deferred tax assets.

4. Employee benefits

   Under Japanese GAAP, service cost, interest expense, and expected return on plan assets for retirement benefits under defined benefit plans were recognized in profit or loss. In addition, the portion of actuarial gains and losses and past service cost arising from the plan that were not recognized as an expense were recognized in accumulated other comprehensive income and subsequently recognized in profit or loss over a certain future period.

   Under IFRS, on the other hand, current service cost and past service cost for retirement benefits under defined benefit plans are recognized in profit or loss, and interest expense is recognized in profit or loss at an amount calculated by multiplying the net defined benefit liability (asset) by the discount rate. Remeasurement of the net defined benefit liability (asset) is recognized in other comprehensive income, and directly reclassified to retained earnings from other components of equity when incurred without being recognized through profit or loss. Remeasurement consists of actuarial gains and losses on defined benefit obligations and return on plan assets (excluding interest income on plan assets).

   In addition, if defined benefit assets exceed obligation, the asset ceiling is determined as the present value of the future economic benefits available in the form of refunds from the plan or reductions in future contributions.

5. Deemed cost

   In applying IFRS, the Group elected to use the deemed cost exemption under IFRS 1 and measured certain items of property, plant and equipment at fair value as of the transition date.

   The fair value of the applicable property, plant and equipment as of the transition date was 2,901 million yen, which was 2,532 million yen lower than the carrying amount under Japanese GAAP.

6. Lease liabilities and right-of-use assets

   Under Japanese GAAP, leases as a lessee were classified as either finance leases or operating leases, and operating leases were accounted for in a similar manner to ordinary rental transactions. Under IFRS, leases as a lessee are not classified as finance leases or operating leases, and right-of-use assets and lease liabilities are recognized for lease transactions.

7. Provision for paid absence

   Unused paid absences, which were not required to be recognized under Japanese GAAP, are recognized as a provision under IFRS.

8. Levies

   Under Japanese GAAP, levies such as fixed asset taxes were expensed over the fiscal year in which the payment obligation arose. Under IFRS, the full amount is expensed when the obligating event occurs.

9. Inventories

   Under Japanese GAAP, some subsidiaries included transportation costs to deliver products to customers in the cost of inventories. Under IFRS, all costs except for those incurred in bringing the inventories to their present location or condition are recognized as "Selling, general and administrative expenses" when they are incurred.

10. Financial instruments (Foreign exchange forward contracts)

    Under Japanese GAAP, some subsidiaries designated allocation method for foreign exchange forward contracts. Under IFRS, these transactions are subject to cash flow hedge accounting.

11. Change in Scope of Consolidation

    Under Japanese GAAP, subsidiaries and affiliates of insignificant materiality were accounted for using the cost method. Under IFRS, such entities are included in the scope of consolidation as subsidiaries or equity-method associates.

12. Reconciliation of retained earnings

The impact of the reconciliations on retained earnings is as follows (figures in parentheses represent loss).

(Millions of yen)

Reconciliation of cash flows for the previous fiscal year ended March 31, 2025 (April 1, 2024 - March 31, 2025) There are no significant differences between the consolidated cash flows statements based on Japanese GAAP and the consolidated cash flows statements based on IFRS.