Hibiya Engineering : Earnings Presentation for Full Year FY3/26

Hibiya Engineering, Ltd.

(Stock code: 1982)

Earnings Presentation for Full Year FY3/26

May 13, 2026

• Orders received exceeded the forecast and reached a record high, driven by ongoing strategic sales activities.

• Net sales increased steadily YoY due to progress of an ample number of projects carried over from FY3/25 and those for orders received in FY3/26.

• Profit margin expanded, driven by higher net sales, productivity improvement initiatives, and improved profitability on certain completed projects. As a result, performance exceeded the forecast, delivering a significant YoY increase in profit, and record highs across all line-item profits. (Billion yen)

  	3/2024 Results	3/2025 Results (1)	3/2026
  			Results (2)	YoY change (2)-(1)
  Orders received	105.5	93.6	111.5	+17.9 (+19.1%)
  Net sales	83.7	89.7	94.0	+4.2 (+4.8％)
  Gross profit	14.9	17.2	21.0	+3.7 (+22.0%)
  Gross profit margin	17.8%	19.2%	22.4%	+3.2%
  Operating profit	5.7	7.4	10.6	+3.2 (+43.1%)
  Ordinary profit	6.4	8.1	11.4	+3.3 (+40.9%)
  Profit attributable to owners of parent	4.8	5.9	8.6	+2.7 (+47.0%)
  ROE	7.3%	8.5%	11.6%

  3/2026
  Initial forecast Announced on May 13, 2025	Revised forecast Announced on February 10, 2026 (3)	vs. revised forecast (2)-(3)
  95.5	102.0	+9.5
  93.5	94.3	-0.2
  17.6	19.8	+1.2
  18.9%	21.0%	+1.4%
  7.8	9.4	+1.2
  8.4	10.2	+1.2
  6.0	7.3	+1.3

  1

  Orders Received (1): By Customer/Category (Consolidated)

  • In terms of orders by customer, orders rose YoY, supported by ongoing strong orders from the public and private sectors.

  • In terms of orders by category, orders rose steadily YoY, with large projects secured in a balanced manner across air conditioning, plumbing and sanitation, and electrical categories.

    • Affected by the decline in orders due to the order cancellation pertaining to past fiscal year. (Private sector, Air conditioning/Plumbing and sanitation)

      120.0

      By Customer

      (Billion yen)

      120.0

      By Category

      （Billion yen)

      105.5

      111.5

      7.6

      11.5

      93.6

      9.5

      24.6

      21.4

      15.5

      21.6

      29.3

      19.3

      50.9

      49.1

      49.8

      105.5

      111.5

      7.6

      11.5

      93.6

      9.5

      56.0

      47.9

      36.6

      4.5

      7.8

      10.9

      41.5

      39.5

      36.8

      100.0 100.0

      80.0

      60.0

      80.0

      60.0

      40.0

      20.0

      40.0

      20.0

      0.0

      3/2024 3/2025 3/2026

      0.0

      3/2024 3/2025 3/2026

      NTT Group Public sector Private sector Other*

      Air conditioning Plumbing and sanitation Electrical Other*

      * Orders received by consolidated subsidiaries

      2

      Orders Received (2): By Facility Category (Non-consolidated)

  • Data centers/Information continued to expand steadily, driven by large projects secured amid strong demand.

  • Orders received increased YoY, with large projects also secured in facilities other than data centers.

    • Affected by the decline in orders due to the order cancellation pertaining to past fiscal year. (Data centers/Information)

      Data centers/Information

      Office buildings

      Manufacturing/Distribution

      Education/Healthcare

      Hotels/Resorts

      Other

      120.0

      100.0

      80.0

      60.0

      40.0

      20.0

      0.0

      Trends in orders received (non-consolidated)

      103.9

      49.1

      27.4

      2.2

      1.9

      12.1

      3.2

      5.2

      2.7

      0.5

      9.1

      0.2

      6.9

      4.1

      2.0

      17.6

84.0

94.0

(Billion yen)

3/2024 3/2025 3/2026

3

Orders Received (3): New vs. Renovation Split (Non-consolidated)

• Orders for new construction increased significantly due to a higher volume of orders for large projects from the private sector.

• As a result, the new construction ratio increased YoY.

  120.0

  Trends in new vs. renovation split (non-consolidated)

  (Billion yen)

  103.9

  54.0

  58.4

  (69.6%)

  60.5

  (58.3%)

  *Including ¥15.7 bn for fit-out construction

  43.3

  (41.7%)

  25.5

  (30.4%)

84.0

94.0

100.0

Renovation

80.0

New construction

60.0

40.0

20.0

0.0

Net Sales (1): By Customer/Category (Consolidated)

• Net sales by customers increased YoY, driven by solid progress on construction projects in the private and public sectors.

• Net sales were maintained in a balanced manner across air conditioning, plumbing and sanitation, and electrical categories.

  100.0

  90.0

  80.0

  70.0

  60.0

  50.0

  By Customer

  (Billion yen)

  100.0

  90.0

  80.0

  70.0

  60.0

  50.0

  By Category

  (Billion yen)

  83.7

  89.7

  9.4

  94.0

  7.7

  11.6

  15.3

  18.9

  17.8

  19.7

  18.5

  17.2

  37.0

  45.2

  48.7

  83.7

  89.7

  9.4

  94.0

  7.7

  11.6

  28.3

  36.8

  40.2

  2.7

  4.0

  9.5

  40.9

  39.4

  36.4

  40.0 40.0

  30.0

  20.0

  10.0

  0.0

  3/2024 3/2025 3/2026

  30.0

  20.0

  10.0

  0.0

  3/2024 3/2025 3/2026

  NTT Group Public sector Private sector Other* Air conditioning Plumbing and sanitation Electrical Other*

  Net Sales (2): By Facility Category (Non-consolidated)

• Data centers/Information increased steadily and Office buildings recorded significant YoY growth.

• Other increased YoY due to construction progress on apartment buildings under large-scale redevelopment projects.

  Data centers/Information

  100.0

  90.0

  Trends in net sales (non-consolidated)

  (Billion yen)

  Office buildings

  Manufacturing/Distribution

  Education/Health care

  Hotels/Resorts

  Other

  80.0

  86.2

  37.0

  32.6

  5.7

  2.5

  4.1

  2.2

  0.1

  4.3

  7.8

  4.2

  3.9

72.1

70.0

60.0

50.0

40.0

30.0

20.0

10.0

0.0

Net Sales (3): New vs. Renovation Split (Non-consolidated)

• Net sales increased at a similar rate to the same period of the previous year.

  100.0

  90.0

  Trends in new vs. renovation split (non-consolidated)

  (Billion yen)

  Renovation

  New construction

  80.0

  53.5

  (62.1%)

  *Including ¥3.5 bn for fit-out construction

  32.7

  (37.9%)

  23.8

  (33.1%)

for n

*In fit

72.1

80.3

70.0

60.0

50.0

40.0

30.0

20.0

10.0

0.0

3/2024 3/2025 3/2026

Projects Carried Over by Customer/Category (Consolidated)

• Projects carried over increased significantly, driven by solid progress in securing large projects in the private sector.

  120.0

  By Customer By Category

  (Billion yen) (Billion yen)

  103.1

  0.2

  81.7

  0.2

  13.6

  85.6

  0.3

  13.8

  19.5

  33.0

  22.6

  22.2

  45.2

  49.1

  50.2

  103.1

  0.2

  81.7

  0.2

  85.6

  0.3

  72.7

  57.1

  56.9

  5.9

  9.7

  11.1

  18.3

  18.5

  18.9

  120.0

  100.0

  80.0

  100.0

  80.0

  60.0 60.0

  40.0

  20.0

  40.0

  20.0

  0.0

  3/2024 3/2025 3/2026

  NTT Group Public sector Private sector Other*

  0.0

  3/2024 3/2025 3/2026

  Air conditioning Plumbing and sanitation Electrical Other*

  Projects Carried Over by Completion Period (Non-consolidated)

• Construction projects scheduled for completion in the next fiscal year rose steadily, while longer-term projects expanded significantly YoY, driven by higher orders for large private-sector projects.

60.0

50.0

53.7 56.2

By completion period

(Billion yen) NTT Group Public sector Private sector

40.0

30.0

20.0

10.0

34.7

5.0

16.3

25.2

21.8

30.5

24.0

6.4

16.1

13.9

2.0

1.6 3.9 2.0

4.4

0.0

As of March 31, 2025

As of March 31, 2026

1.7

As of March 31, 2025

2.5

As of March 31, 2026

As of March 31, 2025

As of March 31, 2026

To be completed within the current fiscal year

To be completed in the next fiscal year

To be completed in the fiscal year after next or thereafter

• FY3/2026 profits significantly exceeded the initial forecast, leading to an upward revision to the financial results forecast and a dividend increase announced on February 10, 2026.

• As profit exceeded the upwardly revised forecast, the year-end dividend will be increased by

  ¥10, from ¥40 to ¥50 per share.

• The FY3/2026 year-end dividend will be submitted for approval at the 61st Annual General Meeting of Shareholders scheduled for June 25, 2026.

【Dividend per share】

(Yen)

* With the record date of March 31, 2026, the Company split common shares at a 2-for-1 ratio.

Figures in parentheses represent twice the planned dividend per share, adjusted for the stock split.

Trends in Dividends per Share (Before Stock Split)

150

130

(Yen per share)

110

90

Interim dividend Year-end dividend

* With the record date of March 31, 2026, the Company split common shares at a 2-for-1 ratio.

The FY3/2026 year-end dividend is presented on a pre-split basis. The post-split dividend per share is expected to be ¥50.

*

100

(Plan)

70

50

30

16

10 16

30

25

20

20 25 30

40 40

40 40

40 42

40 40

43 43

42 43

50

(予定)

44 50

-10

2015/3

2016/3

2017/3

FY 3/2015 3/2016 3/2017

3/2018 3/2019 3/2020 3/2021 3/2022 3/2023 3/2024 3/2025 3/2026

2018/3

2019/3

2020/3

2021/3

2022/3

2023/3

2024/3

2025/3

2026/3

Interim Year-end

Full-year

Payout ratio (consolidated)

DOE

16

16

32

36.5%

1.7%

20 25

20 25

40 50

25.5% 28.0%

2.1% 2.5%

30

30

60

22.9%

2.7%

40 40

40 40

80 80

71.9% 54.3%

3.3% 3.3%

40

40

80

62.1%

3.2%

40 42

42 43

82 85

44.6% 42.4%

3.2% 3.1%

43

43

86

40.7%

3.0%

44

50

94

35.5%

3.0%

50

100*

(Plan)

150*

(Plan)

37.4%

(Plan)

4.4%

(Plan)

• Regarding the share buyback as a means of capital allocation, we conduct share buybacks in a flexible and timely manner in view of investment opportunities, share price, and investment efficiency.

• In FY2025, we repurchased 541,400 shares for ¥2.09 bn.

5,000 Number of shares acquired*1

4,000

592.3

582.7

527.7

541.4

500

455.8

440.2

462.2

400

300

300.0

Includes tende offer for

200 493.988

100

2.09

1.79

1.39

1.13

0.94

-

0.56

0.70

11.09

0.75

0.70

0.72

Buyback amount (bn yen)

3/2026

3/2025

3/2024

3/2023

3/2022

3/2021

3/2020

3/2019

3/2018

3/2017

3/2016

3/2015

FY

buybacks conducted

No share

4,

r

378.9

495.1

(Thousands of shares)

4,529.988

61.4

65.9

70.0

66.6

66.1

62.6

70.6

98.1

*2

23.2

53.0

40.7

64.3

Total return ratio (%)

0

2015/3

2016/3

2017/3

2018/3

2019/3

2020/3

2021/3

2022/3

2023/3

2024/3

2025/3

2026/3

*1 With the record date of March 31, 2026, the Company split common shares at a 2-for-1 ratio. The number of shares acquired shown in the graph is presented on a pre-split basis.

*2 Not reflecting the amount of ¥11,023,752,564 worth of the share buyback through a tender offer.

Major Completed Projects in FY3/2026

OIMACHI TRACKS BUSINESS TOWER

TAKANAWA GATEWAY CITY RESIDENCE

Multi-use development Multi-use development

© Prise Co., Ltd. / Photo by Koji Yamazaki

AP L-tage Kokutaiji Building

Patina Osaka

Office Hotel

* Completed in March 2025; opened in May 2025

Tono Chubu Medical Center

Dassai Sake Rice Warehouse in a

the Suo-Takamori Station Are

Education/Healthcare Manufacturing/Distribution

Mahoroba Zero Carbon Promotion Project ZEB renovations (Nara General Prefectural Government Building)

Koriyama Fire Department building ZEB renovation project

Office (ZEB) Office (ZEB)

References

(Million yen)

(Million yen)

(Yen)

: EPS ※

: ROE

※

: Trend in the share price

(％)

7,000

6,500

200 3,500 13

175

12

6,000

5,500

3,000 11

10

150

125

100

75

2,500

5,000

4,500

4,000

3,500

2,000

3,000

2,500

1,500

2,000

1,500

1,000

4.7

944

6.1

969

73.7

5.2

971

7.1

92.0

917

7.4

100.2

1,081

7.3

105.5

1,487

8.5 9

8

132.5 7

6

1,562 5

4

3

2

1,000

64.4

2019/3 2020/3 2021/3 2022/3 2023/3 2024/3 2025/3 2026/3

※A stock split at a ratio of two shares per common share was implemented with March 31, 2026 as the record date. EPS and

stock prices are calculated as if the stock split had been conducted at the beginning of the fiscal year ended March 2019.

Hibiya Engineering, Ltd.

(Stock code: 1982)

Review of the Eighth Medium-term Management Plan and Major Initiatives

May 13, 2026

Review of the Eighth Medium-term Management Plan

1,055

936

1,115

940

The results of the Eighth Medium-term Management Plan show that the key indicators (orders received, net sales, operating profit, and profit attributable to owners of parent) reached the targets and that ROE constantly grew.

Orders received

(Billion yen)

Target

91.0

Net sales

(Billion yen)

Target

90.5

105.5

111.5

94.0

FY2023 FY2024 FY2025

FY2023 FY2024 FY2025

Operating profit

(Billion yen)

Profit attributable to owners of parent

(Billion yen)

Tar

6

Target

4.8

5.7

8.6

FY2023 FY2024 FY2025

FY2023 FY2024 FY2025

7.4

10.6

get

.5

* As of the announcement of the Eighth Medium-term 1

Management Plan on May 11, 2023

Review of the Eighth Medium-term Management Plan

Under the three pillars set in the Eighth Medium-term Management Plan (Deepening Core Business, Expanding Business Areas, and Strengthening Management Foundation/ESG Management), the Group produced steady results and steadily implemented capital and dividend policies.

Review of the 8th Medium-term Management Plan

Review of the Eighth Medium-term Management Plan

(Deepening Core Business)

• Received increasing orders for telecommunications facilities and data center (DC) projects amid data center market expansion

• Advanced technology by leveraging extensive experience and expertise

  (Million yen)

  60,000

  Orders received by the Company for telecommunications facilities and data centers (FY3/2017–FY3/2026)

  53,056

  Our data center initiatives

  [Expertise cultivated in NTT Group facility projects and proven performance in hyperscale DCs]

  50,000

  40,000

  30,301 30,594

  47,709

  39,349

  48,849

  Build-

  Techno-

  30,000

  24,552

  18,505

  26,285

  ing life

  High

  logical

  20,000

  10,000

  0

  18,368

  3/17 3/18 3/19 3/20 3/21 3/22 3/23 3/24 3/25 3/26

  racks

  (2018–2032)

  Hyperscale model Retail model

  racks

  racks

  racks

  racks

  racks

  racks

  racks

  Forecast of Japan’s data center capacity

  cycle

  Services provided for each stage of a building’s life cycle

  quality

  High-quality construction services developed through telecommunications facility projects

  innovation

  Cooling technologies for high-heat-generating servers

  Building on our long history of high reliability in the area of telecommunications, we have developed cooling technologies to handle the high heat generation of hyperscale DCs.

[Cited from Data Center Investigation Report 2026

published by Impress General Research Institute]

Increase in orders for data center projects

3

Review of the Eighth Medium-term Management Plan

(Deepening Core Business)

• Accelerated robotics and AI development under site operations DX, leveraging nationwide deployment of applications and BIM to optimize construction processes and enhance productivity

Initiatives to further improve installation efficiency

[Robotic automation]

• Automated marking with inking robots

• Labor savings, quality standardization, and reduced labor hours

[AI-driven decision support]

• AI analysis of construction details and site conditions

• Productivity improvement while maintaining both safety and efficiency

Nationwide deployment

[App-enabled information sharing]

• Digitization of on-site information through annotated drawings and photos

• Real-time sharing of construction progress and corrective actions

  From siloed digital improvements to construction process optimization

• Reduction of rework and improvement of construction management efficiency

  [BIM-based drawings]

  	Photo log

  • Synchronization of BIM model sleeve information with applications

  • Automated updates to location and construction information board data

  • Streamlined inspection recording and improved drawing–site consistency

    Review of the Eighth Medium-term Management Plan

    (Expanding Business Areas)

    Business

    d t

    evelopmen

    • Established and expanded local government ZEBs in the ZEB business by developing an integrated consulting-to-construction framework and building closer relationships with partners

      7th MTMP

      8th MTMP

      9th MTMP and beyond

      Conduct analyses by a dedicated organization and establish methods

      Establish and expand local government ZEBs

      Establish a firm position as a ZEB planner

      • Accumulate ZEB renovation methods

      • Establish optimal ZEB design methods

      • Strengthen structures at individual bases

      • Strengthen actions for local government ZEBs

      • Build closer relationships with alliance partners

      • Establish and expand private sector ZEB projects

      • Enrich ZEB options

      Performance trends

Koriyama Fire Department building

Nara General Prefectural Government Building

FYE March

Kamei’s head

office building

2025

FYE March 2027

2050

For a decarbonized society

2024

2024

Construction: Renovation of Kamei’s head office building

ZEB Ready certification acquired

Consulting: Design contract for Namie Town’s industry-academia collaboration facility

Nearly ZEB certification acquired

FYE March 2021

2023

Consulting: Basic planning for the ZEB renovation of Tottori University of Environmental Studies ZEB Ready certification acquired

Design and construction: Koriyama Fire Department building

ZEB Oriented level

Design and construction: Mahoroba Zero Carbon Promotion Project operated by the Nara Prefectural Government

• Nara General Prefectural Government Building

  ZEB Ready certification acquired

• Koriyama General Prefectural Government Building

Scheduled to acquire ZEB Ready certification 5

Review of the Eighth Medium-term Management Plan

(Expanding Business Areas)

• Strengthened our business foundation in the data center field through verification, co-creation, and outreach activities at the Data Center Trial Field (DCTF).

  Data Center Trial Field

  • Opened a base with NTT Data to verify and co-create next-generation cooling technologies for DCs (November 2024)

  • Hosted approximately 1,026 representatives from 226 companies across DC-related areas, with site tours generating greater interest in and recognition of liquid cooling technology

  • Expanded participation from seven to eleven companies, accelerating joint efforts to deploy next-generation cooling solutions in DCs

    Verifying immersion cooling Site tour at DCTF

    Outreach on DC cooling technologies

    [Joint presentation with NTT Data]

  • Disseminated information on cooling technologies for hyperscale DCs

  • Confirmed growing industry interest in DCTF, reflected in numerous detailed questions about implementing liquid-cooled DC systems

    Presentation at the Conference on Building Mechanical and Electrical Engineering (November 7, 2025)

    [Seminar held at Data Center Japan 2026*1]

  • Presented our globally compatible verification facility and conducted a seminar on the latest DC liquid cooling technologies

  • Exhibited at an on-site booth, drawing strong interest in next-generation DC technologies

  *1 Held on March 24–25, 2026 Exhibition booth

  Review of the Eighth Medium-term Management Plan

  (Strengthening Management Foundation/ESG Management)

• Reinforced recruitment initiatives and advanced workstyle reforms, positioning securing and retaining human resources essential to business growth as a material issue

  Enhancement of recruitment

  • Expanded and revamped recruitment content to better communicate our distinctive strengths and improve

  market recognition

  • Strengthened and expanded recruitment events to increase student touchpoints

  New recruitment video

  Internship in action

  Diverse work styles and active participation of human resources

  [Ratio of women to new graduate hires]

  7th MTMP

  22.0％

  8th MTMP

  31.3％

  +9.3 percentage points vs. 7th MTMP

[Ratio of female managers]

7th MTMP

5.4％

8th MTMP

7.1％

Women's participation

• Held dialogue sessions for young women in technical roles to encourage the next-generation of

  [Ratio of male employees taking childcare leave]

  women to take on challenges and develop new ways of working

  • Implemented flexible work arrange-

    Dialogue session

    7th MTMP

    65.1％

    8th MTMP

    +34.9 percentage points vs. 7th MTMP

100％

ments and support systems to enable diverse work styles

• Acquired three-star Eruboshi certification

  (Hibiya Engineering in 2023; Nikkey in 2024)

  Working on-site

  7

  Review of the Eighth Medium-term Management Plan

  (Strengthening Management Foundation/ESG Management)

• Implemented management improvements based on comments from major stakeholders

• Strengthened governance effectiveness to enhance the management foundation supporting business growth

Communication with stakeholders Governance strengthening

[Shareholders]

• Conducted shareholder surveys since 2020 to use the results in information disclosure and IR activities

  [Customers]

• Conducted ISO 9001-based customer satisfaction surveys since 2001, using the results to improve sales activities and construction quality

  [Partner companies]

• Conducted surveys of partner companies—important collaborators—since FYE March 2024 to drive improvement initiatives

  [Employees]

• Conducted surveys of all Group employees since FYE March 2023 to use the findings to improve employee engagement and carry out reforms to increase job satisfaction

  [Establishment of Risk Management Committee]

  • Identified and managed corporate business risks across the organization, supported by regular monitoring

    [Formulation of human rights policy]

  • Formulated a human rights policy and initiated human rights due diligence. Identified and assessed human rights risks through surveys of employees and partner companies, promoting corrective actions and improvements

    [Enhancement of Board effectiveness]

  • Provided outside Directors and Audit & Supervisory Board Members with opportunities to observe on-site operations, supporting improvements in the quality of the Board’s decision-making and its effectiveness

Review of the Eighth Medium-term Management Plan

(Strengthening Management Foundation/ESG Management)

• Secured capital efficiency that exceeds the cost of capital (cost of equity)

Improve ROE

• Implement the Eighth Medium-term Management Plan steadily to consistently increase ROE

Recent trend in ROE

3/2018 3/2019 3/2020 3/2021 3/2022 3/2023 3/2024 3/2025 3/2026

4％

2％

5.2％

4.7％

6％

6.1％

7.4％ 7.3％

7.1％

8％

11.6％

8.5％ (forecast)

Period of the 6th MTMP

10％ Target ROE: 5% or more

Period of the 7th MTMP Target ROE: 6% or more

12％

Period of the 8th MTMP Target ROE: 7% or more

Including gain on sale of investment securities (¥4.3 bn)

12.3％

14％

2018/3 2019/3 2020/3 2021/3 2022/3 2023/3 2024/2 2025/3 2026/3

Effectively utilize capital

• Invest in growth and formed alliances (Return exceeding cost of capital)

• Invest in human capital, technologies and DX

• Acquire treasury shares in a timely and flexible manner (improve capital efficiency)

Recent trends in share price and PBR

Strengthen IR activities

• Improve information disclosure

• Enhance dialogue with institutional investors

3/26

3/25

3/24

3/23

3/22

3/21

PBR

Share price

0.40

0

0.60

1,000

0.80

0.70

0.78

3,000 0.76

2,000

1.00

0.98

0.97

4,000

1.20

5,000

1.40

6,000

PBR (times)

1.49 1.60

Share price (yen)

7,000

9

Hibiya Engineering, Ltd.

(Stock code: 1982)

Ninth Medium-term Management Plan

1

May 13, 2026

INDEX

1. Corporate Philosophy

   1. Corporate Philosophy                                                 p. 4

   2. Purpose                                                           p. 5

   3. Value                                                             p. 6

2. Ninth Medium-term Management Plan (FY2026-FY2028)

   1. Financial Targets p. 8

   2. Priority Issues Reflecting the Current Business Environment p. 9

   3. Management Vision                                                  p. 10

   4. Overview of the Ninth Medium-term Management Plan                        p. 11

   5. Basic Strategies of the Ninth Medium-term Management Planp. 12

   6. Business Growth Strategy: Marketing Strategyp. 13

      : Alliance Strategyp. 14

      : Smart Operation Strategy                                p. 15

   7. Management Foundation Strategy: Human Resources Strategy                   p. 16

      : Data-driven Management Strategyp. 17

      : Financial Capital Strategy                                p. 18

   8. Forecast for FY3/2027 p. 19

   9. Shareholder returns for FY3/2027                                                                   p. 20

2

1. Corporate Philosophy

   1. Corporate Philosophy

      Ahead of the 60th anniversary of its foundation in July 2026, the Hibiya Group has reflected on its history and established a new Corporate Philosophy aimed at achieving sustainable growth into the future.

      Corporate Philosophy

We value the technologies and pride we have built over the years and carry them into the next era as we continue to grow.

※ “Uruoi” is a Japanese concept describing a holistic enrichment of life －encompassing comfort, security, and emotional well-being － beyond material abundance. 4

1. Purpose

   Our purpose, which embodies the values that our group has inherited since its founding and the intention for the future that we want to connect to the next era, is the universal reason for our group's existence

   私たちは、時代の変化に一つひ とつ誠実に向き合い、仲間とともに社会の安全・安心をかたちにしてきました。

   その積み重ねこそが、私たちの 存在意義です。

   そして私たちは、快適な空間が 広がり、

   豊かで満ち足りた暮らしをもたらす”うるおい”を、さまざまなかたちで未来へつないでいきます。

   これから先も、変わりゆく未来 の中で、

   私たちはお客様やパートナーとともに歩み続けます。

   The reason we exist

   Together, for "Uruoi" in the society beyond today

   We have responded to each change with integrity and, together with our colleagues, helped build a safe and secure society.

   That steady accumulation of effort is the very reason we exist.

   Going forward, we will carry “Uruoi” into the future in many forms—enrichment that spreads comfortable spaces and brings richer, more fulfilling lives.

   As the future continues to evolve, we will keep walking forward together with our customers and partners.

1. Value

Our values and guiding principles to realize our purpose

We act with integrity and fulfill our responsibilities to all stakeholders.

Challenge and co-creation

We embrace change, take on challenges, and create new value together with our colleagues and customers.

Integrity and responsibility

Our Values are built on three pillars: Challenge and co-creation, which drive us to take on the future together; Integrity and responsibility, which form the foundation of trusted behavior; and Inheritance and evolution, which connect value from the past to the future through continued growth. Together, these three Values complement one another and serve as guiding principles that enable us to keep walking alongside society, even in times of change.

Challenge and co-creation generate new value. Integrity and responsibility give that value trust and credibility. Inheritance and evolution carry it forward into the future in a sustainable way.

These three Values are the starting point for our actions in realizing our Purpose: “Walking together for the enrichment of society.”

6

1. Ninth Medium-term Management Plan FY2026-FY2028