Ichikoh Industries : Consolidated Financial Results for the Second Quarter of the Fiscal Year Ending December 31, 2025

August 8, 2025

Company name: ICHIKOH INDUSTRIES, ltd.

Stock exchange listings: Tokyo Stock Exchange

Stock code: 7244

URL: https://http://www.ichikoh.com/

Representative: Christophe Vilatte, President, CEO, representative director

Contact: Tomonori Hisano, GM of Corporate Planning Department

TEL: +81 463-96-1442

Scheduled date for submission of interim report: August 8, 2025 Supplementary materials for financial summaries: Yes

Financial results briefing: Yes

(Amounts of less than one million yen are rounded down.)

1. Consolidated Financial Results for the Six Months of the Fiscal Year Ending December 31, 2025 (from January 01, 2025 to June 30, 2025)
   1. Consolidated operating results (Cumulative) (Percentages indicate YoY changes)

      	Net sales		Operating	profit	Ordinary profit		Profit attributable to owners of parent
      Six months ended	Million yen	%	Million yen	%	Million yen	%	Million yen	%
      June 30, 2025	55,546	(10.7)	2,684	52.7	3,663	57.3	2,597	87.9
      June 30, 2024	62,182	(17.9)	1,758	(53.4)	2,329	(38.4)	1,382	(45.2)

      (Note) Comprehensive income For the six months ended December 31, 2025: 1,427 million yen ((62.6)%) For the six months ended December 31, 2024: 3,821 million yen (1.0%)

      	Basic earnings per share	Diluted earnings per share
      Six months ended	Yen	Yen
      June 30, 2025	27.00	-
      June 30, 2024	14.37	-

   2. Consolidated financial positions

   	Total assets	Net assets	Capital adequacy ratio
   As of	Million yen	Million yen	%
   June 30, 2025	121,145	71,677	58.5
   December 31, 2024	130,089	70,951	53.8

   (Reference) Owner's equity As of the six months ended December 31, 2025: 70,835 million yen As of December 31, 2024: 70,048 million yen

2. Cash dividends

   	Annual dividends
   	End of first quarter	End of second quarter	At the end of the third quarter	Fiscal year-end	Total
   Fiscal year ended December 31, 2024 Fiscal year ending December 31, 2025	Yen	Yen	Yen	Yen	Yen
   	- -	6.50 7.00	-	6.50	13.00
   Fiscal year ending December 31, 2025 (Forecast)			-	7.00	14.00

   (Note) Presence or absence of revisions to the most recently announced dividend forecast: None

3. Consolidated Earnings Forecasts for the Fiscal Year Ending December 31, 2025 (from January 01, 2025

(Percentages indicate YoY changes)

(Note) Correction of financial forecast from the most recent financial forecast: None

* Notes

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

2. Application of accounting procedures specific to the preparation of interim consolidated financial statements

   : Yes

3. Changes in accounting policies, Changes in accounting estimates, Retrospective restatement

   1. Changes in accounting policies based on revisions of accounting standard

      : Yes

   2. Changes in accounting policies other than (i) above : None

   3. Changes in accounting estimates : None

   4. Retrospective restatement : None

4. Number of shares issued (common stock)

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

      As of June 30, 2025	96,431,141 shares
      As of December 31, 2024	96,363,161 shares

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

      As of June 30, 2025	181,550 shares
      As of December 31, 2024	181,424 shares

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

• The second quarter (interim) financial results report is not subject to review by certified public accountants or audit corporations.

• Notes on the appropriate use of forecasts and other special items

Forward-looking statements such as forecasts of business performance contained in this document are based on information currently available to the Company and on certain assumptions deemed reasonable. Actual results may differ significantly due to various factors.

1. Qualitative information regarding the quarterly financial results

   (1) Explanation of operating results

   During the six months ended June 30, 2025, the Japanese economy showed a moderate recovery, supported by resilient capital investment, particularly in software, and inbound demand, despite some impact from U.S. trade policies. In the United States, personal consumption declined due to price increases caused by the pass-through of tariffs, and although corporate production activities expanded slightly, economic conditions remained unstable as companies postponed capital investment due to uncertainty about the future. In ASEAN, Malaysia maintained steady growth driven by domestic demand, supported by improvements in the labor market and income-related policies. However, Indonesia continued to experience sluggish domestic demand, and the effects of economic stimulus measures were limited by the fiscal deficit, resulting in a decelerating economy. In Thailand, weak consumer spending and sluggish capital investment due to uncertainty over U.S. tariff policies weighed on the economy, with lackluster domestic demand acting as a drag on growth.

   Under these circumstances, during the six months ended June 30, 2025, the number of automobiles produced in Japan, our main market, showed a slight increase year on year due to a recovery from production declines caused by vehicle certification issues. In ASEAN, however, continued economic stagnation led to a year-on-year decrease in automobile production.

   As a result, for the six months ended June 30, 2025, due in part to production decreases by certain automobile manufacturers, both the Japanese domestic and ASEAN markets declined compared to the overall market, resulting in net sales of 55,546 million yen (down 10.7% YoY). However on temporary factors and by passing increased raw material costs to sales prices, improving productivity through reduced defect rates in ASEAN, and other rationalization efforts, the company was able to offset the profit decrease caused by lower sales. As a result, operating profit was 2,684 million yen (up 52.7% YoY), ordinary profit was 3,663 million yen (up 57.3% YoY), and profit attributable to owners of parent was 2,597 million yen (up 87.9% YoY), resulting in higher profits despite lower sales.

   Note: As the Group's segments for the six months ended June 30, 2025 consist of a single segment, the Automotive Parts

   business, segment information is omitted.

   (3) Explanation regarding consolidated forecasts and other forward-looking information

   Regarding forecasts, the market outlook for automobile production remains uncertain due to concerns such as U.S. tariff policies and delays in new vehicle development. Despite these headwinds, we expect improvements in quality and production recovery in the ASEAN region, thorough cost reductions, and increased productivity. Therefore, there are no revisions to the figures announced on February 14, 2025.

   Also, there are no changes to the year-end dividend forecast.

   Please note that any statements regarding forecasts or other forward-looking information contained in this document are based on information currently available to the Company and on certain assumptions deemed reasonable. Actual results may differ due to various factors.

2. Interim Consolidated Financial Statements and Main Notes

(1) Interim Consolidated Balance Sheet

(Unit: Million yen)

As of December 31, 2024 As of June 30, 2025

Assets

Liabilities

(Unit: Million yen) As of December 31, 2024 As of June 30, 2025

Current liabilities