Summary of Non-Consolidated Financial Results for the Three months ended September 30, 2025 (Based on Japanese GAAP)

Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Company name: JAPAN PURE CHEMICAL CO.,LTD.

Stock exchange listing: Tokyo

Stock code: 4973 URL https://www.netjpc.com

Representative: Representative Director and President Tomoyuki Kojima Senior Director, General Manager of Corporate

October 24, 2025

Inquiries:

Planning Division and Finance Division

Motoki Watanabe TEL 03-3550-1048

Schedule date of submission of semiannual report: November 10, 2025 Schedule date of dividend payment commencement: December 1, 2025 Preparation of supplementary material on financial results: Yes

Holding of financial results meeting: Yes (For institutional investors and analysts)

(Amounts less than one million yen are rounded down)

1. 2nd Quarter Results for the Fiscal Year Ending March 31, 2026 (April 1, 2025 to September 30, 2025)

1. Operating results(cumulative total) (Percentage figures represent changes from the same period of the previous year.)

   	Net sales		Operating profit		Ordinary profit		Net profit
   	Million yen	％	Million yen	％	Million yen	％	Million yen	％
   Six months ended September 30, 2025	7,536	19.0	271	1.9	378	5.0	624	(24.0)
   Six months ended September 30, 2024	6,330	4.8	266	74.1	359	37.2	822	306.4

   	Earnings per share	Diluted earnings per share
   Six months ended September 30, 2025 Six months ended September 30, 2024	Yen 108.04 142.56	Yen 107.20 141.29

   (Reference) Shareholders' equity	Six months ended September 30, 2025	15,479 Million yen
   2. Cash dividends	Year ended March 31, 2025	13,508 Million yen

2. Financial position

(Note) Revision of dividend forecast from the latest announcement: No

1. Forecast for the fiscal year ending March 31, 2026 (April 1, 2025 - March 31, 2026)

   	Net sales		Operating profit		Ordinary profit		Net Profit		Earnings per share
   Full year	Million yen 14,000	% 11.0	Million yen 510	% 1.5	Million yen 670	% 1.9	Million yen 1,450	% (8.2)	Yen 250.64

   (Percentage figures are changes from the previous year)

   (Note) Any revisions from the most recently announced earnings forecast: Yes Notes

   1. Adoption of accounting methods specific to the preparation of quarterly financial statements: No

   2. Changes in accounting policies, changes in accounting estimates, and restatements of prior period financial statements

      Changes in accounting policies due to revisions to accounting standards and other regulations: No Changes in accounting policies due to other reasons: No

      Changes in accounting estimates: No

      Restatement of prior period financial statements: No

   3. Number of shares issued and outstanding (Common Stock)

      (a) Number of shares issued and outstanding at the end of the period (including Treasury Shares)	As of September 30, 2025	6,067,200	Shares	As of Mar 31, 2025	6,067,200	Shares
      (b) Number of Treasury Shares at end of the period	As of September 30, 2025	282,207	Shares	As of Mar 31, 2025	290,707	Shares
      (c) Average number of shares during the period (cumulative interim period)	Six months ended September 30, 2025	5,779,841	Shares	Six months ended September 30, 2024	5,766,168	Shares

      Review of the accompanying interim financial statements by a certified public accountant or auditing firm: No Explanation of appropriate use of earnings forecasts and other special notes:

      • The forward-looking statements, including earnings forecasts, contained in these materials are based on information currently available to the Company and on certain assumptions deemed to be reasonable. Actual results may differ significantly due to various factors.

      • The Company plans to hold a financial results briefing for institutional investors and analysts on Friday, October 24, 2025.

The supplementary financial results presentation materials are available on our website.

1. Qualitative Information on Quarterly Financial Statements

   1. Explanation of Operating Results for the current quarter

      During the six months ended September 30, 2025, the global economy showed a moderate recovery trend. However, the outlook remained uncertain due to developments in trade and monetary policies in various countries, as well as heightened geopolitical risks. Rising resource and energy prices and delays in logistics contributed to inflationary pressures, affecting monetary policy operations and causing fluctuations in interest rates, foreign exchange, and stock markets.

      In the United States, the economy remained generally firm, supported by solid employment conditions and an increase in personal consumption. However, despite policy rate cuts, interest rates stayed at relatively high levels, and concerns about further inflation due to tariffs persisted, leaving the situation unpredictable. In Europe, the economy maintained a moderate recovery supported by personal consumption, but growth slowed as the slump in manufacturing continued. In China, economic conditions temporarily improved due to stimulus measures and a rush in exports ahead of additional U.S. sanctions; however, overall activity remained sluggish, weighed down by weak real estate investment and consumer spending. In Japan, the economy continued to recover moderately, supported by solid personal consumption and inbound demand, although rising prices persisted and manufacturing lacked momentum.

      In the electronic components industry, demand related to AI servers and data centers continued to perform strongly, driven by robust demand for generative AI. However, demand in the consumer segment, such as for smartphones and personal computers, and in the industrial equipment segment, including factory automation (FA) machinery, showed only a moderate recovery amid the impact of ongoing U.S.-China trade tensions.

      In the automotive electronic components segment, demand increased moderately due to greater electrification-such as the adoption of advanced driver assistance systems (ADAS)-but overall demand was sluggish, affected by the U.S. tariff measures and the slowdown in the growth of electric vehicles (EVs).

      For our company, sales of plating chemicals for printed circuit boards and semiconductor substrates remained strong in applications related to semiconductor packages, modules, and memory devices for generative AI, supported by vigorous demand in this field. However, sales for consumer electronics, including smartphones and personal computers, showed only a moderate recovery. Sales of plating chemicals for connectors remained firm in the smartphone and industrial equipment segments, although they were somewhat sluggish in the automotive segment. Sales of plating chemicals for lead frames were solid in the consumer segment but showed signs of stagnation in the automotive segment, reflecting the impact of continued inventory adjustments.

      As a result, net sales totaled 7,536 million yen, (up 9.0% year-on-year). Operating profit was 271 million yen (up 1.9% year-on-year), ordinary profit was 378 million yen (up 5.0% year-on-year), and net profit for the interim period was 624 million yen (down 24.0% year-on-year).

      Net sales by application were 3,806 million yen for Printed circuit boards and Semiconductor substrates, 1,057 million yen for Connectors and micro switches, 2,487 million yen for Lead frames and 184 million yen for others:

   2. Summary of Financial Position

      1. Description of financial position

         (Unit: Million yen)

         	March 31, 2025	September
         		30, 2025	Increase/Decrease	Main reasons for increase/decrease
         Current assets	9,544	9,535	(9)	Cash and deposits (312)、Raw materials and supplies (53), Other (47), Accounts Receivable +339 , Merchandise and finished goods +64
         Fixed assets	6,312	8,742	2,429	Investment securities +2,442
         Total assets	15,856	18,277	2,420	-
         Current liabilities	784	439	(345)	Income taxes payable (332)、 Accounts payable (39)
         Non-current liabilities	1,477	2,271	794	Deferred tax liabilities＋794
         Total liabilities	2,261	2,710	448	-

         Total net assets	13,594	15,566	1,971	Net unrealized gains (losses) on investment securities＋1,683, Retained earnings +260
         Total liabilities and net assets	15,856	18,277	2,420	-

         Total assets amounted to 18,277 million yen, an increase of 2,420 million yen from the end of the previous fiscal year.

         This was mainly due to an increase in investment securities, as the rise in market value more than offset the progress made in their sales.

         Total net assets amounted to 15,566 million yen, an increase of 1,971 million yen from the end of the previous fiscal year.

         This was mainly due to an increase in retained earnings resulting from the recording of net profit for the interim period, partially offset by dividend payments, as well as an increase in valuation differences on the investment securities reflecting the rise in their market value.

   3. Explanation of earnings forecasts and other forward-looking information

      The Company, in its Medium-Term Management Plan FY2025-FY2027 disclosed on April 28, 2025, set forth a policy regarding specified shares to "reduce the ratio of such shares to less than 20% of net assets during the period of this plan."

      As a result of gains on sales of investment securities (extraordinary income) arising from the sale of shares, including those described in the "Notice Regarding Recording of Gain on Sale of Investment Securities (Extraordinary Income)" dated July 25, 2025, and the "(Update on Disclosed Matter) Notice Regarding Recording of Gain on Sale of Investment Securities (Extraordinary Income)" announced today, net income for the current fiscal year is expected to increase.

      For further details, please refer to the "Notice of Revisions of Full-Year Earnings Forecasts" announced today (October 24, 2025).

   4. Basic Policy on Profit Distribution and Dividends for the Current and Next Fiscal Years

      Based on this policy, the Board of Directors is scheduled to approve an ordinary dividend of 63 yen at its May 2025 meeting with respect to the year-end dividend for the current fiscal year. As a result, the annual dividend per share, including the interim dividend, will be 126 yen.

      For the next fiscal year, we plan to pay an annual dividend of 126 yen per share.

      Regarding profit distribution, our basic policy is to ensure flexible shareholder returns in line with our earnings performance, while securing internal reserves necessary for future business development, strengthening the foundation of the management, and growth investments.

      In addition, with the aim of achieving long-term growth while maintaining a balance between capital efficiency and financial soundness, and in line with our stance as a Prime Market-listed company to provide a stable level of shareholder returns not unduly affected by short-term performance, we introduced a Dividend on Equity (DOE) system-setting a minimum threshold of 5% in addition to the dividend payout ratio-starting with the year-end dividend for the fiscal year ended March 31, 2024.

      Based on this policy, we plan to pay an annual dividend of 126 yen per share for the current fiscal year.

   5. Policy on Specified Investment Shares

In terms of business strategy and business relationships with business partners, the Company holds shares only of companies that would provide feedback on our product development and problem-solving. The Company has set a policy to reduce such strategic shareholdings to less than 20% of net assets.

The appropriateness of these holdings is regularly reviewed through discussions at the CX Progress Committee, which includes both members of the Board of Directors and external experts-as well as at Board meetings, and shares that do not meet the above conditions are subject to sale in line with this policy.

*Sales during the relevant quarter

1. Financial Statements and Notes

   1. Non-consolidated Balance Sheet

Previous fiscal year (March 31, 2025)

(Unit: Thousand yen)

Current fiscal year (September 30, 2025)

Assets