Summary of Financial Results for the Second Quarter (Interim)（342 KB）

November 5, 2025

Company name: Kyushu Railway Company

Stock exchange listings:

Tokyo and Fukuoka

Securities code: 9142

URL: https://www.jrkyushu.co.jp/ Representative: Yoji Furumiya, President and CEO

Contact: Rie Kanegae, General Manager, Public Relations Department Tel.: +81-92-474-3677

Scheduled date for filing of interim report: November 7, 2025

Planned date of dividend payment commencement: December 3, 2025 Preparation of supplementary explanations for financial results: Yes

Holding of a briefing on quarterly financial results: Yes (for institutional investors and securities analysts)

(Amounts less than one million yen, except for per share amounts, are omitted.)

1. Consolidated Financial Results for the Six-Month (Interim) Period Ended September 30, 2025 (From April 1, 2025 to September 30, 2025)
   1. Consolidated operating results (Percentages show year-on-year changes.)

      	Operating revenue		Operating income		Ordinary income		Net income attributable to owners of the parent
      Six months ended	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
      September 30, 2025	237,616	14.0	40,887	38.4	41,026	38.7	22,333	(1.4)
      September 30, 2024	208,412	9.3	29,535	10.1	29,577	5.4	22,649	(19.1)

      (Note) Comprehensive income: Six months ended September 30, 2025: ¥32,147 million [53.7%]

      Six months ended September 30, 2024: ¥20,912 million [(39.9%)]

      	Net income per share - basic	Net income per share - diluted
      Six months ended	Yen	Yen
      September 30, 2025	144.93	-
      September 30, 2024	144.38	-

   2. Consolidated financial position

   	Total assets	Net assets	Equity ratio
   	Millions of yen	Millions of yen	%
   As of September 30, 2025	1,172,479	474,110	40.2
   As of March 31, 2025	1,140,509	458,620	40.0

   (Reference) Shareholders' equity: As of September 30, 2025: ¥471,174 million As of March 31, 2025: ¥456,507 million

2. Dividends

   	Annual dividends
   	First quarter-end	Second quarter-end	Third quarter-end	Fiscal year-end	Total
   	Yen	Yen	Yen	Yen	Yen
   Year ended March 31, 2025	-	46.50	-	51.50	98.00
   Year ending March 31, 2026	-	57.50
   Year ending March 31, 2026 (Forecast)			-	57.50	115.00

   (Note) Revisions to the most recently disclosed dividend forecasts: No

3. Consolidated Forecasts for the Fiscal Year Ending March 31, 2026 (April 1, 2025 to March 31, 2026)

(Percentages show year-on-year changes.)

(Note) Revisions to the most recently disclosed financial forecasts: Yes

(Note 2) For details regarding the revision of the consolidated performance forecast, please refer to the "Notice Regarding Revision of the Full-Year Performance Forecast for the Fiscal Year Ending March 31, 2026" released on November 5, 2025.

1. Significant changes in the scope of consolidation during the six months ended September 30,2025: Yes

   Newly added: Two companies, including Meijikensetsu Co., Ltd.; excluded: One company, JR Kyushu Linen Co., Ltd.

   Note: For details, see "Changes in the Scope of Consolidation or Application of the Equity Method" on page 9 of the Attachments

2. Application of special accounting treatment in preparing the interim consolidated financial statements: No

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

   1. Changes in accounting policies with revision of accounting standards: No

   2. Changes in accounting policies other than the above: No

   3. Changes in accounting estimates: No

   4. Restatement of revisions: No

4. Number of shares outstanding (common stock)

Note: The number of shares of treasury stock at the end of the period includes the number of shares of the Company's stock held by the Board Benefit Trust (BBT) (1H FY2026/3, 172,800 shares; FY2025/3, 176,600 shares) and shares of the Company's stock held by the Stock-based Benefit Trust (Employee Shareholders Association Purchase-type) (1H FY2026/3, 786,300 shares, FY2025/3, 934,600 shares). In addition, the number of shares of the Company's stock held by the Board Benefit Trust (BBT) (1H FY2026/3, 175,333 shares; 1H FY2025/3, 176,600 shares) and shares of the Company's stock held by the Stock-based Benefit Trust (Employee Shareholders Association Purchase-type) (1H FY2026/3, 851,867 shares; 1H FY2025/3, 252,133 shares) are included in the treasury stock that is subtracted in the calculation of the average number of shares during the period.

• This summary of interim financial results is not subject to audits by certified public accountants or accounting auditors.

• Explanation of Appropriate Uses of Performance Forecasts and Other Important Items:

Performance forecasts and other forward-looking statements appearing in this document are based on currently available information and specific assumptions deemed rational, and are not assurances that the Company will achieve these forecasts. Actual performance can vary greatly depending on various factors such as fluctuations in interest rates, fluctuations in share prices, changes in exchange rates, fluctuations in the value of assets, changes in the economic and financial environment, changes in the conditions of competition, occurrences of large-scale and other disasters, and changes in regulations.

Supplementary quarterly materials are attached to this summary of interim consolidated financial results.

A financial results briefing for institutional investors and securities analysts is scheduled to be held on November 6, 2025 (Thursday). The

presentation materials used for this briefing will be posted on TDnet and the Company's website.

1. Operating Results Overview ２

2. Interim Consolidated Financial Statements and Major Notes ３

   1. Interim Consolidated Balance Sheets ３

   2. Interim Consolidated Income Statements and Interim Consolidated Comprehensive Income Statements ５

      Interim Consolidated Income Statements ５

      Interim Consolidated Comprehensive Income Statements ６

   3. Interim Consolidated Statements of Cash Flows ７

   4. Notes to Interim Consolidated Financial Statements ９

(Notes on Going Concern Assumption) ９

(Changes in the Scope of Consolidation or Application of the Equity Method) ９

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

(Additional Information) ９

(Notes on Segment Information, etc.) 10

1. Operating Results Overview

   Consolidated operating revenue for the six months under review increased for the fifth consecutive period, driven by higher railway transportation revenue and growth in revenue from the sale of real estate. As a result, consolidated operating income and consolidated ordinary income also rose for the fifth consecutive period. However, due to the booking of a loss associated with the cancellation of the project utilizing the space above the tracks at Hakata Station, net income attributable to owners of the parent declined for the second consecutive period.

   The Group's business performance by segment is as follows.

   (Millions of Yen)

   	Operating revenue			Operating income/loss			EBITDA (Note 2)
   	1H FY2026/3	YoY		1H FY2026/3	YoY		1H FY2026/3	YoY
   Transportation	92,222	10,050	12.2%	18,533	6,244	50.8%	25,713	6,960	37.1%
   Real Estate and Hotels	76,662	15,494	25.3%	17,876	4,717	35.9%	26,984	4,902	22.2%
   Real estate lease	39,968	2,301	6.1%	10,300	1,062	11.5%	17,537	1,079	6.6%
   Real estate sale	20,896	12,422	146.6%	4,582	3,688	412.6%	4,587	3,686	408.8%
   Hotel	15,798	770	5.1%	2,993	(33)	(1.1%)	4,858	136	2.9%
   Retail and Restaurant	34,690	2,263	7.0%	2,049	175	9.4%	2,747	172	6.7%
   Construction	40,644	4,070	11.1%	687	447	186.5%	1,312	463	54.6%
   Business Services	39,347	2,665	7.3%	2,323	330	16.6%	3,661	102	2.9%
   Total	283,566	34,544	13.9%	41,469	11,915	40.3%	60,419	12,602	26.4%
   Adjustment (Note 1)	(45,950)	(5,341)	-	(582)	(563)	-	(784)	(570)	-
   Amount on the consolidated financial statements	237,616	29,203	14.0%	40,887	11,351	38.4%	59,635	12,031	25.3%

   (Notes) 1. Adjustments reflect the elimination of intersegment transactions.

2. Consolidated EBITDA = operating income + depreciation (after elimination of intersegment transactions, excluding the cost of depreciation related to lease assets held for the purpose of subleasing),

segment EBITDA = segment operating income + segment depreciation (before elimination of intersegment transactions, excluding the cost of depreciation related to lease assets held for the purpose of subleasing)

For further details, please refer to the "Financial Results Presentation Materials for the Second Quarter, FY2026.3," which is scheduled to be posted on TDnet and the Company's website on Thursday, November 6, 2025.

1. Interim Consolidated Balance Sheets

   FY 2025/3

   (As of March 31, 2025)

   (Millions of Yen)

   1H FY2026/3

   (As of September 30, 2025)

   ASSETS

   Current assets

   Cash and time deposits 35,057 37,119

FY 2025/3

(As of March 31, 2025)

(Millions of Yen)

1H FY2026/3

(As of September 30, 2025)

LIABILITIES

Current liabilities

1. Interim Consolidated Income Statements and Interim Consolidated Comprehensive Income Statements (Interim Consolidated Income Statements)

(Millions of Yen)

NET INCOME ATTRIBUTABLE TO

OWNERS OF THE PARENT

22,649 22,333

(Interim Consolidated Comprehensive Income Statements)

(Millions of Yen)

TRANSLATION DIFFERENCES FOR CASH AND

CASH EQUIVALENTS

75 4

NET CHANGE IN CASH AND CASH EQUIVALENTS (14,810) 15,749

OF THE PERIOD

FROM NEWLY CONSOLIDATED SUBSIDIARIES PERIOD

1. Notes to Interim Consolidated Financial Statements

   (Notes on Going Concern Assumption)

   None

   (Changes in the Scope of Consolidation or Application of the Equity Method)

   Meijikensetsu Co., Ltd. and Showatecs Co., Ltd. have been included in the scope of consolidation from the first half of FY2026.3 due to their increased materiality.

   JR Kyushu Linen Co., Ltd. has been excluded from the scope of consolidation from the first half of FY2026.3 following its absorption-type merger into JR Kyushu Service Support Co., Ltd., the surviving company.

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

   None

   (Additional Information)

   (Damage caused by the "Heavy Rains Beginning August 6, 2025")

   In August 2025, heavy rainfall occurred across parts of Kyushu, causing damage such as mudslides and embankment collapses on the Nippo Main Line, Hisatsu Line, and other lines. Of the restoration-related costs stemming from this event, those incurred during the first half of FY2026.3, have been recorded under "loss on disaster." Additionally, estimated costs expected to be incurred after the first half of FY2026.3 onward have been reasonably calculated and recorded as "provision for loss on disaster" under extraordinary losses during the first half of FY2026.3.

   (Cancellation of Treasury Stock)

   At a meeting of the Board of Directors held on September 2, 2025, the Company resolved to cancel treasury stock pursuant to Article 178 of the Companies Act.

   1. Reason for the cancellation: To enhance shareholder returns and improve capital efficiency

   2. Type of shares cancelled: Common stock of the Company

   3. Total number of shares cancelled: 2,652,600 shares

      (Equivalent to 1.69% of total shares outstanding before cancellation)

   4. Effective date of cancellation: September 9, 2025

As a result, during the first half of FY2026.3, "treasury stock" and "capital surplus" under net assets in the

consolidated balance sheet each decreased by ¥9,999 million.

(Notes on segment information, etc.) (Segment information)

1H FY2025/3 (from April 1 to September 30, 2024)

1. Information Related to Operating Revenue and Income (Loss) by Segment

   (Millions of Yen)

   	Reportable Segment					Total	Adjustment (Note 1)	Interim Consolidated Statements of Income (Note 2)
   	Transportation	Real Estate and Hotels	Retail and Restaurant	Construction	Business Services
   Operating Revenue
   Outside Customers	79,710	58,772	32,237	17,316	20,375	208,412	-	208,412
   Inside Group	2,460	2,395	189	19,256	16,306	40,609	(40,609)	-
   Total	82,171	61,167	32,427	36,573	36,681	249,021	(40,609)	208,412
   Segment income	12,288	13,158	1,874	239	1,992	29,554	(18)	29,535

   (Notes) 1. The ¥(18) million deduction from segment income (loss) reflects the elimination of intersegment transactions.

2. Segment income (loss) has been adjusted for the operating income figure on the interim consolidated income statements.

1H FY2026/3 (from April 1 to September 30, 2025)

1. Information Related to Operating Revenue and Income (Loss) by Segment

   (Millions of Yen)

   	Reportable Segment					Total	Adjustment (Note 1)	Interim Consolidated Statements of Income (Note 2)
   	Transportation	Real Estate and Hotels	Retail and Restaurant	Construction	Business Services
   Operating Revenue
   Outside Customers	89,704	74,154	34,487	18,421	20,847	237,616	-	237,616
   Inside Group	2,517	2,507	202	22,222	18,499	45,950	(45,950)	-
   Total	92,222	76,662	34,690	40,644	39,347	283,566	(45,950)	237,616
   Segment income	18,533	17,876	2,049	687	2,323	41,469	(582)	40,887

   (Notes) 1. The ¥(582) million deduction from segment income (loss) reflects the elimination of intersegment transactions.

2. Segment income (loss) has been adjusted for the operating income figure on the interim consolidated income statements.