Consolidated Financial Results for the Three Months Ended June 30, 2025 (Japanese GAAP)

August 8, 2025

Company name Mitsuboshi Belting Ltd. Stock exchange listings: Tokyo Prime Securities code 5192 URL https://www.mitsuboshi.com/

Representative Hiroshi Ikeda, President

Inquiries Yasushi Shiotsu, General Manager, Finance & Accounting Department Tel：+81-78-685-5630

Dividend payment date (as planned) － Supplemental material of results：None Convening briefing of results ：None

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

1. Consolidated financial results for the three months ended June 30, 2025 (from April 1, 2025 to June 30, 2025)
   1. Consolidated operating results (cumulative) (Percentages indicate year-on-year changes.)

      	Net sales		Operating profit		Ordinary profit		Profit attributable to owners of parent
      Three months ended June 30, 2025 June 30, 2024	Millions of yen 22,324 22,443	% △0.5 9.2	Millions of yen 2,395 1,591	% 50.5 △21.5	Millions of yen 2,660 2,320	% 14.7 △28.5	Millions of yen 2,065 4,438	% △53.5 102.5

      Note:Comprehensive income	For the three months ended June 30, 2025	¥ 963 million	(△76.2%)
      	For the three months ended June 30, 2024	¥ 4,038 million	(△46.7%)

      	Basic earnings per share	Diluted earnings per share
      Three months ended	Yen	Yen
      June 30, 2025	73.37	-
      June 30, 2024	156.45	-

   2. Consolidated financial position

Note:Revisions to the forecast of cash dividends most recently announced：None

1. Consolidated financial forecast for the fiscal year ending March 31, 2026 (from April 1, 2025 to March 31, 2026)

   (Percentages indicate year-on-year changes.)

   	Net sales		Operating profit		Ordinary profit		Profit attributable to owners of parent		Basic earnings per share
   Six months ending September 30, 2025 Fiscal year ending March 31, 2026	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
   	45,000 89,000	△1.0 △1.7	4,700 8,600	3.3 △3.7	4,600 8,600	7.3 △6.1	3,400 6,800	△44.2 △24.9	120.74 241.42

   Note:Revisions to the earnings forecasts most recently announced：None

   • Notes

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

     2. Changes in accounting policies, changes in accounting estimates, and restatement

        1. Changes in accounting policies due to revisions to accounting standards and other regulations ：None

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

        3. Changes in accounting estimates ：None

        4. Restatement ：None

           As of June 30, 2025	31,104,198 shares	As of March 31, 2025	31,104,198 shares
           As of June 30, 2025	2,957,776 shares	As of March 31, 2025	2,957,787 shares
           Three months ended June 30, 2025	28,146,408 shares	Three months ended June 30, 2024	28,368,166 shares

     3. Number of issued shares (common shares)

        ① Number of issued and outstanding shares at the period end (including

        treasury stock)

        ② Number of treasury stock at the period end

        ③ Average number of shares (quarterly period-YTD)

   • Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm：None

1. Overview of Operating Results for the Current Quarter

   In light of the continued challenging business environment, we have been working to build a more resilient corporate structure. On May 14, 2024, we announced our '24 Mid-Term Business Plan covering fiscal 2024 through fiscal 2026 as a phase of accelerated growth toward realizing our FY2030 Target Position. Under this plan, we have set key performance indicators (KPIs) for profitability, capital efficiency, capital investment, shareholder returns, and ESG, and are actively working toward their achievement.

   For the first quarter of the fiscal year ended March 31, 2026, consolidated net sales declined by 0.5% year on year to ¥22.32 billion, operating income increased by 50.5% to ¥2.39 billion, and ordinary income rose by 14.7% to ¥2.66 billion. Net income attributable to owners of the parent decreased by 53.5% year on year to ¥2.06 billion.

   The result of each segment is as follows.

   (Unit: Millions of Yen)

   	Segment Revenue		Segment Profit
   	Three months ended June 30,2025	Change	Three months ended June 30,2025	Change
   Belts (Japan)	7,319	+5.6%	1,861	△16.4%
   Belts (Global except Japan)	11,872	△2.5%	904	+97.8%
   Construction Materials	1,621	△15.5%	95	+7.2%
   Others	1,511	+6.7%	81	+63.2%

   〔Belts (Japan)〕

   • Sales in the automotive parts sector increased:

   • Sales of electric units, such as EPS, increased, continued to grow steadily.

   • Sales of commercial vehicles for export also increased.

   • Sales in the industrial machinery parts sector increased:

     • Sales of power transmission belts increased, due to recovering demand in agricultural machinery, injection molding machines, and robotic systems.

     • Sales of resin belts, particularly for logistics facilities and food industries, showed steady growth.

       〔Belts (Global, except Japan)〕

     • Sales in the automotive parts sector increased on a local currency basis, but decreased in Japanese yen due to the strong yen exchange rate trend.

     • Sales of electric units, such as EPS, increased.

     • Sales of electric scooter's rear-wheel-drive increased.

     • Sales of recreational vehicles were sluggish due to production adjustments on the customer's sides in the USA.

     • Sales in the industrial machinery parts sector increased both on a local currency basis and on a Japanese yen basis.

       - The launch of new products and acquisition of new customers in the agricultural market contributed to the increase in sales.

       〔Construction Materials〕

     • Sales in the construction sector declined due to labor shortages at construction sites.

     • Sales in civil engineering sector decreased owing to a reduction in the number of large-scale construction projects.

       〔Others〕

     • Outside the reporting segment, other items consist of engineering structural forms, electronic materials, and purchased goods.

     • Sales of electronic materials increased due to progress in developing new applications and the acquisition of new customers for semiconductors and electronic components

2. Forecast for Fiscal Year Ending March 2026

   - There are no revisions to the earnings forecast announced on May 14, 2025.

   Quarterly consolidated financial statements and significant notes thereto
   1. Quarterly consolidated balance sheet

      (Millions of yen)

      
      
      

      As of March 31, 2025 As of June 30, 2025

      Assets

      Current assets

      Cash and deposits	31,584	29,017
      Notes and accounts receivable - trade, and contract assets	18,983	19,641
      Merchandise and finished goods	16,803	16,935
      Work in process	3,767	3,697
      Raw materials and supplies	4,623	4,416
      Other	1,583	1,286
      Allowance for doubtful accounts	△57	△37
      Total current assets	77,289	74,956
      Non-current assets
      Property, plant and equipment
      Buildings and structures	26,600	26,505
      Accumulated depreciation	△17,270	△17,310
      Buildings and structures, net	9,330	9,195
      Machinery, equipment and vehicles	52,840	52,370
      Accumulated depreciation	△42,762	△42,506
      Machinery, equipment and vehicles, net	10,077	9,863
      Tools, furniture and fixtures	16,672	16,749
      Accumulated depreciation	△14,392	△14,508
      Tools, furniture and fixtures, net	2,280	2,241
      Land	4,016	4,015
      Leased assets	1,924	1,873
      Accumulated depreciation	△424	△455
      Leased assets, net	1,499	1,418
      Construction in progress	5,024	6,017
      Total property, plant and equipment	32,227	32,751
      Intangible assets
      Software	346	640
      Goodwill	65	59
      Other	328	55
      Total intangible assets	741	755
      Investments and other assets
      Investment securities	16,189	15,606
      Deferred tax assets	1,228	1,207
      Other	494	495
      Allowance for doubtful accounts	△9	△9
      Total investments and other assets	17,903	17,300
      Total non-current assets	50,872	50,807
      Total assets	128,161	125,763

      (Millions of yen)

      
      
      

      As of March 31, 2025 As of June 30, 2025

      Liabilities

      Current liabilities

      Notes and accounts payable - trade	9,646	9,275
      Short-term borrowings	2,303	2,303
      Current portion of long-term borrowings	1,000	1,000
      Accounts payable - other	3,211	2,855
      Income taxes payable	1,363	578
      Provision for bonuses	841	1,699
      Provision for product warranties	192	191
      Other	3,211	3,886
      Total current liabilities	21,768	21,790
      Non-current liabilities
      Long-term borrowings	2,000	1,750
      Long-term accounts payable - other	150	105
      Deferred tax liabilities	5,945	5,524
      Retirement benefit liability	1,501	1,547
      Asset retirement obligations	312	312
      Provision for share awards	72	91
      Long-term guarantee deposits	393	382
      Other	231	216
      Total non-current liabilities	10,606	9,931
      Total liabilities	32,375	31,722
      Net assets
      Shareholders' equity
      Share capital	8,150	8,150
      Capital surplus	2,293	2,293
      Retained earnings	71,042	70,400
      Treasury shares	△5,960	△5,960
      Total shareholders' equity	75,526	74,883
      Accumulated other comprehensive income
      Valuation difference on available-for-sale securities	9,949	9,548
      Foreign currency translation adjustment	9,816	9,126
      Remeasurements of defined benefit plans	493	483
      Total accumulated other comprehensive income	20,259	19,157
      Total net assets	95,786	94,041
      Total liabilities and net assets	128,161	125,763

   2. Quarterly consolidated statement of income and quarterly consolidated statement of comprehensive income

（Quarterly consolidated statement of income）

(Millions of yen)

Three months ended June 30, 2024

Three months ended June 30, 2025

（Quarterly consolidated statement of comprehensive income）

(Millions of yen)

Three months ended June 30, 2024

Three months ended June 30, 2025

（Notes on segment information, etc.）

【Segment information】

1. Previous First quarter consolidated cumulative period（from April 1,2024 to June 30, 2024） Information on the amounts of sales and profit or loss by reportable segment

   (Millions of yen)

   	Reportable segments				Others	Total	Reconcilin g items	Per quarterly consolidate d financial statements
   	Belts (Japan)	Belts(Glob-al except Japan)	Construction Materials	Reportable segments
   Sales
   Revenues from external customers Transactions with other segments	6,933 3,625	12,175 541	1,917 5	21,026 4,172	1,416 185	22,443 4,357	- △4,357	22,443 -
   Net sales	10,558	12,717	1,923	25,199	1,601	26,800	△4,357	22,443
   Operating profit (loss)	2,226	457	88	2,772	50	2,822	△1,231	1,591

   (attention)

   1. "Others" includes businesses that are not part of any reportable segment, such as production equipment, purchased products from other companies, structural foam molding, electronic materials, and service-related businesses.

   2. Total segment income is reconciled to operating income as presented in the consolidated statements of income.

2. Current First quarter consolidated cumulative period（from April 1,2025 to June 30, 2025） Information on the amounts of sales and profit or loss by reportable segment

   (Millions of yen)

   	Reportable segments				Others	Total	Reconcilin g items	Per quarterly consolidate d financial statements
   	Belts (Japan)	Belts(Glob-al except Japan)	Construction Materials	Reportable segments
   Sales
   Revenues from external customers Transactions with other segments	7,319 3,547	11,872 443	1,621 0	20,813 3,991	1,511 230	22,324 4,222	- △4,222	22,324 -
   Net sales	10,867	12,316	1,621	24,805	1,741	26,547	△4,222	22,324
   Operating profit (loss)	1,861	904	95	2,860	81	2,942	△547	2,395

   (attention)

   1. "Others" includes businesses that are not part of any reportable segment, such as production equipment, purchased products from other companies, structural foam molding, electronic materials, and service-related businesses.

   2. Total segment income is reconciled to operating income as presented in the consolidated statements of income.

Note : This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.