Nihon Nohyaku : Notice of Differences Between Consolidated Earnings Forecast and Actual Results for the Fiscal Year Ended March 31, 2026 and Increase in Dividend

May 13, 2026

To whom it may concern

NIHON NOHYAKU CO., LTD. (hereinafter referred to as the "Company") announces, as follows, the differences between the consolidated earnings forecast announced on November 10, 2025, and the actual results for the fiscal year ended March 31, 2026, as well as an increase in dividend resolved at the meeting of the Board of Directors held today.

1. Differences Between Consolidated Earnings Forecast and Actual Results for the Fiscal Year Ended March 31, 2026 (April 1, 2025 to March 31, 2026)

   (Millions of yen)

   	Net sales	Operating profit	Ordinary profit	Profit attributable to owners of parent	Earnings per share (Yen)
   Previous forecast (A)	109,300	9,200	8,000	5,400	68.98
   Actual Results (B)	111,822	10,878	10,527	7,228	92.32
   Difference (B-A)	2,522	1,678	2,527	1,828
   Change (%)	2.3	18.2	31.6	33.9
   (Reference) Results for the previous fiscal year (fiscal year ended March 31, 2025)	99,966	8,576	7,086	2,356	30.06

2. Reasons for the differences

   Mainly in North America, sales market share increased as the Company's products gained wider adoption not only in its core fruit tree segment but also in the nuts crop segment. In California, the United States, a key market for the Company, a significant rise in temperatures from late February to March 2026 accelerated crop growth and increased pest pressure, leading to higher sales of the insecticides buprofezin and fenpyroximate. As a result, net sales exceeded the previous forecast.

   Operating profit also exceeded the previous forecast due to increased sales, particularly in North America, which has higher profit margins. In addition, ordinary profit and profit attributable to owners of parent surpassed the previous forecast, reflecting compensation income related to data use of crop protection registrations at the U.S. subsidiary and increase from equity-method investments due to strong performance by affiliated company in Europe.

3. Details of the Dividend of Retained Earnings for the Fiscal Year Ended March 31, 2026

   	Determined Amount	Most recent dividend forecast (Announced on November 10, 2025)	Actual results for the previous fiscal year (Fiscal year ended March 31, 2025)
   Record date	March 31, 2026	same as on the left	March 31, 2025
   Dividend per share	24.00 yen	15.00 yen	12.00 yen
   Total amount of dividends	1,890 million yen	-	945 million yen
   Effective date	June 18, 2026	-	June 19, 2025
   Source of dividend Retained earnings	Retained earnings	-	Retained earnings

4. Reasons for the Increase in Dividend

As operating profit, ordinary profit, and profit attributable to owners of parent are expected to exceed the previous forecast as described in 2. above, and based on the dividend policy set forth in the current medium-term management plan of "paying dividends aiming for a dividend payout ratio of 40% under the basic policy of progressive dividends," the year-end dividend forecast will be 24.00 yen per share, an increase of 9.00 yen from 15.00 yen in the previous forecast. As a result, annual dividends per share and a dividend payout ratio for the current fiscal year are planned to be 36.00 yen and 39.0%, respectively. This matter is scheduled to be submitted for approval at the 127th Ordinary General Meeting of Shareholders to be held on June 17, 2026.

(Reference) Breakdown of annual dividends