Summary of Consolidated Financial Results for the Year Ended March 31, 2025(Unaudited)

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Nihon Seiko Co., Ltd.

https://www.nihonseiko.co.jp

Tokyo

5729

Noritaka Ueda, President & CEO

Yoshitaro Oonishi, Director, General Manager, Corporate Planning ＆ Administration Dept.

Tel +81-3-3235-0021

Net sales

Operating income

Ordinary income

Profit attributable to owners of parent

For the years ended

Millions of Yen

%

Millions of Yen

%

Millions of Yen

%

Millions of Yen

%

March 31,2025

25,179

61.5

3,598

433.4

3,531

400.0

2,456

388.5

March 31,2024

15,589

(2.1)

674

(16.0)

706

(10.8)

502

4.3

1.Consolidated Financial Results for the Years Ended March 31,2025 and 2024

(1) Operating Results

EPS

Return on equity

Recurring profit to total assets ratio

Operating income to net sales ratio

For the years ended

Yen

%

%

%

March 31,2025

1,004.01

22.7

19.2

14.3

March 31,2024

205.84

5.3

4.7

4.3

Operating activities

Investing activities

Financing activities

Cash & cash equivalents

at the end of the period

For the years ended

Millions of Yen

Millions of Yen

Millions of Yen

Millions of Yen

March 31,2025

(919)

(628)

645

2,128

March 31,2024

1,546

(1,569)

765

3,023

Net sales

Operating income

Ordinary income

Profit attributable to owners of parent

EPS

Year ending March 31,2025

Millions of Yen

%

Millions of Yen

%

Millions of Yen

%

Millions of Yen

%

Yen

34,900

38.6

3,380

(6.1)

3,290

(6.8)

2,250

(8.4)

919.39

4. Others

(1) Changes in major subsidiaries during the fiscal year ended March 31,2025 : No

(2) Changes in accounting policies, accounting estimates and retrospective restatements in the consolidated financial

statements

1. Changes due to amendment of accounting standards : Yes

2. Changes due to other reasons : No

3. Changes in accounting estimates : No

4. Retrospective restatements : No

(3) Number of outstanding shares at the end of the period

1. Number of outstanding shares at the end of the period:

As of March 31, 2025: 2,605,900

As of March 31, 2024: 2,605,900

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

As of March 31, 2025: 158,617

As of March 31, 2024: 162,711

3. Average number of outstanding shares during period:

As of March 31, 2025: 2,446,275

As of March 31, 2024: 2,442,346

Note concerning the Appropriate Use of Forecast

The aforementioned forecasts are based on certain assumptions that Company has deemed relevant and

appropriate as of the date of publication.

Actual results may differ materially from the forecast due to many factors.

‌(Thousands of yen)

As of March 31, 2024

As of March 31, 2025

Assets

Current assets

Cash and deposits

3,023,275

2,128,680

Notes and accounts receivable - trade

2,867,394

5,109,073

Merchandise and finished goods

1,913,545

3,823,709

Work in process

377,873

404,737

Raw materials and supplies

1,257,623

3,100,380

Other

275,461

423,614

Allowance for doubtful accounts

(9,039)

(17,346)

Total current assets

9,706,134

14,972,851

Non-current assets

Property, plant and equipment

Buildings and structures

5,490,708

5,605,958

Accumulated depreciation

(2,957,109)

(3,122,827)

Buildings and structures, net

2,533,598

2,483,130

Machinery, equipment and vehicles

7,264,011

7,894,256

Accumulated depreciation

(6,606,837)

(6,956,643)

Machinery, equipment and vehicles, net

657,173

937,612

Tools, furniture and fixtures

737,582

770,323

Accumulated depreciation

(673,760)

(684,372)

Tools, furniture and fixtures, net

63,822

85,951

Land

1,436,191

1,436,191

Leased assets

366,471

374,126

Accumulated depreciation

(68,063)

(94,836)

Leased assets, net

298,407

279,289

Construction in progress

577,846

58,935

Total property, plant and equipment

5,567,040

5,281,110

Intangible assets

Other

154,415

136,406

Total intangible assets

154,415

136,406

Investments and other assets

Investment securities

167,412

173,118

Retirement benefit asset

76,540

75,451

Deferred tax assets

44,013

125,503

Other

158,866

173,111

Total investments and other assets

446,832

547,184

Total non-current assets

6,168,288

5,964,701

Total assets

15,874,422

20,937,553

(Thousands of yen)

As of March 31, 2024

As of March 31, 2025

Liabilities

Current liabilities

Notes and accounts payable - trade

1,315,756

2,388,240

Electronically recorded obligations - operating

332,618

333,459

Short-term borrowings

1,579,200

2,965,100

Accounts payable - other

239,815

153,321

Lease liabilities

27,590

28,750

Income taxes payable

116,149

1,121,760

Provision for bonuses

157,110

252,515

Provision for bonuses for directors (and other

officers)

7,625

71,009

Other

454,302

228,158

Total current liabilities

4,230,169

7,542,314

Non-current liabilities

Long-term borrowings

1,191,500

726,400

Lease liabilities

304,242

282,938

Deferred tax liabilities

36,388

33,198

Retirement benefit liability

354,493

365,295

Asset retirement obligations

37,856

38,391

Other

18,603

16,173

Total non-current liabilities

1,943,083

1,462,397

Total liabilities

6,173,253

9,004,711

Net assets

Shareholders' equity

Share capital

1,018,126

1,018,126

Capital surplus

570,142

580,107

Retained earnings

8,200,727

10,412,225

Treasury shares

(151,653)

(149,730)

Total shareholders' equity

9,637,343

11,860,730

Accumulated other comprehensive income

Valuation difference on available-for-sale

securities

50,419

54,382

Foreign currency translation adjustment

13,406

17,728

Total accumulated other comprehensive income

63,826

72,111

Total net assets

9,701,169

11,932,841

Total liabilities and net assets

15,874,422

20,937,553

(Thousands of yen)

Fiscal year ended March 31, 2024

Fiscal year ended March 31, 2025

Net sales

15,589,359

25,179,512

Cost of sales

13,800,147

20,227,084

Gross profit

1,789,212

4,952,427

Selling, general and administrative expenses

Freight-out and storage expense

142,824

162,399

Salaries and allowances

401,709

417,201

Provision for bonuses

37,783

66,140

Provision for bonuses for directors (and other

officers)

1,049

71,009

Retirement benefit expenses

8,818

8,064

Welfare expenses

77,605

78,941

Depreciation

37,598

40,578

Travel and communication expenses

32,038

33,528

Rent expenses

28,853

31,583

Other

346,444

444,975

Total selling, general and administrative expenses

1,114,724

1,354,422

Operating profit

674,487

3,598,004

Non-operating income

Interest income

777

1,783

Dividend income

3,136

5,184

Foreign exchange gains

22,021

-

Insurance claim income

7,098

-

Subsidy income

14,252

5,010

Surrender value of insurance policies

6,373

13,493

Other

9,009

4,362

Total non-operating income

62,669

29,833

Non-operating expenses

Interest expenses

18,533

41,322

Foreign exchange losses

-

37,774

Care and maintenance costs of suspended mine

11,043

15,429

Other

1,310

2,122

Total non-operating expenses

30,887

96,649

Ordinary profit

706,269

3,531,188

Extraordinary income

Gain on sale of non-current assets

-

845

Total extraordinary income

-

845

Extraordinary losses

Loss on retirement of non-current assets

12,768

1,570

Total extraordinary losses

12,768

1,570

Profit before income taxes

693,501

3,530,463

Income taxes - current

184,298

1,160,803

Income taxes - deferred

6,461

(86,422)

Total income taxes

190,759

1,074,381

Profit

502,741

2,456,081

Profit attributable to owners of parent

502,741

2,456,081

(Thousands of yen)

Fiscal year ended March 31, 2024

Fiscal year ended March 31, 2025

Profit

502,741

2,456,081

Other comprehensive income

Valuation difference on available-for-sale securities

22,852

3,963

Foreign currency translation adjustment

2,845

4,321

Total other comprehensive income

25,698

8,284

Comprehensive income

528,440

2,464,366

Comprehensive income attributable to

Comprehensive income attributable to owners of

parent

528,440

2,464,366

Shareholders' equity

Accumulated other comprehensive income

Total net assets

Share capital

Capital surplus

Retained earnings

Treasury shares

Total shareholder s' equity

Valuation difference on available-for-sale

securities

Foreign currency translation adjustment

Total accumulate d other comprehen sive income

Balance at

beginning of period

1,018,126

570,142

8,200,727

(151,653)

9,637,343

50,419

13,406

63,826

9,701,169

Changes during

period

Dividends of

surplus

(244,583)

(244,583)

(244,583)

Profit attributable to

owners of parent

2,456,081

2,456,081

2,456,081

Purchase of

treasury shares

(2,451)

(2,451)

(2,451)

Disposal of

treasury shares

9,965

4,374

14,340

14,340

Net changes in items other than shareholders'

equity

3,963

4,321

8,284

8,284

Total changes

during period

-

9,965

2,211,498

1,923

2,223,386

3,963

4,321

8,284

2,231,671

Balance at end of

period

1,018,126

580,107

10,412,225

(149,730)

11,860,730

54,382

17,728

72,111

11,932,841

(Thousands of yen)

Fiscal year ended March 31, 2024

Fiscal year ended March 31, 2025

Cash flows from operating activities

Profit before income taxes

693,501

3,530,463

Depreciation

522,671

671,605

Increase (decrease) in provision for bonuses

(4,435)

95,405

Increase (decrease) in provision for bonuses for

directors (and other officers)

(18,614)

63,383

Increase (decrease) in allowance for doubtful

accounts

518

8,307

Increase (decrease) in retirement benefit liability

3,723

10,801

Decrease (increase) in retirement benefit asset

(30,974)

1,088

Interest and dividend income

(3,913)

(6,967)

Interest expenses

18,533

41,322

Foreign exchange losses (gains)

239

(258)

Loss (gain) on sale of property, plant and equipment

-

(845)

Loss on retirement of property, plant and equipment

12,768

1,570

Decrease (increase) in trade receivables

(327,574)

(2,240,270)

Decrease (increase) in inventories

156,206

(3,777,766)

Increase (decrease) in trade payables

484,907

1,067,555

Other, net

(15,345)

(159,669)

Subtotal

1,492,211

(694,274)

Interest and dividends received

3,913

6,967

Interest paid

(17,784)

(40,148)

Income taxes paid

(153,939)

(196,934)

Income taxes refund

222,585

5,158

Net cash provided by (used in) operating activities

1,546,985

(919,232)

Cash flows from investing activities

Purchase of property, plant and equipment

(1,546,399)

(624,376)

Proceeds from sale of property, plant and equipment

-

1,239

Payments for retirement of property, plant and

equipment

(11,493)

(570)

Purchase of intangible assets

(5,984)

(7,176)

Other, net

(5,640)

2,230

Net cash provided by (used in) investing activities

(1,569,517)

(628,653)

Cash flows from financing activities

Net increase (decrease) in short-term borrowings

-

1,200,000

Proceeds from long-term borrowings

1,200,000

-

Repayments of long-term borrowings

(162,200)

(279,200)

Repayments of lease liabilities

(27,931)

(28,486)

Purchase of treasury shares

(100)

(2,451)

Dividends paid

(244,147)

(244,583)

Net cash provided by (used in) financing activities

765,620

645,278

Effect of exchange rate change on cash and cash

equivalents

3,987

8,012

Net increase (decrease) in cash and cash equivalents

747,075

(894,594)

Cash and cash equivalents at beginning of period

2,276,200

3,023,275

Cash and cash equivalents at end of period

3,023,275

2,128,680

Reportable segments

Others

Total

Reconciling items

Per consolidated financial statements

Antimony products

Atomized metal powders

Reportable segments

Sales

Revenues from external customers

15,807,418

9,336,247

25,143,665

35,846

25,179,512

-

25,179,512

Transactions with other

segments

2,268

55,506

57,774

1,667

59,441

(59,441)

-

Net sales

15,809,687

9,391,753

25,201,440

37,513

25,238,954

(59,441)

25,179,512

Operating profit (loss)

3,059,958

502,745

3,562,703

4,702

3,567,406

30,598

3,598,004

Assets

12,289,825

8,613,440

20,903,266

34,287

20,937,553

-

20,937,553

Other items

Depreciation

165,058

505,196

670,255

1,350

671,605

-

671,605

Increase in property, plant and equipment and intangible assets

107,152

277,711

384,864

87

384,951

-

384,951