Consolidated Financial Results for FY2026 and Forecast for FY2027594 KB

(May 12, 2026)

Listed company name: NIPPN CORPORATION

Listing: The Prime Market of the Tokyo Stock Exchange

Code number: 2001

URL https://www.nippn.co.jp/en/index.html

Representative: Toshiya Maezuru, President and CEO

Contact: Hideaki Kataoka, General Manager of Corporate Communications Div.

TEL: +81-3-3511-5307

Date of the general meeting of shareholders: June 26, 2026 Payment date of cash dividends: June 29, 2026

Filing date of financial statements: June 23, 2026

Supplementary materials prepared: Yes

Results information meeting held : Yes

*Amounts less than one million yen have been rounded down.

1. Consolidated financial results for the year ended March 31, 2026 (From April 1, 2025 to March 31, 2026)

   1. Consolidated operating results

      (Millions of yen, percentage figures show the rate of change from the same period of the previous year.)

      	Net Sales		Operating Income		Ordinary Income		Profit Attributable to Owners of Parent
      FY2026 FY2025	418,425 410,878	1.8% 2.6%	22,082 21,486	2.8% 5.6%	24,874 24,393	2.0% 4.8%	21,803 24,757	(11.9)% (6.1)%

      (Note) Comprehensive income: FY2026: ¥36,507 million [53.5%] FY2025: ¥23,779 million [(40.0%)]

      	Profit per Share (Yen)	Fully Diluted Profit per Share (Yen)	Return on Shareholders' Equity (%)	Ordinary Income to Total Assets (%)	Operating Income to Net Sales (%)
      FY2026	262.51	257.03	8.3	5.7	5.3
      FY2025	317.27	276.75	10.6	6.2	5.2

      (Reference) Equity in earnings (losses) of affiliated companies: FY2026: ¥(226) million FY2025: ¥(85) million

   2. Consolidated financial position (Millions of yen)

      	Total Assets	Net Assets	Equity Ratio	Net Assets per Share (Yen)
      FY2026 FY2025	476,826 399,226	289,877 246,484	59.2% 60.7%	3,415.52 3,102.27

      (Reference) Equity capital: FY2026: ¥282,330 million

      FY2025: ¥242,140 million

   3. Consolidated cash flows (Millions of yen)

      	Cash Flows from Operating Activities	Cash Flows from Investing Activities	Cash Flows from Financing Activities	Cash and Cash Equivalents at the End of the Year
      FY2026 FY2025	25,272 18,768	(27,088) (7,807)	24,467 (10,533)	64,222 41,471

2. Dividends

   	Dividends per Share (Yen)					Total Amount of Cash Dividends (Millions of yen)	Dividend Payout Ratio (Consolidated)	Dividends on Net Assets (Consolidated)
   	1Q-end	2Q-end	3Q-end	Year-end	Full Year
   FY2025 FY2026	- -	33.00 33.00	- -	33.00 35.00	66.00 68.00	5,176 5,697	20.8% 25.9%	2.2% 2.1%
   FY2027 (Forecast)	-	34.00	-	34.00	68.00		26.5%

3. Forecast of consolidated financial results for FY2027 (From April 1, 2026 to March 31, 2027)

(Millions of yen, percentage figures show the rate of changes from the same period of the previous year.)

• Notes

  1. Significant changes in the scope of consolidation during the current quarter: Yes New: 1 company (company name) HATANAKA FOODS Co., Ltd.

  2. Changes in accounting policies, accounting estimates, and retrospective restatements

     1. Changes in accounting policies due to revisions of accounting standards : None

     2. Changes other than 1) : None

     3. Changes in accounting estimates : None

     4. Retrospective restatements : None

  3. Number of shares outstanding (common stock)

     FY2026	84,727,163 shares	FY2025	78,824,009 shares
     FY2026	2,066,083 shares	FY2025	771,273 shares
     FY2026	83,058,000 shares	FY2025	78,031,779 shares

     1. Number of shares outstanding at the end of each period (including treasury shares):

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

     3. Average number of shares:

        (Note) The number of treasury shares at the end of the period includes our shares (219,500 shares at the end of FY2026, 225,900 shares at the end of FY2025) held by Custody Bank of Japan, Ltd. (Trust E Account). The number of treasury shares deducted in calculating the average number of shares during the period includes our shares (221,100 shares at the end of FY2026, 230,600 shares at the end of FY2025) held by Custody Bank of Japan, Ltd. (Trust E Account).

• These consolidated financial results are outside the scope of audit.

• Explanation regarding the appropriate use of projected financial results and other special instructions

Descriptions regarding the future, including the financial outlook contained in this material, are based on certain information currently available to us and particular assumptions, which are, at our discretion, deemed reasonable, and actual financial results

may significantly vary due to various factors. Please refer to "1. Overview of Financial Results (1) Overview of business results for the fiscal year under review 2) Future outlook" on page 4 for information on preconditions underlying the above outlook and other related information.

Contents

1. Overview of Financial Results ......................................................................................................................................... 2
   1. Overview of business results for the fiscal year under review ................................................................................. 2
   2. Overview of financial position of fiscal year under review ...................................................................................... 5
   3. Basic policy on profit distribution and dividends for the year ended March 31, 2026 and the year ending March 31, 2027 ........................................................................................................................................................................ 7
2. Basic Approach to the Selection of Accounting Standards ............................................................................................ 7
3. Consolidated Financial Statements and Primary Notes ................................................................................................ 8
   1. Consolidated balance sheets ....................................................................................................................................... 8
   2. Consolidated statements of income and comprehensive income 10 (Consolidated statements of income) 10 (Consolidated comprehensive statements of income) 11
   3. Consolidated statements of changes in net assets 12
   4. Consolidated statements of cash flows 14
   5. Notes on consolidated financial statements 16

1. Overview of Financial Results
   1. Overview of business results for the fiscal year under review

(Millions of yen)

During the fiscal year ending March 31, 2026, the Japanese economy has gradually recovered against the background of factors such as improvements in the employment and income environment. On the other hand, the economic outlook is becoming more uncertain, due to the trends in the international trade policy of the United States and the changes in the financial and capital market, as well as soaring energy prices and disruption of the supply chain driven by the escalating tension in the Middle East.

In the food industry, although a gradual upswing has remained thanks to the expansion of inbound demand and the recovery of the food service industry, we continued to pay the utmost attention to the impact on our business environment from rising raw material prices and logistics costs, procurement risks for oil-derived materials like packaging materials, due to crude oil price surges and supply instability stemming from geopolitical risks in the Middle East, and growing consumer tendency toward cost-conscious spending.

In these circumstances, we are striving to continuously improve our corporate value based on the management philosophy of "Contributing to the realization of a sustainable society by pursuing the wellbeing (happiness, health, and smiles) of people."

During the current period, as an effort to strengthen our earning capacity, we thoroughly implemented "consumer-based marketing" in all business areas including not only the home use food product category but also the professional use food product category, and we worked to expand our revenue by further raising our brand awareness.

In addition, as an effort to expand our growth areas, we are steadily progressing with the construction of a new plant for frozen foods of HATANAKA FOODS Co., Ltd., aiming for completion by the end of FY2027, in order to enhance our supply system in the light of growth of the demand for frozen foods. Moreover, in the Overseas business, sales have remained strong in the ASEAN region and North America, and Utah Flour Milling, LLC has commenced full-scale operations and continued stable operations, as we are working toward further business expansion.

In February 2026, NIPPN CORPORATION Chita Mill, which serves to strengthen the foundation for our domestic Flour Milling business, has commenced operations. The mill achieves high productivity through reducing the workload by promoting smart factory initiatives through automation technologies, and reducing the raw material procurement cost by berthing of large grain vessels. Furthermore, as a sustainable, cutting-edge flour mill featuring strong resilience against natural disasters, energy-saving performance, and environmental consideration, the mill contributes to a stable supply and enhanced profitability.

In the current period, net sales increased by 1.8% year on year to ¥418,425 million due to factors such as the expansion of inbound tourism consumption, sales promotion based on the marketing strategy, as well as price revisions implemented due to various rising costs. In terms of profit, despite an increase in various costs, including personnel and logistics costs in each business, due to steady sales, operating income increased by 2.8% year-on-year to ¥22,082 million and ordinary income increased by 2.0% year-on-year to ¥24,874 million. On the other hand, due to extraordinary income gains from the sale of idle land last year, profit attributable to owners of parent decreased by 11.9% year-on-year to ¥21,803 million.

The performance of individual business segments was as follows.

Flour Milling

(Millions of yen)

In the Flour Milling business, although sales remained steady and shipments were higher than the previous year, due to the impact of the price revision for wheat flour following the reduction of the government selling price of foreign wheat in April and October last year, net sales decreased by 1.4% year-on-year to ¥120,000 million, and operating income increased by 2.9% year-on-year to ¥9,471 million.

Food

(Millions of yen))

In the professional use food product category, net sales increased year-on-year, due to factors, such as the expansion of inbound demand and the steady sales of the Overseas business.

In the home use food product category, net sales increased year-on-year due to sales promotion based on our marketing initiatives increased the sales volume of the "Chewy and Delicious Spaghetti" and "Exquisitely Al Dente Delicious Spaghetti" series and helped maintaining a steady sales volume of frozen food products such as the "One Plate Meal Series" and the "Trendy Meal Series. "

In the Nakashoku (ready-made meals) business, net sales increased year-on-year due to implementation of price revisions following rising costs such as raw material costs, despite consumer inclination toward spending less.

As a result, net sales of the Food Business increased by 2.2% year-on-year to ¥243,694 million, and operating income decreased by 2.3% year-on-year to ¥9,065 million.

Other

(Millions of yen)

In the Pet Care business, net sales increased year-on-year, due to sales volume growth, etc.

In the Food Service business, net sales increased year-on-year, due to strong sales and price revisions implemented in the current period.

In the Engineering business, net sales increased year-on-year, due to an increase in inquiries for large-scale construction projects.

As a result, net sales for the Other segment increased by 7.6% year-on-year to ¥54,730 million, and operating income increased by 15.3% year-on-year to ¥3,656 million.