Consolidated Financial Results for the Third Half of of FY2026 342 KB

(February 5, 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

Start of cash dividend payments: -

Supplementary materials prepared: None

Results information meeting held: None

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

1. Consolidated financial results for the third quarter of FY2026 (From April 1, 2025 to December 31, 2025)

   1. Consolidated operating results (cumulative)

      (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
      Third quarter of FY2026 Third quarter of FY2025	317,446 312,513	1.6% 2.5%	17,768 17,078	4.0% (5.1)%	20,631 19,849	3.9% (4.1)%	15,577 19,489	(20.1)% 36.2%

      (Note) Comprehensive income: Third quarter of FY2026 ¥25,005million [2.3%] Third quarter of FY2025 ¥24,444million [(5.0%)]

      	Profit per Share (Yen)	Fully Diluted Profit per Share (Yen)
      Third quarter of FY2026	187.50	182.36
      Third quarter of FY2025	249.79	217.88

   2. Consolidated financial position (Millions of yen)

      	Total Assets	Net Assets	Equity Ratio
      Third quarter of FY2026	448,097	281,168	61.0
      FY2025	399,226	246,484	60.7

      (Reference) Equity capital: Third quarter of FY2026

      FY2025

      ¥273,534 million

      ¥242,140 million

2. Dividends

   	Dividends per Share (Yen)
   	1Q-end	2Q-end	3Q-end	Year-end	Full Year
   FY2025 FY2026	- -	33.00 33.00	- -	33.00	66.00
   FY2026 (Forecast)				33.00	66.00

   (Note) Adjustment for the most recent forecast of the dividends in the current term: None

3. Forecast of consolidated financial results for FY 2026 (From April 1, 2025 to March 31, 2026)

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

(Note) Adjustment for the most recent forecast of the consolidated financial results in the current term: None

• Notes

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

  2. Adoption of special accounting methods for preparation of quarterly consolidated financial statements: None

  3. 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

  4. Number of shares issued and outstanding (common stock)

     Third quarter of FY2026	84,727,163 shares	FY2025	78,824,009 shares
     Third quarter of FY2026	1,021,823 shares	FY2025	771,273 shares
     Third quarter of FY2026	83,082,359 shares	Third quarter of FY2025	78,024,762 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 (quarterly consolidated cumulative period):

        (Note) The number of treasury shares at the end of the period includes our shares (219,500 shares at the end of the third quarter 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 (221,633 shares at the end of the third quarter of FY2026, 232,167 shares at the end of the third quarter of FY2025) held by Custody Bank of Japan, Ltd. (Trust E Account).

• Review of the accompanying quarterly consolidated financial statements by certified public accountants or an audit corporation: None

• 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. Qualitative Information on Quarterly Consolidated Financial

Results (3) Information on forecast of the consolidated financial results" on page 4 for information on preconditions underlying the above outlook and other related information.

Contents

1. Qualitative Information on Quarterly Consolidated Financial Results ....................................................................... 2
   1. Overview of business results ...................................................................................................................................... 2
   2. Overview of financial position .................................................................................................................................... 4
   3. Information on forecast of the consolidated financial results................................................................................... 4

1. Quarterly Consolidated Financial Statements and Primary Notes ............................................................................. 5
   1. Quarterly consolidated balance sheets ....................................................................................................................... 5
   2. Quarterly consolidated statements of income and comprehensive income ............................................................. 7 (Quarterly consolidated statements of income) ................................................................................................... 7 (Quarterly consolidated statements of comprehensive income)......................................................................... 8
   3. Notes on quarterly consolidated financial statements............................................................................................... 9

1. Qualitative Information on Quarterly Consolidated Financial Results
   1. Overview of business results

      (Millions of yen)

      	First nine months of Fiscal 2025	First nine months of Fiscal 2026	Difference	Change
      Net sales	312,513	317,446	4,932	101.6%
      Operating income	17,078	17,768	690	104.0%
      Ordinary income	19,849	20,631	781	103.9%
      Profit attributable to owners of parent	19,489	15,577	(3,912)	79.9%

      During the first nine months of the fiscal year ending March 31, 2026, the Japanese economy has continued to gradually recover against the background of factors such as improvements in the employment and income environment. On the other hand, it is expected that uncertainty will continue, 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 factors such as the impact of persistent inflation on consumer spending.

      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 close attention to the impact on our business environment of factors, such as high raw material prices and logistics costs, and consumer inclination toward spending less due to inflation.

      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 first nine months of fiscal 2026, 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. Additionally, the construction work for the Chita Mill, which will serve to strengthen the foundation for our domestic Flour Milling business, is entering the final phase toward completion. This Mill will, in addition to reducing the raw material procurement cost with the berthing of large grain vessels, seek to increase the production efficiency by utilizing automation technology and DX, and build a system for supporting stable supply and profitability, as a cutting-edge plant that attaches importance to both BCP and the environment.

      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 FY 2027, in order to enhance our supply system in the light of growth of the demand for frozen foods. Moreover, the plant of Utah Flour Milling, LLC, which has commenced full-scale operations, is expanding production smoothly and is promoting product sales in the U.S. market.

      In the first nine months of fiscal 2026, net sales increased by 1.6% year-on-year to ¥317,446 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 raw material costs, personnel costs and logistics costs in each business, due to steady sales, operating income increased by 4.0% year-on-year to ¥17,768 million and ordinary income increased by 3.9% year-on-year to ¥20,631 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 20.1% year-on-year to ¥15,577 million.

      The performance of individual business segments was as follows.

      1. Flour Milling

         (Millions of yen)

         	First nine months of Fiscal 2025	First nine months of Fiscal 2026	Difference	Change
         Net sales	92,766	91,825	(941)	99.0%
         Operating income	7,082	7,496	413	105.8%

         In the Flour Milling business, although sales remained steady, due to the impact of the price revision for wheat flour following the reduction of the government selling price of foreign wheat in April last year, net sales decreased by 1.0% year-on-year to ¥91,825 million, and operating income increased by 5.8% year-on-year to ¥7,496 million.

         Due to the revision of the government selling price of foreign wheat in April and October last year and rising costs such as logistics and personnel costs, we have revised the price of wheat flour for professional use since July of last year and January of this year.

      2. Food

         (Millions of yen)

         	First nine months of Fiscal 2025	First nine months of Fiscal 2026	Difference	Change
         Net sales	181,696	185,855	4,159	102.3%
         Operating income	7,766	7,919	153	102.0%

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

         In the home use food product category, net sales decreased year-on-year due to consumers stronger inclination toward spending less, although sales promotion based on our marketing initiatives increased the sales volume of the "Chewy and 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 steady sales, and implementation of price revisions following rising costs such as raw material costs.

         As a result, net sales of the Food Business increased by 2.3% year-on-year to ¥185,855 million, and operating income increased by 2.0% year-on-year to ¥7,919 million.

      3. Other

(Millions of yen)

In the Pet Food 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 fiscal year.

As a result, net sales of the Other businesses increased by 4.5% year-on-year to ¥39,765 million, and operating income increased by 4.3% year-on-year to ¥2,390 million.