Summary of Consolidated Financial Results For the Third Quarter of the Fiscal Year Ending March 31, 2026

February 2, 2026

Listed company: Nippon Kayaku Co., Ltd.

Listed stock exchange: Prime Market, Tokyo Stock Exchange Code No.: 4272 URL: https://www.nipponkayaku.co.jp/english/

Representative (name, position): Shigeyuki Kawamura, President

Director in charge of inquiries: Tsutomu Kawamura, Senior Director, General Manager of Finance & Accounting Division

Scheduled date for start of dividend payments: -

Preparation of supplementary materials for quarterly financial results: Yes

Quarterly results presentation meeting: Yes (for securities analysts and institutional investors)

1. Consolidated Business Results for the First Three Quarters of the Fiscal Year Ending March 31, 2026 (April 1, 2025-December 31, 2025)

   (Figures shown are rounded down to the nearest million yen.)

   1. Consolidated Operating Results

      (Percentages indicate amount of change from the same period of the previous fiscal year.)

      	Net sales		Operating income		Ordinary income		Profit attributable to owners of parent
      	Million yen	%	Million yen 16,321 18,114	%	Million yen 18,702 21,003	%	Million yen 17,323 13,312	%
      First three quarters of fiscal year ending March 31, 2026	174,598	4.0		(9.9)		(11.0)		30.1
      First three quarters of fiscal year ended March 31, 2025	167,955	12.2		340.6		181.1		370.5

      Note: Comprehensive income

      First three quarters of fiscal year ending March 31, 2026: 29,689 million yen (119.9%) First three quarters of fiscal year ended March 31, 2025: 13,502 million yen (5.8%)

      	Profit attributable to owners of parent per share-primary	Profit attributable to owners of parent per share-diluted
      	Yen	Yen
      First three quarters of fiscal year ending March 31, 2026	112.39	112.38
      First three quarters of fiscal year ended March 31, 2025	81.02	81.00

   2. Consolidated Financial Position

   	Total assets	Net assets	Equity ratio
   As of December 31, 2025	Million yen 405,977	Million yen 274,087	% 67.2
   As of March 31, 2025	373,708	268,520	71.6

   Reference: Equity As of December 31, 2025: 273,012 million yen

   As of March 31, 2025 267,528 million yen

   This document is an English translation of the Japanese-language original.

   All financial information has been prepared in accordance with generally accepted accounting principles in Japan.

1. Status of Dividends

   	Dividend amount per share
   	End of first quarter	End of second quarter	End of third quarter	End of year	Year
   	Yen
   Fiscal year ended March 31, 2025 Fiscal year ending March 31, 2026	- -	22.50 30.00	- -	37.50	60.00
   Fiscal year ending March 31, 2026 (forecast)				30.00	60.00

   Note: Changes to the most recent dividend forecast: None

2. Consolidated Business Results Forecasts for the Fiscal Year Ending March 31, 2026 (April 1, 2025-March 31, 2026)

(Percentages indicate amount of change from the same period of the previous fiscal year.)

Note: Changes to the most recent forecast for consolidated business results: None Notes

1. Significant changes in subsidiaries during the first three quarters: None Newly consolidated: (company name), Deconsolidated: (company name)

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

3. Changes to accounting policies and estimates and restatements

   1. Changes to accounting policies associated with revision of accounting standards or similar items: None

   2. Changes other than [1]: None

   3. Changes to accounting estimates: None

   4. Restatements: None

4. Number of shares issued (common stock)

1. Number of shares issued at end of the fiscal period (including treasury stock) As of December 31, 2025: 160,000,000 shares

   As of March 31, 2025: 165,003,570 shares

2. Number of treasury stock at end of the fiscal period As of December 31, 2025: 9,847,254 shares

   As of March 31, 2025: 5,117,318 shares

3. Average number of shares during the fiscal period (cumulative)

First three quarters of fiscal year ending March 31, 2026: 154,142,125 shares First three quarters of fiscal year ended March 31, 2025: 164,312,092 shares

*Quarterly consolidated financial statements subject to review by a certified public accountant or audit firm: No

*Analysis related to appropriate use of the business results forecasts, and other notes (Disclaimer concerning forward-looking statements)

The information in this report constitutes forward-looking statements regarding future events and performance. This information is based on the beliefs and assumptions of management in light of information currently available to it at the time of announcement and subject to a number of uncertainties that may affect future results. Actual business results may differ substantially from the forecasts herein due to various factors. For matters pertaining to business forecasts, please refer to "(3) Analysis of Forward-looking Statements, Including Consolidated Business Results Forecasts" on page 3 of the Supplementary Information.

(How to obtain the materials for the briefing on quarterly financial results)

We have scheduled a teleconference for securities analysts and institutional investors on Monday, February 2, 2026. The materials for the briefing will be posted on the corporate website.

Supplementary Information

Contents

1. Qualitative Information Concerning Results for the First Three Quarters 2

   1. Analysis of Operating Results 2

   2. Analysis of Financial Position 3

   3. Analysis of Forward-looking Statements, including Consolidated Business Results Forecasts 3

2. Quarterly Consolidated Financial Statements and Notes to Quarterly Consolidated Financial

   Statements 4

   1. Quarterly Consolidated Balance Sheets 4

   2. Quarterly Consolidated Statements of Income & Consolidated Statements of Comprehensive 6

      Income

   3. Notes to Quarterly Consolidated Financial Statements 8

(Notes Regarding Assumptions for the Going Concern) 8

(Notes in Case of Significant Change in Shareholders' Equity) 8

(Segment Information and Other Items) 8

(Notes on Statements of Cash Flows) 9

1. Analysis of Operating Results

   During the first three quarters of this consolidated fiscal year (April 1 to December 31, 2025), the global economy maintained steady growth but faced continuing uncertainty from U.S. government tariff policy and other geopolitical risks.

   The Nippon Kayaku Group entered the final year of KAYAKU Vision 2025, the mid-term business plan which began in fiscal year ended March 31, 2023, amid such conditions. We continue to implement the roadmap to the vision specified for each business while advancing initiatives to address key company-wide issues aimed at achieving the vision.

   As a result, net sales for the first three quarters of this consolidated fiscal year totaled 174,598 million yen, an increase of 6,643 million yen (4.0%) year-on-year. Sales in the Fine Chemicals Business Unit underperformed while sales in the Mobility & Imaging Business Unit and Life Science Business Unit outperformed the first three quarters of the previous fiscal year.

   Despite the outperformance of the Life Science Business Unit, underperformance of the Mobility & Imaging Business Unit and Fine Chemicals Business Unit compared to the first three quarters of the previous fiscal year resulted in 16,321 million yen in operating income, a decrease of 1,793 million yen (9.9%) year-on-year.

   Ordinary income totaled 18,702 million yen, a decrease of 2,300 million yen (11.0%) year-on-year.

   Profit attributable to owners of parent was 17,323 million yen, an increase of 4,011 million yen (30.1%) year-on-year. The increase was mainly due to a gain on sales of investment securities.

   Performance by business segment is as described below. [Mobility & Imaging Business Unit]

   Sales rose to 70,440 million yen, an increase of 1,147 million yen (1.7%) year-on-year.

   In the safety systems business, problems with irregularities in certificates of conformance which halted production and shipments at some major auto manufacturers were resolved and sales of micro gas generators for seatbelt pretensioners outperformed year-on-year. Sales of airbag inflators underperformed, mainly due to cessation of production for models in which the inflators were installed. Overseas, sales of airbag inflators, micro gas generators for seatbelt pretensioners, and squibs to the Chinese market continued the steady performance of the previous period, outperforming year-on-year. The safety systems business overall outperformed year-on-year as a result.

   In the Polatechno business, shades for HUDs recorded year-on-year growth, while LCD projector components underperformed year-on-year. Components for X-ray analysis systems underperformed year-on-year due to inventory adjustments by main customers. The Polatechno business overall underperformed year-on-year as a result.

   Segment profit totaled 7,900 million yen, a decrease of 2,914 million yen (26.9%) year-on-year. This decrease resulted from steep price increases for raw materials in the safety systems business, partially owing to fluctuation in foreign exchange rates, in addition to the decline in sales in the Polatechno business.

   [Fine Chemicals Business Unit]

   Sales were 50,084 million yen, a decrease of 443 million yen (0.9%) year-on-year.

   The functional materials business as a whole outperformed the first three quarters of the previous fiscal year. This outperformance resulted from firm demand for every product group due to expanding demand for AI and high-end servers in cutting-edge areas of semiconductors and signs of rebound in the semiconductor market in general.

   The color materials business as a whole underperformed the first three quarters of the previous fiscal year. This resulted from underperformance of home inkjet printer colorants compared to the same period of the previous fiscal year, despite the contribution from strong sales of developer for thermal paper due to the shift toward phenol-free products, mainly due to stricter regulations in the U.S. market, and the launch of new dichromatic colorants.

   The catalyst business underperformed the first three quarters of the previous fiscal year.

   The decline in sales in the color materials and catalyst businesses led to segment profit of 7,017 million yen, a decline of 965 million yen (12.1%) from the first three quarters of the previous fiscal year.

   [Life Science Business Unit]

   Sales rose to 54,073 million yen, an increase of 5,938 million yen (12.3%) year-on-year.

   The pharmaceuticals business as a whole outperformed the first three quarters of the previous fiscal year. This outperformance was due to the launch of the anti-cancer drug, IBTROZI®, and the generic drug, ABIRATERONE ACETATE Tab., in addition to increased market penetration of the antibody biosimilars BEVACIZUMAB BS and ADALIMUMAB BS in pharmaceuticals for the Japanese market.

   The agrochemicals business as a whole outperformed the first three quarters of the previous fiscal year due to steady domestic sales and substantial growth in orders for flometoquin agents in exports.

   Sales in the real estate business were on par with the first three quarters of the previous fiscal year. Segment profit totaled 8,706 million yen, an increase of 2,686 million yen (44.6%) year-on-year.

2. Analysis of Financial Position

   Total assets were 405,977 million yen, an increase of 32,268 million yen from the end of the previous consolidated fiscal year. The main increases were in merchandise and finished goods, an increase of 9,865 million yen; raw materials and stores, an increase of 8,797 million yen; machinery, equipment and vehicles, net, an increase of 5,547 million yen; buildings and structures, net, an increase of 4,146 million yen; other in investments and other assets, an increase of 4,106 million yen; notes and accounts receivable-trade, an increase of 3,867 million yen; and electronically recorded monetary claims-operating, an increase of 3,087 million yen. The main decreases were in cash and deposits, a decrease of 4,636 million yen; and investment securities, a decrease of 3,265 million yen.

   Liabilities were 131,889 million yen, an increase of 26,701 million yen compared to the end of the previous consolidated fiscal year. The main increases were in notes and accounts payable-trade, an increase of 10,739 million yen; long-term loans payable, an increase of 7,390 million yen; short-term loans payable, an increase of 3,801 million yen; and income taxes payable, an increase of 3,154 million yen.

   Net assets were 274,087 million yen, an increase of 5,567 million yen compared to the end of the previous consolidated fiscal year. The main increase was in translation adjustments, an increase of 12,935 million yen. The main decrease was in treasury stock, a decrease of 7,038 million yen.

3. Analysis of Forward-looking Statements, including Consolidated Business Results Forecasts Despite the anticipated continued gradual rebound, there is still concern because the business environment surrounding the Nippon Kayaku Group faces the risk of an economic downswing due to the impact of changes in

Japan-China relations on trade and supply chains, in addition to geopolitical risks, the risk of fluctuation in foreign exchange rates, and the risk of U.S. tariff hikes.

Under these conditions, the Nippon Kayaku Group aims to respond flexibly and agilely to changes in the business environment and pursue optimal use of operating capital to increase shareholder value, as well as expand existing businesses in global growth markets, accelerate the development of new businesses and new products, and enhance profits.

The business results forecasts for the fiscal year ending March 31, 2026, announced on November 11, 2025, remain the same.