Financial Results for FY2025

(JPGAAP)

May 15, 2026

Name of listed company: Nissan Chemical Corporation Stock Exchange: Tokyo Code Number: 4021 URL: https://www.nissanchem.co.jp/

Representative: YAGI Shinsuke, President

Inquiry to: NOMURA Hiroshi, Head of Finance and Accounting Department Tel. +81 3 4463 8401 Scheduled date of annual shareholders' meeting : June 25, 2026

Scheduled dividend payment date : June 26, 2026

Scheduled date of submitting the Annual Securities Report : June 24, 2026 Supplemental information : Yes

Financial results meeting : Yes (for institutional investors and analysts)

(Amounts rounded down to the nearest million yen)

1. Consolidated Financial Results for the Year Ended March 31, 2026 (From April 01, 2025 to March 31, 2026)

   (1) Consolidated Operating Results (% indicates the rate of increase/decrease year on year)

   	Net sales		Operating income		Ordinary income		Net income attributable to owners of parent
   	Million yen	%	Million yen	%	Million yen	%	Million yen	%
   Year ended March 31, 2026	279,586	11.2	63,552	11.8	65,897	13.6	49,707	15.5
   Year ended March 31, 2025	251,365	10.9	56,833	17.9	58,018	12.4	43,043	13.2

   (Note) Comprehensive income: Year ended March 31, 2026 : 56,804 million yen, 44.3%

   (Reference) Equity in earnings of affiliates	: Year ended March 31, 2026 : Year ended March 31, 2025	: 1,507 million yen : 1,061 million yen
   (2) Consolidated Financial Position

   Year ended March 31, 2025 : 39,366 million yen, (7.3)%

   	Basic earnings per share	Diluted net income per share	Ratio of net income to shareholders' equity	Ratio of ordinary income to total assets	Ratio of operating income to net sales
   Year ended March 31, 2026 Year ended March 31, 2025	Yen 368.26 313.26	Yen - -	% 20.3 18.7	% 19.2 17.7	% 22.7 22.6

   	Total assets	Net assets	Equity ratio	Net assets per share
   	Million yen	Million yen	%	Yen
   As of March 31, 2026	355,078	259,051	71.9	1,903.42
   As of March 31, 2025	330,763	236,180	70.5	1,711.83

   	Cash flows from operating activities	Cash flows from investing activities	Cash flows from financing activities	Cash and cash equivalents at end of period
   	Million yen	Million yen	Million yen	Million yen
   Year ended March 31, 2026	64,164	(21,178)	(36,162)	35,729
   Year ended March 31, 2025	59,178	(17,612)	(35,650)	27,454

   (Reference) Shareholders' equity:	As of March 31, 2026 As of March 31, 2025	: 255,264 million yen : 233,291 million yen
   (3) Consolidated Cash Flows

2. Cash Dividends

   	Cash dividends per share					Total cash dividends (annual)	Dividend payout ratio (consolidated)	Ratio of dividend to net assets (consolidated)
   	First quarter	Second quarter	Third quarter	Year-end	Annual
   Year ended March 31, 2025 Year ended March 31, 2026	Yen - -	Yen 70.00 70.00	Yen - -	Yen 104.00 132.00	Yen 174.00 202.00	Million yen 23,826 27,168	% 55.5 54.9	% 10.4 11.2
   Year ending March 31, 2027 (Outlook)	-	70.00	-	142.00	212.00		54.8

3. Outlook of Consolidated Financial Results for the Fiscal Year Ending March 31, 2027 (From April 1, 2026 to March 31, 2027)

   (% indicates the rate of increase/decrease against the same period of the previous year)

   	Net sales		Operating income		Ordinary income		Net income attributable to owners of parent		Basic earnings per share
   Six months ending September 30, 2026	Million yen	%	Million yen	%	Million yen	%	Million yen	%	Yen
   	131,500	1.1	28,700	(3.0)	29,600	(0.6)	22,400	(1.9)	168.52
   Year ending March 31, 2027	289,700	3.6	66,800	5.1	68,800	4.4	51,500	3.6	387.11

4. Notes

1. Changes in significant consolidated subsidiaries

   (Changes in specified subsidiaries involving changes in scope of consolidation) : Yes Newly Included: 1 company (Company name:Nissan Chemical Semiconductor materials (Taiwan) Co., Ltd.)

2. Changes of accounting policies and accounting estimates, and restatement

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

   2. Changes of accounting policies other than the above : None

   3. Changes in accounting estimates : None

   4. Restatements : None

3. Number of shares outstanding (common shares)

1. Number of shares outstanding (including treasury shares)

   As of March 31, 2026 : 134,800,000 shares

   As of March 31, 2025 : 136,800,000 shares

2. Number of treasury shares

   As of March 31, 2026 : 691,415 shares

   As of March 31, 2025 : 517,787 shares

3. Average number of shares outstanding over the year

As of March 31, 2026 : 134,977,946 shares

As of March 31, 2025 : 137,404,538 shares

(Note) The Company has introduced "Board Benefit Trust (BBT)" based on the resolution of Board of Directors' meeting held on July 30,2019. The shares held by the Trust are included in the number of treasury shares at the end of the period, and they are included in the number of treasury shares deducted in calculating the average number of shares outstanding over the period.

The number of shares held by the Trust (included in treasury shares) at the end of the period was 132,200 shares. In addition, the average number of shares held by the Trust during the period was 133,275 shares.

This is not included in the average number of shares outstanding.

• Presentation regarding implementation status of audit procedures

  This financial release is not subject to audit procedures based on Financial Instruments and Exchange Law in Japan.

  Audit procedures of financial statements based on Financial Instruments and Exchange have not been completed at the time of disclosure.

• Explanations regarding appropriate use of business outlook and other special notes

  The business outlook contained in this report is based on information available at the time of disclosure. Actual operating results may differ materially from the outlook due to various factors.

  The prerequisite information of outlook and other items are on page 6 to page 7.

• For supplemental information, please refer to our website.

The transcript of financial results briefing will be released on our website as well.

Table of Contents for Attached Materials

1. Analysis of Business Performances and Financial Position 2

   1. Analysis of Business Performance 2

   2. Analysis of Financial Position 5

   3. Position of Cash Flow 5

   4. Future Outlook 6

2. Basic Approach to the Selection of Accounting Standards 7

3. Consolidated Financial Statements 8

   1. Consolidated Balance Sheets 8

   2. Consolidated Statements of Income / Consolidated Statements of Comprehensive Income 10

   3. Consolidated Statements of Changes in Net Assets 12

   4. Consolidated Statements of Cash Flows 14

   5. Notes to Consolidated Financial Statements 15

(Notes on Assumption Going Concern) 15

(Additional information) 15

(Segment and Related Information) 16

(Per Share Information) 21

(Significant Subsequent Events) 22

(1) Analysis of Business Performance (Operating results for the fiscal year)

During the current fiscal year (April 01, 2025 to March 31, 2026), the global economy showed a recovery trend because of increased investment in technology fields including artificial intelligence, and fiscal and monetary policies in various countries. However, due to soaring raw material and fuel prices and supply chain disruptions following the military conflict in the Middle East in February 2026, uncertainty increased. Under these circumstances, in the Chemicals Segment, sales of both Basic Chemicals and Fine Chemicals increased. In the Performance Materials Segment, sales increased significantly, mainly due to strong sales of Semiconductor Materials. In the Agricultural Chemicals Segment, sales of both domestic and overseas products increased. In the Healthcare Segment, sales decreased.

As a result, sales and each income during the period were as follows, and both net sales and each income exceeded the same period of the previous fiscal year and the outlook.

(Million yen, amounts rounded down to the nearest million yen)

Explanations by segments are as below.

In Basic Chemicals, sales of high purity sulfuric acid (agent used for cleaning semiconductor), urea, and AdBlue®* (high-grade urea solution) increased. In Fine Chemicals, sales of "FINEOXOCOL" (cosmetics, etc.) increased.

As a result, sales of this segment were 39,313 million yen (an increase of 1,478 million yen) and operating income was 1,107 million yen (an increase of 737 million yen). Compared to the outlook, sales were below 0.3 billion yen and operating income was above 0.3 billion yen.

* AdBlue® is a registered trademark of the Verband der Automobilindustrie (VDA).

In Display Materials, sales of "SUNEVER" (LCD alignment coating) decreased. In Semiconductor Materials, sales of anti-reflective coating for semiconductors (ARC®*) and multi-layer process materials (OptiStack®*) increased significantly due to high customer utilization. In Inorganic Materials, sales of "SNOWTEX" (for polishing electronic materials and hard coating) and Oilfield materials (for enhancing oil recovery) increased.

As a result, sales of this segment were 113,377 million yen (an increase of 13,279 million yen) and operating income was 35,331 million yen (an increase of 6,009 million yen). Compared to the outlook, sales were above 3.7 billion yen and operating income was above 3.2 billion yen.

* ARC® and OptiStack® are registered trademarks of Brewer Science, Inc.

Sales of Fluralaner (active ingredients for veterinary pharmaceuticals) increased. In the Japanese domestic market, sales of "ALTAIR" (paddy rice herbicide) and "VERDAD" (paddy rice herbicide) grew, supported by stronger demand driven by rising rice prices. In the overseas market, sales of "LEIMAY" (fungicide) were firm.

As a result, sales of this segment were 96,243 million yen (an increase of 10,017 million yen) and operating income was 26,043 million yen (an increase of 118 million yen). Compared to the outlook, sales were above 0.3 billion yen and operating income was in line with the target.

Sales of "LIVALO" (anti-cholesterol drug) active ingredient remained flat compared to the previous fiscal year. Sales of "Custom Chemicals" (solution proposal business and joint development business) decreased.

As a result, sales of this segment were 5,224 million yen (a decrease of 769 million yen) and operating income was 1,352 million yen (a decrease of 591 million yen). Compared to the outlook, sales were below 0.1 billion yen and operating income was below 0.1 billion yen.

Sales of this segment were 128,899 million yen (an increase of 11,743 million yen) and operating income was 3,813 million yen (a decrease of 276 million yen). Compared to the outlook, sales were above 7.3 billion yen and operating income was above 0.2 billion yen.

Sales of this segment were 31,755 million yen (an increase of 2,580 million yen) and operating income was 2,038 million yen (an increase of 1,443 million yen).

(Medium-and Long-term Management Strategies and Issues to be addressed)

In FY2022, we, Nissan Chemical Corporation and our group companies launched the six-year medium-term management plan, "Vista 2027".

During Stage II, the latter three years (FY2025-FY2027), in FY2025 the Semiconductor Materials business within the Performance Materials Segment led overall performance, and we achieved a record operating profit of 63.6 billion yen (up 12% year on year) and ordinary profit of 65.9 billion yen. However, for the combined total of segments other than Performance Materials Segment, operating profit increased by only about 2% year on year. Based on these factors, we identified the main challenges to be addressed as accelerating the creation of new products and businesses, improving the profitability of existing businesses, and transforming operations through DX and other initiatives.

To address these issues, by strengthening the business foundation through the introduction of new technologies and cost reductions, and by making active strategic investments in growth areas, including M&A (mergers and acquisitions), as well as carefully assessing unprofitable businesses, we will aim to enhance the business portfolio and maintain a seamless growth trajectory.

In Stage II of "Vista 2027", the latter three years (FY2025-FY2027), we set numerical targets for the final year (FY2027) of net sales of 293 billion yen and operating profit of 65 billion yen, and established the creation of new products as the most critical issue. With this as our foundation, we have established the following three basic strategies.

1. Expanding Profits of Existing Businesses

2. Developing New Products Looking Toward 2030

3. Strengthening the Business Foundation

Regarding the first strategy, "Expanding Profits of Existing Businesses", we will focus management resources, including M&A, on the Performance Materials Segment and the Agricultural Chemicals Segment, where growth is expected, and advance the sales and development of both existing and new products in order to maximize profits.