Financial Results for the 2Q of FY2025

(JPGAAP)

November 10, 2025

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 submission date of semi-annual securities report: November 11, 2025 Scheduled dividend payment date: December 8,2025 Supplemental information: Yes

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

(Amounts rounded down to the nearest million yen)

1. Consolidated Operating Results

   (% 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
   Six months ended September 30, 2025	Million yen 130,094	% 10.1	Million yen 29,598	% 4.4	Million yen 29,788	% 6.6	Million yen 22,827	% 11.2
   Six months ended September 30, 2024	118,185	11.8	28,344	17.6	27,945	6.7	20,522	5.3

   (Note) Comprehensive income: Six months ended September 30, 2025 : 25,943 million yen ,39.1%

   Six months ended September 30, 2024 : 18,644 million yen ,(17.4%)

   	Basic earnings per share	Diluted net income per share
   Six months ended September 30, 2025 Six months ended September 30, 2024	Yen 168.45 148.78	Yen - -

2. Consolidated Financial Position

(Note) Revision of the latest released dividend outlook: Yes

Please refer to "Revision of Financial Results Outlook and Dividend Outlook" for details.

1. Outlook of Consolidated Financial Results for the Fiscal Year Ending March 31, 2026 (From April 01, 2025 to March 31, 2026)

   (% 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
   	Million yen	%	Million yen	%	Million yen	%	Million yen	%	Yen
   Year ending March 31, 2026	272,200	8.3	59,000	3.8	59,000	1.7	44,000	2.2	328.22

   (Note) Revision of the latest released outlook of financial results: Yes

   Please refer to "Revision of Financial Results Outlook and Dividend Outlook" for details.

2. Notes

1. Changes in significant consolidated subsidiaries

   (Changes in specified subsidiaries involving changes in scope of consolidation) : None

2. Application of special accounting treatment to preparation of quarterly financial statements : None

3. 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

4. Number of shares outstanding (common shares)

1. Number of shares outstanding (including treasury shares) As of September 30, 2025 : 136,800,000 shares

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

2. Number of treasury shares

   As of September 30, 2025 : 1,944,827 shares

   As of March 31, 2025 : 517,787 shares

3. Average number of shares outstanding

As of September 30, 2025 : 135,511,720 shares

As of September 30, 2024 : 137,933,538 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 134,350 shares. This is not included in the average number of shares outstanding.

• Presentation regarding implementation status of quarterly(Semi-annual) review procedures The financial release is not subject to quarterly(Semi-annual) review.

• 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.

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. Qualitative Information on Quarterly Results 2

   1. Business Performance 2

   2. Financial Position 3

   3. Outlook of Consolidated Financial Results and Other Forward-looking Information 4

   4. Basic Policy on Distribution of Earnings 4

2. Consolidated Financial Statements 5

   1. Consolidated Balance Sheets 5

   2. Consolidated Statements of Income / Consolidated Statements of Comprehensive Income 7

   3. Consolidated Statements of Cash Flows 9

   4. Notes to Consolidated Financial Statements 10

(Notes on Assumption of Going Concern) 10

(Notes on Significant Changes in Shareholders' Equity) 10

(Additional information) 10

(Segment Information) 11

(Significant Subsequent Events) 12

1. Business Performance

   During the second quarter of the current fiscal year (April 01, 2025 to September 30, 2025), the global economy was supported by active investment in generative AI and fiscal and monetary policies in various countries. However, the situation remained uncertain due to factors such as the broad tariff measures implemented by the United States. Under these circumstances, in the Chemicals Segment, sales of both Basic Chemicals and Fine Chemicals increased. In the Performance Materials Segment, sales of Semiconductor Materials were strong, and sales of Display Materials and Inorganic Materials increased. In the Agricultural Chemicals Segment, sales of both domestic and overseas increased. In the Healthcare Segment, sales decreased. As a result, both sales and each income exceeded the same period of the previous fiscal year and the outlooks announced in May.

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

   	2Q FY2024	2Q FY2025	Year-on-Year Change
   Sales	118,185	130,094	+11,908
   Operating income	28,344	29,598	+1,253
   Ordinary income	27,945	29,788	+1,843
   Net income attributable to owners of parent	20,522	22,827	+2,305

   2Q FY2025 (Outlook)	Change from Outlook
   121,900	+8,194
   28,300	+1,298
   27,100	+2,688
   20,600	+2,227

   Explanations by segments are as below.

   The Chemicals Segment

   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.) and environmental related products (sterilizing and disinfecting agents for pools and septic tanks, etc.) increased.

   As a result, sales of this segment were 18,830 million yen (an increase of 978 million yen from the same period of the previous fiscal year) and operating loss was 97 million yen (improved by 195 million yen). Compared to the outlook (Note), sales and operating income were below 0.3 billion yen.

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

   (Note) The outlook is described on page 19 of the FY2024 Presentation Materials (announced on May 15, 2025).

   The Performance Materials Segment

   In Display Materials, sales of "SUNEVER" (LCD alignment coating) increased. In Semiconductor Materials, sales of anti-reflective coating for semiconductors (ARC®*) and multi-layer process materials (OptiStack®*) increased significantly. In Inorganic Materials, sales of "SNOWTEX" for polishing electronic materials and hard coating increased.

   As a result, sales of this segment were 54,417 million yen (an increase of 5,805 million yen) and operating income was 17,367 million yen (an increase of 2,838 million yen). Compared to the outlook (Note), sales were above 2.4 billion yen and operating income was above 1.1 billion yen.

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

   (Note) The outlook is described on page 19 of the FY2024 Presentation Materials (announced on May 15, 2025).

   The Agricultural Chemicals Segment

   Sales of Fluralaner (active ingredients for veterinary pharmaceuticals) remained flat compared to the previous fiscal year. In Japanese domestic market, sales of "ALTAIR" (paddy rice herbicide) increased, driven by increased demand due to rising rice prices. In the overseas market, sales of "LEIMAY" (fungicide) and "TARGA" (herbicide) were firm.

   As a result, sales of this segment were 42,273 million yen (an increase of 3,082 million yen) and operating income was 11,975 million yen (a decrease of 2,431 million yen). Compared to the outlook (Note), sales were above 3.6 billion yen and operating income was above 0.3 billion yen.

   (Note) The outlook is described on page 19 of the FY2024 Presentation Materials (announced on May 15, 2025).

   The Healthcare Segment

   Sales of "LIVALO" (anti-cholesterol drug) increased in the overseas market. In "Custom Chemicals" (solution proposal business and joint development business), sales decreased.

   As a result, sales of this segment were 2,831 million yen (a decrease of 463 million yen) and operating income was 695 million yen (a decrease of 592 million yen). Compared to the outlook (Note), sales were above 0.2 billion yen and operating income was above 0.2 billion yen.

   (Note) The outlook is described on page 63 and 64 of the FY2024 Presentation Materials (announced on May 15, 2025).

   Trading

   Sales of this segment were 58,792 million yen (an increase of 2,526 million yen) and operating income was 1,955 million yen (a decrease of 67 million yen). Compared to the outlook (Note), sales were above 2.2 billion yen and operating income was above 0.4 billion yen.

   (Note) The outlook is described on page 19 of the FY2024 Presentation Materials (announced on May 15, 2025).

   Others

   Sales of this segment were 14,845 million yen (an increase of 2,807 million yen) and operating income was 789 million yen (an increase of 755 million yen).

2. Financial Position

(Position of Assets, Liabilities and Net Assets)

Total assets as of September 30, 2025 was 322,238 million yen (a decrease of 8,524 million yen from March 31, 2025). It is mainly due to the decrease notes and accounts receivable - trade, though cash and deposits increased.

Total liabilities as of September 30, 2025 was 80,872 million yen (a decrease of 13,709 million yen). It is mainly due to the decrease of short-term loans payable and commercial papers.

Net assets as of September 30, 2025 was 241,366 million yen (an increase of 5,185 million yen). As a result of these factors, equity ratio was 73.9% (an increase of 3.4% from March 31, 2025).

(Position of Cash Flows)

Deducting income taxes paid from income before income taxes and non-controlling interests, depreciation and change in working capital, net cash provided by operating activities for the six months ended September 30, 2025 was 48,711 million yen (46,153 million yen for the same period of the previous year).

Mainly due to capital investment in factories, etc., net cash used in investing activities for the six months ended September 30, 2025 was 8,085 million yen (7,046 million yen for the same period of the previous year).

Due to the decrease in loans payable, payment for dividends and share repurchase, net cash used in financing activities for the six months ended September 30, 2025 was 35,041 million yen (31,087 million yen for the same period of the previous year).

Cash and cash equivalents at the end of this period increased 6,819 million yen from March 31, 2025 after adjusting for the 1,234 million yen of increase as an effect of exchange rate change. The balance stood at 34,274 million yen (30,449 million yen for the same period of the previous year).