Oji : Summary of Consolidated Financial and Business Results for the Second Quarter of the Year Ending March 2026（Japanese GAAP）

November 7, 2025

Company Name: Oji Holdings Corporation (Code No. 3861 Tokyo Stock Exchange)

URL: https://www.ojiholdings.co.jp/

Representative: Hiroyuki Isono, President & Chief Executive Officer

Contact: Tadashi Oshima, Executive Officer

Telephone: 03-3563-1111 +81-3-3563-1111(overseas) Scheduled date to commence dividend payments : December 1, 2025

Preparation of supplementary material on financial results : Yes

Holding of financial results briefing : Yes (for institutional investors and analysts )

(All yen figures are rounded down to the nearest one million yen)

1. Results for the Second Quarter of the Year Ending March 31, 2026 (April 1, 2025 - September 30, 2025)

1. Consolidated Business Results

   (Unaudited)

   (Figures shown in percentage are ratios compared to the same period of the previous year)

   	Net sales			Operating	profit		Ordinary	profit		Profit attributable to owners of parent
   First Half of FY2025	Millions of yen 914,984	(0.9)	%	Millions of yen 16,731	(55.0)	%	Millions of yen 8,787	(77.7)	%	Millions of yen 10,920	(55.0)	%
   First Half of FY2024	922,887	8.9		37,187	(4.2)		39,367	(22.5)		24,289	(23.2)

   Note: Comprehensive income First Half of FY2025 (41,842) million yen [－%]

   First Half of FY2024 107,258 million yen [17.0%]

   	Profit per share	Diluted profit per share
   First Half of FY2025	Yen 11.85	Yen 11.85
   First Half of FY2024	24.67	24.66

   Note: The Company finalized the provisional accounting treatment for the business combination in the year ended March 31, 2025, and each figure for the first half of fiscal year 2024 reflects the results of the finalization of the provisional accounting treatment.

2. Consolidated Financial Condition

Note : Change in forecast of dividend … None

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

   (Figures shown in percentage are ratios compared to the previous year)

   	Net sales			Operating	profit	Ordinary	profit	Profit attributable to owners of parent			Profit per share
   Full year	Millions of yen 1,850,000	0.0	%	Millions of yen 45,000	% (33.5)	Millions of yen 35,000	% (49.0)	Millions of yen 50,000	8.3	%	Yen 54.25

   Note : Change in consolidated forecasts … Yes

2. Notes

   1. Significant changes in the scope of consolidation during the period: None

   2. Application of simple accounting methods and semi-annual peculiar accounting methods : None

   3. Changes in accounting methods compared with recent consolidated accounting periods

      1. Changes due to accounting standard changes : None

      2. Changes besides (i) : None

      3. Accounting estimate change : None

      4. Restatement : None

   4. Outstanding balance of issued shares (common stock)

      1. Outstanding balance of issued shares at the end of fiscal year (including treasury shares)

         First Half of FY2025 1,014,381,817 FY2024 1,014,381,817

      2. Outstanding balance of treasury shares at the end of fiscal year

         First Half of FY2025 101,387,040 FY2024 79,098,942

      3. Weighted average number of shares during fiscal year

First Half of FY2025 921,635,386 First Half of FY2024 984,630,239

NOTICE

・This document is exempt from audit procedures required by Financial Instruments and Exchange Act.

・The statements regarding future mentioned in this document are based on the information currently available and the premise deemed reasonable. The actual results may differ drastically from these forecasts due to various factors that may arise in the future.

・This document is an excerpt translation of the Japanese original and is only for reference purposes.

In the event of any discrepancy between this translation and the Japanese original, the latter shall prevail.

• Supplementary explanations on business results will be made available on TDnet and the Company's website on Friday, November 7, 2025.

1. Qualitative Information Concerning Business Performance

   1. Explanation of Business Performance

The Oji Group has established the "Long-Term Vision 2035", which sets the basic policies: "Improving Capital Efficiency", "Portfolio Transformation" and "Promoting Sustainability". Through initiatives aimed at maximizing corporate value and solving social issues, we aim to become a group of companies that realizes our slogan, "Dedicated to Sustainability."

"Medium-Term Business Plan 2027" covering FY2025 to FY2027 is positioned as a preparation period for strengthening foundation for the realization of the "Long-Term Vision 2035," and we will promote initiatives focused on capital efficiency improvement. Our business strategy is to strengthen the profitability of existing businesses by steady price pass-through of cost increases caused by changes in the external environment, stable operations at manufacturing sites and enhancing competitiveness, strengthening of group sales system, and shifting to more profitable varieties. In addition, we will implement restructuring of low profitability businesses including withdrawal. We have closed Oji Nepia Edogawa plant in August 2025 and decided to suspend and close its Tomakomai plant in March 2026. We have also decided to suspend one newsprint production line at Oji Paper.

Regarding overseas business, we withdrew from Oji Fibre Solutions' container board business in June 2025 and decided to sell its Australian packaging business in September. Through the establishment of such optimal production systems, we will enhance the profitability of our existing businesses.

On the other hand, we will concentrate growth investments on areas with high economic growth potential, such as India and Southeast Asia as well as strategic businesses such as sustainable packaging and the forest biomass business. As growth investments, we have decided to construct a new liquid packaging carton plant in Vietnam. Additionally, at Oji F-Tex Nakatsu Mill, we will undertake expansion work to increase production capacity by around three times, in order to meet growing demand for cellulose-based pressboard for transformers. Regarding the forest biomass business, in September 2025, we signed a share transfer agreement to acquire all shares of AustroCel Hallein, an Austrian company that is one of Europe's leading biorefinery companies and operates a business manufacturing and selling dissolving pulp and bioethanol. In the pharmaceutical and healthcare sector, efforts toward commercialization are progressing steadily, including the approval obtained in Australia in September 2025 for the manufacture and export of active pharmaceutical ingredients for veterinary use. We will broadly incorporate biomass technologies to accelerate innovation and business portfolio transformation, aiming to establish the forest biomass as a core business.

Through these initiatives, we will achieve consolidated operating profit of ¥120 billion, consolidated net profit attributable to owners of parent of ¥80 billion, and ROE of 8% in FY2027.

Consolidated net sales for the first half of FY2025 decreased by ¥7.9 billion to ¥915.0 billion (year-on-year decrease of 0.9%) mainly due to a decline in overseas pulp market and foreign currency translation differences arising from overseas subsidiaries due to appreciation of the yen despite acquisition and consolidation of Walki Holding Oy, etc.

Consolidated operating profit decreased by ¥20.5 billion to ¥16.7 billion (year-on-year decrease of 55.0%) mainly due to a decline in overseas pulp market, and increases in costs such as raw material and fuel prices, distribution and personnel, etc. Ordinary profit decreased by ¥30.6 billion to ¥8.8 billion (year-on-year decrease of 77.7%) due to a decrease in operating profit and foreign exchange losses from revaluation of foreign currency-denominated receivables and payables, etc. Profit attributable to owners of parent decreased by ¥13.4 billion to ¥10.9 billion (year-on-year decrease of 55.0%) mainly due to a decrease in ordinary profit and the record of business restructuring expenses at Oji Fibre Solutions Ltd. and Oji Nepia under extraordinary losses, despite extraordinary gains on sale of investment securities and the return of assets from retirement benefits trust following the sale of shareholdings, etc.

Furthermore, the Company finalized the provisional accounting treatment for the business combination in the year ended March 31, 2025, and each figure for the first half of fiscal year 2024 reflects the results of the finalization of the provisional accounting treatment.

Overview of Business Performance for the First Half of FY2025 by Segment

(I) Business Performance by Segment (Unit: Billions of yen)

*Adjustment is mainly those concerning internal transactions.

(II) Overview of Business Performance by Segment

The Oji Group's four reporting segments are: "Household and Industrial Materials", "Functional Materials", "Forest Resources and Environment Marketing", and "Printing and Communications Media". Each of the reporting segment consists of units that are recognized to be similar in terms of economic characteristics, manufacturing methods or processes of products, and markets in which products are sold or types of customers, among the constituent units of the Oji Group.

Business segments and other activities not included in the reporting segments are classified as "Others".

To more appropriately evaluate the performance of reporting segments, from the first half of FY2025, sustainable packaging and liquid packaging cartons, which were classified as "Others", have been reclassified as "Household and Industrial Materials".

Group headquarters expenses, which were previously allocated to each reporting segment, are no longer allocated and included in "Others", as they are considered corporate-related functions.

Segment information for the first half of FY2024 has been restated based on the revised segment classifications.

The major business lineup for each segments is as follows.

• Household and Industrial Materials:

  Containerboard/corrugated containers, boxboard/folding cartons, packing paper/paper bags, sustainable packaging, liquid packaging cartons, home care, wellness care, etc.

• Functional Materials:

  Specialty paper, thermal business, adhesive materials, film, etc.

• Forest Resources and Environment Marketing:

  Forest plantation/lumber processing, pulp, energy, etc.

• Printing and Communications Media:

  Newsprint, printing/publication/communication paper, etc.

• Others:

Trading business, logistics, engineering, real estate, corporate-related functions, etc.

• Household and Industrial Materials

  In the first half of FY2025, net sales amounted to ¥462.0 billion (year-on-year increase of 2.7%), and operating profit was ¥5.2 billion (year-on-year decrease of 39.3%).

  Regarding domestic business, net sales decreased from the previous year, due to the withdrawal of disposable diapers for babies from the domestic business in September 2024, despite an increase in corrugated container and disposable adult diapers classified under wellness care due to the price revision. Operating profit decreased from the previous year due to increases in costs, such as distribution and personnel.

  Regarding overseas business, net sales increased from the previous year due to acquisition and consolidation of Walki Holding Oy in sustainable packaging business. However, operating profit decreased from the previous year due to price competition in the Malaysian corrugated container business, etc.

• Functional Materials

  In the first half of FY2025, net sales amounted to ¥115.5 billion (year-on-year decrease of 4.9%), and operating profit was ¥5.4 billion (year-on-year decrease of 32.1%).

  Regarding domestic business, net sales decreased from the previous year due to the sale of Chuetsu Co., Ltd. in August 2024 and a decrease in demand for some thermal films, despite an increase for specialty paper due to sales expansion of strategic products, such as heat-sealable paper for major online retailers and non-fluorine oil-resistant paper, and the price revision, etc. Operating profit remained almost unchanged from the previous year due to the price revision and cost reduction initiatives despite increases in costs such as raw material and fuel prices, distribution and personnel.

  Regarding overseas business, net sales and operating profit decreased from the previous year due to intensified price competition despite increased sales volume through expanded sales in thermal business.

• Forest Resources and Environment Marketing

  In the first half of FY2025, net sales amounted to ¥190.9 billion (year-on-year decrease of 5.6%), and operating profit was ¥5.3 billion (year-on-year decrease of 70.0%).

  Regarding domestic business, net sales decreased from the previous year due to a decline in dissolving pulp market and the appreciation of the yen affecting exports, despite an increase in sales in energy business. Operating profit increased from the previous year due to a decrease in fuel prices in energy business.

  Regarding overseas business, net sales and operating profit decreased from the previous year due to a decline in pulp market and translation differences of overseas subsidiaries due to the appreciation of the yen despite an increase due to the recovery from cyclone damage at Pan Pac Forest Products Ltd.

• Printing and Communications Media

In the first half of FY2025, net sales amounted to ¥136.2 billion (year-on-year decrease of 6.8%), and operating profit was ¥3.5 billion (year-on-year decrease of 44.4%).

Regarding domestic business, net sales decreased from the previous year due to the continued demand decline of newsprint, printing and communication paper despite the price revision. Operating profit decreased from the previous year due to increases in costs of raw material, such as recovered paper, etc.

Regarding overseas business, net sales decreased from the previous year due to translation differences due to the appreciation of the yen despite an increase in production volume as a result of improved production efficiency at Jiangsu Oji Paper Co., Ltd.

However, operating profit increased from the previous year due to cost reduction initiatives and decreases in costs in raw material such as coal, etc.