Consolidated Financial Results for the Three Months of the Fiscal Year Ending December 31, 2025 (Under Japanese GAAP)

April 30, 2025

Company name: OKABE CO.,LTD.

Stock exchange listings: Tokyo Stock Exchange

Stock code: 5959

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

Representative: Hirohide Kawase, Representative Director, President and Chief Executive Officer

Contact: Hisanori Ekawa, Director, Operating Officer and Executive General Manager of Administrative Division

TEL: +81-3-3624-5119

Scheduled date for dividend payment: -

Supplementary materials for financial summaries: -

Financial results briefing: -

(Amounts of less than one million yen are rounded down.)

1. Consolidated Financial Results for the Three Months of the Fiscal Year Ending December 31, 2025 (from January 01, 2025 to March 31, 2025)
   1. Consolidated operating results (cumulative) (% represents the year-on-year change rate for the same quarter)

      	Net sales		Operating profit		Ordinary profit		Profit attributable to owners of parent
      Three months ended	million yen	%	million yen	%	million yen	%	million yen	%
      March 31, 2025	15,997	2.1	981	22.6	1,055	23.6	743	28.5
      March 31, 2024	15,671	(16.1)	801	(17.3)	854	(11.3)	578	8.5

      (Note) Comprehensive income for the first quarter of the fiscal year ending December 2025: 2,470 million yen (768.7%); for the first quarter of the fiscal year ending December 2024: 284 million yen (－%)

      	Basic earnings per share	Diluted earnings per share
      Three months ended	Yen	Yen
      March 31, 2025	16.12	-
      March 31, 2024	12.54	-

   2. Consolidated financial positions

      	Total assets	Net assets	Equity to total assets ratio
      As of	million yen	million yen	%
      March 31, 2025	87,342	60,766	69.6
      December 31, 2024	86,993	59,541	68.4

      (Reference) Owner's equity for the first quarter of the fiscal year ending December 2025: 60,747 million yen; for the fiscal year ending December 2024: 59,523 million yen

2. ​Cash dividends

   	Annual dividends per share
   	1st quarter-end	2nd quarter-end	3rd quarter-end	Fiscal year-end	Total
   Fiscal year ended December 31, 2024 Fiscal year ending December 31, 2025	Yen	Yen	Yen	Yen	Yen
   	- -	15.00	-	20.00	35.00
   Fiscal year ending December 31, 2025 (Forecast)		20.00	-	21.00	41.00

   (Note) 1. Presence of revisions from the most recently announced dividend forecast: None

   2. Breakdown of dividend at the end of the second quarter of the fiscal year ending December 31, 2025 (forecast) : Ordinary dividend: 15 yen; Special dividend: 5 yen

   Breakdown of year-end dividends for the fiscal year ended December 31, 2025 (forecast):

   Ordinary dividend: 16 yen; Special dividend: 5 yen

3. Consolidated Earnings Forecasts for the Fiscal Year Ending December 31, 2025 (from January 01, 2025 to December 31,

(% change represents the year-over-year change for the full year and the change from the same

quarter of the previous year for the quarterly period)

(Note) Correction of financial forecast from the most recent financial forecast: None

• Notes

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

  2. Applying of specific accounting of the consolidated quarterly financial statements: Yes

     (Note) For details, please refer to page 8 of the attached document "Notes to particular accounts procedures to the preparation of quarterly consolidated financial statements."

  3. Changes in accounting policies, Changes in accounting estimates, Retrospective restatement

     1. Changes in accounting policies based on revisions of accounting standard : Yes

     2. Changes in accounting policies other than (i): None

     3. Changes in accounting estimates : None

     4. Retrospective restatement : None

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

     1. Total number of issued shares at the end of the period (including treasury shares)

        As of March 31, 2025	49,290,632 shares
        As of December 31, 2024	49,290,632 shares

     2. Number of treasury shares at the end of the period

        As of March 31, 2025	3,410,558 shares
        As of December 31, 2024	3,040,747 shares

     3. Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year)

(Note) The "Number of treasury stock at the period end" includes the company's shares held by the "Stock Grant ESOP Trust Account" (266,798 shares for the 1Q of the fiscal year ending December 2025, 270,127 shares for the fiscal year ending December 2024). Additionally, the company's shares held by the "Stock Grant ESOP Trust Account" are included in the treasury stock deducted in the calculation of the "Average number of shares (quarterly period-YTD)" (268,462 shares for the 1Q of the fiscal year ending December 2025, 280,539 shares for the 1Q of the fiscal year ending December 2024).

※ Review of attached consolidated quarterly financial statements by a certified public accountant or an audit firm: None

※ Notes for using forecasted information and Others

(Cautionary Statement Regarding Forward-Looking Statements)

The forward-looking statements, including performance forecasts, contained in this document are based on information currently available to the company and certain assumptions deemed reasonable. They are not intended as a promise of achievement by the company. Actual performance may differ significantly due to various factors.

• Index for Supplementary Information

1. Overview of Results of Operations, Etc 2

   1. Overview of Results of Operations for the First Three Months Ended March 31, 2025 2

   2. Overview of Financial Position for the First Three Months Ended March 31, 2025 3

   3. Explanation Regarding Forecast for Fiscal Year Ending December 31, 2025 3

2. Quarterly Consolidated Financial Statements and Key Notes 4

   1. Quarterly Consolidated Balance Sheet 4

   2. Quarterly Consolidated Statement of Income and Quarterly Consolidated Statement of Comprehensive Income 6

      Quarterly Consolidated Statement of Income

      First three-month period 6

      Quarterly Consolidated Statement of Comprehensive Income

      First three-month period 7

   3. Notes to Quarterly Consolidated Financial Statements 8

(Note to going concern assumptions) 8

(Note to significant changes in shareholders' equity) 8

(Notes to particular accounts procedures to the preparation of quarterly consolidated financial statements) 8

(Notes to changes in accounting policies) 8

(Additional information) 9

(Notes to quarterly consolidated statement of cash flows) 9

(Note to segment information) 9

(Note to significant events after the reporting period) 9

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1. Overview of Results of Operations, Etc.

   1. Overview of Results of Operations for the First Three Months Ended March 31, 2025

      During the first quarter of the current fiscal year (January 1, 2025 to March 31, 2025), the Japanese economy maintained a moderate recovery trend, driven by an improved employment and income environment attributable to wage hikes and an increase in inbound business. However, the outlook remained uncertain given factors such as sluggish personal consumption caused by soaring prices and unstable international conditions. In the Japanese construction industry, where the Okabe Group's core customers operate, public investment was firm, and the recovery of private investment showed a trend of recovery. However, the environment remained challenging chiefly due to soaring labor costs caused by a chronic shortage of construction workers and continued high steel material prices.

      In this business environment, under OX-2026 (Okabe Transformation 2026), the medium-term management plan, the Group set customer-centric initiatives (prioritizing the development of a system to solve customers' problems and the implementation of initiatives to solve them), implementing human capital management and strengthening the foundation of management, and promoting digital transformation. With these three strategies as the cornerstones of our business strategy, we have been working toward the sustainable development of the company and the enhancement of its corporate value.

      Operating results by business category of the Group are as follows.

      1. Construction-related products

         In temporary building and formwork products and building materials, net sales decreased year on year due to a decline in the floor area of reinforced concrete construction projects, despite efforts to expand sales of products related to the new formwork method with single pipe.

         In civil engineering products and materials, net sales increased year on year as a result of efforts to capture demand for landslide prevention products against the backdrop of the government's policy to strengthen the national land infrastructure.

         Net sales of structural products and materials increased from the same period of the previous fiscal year, mainly due to strong sales of various products that contribute to labor saving for steel-framed buildings, capturing demand for large buildings such as logistics warehouses, despite the impact of a decrease in the number of small and medium-sized buildings.

         In the building products and materials (overseas) business, net sales in the U.S. were strong compared to the same period of the previous year, mainly due to infrastructure-related construction demand.

         As a result, sales in the construction-related products segment increased 1.3% year on year, to 14,406 million yen, and operating profit increased 14.0% year on year, to 733 million yen.

      2. Other businesses

Net sales of industrial machinery products increased year on year as a result of efforts to expand sales of high value-added products such as custom-made products that meet customer needs.

Net sales of marine material products increased from the same period of the previous fiscal year due to orders for the recovery and installation of large floating fish reef products.

Net sales of automotive products decreased from the same period of the previous year, mainly due to a decline in the truck/trailer market.

As a result, sales in the other segment increased 10.0% year on year, to 1,590 million yen, and operating profit increased 57.6% year on year, to 248 million yen.

Consequently, consolidated net sales for the first three months under review increased 2.1% year on year, to 15,997 million yen, and consolidated operating profit expanded 22.6% year on year, to 981 million yen. Consolidated ordinary profit rose 23.6% year on year, to 1,055 million yen, and profit attributable to owners of parent grew 28.5% year on year, to 743 million yen.

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