Consolidated Financial Results for the Six Months Ended September 30, 2025 NEW!

November 13, 2025

Company name: OKUMURA CORPORATION Listing: Tokyo Stock Exchange Securities code: 1833

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

Representative: Takanori Okumura President and Representative Director

Inquiries: Shunsuke Okuda General Manager of Finance & Accounting Department, Administration Headquarters Telephone: +81-6-6621-1101

Scheduled date to file semi-annual securities report: November 13, 2025 Scheduled date to commence dividend payments: December 11, 2025 Preparation of supplementary material on financial results: Yes

Holding of financial results briefing: Yes

(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the six months ended September 30, 2025 (from April 1, 2025 to September 30, 2025)
   1. Consolidated operating results (cumulative) (Percentages indicate year-on-year changes.)

      	Net sales		Operating profit		Ordinary profit		Profit attributable to owners of parent
      Six months ended September 30, 2025 September 30, 2024	Millions of yen 151,301 139,339	% 8.6 2.7	Millions of yen 9,652 791	% - (87.7)	Millions of yen 12,971 (3,101)	% - -	Millions of yen 9,950 (324)	% - -

      Note: Comprehensive income	For the six months ended September 30, 2025:	¥	13,497 million	[	-%]
      	For the six months ended September 30, 2024:	¥	(6,048) million	[	-%]

      	Basic earnings per share	Diluted earnings per share
      Six months ended	Yen	Yen
      September 30, 2025	277.35	-
      September 30, 2024	(8.80)	-

   2. Consolidated financial position

   	Total assets	Net assets	Equity-to-asset ratio
   As of September 30, 2025 March 31, 2025	Millions of yen 386,686 393,466	Millions of yen 180,704 172,455	% 48.0 45.1

   Reference: Equity

   As of September 30, 2025:	¥	185,432 million
   As of March 31, 2025:	¥	177,285 million

2. Cash dividends

   	Annual dividends per share
   	First quarter-end	Second quarter-end	Third quarter-end	Fiscal year-end	Total
   	Yen	Yen	Yen	Yen	Yen
   Fiscal year ended March 31, 2025	-	113.00	-	103.00	216.00
   Fiscal year ending March 31, 2026	-	110.00
   Fiscal year ending March 31, 2026 (Forecast)			-	130.00	240.00

   Note: Revisions to the forecast of cash dividends most recently announced: Yes

3. Consolidated financial result forecasts for the fiscal year ending March 31, 2026 (from April 1, 2025 to March 31, 2026)

(Percentages indicate year-on-year changes.)

1. Adoption of accounting treatment specific to the preparation of semi-annual consolidated financial statements: None

2. Changes in accounting policies, changes in accounting estimates, and restatement

   1. Changes in accounting policies due to revisions to accounting standards and other regulations: None

   2. Changes in accounting policies due to other reasons: None

   3. Changes in accounting estimates: None

   4. Restatement: None

3. Number of issued shares (common shares)

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

      As of September 30, 2025	38,665,226 shares
      As of March 31, 2025	38,665,226 shares

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

      As of September 30, 2025	2,794,441 shares
      As of March 31, 2025	2,440,729 shares

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

Note: The Company has introduced the Employee Share Award Plan. Shares of the Company held in the plan's trust account are included in the number of treasury shares at the end of the period (268,800 shares as of September 30, 2025, and 273,700 shares as of March 31, 2025,). Shares of the Company held in the plan's trust account are also included in the number of treasury shares deducted when calculating the average number of shares outstanding during the period (269,213 shares and 274,515 shares in six months ended September 30, 2025 and 2024, respectively).

• Semi-annual financial results reports are exempt from review conducted by certified public accountants or an audit firm.

• Proper use of earnings forecasts, and other special matters

Revisions have been made to the financial results forecast and the year-end dividend forecast for the fiscal year ending March 31,2026 that were released at the time of the financial results briefing held on May 14, 2025. For more details, see "1. Consolidated Results and Forecast" on Page 1 of the "Financial Results Supplementary Materials for the Second Quarter of the Fiscal Year Ending March 31, 2026" and "Notice Concerning the Revision of Financial Results Forecasts and Dividend Forecasts" announced separately today.

The performance forecasts and other forward-looking statements contained in this document are based on information available at the time of publication and certain assumptions considered reasonable by the Company. The Company does not provide any guarantee that these forecasts will be achieved, and actual results may differ significantly due to various factors. Please refer to "1. Overview of Operating Results, etc. (3)Explanation of Consolidated Financial Results Forecast and Other Forward-looking Statements" on page 3 of the Attachment for details of the conditions assumed in the financial results forecast and precautions regarding the use of the financial results forecast.

The Company plans to hold a financial results briefing for analysts and institutional investors on Friday, November 14, 2025. The materials used in this briefing will be posted on the Company's website today(in Japanese only).

The financial results supplementary material will be disclosed through TDnet and posted on the Company's website today.

1. Non-consolidated financial results for the six months ended September 30, 2025 (April 1, 2025 to September 30, 2025)

   1. Non-consolidated operating results (cumulative)

      (Percentages indicate year-on-year changes.)

      	Net sales		Operating profit		Ordinary profit		Profit
      Six months ended September 30, 2025 September 30, 2024	Millions of yen 148,852 135,392	% 9.9 4.8	Millions of yen 10,660 2,657	% 301.2 (55.6)	Millions of yen 11,806 3,237	% 264.7 (55.2)	Millions of yen 9,314 2,879	% 223.4 (50.3)

      	Basic earnings per share	Diluted earnings per share
      Six months ended	Yen	Yen
      September 30, 2025	259.62	-
      September 30, 2024	78.19	-

   2. Non-consolidated financial position

   	Total assets	Net assets	Equity-to-asset ratio
   As of September 30, 2025 March 31, 2025	Millions of yen 354,585 360,065	Millions of yen 177,813 169,795	% 50.1 47.2

   (Reference) Equity: As of September 30, 2025:	¥	177,813 million
   As of March 31, 2025:	¥	169,795 million

2. Non-consolidated financial results forecast for the fiscal year ending March 31, 2026(April 1, 2025 to March 31, 2026)

(Percentages indicate year-on-year changes.)

(Note) Revision to the financial results forecast announced most recently: Yes

* Proper use of earnings forecasts, and other special matters

Revisions have been made to the financial results forecast for the fiscal year ending March 31, 2026 that were released at the time of the financial results briefing held on May 14, 2025. For more details, see "2. Non-Consolidated Results and Forecast" on Page 2 of the "Financial Results Supplementary Materials for the Second Quarter of the Fiscal Year Ending March 31, 2026" and "Notice Concerning the Revision of Financial Results Forecasts and Dividend Forecasts" announced separately today.

The performance forecasts and other forward-looking statements contained in this document are based on information available at the time of publication and certain assumptions considered reasonable by the Company. The Company does not provide any guarantee that these forecasts will be achieved, and actual results may differ significantly due to various factors.

Table of Contents - Attachments

1. Overview of Operating Results, etc 2

   1. Overview of Operating Results for the Period under Review 2

   2. Overview of Financial Position for the Period under Review 3

   3. Explanation of Consolidated Financial Results Forecast and Other Forward-looking Statements 3

2. Semi-annual Consolidated Financial Statements and Primary Notes 4

   1. Semi-annual Consolidated Balance Sheet 4

   2. Semi-annual Consolidated Statements of Income and Comprehensive Income 6

   3. Semi-annual Consolidated Statement of Cash Flows 8

   4. Notes to Consolidated Financial Statements 9

(Notes on going concern assumption) 9

(Notes on noteworthy changes in shareholders' equity) 9

(Additional information) 9

(Segment information, etc.) 10

1. Overview of Operating Results, etc.

   1. Overview of Operating Results for the Period under Review

      During the six months ended September 30, 2025, the Japanese economy continued to recover moderately amid improvements in the employment and income environment, despite some downward pressure from factors such as U.S. trade policies. In the construction industry, the situation continued to require close attention to rising construction costs, such as the trends in material and equipment prices and labor costs, despite strong construction investment in both the public and private sectors.

      At the Group, net sales for the six months ended September 30, 2025 increased by 8.6% year on year to

      ¥151,301 million, due mainly to firm progress in the Construction Business on projects carried over from the previous fiscal year. In terms of profit and loss, gross profit increased by 74.5% year on year to ¥20,156 million due to an improvement in the gross profit margin of the Construction Business, among other factors. Operating profit was ¥9,652 million (compared to ¥791 million in the same period of the previous year). Ordinary profit was ¥12,971 million (compared with an ordinary loss of ¥3,101 million in the same period of the previous year), and profit attributable to owners of parent was ¥9,950 million (compared with loss attributable to owners of parent of ¥324 million in the same period of the previous year).

      On July 19, 2024, an explosion occurred at the power generation equipment of ISHIKARI BIO ENERGY GODO KAISHA, a consolidated subsidiary, resulting in the failure to meet certain criteria for hedge accounting. As a result, hedge accounting has been discontinued as of the second quarter (interim period) of the fiscal year ended March 31, 2025. In the six months ended September 30, 2025, gain on valuation of forward exchange contracts related to ISHIKARI BIO ENERGY GODO KAISHA has been recorded as non-operating income. For details, refer to the "Notice Concerning the Recording of Non-operating Income (Valuation Gains on Forward Exchange Contracts)" released separately today.

      Operating results by segment are as follows. (Civil Engineering)

      Net sales increased by 16.5% year on year to ¥52,491 million. The profitability of the backlog of projects from the previous fiscal year improved with orders awarded for additional work, lower costs and other factors, improving the gross profit margin and leading to operating profit of ¥5,461 million (compared to an operating loss of ¥756 million in the same period of the previous year).

      Orders received decreased by 65.1% year on year to ¥34,745 million.

      (Building)

      Net sales increased by 7.0% year on year to ¥93,648 million. The profitability of the backlog of projects from the previous fiscal year improved with orders awarded for additional work, lower costs and other factors, improving the gross profit margin and leading to operating profit increasing by 71.8% year on year to ¥4,125 million.

      In addition, due to the securing of orders for large-scale construction projects in Japan, orders received increased by 92.3% year on year to ¥61,443 million.

      (Investment Development)

      The Investment Development Business comprises business related to the sale and leasing of real estate and the renewable energy business. Net sales decreased by 33.8% year on year to ¥3,150 million, and operating loss was ¥149 million (compared to an operating loss of ¥1,070 million for the same period in the previous fiscal year).

      ISHIKARI BIO ENERGY GODO KAISHA, a consolidated subsidiary, had suspended commercial operations following the explosion at its power generation equipment. However, since restoration and preventive modification work has been partially completed, it began trial operations on September 28, 2025. Operation will be temporarily suspended again to carry out boiler pipe replacement work within the power generation equipment, but the restoration and preventive modification work is progressing as originally planned, and full-scale commercial operations are scheduled to resume in April 2026.

      (Other)

      Other business refers to the manufacture and sale of construction machinery, equipment, etc. Net sales decreased by 0.7% year on year to ¥2,010 million, leading to operating profit decreasing by 53.1% year on year to ¥90 million.

   2. Overview of Financial Position for the Period under Review

      1. Status of assets, liabilities and net assets (Assets)

         Total assets amounted to ¥386,686 million, a decrease of ¥6,780 million from the end of the previous fiscal year. This was due mainly to a decrease in cash and deposits, notes receivable, accounts receivable from completed construction contracts and other, despite an increase in securities.

         (Liabilities)

         Total liabilities amounted to ¥205,981 million, a decrease of ¥15,029 million from the end of the previous fiscal year, mainly due to a decrease in short-term borrowings, despite an increase in long-term borrowings. (Net assets)

         Total net assets amounted to ¥180,704 million, an increase of ¥8,248 million from the end of the previous fiscal year. This was mainly due to the recording of profit attributable to owners of parent and an increase in valuation difference on available-for-sale securities.

      2. Overview of cash flows

         Regarding cash flows during the period under review, operating activities provided net cash of ¥18,548 million, but investing activities and financing activities used net cash of ¥1,280 million and ¥21,306 million, respectively. As a result, cash and cash equivalents at the end of the period amounted to ¥23,655 million, a decrease of ¥3,784 million from the end of the previous fiscal year.

         Cash flows for the period under review are as follows. (Cash flows from operating activities)

         Net cash provided by operating activities amounted to ¥18,548 million, due mainly to the recording of profit before income taxes and a decrease in trade receivables. (Net cash used in operating activities was ¥16,182 million in the six months ended September 30, 2024.)

         (Cash flows from investing activities)

         Net cash used in investing activities amounted to ¥1,280 million, due mainly to purchase of property, plant and equipment and intangible assets, against an increase due mainly to the sale and redemption of short-term and long-term investment securities. (Net cash used in investing activities was ¥1,366 million in the six months ended September 30, 2024.)

         (Cash flows from financing activities)

         Net cash used in financing activities amounted to ¥21,306 million, due mainly to a decrease in borrowings. (Net cash provided by financing activities was ¥2,195 million in the six months ended September 30, 2024.)

   3. Explanation of Consolidated Financial Results Forecast and Other Forward-looking Statements

   Taking into consideration the situation until the end of the period under review and the future outlook, we have revised the financial results forecast and the year-end dividend forecast for the fiscal year ending March 31, 2026 that were released at the time of the financial results briefing held on May 14, 2025. For more details, see "1. Consolidated Results and Forecast" on Page 1 and "2. Non-consolidated Results and Forecast" on Page 2 of the "Financial Results Supplementary Materials for the Second Quarter of the Fiscal Year Ending March 31, 2026" and "Notice Concerning the Revision of Financial Results Forecasts and Dividend Forecasts" announced separately today.

   Gains and losses on valuation of forward exchange contracts recorded by ISHIKARI BIO ENERGY GODO KAISHA, a consolidated subsidiary, are not included in non-operating income and expenses in the consolidated financial results forecast. The Company's consolidated financial result may be significantly impacted by movements in foreign exchange markets in the future.

2. ‌Semi-annual Consolidated Financial Statements and Primary Notes (1)Semi-annual Consolidated Balance Sheet

(Millions of yen)

As of March 31, 2025

As of September 30, 2025

Assets

Current assets

(Millions of yen)

As of March 31, 2025

As of September 30, 2025

Liabilities

Current liabilities

(2)Semi-annual Consolidated Statements of Income and Comprehensive Income

Semi-annual Consolidated Statement of Income

(Millions of yen)

Net sales of real estate investment, development business and other

6,785

5,160

Cost of real estate investment, development business and other

6,644

4,269

For the six months ended September 30, 2024

For the six months ended September 30, 2025

Net sales of completed construction contracts

132,553

146,140

Total net sales

139,339

151,301

Cost of sales of completed construction contracts

121,146

126,876

Total cost of sales

127,790

131,145

Gross profit

Cost of sales

Net sales

Gross profit on completed construction contracts 11,406 19,264

Semi-annual Consolidated Statement of Comprehensive Income

For the six months ended September 30, 2024

(Millions of yen)

For the six months ended September 30, 2025

Comprehensive income attributable to non-controlling interests

(1,714) 101

Loss (gain) on settlement of forward exchange contracts

50 (1,199)

Loss (gain) on valuation of forward exchange contracts

3,908

(1,315)

Decrease (increase) in trade receivables (10,010) 11,079

securities

long-term investment securities

intangible assets

- 3

Proceeds from sale of property, plant and equipment and intangible assets

Proceeds from settlement of forward exchange contracts

-

1,155

Proceeds from collection of loans receivable 42 6

Net cash provided by (used in) investing activities (1,366) (1,280)

Other, net (22) (11)

Cash flows from financing activities

‌(4) Notes to Consolidated Financial Statements (Notes on going concern assumption)

Not applicable.

(Notes on noteworthy changes in shareholders' equity) Not applicable.

(Additional information) (Financial covenants)

The Company has recognized a breach in the financial covenants for non-recourse borrowings by ISHIKARI

BIO ENERGY GODO KAISHA, a consolidated subsidiary. The Company has concluded an additional loan agreement with ISHIKARI BIO ENERGY GODO KAISHA to support its day-to-day cash flow. The lender has not exercised its right to demand early repayment.

(Segment information, etc.) [Segment information]

For the six months ended September 30, 2024 (from April 1, 2024 to September 30, 2024)

Information on net sales and income (loss) by reportable segment

(Millions of yen)

Notes. 1. The "Other" category is a business segment not included in reportable segments. It includes such operations as the manufacture and sale of construction machinery, equipment, etc.

1. The segment profit (loss) adjustment of ¥23 million is mainly eliminations of inter-segment transactions.

2. Segment profit (loss) is adjusted to the operating profit figure on the Semi-annual Consolidated Statements of Income.

For the six months ended September 30, 2025 (from April 1, 2025 to September 30, 2025)

Information on net sales and income (loss) by reportable segment

(Millions of yen)

Notes. 1. The "Other" category is a business segment not included in reportable segments. It includes such operations as the manufacture and sale of construction machinery, equipment, etc.

1. The segment profit (loss) adjustment of ¥124 million is mainly eliminations of inter-segment transactions.

2. Segment profit (loss) is adjusted to the operating profit figure on the Semi-annual Consolidated Statements of Income.