Wakita & Co., Ltd.TSE: 8125

Notice Concerning Formulation of 2028 Medium Term Management Plan (FYE2/2026 FYE2/2028)

Apr 11, 2025 at 7:07 AM UTC · Issued by Wakita & Co., LTD.

April 11, 2025

To Whom It May Concern

Company Name	Wakita & Co., LTD.
Name of Representative	Teiji Wakita, President and Representative Director
Code Number:	8125 (TSE Prime)
Contact	Atsuhiko Nariyama, Director, General Manager of
	General Affairs Division
	Tel. +81-6-6449-1901

Notice Concerning Formulation of 2028 Medium-Term Management Plan

(FYE2/2026 - FYE2/2028)

Wakita & Co., LTD. ("the Company") announced the 2028 Medium-Term Management Plan, covering fiscal year ending February 2026 through fiscal year ending February 2028.

1. Group Vision

The Group aims to embody its corporate creed of Happiness by serving as a solution provider that helps address challenges faced by customers and society. The Group aims to increase corporate value through business growth and ensure the Happiness and physical and emotional well-being of all its stakeholders, including customers, suppliers, employees, financial institutions, shareholders, and society at large. To this end, the Group will execute its growth strategy while strengthening human capital development that focuses on next-generation leadership.

Construction Equipment Business

The Construction Equipment Business supports disaster recovery, disaster prevention, and national resilience through infrastructure-related initiatives. The segment also works to solve challenges in the construction industry through ICT solutions and technical proposals.

Commercial Affairs Business

The Commercial Affairs Business supports environments where people can enjoy singing by providing karaoke equipment and continues to assist the caregiving industry and care workers in an aging society.

Real Estate Business

The Real Estate Business contributes to society by providing relaxing and comfortable office environments, living spaces, and hotel accommodations.

2. Quantitative Targets (Consolidated)

Position each quantitative target as a milestone toward further long-term growth and improvement.

	FYE2/2025
	(Actual)

Net sales	92.3 billion yen
Operating profit	6.3 billion yen
EBITDA	14.4 billion yen
ROE	3.9%

FYE2/2028

(Plan)

111 billion yen

7.7 billion yen

16.1 billion yen

5.0%

3. Policies

Basic Policy
The 2028 Medium-Term Management Plan aims to achieve the Group Vision by setting key initiatives and company-wide strategies to lay the groundwork for future growth, improve capital efficiency, and enhance sustainable corporate value.

Key Initiatives	Company-Wide Strategies

Expand store network	Enhance shareholder returns
Pursue digital transformation	Enhance investor relations
Expand business domains	Advance human resources strategy
Improve asset efficiency

Strategies by Segment
1. Construction Equipment Business
  ・Expand network of stores (through M&A and new store openings)
  ・Strengthen ICT in construction by taking on i-Construction 2.0 (ICT One-Stop Service) ・Leverage digital marketing
  ・Enter the temporary construction market ・Increase rental asset utilization rates
2. Commercial Affairs Business
  Nursing Care Division
  ・Expand network of stores (through M&A and new store openings) ・Pursue digital transformation in nursing care
  SV Division
  ・Tap into new customer segments and markets for karaoke-related products
3. Real Estate Business
  ・Increase the value of assets held and improve customer satisfaction
Balancing Growth Investments and Shareholder Returns
1. The Company considers returning profits to shareholders to be a key management priority and continue
2. fundamental policy of stable dividend payouts. For the fiscal year ended February 2025, the Company plans to increase the annual dividend per share by 38 yen year on year to 100 yen, while pursuing a balance with future growth investments (initial forecast: 70 yen per share). The Company also plans to maintain an annual dividend of at least 100 yen per share for the three-year period from the fiscal year ending February 2026 through the fiscal year ending February 2028.

	Dividend Per Share

FYE2/2024 (Actual)	62 yen
FYE2/2025 (Announced)	100 yen	Revised upward from initial
		forecast of 70 yen
FYE2/2026 (Plan)	100 yen or more
FYE2/2027 (Plan)	100 yen or more
FYE2/2028 (Plan)	100 yen or more

The Group also intends to leverage accumulated capital to actively pursue the following growth initiatives.

・Execute M&A investments (to expand networks, strengthen digital transformation in construction, and advance digital transformation in nursing care)

・Expand rental location network (Construction Equipment, Nursing Care)

・Invest in human capital (by increasing staffing, supporting growth, enhancing employee engagement)

End

FYE2/2025 Financial Results

Presentation and 2028

Medium-Term Management Plan

Wakita & Co., LTD.

T S E P r i m e

8 1 2 5

Contents

FYE2/2025 Financial Results Presentation

2028 - Medium-Term Management Plan

Appendix

FYE2/2025 Financial Results Presentation

Wakita & Co., LTD.

T S E P r i m e

8 1 2 5

01. FYE2/2025 Financial Results Summary

02. FYE2/2026 Earnings Forecast

01.

FYE2/2025 Financial Results Summary

(100 million yen)

Business Performance Overview

Although results fell short of the initial forecast, revenue still rose 4.1% year on year
Improvements in gross profit margin offset higher SG&A expenses, resulting in operating profit exceeding the initial forecast and increasing 15.3% year on year
Net income increased 23.9%, while ROE surpassed the initial forecast, improving to approximately 4%

FYE2/2024

Percentage of

Net Sales

FYE2/2025 (Forecast)

Percentage of

Net Sales

FYE2/2025 (Actual)	YoY

	Percentage of	Change (Yen)	Change (%)
	Net Sales

Net sales

Gross profit

SG&A expenses

Personnel costs

Operating profit

Ordinary profit

Net profit attributable to owners of parent

EBITDA

ROE

886.5 -

248.6 28.1%

193.2 21.8%

100.2 11.3%

55.4 6.3%

57.1 6.5%

31.5 3.6%

136.3 15.4%

3.2%-

940.0 -

265.5 28.2%

207.5 22.1%

- -

58.0 6.2%

59.5 6.3%

34.5 3.7%

140.0 14.9%

3.4%-

923.2 -

268.9 29.1%

205.0 22.2%

109.8 11.9%

63.9 6.9%

65.0 7.0%

39.1 4.2%

144.4 15.7%

3.9%-

+36.6	+4.1%
+20.3	+8.2%
+11.8	+6.1%
+9.6	+9.6%
+8.4	+15.3%
+7.9	+13.9%
+7.5	+23.9%
+8.1	+6.0%
+0.7 pp	-

Factors Behind Segment Operating Profit Changes

Construction Equipment Business returned to profit year on year
Continued profit growth in the Commercial Affairs and Real Estate businesses contributed to increased operating profit across all segments

Factors Behind Segment Operating Profit Changes (100 million yen)

70.0

65.0

60.0

+ 4.3

63.9

+ 2.6	+ 1.5

55.4

55.0

50.0

45.0

40.0

FYE2/2024	Construction	Commercial Affairs	Real Estate	FYE2/2025
Operating Profit	Equipment			Operating Profit