Interim report
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Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail. November 2, 2026 CCCCCooooonnnnnsssssooooollllliiiiidddddaaaaattttteeeeeddddd FFFFFiiiiinnnnnaaaaannnnnccccciiiiiaaaaalllll RRRRReeeeesssssuuuuullllltttttsssss fffffooooorrrrr ttttthhhhheeeee SSSSSiiiiixxxxx MMMMMooooonnnnnttttthhhhhsssss EEEEEnnnnndddddeeeeeddddd SSSSSeeeeepppppttttteeeeemmmmmbbbbbeeeeerrrrr 3333300000,,,,, 22222000002222266666 (((((UUUUUnnnnndddddeeeeerrrrr IIIIIFFFFFRRRRRSSSSS))))) Company name: NH Foods Ltd. (the "Company") Listing: Tokyo Stock Exchange Securities code: 2282 URL: https://www.nipponham.co.jp Representative: Fumio Maeda, President and Representative Director Inquiries: Satoshi Izumi, General Manager of Accounting & Finance Department / VBM Promotion Office Telephone: +81-6-7525-3042 Scheduled date of filing of semi-annual securities report: November 6, 2026 Scheduled date to commence dividend payments: - Preparation of supplementary material on financial results: Yes Holding of financial results briefing: Yes (for institutional investors and analysts) (Figures are indicated by counting fractions of 1/2 or more of a million yen as one and discarding the rest.) 11111..... CCCCCooooonnnnnsssssooooollllliiiiidddddaaaaattttteeeeeddddd fffffiiiiinnnnnaaaaannnnnccccciiiiiaaaaalllll rrrrreeeeesssssuuuuullllltttttsssss fffffooooorrrrr ttttthhhhheeeee sssssiiiiixxxxx mmmmmooooonnnnnttttthhhhhsssss eeeeennnnndddddeeeeeddddd SSSSSeeeeepppppttttteeeeemmmmmbbbbbeeeeerrrrr 3333300000,,,,, 22222000002222266666 (((((fffffrrrrrooooommmmm AAAAAppppprrrrriiiiilllll 11111 tttttooooo SSSSSeeeeepppppttttteeeeemmmmmbbbbbeeeeerrrrr 3333300000,,,,, 22222000002222266666)))))::::: (1) Consolidated operating results: (The percentages indicate the rates of increase (decrease) from the previous fiscal year.) Net sales Business profit Profit before tax Profit Profit attributable to owners of the parent Total comprehensive income (millions of yen) (%) (millions of yen) (%) (millions of yen) (%) (millions of yen) (%) (millions of yen) (%) (millions of yen) (%) Six months ended September 30, 2026 769,358 6.5 28,806 (20.7) 30,832 (19.4) 20,268 (21.0) 17,394 (25.0) 19,380 (37.0) September 30, 2025 722,599 5.7 36,341 34.1 38,273 32.6 25,651 30.0 23,188 29.8 30,767 92.0 Earnings per share (basic) (yen) Six months ended September 30, 2026 62.26 September 30, 2025 78.40 (Notes) 1. Business profit is calculated by deducting cost of goods sold and selling, general and administrative expenses from net sales, and accounting for foreign exchange gains and losses determined by the Group, while deducting adjustments in accordance with IFRS Accounting Standards and non-recurring items. 2. Diluted earnings per share is not presented as no potential shares with dilutive effect existed. 3. On October 1, 2026, the Company conducted a three-for-one share split of its common stock. "Earnings per share (basic)" is calculated as if the share split had occurred at the beginning of the year ended March 31, 2026.
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(2) Consolidated financial position: Total assets Total equity Total equity attributable to owners of the parent Equity ratio of owners of the parent (millions of yen) (millions of yen) (millions of yen) (%) As of September 30, 2026 1,023,011 534,385 516,957 50.5 March 31, 2026 997,477 551,692 536,940 53.8 22222..... SSSSStttttaaaaattttteeeee ooooofffff dddddiiiiivvvvviiiiidddddeeeeennnnndddddsssss::::: (yen) Annual dividend per share First quarter-end Second quarter-end Third quarter-end Fiscal year-end Total Year ended March 31, 2026 － － － 160.00 160.00 Year ending March 31, 2027 － － Year ending March 31, 2027 (forecast) － 60.00 60.00 (Notes) 1. Revisions to the forecast of cash dividends most recently announced: Yes 2. On October 1, 2026, the Company conducted a three-for-one share split of its common stock. Dividends for the fiscal year ended March 31, 2026 represent the actual amounts of dividends paid prior to the relevant share split. In connection with this share split, the Company has made adjustments to the forecast of the year-end dividends per share for the fiscal year ending March 31, 2027. For details, please refer to "Notice of the Adjustment to the Forecast of Business Results and Dividends" released today, November 2, 2026. 33333..... FFFFFooooorrrrreeeeecccccaaaaasssssttttt ooooofffff cccccooooonnnnnsssssooooollllliiiiidddddaaaaattttteeeeeddddd bbbbbuuuuusssssiiiiinnnnneeeeessssssssss rrrrreeeeesssssuuuuullllltttttsssss fffffooooorrrrr ttttthhhhheeeee yyyyyeeeeeaaaaarrrrr eeeeennnnndddddiiiiinnnnnggggg MMMMMaaaaarrrrrccccchhhhh 3333311111,,,,, 22222000002222277777 (((((AAAAAppppprrrrriiiiilllll 11111,,,,, 22222000002222266666 ttttthhhhhrrrrrooooouuuuuggggghhhhh MMMMMaaaaarrrrrccccchhhhh 3333311111,,,,, 22222000002222277777)))))::::: (The percentages indicate the rates of increase (decrease) from the previous fiscal year in respect of the whole-year period. Net sales Business profit Profit before tax Profit attributable to owners of the parent Earnings per share (basic) (millions of yen) (%) (millions of yen) (%) (millions of yen) (%) (millions of yen) (%) (yen) Whole-year period 1,500,000 2.9 50,000 (26.8) 52,000 (4.7) 35,000 (0.2) 128.69 (Notes) 1. Revisions to the forecast of business results most recently announced: Yes 2. In consideration of the recent developments of its business results, the Company has made adjustments to the forecast of consolidated business results for the whole-year period of the fiscal year ending March 31, 2027. For details, please refer to "Notice of the Adjustment to the Forecast of Business Results and Dividends" released today, November 2, 2026 3. On October 1, 2026, the Company conducted a three-for-one share split of its common stock. "Earnings per share (basic)" of the forecast of consolidated business results is calculated based on the number of shares issued (excluding shares of treasury stock) after the relevant share split. * Notes: (1) Significant changes in the scope of consolidation during the period: None Newly included: — (Name: ) Excluded: — (Name: ) (2) Changes in accounting policies and accounting estimates: 1) Changes of accounting policies required by IFRS: None 2) Changes of accounting policies due to other reasons: None 3) Changes in accounting estimates: None
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(3) Number of issued shares (ordinary shares): 1) Total number of issued shares at the end of the period (including treasury shares): As of September 30, 2026: 282,735,000 shares As of March 31, 2026: 297,285,012 shares 2) Number of treasury shares at the end of the period: As of September 30, 2026: 10,769,601 shares As of March 31, 2026: 14,884,689 shares 3) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year): Six months ended September 30, 2026: 279,404,989 shares Six months ended September 30, 2025: 295,768,390 shares (Notes) 1. The number of shares of treasury stock as of the end of the fiscal year includes the number of the Company's shares (254,508 shares for the six months ended September 30, 2026 and 295,851 shares for the year ended March 31, 2026) held by the Board Incentive Plan Trust (the "BIP Trust") adopted upon the introduction of the Performance-Based Stock Compensation Plan for officers. The number of shares of treasury stock deducted in the calculation of the average number of shares outstanding during the fiscal year includes the number of the Company's shares held by the BIP Trust. In addition, the number of shares of treasury stock deducted in the calculation of the average number of shares outstanding during the previous fiscal year includes the number of the Company's shares held by the NH Foods Group Employee Shareholding Association Dedicated Trust (the "Trust") upon the introduction of the Trust-type Employee Shareholding Incentive Plan. As the Trust-type Employee Shareholding Incentive Plan was terminated on October 15, 2025, the Trust held no shares of the Company as of March 31, 2026 and as of September 30, 2026. 2. On October 1, 2026, the Company conducted a three-for-one share split of its common stock. "Total number of issued shares at the end of the period", "Number of treasury shares at the end of the period", and "Average number of shares outstanding during the period" are calculated as if the share split had occurred at the beginning of the year ended March 31, 2026. * A brief statement of accounts for the second quarter is not subject to quarterly review. * Explanation for the appropriate use of the forecast of business results and other special instructions. (Cautionary notice on information about the future) The descriptions herein about the future, including the forecast of business results, are based on the information currently available to the Company and certain assumptions considered reasonable by the Company and are not contemplated to ensure the fulfillment thereof. The actual results may materially differ from such forecast and plans depending on various factors. The Company, therefore, wishes to caution that readers should not place undue reliance on these descriptions to make investment decisions. Further, unless obligated by laws or ordinances or the rules of financial instruments exchanges, the Company will not necessarily, or is not obligated to, revise such descriptions about the future, including the forecast of business results notwithstanding any information or event in the future or any results arising therefrom, or publicize such revised information. For information on the conditions precedent to the forecast of business results and cautionary notes for the use of the forecast of business results, please refer to "1. Overview of Operating Results, etc. (3) Future Outlook" on page 4.
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1 CONTENTS OF ATTACHMENT 1. Overview of Operating Results, etc. …………………………………………………………… 2 (1) Overview of Operating Results …………………………………………………………… 2 (2) Overview of Financial Position …………………………………………………………… 3 (3) Future Outlook ……………………………………………………………………………… 4 2. Consolidated Financial Statements and Primary Notes ………………………………………… 5 (1) Consolidated Statements of Financial Position …………………………………………… 5 (2) Consolidated Statements of Income ………………………………………………………… 7 (3) Consolidated Statements of Comprehensive Income ……………………………………… 8 (4) Consolidated Statements of Changes in Equity …………………………………………… 9 (5) Consolidated Statements of Cash Flows ……………………………………………………11 (6) Note on the Premises of a Going Concern …………………………………………………12 (7) Notes to Consolidated Financial Statements ………………………………………………12 Segment information ………………………………………………………………………12 * The Company plans to hold a financial results briefing for institutional investors and analysts on Monday, November 2, 2026. All materials to be used at the conference will be disclosed on TDnet and posted on its website today. * In addition to the above-mentioned briefing, the Company will hold briefings of its operations and business results for individual investors from time to time. Please check the Company's website for information on the schedules of such briefings, etc.
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2 1. Overview of Operating Results, etc. (1) Overview of Operating Results Overview of Operating Results in General For the second quarter of the fiscal year under review on a consolidated and cumulative basis, net sales increased by 6.5% from the same period of the previous fiscal year to ¥769,358 million. This was mainly due to steady domestic sales volume in the Fresh Meats Business, as well as the reasonable pricing in response to changes in procurement prices, and the recovery in sales at overseas subsidiaries in the Processed Foods Business. Business profit decreased by 20.7% to ¥ 28,806 million as a result of deterioration in the sales environment for Australian beef in the Fresh Meats Business and soaring raw material prices in the Processed Foods Business. Profit before tax decreased by 19.4% to ¥30,832 million, and profit attributable to owners of the parent decreased by 25.0% to ¥17,394 million, compared to the same period of the previous fiscal year. Overview of Operating Segments In April 2026, the Group established the "Sports & Entertainment Business Division" and implemented an organizational restructuring to place the existing Ballpark Business under its umbrella. Accordingly, from the cumulative second quarter of the fiscal year, the classification of reportable segments has been changed to the "Sports & Entertainment Business Division." In addition, due to a change in the scope of business divisions included in corporate overhead expenses, the amount of these expenses allocated to each reportable segment has also been changed. Therefore, amounts for the cumulative second quarter of the year ended March 31, 2026 have been reclassified based on the new reportable segment information for comparative analysis. YoY results Net sales Business profit Six months ended September 30, 2026 Change % Change Six months ended September 30, 2026 Change % Change (millions of yen) (millions of yen) (%) (millions of yen) (millions of yen) (%) Processed Foods Business Division 270,386 12,145 4.7 1,342 (897) (40.1) Fresh Meats Business Division 551,886 45,174 8.9 20,270 (7,440) (26.8) Sports & Entertainment Business Division 25,167 2,409 10.6 9,623 1,228 14.6 (Processed Foods Business Division) Net sales increased by 4.7% from the same period of the previous fiscal year to ¥270,386 million due to growth in domestic sales of mainstay brand products for consumers and a recovery trend in sales of mainstay products at subsidiaries in North America. Business profit decreased by 40.1% from the same period of the previous fiscal year to ¥1,342 million due to soaring raw material prices and an increase in distribution and other expenses. (Fresh Meats Business Division) Net sales increased by 8.9% from the same period of the previous fiscal year to ¥551,886 million due to strong sales volumes of domestic pork and imported pork, as well as appropriate pricing in response to fluctuations in procurement prices for each type of livestock. Business profit decreased by 26.8% from the same period of the previous fiscal year to ¥20,270 million due to the impact of the price increase of cattle in Australia and higher costs such as feed prices, personnel and distribution costs.
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3 (Sports & Entertainment Business Division) Net sales increased by 10.6% from the same period of the previous fiscal year to ¥25,167 million, and business profit increased by 14.6% from the same period of the previous fiscal year to ¥ 9,623 million. These increases were primarily due to steady growth in the number of visitors due to favorable team performance and improved profitability resulting from the provision of new restaurants and hands-on products for visitors to "Hokkaido Ballpark F Village". (2) Overview of Financial Position <Financial position> (Assets) Total assets increased by 2.6% from the end of the previous fiscal year to ¥1,023,011 million. Current assets increased by 6.6% from the end of the previous fiscal year to ¥467,277 million as inventories increased by 19.8% to ¥183,942 million mainly due to an increase in unit prices and stocks of fresh meats, and other financial assets increased by 73.2% to ¥12,709 million while cash and cash equivalents decreased by 21.6% to ¥53,852 million. Non-current assets decreased by 0.6% from the end of the previous fiscal year to ¥555,734 million because right-of-use assets decreased by 5.6% to ¥42,434 million, while intangible assets and goodwill increased by 6.1 % to ¥41,453 million due to the increase in software under development associated with the DX promotion. (Liabilities) Total liabilities increased by 9.6% from the end of the previous fiscal year to ¥488,626 million mainly because interest-bearing liabilities increased by 26.8% to ¥289,804 million due to an increase in borrowings prepared for current capital needs, although other current liabilities decreased by 22.8% to ¥44,957 million due to reducing unearned revenue as the season progressed related to Sports & Entertainment Business. (Equity) Total equity attributable to owners of the parent decreased by 3.7% from the end of the previous fiscal year to ¥516,957 million mainly because ¥15,061 million decrease due to cash dividends and ¥21,544 decrease due to acquisition of treasury stocks, although ¥17,394 million increase due to net income. As a result, the equity ratio of owners of the parent decreased by 3.3 percentage points from the end of the previous fiscal year to 50.5%. <Cash flows> (Cash Flows from Operating Activities) The increase in inventories amounted to ¥30,763 million, the decrease in other liabilities amounted to ¥13,039 million and income tax paid amounted to ¥17,107 million, while profit before tax amounted to ¥30,832 million. As a result, net cash used by operating activities amounted to ¥ 9,762 million. (Cash Flows from Investing Activities) Acquisition of fixed assets amounted to ¥19,889 million. As a result, net cash used in investing activities amounted to ¥20,257 million. (Cash Flows from Financing Activities) The increase in short-term bank loans amounted to ¥67,411 million, while payments for acquisition of treasury stock amounted to ¥30,002 million. As a result, net cash provided in financing activities amounted to ¥15,023 million. As a result, cash and cash equivalents at the end of the cumulative second quarter of the fiscal year decreased by ¥14,827 million from the end of the previous fiscal year to ¥53,852 million.
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4 (3) Future Outlook In consideration of the recent developments of its business results, the Company has made adjustments to the forecasts of consolidated business results for the whole-year period of the fiscal year ending March 31, 2027. For details, please refer to "Notice of the Adjustment to the Forecast of Business Results and Dividends" released today, November 2, 2026. Cautionary notice on information about the future The plans, forecast of operating results and other prospects for the future described in this brief statement of accounts are based on the information currently available to the Company and certain assumptions considered reasonable by the Company and are not contemplated to ensure the fulfillment thereof. The actual results in the future may materially differ from such plans and forecast, depending on various factors including risk factors in business. The Company, therefore, wishes to caution that readers should not place undue reliance on these descriptions to make investment decisions. Further, unless obligated by laws or ordinances or the rules of financial instruments exchanges, the Company will not necessarily, or is not obligated to, revise such descriptions about the future, including the forecast of business results notwithstanding any information or event in the future or any results arising therefrom, or publicize such revised information.
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5 2. Consolidated Financial Statements and Primary Notes (1) Consolidated Statements of Financial Position (millions of yen) As of March 31, 2026 As of September 30, 2026 (Assets) Current Assets Cash and cash equivalents 68,679 53,852 Trade and other receivables 157,430 161,914 Inventories 153,504 183,942 Biological assets 38,291 39,992 Other financial assets 7,337 12,709 Other current assets 13,061 14,741 Assets held for sale － 127 Total Current Assets 438,302 467,277 Non-current Assets Property, plant and equipment 376,092 374,895 Right-of-use assets 44,946 42,434 Biological assets 1,412 1,411 Intangible assets and goodwill 39,074 41,453 Investments accounted for using the equity method 12,448 11,019 Other financial assets 31,868 32,835 Deferred tax assets 28,429 26,649 Other non-current assets 24,906 25,038 Total Non-current Assets 559,175 555,734 Total Assets 997,477 1,023,011 (Liabilities and Equity) Current Liabilities Interest-bearing liabilities 47,949 111,378 Trade and other payables 114,173 119,017 Income taxes payable 15,514 7,663 Other financial liabilities 11,185 8,377 Other current liabilities 58,245 44,957 Total Current Liabilities 247,066 291,392 Non-current Liabilities Interest-bearing liabilities 180,599 178,426 Retirement benefit liabilities 11,568 11,923 Other financial liabilities 1,227 1,217 Deferred tax liabilities 344 431 Other non-current liabilities 4,981 5,237 Total Non-current Liabilities 198,719 197,234 Total Liabilities 445,785 488,626
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6 (millions of yen) As of March 31, 2026 As of September 30, 2026 Equity Common stock 36,294 36,294 Capital surplus 70,326 70,313 Retained earnings 414,070 386,743 Treasury stock, at cost (30,542) (22,033) Accumulated other comprehensive income 46,792 45,640 Total Equity Attributable to Owners of the Parent 536,940 516,957 Non-controlling Interests 14,752 17,428 Total Equity 551,692 534,385 Total Liabilities and Equity 997,477 1,023,011 (Note) Breakdown of accumulated other comprehensive income As of March 31, 2026 As of September 30, 2026 Financial assets measured at fair value through other comprehensive income 12,036 12,522 Exchange differences on translation of foreign operations 34,756 33,118
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7 (2) Consolidated Statements of Income (millions of yen) Six months ended September 30, 2025 Six months ended September 30, 2026 Net Sales 722,599 769,358 Cost of Goods Sold 592,562 647,490 Selling, General and Administrative Expenses 94,723 97,949 Other Income 5,677 10,683 Other Expenses 2,036 1,930 Financial Income 1,905 1,448 Financial Costs 2,029 2,109 Share of profit (loss) in Investments Accounted for Using the Equity Method (558) (1,179) Profit before Tax 38,273 30,832 Income Tax Expense 12,622 10,564 Profit 25,651 20,268 Profit Attributable to: Owners of the Parent 23,188 17,394 Non-controlling Interests 2,463 2,874 Profit 25,651 20,268 Earnings per Share Earnings per share (basic) 78.40 yen 62.26 yen (Notes) 1. Diluted earnings per share is not presented as no potential shares with dilutive effect existed. 2. On October 1, 2026, the Company conducted a three-for-one share split of its common stock. "Earnings per share (basic)" is calculated as if the share split had occurred at the beginning of the year ended March 31, 2026.
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8 (3) Consolidated Statements of Comprehensive Income (millions of yen) Six months ended September 30, 2025 Six months ended September 30, 2026 Profit 25,651 20,268 Other Comprehensive Income (Loss) Items that will not be reclassified subsequently to profit or loss Remeasurement of defined benefit plans (31) － Financial assets measured at fair value through other comprehensive income 3,553 811 Share of other comprehensive income of investments accounted for using the equity method － 0 Total 3,522 811 Items that may be reclassified to profit or loss Exchange differences on translation of foreign operations 1,641 (1,448) Share of other comprehensive income of investments accounted for using the equity method (47) (251) Total 1,594 (1,699) Total Other Comprehensive Income (Loss) 5,116 (888) Comprehensive Income 30,767 19,380 Comprehensive Income Attributable to: Owners of the Parent 28,220 16,569 Non-controlling Interests 2,547 2,811 Comprehensive Income 30,767 19,380
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9 (4) Consolidated Statements of Changes in Equity Six months ended September 30, 2025 (millions of yen) Equity attributable to owners of the parent Non- controlling interests Total equityCommon stock Capital surplus Retained earnings Treasury stock Accumulated other comprehensive income Total Remeas- urement of defined benefit plans Financial assets measured at fair value through other comprehen- sive income Exchange differences on translation of foreign operations Subtotal Balance as of April 1, 2025 36,294 71,026 387,789 (776) － 8,709 21,251 29,960 524,293 12,779 537,072 Profit 23,188 － 23,188 2,463 25,651 Other comprehensive income (31) 3,545 1,518 5,032 5,032 84 5,116 Comprehensive income － － 23,188 － (31) 3,545 1,518 5,032 28,220 2,547 30,767 Dividends (13,356) － (13,356) (103) (13,459) Acquisition of treasury stock (9,110) － (9,110) (9,110) Disposal of treasury stock 22 239 － 261 261 Share-based payment transactions 7 － 7 7 Transfer of accumulated other comprehensive income to retained earnings 1,907 31 (1,938) (1,907) － － Total transactions with owners － 29 (11,449) (8,871) 31 (1,938) － (1,907) (22,198) (103) (22,301) Balance as of September 30, 2025 36,294 71,055 399,528 (9,647) － 10,316 22,769 33,085 530,315 15,223 545,538
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10 Six months ended September 30, 2026 (millions of yen) Equity attributable to owners of the parent Non- controlling interests Total equityCommon stock Capital surplus Retained earnings Treasury stock Accumulated other comprehensive income Total Remeas- urement of defined benefit plans Financial assets measured at fair value through other comprehen- sive income Exchange differences on translation of foreign operations Subtotal Balance as of April 1, 2026 36,294 70,326 414,070 (30,542) － 12,036 34,756 46,792 536,940 14,752 551,692 Profit 17,394 － 17,394 2,874 20,268 Other comprehensive income 813 (1,638) (825) (825) (63) (888) Comprehensive income － － 17,394 － － 813 (1,638) (825) 16,569 2,811 19,380 Dividends (15,061) － (15,061) (135) (15,196) Acquisition of treasury stock (21,544) － (21,544) (21,544) Disposal of treasury stock (4) 66 － 62 62 Cancellation of treasury stock (29,987) 29,987 － － － Share-based payment transactions (9) － (9) (9) Transfer of accumulated other comprehensive income to retained earnings 327 (327) (327) － － Total transactions with owners － (13) (44,721) 8,509 － (327) － (327) (36,552) (135) (36,687) Balance as of September 30, 2026 36,294 70,313 386,743 (22,033) － 12,522 33,118 45,640 516,957 17,428 534,385
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11 (5) Consolidated Statements of Cash Flows (millions of yen) Six months ended September 30, 2025 Six months ended September 30, 2026 Cash Flows from Operating Activities Profit before tax 38,273 30,832 Depreciation and amortization expense 22,424 22,156 Impairment losses (reversal of impairment losses) 624 50 Decrease (increase) in fair value of biological assets (919) 1,960 Financial income and costs 124 662 Decrease (increase) in trade and other receivables (4,887) (4,767) Decrease (increase) in inventories (2,592) (30,763) Decrease (increase) in biological assets 639 (3,862) Decrease (increase) in other assets 188 (2,379) Increase (decrease) in trade and other payables 4,716 5,142 Increase (decrease) in other liabilities (6,616) (13,039) Others–net (4,958) 1,840 Interest received 858 561 Dividends received 312 280 Interest paid (1,008) (1,328) Income tax paid (4,715) (17,107) Cash Flows from Operating Activities 42,463 (9,762) Cash Flows from Investing Activities Acquisition of fixed assets (15,491) (19,889) Proceeds from sales of fixed assets 2,457 186 Decrease (increase) in time deposits (224) (123) Acquisition of other financial assets (19) (393) Sale and redemption of other financial assets 3,553 638 Purchase of investments accounted for using the equity method (40) － Others–net (45) (676) Cash Flows from Investing Activities (9,809) (20,257) Cash Flows from Financing Activities Cash dividends (13,459) (15,196) Increase (decrease) in short-term bank loans (7,732) 67,411 Proceeds from debt 55,902 201 Repayments of debt (45,352) (7,391) Payments for acquisition of treasury stock (20,003) (30,002) Proceeds from sales of treasury stock 219 － Cash Flows from Financing Activities (30,425) 15,023 Effect of Exchange Rate Changes on Cash and Cash Equivalents 175 (580) Hyperinflation Adjustment 762 749 Net Increase (decrease) in Cash and Cash Equivalents 3,166 (14,827) Cash and Cash Equivalents at the Beginning of the Period 71,557 68,679 Cash and Cash Equivalents at the End of the Period 74,723 53,852
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12 (6) Note on the Premises of a Going Concern Not applicable. (7) Notes to Consolidated Financial Statements Segment information Information regarding the reportable segments The Group categorizes the reportable segments mainly according to the nature of products and services, and manages its operations. In April 2026, the Group established the "Sports & Entertainment Business Division" and implemented an organizational restructuring to place the existing Ballpark Business under its umbrella. Accordingly, from the cumulative second quarter of the fiscal year, the classification of reportable segments has been changed to the "Sports & Entertainment Business Division." In addition, due to a change in the scope of business divisions included in corporate overhead expenses, the amount of these expenses allocated to each reportable segment has also been changed. Additionally, amounts for the cumulative second quarter of the year ended March 31, 2026 have been reclassified based on the new reportable segment information. Processed Foods Business Division — Mainly domestic and overseas production and sales of hams and sausages, processed foods, and dairy products Fresh Meats Business Division — Mainly domestic and overseas production and sales of fresh meats Sports & Entertainment Business Division — Mainly professional baseball-related entertainment, stadium operations, and overall ballpark management The Group consists of 65 subsidiaries and 7 associates and joint ventures.
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13 Six months ended September 30, 2025 (millions of yen) Processed Foods Business Division Fresh Meats Business Division Sports & Entertainment Business Division Total Eliminations, adjustments and others Consolidated Net sales Sales to external customers 219,068 481,165 21,337 721,570 1,029 722,599 Intersegment sales 39,173 25,547 1,421 66,141 (66,141) － Total 258,241 506,712 22,758 787,711 (65,112) 722,599 Segment profit 2,239 27,710 8,395 38,344 (2,003) 36,341 Six months ended September 30, 2026 (millions of yen) Processed Foods Business Division Fresh Meats Business Division Sports & Entertainment Business Division Total Eliminations, adjustments and others Consolidated Net sales Sales to external customers 225,654 520,109 23,722 769,485 (127) 769,358 Intersegment sales 44,732 31,777 1,445 77,954 (77,954) － Total 270,386 551,886 25,167 847,439 (78,081) 769,358 Segment profit 1,342 20,270 9,623 31,235 (2,429) 28,806 (Notes) 1. "Eliminations, adjustments and others" includes unallocated items and intersegment eliminations. 2. Except for a few unallocated items, corporate overhead expenses and profit or loss of certain subsidiaries are allocated to each reportable operating segment. These subsidiaries provide indirect services and operational support for the Group included in each reportable operating segment. 3. "Segment profit" is calculated by deducting cost of goods sold and selling, general and administrative expenses from net sales, and accounting for foreign exchange gains and losses determined by the Group, while deducting adjustments in accordance with IFRS Accounting Standards and non-recurring items.