Interim report
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0 1 A アリアケ ジャパン 株式 Interim Financial Results for the Fiscal Year Ending March 31 , 2027 ( FY2027 ) April 1 , 2026 - June 30 , 2026 ( Summary ) August 7 , 2026 ARIAKE JAPAN Co. , Ltd. ( Code number : 2815 ) Summary of Interim Financial Results for the Fiscal Year Ending March 31 , 2027 ( FY2027 ) April 1 , 2026 - June 30 , 2026 Ariake Group Consolidated net sales ¥ 15.99 billion Up 3.8 % year on year Down 2.1 % from the plan Consolidated operating profit ¥ 2.55 billion Down 2.2 % year on year Up 3.4 % from the plan Operating profit ratio 15.9 % Down 1.0 points year on year Up 0.8 points from the plan Consolidated profit ¥ 2.09 billion Down 11.3 % year on year Down 10.8 % from the plan Domestic sales were strong and exceeded the plan ; however , sluggish performance in China led to consolidated net sales that , while showing year - on - year growth , fell short of our plan . Year - on - year , both operating profit and operating profit margin declined , yet they still surpassed our plan . The decrease in net profit resulted from lower operating profit and foreign exchange gains , as well as the tax implications of subsidiary dividends . ARIAKE JAPAN CO . , LTD . 1 1
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2 ARIAKE JAPAN CO.,LTD. 2Summary of Interim Financial Results for the Fiscal Year Ending March 31, 2027 (FY2027)April 1, 2026–June 30, 2026 Non-Consolidated net sales ¥11.40 billion Up 2.5% year on year Up 1.3% from the plan Non-Consolidated operating profit ¥1.72 billion Down 4.7% year on year Up 9.4% from the plan Ariake Japan Operating profit ratio 15.1% Down 1.1 point year on year Up 1.1 points from the plan Non-Consolidated profit ¥1.86 billion Down 8.7% year on year Up 20.3% from the plan □Domestic sales are performing well: up 2.5% year-on-year in the first quarter (compared to +1.4% for the full previous fiscal year) and 1.3% above plan.□Breakdown: sales volume increased by 1.6%, and unit price rose by 0.9%.□Food service (+2.4% YoY) and B2B2C (+7.9% YoY) are performing well; convenience store sales remain level with the previous year.The increase in exports (+32% YoY) is attributable to a one-time factor specific to the current period.□Operating profit and operating profit margin are within the expected range; although profit declined, the results exceeded the plan. ARIAKE JAPAN CO.,LTD. 3Summary of Interim Financial Results for the Fiscal Year Ending March 31, 2027 (FY2027)April 1, 2026–June 30, 2026Subsidiaries Net sales ¥4.59 billion Up 7.2% year on year Down 9.7% from the plan Operating profit ¥0.83 billion Up 3.6% year on year Down 7.0% from the plan Operating profit ratio 18.1% Down 0.6 points year on year Up 0.4 points from the plan Consolidated profit ¥0.22 billion Down 28.2% year on year Up 71.7% from the plan □Revenue and profit increased—driven by strong performance in Europe offsetting the decline in China (caused by the ongoing real estate slump) and bolstered by currency effects—though results fell short of the plan.□Profitability in Belgium is improving steadily (up 76% year-on-year); the business returned to the black on a pre-consolidation adjustment basis.□France saw improvements in both operating profit (up 119% year-on-year) and operating profit margin (rising 16.8 percent year-on-year to 31.7%).□In the Netherlands, sales grew by 22.7% year-on-year, but operating profit margin dipped slightly to 18.7% (within the planned range) due to soaring raw meat costs.□In China, despite a drop in revenue, cost-cutting measures limited the decline in operating profit margin to a marginal drop from 21.0% in the previous period to 20.1%.□The decrease in net profit is attributable to consolidation adjustments (specifically, the impact of taxes on subsidiary dividends). 2 3
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3 ARIAKE JAPAN CO.,LTD. 4Earning Forecast and Extarnal Factors □No revision to the earnings forecast for the current period. □Strong performance in the domestic and European markets is offsetting sluggishness in Asia; sales are projected to meet the plan. □While the outlook regarding external factors—such as the situation in the Middle East and exchange rates—remains uncertain, operating profit is currently forecast to align with the plan. □Impact of the 2026 Kumamoto earthquake on the Kyushu plant's production and financial results (sales, operating profit, etc.) is minor. □Foreign exchange impact on AJ (standalone): An increase in direct raw material procurement costs of ¥400 million/year (vs. the previous year) has been factored in; Q1 impact was +¥120 million vs. the previous year. Increases in raw material procurement costs due to the weak yen are being mitigated through derivative transactions (recorded as non-operating income). Q1 impact on consolidated subsidiary performance: Sales +¥490 million, operating profit +¥80 million (difference from a currency- neutral scenario). □Packaging material costs for AJ have risen due to the situation in the Middle East. While the budget projected an increase of ¥800 million year-on-year, the actual rise in the first quarter was ¥50 million; costs for the full year are also expected to come in below budget. A decision on whether to pass these cost increases on to customers has not yet been made and will be determined based on industry trends. □Implementing sales initiatives anticipating the food consumption tax reduction starting April 2027: - Expanding sales of products for convenience store (CVS) prepared foods/fast food, supermarket deli sections, and takeout. - Expanding sales of B2B2C products. - Strengthening sales activities targeting food manufacturers. - Considering strategic measures through communication with foodservice customers. □Sluggish foodservice performance in China continues; offsetting this through non-foodservice channels. Consolidated earnings forecastThe impact of External Factors and Responses ARIAKE JAPAN CO.,LTD. 5Financial Results Forecast: Non-consolidated □Securing new business in the foodservice sector is progressing well, with notable sales growth in Western Japan. □Convenience store (CVS) sales remain on par with the previous year; future efforts will focus on B2B2C channels and products for store-counter sales. □For food manufacturers, the impact of price hikes has leveled off; while Q1 sales dipped 0.2% year-on-year, processed food sales are expected to remain solid due to consumer frugality. Sales efforts are being intensified to drive revenue growth. □Regarding the new pet food business, the articles of incorporation were amended at the June general meeting; production lines are being set up, with manufacturing scheduled to begin in October. The company aims to expand ODM products and is actively making proposals to retailers and distributors. □Strengthening the product development framework has led to an increase in the number of approved projects and projected sales from approved products in existing business areas. Sales from approved projects are up 23% compared to Q1 of the previous fiscal year. □Performance from April to July has been strong, and sales for the first half of the fiscal year are projected to exceed the plan. □Sales profit improvements (price revisions, product renewals) achieved 74% of the projected ¥700 million contribution for the current fiscal year. □Cost reductions achieved through factory-level initiatives reached 40% of the ¥1.4 billion target. □Additional price revisions are being considered in light of rising raw material and packaging costs and industry trends. Net salesImproving profit 4 5
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4 ARIAKE JAPAN CO.,LTD. 6Financial Results Forecast: Asia GroupChina □Sluggish sales in the food service industry, triggered by the real estate downturn that began in the second half of fiscal 2024, persist; a short-term recovery appears difficult. □Instant noodle sales remain strong due to consumer frugality; business with new local convenience store chains and membership-based supermarkets is expanding. □Considering offsetting the impact by expanding sales of pet food ingredients within the Chinese retail market and entering the South Korean market. □Mitigating the decline in profits through rigorous cost-cutting measures. Taiwan □Consumer spending remains sluggish due to the situation in the Middle East; combined with weak performance in certain dining-out segments, overall sales are lackluster. □While the ramen industry shows signs of market saturation, other sectors—such as family restaurants, yakiniku, udon, and hot pot—are growing, with Japanese-affiliated chains in these categories performing well. □Although packaging and raw material costs have risen slightly due to the Middle East situation, high operating profit margins are being maintained. Indonesia □While semi-product exports to Japan (AJ) and Taiwan have declined, domestic sales and exports remain strong. □There is significant interest from Japanese restaurant chains expanding into Muslim-majority regions, such as Malaysia and Dubai. □Export applications for Singapore have been approved, so sales efforts will be intensified. □Despite soaring costs for packaging materials and LNG, the operating profit margin is being maintained. ARIAKE JAPAN CO.,LTD. 7Financial Results Forecast: Europe GroupBelgium □Strong sales within Europe; priority remains on expanding European sales, while shipments to AJ are being adjusted to match actual demand (resulting in lower exports). □Successful sales of organic broth; volume expected to rise in the second half (orders already secured). □For UHT products, retail adoption of the company's own brand is expanding; one contract secured for an ODM product, with negotiations ongoing with multiple other customers. □Profitability improved, and the business returned to the black (pre-consolidation adjustment) driven by increased sales and production volumes. France □Focusing on sales within Europe; adjusting shipments to AJ in line with actual demand (resulting in lower exports). □Operating profit (pre-consolidation adjustments) to decline due to lower production volume, but expected to remain stable after consolidation adjustments. □Strengthening sales structure by increasing headcount in the food service division (September) Netherlands □Sales of meat powder for industrial use remain solid. □Operating profit margins declined due to soaring beef raw material costs; however, price adjustments have been implemented, and the impact is within the planned scope. □Plans for a new factory are underway, targeting the start of operations in 2028. 6 7
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5 Reference Materials: Financial Results Data ARIAKE JAPAN CO.,LTD. 9Interim Financial Results for the Fiscal Year Ending March 31, 2027 (FY2027)April 1, 2026–June 30, 2026 (Net Sales/Profit) Change compared to plan (%) Change compared to plan PlanYear on year (%) Year on year change Fiscal year ended March 31, 2026 ResultsCategory -2.1%-0.3516.33+3.8%+0.5815.4115.99Consolidated net sales +3.4%+0.082.47-2.2%-0.062.612.55Consolidated operating profit -6.6%-0.213.19-8.5%-0.283.262.98Consolidated ordinary profit -10.8%-0.252.34-11.3%-0.272.352.09Consolidated profit +1.3% +0.15 11.25 +2.5%+0.2711.1211.40Non-Consolidated net sales +9.4% +0.15 1.57 -4.7%-0.08 1.80 1.72Non-Consolidated operating profit +20.2% +0.452.22 -8.6%-0.25 2.922.67Non-Consolidated ordinary profit +20.3% +0.351.55-8.7%-0.182.041.86 Non-Consolidated profit Consolidated operating profit to net sales ratio: 15.9% Down 0.1 points year on year Up 0.8 points from the plan Non-Consolidated operating profit to net sales ratio: 15.1% Down 1.1 points year on year Up 1.1 points from the plan * Unit: Billions of yen, rounded to the nearest 10 million yen. Year on year changes and changes compared to plan are shown in %. 8 9
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6 ARIAKE JAPAN CO.,LTD. 10[By Group] Net Sales April 1, 2026–June 30, 2026(Comparison with FY2026 1Q Results)* Subsidiaries’ figures are after consolidation adjustments (Billions of yen)％Currencyneutral11.40 11.12 0.27 2.5% 2.5%4.59 4.29 0.30 7.2% -4.3%Asia2.32 2.28 0.05 2.1% -8.3%Europe2.20 1.93 0.26 13.6% 0.4%Japan0.07 0.08 -0.01 -5.6% -5.6%15.99 15.41 0.58 3.8% 0.6%EUR183.41162.0821.33RMB23.1120.592.52TWD4.994.510.48IDR0.00940.00910.0003 Change（A-B）FY2026Q1 (B)Ariake GroupSubsidiaries total*Ariake JapanFY2027Q1 (A) ARIAKE JAPAN CO.,LTD. 11[By Group] Operating Profit April 1, 2026 – June 30, 2026(Comparison with FY2026 1Q Results)* Subsidiaries’ figures are after consolidation adjustments (Billions of yen)％Currencyneutral1.72 1.80 -0.08 -4.7% -4.7%0.83 0.80 0.03 3.6% -6.2%Asia0.54 0.54 0.00 0.3% -9.9%Europe0.30 0.25 0.05 15.5% 2.1%Japan-0.01 0.01 -0.01 - -2.54 2.60 -0.05 -1.6% -4.6% Change（A-B）Subsidiaries total*Ariake GroupFY2027Q1 (A)FY2026Q1 (B)Ariake Japan 10 11
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7 ARIAKE JAPAN CO.,LTD. 12Sales ratioFY2026 1Q YoY changeSales ratioFY2027 1Q Category20.2%-0.2%19.7%Food manufacturers41.3%+2.4%41.3%Restaurants25.8%+0%25.2%CVS, ready-made meal operators, supermarkets10.8%+7.9%11.3%B2C (B2B2C)1.9%+32.0%2.5%Export (Taiwan/Korea, etc.)100%+2.5%100%Total[Non-consolidated] Sales Ratio and Changes in Sales by CategoryApril 1, 2026 – June 30, 2026 12