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Nittobo Group Financial Results for the First Quarter of FY2026 ( From 2026 / Apr . to Jun . ) August 5 , 2026 Nittobo
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FY2026 1Q Financial Highlights Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved FY2026 1Q Consolidated Results FY2026 Consolidated Forecasts Driven by strong demand for Special Glass in the Electronic Materials Business, production and sales posted solid gains, leading to year-on-year increases in both revenue and profit. ・ Due to proactive capacity expansion for Special Glass, net sales and operating profit are forecast to grow year on year. ・ Earnings forecasts have been revised upward since the May announcement. 2
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Summary of Consolidated Financial Results For the First Quarter of FY2026 （From 2026/Apr. to Jun.）
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Driven by strong production and sales of Special Glass, along with other factors, net sales and profits increased year on year. Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved 4 （Billions of yen） FY2026 1Q Consolidated Results Net sales 28.2 34.0 5.8 20.6% Operating profit 4.3 7.9 3.6 84.8% ROS 15.2% 23.3% EBITDA 6.4 10.4 4.0 62.9% EBITDA margin 22.7% 30.7% Ordinary profit 4.3 8.4 4.1 94.1% Net profit 3.1 5.8 2.7 84.2% FY2025 1Q FY2026 1Q Change
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Operating Profit Change Analysis （FY25 1Q vs FY26 1Q） （Billions of yen） - Labor cost - R&D 5 FOREX rate FY25 1Q JPY145/USD FY26 1Q JPY160/USD Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Significant contribution from strong sales of Special Glass, which is included in high value-added products Implementing price revisions, mainly for Special Glass, contributed to profit increase Production capacity increases and the promotion of R&D led to higher reinforcement costs and depreciation costs.
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Overview by Segment 6 * Intersegment sales included only for Electronic Materials. Segments other than Electronic Materials do not include intersegment sales. （Billions of yen） FY2025 1Q FY2026 1Q Change Business Overview Net sales (includes intersegment sales)* 14.4 18.1 3.7 Operating Profit 4.1 7.0 2.9 Net sales 3.6 3.8 0.2 Operating Profit 0.4 0.7 0.3 Net sales 3.3 3.8 0.5 Operating Profit (0.0) 0.0 0.0 Net sales 2.3 2.6 0.3 Operating Profit 0.1 0.2 0.1 Net sales 3.5 4.4 0.9 Operating Profit (0.1) 0.3 0.3 Materials Solution ・ Sales of glass fiber for industrial materials increased. ・ Despite the impact of cost increases caused by soaring prices for various items, the effects of price revisions contributed to profit. Insulation Materials ・ Sales in the both residential and non- residential markets performed well. ・ Price revisions also contributed to profit. Electronic Materials ・ Robust demand for AI servers continued, and sales of Special Glass rose. ・ Price revisions also contributed to profit. Medical ・ Sales of in vitro diagnostic reagents, including immunology-related products and bone metabolism markers, were strong. Composite Materials ・ Sales grew year on year and contributed to profit.
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved 7 （Billions of yen） Financial Results by Segment：Net Sales/ Operating Profit * Intersegment sales included only for Electronic Materials. Segments other than Electronic Materials do not include intersegment sales. 14.4 4.1 18.1 7.0 3.7 2.9 3.6 0.4 3.8 0.7 0.2 0.3 3.3 (0.0) 3.8 0.0 0.5 0.0 2.3 0.1 2.6 0.2 0.3 0.1 3.5 (0.1) 4.4 0.3 0.9 0.3 4.3 0.1 4.8 0.2 0.5 0.1 － (0.4) ー (0.5) － (0.1) 28.2 4.3 34.0 7.9 5.8 3.6 15.2% 23.3% Other Business Adjustment Total ROS FY2025 1Q Materials Solution Insulation Materials Change Electronic Materials (includes intersegment sales)* Medical Composite Materials Net sales Operating profit Operating profitNet salesNet sales Operating profit FY2026 1Q
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved FY2026 Forecast （From 2026/Apr. to 2027/Mar.）
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Both sales and profits forecasts have been revised upward since the May announcement. Outlook for the business environment is uncertain due to rising energy prices and distribution costs following the increasingly tense situation in the Middle East and other factors, but we expect vigorous AI-related investment to continue and demand for Special Glass to be robust. Due to proactive capacity expansion for Special Glass, net sales and operating profit are forecast to grow year on year. Net profit for the previous fiscal year includes gains on sale of non-current assets. FY2026 Forecast （Billions of yen） 9 Net sales 57.4 60.8 118.2 69.3 71.7 141.0 22.8 19.3% 137.0 Operating profit 9.5 11.4 20.8 15.3 14.7 30.0 9.2 44.1% 26.0 ROS 16.5% 18.7% 17.6% 22.1% 20.5% 21.3% 19.0% EBITDA 13.9 16.3 30.1 20.5 20.8 41.3 11.2 37.1% 37.6 EBITDA margin 24.1% 26.7% 25.5% 29.6% 28.9% 29.3% 27.4% Ordinary profit 9.2 12.4 21.5 15.5 14.5 30.0 8.5 39.2% 26.0 Net profit 6.9 34.9 41.8 10.5 9.5 20.0 (21.8) (52.1%) 17.0 FY26 FCST as of May Full Year FCST FY2025 FY2026 1H ACT 2H ACT Full Year ACT 1H FCST 2H FCST Change Full Year
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Rise in sales of Special Glass contributed to higher profit. Expanding production capacity is expected to increase personnel and depreciation costs. Higher electricity and fuel costs resulting from the Middle East situation are factored in. Operating Profit Change Analysis (FY25 vs FY26) （Billions of yen） - Labor cost - R&D 10 FOREX rate FY25 JPY150/USD FY26 JPY158/USD
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Capex, Depreciation, R&D Expenses (Annual) Capital Expenditure (based on acceptance, M&A included) Depreciation （Billions of yen） R&D Expenses 11
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FY2026 Business Outlook Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved 12 （Billions of yen） * Intersegment sales included only for Electronic Materials. Segments other than Electronic Materials do not include intersegment sales. FY2025 ACT FY2026 FCST Change Business Outlook Net sales (includes intersegment sales)* 61.4 77.8 16.4 Operating profit 19.4 28.0 8.6 Net sales 13.9 15.9 2.1 Operating profit 2.4 2.8 0.4 Net sales 13.4 15.7 2.3 Operating profit (0.1) (0.3) (0.2) Net sales 9.5 10.1 0.6 Operating profit 0.6 0.4 (0.2) Net sales 15.1 17.7 2.6 Operating profit 0.2 1.0 0.8 Materials Solution ・ In addition to increases for existing products, will aim to grow sales through new product launches. ・ Implementing price revisions following cost increases driven by soaring prices for various items. Insulation Materials ・ Sales for residential markets are expected to recover . ・ Implementing price revisions in response to cost increases for labor , raw materials, electricity and fuel, and other inputs. Electronic Materials ・ Demand for low-thermal expansion glass (T-glass) for use in semiconductor package substrates for servers and edge equipment is expected to increase significantly for both thick and thin products. We will actively pursue production capacity increases. ・ Robust demand for low-dielectric glass (NE-glass, NER-glass) for data centers to continue. In particular, a shift to high value-added products is expected. Medical ・ We will take active approach to opening up new customers and collaborating with major overseas players. ・ We will strengthen our foundation through R&D and by securing human resources. Composite Materials ・ The sales environment is uncertain, but we will strive for sales growth. ・ We will be hit hard by cost increases for raw materials, electricity and fuel following the deterioration of the Middle East situation.
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved （Billions of yen） 13 Forecast by Segment: Net Sales * Intersegment sales included only for Electronic Materials. Segments other than Electronic Materials do not include intersegment sales. 29.6 31.8 61.4 37.1 40.8 77.8 16.4 77.0 6.8 7.1 13.9 7.9 8.0 15.9 2.1 15.0 6.9 6.5 13.4 8.0 7.7 15.7 2.3 14.5 4.5 5.0 9.5 4.9 5.2 10.1 0.6 10.0 7.3 7.8 15.1 9.0 8.7 17.7 2.6 16.0 8.6 8.5 17.1 9.7 10.6 20.3 3.2 21.5 57.4 60.8 118.2 69.3 71.7 141.0 22.8 137.0Total Change Full YearFull Year FCST FY2025 FY2026 1H ACT Full Year ACT 1H FCST 2H FCST Electronic Materials (includes intersegment sales)* Insulation Materials Other Business Composite Materials Materials Solution FY26 FCST as of May 2H ACT Medical
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved （Billions of yen） 14 Forecast by Segment: Operating Profit 9.0 10.4 19.4 14.1 13.9 28.0 8.6 26.0 1.1 1.3 2.4 1.3 1.5 2.8 0.4 2.5 (0.1) 0.0 (0.1) (0.1) (0.2) (0.3) (0.2) (0.6) 0.2 0.4 0.6 0.2 0.2 0.4 (0.2) 0.5 (0.2) 0.4 0.2 0.7 0.3 1.0 0.8 (0.2) 0.3 0.2 0.5 0.3 0.3 0.6 0.1 0.7 (0.8) (1.4) (2.2) (1.2) (1.3) (2.5) (0.3) (2.9) 9.5 11.4 20.8 15.3 14.7 30.0 9.2 26.0 16.5% 18.7% 17.6% 22.1% 20.5% 21.3% 19.0%ROS Electronic Materials Medical Composite Materials Materials Solution Insulation Materials 2H FCST Other Business Adjustment Total Full Year FCST Change Full Year FY2025 FY2026 1H ACT 2H ACT Full Year ACT 1H FCST FY26 FCST as of May
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Special Glass (NE/NER/T) Yarn/Cloth Sales (Semi Annual) FCST 15 NE-glass: strong demand from data centers to continue NER-glass: strong demand expected from cutting-edge data centers, moving forward with capacity increases T-glass: expand capacity in response to strong demand for AI semiconductor packages, etc. Half- yearly basis
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved 16 YarnCloth (weaving process, treatment process) NITTOBO ASIA Glass Fiber Co., Ltd. (Chiayi) Fukushima Enterprise Center (Fukushima City) FY2022‐24 Baotek Industrial Materials Ltd. (Taoyuan) FY2025‐27 FY2028- E (commodity, ultrafine) NE NER NEZ T Vlex Start of mass production NE FY2024 Addition of melting furnaces E (commodity, ultrafine) T FY2026 Installation of new melting furnaces JapanTaiwan E (commodity) JapanTaiwan 2019 Made consolidated subsidiary NE T E (ultra-thin) NE(ultra-thin) / NER / T Collaboration with Nan Ya Plastics (weaving process) Fukushima Enterprise Center Fukuyama Enterprise Center (Fukushima City, Koriyama City) High-Value Added Strategy: Production Capacity Expansion for Special Glass FY2027 Start of mass manufacturing treatment process T FY2023 Start of mass production FY2027 Start of mass production Accelerating shift toward a higher value-added strategy by scaling down E-glass production and adding Special Glass melting furnaces
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Shareholder Returns
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18Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Our basic policy is to pay a dividend of not less than 55 yen per share, targeting a dividend payout ratio of 30% of steady earnings. FY2026 (planned): Interim dividend 12.0 yen; Year-end dividend 16.0 yen; Annual dividend 28.0 yen *Amounts have been adjusted to reflect the five-for-one stock split of the common shares effective July 1, 2026 Shareholder Returns (Yen) planned
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved References
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Applications, mainly logic and memory, have been expanding from communication, information, and generative AI infrastructure, to edge equipment and to automobiles. High-end Middle-end CPU/GPU/ASIC Low CTE T E LPU/DPU Low CTE T NAND memory Low CTE Thin T E DDR5 memory Low CTE Thin T LPDDR5 memory Low CTE Thin T DDR memory Low dielectric tangent NE ／NER E LPDDR5x/6, GDDR7 Low dielectric tangent NE ／NER Low dielectric tangent NE／NER E Low dielectric tangent NE／NER／NEZ E Accelerator Low dielectric tangent NE／NER E Processor AP・CPU/NPU Low CTE Ultra-thin T, T Ultra-thin E Non-volatile memory NAND memory Low CTE Ultra-thin T Super ultra-thin E Volatile memory DDR memory Low CTE Ultra-thin T (Smartphone) Volatile memory DDR memory Low dielectric tangent NE（PC) Motherboard Low dielectric tangent NE Ultra-thin E Wireless communication Low dielectric tangent Ultra-thin NE Ultra-thin E CPU・memory CPU/GPU/NPU Low CTE T E Motherboard DDR memory Low dielectric tangent NE（PC) E ・AR/VR / Drone Advanced SoC Low CTE Thin T Ultra-thin E Advanced SoC Low CTE Thin T E Millimeter wave radar Low dielectric tangent Ultra-thin NE E Semiconductor package substrate Automobile ・EV/ADAS Module board Semiconductor package substrate Edge equipment ・Desktop/ Laptop PC/AI-PC ・Smartphone/ Tablet/ Mobile PC ・Edge AI device Semiconductor package substrate Semiconductor package substrate Application Device/ component Telecom/ infra- structure ・Base stations ・Data center Switch/Router/ Server ・AI servers Processor・ controller Motherboard Required performanceSubstrate type Motherboard RF package substrate Servers (AI,General) Glass fiber type Expansion cards (LPU/DPU/NIC) Switch (Core,AI) Semiconductor package substrate Data center/AI servers Edge equipmentBase station Macro cell Small cell Expansion of Special Glass Applications for Semiconductor Markets (August 2026) Small cell 20 Automobile
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved 5G-6G Roadmap (August 2026) 2022 2024 2026 2028 2030 2032 2034 ５Ｇ ～ ６Ｇ Timeline More advanced functions in 5G/6G devices Wireless tele-coms market Smartphones Base stations Automobile Rader Wired telecoms market Routers Switches AI servers (BEN) ※Unidirectional lane rate CPO (Photoelectric fusion PKG) ※Unidirectional lane rate 212121 6G ◆Study 6G ◆Specifications 5G mature, industrial application expansion 5G Sub6 mobile 5G millimeter wave ◆BBU・RRH ◆６G Sub-THｚ/O-RAN High speed, low latency, multiple connections 5G millimeter wave, local expansion 5G-Sub6 ◆BBU・RRH 21 6G◆ 112Gbps （Sub-THz）5G millimeter wave ◆10Gbps(28GHz)5G-Sub6 AiP Low transmission loss Ultra-low transmission loss Next generations super-low lossⅠ Next generations super-low lossⅡ Low-dielectric, low- loss GF development NE NER NEZ DXⅡ Millimeter wave radar 4D imaging radar Quasi-millimeter wave radar 【Colored arrows indicate the actual or expected application of NTB low -loss glass fiber materials】 （Referred to Ministry of Internal Affairs and Communications materials） 21 High speed, large capacity 800GbE 112Gbps×8L （NER） ※FEN/BEN(AI) 400GbE ◆ 56Gbps×8L （NE） ※FEN/BEN(AI) 3.2TbE 224Gbps×16lane 1.6TbE ◆224Gbps×８lane 3.2TbE 448Gbps×8lane High speed, large capacity, low latency PCIe ７◆128Gbps/L PCIe ８ ◆２56Gbps/L PCIe 6 ◆64Gbps/L CPO 448Gbps 448Gbps 224Gbps PCB 256Gbps 56Gbps 112Gbps 224Gbps 112Gbps 6G（10×５G capacity） Commercialization of NTN/AI-RAN ◆Production Low CTE, high tensile elasticity Low CTE, low loss Low-CTE GF development T Vlex
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Business Introduction 1: Electronic Materials Business 22 Business Contents • Manufactures and sells glass yarn, as well as glass cloth for electronic materials. Centering our business around Special Glass made from our proprietary composition developed in-house. • Play our part in today’s world, where telecommunications infrastructure is becoming increasingly advanced, by providing Special Glass for printed wiring board materials that support the technological innovation of high-speed communication and semiconductors. • Special Glass offers excellent properties, such as the low-dielectric constant, dissipation factor, and thermal expansion, which are required for high-speed, high-volume communication. The quality of Special Glass is highly acclaimed by customers worldwide. data centers, servers, smartphones, etc. printed wiring boards Taking our digital society to the next level with Special Glass glass yarn and glass cloth *Net Sales includes internal sales. (Billions of yen)
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Business Introduction 2: Medical Business 23 Business Contents • NITTOBO MEDICAL CO., LTD., a wholly owned subsidiary of Nittobo, is engaged in the medical business focused on in vitro diagnostic reagents. • Nittobo Group operates a global value chain stretching from the manufacture of raw materials in the United States, all the way to commercialization of the end product. As a result, the Group provides stable supply of high-quality in vitro diagnostic reagents, acquiring a top share in many items including inflammation markers. Supporting medical care with our high-quality in vitro diagnostic reagents (Billions of yen)
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Business Introduction 3: Composite Materials Business 24 Business Contents • The glass fiber for composite materials has utilized the characteristics of dimensional stability and workability to gain acceptance as plastic reinforcement materials in wide range of applications, including a mobility products, including automobiles, electrical, electronic, and telecommunications products, and housing equipment. • Our high-performance glass (Flat FiberTM) with uniquely developed ahead of the rest of the industry, cross-section features non-round, oval-like shapes instead of conventional round ones; this configuration enhances the strength of molded products, contributes to their impact resistance, and provides outstanding properties such as minimizing deformation and improving the process. • Working on developing environmentally friendly recycled glass fiber that makes use of glass materials that would otherwise be waste. Creating everyday essentials by providing plastic reinforcement materials Casings for smartphones, PCs, etc., automotive parts, etc. roving / chopped strands Flat FiberTM (Billions of yen)
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Business Introduction 4: Materials Solution Business 25 Business Contents • Glass fiber for industrial materials business: Provide a wide range of products for applications such as architectural membranes for large buildings and automotive vibration-damping materials. Adopted by the automotive and aircraft industries, where there is a need for improved fuel economy and reduced weight, and is contributing to mitigating global environmental issues. • Chemical business: Development and sale of highly original functional polymers and organic-inorganic hybrid materials (SSGs). • Textile business: Provide functional materials not only for apparel but also for lifestyle and industrial materials that are best-suited for the ever-diversifying needs of our customers, by using the unique adhesive technology which is developed for adhesive interlinings etc. Providing solutions across all sectors of society with a diverse range of materials roll-up blindsvibration-damping materials coating film waterproofing architectural membranes (Billions of yen) adhesive interlinings Nittobo DishclothTM chemicals
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Business Introduction 5: Insulation Materials Business 26 Business Contents T • The entire process from development to the manufacture and sales of glass wool is conducted by Nittobo Group company Paramount Glass Manufacturing Co., Ltd. • In addition to their energy-saving qualities, highly insulated housing is also attracting attention from the perspective of health. Promoting the development of high-performance glass wool, which makes it widely utilized in the fields including vessels and vehicles. • Utilize recycled glass for more than 80% of the glass raw materials in the production processes. Glass wool insulation and sound- absorbing materials for housing High performance insulation materials that are environmentally friendly and make everyday life more comfortable (Billions of yen) Architectural and industrial glass wool insulation and sound-absorbing materials movie theaters sports facilitieshousing
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Copyright (C) NITTO BOSEKI CO., LTD. All Rights Reserved Numerical forecasts contained in this document were created on the basis of information available to the Company as of the date of the announcement. This document is not intended to provide any promise or guarantee on the achievement of future financial results and measures. Potential risks, uncertainties and other factors that could affect our results of operations include, but are not limited to, economic conditions, demand trends, exchange rate fluctuations and fluctuations in fuel prices. Unauthorized reproduction or secondary use of this document is prohibited. Note on the Handling of This Document