Interim report
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Disclaimer : This document has been translated from the Consolidated Financial Results report originally written in Japanese and is provided for your reference and convenience only , without any warranty as to its accuracy or as to the completeness of the information . The Japanese original of the document is the sole official version . Consolidated Financial Results for the First Three Months of the Fiscal Year Ending March 31 , 2027 < Japanese GAAP > FASF MEMBERSHIP August 5 , 2026 Company Name : Securities Code : Nittobo 3110 Stock Exchange Listing : Tokyo Stock Exchange URL : Representative : Contact : Tel : https://www.nittobo.co.jp/eng/index Hisanobu Hayashi , Director , Representative and Chief Executive Officer Hiroki Kajikawa , Senior Executive Officer + 81-3-4582-5040 Scheduled date of commencement of dividend payment : Preparation of supplementary explanatory material for financial results : Organization of financial results briefing : Yes Yes ( online conference for institutional investors and analysts ) ( Millions of yen , rounded down ) 1. Consolidated financial results for the first three months of the fiscal year ending March 31 , 2027 ( April 1 , 2026 to June 30 , 2026 ) ( 1 ) Consolidated results of operations ( cumulative ) ( Percentage figures represent year - on - year changes . ) Net sales Operating profit Three months ended June 30 , 2026 June 30 , 2025 Millions of yen 34,033 28.231 % 20.6 8.1 Millions of yen 7,943 4,298 % 84.8 10.0 Ordinary profit Millions of yen 8,433 4,344 % 94.1 ( 8.9 ) Profit attributable to owners of parent Millions of yen 5,797 % 84.2 3,147 ( 3.2 ) ( Note ) Comprehensive income : Three months ended June 30 , 2026 Three months ended June 30 , 2025 ¥ 7,505 million [ 809.2 % ] ¥ 825 million [ ( 82.6 ) % ] Basic earnings per share Diluted earnings per share Three months ended June 30 , 2026 Yen 31.85 17.29 Yen June 30 , 2025 ( Note ) NITTO BOSEKI CO . , LTD . ( hereinafter , the " Company " ) conducted a five - for - one stock split of its common shares on July 1 , 2026 . Therefore , basic earnings per share are calculated on the assumption that the stock split was conducted at the beginning of the previous fiscal year . ( 2 Consolidated financial position Total assets Net assets Equity - to - asset ratio As of June 30 , 2026 March 31 , 2026 Millions of yen 280,413 Millions of yen % 283,038 183,935 180,383 63.2 61.3 ( Reference ) Equity : As of June 30 , 2026 ¥ 177,248 million ; As of March 31 , 2026 ¥ 173,595 million 1
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2 2. Dividends Dividends per share First quarter- end Second quarter- end Third quarter- end Fiscal year-end Annual total Yen Yen Yen Yen Yen Fiscal year ended March 31, 2026 – 27.50 – 99.50 127.00 Fiscal year ending March 31, 2027 – Fiscal year ending March 31, 2027 (Forecast) 12.00 – 16.00 28.00 (Notes) 1. Revision of the forecasted dividends from most recently announced figures: None 2. The Company conducted a five-for-one stock split of its common shares on July 1, 2026. Therefore, the amounts for the fiscal year ending March 31, 2027 (Forecast) are stated after the stock split. Without taking into account the stock split, the second quarter-end dividend for the fiscal year ending March 31, 2027 (Forecast) would be ¥60.00, the fiscal year-end dividend would be ¥80.00, and the annual dividend would be ¥140.00. 3. Consolidated earnings forecasts for the fiscal year ending March 31, 2027 (April 1, 2026 to March 31, 2027) (Percentage figures represent year-on-year changes.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Basic earnings per share Millions of yen % Millions of yen % Millions of yen % Millions of yen % Yen First half 69,300 20.7 15,300 61.8 15,500 69.2 10,500 52.6 57.68 Full year 141,000 19.3 30,000 44.1 30,000 39.2 20,000 (52.1) 109.87 (Notes) 1. Revision of the forecasted earnings from most recently announced figures: Yes 2. The Company conducted a five-for-one stock split of its common shares on July 1, 2026. Therefore, the amounts for basic earnings per share are stated after the stock split. Without taking into account the stock split, basic earnings per share would be ¥288.41 for the first half and ¥549.36 for the full year. * Notes (1) Significant changes in the scope of consolidation during the period: None Newly included: None; Excluded: None (2) Application of accounting treatment special to the preparation of quarterly consolidated financial statements: None (3) Changes in accounting policies, accounting estimates and retrospective restatements (a) Changes in accounting policies due to revision of accounting standards: None (b) Changes in accounting policies other than (a): None (c) Changes in accounting estimates: None (d) Retrospective restatements: None (4) Number of issued shares (common shares) (a) Number of issued shares at the end of the period (including treasury shares) As of June 30, 2026 188,615,060 shares As of March 31, 2026 188,615,060 shares (b) Number of treasury shares at the end of the period As of June 30, 2026 6,584,435 shares As of March 31, 2026 6,589,460 shares (c) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) Three months ended June 30, 2026 182,026,674 shares Three months ended June 30, 2025 182,033,566 shares (Note) The Company conducted a five-for-one stock split of its common shares on July 1, 2026. Therefore, the number of issued shares at the end of the period, the number of treasury shares at the end of the period, and the average number of shares outstanding during the period are calculated on the assumption that the stock split was conducted at the beginning of the previous fiscal year. *Review of the Japanese-language originals of the attached quarterly consolidated financial statements by certified public accountants or an audit firm: None *Explanation on the appropriate use of earnings forecasts and other special notes Cautions on forward-looking statements, etc. The projections contained in this document are based on information currently available to the Company and certain assumptions that are deemed to be reasonable, and the Company does not intend to guarantee their achievement. Moreover, actual business and other results may differ from the forecast due to various factors going forward. For matters related to the forecasts, please see “(3) Explanation on Consolidated Earnings Forecasts for the Fiscal Year” of “1. Qualitative Information on Quarterly Financial Results” on page 3.
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NITTO BOSEKI CO., LTD. (3110) 3 1. Qualitative Information on Quarterly Financial Results (1) Explanation on Operating Results During the first three months ended June 30, 2026, unstable conditions persisted in the global economy, continuing from the previous year. While the United States was supported by strong AI investment, escalating tensions in the Middle East and continuation of stagnation in China’s economy contributed to this instability. Although the Japanese economy saw improvements in employment and income conditions and private capital investment, the outlook remained uncertain due to concerns about prolonged geopolitical risks, weak yen, and rising prices. In this environment, the Nittobo Group (hereinafter, the “Group”) is working on its Medium-Term Management Plan (FY2024– 2027) to achieve the Group’s long-term vision [Big VISION 2030]. In order to help achieve a sustainable society, the Company aims to become a corporate group that continues to create a global niche No. 1 business that contributes to “Environment/Energy,” “Digital Society,” and “Health/Safety/Security.” In the first three months ended June 30, 2026, sales of high-value-added products were strong, particularly in the Electronic Materials Business. As a result, consolidated net sales were ¥34,033 million (up 20.6% year on year), operating profit was ¥7,943 million (up 84.8% year on year), ordinary profit was ¥8,433 million (up 94.1% year on year) and profit attributable to owners of parent was ¥5,797 million (up 84.2% year on year). The status of operations and initiatives being carried out in each business are as follows. In the Electronic Materials Business, demand for AI servers continued to expand, and sales of Special Glass with low-dielectric properties and Special Glass with low thermal expansion properties for semiconductor package substrates increased. Furthermore, the impact of the price revisions also contributed to profits. As a result, net sales in the Electronic Materials Business were ¥14,589 million (up 29.5% year on year) and operating profit was ¥7,036 million (up 70.0% year on year). In the Medical Business, sales of in vitro diagnostic reagents, including immunology-related products and bone metabolism markers, were strong. As a result, net sales in the Medical Business were ¥3,818 million (up 6.8% year on year) and operating profit was ¥705 million (up 66.8% year on year). In the Composite Materials Business, sales increased compared to the same period of the previous year, contributing to profits. As a result, net sales in the Composite Materials Business were ¥3,830 million (up 15.9% year on year) and operating profit was ¥0 million (compared with an operating loss of ¥15 million in the same period of the previous fiscal year). In the Materials Solution Business, sales of glass fiber for industrial materials increased. Furthermore, although there was an impact from higher costs due to soaring prices of various goods, the effect of price revisions contributed to the positive results. As a result, net sales in the Materials Solution Business were ¥2,615 million (up 15.4% year on year) and operating profit was ¥222 million (up 103.3% year on year). In the Insulation Materials Business, sales in both the residential and non-residential sectors performed well, and the effect of price revisions also contributed to profits. As a result, net sales in the Insulation Materials Business were ¥4,399 million (up 24.2% year on year) and operating profit was ¥251 million (compared with an operating loss of ¥50 million in the same period of the previous fiscal year). In the Other Businesses, net sales were ¥4,780 million (up 11.8% year on year) and operating profit was ¥213 million (up 90.8% year on year). (2) Explanation on Financial Position Total assets as of June 30, 2026 were ¥280,413 million, a decrease of ¥2,624 million from the end of the previous fiscal year. This was mainly attributable to a decrease in cash and deposits. Total liabilities were ¥96,477 million, a decrease of ¥6,177 million from the end of the previous fiscal year. This was mainly attributable to a decrease in income taxes payable. Net assets were ¥183,935 million, and the equity-to-asset ratio was 63.2%, up 1.9 percentage points from the end of the previous fiscal year. (3) Explanation on Consolidated Earnings Forecasts for the Fiscal Year After giving consideration to the operating results of the first three months ended June 30, 2026, and the outlook for the business environment, the Company has upwardly revised its earnings forecasts for the first six months of the fiscal year ending March 31, 2027 and fiscal year ending March 31, 2027.
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NITTO BOSEKI CO., LTD. (3110) 4 Revisions to the consolidated earnings forecasts for the first six months of the fiscal year ending March 31, 2027 (April 1, 2026 to September 30, 2026) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Basic earnings per share Millions of yen Millions of yen Millions of yen Millions of yen Yen Previous forecasts (A) 67,900 12,600 12,600 8,500 46.70 Revised forecasts (B) 69,300 15,300 15,500 10,500 57.68 Amount changed (B) – (A) 1,400 2,700 2,900 2,000 Change (%) 2.1 21.4 23.0 23.5 Results for the first six months of the fiscal year ended March 31, 2026 57,412 9,454 9,159 6,878 37.79 Revisions to the consolidated earnings forecasts for the fiscal year ending March 31, 2027 (April 1, 2026 to March 31, 2027) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Basic earnings per share Millions of yen Millions of yen Millions of yen Millions of yen Yen Previous forecasts (A) 137,000 26,000 26,000 17,000 93.39 Revised forecasts (B) 141,000 30,000 30,000 20,000 109.87 Amount changed (B) – (A) 4,000 4,000 4,000 3,000 Change (%) 2.9 15.4 15.4 17.6 Results for the fiscal year ended March 31, 2026 118,229 20,819 21,544 41,770 229.47 (Note) The Company conducted a five-for-one stock split of its common shares on July 1, 2026. Therefore, basic earnings per share are calculated on the assumption that the stock split was conducted at the beginning of the previous fiscal year.
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NITTO BOSEKI CO., LTD. (3110) 5 2. Quarterly Consolidated Financial Statements and Significant Notes Thereto (1) Quarterly Consolidated Balance Sheet (Millions of yen) As of March 31, 2026 As of June 30, 2026 Assets Current assets Cash and deposits 62,014 45,476 Notes and accounts receivable - trade 35,968 38,281 Merchandise and finished goods 16,011 16,639 Work in process 8,671 9,698 Raw materials and supplies 34,394 37,847 Other 2,668 3,232 Allowance for doubtful accounts (17) (17) Total current assets 159,710 151,157 Non-current assets Property, plant and equipment Buildings and structures, net 22,380 23,175 Machinery, equipment and vehicles, net 38,099 41,665 Land 12,341 12,335 Leased assets, net 530 500 Construction in progress 12,067 11,712 Other, net 2,138 2,176 Total property, plant and equipment 87,558 91,566 Intangible assets 1,896 1,884 Investments and other assets Investment securities 26,046 28,030 Retirement benefit asset 5,621 5,634 Deferred tax assets 874 744 Other 1,350 1,415 Allowance for doubtful accounts (20) (20) Total investments and other assets 33,872 35,804 Total non-current assets 123,327 129,255 Total assets 283,038 280,413
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NITTO BOSEKI CO., LTD. (3110) 6 (Millions of yen) As of March 31, 2026 As of June 30, 2026 Liabilities Current liabilities Notes and accounts payable - trade 8,015 10,303 Short-term borrowings 4,393 3,240 Current portion of long-term borrowings 7,814 7,744 Lease liabilities 335 336 Income taxes payable 13,117 1,832 Provision for bonuses 3,665 3,448 Other 10,655 13,366 Total current liabilities 47,997 40,273 Non-current liabilities Bonds payable 10,000 10,000 Long-term borrowings 27,204 27,021 Lease liabilities 938 927 Deferred tax liabilities 4,685 5,901 Provision for repairs 5,340 5,918 Provision for share awards for directors (and other officers) 178 171 Retirement benefit liability 4,543 4,508 Other 1,765 1,756 Total non-current liabilities 54,656 56,204 Total liabilities 102,654 96,477 Net assets Shareholders’ equity Share capital 19,699 19,699 Capital surplus 19,373 19,373 Retained earnings 116,460 118,618 Treasury shares (3,047) (3,051) Total shareholders’ equity 152,485 154,640 Accumulated other comprehensive income Valuation difference on available-for-sale securities 10,918 12,242 Foreign currency translation adjustment 8,537 8,776 Remeasurements of defined benefit plans 1,654 1,589 Total accumulated other comprehensive income 21,109 22,608 Non-controlling interests 6,787 6,686 Total net assets 180,383 183,935 Total liabilities and net assets 283,038 280,413
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NITTO BOSEKI CO., LTD. (3110) 7 (2) Quarterly Consolidated Statement of Income and Comprehensive Income (Quarterly Consolidated Statement of Income) [For the three months] (Millions of yen) For the three months ended June 30, 2025 For the three months ended June 30, 2026 Net sales 28,231 34,033 Cost of sales 17,492 19,118 Gross profit 10,739 14,914 Selling, general and administrative expenses 6,440 6,971 Operating profit 4,298 7,943 Non-operating income Interest income 4 60 Dividend income 340 330 Rental income 155 21 Foreign exchange gains – 246 Other 42 87 Total non-operating income 542 746 Non-operating expenses Interest expenses 177 194 Foreign exchange losses 182 – Expenses related to inactive real estate for rent 58 – Other 77 61 Total non-operating expenses 496 256 Ordinary profit 4,344 8,433 Extraordinary income Gain on sale of non-current assets 3 7 Gain on sale of investment securities 15 – Total extraordinary income 19 7 Extraordinary losses Loss on disposal of non-current assets 47 82 Total extraordinary losses 47 82 Profit before income taxes 4,315 8,358 Income taxes - current 647 1,565 Income taxes - deferred 412 771 Total income taxes 1,059 2,336 Profit 3,256 6,021 Profit attributable to non-controlling interests 109 224 Profit attributable to owners of parent 3,147 5,797
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NITTO BOSEKI CO., LTD. (3110) 8 (Quarterly Consolidated Statement of Comprehensive Income) [For the three months] (Millions of yen) For the three months ended June 30, 2025 For the three months ended June 30, 2026 Profit 3,256 6,021 Other comprehensive income Valuation difference on available-for-sale securities 386 1,324 Foreign currency translation adjustment (2,783) 225 Remeasurements of defined benefit plans, net of tax (34) (65) Total other comprehensive income (2,431) 1,484 Comprehensive income 825 7,505 Comprehensive income attributable to Comprehensive income attributable to owners of parent 1,105 7,296 Comprehensive income attributable to non-controlling interests (280) 209
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NITTO BOSEKI CO., LTD. (3110) 9 (3) Notes to Quarterly Consolidated Financial Statements Notes on segment information, etc. Segment information Ⅰ Three months ended June 30, 2025 (April 1, 2025 to June 30, 2025) Information on net sales and profit (loss) by reportable segment and information on disaggregation of revenue (Millions of yen) Reportable segment Adjustment (Note) 1 Amount reported in quarterly consolidated statement of income (Note) 2 Electronic Materials Business Medical Business Composite Materials Business Materials Solution Business Insulation Materials Business Other Businesses Total Net sales Revenue from contracts with customers 11,265 3,546 3,305 2,267 3,543 4,276 28,204 – 28,204 Other revenue – 27 – – – – 27 – 27 Net sales to external customers 11,265 3,573 3,305 2,267 3,543 4,276 28,231 – 28,231 Intersegment sales or transfers 3,096 6 268 490 4 952 4,819 (4,819) – Total 14,362 3,580 3,573 2,757 3,547 5,228 33,050 (4,819) 28,231 Segment profit (loss) 4,139 422 (15) 109 (50) 112 4,716 (417) 4,298 (Notes) 1. The adjustment of negative ¥417 million to segment profit (loss) represents corporate expenses not allocated to each reportable segment and the elimination of intersegment unrealized profit, etc. 2. “Segment profit (loss)” has been adjusted to the operating profit reported in the quarterly consolidated statement of income. Ⅱ Three months ended June 30, 2026 (April 1, 2026 to June 30, 2026) Information on net sales and profit (loss) by reportable segment and information on disaggregation of revenue (Millions of yen) Reportable segment Adjustment (Note) 1 Amount reported in quarterly consolidated statement of income (Note) 2 Electronic Materials Business Medical Business Composite Materials Business Materials Solution Business Insulation Materials Business Other Businesses Total Net sales Revenue from contracts with customers 14,589 3,774 3,830 2,615 4,399 4,780 33,989 – 33,989 Other revenue – 43 – – – – 43 – 43 Net sales to external customers 14,589 3,818 3,830 2,615 4,399 4,780 34,033 – 34,033 Intersegment sales or transfers 3,493 34 263 527 3 2,004 6,327 (6,327) – Total 18,082 3,853 4,093 3,142 4,403 6,784 40,360 (6,327) 34,033 Segment profit (loss) 7,036 705 0 222 251 213 8,429 (486) 7,943 (Notes) 1. The adjustment of negative ¥486 million to segment profit (loss) represents corporate expenses not allocated to each reportable segment and the elimination of intersegment unrealized profit, etc. 2. “Segment profit (loss)” has been adjusted to the operating profit reported in the quarterly consolidated statement of income. Notes on significant changes in the amount of shareholders’ equity Not applicable Notes on going concern assumptions Not applicable
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NITTO BOSEKI CO., LTD. (3110) 10 Notes to statements of cash flows Quarterly consolidated statements of cash flows were not prepared for the three months ended June 30, 2026. The amounts of depreciation (including amortization of intangible assets) for the three months ended June 30, 2025 and 2026 are as follows: (Millions of yen) For the three months ended June 30, 2025 For the three months ended June 30, 2026 Depreciation 2,116 2,505