Interim report
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August 5 , 2026 Company Name : URL : Representative : Contact : Telephone : Summary of Consolidated Financial and Business Results for the First Quarter of the Year Ending March 2027 ( Japanese GAAP ) Oji Holdings Corporation https://www.ojiholdings.co.jp/ ( Code No. 3861 Tokyo Stock Exchange ) Hiroyuki Isono , President & Chief Executive Officer Makoto Nishiuchi , General Manager , Corporate Administration Dept. , Corporate Governance Div . 03-3563-1111 + 81-3-3563-1111 ( overseas ) Scheduled date to commence dividend payments Preparation of supplementary material on financial results Holding of financial results briefing : - : Yes : Yes ( for institutional investors and analysts ) 1. Results for the First Quarter of the Year Ending March 31 , 2027 ( April 1 , 2026 - June 30 , 2026 ) ( 1 ) Consolidated Business Results ( All yen figures are rounded down to the nearest one million yen ) ( Unaudited ) First Quarter of FY2026 First Quarter of FY2025 Note : Comprehensive income First Quarter of FY2026 First Quarter of FY2025 ( 2 ) Consolidated Financial Condition ( Figures shown in percentage are ratios compared to the same period of the previous year ) Net sales Millions of yen % Operating profit Millions of yen % Ordinary profit Millions of yen % Profit attributable to owners of parent Millions of yen % 468,508 2.4 3,881 4.8 5,629 3,162 457,442 First Quarter of FY2026 First Quarter of FY2025 4.4 3,703 ( 74.5 ) ( 3,554 ) ( 5,157 ) 21,747 million yen [ ( - ) % ] ( 44,326 ) million yen [ ( - ) % ] Profit per share Diluted profit per share Yen Yen 3.68 3.68 ( 5.57 ) Total assets Net assets Shareholders ' equity ratio Net assets per share First Quarter of FY2026 FY2025 Millions of yen 2,727,262 2,686,944 Millions of yen % Yen 1,119,876 1,136,882 39.8 1,276.80 41.0 1,257.44 Note : Shareholders ' equity First Quarter of FY2026 FY2025 1,084,344 million yen 1,102,315 million yen 2. Cash Dividends End of 1Q Yen End of 2Q Yen Dividend per share End of 3Q Yen End of FY Yen Total Yen 18.00 18.00 36.00 FY2025 FY2026 FY2026 ( Forecast ) 18.00 Note Change in forecast of dividend ... None 18.00 36.00 3. Consolidated Forecasts for the Year Ending March 2027 ( April 1 , 2026 - March 31 , 2027 ) ( Figures shown in percentage for the full year are ratios compared to the previous year , Figures shown in percentage for the first half are ratios compared to the same period of the previous year ) Net sales Millions of yen % First half 950,000 3.8 Operating profit Millions of yen % 12,000 ( 28.3 ) Ordinary profit Millions of yen % Profit attributable to owners of parent Millions of yen % Profit per share Yen Full year Note Change in consolidated forecasts 1,940,000 4.2 60,000 73.5 6,000 45,000 ( 31.7 ) 11.0 6,000 ( 45.1 ) 35,000 ( 37.0 ) 6.60 38.47 None
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4. Notes (1) Significant changes in the scope of consolidation during the period: None (2) Application of simple accounting methods and quarterly peculiar accounting methods : None (3) Changes in accounting methods compared with recent consolidated accounting periods (i) Changes due to accounting standard changes : None (ii) Changes besides (i) : None (iii) Accounting estimate change : None (iv) Restatement : None (4) Outstanding balance of issued shares (common stock) (i) Outstanding balance of issued shares at the end of fiscal year (including treasury shares) (ii) Outstanding balance of treasury shares at the end of fiscal year (iii) Weighted average number of shares during fiscal year NOTICE ・Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: None ・The statements regarding future mentioned in this document are based on the information currently available and the premise deemed reasonable. The actual results may differ drastically from these forecasts due to various factors that may arise in the future. ・This document is an excerpt translation of the Japanese original and is only for reference purposes. In the event of any discrepancy between this translation and the Japanese original, the latter shall prevail. ・ Supplementary explanations on business results will be made available on TDnet and the Company's website on Wednesday, August 5, 2026. 1,014,381,817 65,117,803 FY2025 137,745,577 858,798,427 First Quarter of FY2025 926,447,293 First Quarter of FY2026 914,381,817 FY2025 First Quarter of FY2026 First Quarter of FY2026
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1.Qualitative Information Concerning Business Performance (1) Explanation of Business Performance Business Performance for the First Quarter of FY2026 (April 1, 2026 - June 30, 2026) The Oji Group has established the “Long-Term Vision 2035”, which sets the basic policies: “Improving Capital Efficiency”, “Portfolio Transformation” and “Promoting Sustainability”. Through initiatives aimed at maximizing corporate value and solving social issues, we aim to become a group of companies that realizes our slogan, “Dedicated to Sustainability”. “Medium-Term Business Plan 2027” covering FY2025 to FY2027 is positioned as a preparation period for strengthening foundation for the realization of the “Long-Term Vision 2035”, and we are promoting initiatives focused on capital efficiency improvement. Our business strategy is to strengthen the profitability of existing businesses by steady price pass-through of cost increases caused by changes in the external environment, stable operations at manufacturing sites and enhancing competitiveness, strengthening of group sales system, and shifting to more profitable varieties. In addition, we continue to implement restructuring of low profitability businesses including withdrawal. At Oji Fibre Solutions, in addition to withdrawing from the containerboard business and selling its Australian packaging business, etc. in FY2025, it closed its paperboard converting plant in June 2026. Through the establishment of such optimal production systems, we will enhance the profitability of our existing businesses. On the other hand, we are promoting portfolio transformation by concentrating growth investments on areas with high economic growth potential, such as India and Southeast Asia, as well as on strategic businesses such as sustainable packaging and the forest biomass business. Through these initiatives, we will achieve consolidated operating profit of ¥120 billion, consolidated net profit attributable to owners of parent of ¥80 billion, and ROE of 8% in FY2027. Consolidated net sales for the first quarter of FY2026 increased by ¥11.1 billion to ¥468.5 billion (year-on-year increase of 2.4%) mainly due to the effect of price revisions, for corrugated containers having taken hold in domestic business, as well as the acquisition and consolidation of AustroCel Hallein and foreign currency translation differences resulting from the yen's depreciation in overseas business. Consolidated operating profit increased by ¥0.2 billion to ¥3.9 billion (year-on-year increase of 4.8%) mainly due to the effect of price revisions and the restructuring of the production system, despite increases in raw material prices resulting from the situation in the Middle East, etc. Ordinary profit was ¥5.6 billion (same quarter of the previous year:¥-3.6 billion) due to foreign exchange gains from revaluation of foreign currency-denominated receivables and payables. Profit attributable to owners of parent was ¥3.2 billion (same quarter of the previous year:¥-5.2 billion). Net sales Operating profit Ordinary profit Profit attributable to owners of parent Profit per share Billions of yen Billions of yen Billions of yen Billions of yen Yen 468.5 3.9 5.6 3.2 3.68 Domestic 276.3 4.8 Overseas 192.2 (0.9) 457.4 3.7 (3.6) (5.2) (5.57) Domestic 271.4 4.2 Overseas 186.0 (0.5) 11.1 0.2 9.2 8.3 Domestic 4.8 0.6 Overseas 6.2 (0.4) Increase (Decrease) 2.4% 4.8% - - 1st Quarter of FY2026 1st Quarter of FY2025 Increase (Decrease) 1 / 10
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Overview of Business Performance for the First Quarter of FY2026 by Segment (I) Business Performance by Segment (Unit: Billions of yen) 229.8 237.9 3.5% 0.2 5.8 - Domestic 2.4 5.5 Overseas (2.2) 0.3 57.8 59.4 2.7% 2.8 4.0 41.8% Domestic 2.6 3.6 Overseas 0.2 0.5 95.6 98.2 2.7% 2.4 1.6 (32.4%) Domestic 0.8 0.6 Overseas 1.6 1.0 67.8 60.6 (10.6%) (0.3) (3.3) - Domestic (0.9) (3.1) Overseas 0.6 (0.2) 451.0 456.1 1.1% 5.2 8.1 57.6% Others 86.2 93.4 8.4% (1.3) (4.2) - Total 537.2 549.5 2.3% 3.9 3.9 1.8% Adjustment (*) (79.8) (81.0) (0.2) (0.1) Consolidated total 457.4 468.5 2.4% 3.7 3.9 4.8% *Adjustment is mainly those concerning internal transactions. (II) Overview of Business Performance by Segment - Household and Industrial Materials: Containerboard/corrugated containers, boxboard/folding cartons, packing paper/paper bags, sustainable packaging, liquid packaging cartons, home care, wellness care, etc. - Functional Materials: Specialty paper, thermal business, adhesive materials, film, etc. - Forest Resources and Environment Marketing: Forest plantation/lumber processing, pulp, energy, etc. - Printing and Communications Media: Newsprint, printing/publication/communication paper, etc. - Others: Trading business, logistics, biorefinery, engineering, real estate, corporate-related functions, etc. Reporting Segment The Oji Group's four reporting segments are: “Household and Industrial Materials”, “Functional Materials”, “Forest Resources and Environment Marketing”, and “Printing and Communications Media”. Each of the reporting segments consists of units that are recognized to be similar in terms of economic characteristics, manufacturing methods or processes of products, and markets in which products are sold or types of customers, among the constituent units of the Oji Group. Business segments and other operations not included in the reporting segments are classified as “Others”. The major business lineup for each segment is as follows. Household and Industrial Materials Functional Materials Forest Resources and Environment Marketing Printing and Communications Media Total Net sales Operating profit（loss） 1st Quarter of FY2025 1st Quarter of FY2026 Increase (Decrease) 1st Quarter of FY2025 1st Quarter of FY2026 Increase (Decrease) 2 / 10
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○Household and Industrial Materials ○Functional Materials ○Forest Resources and Environment Marketing ○Printing and Communications Media (2)Explanation of Financial Position As part of the financial strategy in the “Medium-Term Business Plan 2027”, we will strictly manage assets by focusing management resources on core businesses through the sale of non-core assets and applying hurdle rates based on cost of capital to ensure selective investments. Additionally, we have raised the dividend payout ratio to 50%, are flexibly implementing treasury share buybacks to control equity, and are utilizing debt to revise capital structure. The second phase of approximately ¥50 billion for the acquisition of treasury shares, initiated in December 2025, was completed in May 2026. In the same month, we also cancelled 100,000,000 treasury shares that had been acquired. Through these initiatives, we will achieve both stable funding and strengthened shareholder returns, and build a strong financial foundation. Furthermore, the following numerical targets are planned for the three-year period of the “Medium- Term Business Plan 2027”. In the first quarter of FY2026, net sales amounted to ¥98.2 billion (year-on-year increase of 2.7%), and operating profit was ¥1.6 billion (year-on-year decrease of 32.4%). Regarding domestic business, net sales and operating profit remained almost unchanged from the previous year due to an increase in sales of lumber and biomass fuel, etc., despite lower electricity sales. Regarding overseas business, net sales increased from the previous year due to an increase in sales of PanPac and foreign currency translation differences. However, operating profit decreased from the previous year due to the impact of long shutdown at Cenibra (none in FY2025). In the first quarter of FY2026, net sales amounted to ¥60.6 billion (year-on-year decrease of 10.6%), and operating loss was ¥3.3 billion (year-on-year decrease of ¥3.0 billion). Regarding domestic business, net sales decreased from the previous year due to the continued demand decline of newsprint, printing and communication paper despite price revisions. Operating profit also decreased from the previous year due to increases in raw material prices such as woodchip. Regarding overseas business, net sales and operating profit decreased from the previous year due to price declines resulting from deteriorating market conditions at Jiangsu Oji Paper. Regarding overseas business, net sales decreased from the previous year due to price competition in South America and lower sales volumes resulting from U.S. tariff policies, etc. However, operating profit increased from the previous year due to decrease in raw material costs and cost reduction initiatives, etc. In the first quarter of FY2026, net sales amounted to ¥237.9 billion (year-on-year increase of 3.5%), and operating profit was ¥5.8 billion (year-on-year increase of ¥5.6 billion). Regarding domestic business, net sales increased from the previous year due to the effect of price revisions for corrugated containers, etc. Operating profit also increased from the previous year due to the restructuring of the production system at Oji Nepia despite increases in raw material prices resulting from the situation in the Middle East. Regarding overseas business, net sales increased from the previous year due to the expansion of corrugated container sales in Southeast Asia and foreign currency translation differences resulting from the yen's depreciation despite the withdrawal from the containerboard business at Oji Fibre Solutions. Operating profit also increased from the previous year due to the effects of restructuring of low profitability businesses, including the withdrawal from the containerboard business of Oji Fibre Solutions. In the first quarter of FY2026, net sales amounted to ¥59.4 billion (year-on-year increase of 2.7%), and operating profit was ¥4.0 billion (year-on-year increase of 41.8%). Regarding domestic business, net sales and operating profit increased from the previous year due to an increase in specialty paper resulting from sales expansion of strategic products, such as heat-sealable paper for major online retailers and non-fluorine oil- resistant paper, and price revisions. 3 / 10
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(3)Explanation of Consolidated Forecasts and Future Outlook ・Sale of strategic shareholdings: ¥45 billion (based on the share price at the time of planning) ・Reduction through review of shares contributed to retirement benefit trust: ¥21 billion (based on the share price at the time of planning) ・Acquisition of treasury shares: ¥120 billion (¥150 billion in total for FY2024 through FY2027) ・Net D/E ratio: 1.0 or less At the end of the first quarter of the current fiscal year, total assets increased by ¥40.3 billion to ¥2,727.3 billion compared to the end of the previous fiscal year. This increase was mainly due to foreign currency translation differences caused by the depreciation of the yen and an increase in trade receivables. Liabilities increased by ¥57.3 billion to ¥1,607.4 billion compared to the end of the previous fiscal year, mainly due to an increase in interest-bearing debt, despite a decrease in income taxes payable resulting from the payment of income taxes. Net debt (interest-bearing debt - cash and cash equivalents at the end of the period) increased by ¥79.7 billion to ¥960.6 billion compared to the end of the previous fiscal year. As a result, the Net D/E ratio (net interest-bearing debt / net assets) was 0.9 times, maintaining the management target of 1.0 or less. Net assets decreased by ¥17.0 billion to ¥1,119.9 billion compared to the end of the previous fiscal year. This decrease was mainly due to treasury share acquisitions (¥23.0 billion in treasury share acquisitions for FY2026) and a decrease in retained earnings resulting from dividend payments, despite an increase in the foreign currency translation There are no revisions to the consolidated forecasts for the first half of the fiscal year ending March 31, 2027 and for the full fiscal year, as announced in the Summary of Consolidated Financial and Business Results dated May 15, 2026. Should any revisions become necessary to revise the consolidated forecasts, we will promptly disclose such information. 4 / 10
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2. Consolidated Quarterly Financial Statements and Notes (1)Consolidated quarterly balance sheets (Unit : Millions of yen) FY2025 First Quarter / FY2026 Mar 31,2026 Jun 30,2026 Assets Current assets Cash and deposits 65,909 65,761 Notes and accounts receivable - trade, and contract assets 369,567 384,349 Securities 9,065 5,601 Merchandise and finished goods 134,070 131,454 Work in process 24,449 28,907 Raw materials and supplies 147,266 149,499 Other 56,322 55,722 Allowance for doubtful accounts (2,924) (2,905) Total current assets 803,726 818,390 Non-current assets Property, plant and equipment Buildings and structures (Net) 243,293 243,995 Machinery, equipment and vehicles (Net) 469,120 474,313 Land 243,888 244,198 Other (Net) 448,534 458,866 Total property, plant and equipment 1,404,836 1,421,373 Intangible assets Goodwill 97,103 94,527 Other 52,472 51,034 Total intangible assets 149,576 145,561 Investments and other assets Investment securities 191,730 204,380 Other 138,984 139,501 Allowance for doubtful accounts (1,909) (1,943) Total investments and other assets 328,805 341,937 Total non-current assets 1,883,217 1,908,872 Total assets 2,686,944 2,727,262 5 / 10
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(Unit : Millions of yen) FY2025 First Quarter / FY2026 Mar 31,2026 Jun 30,2026 Liabilities Current liabilities Notes and accounts payable - trade 245,150 257,507 Short-term loans payable 281,458 292,597 Commercial paper 67,000 129,000 Income taxes payable 30,979 4,860 Provisions 9,674 8,267 Other 116,437 110,564 Total current liabilities 750,700 802,797 Non-current liabilities Bonds payable 115,000 115,000 Long-term loans payable 492,444 495,350 Provisions 6,218 5,629 Net defined benefit liability 48,928 49,139 Other 136,769 139,470 Total non-current liabilities 799,361 804,589 Total liabilities 1,550,061 1,607,386 Net assets Shareholders' equity Common stock 103,880 103,880 Capital surplus 86,394 86,394 Retained earnings 700,535 617,323 Treasury stock (93,383) (45,816) Total shareholders' equity 797,427 761,781 Accumulated other comprehensive income Valuation difference on available-for-sale securities 47,264 51,901 Deferred gains or losses on hedges (428) (959) Revaluation reserve for land 4,454 4,454 Foreign currency translation adjustment 209,472 224,790 Remeasurements of defined benefit plans 44,126 42,376 Total accumulated other comprehensive income 304,888 322,562 Share acquisition rights 50 41 Non-controlling interests 34,515 35,490 Total net assets 1,136,882 1,119,876 Total liabilities and net assets 2,686,944 2,727,262 6 / 10
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(2)Consolidated quarterly statements of income and comprehensive income Consolidated quarterly statements of income (Unit : Millions of yen) First Quarter / FY2025 First Quarter / FY2026 Apr '25 - Jun '25 Apr '26 - Jun '26 Net sales 457,442 468,508 Cost of sales 383,030 391,452 Gross profit 74,411 77,056 Selling, general and administrative expenses Freight expenses 32,047 31,073 Salaries and wages 16,035 17,506 Other 22,624 24,595 Total selling, general and administrative expenses 70,707 73,174 Operating profit 3,703 3,881 Non-operating income Interest income 437 680 Dividend income 1,493 1,255 Exchange gains － 5,713 Equity in earnings of affiliates 509 1,841 Other 1,192 1,970 Total non-operating income 3,632 11,461 Non-operating expenses Interest expenses 2,433 3,712 Exchange losses 5,092 － Loss on valuation of derivatives 159 3,167 Other 3,204 2,834 Total non-operating expenses 10,890 9,714 Ordinary profit (loss) (3,554) 5,629 Extraordinary income Gain on sale of investment securities 7,437 3,697 Other 4 90 Total extraordinary income 7,441 3,787 Extraordinary losses Losses on disposal of non-current assets 639 982 Business restructuring expenses 6,365 343 Other 147 187 Total extraordinary losses 7,152 1,513 Profit (loss) before income taxes (3,265) 7,903 Income taxes - current 3,518 2,488 Income taxes - deferred (1,746) 1,674 Total income taxes 1,772 4,162 Profit (loss) (5,037) 3,740 Profit attributable to non-controlling interests 120 578 Profit (loss) attributable to owners of parent (5,157) 3,162 7 / 10
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Consolidated quarterly statements of comprehensive income (Unit : Millions of yen) First Quarter / FY2025 First Quarter / FY2026 Apr '25 - Jun '25 Apr '26 - Jun '26 Profit (Loss) (5,037) 3,740 Other comprehensive income Valuation difference on available-for-sale securities (4,184) 3,285 Deferred gains or losses on hedges 1,315 (523) Foreign currency translation adjustment (34,842) 15,453 Remeasurements of defined benefit plans (1,140) (1,357) Share of other comprehensive income of entities accounted for using equity method (436) 1,149 Total other comprehensive income (39,288) 18,006 Comprehensive income (44,326) 21,747 Comprehensive income attributable to Comprehensive income attributable to owners of parent (43,708) 20,836 Comprehensive income attributable to non-controlling interests (617) 910 8 / 10
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(3)Notes to consolidated quarterly financial statements (Notes related to going concern assumption) No applicable items (Notes on occurrence of significant changes to shareholders' equity) (Acquisition of treasury shares) (Cancellation of treasury shares) (Notes on Consolidated Statements of Cash Flows) Depreciation (including amortization of intangible assets other than goodwill) and amortization of goodwill during the first quarter are as follows: (Unit : Millions of yen) First Quarter / FY2025 First Quarter / FY2026 Apr '25 - Jun '25 Apr '26 - Jun '26 Depreciation 21,768 23,118 Amortization of goodwill 1,389 2,350 Quarterly Consolidated Statements of Cash Flows for the first quarter of FY2026 are not prepared. At the meeting of the Board of Directors held on December 16, 2025, the Company resolved to acquire up to 82,000,000 shares of its common stock at a total acquisition cost of up to ¥50,000 million, pursuant to the provisions of Article 459, Paragraph (1) of the Companies Act and Article 37 of the Company's Articles of Incorporation. Based on the above resolution, the Company acquired 27,401,100 treasury shares during the first quarter of FY2026. As a result, treasury shares increased by ¥23,009 million. At the meeting of the Board of Directors held on May 13, 2026, the Company resolved to cancel its treasury shares pursuant to the provisions of Article 178 of the Companies Act. Based on this resolution, the Company cancelled 100,000,000 treasury shares on May 29, 2026. As a result, treasury shares and capital surplus each decreased by ¥70,840 million during the first quarter of FY2026. In addition, as a result of the cancellation of treasury shares and other factors, the balance of other capital surplus was negative ¥ 70,851 million. Accordingly, the Company reduced other retained earnings by the same amount to offset the negative balance and bring other capital surplus to zero. 9 / 10
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(Segment Information) Ⅰ.For the First Quarter of FY2025 (April 1, 2025 - June 30, 2025) 1.Information on amounts of sales and profit or loss by reporting segment (Unit : Millions of yen) Household and Industrial Materials Functional Materials Forest Resources and Environment Marketing Printing and Communications Media Total Net sales Sales to third parties 212,042 54,097 84,554 53,703 404,398 53,044 457,442 - 457,442 Inter-segment sales or transfers 17,781 3,729 11,034 14,085 46,631 33,174 79,805 (79,805) - Total sales 229,823 57,827 95,588 67,789 451,029 86,218 537,247 (79,805) 457,442 Segment profit (loss) 228 2,835 2,360 (254) 5,169 (1,295) 3,874 (171) 3,703 Notes 1.“Others” is a group of business segments and other operations which are not included in the reporting segments, and contains trading business, logistics, engineering, real estate, corporate-related functions, and so on. 2. Adjustment for segment profit (loss) of ¥ (171) million primarily consists of adjustment relating to internal transactions. 3. Adjustment is made between segment profit (loss) and operating profit of the consolidated statement of income. Ⅱ.For the First Quarter of FY2026 (April 1, 2026 - June 30, 2026) 1.Information on amounts of sales and profit or loss by reporting segment (Unit : Millions of yen) Household and Industrial Materials Functional Materials Forest Resources and Environment Marketing Printing and Communications Media Total Net sales Sales to third parties 219,174 55,242 85,952 47,946 408,316 60,192 468,508 - 468,508 Inter-segment sales or transfers 18,724 4,164 12,250 12,665 47,804 33,234 81,038 (81,038) - Total sales 237,898 59,407 98,203 60,611 456,120 93,426 549,547 (81,038) 468,508 Segment profit (loss) 5,831 4,021 1,595 (3,303) 8,145 (4,202) 3,943 (61) 3,881 Notes 1.“Others” is a group of business segments and other operations which are not included in the reporting segments, and contains trading business, logistics, biorefinery, engineering, real estate, corporate-related functions, and so on. 2. Adjustment for segment profit (loss) of ¥ (61) million primarily consists of adjustment relating to internal transactions. 3. Adjustment is made between segment profit (loss) and operating profit of the consolidated statement of income. Consolidated amount (Note 3) Reporting segments Others (Note 1) Total Adjustments (Note 2) Consolidated amount (Note 3) Reporting segments Others (Note 1) Total Adjustments (Note 2) 10 / 10