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 . Consolidated Financial Results for the Three Months Ended June 30 , 2026 ( Under Japanese GAAP ) Company name : ORION BREWERIES , LTD . Listing : Tokyo Stock Exchange Securities code : 409A URL : https://www.orionbeer.co.jp Representative : Hajime Murano , Representative Director , President & CEO Inquiries : Hiroshi Kameda Executive Vice President & CFO Telephone : + 81-98 ( 971 ) 6354 Scheduled date to commence dividend payments : - Preparation of supplementary material on financial results : Yes Holding of financial results briefing : Yes FASF August 10 , 2026 ( Yen amounts are rounded down to millions , unless otherwise noted . ) 1. Consolidated financial results for the three months ended June 30 , 2026 ( from April 1 , 2026 to June 30 , 2026 ) ( 1 ) Consolidated operating results ( cumulative ) ( Percentages indicate year - on - year changes . ) Net sales EBITDA Operating profit Millions of Millions of Millions of Ordinary profit Millions of Profit attributable to owners of parent Millions of Three months ended June 30 , 2026 yen 7,189 7,045 % 2.0 yen % yen % yen % yen % June 30 , 2025 Note : Comprehensive income For the three months ended June 30 , 2026 : For the three months ended June 30 , 2025 : 1,358 ( 9.0 ) 1,493 953 ( 11.4 ) 967 ( 10.9 ) 653 ( 56.1 ) 1,076 1,084 1,488 ¥ 653 million [ ¥ 1,488 million [ ( 56.1 ) % ] - % ] Diluted earnings per share Basic earnings per share Three months ended June 30 , 2026 June 30 , 2025 Yen 15.47 36.46 Note : 1 . Yen 14.91 2 . 3 . The Company has not presented quarterly consolidated financial statements for the first quarter ended March 31,2025 ; therefore , figures for year - on - year percentage changes from the first quarter of the fiscal year ended March 31,2026 are not presented . Regarding the diluted earnings per share for the first quarter of financial year ended March 2026 , although there were dilutive shares , the Company's shares were unlisted ; consequently , as the average share price for the period cannot be determined , this figure has not been disclosed . EBITDA operating profit + depreciation expense + goodwill amortization expense ( 2 ) Consolidated financial position As of Total assets Net assets Equity - to - asset ratio Millions of yen 43,172 44,089 Millions of yen 17,725 % 41.0 18,483 41.9 June 30 , 2026 March 31 , 2026 Reference : Equity As of June 30 , 2026 : As of March 31 , 2026 : ¥ 17,722 million ¥ 18,479 million
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2. Cash dividends Annual dividends per share First quarter-end Second quarter-end Third quarter-end Fiscal year-end Total Yen Yen Yen Yen Yen Fiscal year ended - 20.00 - 24.00 44.00 March 31, 2026 Fiscal year ending - March 31, 2027 Fiscal year ending March 31, 2027 (Forecast) 17.00 - 17.00 34.00 Note: Revisions to the forecast of cash dividends most recently announced: None 3. Consolidated financial result forecasts for the fiscal year ending March 31, 2027 (from April 1, 2026 to March 31, 2027) (Percentages indicate year-on-year changes.) Net sales EBITDA 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 % Millions of yen % Yen Six months ending September 30, 2026 16,001 1.4 3,190 (9.1) 2,392 (12.0) 2,352 (10.1) 1,605 (36.9) 37.46 Full year 31,119 4.7 5,948 1.2 4,352 0.9 4,185 1.6 2,932 (19.5) 66.83 Note: Revisions to the financial result forecast most recently announced: None * Notes (1) Significant changes in the scope of consolidation during the period: None (2) Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: None (3) Changes in accounting policies, changes in accounting estimates, and restatement (i) Changes in accounting policies due to revisions to accounting standards and other regulations: None (ii) Changes in accounting policies due to other reasons: None (iii) Changes in accounting estimates: None (iv) Restatement: None (4) Number of issued shares (common shares) (i) Total number of issued shares at the end of the period (including treasury shares) As of June 30, 2026 42,576,000 shares As of March 31, 2026 42,253,200 shares (ii) Number of treasury shares at the end of the period As of June 30, 2026 425,039 shares As of March 31, 2026 39 shares (iii) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) Three months ended June 30, 2026 42,236,839 shares Three months ended June 30, 2025 40,813,400 shares * Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: None * Proper use of earnings forecasts, and other special matters The forward-looking statements such as result forecasts included in this document are based on the information available to the Company at the time of the announcement and on certain assumptions considered reasonable, and the Company makes no representations as to their achievability. Actual results may differ materially from the forecast depending on a range of factors.
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ORION BREWERIES, LTD. (409A) Financial Results for the First Quarter of Fiscal Year Ending March 2027 -1- Contents 1. Overview of Operating Results, etc. .................................................................................................................2 (1) Overview of Operating Results for the Cumulative Quarter Period ................................................ ............2 (2) Overview of Financial Position for the Cumulative Quarter Period ................................................ ............3 2. Quarterly Consolidated Financial Statements and Main Notes ........................................................... ..............4 (1) Quarterly Consolidated Balance Sheets ..................................................................................................... ..4 (2) Quarterly Consolidated Statement of Income and Quarterly Consolidated Statements of Comprehensive Income .....6 (3) Notes on Quarterly Consolidated Financial Statements ...............................................................................8 (Notes Relating to Assumptions for the Going Concern) ...............................................................................8 (Notes on Significant Changes in Shareholders' Equity) ................................................................................8 (Notes on Segment Information, etc.) ........................................................................................................... ..8 (Notes on Cash Flow Statements) ................................................................................................................ ...9
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ORION BREWERIES, LTD. (409A) Financial Results for the First Quarter of Fiscal Year Ending March 2027 -2- 1. Overview of Operating Results, etc. (1) Overview of Operating Results for the Cumulative Quarter Period The Company’s mission statement is "Proudly from Okinawa, Orion makes people, makes occasions, helps the world smile." At the same time, the Company pursues a "Flywheel Growth with Okinawa Business Model" that achieves sustainable growth together with Okinawa by delivering attractive products and experiences to Okinawan residents and tourists, striving to enhance corporate value. The Company is advancing a business model that enhances brand loyalty by providing the appeal of Okinawa as value through alcohol ic beverage sales and resort hotel services within Okinawa Prefecture, while also implementing initiatives that evoke Okinawa in areas outside the prefecture and overseas. Operating results for the first quarter cumulative period (April 1, 2026 to June 30, 2026) were as follows: net sales increased by 143 million yen to 7,189 million yen (+2.0% year -on-year), operating profit decreased by 122 million yen to 953 million yen (-11.4% year-on-year), and ordinary profit decreased by 117 million yen to 967 million yen ( - 10.9% year-on-year). Profit attributable to owners of parent decreased by 834 million yen to 653 million yen ( -56.1% year-on-year), due to the absence of gains on real estate sales recorded in the previous fiscal year. The Company Group operates two business segments: Alcoholic & Beverages Business and Tourism & Hotel Business. The details and performance of each business segment are as follows. Alcoholic & Beverages Business The Alcoholic & Beverages Business primarily focuses on beer products. The "Orion" brand handled by our Group is one of the representative beer brands in Okinawa that is based in Okinawa and has been growing with Okinawa. "Orion The Draft" is the Company’s flagship product. This product is made using Okinawa barley and water, featuring a refreshing taste suited to the warm climate. Additionally, by strengthening the "Flywheel Growth with Okinawa Business Model" through the manufacture and sale of RTDs (Ready to Drink: alcoholic beverages that can be enjoyed immediately, such as canned chuhai) and fruit wines that make abundant use of prefectural fruits, awamori (a traditional Okinawan distilled spirit), and moromi vinegar made from awamori’s by -products, as well as IP (intellectual property) business using the "Orion" brand, the Company Group delivers attractive products and experiences to customers within Okinawa Prefecture, outside the prefecture, and overseas. In the Alcoholic & Beverages Business, the Company has been working to strengthen product development and sales capabilities to establish a dominant position within the prefecture, achieve sustainable growth outside the prefecture, and expand sales in overseas areas. As a result, net sales for the first quarter cumulative period showed steady progress, increasing by 287 million yen to 6,027 million yen (+5.0% year -on-year). Although gross profit margins improved through a review of manufacturing processes, operating profit decreased by 111 million yen to 921 million yen (-10.8% year-on-year) due to upfront investment costs for strengthening the brand of the flagship product "Orion The Draft." Tourism & Hotel Business Okinawa, with its abundant tourism resources and geographical advantage of being close to Asian countries, attracts a number of tourists comparable to Hawaii, and both tourist numbers and tourism revenue are on the rise. In this context, the Tourism & Hotel Business is centered around the Orion Hotel Motobu Resort & Spa (located in Motobu town in the northern part of Okinawa). The Company is working to enhance the experiential value of
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ORION BREWERIES, LTD. (409A) Financial Results for the First Quarter of Fiscal Year Ending March 2027 -3- the "Orion" brand and promote Okinawa's tourism industry in collaboration with the region, focusing on northern Okinawa, the birthplace of the Company. In fiscal 2026, the Company is strengthening the revenue management capability to improve room rates and actively promoting reservations through the Company’s own website and strengthening overseas channels to attract inbound tourists. The impact of China' s travel restrictions has been limited, with inbound tourism from Taiwan, South Korea, Europe, and the US performing well. Additionally, through collaboration with nearby facilities such as Churaumi Aquarium and JUNGLIA Okinawa, the Company is making investments targeting the family segment and providing activities. As a result, although both the occupancy rate and room rates of Orion Hotel Motobu Resort & Spa exceeded the same period of the previous year, due to the elimination of Orion Hotel Naha, which was sold in the previous consolidated fiscal year, net sales in the Tourism & Hotel Business for the first quarter cumulative period decreased by 143 million yen to 1,162 million yen ( -11.0% year-on-year), and operating profit decreased by 11 million yen to 34 million yen (-24.3% year-on-year). (2) Overview of Financial Position for the Cumulative Quarter Period Assets, liabilities and net assets Total assets at the end of the first quarter consolidated accounting period decreased by 916 million yen compared to the end of the previous consolidated fiscal year, to 43,172 million yen. The main factors were a decrease in cash and deposits of 2,245 mil lion yen, an increase in accounts receivable of 410 million yen, and an increase in construction in progress of 851 million yen. Liabilities decreased by 158 million yen compared to the end of the previous consolidated fiscal year, to 25,447 million yen. The main factors were a decrease in accounts payable-trade of 381 million yen, a decrease in income taxes payable of 45 million yen, an increase in accounts payable -other of 114 million yen, and an increase in other current liabilities of 203 million yen. Net assets decreased by 758 million yen compared to the end of the previous consolidated fiscal year, to 17,725 million yen. The main factors were a decrease of 1,014 million yen due to dividend payments, a decrease of 490 million yen due to acquisition of treasury shares, and an increase of 653 million yen from profit attributable to owners of parent for the first quarter cumulative period.
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ORION BREWERIES, LTD. (409A) Financial Results for the First Quarter of Fiscal Year Ending March 2027 -4- 2. Quarterly Consolidated Financial Statements and Main Notes (1) Quarterly Consolidated Balance Sheet (Millions of yen) As of March 31, 2026 As of June 30, 2026 Assets Current assets Cash and deposits 10,506 8,260 Accounts receivable – trade 2,489 2,899 Merchandise and finished goods 1,358 1,628 Raw materials and supplies 813 713 Other 339 452 Allowance for doubtful accounts (0) (0) Total current assets 15,506 13,955 Non-current assets Property, plant and equipment Buildings and structures 27,218 27,281 Accumulated depreciation (13,471) (13,694) Buildings and structures, net 13,747 13,586 Machinery, equipment and vehicles 20,646 20,647 Accumulated depreciation (17,939) (18,036) Machinery, equipment and vehicles, net 2,707 2,611 Land 7,448 7,448 Construction in progress 279 1,130 Other 2,248 2,403 Accumulated depreciation (1,588) (1,645) Other, net 660 757 Total property, plant and equipment 24,843 25,535 Intangible assets Goodwill 112 106 Other 587 582 Total intangible assets 699 688 Investments and other assets Investment securities 2,668 2,676 Other 491 436 Allowance for doubtful accounts (119) (119) Total investments and other assets 3,039 2,993 Total non-current assets 28,582 29,217 Total assets 44,089 43,172
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ORION BREWERIES, LTD. (409A) Financial Results for the First Quarter of Fiscal Year Ending March 2027 -5- (Millions of yen) As of March 31, 2026 As of June 30, 2026 Liabilities Current liabilities Accounts payable – trade 1,102 1,217 Current portion of long-term borrowings 705 705 Accounts payable – other 2,231 1,850 Accrued alcohol tax 883 872 Income taxes payable 331 285 Provision for bonuses 415 400 Provision for bonuses for directors (and other officers) 26 1 Other 1,178 1,382 Total current liabilities 6,875 6,716 Non-current liabilities Long-term borrowings 15,655 15,622 Deferred tax liabilities 1,462 1,474 Provision for retirement benefits for directors (and other officers) 17 15 Retirement benefit liability 322 338 Asset retirement obligations 82 82 Long-term deposits received 999 998 Other 190 199 Total non-current liabilities 18,730 18,730 Total liabilities 25,605 25,447 Net assets Shareholders' equity Share capital 560 607 Capital surplus 14,291 14,338 Retained earnings 3,626 3,266 Treasury shares (0) (491) Total shareholders' equity 18,479 17,722 Share acquisition rights 4 3 Total net assets 18,483 17,725 Total liabilities and net assets 44,089 43,172
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ORION BREWERIES, LTD. (409A) Financial Results for the First Quarter of Fiscal Year Ending March 2027 -6- (2) Quarterly Consolidated Statements of Income and Comprehensive Income Quarterly Consolidated Statement of Income For the Three-Month Period (Millions of yen) For the three months ended June 30, 2025 For the three months ended June 30, 2026 Net sales 7,045 7,189 Cost of sales 3,360 3,540 Gross profit 3,685 3,648 Selling, general and administrative expenses 2,608 2,694 Operating profit 1,076 953 Non-operating income Interest income 0 7 Dividend income 66 81 Share of profit of entities accounted for using equity method 11 8 Other 37 21 Total non-operating income 115 118 Non-operating expenses Interest expenses 62 82 Other 44 22 Total non-operating expenses 107 104 Ordinary profit 1,084 967 Extraordinary income Gain on sale of non-current assets 844 2 Gain on reversal of asset retirement obligations 208 - Total extraordinary income 1,053 2 Extraordinary losses Loss on retirement of non-current assets 2 4 Total extraordinary losses 2 4 Profit before income taxes 2,135 964 Income taxes - current 574 292 Income taxes - deferred 73 18 Total income taxes 647 311 Profit 1,488 653 Profit attributable to owners of parent 1,488 653
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ORION BREWERIES, LTD. (409A) Financial Results for the First Quarter of Fiscal Year Ending March 2027 -7- Quarterly Consolidated Statement of Comprehensive Income For the Three-Month Period (Millions of yen) For the three months ended June 30, 2025 For the three months ended June 30, 2026 Profit 1,488 653 Comprehensive income 1,488 653 Comprehensive income attributable to Comprehensive income attributable to owners of parent 1,488 653
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ORION BREWERIES, LTD. (409A) Financial Results for the First Quarter of Fiscal Year Ending March 2027 -8- (3) Notes on Quarterly Consolidated Financial Statements (Notes Relating to Assumptions for the Going Concern) None (Notes on Significant Changes in Shareholders' Equity) None (Notes on Segment Information, etc.) Information on net sales and profits/losses by reported segment I First quarter cumulative period of previous fiscal year (From April 1, 2025 to June 30, 2025) (Millions of yen) Reportable Segment Total Adjustments Notes 1 Consolidated Financial Statements Recorded amount Notes 2 Alcoholic & Beverages Business Tourism & Hotel Business Net sales (1) Net sales to unaffiliated customers 5,739 1,306 7,045 - 7,045 (2) Intersegment sales or transfers - - - - - Total 5,739 1,306 7,045 - 7,045 Segment profit 1,033 45 1,079 (2) 1,076 (Note) 1 The adjustment of -2 million yen in segment profit includes an adjustment of -2 million yen in depreciation. 2 Segment profit is reconciled with operating profit in the quarterly consolidated statements of income. II First quarter cumulative period of fiscal year under review (From April 1, 2026 to June 30, 2026) (Millions of yen) Reportable Segment Total Adjustments Notes 1 Consolidated Financial Statements Recorded amount Notes 2 Alcoholic & Beverages Business Tourism & Hotel Business Net sales (1) Net sales to unaffiliated customers 6,027 1,162 7,189 - 7,189 (2) Intersegment sales or transfers 0 - 0 (0) - Total 6,027 1,162 7,189 (0) 7,189 Segment profit 921 34 956 (2) 953 (Note) 1 The adjustment of -2 million yen in segment profit includes an adjustment of - 2 million yen in depreciation and amortization. 2 Segment profit is reconciled with operating profit in the quarterly consolidated statements of income.
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ORION BREWERIES, LTD. (409A) Financial Results for the First Quarter of Fiscal Year Ending March 2027 -9- (Notes on Cash Flow Statements) The quarterly consolidated statements of cash flows for the first quarter cumulative period of fiscal year under review have not been prepared. Depreciation and amortization (including amortization of intangible assets) for the first quarter cumulative period of fiscal year under review was as follows. For the three months ended June 30, 2025 For the three months ended June 30, 2026 Depreciation and amortization 414 Millions of yen 405 Millions of yen