Interim report
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Notice : This document is an excerpt translation of the original Japanese document and is only for reference purposes . In the event of any discrepancy between this translated document and the original Japanese document , the latter shall prevail . Consolidated Financial Results for the Three Months Ended June 30 , 2026 ( Under Japanese GAAP ) NOF CORPORATION FASF MEMBERSHIP August 5 , 2026 Company name : Listing : Tokyo Stock Exchange https://www.nof.co.jp/ Koji Sawamura , President and Chief Executive Officer Securities code : 4403 URL : Representative : Inquiries : Telephone : Sachiyo Kaneko , Operating Officer , General Manager of Corporate Communications Dept. + 81-3-5424-6651 Scheduled date to commence dividend payments : Preparation of supplementary material on financial results : Holding of financial results briefing : None None ( 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 . ) Profit attributable to Net sales Operating profit Ordinary profit owners of parent Three months ended Millions of yen % Millions of yen % Millions of yen % Millions of yen % June 30 , 2026 June 30 , 2025 69,007 56,063 23.1 1.7 10,695 11,847 ( 9.7 ) ( 12.5 ) Note : Comprehensive income For the three months ended June 30 , 2026 : For the three months ended June 30 , 2025 : 11,505 ( 6.3 ) 12,274 ¥ 10,562 million ¥ 11,368 million 7,571 ( 12.1 ) ( 19.0 ) 8,610 ( 22.1 ) [ ( 7.1 ) % ] [ ( 7.9 ) % ] Basic earnings per share Diluted earnings per share Three months ended Yen Yen June 30 , 2026 June 30 , 2025 33.53 37.00 ( 2 ) Consolidated financial position Total assets Net assets Equity - to - asset ratio As of June 30 , 2026 March 31 , 2026 Millions of yen 382,306 399,168 Millions of yen % 294,345 76.7 296,465 74.0 Reference : Equity As of June 30 , 2026 : As of March 31 , 2026 : ¥ 293,250 million ¥ 295,345 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 March 31, 2026 – 26.00 – 35.00 61.00 Fiscal year ending March 31, 2027 – Fiscal year ending March 31, 2027 (Forecast) 35.00 – 35.00 70.00 Note: Revisions to the forecast of cash dividends most recently announced: None 3. Consolidated earnings forecast for the fiscal year ending March 31, 2027 (from April 1, 2026 to March 31, 2027) (Percentages indicate 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 Fiscal year ending March 31, 2027 319,000 23.7 50,000 5.5 51,000 1.3 39,000 (3.8) 169.60 Note: Revisions to the earnings forecasts most recently announced: None
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* 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: Yes Note: Please refer to “2. Quarterly consolidated financial statements and significant notes thereto, (3) Notes on quarterly consolidated financial statements (Notes on accounting treatment specific to the preparation of quarterly consolidated financial statements)” on page 9 of the attached document for details. (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 236,524,128 shares As of March 31, 2026 236,524,128 shares (ii) Number of treasury shares at the end of the period As of June 30, 2026 11,789,730 shares As of March 31, 2026 10,089,463 shares (iii) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) Three months ended June 30, 2026 225,842,207 shares Three months ended June 30, 2025 232,728,068 shares (Notes) The shares of the Company held by the Board Benefit Trust (BBT) are included in the number of treasury shares at the end of the period and in the number of treasury shares deducted in the calculation of the average number of shares outstanding during the period. * Review of attached consolidated quarterly financial statements by certified public accountants or an audit firm: Yes(voluntary) * Proper use of earnings forecasts, and other special matters (Notes regarding forward-looking statements) Forward-looking statements including financial results forecasts stated in this material were compiled based on information available to the Company and certain assumptions considered reasonable at the time this material was compiled, and are not meant as a guarantee of the Company achieving such results. Therefore, the actual results, etc., may differ due to various factors. For information on the assumptions of the forecast and notes on the use of the forecast, please refer to “1. Overview of operating results, etc., (3) Explanation on future forecast information including the forecast of consolidated financial results” on page 3 of the attached document.
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- 1 - Table of contents for the attachment 1. Overview of operating results, etc. ............................................................................................................ 2 (1) Overview of operating results during the period ................................................................................... 2 (2) Overview of financial position as of June 30, 2026 ............................................................................... 3 (3) Explanation on future forecast information including the forecast of consolidated financial results .... 3 (4) Research and development activities ..................................................................................................... 4 (5) Main facilities ........................................................................................................................................ 4 2. Quarterly consolidated financial statements and significant notes thereto ................................................ 5 (1) Quarterly consolidated balance sheets ................................................................................................... 5 (2) Quarterly consolidated statements of income and quarterly consolidated statements of comprehensive income .......................................................................................................................... 7 Quarterly consolidated statements of income ..................................................................................... 7 Quarterly consolidated statements of comprehensive income ........................................................... 8 (3) Notes on quarterly consolidated financial statements ............................................................................ 9 (Notes on accounting treatment specific to the preparation of quarterly consolidated financial statements) ............................................................................................................................................. 9 (Additional Information)........................................................................................................................ 9 (Notes on segment information, etc.) ..................................................................................................... 10 (Notes on substantial changes in the amount of shareholders’ equity) .................................................. 11 (Notes on going concern assumption) ................................................................................................... 11 (Notes on quarterly consolidated statements of cash flows) .................................................................. 11 (Revenue recognition) ........................................................................................................................... 12 (Notes on significant events after reporting period) .............................................................................. 13 Independent Auditor’s Interim Review Report on Quarterly Consolidated Financial Statements .............. 14
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- 2 - 1. Overview of operating results, etc. (1) Overview of operating results during the period In the first three months of the current fiscal year (from April 1 to June 30, 2026), the outlook for the global economy deteriorated due to increased risk of a downturn and policy uncertainties in the economy caused by the turbulence in the Middle East. The outlook remains uncertain due to concerns about the impact of the continued geopolitical risks in Ukraine and the Middle East, elevated prices of raw materials and fuel, and fluctuations in the financial and capital markets. In Japan, although consumer prices are gradually increasing, the economy showed signs of picking up as the employment and income environment continued to improve. As for the business environment surrounding the Group, even though domestic economic conditions are gradually recovering, there is ongoing monitoring of t he impact surrounding the situation in the Middle East, such as a downturn risk due to elevated prices of raw materials and fuel, concerns about the supply of crude oil- derived raw materials such as naphtha. In this business environment, under the three-year 2028 Mid-Term Management Plan started in the current fiscal year, and in keeping with the basic policy of “Transformation and Creation,” we have been working to address the following challenges: (1) expanding business domains by seizing market opportuni ties, (2) creating new technologies and businesses, (3) improving productivity and operational efficiency, (4) pursuing safety and security, and (5) promoting CSR. We have also made repeated management efforts to develop new markets, expand sales, and reduce production costs with a view to achieving sustainable growth. As a result of such efforts, net sales for the first three months of the current fiscal year were 69,007 million yen, up 23.1% year on year. Operating profit decreased to 10,695 million yen, down 9.7% year on year, ordinary profit decreased to 11,505 million yen, down 6.3% year on year, and profit attributable to owners of parent decreased to 7,571 million yen, down 12.1% year on year. Results by segment are as follows. (i) Functional Chemicals Net sales of fatty acid derivatives increased due to firm demand related to environmental energy and a revised selling price in response to soaring prices of raw materials and fuel. Net sales of surfactants increased due to strong demand for toiletries. Net sales of ethylene oxide/propylene oxide derivatives increased due to strong shipments for toiletries, synthetic resin and resin processing applications. Net sales of organic peroxides decreased due to stagnant demand in Japan and Asia. Net sales of special anti -corrosion coatings decreased due to stagnant demand in the overseas automobile industry. As a result, net sales of Functional Chemicals were 39,177 million yen, up 8.8% year on year, and operating profit was 7,852 million yen, up 11.0% year on year. (ii) Pharmaceuticals, Medicals and Health Net sales of processed edible oils and functional food materials were flat year on year as selling prices were revised due to soaring prices of raw materials and fuel, despite subdued demand for use in bread, confectionery, and processed foods. Net sales of healthcare foods products increased as a result of increased shipments for health foods. Net sales of biocomp atible materials increased due to strong demand of MPC (2 -methacryloyloxyethyl phosphorylcholine) related products. Net sales of raw materials for DDS (drug delivery system) decreased as most shipments are expected in the second half of the fiscal year. As a result, net sales of Pharmaceuticals, Medicals and Health were 11,244 million yen, down 17.9% year on year, and operating profit was 1,223 million yen, down 77.6% year on year. (iii) Explosives & Propulsion Net sales of industrial explosives declined. Net sales of space-related products decreased due to decreased shipments for rocket products. Net sales of defense-related products increased due to revenue recognition of certain transactions related to the initial costs for rapid acquisition. Net sales of functional products were flat year on year.
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- 3 - As a result, net sales of Explosives & Propulsion were 18,411 million yen, up 197.8% year on year, and operating profit was 2,296 million yen, compared to the operating loss of 7 million yen in the same period of the previous fiscal year. (iv) Others Others consist of transportation and real estate. Net sales of others were 174 million yen, up 1.6% year on year, and operating profit was 163 million yen, down 1.4% year on year. (2) Overview of financial position as of June 30, 2026 Total assets at the end of the first quarter of the current fiscal year were 382,306 million yen, a decrease of 16,861 million yen from the end of the previous fiscal year. The breakdown of major increases (decreases) in assets includes a decrease in cash and deposits of 23,517 million yen, a decrease in trade receivables of 5,573 million yen, an increase in inventories of 5,642 million yen, a decrease in property, plant and equipment of 1,102 million yen, and an increase in investment securities of 4,091 million yen. Liabilities decreased by 14,741 million yen to 87,961 million yen from the end of the previous fiscal year. The breakdown of major increases (decreases) in liabilities includes an increase in trade payables of 2,990 million yen, a decrease in accounts payable of 1,744 million yen and a decrease in advances received of 3,834 million yen, which are included in other under current liabilities, and a decrease of 10,628 million yen in income taxes payable due to payment of income taxes, etc. Net assets were 294,345 million yen, a decrease of 2,120 million yen from the end of the previous fiscal year. The breakdown of major increases (decreases) in net assets includes profit attributable to owners of parent of 7,571 million yen, a decrease from the purchase of treasury shares of 4,686 million yen, a decrease from dividends of surplus of 7,929 million yen, and an increase in valuation difference on available-for-sale securities of 2,779 million yen. (3) Explanation on future forecast information including the forecast of consolidated financial results The outlook for the global economy is expected to remain uncertain, with continued geopolitical risks in Ukraine and the Middle East, including downturn risks to the economy and fluctuations in financial and capital markets. In the domestic economy, while employment and income environment is improving, concerns remain regarding soaring raw material and fuel prices, as well as the supply of crude oil -derived raw materials such as naphtha. Furthermore, the impact of continued rising prices on consumer spending is also a worry, requiring continued close monitoring as risks that could weigh down Japan’s economy. An explanation of outlook by segment is as follows. In Functional Chemicals, demand for cosmetic raw materials and ODM business is expected to remain firm in the cosmetics-related products. Furthermore, demand for special anti -corrosion coatings is expected to remain firm. While the impact of the situation in the Middle East on supply chains is expected to be less severe than initially anticipated, we will continue to closely monitor trends in raw material and fuel prices. In Pharmaceuticals, Medicals and Health, we anticipate most shipments of raw materials for DDS to be in the second half of the fiscal year, taking into account our customers’ production plans. Furthermore, these shipments were already factored into the initial plan, and demand is expected to remain firm. In Explosives & Propulsion, due to the steady progress in construction related to some transactions (contract transactions where revenue is recognized according to performance obligations) concerning initial costs for rapid acquisition, we expect revenue recognition as planned. Demand for other defense -related p roducts is also expected to remain firm. The above forecast is based on the information that is available to the Company as of the date of the announcement of this material. Actual results may differ from the forecast due to various factors in the future. In addition, there is no change to the original forecast of consolidated financial results (announced on May 11, 2026) for the full year.
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- 4 - (4) Research and development activities Expenses related to research and development activities for the Group in the first three months of the current fiscal year were 2,266 million yen. There were no material changes in the conditions of the Group’s research and development activities in the first three months of the current fiscal year. (5) Main facilities The amount of capital investment for the Group in the first three months of the current fiscal year was 9,434 million yen. There were no significant changes in the Group’s main facilities or facility plans in the first three months of the current fiscal year.
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- 5 - 2. Quarterly consolidated financial statements and significant notes thereto (1) Quarterly consolidated balance sheets (Millions of yen) As of March 31, 2026 As of June 30, 2026 Assets Current assets Cash and deposits 88,364 64,846 Notes and accounts receivable - trade, and contract assets 74,776 68,771 Electronically recorded monetary claims - operating 3,731 4,163 Merchandise and finished goods 32,293 35,356 Work in process 8,153 10,222 Raw materials and supplies 23,880 24,390 Other 5,881 8,951 Allowance for doubtful accounts (254) (239) Total current assets 236,825 216,462 Non-current assets Property, plant and equipment Buildings and structures, net 34,386 34,132 Land 20,645 20,638 Other, net 41,695 40,854 Total property, plant and equipment 96,726 95,624 Intangible assets Other 1,918 1,992 Total intangible assets 1,918 1,992 Investments and other assets Investment securities 46,086 50,177 Retirement benefit asset 13,054 13,091 Other 4,626 5,027 Allowance for doubtful accounts (70) (70) Total investments and other assets 63,697 68,227 Total non-current assets 162,343 165,844 Total assets 399,168 382,306 Liabilities Current liabilities Notes and accounts payable - trade 21,429 24,607 Electronically recorded obligations - operating 493 306 Short-term borrowings 1,341 1,339 Current portion of long-term borrowings 1,013 859 Income taxes payable 14,690 4,062 Provision for bonuses 4,163 2,196 Other 43,109 36,421 Total current liabilities 86,241 69,793 Non-current liabilities Long-term borrowings 1,961 2,115 Retirement benefit liability 3,404 3,663 Other 11,096 12,389 Total non-current liabilities 16,461 18,167 Total liabilities 102,703 87,961
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- 6 - (Millions of yen) As of March 31, 2026 As of June 30, 2026 Net assets Shareholders' equity Share capital 17,742 17,742 Capital surplus 15,058 15,047 Retained earnings 249,159 248,801 Treasury shares (26,276) (30,963) Total shareholders' equity 255,683 250,627 Accumulated other comprehensive income Valuation difference on available-for-sale securities 25,271 28,050 Foreign currency translation adjustment 7,973 8,512 Remeasurements of defined benefit plans 6,417 6,059 Total accumulated other comprehensive income 39,662 42,622 Non-controlling interests 1,119 1,094 Total net assets 296,465 294,345 Total liabilities and net assets 399,168 382,306
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- 7 - (2) Quarterly consolidated statements of income and quarterly consolidated statements of comprehensive income (Quarterly consolidated statements of income) (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Net sales 56,063 69,007 Cost of sales 33,891 47,508 Gross profit 22,171 21,498 Selling, general and administrative expenses 10,324 10,803 Operating profit 11,847 10,695 Non-operating income Interest income 86 91 Dividend income 581 572 Foreign exchange gains － 169 Other 130 142 Total non-operating income 798 976 Non-operating expenses Interest expenses 25 32 Rental expenses on real estate 17 21 Expenses for disposal of fixed assets 49 45 Foreign exchange losses 195 － Other 82 67 Total non-operating expenses 370 166 Ordinary profit 12,274 11,505 Extraordinary income Gain on sale of non-current assets 0 36 Gain on revision of retirement benefit plan 58 － Total extraordinary income 58 36 Extraordinary losses Loss on retirement of non-current assets 98 79 Total extraordinary losses 98 79 Profit before income taxes 12,234 11,463 Income taxes 3,624 3,862 Profit 8,610 7,600 Profit (loss) attributable to non-controlling interests (0) 29 Profit attributable to owners of parent 8,610 7,571
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- 8 - (Quarterly consolidated statements of comprehensive income) (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Profit 8,610 7,600 Other comprehensive income Valuation difference on available-for-sale securities 4,210 2,780 Foreign currency translation adjustment (1,365) 546 Remeasurements of defined benefit plans, net of tax (86) (366) Total other comprehensive income 2,758 2,961 Comprehensive income 11,368 10,562 Comprehensive income attributable to Comprehensive income attributable to owners of parent 11,386 10,532 Comprehensive income attributable to non -controlling interests (17) 30
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- 9 - (3) Notes on quarterly consolidated financial statements (Notes on accounting treatment specific to the preparation of quarterly consolidated financial statements) (Calculation of tax expenses) As for tax expenses, the effective tax rate after the application of tax effect accounting to profit before income taxes is reasonably estimated for the consolidated fiscal year, which includes the first quarter of the current fiscal year, and the amount is calculated by multiplying quarterly profit before income taxes by the estimated effective tax rate. However, for companies whose tax expenses are significantly less reasonable if calculated using the estimated effective tax rate, the amount calculated using the statutory tax rate is recorded. (Additional information) For certain transactions related to defense -related equipment for rapid acquisition in Explosives & Propulsion, revenue is recognized based on the fulfillment of performance obligations over a certain period. The expenses corresponding to revenues include amounts related to the acquisition of non-current assets, and such amounts are recorded as cost of sales to correspond to revenues.
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- 10 - (Notes on segment information, etc.) I. For the three months ended June 30, 2025 (from April 1, 2025, to June 30, 2025) 1. Information about the amounts of net sales and profit or loss by reportable segment (Millions of yen) Reportable segment Others (Notes) 1. Total Adjustment (Notes) 2. The amount reported on the quarterly consolidated statements of income (Notes) 3. Functional Chemicals Pharmaceuti cals, Medicals and Health Explosives & Propulsion Total Net sales (1) Sales to external customers 36,020 13,689 6,183 55,892 171 56,063 – 56,063 (2) Intersegment sales or transfers 1,261 232 2 1,496 2,370 3,867 (3,867) – Total 37,281 13,921 6,185 57,389 2,542 59,931 (3,867) 56,063 Segment profit (loss) 7,073 5,459 (7) 12,525 166 12,691 (844) 11,847 (Notes) 1. The “Others” category consists of business that is not included in reportable segments. It includes transportation, real estate sales, and management services, etc. 2. An adjustment of negative 844 million yen in segment profit includes negative 37 million yen eliminated for intersegment transactions, and negative 807 million yen for company -wide expenses that is not allocated for each reportable segment. Company-wide expenses mainly include general and administrative expenses that are not attributable to reportable segments. 3. Segment profit (loss) is adjusted with operating income in the quarterly consolidated statements of income. II. For the three months ended June 30, 2026 (from April 1, 2026, to June 30, 2026) 1. Information about the amounts of net sales and profit or loss by reportable segment (Millions of yen) Reportable segment Others (Notes) 1. Total Adjustment (Notes) 2. The amount reported on the quarterly consolidated statements of income (Notes) 3. Functional Chemicals Pharmaceuti cals, Medicals and Health Explosives & Propulsion Total Net sales (1) Sales to external customers 39,177 11,244 18,411 68,833 174 69,007 – 69,007 (2) Intersegment sales or transfers 947 334 1 1,283 2,372 3,656 (3,656) – Total 40,124 11,579 18,413 70,117 2,546 72,663 (3,656) 69,007 Segment profit 7,852 1,223 2,296 11,372 163 11,536 (840) 10,695 (Notes) 1. The “Others” category consists of business that is not included in reportable segments. It includes transportation, real estate sales, and management services, etc. 2. An adjustment of negative 840 million yen in segment profit includes 61 million yen eliminated for intersegment transactions, and negative 902 million yen for company-wide expenses that is not allocated for each reportable segment. Company-wide expenses mainly include general and administrative expenses that are not attributable to reportable segments. 3. Segment profit is adjusted with operating income in the quarterly consolidated statements of income.
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- 11 - (Notes on substantial changes in the amount of shareholders’ equity) None applicable. (Notes on going concern assumption) None applicable. (Notes on quarterly consolidated statements of cash flows) The Company has not prepared quarterly consolidated statements of cash flows for the first three months of the current fiscal year. In addition, depreciation (including amortization related to intangible assets excluding goodwill) for the first three month s of the respective fiscal years, including expenses in connection with investments in defense-related equipment for rapid acquisition in Explosives & Propulsion is as follows: (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Depreciation 2,001 10,323
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- 12 - (Revenue recognition) The sales of the Group are mainly revenue recognized from contracts with customers, and the breakdown of the reportable segments of the Group by region for the first three months of the respective fiscal years is as follows: I. For the three months ended June 30, 2025 (from April 1, 2025, to June 30, 2025) (Millions of yen) Reportable segment Others (Notes) 1. Total Functional Chemicals Pharmaceuticals, Medicals and Health Explosives & Propulsion Total Net sales Japan 25,346 5,523 6,159 37,028 139 37,168 Asia 7,713 371 19 8,105 31 8,137 Europe 1,672 2,497 3 4,173 – 4,173 Others 1,288 5,296 0 6,585 – 6,585 Sales to customers 36,020 13,689 6,183 55,892 171 56,063 (Notes) 1. The “Others” category consists of business that is not included in reportable segments. It includes transportation, real estate sales, and management services, etc. 2. Sales are mostly revenue recognized from contracts with customers, and revenue recognized from other sources is not presented separately as it is not material. II. For the three months ended June 30, 2026 (from April 1, 2026, to June 30, 2026) (Millions of yen) Reportable segment Others (Notes) 1. Total Functional Chemicals Pharmaceuticals, Medicals and Health Explosives & Propulsion Total Net sales Japan 27,423 5,719 18,344 51,486 151 51,637 Asia 8,605 557 58 9,221 22 9,244 Europe 1,973 3,296 8 5,278 – 5,278 Others 1,175 1,671 － 2,847 – 2,847 Sales to customers 39,177 11,244 18,411 68,833 174 69,007 (Notes) 1. The “Others” category consists of business that is not included in reportable segments. It includes transportation, real estate sales, and management services, etc. 2. Sales are mostly revenue recognized from contracts with customers, and revenue recognized from other sources is not presented separately as it is not material.
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- 13 - (Notes on significant events after reporting period) Purchase and cancellation of treasury shares The Company has resolved the matters pertaining to the purchase of its treasury shares pursuant to the provisions of Article 156 of the Companies Act, applied by replacing terms pursuant to the provisions of Article 165, paragraph (3) of said Act, and the matters pertaining to the cancellation of its treasury shares pursuant to the provisions of Article 178 of the Companies Act, at the meeting of the Board of Directors held on August 5, 2026. 1. Reasons for purchase and cancellation of treasury shares The Company recognizes the stable return of profits to its shareholders as an important managerial issue. In the Mid-Term Management Plan “NOF VISION 2030 Stage Ⅲ” (FY2026 to FY2028) that was announced in May 2026, the Company maintains a basic policy of stable shareholder returns and has set a target total payout ratio of 70% or more. Based on this basic policy, the Company has decided to purchase and cancel treasury shares. 2. Details of the Board of Directors resolution regarding the purchase (1) Class of shares to be purchased: Common shares of the Company (2) Total number of shares to be purchased: 2,000,000 shares (maximum) (3) Total purchase price of shares: 5,000,000,000 yen (maximum) (4) Period of purchase: From August 6, 2026 through September 30, 2026 (5) Method of purchase: Open -market purchase on the Tokyo Stock Exchange 3. Details of the Board of Directors resolution regarding the cancellation (1) Class of shares to be cancelled: Common shares of the Company (2) Total number of shares to be cancelled: 10,000,000 shares (3) Scheduled date of cancellation: September 30, 2026 (4) Total number of outstanding shares after the cancellation: 226,524,128 shares
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- 14 - (For Translation Purposes Only) Independent Auditor’s Interim Review Report on Quarterly Consolidated Financial Statements August 5, 2026 The Board of Directors NOF CORPORATION Auditor’s Conclusion We have reviewed the accompanying quarterly consolidated financial statements of NOF CORPORATION and its consolidated subsidiaries (the Group), which comprise the quarterly consolidated balance sheet as at June 30, 202 6, and the quarterly consolidated statements of income, comprehensive income for the three -month period ended June 30, 202 6, and notes to the quarterly consolidated financial statements. Based on our review, nothing has come to our attention that causes us to believe that the accompanying quarterly consolidated financial statements are not prepared, in all material respects, in accordance with Article 4, Paragraph 1 of the Tokyo Stock Exchange, Inc.’s Standards for the Preparation of Quarterly Financial Statements (the Standards) and accounting principles generally accepted in Japan for interim consolidated financial statements , applying the provisions for reduced disclosures as set forth in Article 4, Paragraph 2 of the Standards. Basis for Auditor’s Conclusion We conducted our review in accordance with review standards for interim financial statements generally accepted in Japan. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Review of the Quarterly Consolidated Financial Statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our review of the quarterly consolidated financial statements in Japan, including those applicable to audits of financial statements of public interest entities, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the evidence we have obtained provides a basis for our conclusion. Management’s and the Audit and Super visory Committee’s Responsibilities for the Quarterly Consolidated Financial Statements Management is responsible for the preparation of these quarterly consolidated financial statements in accordance with Article 4, Paragraph 1 of the Standards and accounting principles generally accepted in Japan for interim consolidated financial statements, applying the provisions for reduced disclosures as set forth in Article 4, Paragraph 2 of the Standards, and for the internal controls as management determines are necessary to enable the preparation of quarterly consolidated financial statements that are free from material misstatement, whether due to fraud or error. In preparing the quarterly consolidated financial statements, management is responsible for assessing the Group’s ability to continue as a going concern, including the disclosures related to matters of going concern as required by Article 4, Paragraph 1 of the Standards and accounting principles generally accepted in Japan for interim consolidated financial statements , applying the provisions for reduced disclosures as set forth in Article 4, Paragraph 2 of the Standards. Ernst & Young ShinNihon LLC Tokyo, Japan Takao Maruyama Designated Engagement Partner Certified Public Accountant Izumi Okamoto Designated Engagement Partner Certified Public Accountant
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- 15 - The Audit and Supervisory Committee is responsible for overseeing the Group’s financial reporting process. Auditor’s Responsibilities for the Review of the Quarterly Consolidated Financial Statements Our responsibility is to express a conclusion on these quarterly consolidated financial statements based on our review. As part of a review in accordance with review standards for interim financial statements generally accepted in Japan, we exercise professional judgment and maintain professional skepticism throughout the review. We also: ・ Make inquiries, primarily of management and persons responsible for financial and accounting matters and apply analytical and other interim review procedures. A review is substantially less in scope than an audit conducted in accordance with auditing standards generally accepted in Japan. ・ Conclude based on the evidence obtained whether anything has come to our attention that causes us to believe that the quarterly consolidated financial statements are not prepared in accordance with Article 4, Paragraph 1 of the Standards and accounting principles generally accepted in Japan for interim consolidated financial statements , applying the provisions for reduced disclosures as set forth in Article 4, Paragraph 2 of the Standards, should we determine that a material uncertainty exists related to events or conditions that may cast significant doubt on the Group’s ability to continue as a going concern. Additionally, if we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s interim review report to the related disclosures in the quarterly consolidated financial statements or, if such disclosures are inadequate, to modify our conclusion. Our conclusions are based on the evidence obtained up to the date of our auditor’s interim review report. However, future events or conditions may cause the Group to cease to continue as a going concern. ・ Evaluate whether anything has come to our attention that causes us to believe that the overall presentation and disclosure of the quarterly co nsolidated financial statements are not prepared in accordance with Article 4, Paragraph 1 of the Standards and accounting principles generally accepted in Japan for interim consolidated financial statements , applying the provisions for reduced disclosures as set forth in Article 4, Paragraph 2 of the Standards. ・ Obtain evidence regarding the financial information of the entities or business activities within the Group as a basis for expressing a conclusion on the quarterly consolidated financial statements. We are responsible for the direction, supervision and review of the documentation of the interim review. We remain solely responsible for our conclusion. We communicate with the Audit and Supervisory Committee regarding the planned scope and timing of the review and significant review findings. We also provide the Audit and Supervisory Committee with a statement that we have complied with the ethical requirements regarding independence that are relevant to our review of the quarterly consolidated financial statements in Japan, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, actions taken to eliminate threats or safeguards applied to reduce threats to an acceptable level. Interest Required to Be Disclosed by the Certified Public Accountants Act of Japan Our firm and its designated engagement partners do not have any interest in the Group which is required to be disclosed pursuant to the provisions of the Certified Public Accountants Act of Japan. * Notes to the Readers of Independent Auditor's Report This is an English translation of the Independent Auditor's Report as required by the Companies Act of Japan for the conveniences of the reader.