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FY2026 First Half Business Results October 30, 2026 Presentation Materials www.sanwa-hldgs.co.jp CONTENTS FY2026 First Half Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update Sanwa Global Vision 2030 Medium-Term Management Plan 2027 Update Footnote on Forecast Any contents in this brochure are based on various assumptions, and neither promise nor guarantee the indicated results of forecast or realization of any management issue.
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FY2026 First Half Consolidated Results FY2026 Consolidated Forecasts Sanwa Global Vision 2030 Medium-Term Management Plan 2027 Update
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Business Results Highlights (Net Sales)01 * Due to intercompany elimination, values do not add up to consolidated result. * The upper figures in North America and Europe show results on a local currency basis. * Figures in square brackets ([ ]) are based on the FY2025 forex for comparison with the previous year in real terms. FY2026 1H Consolidated Results 03 Analysis of changes in net sales (consolidated) 〉 While sales volume declined in various regions, net sales increased thanks to foreign exchange effect and steady price pass-through YoY change +8.2 billion yen 309.2 −16.9 317.4 +9.0 +16.1 JPY bn FY2026 Consolidated Forecasts Forex rate FY2025 1H Actual FY2026 1H Initial forecast FY2026 1H Actual 1 USD 147.48 150.00 158.59 1 EUR 162.24 180.00 184.83 ● Higher sales due to strong performance in climate change related products and maintenance services, along with steady progress in price pass-through ● Lower sales on a local currency basis owing to a decline in sales volume caused by market slowdown and shipment delays at some plants ● Lower sales due to slowdown in the eastern China and Hong Kong markets ● Lower sales on a local currency basis amid continued adverse market environment due to delay in recovery in the key markets FY2025 1H FY2026 1H Results Initial forecast Results YoY (%) Vs. forecast (%) Japan JPY bn 132.7 137.0 135.4 +2.1% −1.2% North America (ODC) USD mn JPY bn 784 115.7 747 112.1 728 115.5 −7.1% −0.1% −2.5% +3.1% Europe (NF) EUR mn JPY bn 341 55.3 326 58.6 333 61.6 -2.3% +11.4% +2.3% +5.0% Asia JPY bn 5.8 6.1 5.1 −13.1% −16.2% Net sales JPY bn 309.2 313.5 317.4 [301.3] +2.6% [−2.6 %] +1.2% Medium-Term Management Plan 2027 Update
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Business Results Highlights (Profits) * Due to intercompany elimination, values do not add up to consolidated result. * The upper figures in North America and Europe show results on a local currency basis. * Figures in square brackets ([ ]) are based on the FY2025 forex for comparison with the previous year in real terms. 02 FY2025 1H FY2026 1H Results Profit margin Initial forecast Results Profit margin YoY (%) Vs. forecast (%) Japan JPY bn 14.39 10.8% 14.99 15.55 11.5% +8.1% +3.8% North America (ODC) USD mn JPY bn 125.2 18.46 16.0% 103.4 15.51 92.6 14.68 12.7% −26.0% −20.5% −10.5% −5.4% Europe (NF) EUR mn JPY bn 5.6 0.91 1.6% 1.5 0.26 −3.8 −0.70 −1.1% (–) (–) (–) (–) Asia JPY bn −0.12 −2.0% −0.13 −0.14 −2.8% (–) (–) Operating profit JPY bn 33.70 10.9% 30.20 29.33 [28.40] 9.2% −12.9% [−15.7%] −2.9% Ordinary profit JPY bn 34.50 11.2% 31.10 30.53 [29.60] 9.6% −11.5% [−14.2%] −1.8% Net profit attributable to owners of parent JPY bn 26.45 8.6% 22.90 22.14 [21.47] 7.0% −16.3% [−18.8%] −3.3% FY2026 1H Consolidated Results 04 Analysis of changes in operating profit (consolidated) 〉 Operating profit declined due to lower sales volume and higher raw material and other costs, despite steady price pass-through 33.7 −7.01 +0.93 −4.25 29.33 +8.97 JPY bn−3.01 YoY change −4.37 billion yen Forex rate FY2025 1H Actual FY2026 1H Initial forecast FY2026 1H Actual 1 USD 147.48 150.00 158.59 1 EUR 162.24 180.00 184.83 ● Higher profit driven by steady price pass-through despite increases in raw materials and other costs ● Significant fall in profit due to a decline in sales volume and lower manufacturing efficiency ● Lower profit due to higher costs reflecting inflation in addition to a decline in sales volume ● Lower profit due to lower sales volume in eastern China and Hong Kong Medium-Term Management Plan 2027 Update FY2026 Consolidated Forecasts
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FY2026 First Half Consolidated Results FY2026 Consolidated Forecasts Sanwa Global Vision 2030 Medium-Term Management Plan 2027 Update
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Business Forecasts Highlights (Net Sales)03 FY2025 FY2026 Results 1H (Results) 2H (Forecast) Full year (Revised forecast) YoY (%) Full year (Initial forecast) Vs. initial forecast (%) Japan JPY bn 291.3 135.4 159.1 294.6 +1.1％ 294.6 ±0.0% North America (ODC) USD mn JPY bn 1,615 241.9 728 115.5 830 130.7 1,558 246.2 −3.5% +1.8% 1,628 244.2 −4.3% +0.8% Europe (NF) EUR mn JPY bn 678 115.0 333 61.6 343 62.2 677 123.8 −0.3% +7.6% 691 124.4 −2.1% −0.5% Asia JPY bn 13.0 5.1 6.9 11.9 −8.2% 14.3 −16.7% Net sales JPY bn 660.7 317.4 359.6 677.0 [654.2] +2.3% [−1.0%] 677.0 ±0.0% 〉Even as we maintain the initial forecast, net sales are expected to increase as price pass-through and foreign exchange effect more than offset sales volume decline in various regions Analysis of changes in net sales (consolidated) YoY change +16.3 billion yen 660.7 −23.2 (−9.1) ＋22.7 (+7.6)+16.8 (+17.8) 677.0 (677.0) ● Sales are expected to rise and initial forecast is maintained as we continue with the measures implemented in the first half; market recovery is expected in the next fiscal year or later ● Second half sales expected to recover to a level similar to the previous year as we acquire share through improvement of plant operations. Full-year forecast revised to sales decline on local currency basis due to impact of slowdown in first half ● We expect to see the impact of measures for share recovery in the second half; full-year forecast was revised to a level similar to the previous year JPY bn (Initial forecast) ● Initial forecast was revised to sales decline due to poor performance of the eastern China and Hong Kong businesses despite strong sales in Taiwan 06 FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Forex rate FY2025 Actual FY2026 Initial forecast FY2026 Revised forecast 1 USD 149.78 150.00 158.00 1 EUR 169.53 180.00 183.00 * Due to intercompany elimination, values do not add up to consolidated result. * The upper figures in North America and Europe show results on a local currency basis. * Figures in square brackets ([ ]) are based on the FY2025 forex for comparison with the previous year in real terms. Medium-Term Management Plan 2027 Update
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Business Forecasts Highlights (Profits)04 FY2025 FY2026 Results Profit margin 1H (Results) 2H (Forecast) Full year (Revised forecast) Profit margin YoY (%) Full year (Initial forecast) Vs. initial forecast (%) Japan JPY bn 39.07 13.4% 15.55 23.55 39.10 13.3% +0.1% 39.10 ±0.0％ North America (ODC) USD mn JPY bn 252.1 37.75 15.6% 92.6 14.68 122.5 19.30 215.1 33.98 13.8% −14.7% −10.0% 262.7 39.40 −18.1% −13.8% Europe (NF) EUR mn JPY bn 12.9 2.18 1.9% −3.8 −0.70 5.9 1.08 2.1 0.38 0.3% −83.8% −82.6% 15.9 2.86 −86.9% −86.7% Asia JPY bn 0.10 0.8% −0.14 0.03 −0.11 −0.9% (–) 0.15 (–) Operating profit JPY bn 79.10 12.0% 29.33 42.67 72.00 [70.23] 10.6% −9.0% [−11.2%] 81.00 −11.1% Ordinary profit JPY bn 80.65 12.2% 30.53 43.47 74.00 [72.23] 10.9% −8.2% [−10.4%] 82.50 −10.3% Net profit attributable to owners of parent JPY bn 59.78 9.0% 22.14 22.86 45.00 [43.89] 6.6% −24.7% [−26.6%] 60.00 −25.0% Analysis of changes in operating profit (consolidated) YoY change −7.10 billion yen 79.10 −10.83 (−2.26) +1.77 (+0.22) −8.32 (−10.42) −6.47 (−3.43) 72.00 (81.00) 〉Initial forecasts were revised down due to sales volume decline and much more-than- expected cost increases despite steady price pass-through ● Profit expected to grow, even as we maintain initial forecast, as price pass-through offsets the impact of higher costs ● Second half profit expected to recover to a level similar to the previous year through improvement of plant operations. Full-year forecast revised to profit decline due to impact of slowdown in first half ● Initial forecast was revised to a profit decline due to heavy impact of cost increases +16.75 (+17.79) ● Initial forecast was revised to a loss due to poorer than expected performance by the eastern China business 07 FY2026 1H Consolidated Results Forex rate FY2025 Actual FY2026 Initial forecast FY2026 Revised forecast 1 USD 149.78 150.00 158.00 1 EUR 169.53 180.00 183.00 JPY bn (Initial forecast) * Due to intercompany elimination, values do not add up to consolidated result. * The upper figures in North America and Europe show results on a local currency basis. * Figures in square brackets ([ ]) are based on the FY2025 forex for comparison with the previous year in real terms. Medium-Term Management Plan 2027 Update FY2026 Consolidated Forecasts ● Extraordinary losses of 7.4 billion yen for full year including business restructuring expenses for group companies in Europe and Asia
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FY2026 First Half Consolidated Results FY2026 Consolidated Forecasts Sanwa Global Vision 2030 Medium-Term Management Plan 2027 Update
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FY2026 Consolidated Forecasts 01 Background and Key Points of Medium-Term Management Plan 2027 Update09 Key points of the update 1. Resetting business performance targets • Revise down consolidated operating profit target for FY2027 from 95.0 billion yen to 82.0–85.0 billion yen Expecting a major recovery compared with the 72.0 billion yen forecast revised in FY2026 to a record profit 2. Clarification of challenges and measures by business at present • Improve profitability of the overseas business through measures such as improvement of operation and cost restructuring in the North America business 3. Optimization of capital composition • Optimize capital composition using appropriate leverage while maintaining financial soundness • Aim for an ROE of 18% or more in the current Medium-Term Management Plan and 20% or more in the next plan 4. Enhancement of shareholder returns • Raise the dividend on equity (DOE) ratio to approximately 15% starting with the year-end dividend for FY2026 • Revise the scale of share buyback to a total of 100.0 billion yen, up approximately 60.0 billion yen in FY2027 from the initial plan of 40.0 billion yen In FY2022, the Sanwa Group launched its long-term management vision, Sanwa Global Vision 2030. During the first phase of the vision, from FY2022 to FY2024, the Medium-Term Management Plan 2024 progressed smoothly, driven by the North America and Japanese businesses. The Group is currently working on the second phase from FY2025 to FY2027 under the Medium-Term Management Plan 2027. As we move forward with the second phase, the financial performance of our regional businesses has varied amid changes in market conditions, resulting in deviations from the original plan. Against this backdrop, we have revised our management targets and formulated the Medium-Term Management Plan 2027 Update to enhance the effectiveness and transparency of our business strategies, capital policy, and governance and strengthen initiatives to sustainably increase corporate value. Medium-Term Management Plan 2027 UpdateFY2026 1H Consolidated Results
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02 Positioning of Medium-Term Management Plan 2027 Update 10 Strengthen and expand a foundation toward becoming a global leader in high-performance entrance solutions to meet the changing needs of society due to climate change and digitalization. Aim for an ROE of 18% or more through recovery of earning power and optimization of capital composition 2027 2030 Medium-Term Management Plan 2027 FY2025–FY2027 2022 Medium-Term Management Plan 2024 FY2022–FY2024 Establish a foundation toward becoming a global leader in high-performance entrance solutions to meet the changing needs of society due to climate change and digitalization. Operating profit 80.5 billion yen Operating profit margin 12.2% Previous Medium-Term Management Plan 1. Resetting business performance targets 2. Clarification of challenges and measures by business 3. Optimization of capital composition 4. Shareholder return enhancement Update: Strategy update considering changing environment Global Vision 2030 To be a Global Leader of Smart Entrance Solutions Become a corporate group valued by all stakeholders, globally providing high- performance entrance solutions to meet the changing needs of society due to climate change and digitalization, with enhanced sustainability management and investing in people. Aim for ROE of 20% or more Operating profit: 95.0 billion yen 82.0–85.0 billion yen 12.0% Operating margin: 12.7% 18% or moreROE: 17–19% FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update
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Revision of capital policy 03 Basic Strategies of Medium-Term Management Plan 2027 Update To be a Global Leader of Smart Entrance Solutions Strengthen and expand the foundation toward becoming a global leader in high-performance entrance solutions to meet the changing needs of society due to climate change and digitalization. Increase productivity and expand production capacity through digitalization and manufacturing innovation Strengthen and expand core businesses in Japan, North America, and Europe Expand business through disaster preparedness products, climate change response products, and smart products and services Enhance sustainability management and human capital management Grow Asian business with solid profits Digitalization Climate change A world with interest Multipolar society Human capital - focused management Basic policy for realizing the vision (continuing from Medium-Term Management Plan 2027) Basic Strategies 6 11 New FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update Updated Updated Updated Restructured Enhanced
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North America Europe Japan Total floor area for non- residential construction start New housing start Original MTMP 2027 Current Total floor area for non- residential construction start New housing start Investment in non- residential construction Investment in housing construction +1.0% +1.0% +1.2% −1.2% −6.6% −2.0% −12.9% +6.8% −2.2% +2.1% −5.8% −5.6% −4.1% −10.1% +4.8% +5.4% +1.3% +1.9% −3.6% +1.2% −1.3% +1.0% +0.0% +0.7% 04 Changes in Management Environment 12 • The housing market was expected to recover on the back of lower interest rates, but 30-year fixed mortgage rates remain high at above 7%. Both new and pre-owned housing markets have slowed significantly, and recovery is expected to take time • Non-residential construction starts continue to decline, particularly for warehouses and plants, pushing the recovery out to FY2027 Changes in Management Environment • The peak for large-scale urban development project completions was initially expected to fall in FY2025, but it is now anticipated to shift to FY2028 or later due to prolonged project periods caused by surging construction costs and labor shortage as well as due to some projects being discontinued • Supply chain disruptions and higher procurement costs amid escalating tensions in the Middle East • Rising costs across the board, including labor and energy • Housing markets in our major markets of Germany, France, and the U.K. have only just bottomed out in FY2026 • Uncertainty remains high due to the situations in Ukraine and the Middle East, and costs continue to rise across the board, including energy Growing uncertainties over the global economy due to heightening geopolitical risks and expanding protectionism Continued inflationary pressure is affecting market trends and cost structure, due to which the management environment, the base for the medium-term plan formulation, has significantly changed Data for each region was taken from materials published by organizations listed below and calculated by Sanwa. Japan: Ministry of Land, Infrastructure, Transport and Tourism and Research Institute of Construction and Economy The U.S.: Department of Commerce and Dodge Report Europe: Euroconstruct FY2025 FY2026 FY2025 FY2026 FY2025 FY2026 FY2025 FY2026 FY2025 FY2026 FY2025 FY2026 FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update
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Medium-Term Management Plan targets achieved ahead of schedule through price optimization and productivity improvement. We will strive to further strengthen earning power by expanding high-value- added products and service business 13 Significantly increase profit margins with price pass-throughs and strengthening of services ✓ Strengthen customer strategy Increased coverage by customer and promoted acquisition of new customers ✓ Strengthen supply system Sanwa Exterior Niigata Plant: Enhanced door production capacity Sanwa System Wall: Established the Kyushu Plant ✓ Make partition products a core business Expanded order intake for toilet booths, school partitions, etc. Countermeasures 〉Decline in volume of core products Declines in volume of core products such as heavy-duty shutters and steel doors due to delays and postponements of construction starts ➢ Order strategy focused on the balance between volume and price ➢ Increase high-performance products and capture upgrade demand 〉Cost increases Pressure on profits from inflation of various materials and rising labor costs ➢ Appropriate price strategy ・Maintain and raise profitability by continuing with price pass-through ・Address procurement risks on a cross-functional basis Operating profit margin trend ➢ Strategic points when Medium-Term Management Plan was formulated 〉Expansion of high-value-added products, business areas ・Expand high-value-added products incl. climate change-related products ➢ Expand high-value-added products for disaster prevention and mitigation and environment ・Expand sales of high-speed sheet shutters contributing to workplace environment improvement, etc. ・Further expand sales of waterproof products to address increasingly severe floods ➢ Expand façade and partition businesses through group collaboration FY2024(result) 12.3% FY2026(forecast) 13.3% FY2027 (forecast) Aim to exceed the MTMP target 〉Expansion of service business ・Establish recurring business model ➢ Further expand service business ・Service sales ratio of 20% or more ・Expand service business by growing the remote monitoring system (RemoSmaPro) and proposing preventive maintenance and labor-saving solutions FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update 05 Basic Strategy (1): Challenges and issues at present Strengthen and Expand Core Businesses in Japan, North America, and Europe (Japanese Business)
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FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update 05 Basic Strategy (1): Improve earning power through market share recovery and a profit structure reform project 14 ➢ Strategic points when Medium-Term Management Plan was formulated ✓ Expand sales through strengthening channels and demand creation measures Increase in agents and distributors ✓ Improve profitability through manufacturing reforms Consolidated three plants, made automation investment ✓ Expand business domain Expanded dock products and automatic door service business ✓ Complete ERP introduction Introduced one by one at all door business plants Challenges and issues at present Countermeasures 〉Disruption in manufacturing operations ・Lead times worsened due to disruption in manufacturing operations accompanying the transition of the production setup through plant consolidation and ERP implementation ➢ Improve delivery times and service quality, and drive production efficiency ・Temporary factors behind the deterioration have subsided; advancing capital investment to optimize and automate production lines ・ERP implementation scheduled for completion in 2028 〉Cost competitiveness ・Worsening productivity due to volume decline 〉Decline in sales volume ・Volume decline amid the housing market slowdown ・Impact of disruption in manufacturing operations ➢ Initiatives to recapture market share ・Strengthen joint sales of doors and operators ・Expand solution selling to commercial door customers ・Strengthen price strategy ・Accelerate growth of the automatic door business through M&A Aim for operating profit margin of over 20% in FY2027 FY2024(result) 16.9% FY2026(forecast) 13.8% FY2027 (forecast) Shift toward a recovery trend ➢ Launch of the profit structure reform project ・Leverage external expertise to pursue and deliver improvements through manufacturing, procurement, and transportation reforms ・Further reduce SG&A expenses and rationalize the product lineup ・Expect an impact of $40 to $50 million in FY2027, with initiatives continuing in FY2028 and beyond Operating profit margin trend Strengthen and Expand Core Businesses in Japan, North America, and Europe (North American Business)
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Restore earning power through structural reform of low-profitability businesses and expansion of the industrial door and maintenance/service business 15 ➢ Strategic points when Medium-Term Management Plan was formulated ✓ Expand industrial door business by increasing market coverage Expanded product groups, strengthened efforts in low-market share regions ✓ Strengthen service business Implemented field service ✓ Promote manufacturing and business reforms through digitalization Production planning system, Manufacturing Execution System 〉Delay in post-acquisition improvement of management efficiency Delays in post-acquisition integration work in various regions ➢ Structural reform of low-profitability businesses ・UK garage door business expected to recover in FY2027 through various structural reforms ・Business structural reform under way in the Nordic hinged door business 〉Management inefficiency due to market segmentation Inefficient management caused by having operating companies in each European country 〉Deterioration of German operations Profitability worsened due to volume decline caused by the market slowdown and deteriorating operations ➢ Improve profitability of the German business ・Improve profitability at an early stage by implementing sales strengthening measures for each channel (direct sales and dealer business) ・Stabilize plant operations through lead time improvement, etc. Aim for return to pre-COVID-19 level of operating profit margin FY2024(result) 3.0% FY2026(forecast) 0.3% FY2027 (forecast) Shifting from bottoming to recovery ➢ Strengthen collaboration among regions and operating companies ・Expand market segments by strengthening group collaboration, such as increasing order opportunities for large-scale projects such as data centers and for key customers ・Strengthen the industrial door and maintenance/service businesses in an integrated manner FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update 05 Basic Strategy (1): Challenges and issues at present Countermeasures Operating profit margin trend Strengthen and Expand Core Businesses in Japan, North America, and Europe (European Business)
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05 Basic Strategy (2): 16 Pursue structural reform of the East China business and shift to a growth strategy centered on East Asia and ASEAN Measures taken so far • Enhanced initiatives for manufacture and sales of doors and shutters • Expanded channels and increased products in response to robust IT investment • Improved efficiency of sales, manufacturing, and administrative systems of the three Hong Kong companies Eastern China Taiwan Hong Kong • Improved management of the Vietnamese business • Enhanced the business foundation of the ASEAN region including Indonesia and Thailand ASEAN • Maintain and enhance earning power by addressing shrinking market and intensifying competition • Expand scope of consolidation • Accelerate growth centered on ASEAN Future growth strategy • Production capacity enhancement in progress • Accelerate growth by enhancing sales channels • Rebuild the earnings base through sweeping business structure reforms Market environment • Prolonged decline in demand due to slowdown in Chinese economy • Continued economic growth driven by IT investment • Shrinking construction market and intensifying competition • Strong performance owing to plant relocation mainly in manufacturing industry and investments in infrastructure FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update Grow Asian Business with Solid Profits
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FY2024 Results FY2025 Results FY2027 Targets Disaster preparedness products 81.1 83.0 93.0 Climate change adaption products 26.1 27.9 29.0 Climate change mitigation products 106.2 107.9 122.0 Total of products for disaster preparedness and climate change response 213.3 218.8 244.0 Smart products and services 13.0 16.2 18.0 17 AdaptionDisaster preparedness Mitigation Water Guard Waterproof Shutter (Sanwa Shutter) 〉Expanded sales of WindStorm series, designed to withstand strong winds and certified under the building code standards of Florida, a hurricane-prone region, to the coastal areas 〉Orders for waterproof products increased on the back of rising demand due to flood damages caused by large typhoons and torrential rains 〉An expanded design range enables use of waterproof shutters across a wide range of applications Wind-resistant residential garage door WindStorm Model 7565 Series (ODC) 〉Enhanced the line-up of doors certified as specified fire prevention equipment by the Minister of the MLIT with heat-shield function and added windows Enhancing smart products 〉Launched RemoSmaPro, IoT- based shutter management service, across the nation 〉Enhanced IoT-compatible shutter product lineup 〉Smartification of garage doors gaining traction in North America and Europe Specified fire prevention equipment FIREARD V with heat-resistant tempered glass (Sanwa Shutter) Forex rate FY2024 Actual FY2025 Actual FY2027 Forecast 1 USD 152.24 149.78 155.00 1 EUR 164.36 169.53 180.00 Solving social issues through our core business operations 05 Basic Strategy (3): IoT management system RemoSmaPro (Sanwa Shutter) Measures taken so far JPY bn Fire resistance Energy savings Wind resistance Waterproofing Enhancing smart products Mitigation Adaption Adaption IoT Disaster preparedness Re-carbo series Heat Insulation Quick Saver TR (Sanwa Shutter) Order intake for other shutters FY2026 1H +10.2% YoY 〉Introduced to the market the “YAG Door green flag,” a heavy-duty steel door made with low-CO2 GX steel YAG Door green flag, a heavy-duty steel door (Sanwa Shutter) 〉Enhanced proposals to improve workplace environment of plants using high-speed sheet- type shutters and proposals for refrigerated and frozen warehouses using overhead doors with heat insulation Sanwa’s waterproof shutter Water Guard Taifu Guard FY2026 1H Consolidated Results Medium-Term Management Plan 2027 UpdateFY2026 Consolidated Forecasts Expand business through disaster preparedness products, climate change response products, and smart products and services
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18 Measures taken so far Future growth strategy Europe North America Japan Japan Europe North America Increase productivity by expanding production capacity and optimizing the manufacturing network • Promoted digitization through introduction of advanced planning and scheduling system (APS) and MES • Promoted digitalization of service process with customers • Introduced ERP at mainstay Mount Hope Plant • Introduction of ERP underway at Pensacola Plant • Introduced ERP at sales centers • Promoted automation of industrial doors in Italy • Introduced automated production line at hinge door factory • Expanded steel door production capacity for completion timings of major projects • Expanded production bases through in-house production of toilet booths • Promoted labor-saving measures with introduction of automated facilities • Closed three plants and carried out integration for factory optimization • Introduced a new coating line at the automatic door plant in Mexico • Promoted automation of door production lines Promotion of digitalization of business processes • Further improve operational efficiency by expanding introduction of APS and MES • Optimize through integration of IT foundation • Complete ERP introduction at all plants • Improve productivity by further bolstering digital function • Promote efficiency through production management system • Further increase steel door and partition production capacity • Strengthen and expand automated production line for further improving production capacity • Continue to invest in automated lines for door products and operators to improve productivity • Rebuild production network for plant optimization 05 Basic Strategy (4): Increase productivity and expand production capacity through digitalization and manufacturing innovation Steadily implement capital and IT investment and promote optimization of production structure and operational efficiency Steadily implement, as initially planned, capital investments of 50 billion yen in total (capital investment of 40 billion yen and IT investment of 10 billion yen) under the Medium-term Management Plan 2027 FY2026 1H Consolidated Results • Improved customer management accuracy through a customer management system • Improved productivity through a production management system • Streamlined ordering, delivery, and drawing submission leveraging IoT Medium-Term Management Plan 2027 Update FY2026 Consolidated Forecasts
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19 Bolstered initiatives to contribute to sustainable, resilient communities 05 Basic Strategy (5): Management foundation Manufacturing Solve Social Issues Through Our Business Environment Achieve Environmental Sustainability People Corporate governance Respect for human rights Compliance +Compliance with sustainability information disclosure rules (SSBJ, CSRD) Create a Pleasant and Rewarding Work Environment Mitigate/adapt to climate change, prepare for disaster loss through products and services Quality assurance and enhancement Initiatives toward a decarbonized society Water resource conservation Waste reduction Promotion of diversity Human capital development Health and safety 〉CO2 emission (Scope 1 and 2) reduction target of 30% Reduced 16.9% 〉Water use reduction target of 30% Reduced 25.6% 〉Waste generation reduction target of 60% Reduced 60.6% (All above targets are for FY2030 Result for FY2025) 〉CDP2025 Climate Change Sector “A List” 〉Improved employee working environment 〉Conducted engagement survey 〉Expanded employee stock ownership association (granted shares and raised incentive rate) 〉Improved employee awareness through introduction of RS system for executives 〉Accelerated sales of waterproof, windproof, and other products addressing the intensifying climate change and those contributing to disaster prevention 〉Contributed to solving social issues through products and maintenance services leveraging IoT 〉Conducted a third-party evaluation of effectiveness of the Board 〉Appointed foreigners and women as directors to improve the Board’s diversity 〉Started discussions on succession plan 〉Increased the number of Nomination and Compensation Committee meetings 〉Ensured safety of IT systems 〉Formulated Sanwa Group Human Rights Policy 〉Implemented human rights due diligence 〉Strengthened compliance training using Sanwa Group Compliance Code of Conduct and Antitrust Law Guidebook Measures taken so far FY2026 1H Consolidated Results Medium-Term Management Plan 2027 Update FY2026 Consolidated Forecasts Enhance sustainability management and human capital management
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20 Comprehensively consider future CF, growth investment opportunities, and financial resilience to set capital efficiency target • Taking into consideration future free cash flow and business risks, we will examine a capital composition that enables us to secure growth investment capacity and debt repayment capacity • Utilize adequate financial leverage while maintaining financial soundness and continuously direct surplus funds to shareholder returns to optimize capital composition • With this capital policy revision, we will maintain shareholders’ equity ratio of about 50%, positioning this level as a guide for optimal capital composition Profit growth × Optimization of capital composition Forecast future FCF Consider financial capacity to be retained Distribute surplus capital flexibly Optimize capital composition Current medium-term plan ROE 18% or more あ Next medium-term plan Aim for ROE 20% or more FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update Structural reforms of individual businesses Improve profitability Improve FCF generation capability by FY2030 Strengthen earning power 05 Basic Strategy (6): Revision of Capital Policy (1/3) Further advancing management focused on the cost of capital to accelerate improvements in capital efficiency. • We will improve profitability by implementing the following: ✓ Japan: Continue with price optimization and productivity improvement while expanding high-value-added products and services ✓ North America: Improve earning power through market share recovery and a profit structure reform project ✓ Europe: Restructuring low-profitability businesses and expanding service operations. ✓ Asia: Restructuring operations in East China and shifting toward a growth strategy centered on East Asia and the ASEAN region Since fiscal year 2001, the company has practiced management mindful of the cost of capital—notably by introducing SVA (our proprietary metric, similar to EVA). Simultaneously, we have actively pursued growth investments, such as M&A and capital expenditures, while maintaining high capital efficiency and financial soundness. ・Japan: Ongoing initiatives to differentiate products and services, increase their added value, and strengthen maintenance and service offerings. ・Americas: Expanding market share in the housing sector through M&A, while continuing to implement pricing strategies and cost-reduction measures. Mid-term Management Plan 2024 Operating profit margin: Over 12% ROE: 15% or higher (annually)
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20.0 20.0 20.0 60.0 17.1 22.9 27.4 34.8 352 12.8 21 Trend in dividends per share (yen) Trend in total shareholder returns (billion yen) Share buyback Dividend 05 Basic Strategy (6): Revision of Capital Policy (2/3) To further enhance corporate value, elevate shareholder returns to a new level by increasing the dividend policy target to a DOE of 15%, expanding share repurchases, and growing total shareholder returns to approximately JPY 200 billion. 25 29 47 62 7333 49 59 68 96 FY2022 FY2023 FY2024 FY2025 FY2026 (forecast) FY2027 (forecast) 58 78 106 130 169 Top (year-end) Bottom (interim) FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update FY2022 5.0 FY2023 FY2024 FY2025 FY2026 (forecast) FY2027 (forecast) 22.1 42.9 47.4 54.8 ・Mid-Term Management Plan 2024: Dividend Payout Ratio Target of 40% ・FY2025: DOE Target of 8% (equivalent to an ROE of 18% and a payout ratio of 45%) ・FY2026: DOE Target of 10% Evolution of Dividend Policy ◆Effective from the FY2026 year-end dividend, raise the target to a DOE (Dividend on Equity) of 15%. *The FY2026 year-end dividend will reflect a half-year DOE of 7.5%, including a commemorative dividend of JPY 7 per share. Expected to increase by JPY 23 per share from the initial forecast. Trends in Share Buybacks ・Mid-Term Management Plan 2024: JPY 25.0 billion (cumulative over three years) ・FY2025: JPY 20.0 billion ・FY2026: JPY 20.0 billion * Dividend amounts and share repurchase amounts are based on resolutions. Initial Mid-Term Management Plan 2027 Revised Mid-Term Management Plan 2027 (Indicative) Total Dividends: JPY 85.0 billion Total Dividends: JPY 100.0 billion Share Buybacks: JPY 40.0 billion Share Buybacks: JPY 100.0 billion Total Shareholder Returns: JPY 125.0 billion Total Shareholder Returns: JPY 200.0 billion ◆ Target share repurchases of approximately JPY 60.0 billion in FY2027 and approximately JPY 100.0 billion cumulatively over the three-year period of Mid-Term Management Plan 2027.
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22 CF from operating activities Initial plan: Approx. 210.0 billion yen ⇓ Approx. 200.0 billion yen Utilize leverage, surplus cash Inflows Growth investment Shareholder returns M&A investment 50.0 billion yen Capital investments, IT/digital investments 50.0 billion yen Dividends Initial plan: 85.0 billion yen ⇓ Approx. 93.0 billion yen Share buybacks Initial plan: 40.0 billion yen ⇓ Approx. 100.0 billion yen Outflows (Cash allocation in the MTMP period) FY2025 Approx. 0.5 billion yen Approx. 14.2 billion yen FY2026 FY2027 Implement flexible strategic M&As *Investment utilizing interest- bearing debt 15.0 billion yen 20.0 billion yen (Plan to allocate 50.0 billion yen during the Medium-Term Management Plan period and steadily implement it) Approx. 26.0 billion yen Set DOE at 15% from the end of FY2026, and plan to allocate approx. 67.0 billion yen to shareholder returns in the two years of FY2026 and FY2027 (Dividend amounts are on a payment basis.) Approx. 20.0 billion yen 1H: 10.0 billion yen 2H: 10.0 billion yen Implement to the tune of an additional 60.0 billion yen for achieving ROE of 18% Implemented Planned 05 Basic Strategy (6): Revision of Capital Policy (3/3) Steadily implement growth investment and expand shareholder returns utilizing cash flow from operating activities and interest-bearing debt FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update 6.0 billion yen
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ROIC 2306 Direction of Future Growth Improve corporate value by raising capital efficiency through profitability improvement and market expansion in each region North America Japan Europe Asia Business scale WACC (7%) ➢ Cash & Stability ・Expand sales by increasing volume of core and strategic products ・Strengthen profitability with climate change related products and through expansion maintenance service business ・ Enhance profitability through productivity improvements ➢ Future Platform ・Rebuilding the earnings base through business structure reform ・Transition to growth centered on East Asia and ASEAN ・Expansion into new geographic markets ➢ Margin Expansion ・Integrated strengthening of industrial door and maintenance/service businesses ・Market share expansion through M&A ・Enhance profitability through stronger cross-country business collaboration ➢ Growth Driver ・Business expansion and earnings growth through market share recovery ・Diversification of product portfolio and sales channels ・Manufacturing optimization following ERP implementation ・Profitability enhancement through profit structure reform Investment and financial strategies Business strategies and company- wide policy FY2026 1H Consolidated Results FY2026 Consolidated Forecasts Medium-Term Management Plan 2027 Update Rebuilding the Capital Policy ・Maintain a target equity ratio in the 50% range ・Optimize the capital structure ・Achieve ROE of 20% or higher under the next Medium-Term Management Plan • Strengthen core businesses and expand business domains, including maintenance and service operations • Drive growth through disaster-resilient, eco- friendly, and smart products and services • Expand product portfolios and geographic reach through strategic M&A • Enhance productivity and capacity through digital transformation and manufacturing innovation Sanwa Global Vision 2030 — To be a Global Leader of Smart Entrance Solutions — Achieve Medium - Term Management Plan targets Operating profit:82.0 – 85.0 billion yen Governance Sustainability and Human Capital Management ・Invest in human capital as the foundation for sustainable growth ・Strengthen Board effectiveness and governance
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Appendix
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25 Appendix 01 Outline of Consolidated Results by Sector JPY in millions, % 1H 2H Full Year 2H Full Year Profit margin Y/Y Profit margin Y/Y Profit margin Y/Y Initial Forecast Profit margin Y/Y Forecast Profit margin Y/Y Initial Forecast Forecast Profit margin Y/Y Net Sales 309,232 (-1.5) 351,479 (0.8) 660,712 (-0.3) 313,500 317,387 (2.6) 359,612 (2.3) 677,000 677,000 (2.5) [305,706] [301,294] [-2.6] [352,916] [0.4] [669,405] [654,211] [-1.0] Japan 132,657 (1.7) 158,678 (0.9) 291,335 (1.3) 137,028 135,444 (2.1) 159,147 (0.3) 294,592 294,592 (1.1) NA (ODC) 115,694 (-2.8) 126,162 (-0.3) 241,856 (-1.5) 112,062 115,528 (-0.1) 130,681 (3.6) 244,224 246,210 (1.8) Europe(NF) 55,293 (-4.4) 59,729 (5.7) 115,023 (0.6) 58,614 61,569 (11.4) 62,242 (4.2) 124,401 123,812 (7.6) Asia 5,849 (-14.8) 7,156 (-15.7) 13,006 (-15.3) 6,068 5,083 (-13.1) 6,862 (-4.1) 14,339 11,946 (-8.2) Operating Profit 33,695 10.9 (4.3) 45,400 12.9 (-5.8) 79,095 12.0 (-1.8) 30,200 29,332 9.2 (-12.9) 42,667 11.9 (-6.0) 81,000 72,000 10.6 (-9.0) [29,915] [28,400] [-15.7] [41,830] [-7.9] [80,775] [70,231] [-11.2] Japan 14,391 10.8 (16.7) 24,676 15.6 (6.8) 39,067 13.4 (10.2) 14,986 15,554 11.5 (8.1) 23,545 14.8 (-2.7) 39,100 39,100 13.3 (0.1) NA(ODC) 18,459 16.0 (-5.8) 19,295 15.3 (-11.9) 37,754 15.6 (-9.0) 15,513 14,680 12.7 (-20.5) 19,297 14.8 （－） 39,398 33,978 13.8 (-10.0) Europe(NF) 909 1.6 (6.8) 1,268 2.1 (-50.3) 2,178 1.9 (-36.0) 262 -699 -1.1 （－） 1,079 1.7 (-44.9) 2,860 380 0.3 (-82.6) Asia -119 -2.0 （－） 221 3.1 (-5.0) 101 0.8 (-72.8) -130 -144 -2.8 （－） 33 0.5 (-84.9) 148 -111 -0.9 （－） Ordinary Profit 34,500 11.2 (0.9) 46,146 13.1 (-7.4) 80,647 12.2 (-4.0) 31,100 30,527 9.6 (-11.5) 43,472 12.1 (-5.8) 82,500 74,000 10.9 (-8.2) [30,848] [29,595] [-14.2] [42,635] [-7.6] [82,330] [72,230] [-10.4] 26,451 8.6 (11.3) 33,325 9.5 (-1.2) 59,776 9.0 (3.9) 22,900 22,142 7.0 (-16.3) 22,857 6.4 (-31.4) 60,000 45,000 6.6 (-24.7) [22,732] [21,470] [-18.8] [22,421] [-32.7] [59,914] [43,891] [-26.6] <Local Currency> $ in thousands, € in thousands, _% 1H 2H Full Year Full Year Profit margin Y/Y Profit margin Y/Y Profit margin Y/Y Initial Forecast Profit margin Y/Y Forecast Profit margin Y/Y Initial Forecast Forecast Profit margin Y/Y NA (ODC) 784,473 (1.6) 830,271 (-1.2) 1,614,745 (0.1) 747,080 728,471 (-7.1) 829,822 (-0.1) 1,628,164 1,558,294 (-3.5) Europe (NF) 340,811 (-2.1) 337,671 (-2.9) 678,482 (-2.5) 325,638 333,112 (-2.3) 343,456 (1.7) 691,117 676,569 (-0.3) NA (ODC) 125,165 16.0 (-1.6) 126,901 15.3 (-12.7) 252,067 15.6 (-7.5) 103,421 92,571 12.7 (-26.0) 122,480 14.8 (-3.5) 262,656 215,051 13.8 (-14.7) Europe (NF) 5,608 1.6 (9.3) 7,241 2.1 (-53.6) 12,850 1.9 (-38.0) 1,456 -3,783 -1.1 （－） 5,860 1.7 (-19.1) 15,889 2,077 0.3 (-83.8) 1. Figures of [ ] in FY2026/2025 is assumed forex ratio same as FY2025/2024. FY2025 FY2026 2. Figures are rounded off. (+) is for increase, (-) is for decrease. FY 1H 3. Forex rate is term average. USD 149.78 158.59 4. NA refers to North America. EUR 169.53 184.83 5. Figures by entities are before consolidation adjustment and do not add up to total. 183.00169.53 FY2025 FY2026(F) 2H1H 158.00149.78 FY2025 FY(F)1H FY2026(F) 1H Forex Rate assumed forex rate same as the previous year assumed forex rate same as the previous year assumed forex rate same as the previous year Profit attributable to owners of parent assumed forex rate same as the previous year Sales Profit
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26 02 Order Intake & Net Sales by Products (Japan) Appendix (JPY in millions, ％) 1H 2H 1H 2H(F) Order Intake Sales % to total Order Intake Sales % to total Order Intake % to total Sales % to total Order Intake Sales % to total Order Intake Sales % to total Order Intake % to total Sales % to total (-1.8) (0.8) (1.6) (-0.8) (-0.1) (-0.0) (4.3) (3.6) (4.1) (5.9) (4.2) (4.8) 13,497 13,328 10.0 13,637 13,678 8.6 27,135 8.9 27,007 9.3 14,074 13,803 10.2 14,202 14,487 9.1 28,276 8.8 28,291 9.6 (0.9) (-1.8) (-10.3) (-9.0) (-4.9) (-5.8) (-9.2) (-12.9) (2.5) (-7.3) (-3.5) (-9.9) 19,427 17,476 13.2 18,767 19,451 12.3 38,195 12.5 36,928 12.7 17,645 15,220 11.2 19,231 18,034 11.3 36,876 11.4 33,255 11.3 (18.7) (11.7) (17.5) (16.1) (18.1) (14.1) (10.2) (10.9) (5.6) (7.1) (7.8) (8.8) 14,947 13,087 9.9 16,354 15,874 10.0 31,302 10.3 28,962 9.9 16,468 14,510 10.7 17,276 16,999 10.7 33,745 10.5 31,509 10.7 (4.8) (-6.7) (6.4) (-0.7) (5.6) (-3.4) (9.4) (1.3) (3.7) (-2.5) (6.5) (-0.8) 35,652 28,667 21.6 38,027 37,029 23.3 73,680 24.2 65,697 22.6 39,016 29,044 21.4 39,445 36,112 22.7 78,462 24.4 65,156 22.1 (9.8) (2.8) (-13.5) (5.3) (-2.0) (4.3) (4.1) (4.1) (22.6) (-2.6) (12.4) (0.1) 10,527 7,357 5.5 8,490 11,210 7.1 19,017 6.2 18,567 6.4 10,961 7,659 5.7 10,413 10,920 6.9 21,374 6.6 18,579 6.3 (6.2) (6.0) (1.6) (-7.8) (3.9) (-1.9) (4.8) (7.3) (10.3) (-0.8) (7.5) (3.0) 20,722 18,213 13.7 20,146 20,857 13.1 40,869 13.4 39,070 13.4 21,715 19,540 14.4 22,230 20,686 13.0 43,946 13.6 40,227 13.7 (1.1) (3.2) (-5.3) (-3.0) (-2.1) (0.1) (-3.6) (-4.1) (1.8) (2.6) (-1.0) (-0.8) 7,940 7,880 5.9 7,449 7,632 4.8 15,390 5.0 15,512 5.3 7,653 7,555 5.6 7,585 7,832 4.9 15,238 4.7 15,387 5.2 (6.9) (10.1) (5.4) (4.9) (6.2) (7.2) (6.4) (4.1) (7.6) (9.2) (7.0) (6.8) 28,642 26,006 19.6 28,025 30,342 19.1 56,668 18.6 56,349 19.3 30,483 27,071 20.0 30,143 33,130 20.8 60,626 18.8 60,202 20.4 (-56.3) (-52.5) (79.4) (144.0) (3.4) (34.3) (230.3) (62.5) (-30.0) (-63.7) (31.6) (-38.8) 657 640 0.5 2,123 2,600 1.6 2,781 0.9 3,240 1.1 2,172 1,040 0.8 1,487 942 0.6 3,659 1.1 1,983 0.7 (4.9) (1.7) (2.5) (0.9) (3.7) (1.3) (5.4) (2.1) (5.9) (0.3) (5.6) (1.1) 152,016 132,657 100.0 153,023 158,678 100.0 305,040 100.0 291,335 100.0 160,192 135,444 100.0 162,015 159,147 100.0 322,208 100.0 294,592 100.0 1. ( )= % year on year 2.Outstanding order backlog - Backlog of orders including orders worked-in-process. 3.“Other Shutters” include OSD, QS, and waterproof-related products. Lightweight shutters Heavy-duty shutters Other shutters Condominiums doors Partitions Commercial buildings/ Entrance Others the end of Sep. 2025 the end of Mar. 2026 Y/Y Total Outstanding Order Backlog FY2025 FY2026 Full Year Full Year(F) 150,332 144,655 13,071 169,125 171,993 the end of Sep. 2026 the end of Mar. 2027(F) Y/Y(F) 27,339 Housing-related products Maintenance & repair
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27 03 1. ( ) = Year-on-year % change 2. Figures in 【 】 indicate the composition ratio of vehicular access by use 3. Previous “Door” ”Operator” ”Automatic Door” are now “Vehicular Access” ”Electronic & Perimeter Access Control” ”Pedestrian Access” respectively 1. ( ) = Year-on-year % change North America & Europe: Net Sales by products (ODC, NF) Appendix American Performance $ in thousands, _% FY2025 FY2026 H1 H2 Full Year H1 (Actual) H2 (Fcst) Full Year (Fcst) % of total % of total % of total % of total % of total % of total (-1.9) (-4.9) (-3.4) (-14.8) (-3.1) (-8.9) 552,199 70.4 565,541 68.1 1,117,741 69.2 470,422 64.6 548,221 66.1 1,018,644 65.4 (-4.1) (-6.0) (-5.0) (-14.7) (-4.8) (-9.7) Residential 276,450 【50.1】 283,724 【50.2】 560,174 【50.1】 235,703 【50.1】 270,233 【49.3】 505,937 【49.7】 (0.5) (-3.7) (-1.7) (-14.9) (-1.4) (-8.0) Commercial 275,749 【49.9】 281,817 【49.8】 557,566 【49.9】 234,719 【49.9】 277,986 【50.7】 512,705 【50.3】 (8.3) (3.2) (5.6) (11.0) (5.3) (8.0) 157,719 20.1 175,188 21.1 332,908 20.6 175,048 24.0 184,557 22.2 359,606 23.1 (16.3) (17.8) (17.1) (11.3) (8.4) (9.7) 74,554 9.5 89,541 10.8 164,096 10.2 83,000 11.4 97,043 11.7 180,044 11.6 (1.6) (-1.2) (0.1) (-7.1) (-0.1) (-3.5) 784,473 100.0 830,271 100.0 1,614,745 100.0 728,471 100.0 829,822 100.0 1,558,294 100.0Net Sales Vehicular Access Electronic Access Control Pedestrian Access European Performance € in thousands, _% FY2025 FY2026 Q1 H1 Full Year 1Q (Actual) H1 (Fcst) Full Year (Fcst) % of total % of total % of total % of total % of total % of total (2.0) (-0.4) (0.7) (-0.1) (0.9) (0.4) 106,272 31.2 109,373 32.4 215,646 31.8 106,211 31.9 110,365 32.1 216,577 32.0 (-6.6) (-0.9) (-3.9) (-5.7) (-0.8) (-3.3) 64,588 19.0 60,913 18.0 125,502 18.5 60,921 18.3 60,425 17.6 121,346 17.9 (-3.6) (-4.7) (-4.2) (-4.3) (0.9) (-1.7) 120,040 35.2 119,219 35.3 239,261 35.3 114,821 34.5 120,324 35.0 235,145 34.8 (-0.6) (-5.9) (-3.3) (2.5) (8.7) (5.5) 49,909 14.6 48,163 14.3 98,073 14.5 51,158 15.4 52,341 15.2 103,500 15.3 (-2.1) (-2.9) (-2.5) (-2.3) (1.7) (-0.3) 340,811 100.0 337,671 100.0 678,482 100.0 333,112 100.0 343,456 100.0 676,569 100.0Net Sales Hinged Door Garage Door Industrial Door Maintenance Service
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28 04 Key Figures & Ratios Appendix (JPY in millions, %) FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2025 FY2026 Forecast Net Sales (JPY mn) 385,673 409,990 440,161 427,061 468,956 588,159 611,107 662,380 660,712 677,000 Operating profit (JPY mn) 28,322 31,593 34,217 33,077 35,487 56,307 65,360 80,515 79,095 72,000 Net profit attributable to owners of parent (JPY mn) 18,280 20,910 21,647 21,251 22,842 33,084 43,228 57,512 59,776 45,000 Operating profit margin （％） 7.3% 7.7% 7.8% 7.7% 7.6% 9.6% 10.7% 12.2% 12.0% 10.6% SVA (Sanwa Value Added) *1. 2. (JPY mn) 9,026 12,693 13,974 13,609 14,784 26,906 32,184 41,840 38,043 32,300 ROIC: NOPAT/Invested capital *3. （％） 8.4% 10.2% 10.5% 9.6% 10.0% 15.1% 16.1% 18.5% 17.3% 15.9% ROE: Net income/Net assets (average of beginning and end of period) （％） 12.7% 13.5% 13.3% 12.4% 12.0% 15.0% 16.5% 19.0% 17.8% 13.0% Shareholders' equity ratio (term end) （％） 45.2% 47.4% 46.3% 47.9% 52.2% 54.4% 57.7% 60.2% 63.6% 64.6% Debt-to-equity ratio (times) 0.44 0.38 0.38 0.36 0.23 0.20 0.16 0.14 0.13 0.09 Earnings per share (EPS) (JPY) 81.0 93.0 97.1 96.2 103.4 149.7 196.0 264.6 281.6 216.8 Dividend per share (JPY) 30 32 34 34 36 58 78 106 130 169 Price book-value ratio (PBR)(term end) (times) 2.1 1.8 1.1 1.8 1.4 1.3 2.1 3.2 2.1 ー Price Earnings Ratio (PER) (term end) (times) 17.0 14.2 8.7 15.1 12.0 9.5 13.7 18.0 12.6 － *1.SVA refers to Sanwa's original indicator, based on EVA concept *2.The invested capital used in the Company's SVA has been calculated by subtracting cash and cash equivalents and investment securities from shareholders' equity and interest-bearing debt *3.The invested capital used in the Company's ROIC is calculated using shareholders' equity and interest-bearing debt. Past figures have also been revised in the same way. *4.The dividend for FY2026 of ¥146 includes a commemorative dividend of ¥14.
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Capital Expenditure & Depreciation06 Appendix 29 <Capital Expenditures and Depreciation on a Consolidated Basis> (JPY in millions) 1H Full Year 1H Full Year 1H Full Year(F) Japan 2,498 4,274 2,130 4,337 1,814 3,715 Forex Rate 154.06 152.24 147.48 149.78 158.59 158.00 ($ in thousands) ($21,759) ($44,683) ($20,062) ($41,703) ($22,156) ($42,139) North AMerica(ODC) 3,352 6,802 2,958 6,246 3,513 6,658 Forex Rate 166.12 164.36 162.24 169.53 184.83 183.00 (€ in thousands) (€10,819) (€23,351) (€7,358) (€20,887) (€10,601) (€24,218) Europe (NF) 1,797 3,837 1,193 3,541 1,959 4,432 297 741 60 108 26 115 Japan 1,589 3,420 1,644 3,499 1,704 3,774 ($16,812) ($36,585) ($18,112) ($36,375) ($18,261) ($38,394) North America(ODC) 2,590 5,569 2,671 5,448 2,896 6,066 (€15,094) (€30,766) (€16,354) (€32,521) (€15,889) (€32,191) Europe (NF) 2,507 5,056 2,653 5,513 2,936 5,891 169 336 130 273 137 268 1,333 1,802 397 818 461 1,055 Asia Amortization of good will 14,920 Asia Depreciation 7,945 15,656 6,343 7,496 15,553 8,136 17,0558,189 16,186 FY2026 Capital Expenditure FY2024 FY2025 14,233 7,314
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August 2026 Launched FIREARD V, specified fire prevention equipment, fitted with heat resistant tempered glass August 2026 Acquired the business of Motion Access, LLC to strengthen the automatic door service business in North America September 2026 Installed solar power generation system at the Test Center in the Ota Door Plant Shatter-proof film can be affixed on the fire- resistant glass to further improve safety Contributes to energy- saving by containing the heat dissipated by servers to improve cooling efficiency! Labor-saving and enhanced operation through remote management of entrances September 2026 Launched high heat-insulating garage door EUGA NEO Panels made by Novoferm, a European group company, enables high heat insulation! 07 Appendix Topics 30 June 2026 Nationwide launch of RemoSmaPro July 2026 Launched aluminum partition AP-3 DC for datacenters August 2026 Lightweight motorized steel apartment door “Autoa” won the 20th Kids Design Award November 2026 To grant shares to the employee stock ownership association and to raise incentive rate to a maximum of 30%
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08 THE INCLUSION OF Sanwa Holdings Corporation IN ANY MSCI INDEX, AND THE USE OF MSCI LOGOS, TRADEMARKS, SERVICE MARKS OR INDEX NAMES HEREIN, DO NOT CONSTITUTE A SPONSORSHIP, ENDORSEMENT OR PROMOTION OF Sanwa Holdings Corporation BY MSCI OR ANY OF ITS AFFILIATES. THE MSCI INDEXES ARE THE EXCLUSIVE PROPERTY OF MSCI. MSCI AND THE MSCI INDEX NAMES AND LOGOS ARE TRADEMARKS OR SERVICE MARKS OF MSCI OR ITS AFFILIATES. Appendix External Evaluations and Recognition The Sanwa Group's sustainability initiatives, disclosure practices, and financial strength have been recognized by external organizations through inclusion in domestic and international ESG indices, as well as various awards, certifications, and credit ratings. 31 Inclusion in ESG Indices Awards and Ratings Issuer Credit Ratings FTSE4Good Index Series FTSE JPX Blossom Japan Sector Relative Index S&P／JPX Carbon Efficient Index CDP Climate Change A List 2025 2025 NIKKEI SDGS Management Survey ★3 Daiwa Investor Relation 2025 Internet IR Award Commendation Award Nikko Investor Relations 2025 All Japanese Listed Companies’ Website Ranking in All and Sector [AAA Rating] FTSE JPX Blossom Japan Index SOMPO Sustainability Index Japan Credit Rating Agency, Ltd. (JCR) AA－（ Stable ） Gomez IR Site Ranking 2025 by BroadBand Security, Inc. [Gold Prize] ranking 18th CDP Supplier Engagement Leader 2025 Rating & Investment Information, Inc (R&I) A＋（ Stable ） METI DX Certification MSCI Nihonkabu ESG Select Leaders Index Gomez ESG Web Awards 2026 by BroadBand Security, Inc. [Excellent Company] 2026 Outstanding Organizations of KENKO Investment for Health in “The Large Enterprise Category”