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October 15, 2026 Interim Financial Results for FY2026 (First Six Months of the Fiscal Year Ending February 28, 2027) Takashimaya Co., Ltd.
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Agenda 2 I. Financial Results for Q2 of the FY Ending Feb 2027 (FY2026) II. Full-year Forecasts for FY Ending Feb 2027 (FY2026) III. Path to Profit Growth and Evolution of Capital Policy Next Medium-Term Management Plan (From FY2027): Toward the 200th Anniversary of Takashimaya in 2031
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Ⅰ. 3 Financial Results for Q2 of the FY Ending Feb 2027 (FY2026) 1. Key Points of Results 2. Consolidated Results 3. Results by Segment 4. Consolidated Balance Sheet 5. Consolidated Cash Flows
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4 ✓ Profits at every level finished above the forecasts set in April ✓ In the Department Stores in Japan segment, operating profit increased and surpassed the forecasts, a result driven by higher net sales from domestic and inbound customers, as well as cost-control initiatives ✓ Other segments also performed solidly, led by the Overseas business (Department Stores and Commercial Property Development) and Finance segment ✓ Steady progress was made on laying the groundwork for sustainable growth from the next Medium-Term Management Plan onward (from FY2027) 1. Key Points of Interim Financial Results for FY2026
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(billion JPY) H1 YoY Change Change from Apr.14 forecast Q1 YoY Change Q2 YoY Change Total operating revenue 517.5 +6.2% +2.9% 261.4 +8.4% 256.1 +4.1% Gross profit 152.0 +8.5 +2.3 76.0 +5.2 76.0 +3.2 SG&A expenses 124.4 +4.6 +1.1 60.0 +1.9 64.4 +2.7 SG&A to total operating revenue ratio 24.0% (0.6) (0.5) 23.0% (1.1) 25.2% +0.1 Operating profit 27.5 +3.9 +1.1 16.0 +3.3 11.6 +0.5 Operating profit to total operating revenue ratio 5.3% +0.5 +0.1 6.1% +0.9 4.5% +0.0 *Business profit 30.5 +5.3 +1.9 17.3 +4.1 13.2 +1.2 Ordinary profit 28.1 +6.1 +4.0 16.5 +5.0 11.6 +1.1 Profit attributable to owners of parent 16.0 (5.2) +0.7 11.1 +4.1 4.9 (9.3) *Business profit : Operating profit + Share of profit of equity method affiliates + Dividend income ✓ Total operating revenue was up 6.2% YoY, while the growth in SG&A expenses was kept to a minimum, resulting in an increase in operating profit by ¥3.9 bn ✓ Business profit rose thanks to a higher share of profit of entities accounted for using the equity method, ordinary profit grew by a wider margin as a result of foreign exchange gains (weak yen), despite an increase in interest expenses, and, although net profit decreased due to a pullback in gain on sale of non -current assets in the previous year, it still exceeded the forecasts 5 2. Consolidated Results
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6 ✓ Of the ¥3.9 bn increase in operating profit, the Department Stores in Japan segment accounted for ¥2.9 bn of the growth, surpassing the forecasts ✓ Overseas business (Department Stores and Commercial Property Development)and the Finance segment, pillars of growth, recorded an increase in profit of ¥1.8 bn in total, surpassing the forecasts ✓ Share of profit of entities accounted for using the equity method increased by ¥1.1 bn and contributed greatly to growth in business profit 3-1. Results by Segment (Overview) *Top row : Operating revenue, Bottom row : Operating profit (billion JPY) H1 YoY Change Change from Apr.14 forecast (billion JPY) H1 YoY Change Change from Apr.14 forecast 158.2 +1.6% (1.5%) 13.1 +7.3% (1.8%) 12.5 + 2.9 + 0.2 3.1 + 0.5 + 0.2 19.1 +15.4% +5.9% 17.5 (2.4%) (5.9%) 4.6 + 0.8 + 0.2 1.1 (0.5) + 0.0 26.5 +2.8% +0.4% 27.3 +1.4% (2.1%) 3.5 + 0.0 + 0.1 0.6 (0.2) (0.3) 9.0 +14.5% +2.2% 244.1 +3.7% +0.5% 3.2 + 0.5 + 0.2 27.5 + 3.9 + 1.1 Business profit 30.5 +5.3 +1.9 Share of profit of equity method affiliates 2.1 +1.1 +0.3 Dividend income from affiliates in Vietnam 0.8 +0.4 +0.4 Overseas Commercial Property Development Consolidated Total Finance Overseas Department Stores Construction & Design Commercial Property Development in Japan Others Department Stores in Japan Additions to Operating profit
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(billion JPY) H1 YoY Change Change from Apr.14 forecast Q1 YoY Change Q2 YoY Change Total operating revenue 425.4 +5.9% +2.6% 214.2 +7.5% 211.3 +4.3% Gross margin ratio [% of in-store Total sales] 22.01% (0.22) (0.28) 21.86% (0.28) 22.17% (0.15) Gross profit 95.7 +3.7 +0.8 47.2 +2.4 48.5 +1.3 SG&A expenses 83.2 +0.8 +0.6 39.8 +0.1 43.5 +0.7 SG&A to total operating revenue ratio 19.6% (0.9) (0.4) 18.6% (1.3) 20.6% (0.5) Operating profit 12.5 +2.9 +0.2 7.5 +2.3 5.0 +0.6 Operating profit ratio [% of Total operating revenue] 2.9% +0.5 (0.0) 3.5% +0.9 2.4% +0.2 7 ✓ Total operating revenue increased and exceeded the forecasts, driven by an increase in inbound customers in addition to steady domestic customer performance ✓ Although the gross margin ratio declined due to an expansion in the share of high -ticket items with a low gross margin, operating gross profit increased and surpassed the forecasts ✓ Operating profit increased, but was in line with the forecasts due in part to the impact of rising procurement costs 3-2. [Department Stores in Japan] Results
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(billion JPY) H1 YoY change Human capital investments Measures for making department stores more profitable Procurement costs Variable costs Cost optimization program Change from Apr.14 forecast Personnel related expenses 26.1 (0.1) +0.6 +0.5 +0.0 +0.0 (1.2) (0.8) Advertising expenses 5.3 (0.4) +0.0 +0.0 +0.0 +0.0 (0.4) (0.5) G&A expenses 37.8 +1.1 +0.0 +0.4 +1.1 +0.4 (0.7) +1.9 Rent and tax expenses 14.1 +0.1 +0.0 +0.0 +0.1 +0.0 0.0 (0.1) Total 83.2 +0.8 +0.6 +0.8 +1.2 +0.4 (2.2) +0.6 SG&A to total operating revenue ratio 19.6% (0.9) (0.4) Breakdown of YoY change 8 ✓ Expenses for promoting human capital management, such as base pay increases, are being allocated continuously ✓ Continued investments in strengthening sales capabilities, including customer and product initiatives, with an eye toward the next Medium-Term Management Plan ✓ Despite unavoidable impacts such as rising procurement costs, promoting efforts to cut costs meant that the SG&A expenses ratio improved compared to the previous year 3-2. [Department Stores in Japan] SG&A Expenses 3.1 increase
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*Top row : Operating revenue, Bottom row : Operating profit (billion JPY) H1 (Jan.-Jun.) YoY Change Change from Apr.14 forecast YoY Change in Local Currency Q1 (Jan.-Mar.) YoY Change Q2 (Apr.-Jun.) YoY Change 13.8 +10.8% +2.0% (0.1%) 7.1 +9.8% 6.8 +11.9% 3.7 + 0.2 (0.0) － 2.1 + 0.1 1.6 + 0.1 1.3 +16.0% +16.7% +2.0% 0.6 +11.4% 0.6 +20.8% 0.2 + 0.3 + 0.0 － 0.1 + 0.1 0.1 + 0.2 2.5 +32.1% +25.8% +25.7% 1.3 +26.5% 1.2 +38.8% 0.7 + 0.2 + 0.2 － 0.4 + 0.1 0.3 + 0.1 1.4 +39.8% +6.8% +25.6% 0.7 +31.0% 0.7 +49.6% (0.0) + 0.2 + 0.0 － (0.0) + 0.1 (0.0) + 0.1 19.1 +15.4% +5.9% 9.7 +13.2% 9.4 +17.7% 4.6 + 0.8 + 0.2 2.6 + 0.4 2.0 + 0.4 Takashimaya Singapore Ltd. Total of Overseas Department Stores Takashimaya Vietnam Ltd. Siam Takashimaya (Thailand) Co., Ltd. Shanghai Takashimaya Co., Ltd. 1SGD 1CNY 1VND 1THB Foreign Currency Effects on Operating profit (billion JPY) Current FY 123.98 23.12 0.0062 4.91 Takashimaya Singapore Shanghai Takashimaya Takashimaya Vietnam Siam Takashimaya Total Previous FY 111.79 20.34 0.0059 4.41 + 0.4 + 0.0 + 0.0 (0.0) + 0.4 YoY Change exchange rate JPY 9 ✓ At Singapore Takashimaya, revenue and profit declined in local currency terms, but increased when converted into yen due to the depreciation of the yen ✓ Shanghai returned to profit thanks to the effect of initiatives aimed at strengthening the revenue base, such as by attracting tenants ✓ Vietnam also recorded higher revenue and profit, while Siam reduced its losses, supported by the benefits of its revamp and other measures 3-3. [Overseas Department Stores] Results
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10 ✓ In the Commercial Property Development in Japan segment, despite the impact of the work to revamp Tamagawa Takashimaya Shopping Center, profit remained at a level in line with the previous year and the forecasts, driven by strengthened sales measures, including those for other facilities, and the promotion of greater cost efficiencies ✓ The Overseas Commercial Property Development segment posted increases in both revenue and profit, exceeding the forecasts in both Singapore and Vietnam 3-4. [Commercial Property Development (in Japan / Overseas)] Results *Top row : Operating revenue, Bottom row : Operating profit (billion JPY) H1 YoY Change Change from Apr.14 forecast Q1 YoY Change Q2 YoY Change 26.5 +2.8% +0.4% 13.1 +3.1% 13.3 +2.5% 3.5 + 0.0 + 0.1 2.2 + 0.1 1.3 (0.1) 6.7 +16.6% +5.8% 3.4 +16.5% 3.3 +16.8% 2.5 + 0.5 + 0.2 1.3 + 0.3 1.2 + 0.2 2.5 +13.1% (2.1%) 1.3 +12.9% 1.2 +13.4% 1.0 + 0.1 + 0.1 0.6 + 0.1 0.4 + 0.0 9.0 +14.5% +2.2% 4.5 +15.5% 4.4 +13.4% 3.2 + 0.5 + 0.2 1.7 + 0.3 1.5 + 0.2 35.4 +5.5% +0.9% 17.7 +6.0% 17.8 +5.0% 6.7 + 0.5 + 0.3 3.8 + 0.4 2.8 + 0.1 Operating profit + Dividend income from affiliates in Vietnam 7.0 + 0.9 + 0.7 3.8 + 0.4 3.2 + 0.5 Total of Commercial Property Development Total of Commercial Property Development in Japan [Toshin Development Co., Ltd.] Toshin Development Singapore Pte. Ltd. (TDS) Subsidiaries in Vietnam Total of Overseas Commercial Property Development
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11 ✓ The Finance segment saw an increase in profit across all businesses: Card & Payment, Life Partner, and Investment and Lending ✓ The Construction & Design segment recorded a decrease in revenue and profit as a result of the impact of the revision of plans for some projects scheduled to be ordered as a result of soaring construction costs, as well as rising costs, including personnel related expenses. Operating profit in the other segments was broadly in line with the forecasts 3-5. [Finance / Construction & Design / Others] Results *Top row : Operating revenue, Bottom row : Operating profit (billion JPY) H1 YoY Change Change from Apr.14 forecast Q1 YoY Change Q2 YoY Change 12.3 +5.4% (0.6%) 6.2 +5.4% 6.2 +5.3% 2.9 + 0.2 + 0.1 1.5 + 0.2 1.3 + 0.0 17.5 (2.4%) (5.9%) 9.7 +12.6% 7.8 (16.3%) 1.1 (0.4) (0.1) 0.6 (0.0) 0.5 (0.4) 8.1 +5.9% (0.0%) 4.1 +8.0% 4.1 +3.9% 0.4 + 0.1 (0.0) 0.2 + 0.1 0.2 (0.0) 4.3 (3.2%) (3.2%) 2.1 (3.3%) 2.2 (3.0%) 0.2 (0.1) + 0.0 0.1 (0.1) 0.1 (0.1) 3.4 (4.5%) (7.2%) 1.7 (8.1%) 1.7 (0.4%) 0.4 + 0.0 (0.0) 0.2 (0.0) 0.2 + 0.0 2.1 +31.1% +7.5% 1.0 +10.7% 1.1 +56.1% 0.1 + 0.1 + 0.0 0.0 + 0.0 0.0 + 0.1 Others Finance Construction & Design Others Others Others Good Live Co., Ltd. Takashimaya Financial Partners Co., Ltd. (TFP) Takashimaya Space Create Co., Ltd. (TSC) R.T. Corporation Co., Ltd. CENTURY & Co., Ltd. All Takashimaya Agency Co., Ltd.
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28.0 28.8 54.1 54.9 395.7 406.8 325.7 455.0 542.8 413.7 0 200 400 600 800 1,000 1,200 1,400 Feb. 28, 2026 Aug. 31, 2026 184.5 194.1 759.1 757.7 285.2 272.2 79.2 95.9 0 200 400 600 800 1,000 1,200 1,400 Feb. 28, 2026 Aug. 31, 2026 12 (Billions of yen) Liabilities and net assets: +13.0 ✓ Total assets increased by ¥13.0 bn due to an increase in cash and deposits and investments accompanying growth strategies, etc. ✓ Continued to utilize debt with a focus on improving leverage and ROE (short-term borrowings ⇒ long-term borrowings and straight bonds) ✓ Shareholders' equity increased as a result of accumulated profits, but was appropriately distributed through the payment of dividends, etc. Total assets: +13.0 4. Consolidated Balance Sheet 1,346.2 1,359.2 Cash and deposits +16.7 Property, plant and equipment (1.5) Intangible assets +1.2 Investments and other assets +9.5 Other Current assets (12.9) (Decrease in accounts receivable, etc.) (Decrease in overseas right- of-use assets) (Investments, etc., associated with growth strategies) 1,346.2 1,359.2 Current liabilities (129.0) (Decrease in short-term borrowings) Non-current liabilities +129.3 Shareholders’ equity +11.0 Other comprehensive income, etc. +0.8 Non-controlling interests +0.8 (Increase in long-term borrowings and straight bonds) (Decline due to dividend payments) (Increase in net profit) (Foreign currency translation adjustments, etc.)
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14.6 (13.5) (13.5) 48.6 (28.3) (8.1) (40) (20) 0 20 40 60 Operating CF Investing CF Financing CF FY2025 Q2 FY2026 Q2 13 Operating cash flows: +34.0 Investing cash flows: (14.8) Financing cash flows: +5.4 (Billions of yen) ✓ Operating cash flows were up ¥34.0 bn from the previous year thanks to a decrease in accounts receivable, etc. ✓ Investing cash flows were down ¥14.8 bn from the previous year due to the pullback in the sale of non - current assets in the preceding year despite continued growth investments ✓ Financing cash flows were up ¥5.4 bn from the previous year as the utilization of debt offset the increase in dividend payments Cash and cash equivalents at beginning and end of period: +14.0 5. Consolidated Cash Flows 77.4 91.4 50 60 70 80 90 100 Cash and cash equivalents Beginning of FY2026 End of Q2 FY2026
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Ⅱ. 14 Full-year Forecasts for FY Ending Feb 2027 (FY2026) 1. Key Points of the Forecasts 2. Consolidated Performance Forecasts 3. Forecasts by Segment 4. Consolidated Balance Sheet 5. Consolidated Cash Flows
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15 ✓ Operating profit, business profit, and ordinary profit have been revised upward in light of H1 results, etc. Net profit has been left unchanged as asset sales will offset the impact of a one-time extraordinary loss ✓ In the Department Stores in Japan segment, while an increase in net sales from domestic and inbound customers is anticipated, the gross margin ratio and the risk of unavoidable cost increases have been factored into the forecasts ✓ Overseas business (Department Stores and Commercial Property Development) and the Finance segment, pillars of growth, have been revised upward as a result of steady growth in profit 1. Key Points of the FY2026 Full-year Forecasts
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(billion JPY) Full-year forecast YoY Change Change from Apr.14 forecast H1 YoY Change H2 forecast YoY Change Change from Apr.14 forecast Total operating revenue 1,080.0 +4.6% +2.4% 517.5 +6.2% 562.5 +3.2% +1.9% Gross profit 315.4 +15.8 +6.6 152.0 +8.5 163.4 +7.3 +4.3 SG&A expenses 256.4 +10.3 +5.1 124.4 +4.6 132.0 +5.7 +3.9 SG&A to total operating revenue ratio 23.7% (0.1) (0.1) 24.0% (0.6) 23.5% +0.3 +0.3 Operating profit 59.0 +5.5 +1.5 27.5 +3.9 31.5 +1.6 +0.4 Operating profit to total operating revenue ratio 5.5% +0.3 +0.0 5.3% +0.5 5.6% +0.1 (0.0) *Business profit 66.0 +6.4 +1.7 30.5 +5.3 35.5 +1.1 (0.2) Ordinary profit 60.0 +3.1 +3.0 28.1 +6.1 31.9 (2.9) (1.0) Profit attributable to owners of parent 38.0 +46.2 +0.0 16.0 (5.2) 22.0 +51.4 (0.7) *Business profit : Operating profit + Share of profit of equity method affiliates + Dividend income 16 ✓ Operating profit has been revised upward by ¥1. 5 bn in light of H1 results and the current situation ✓ Ordinary profit has been revised upward by ¥3.0 bn even though interest expenses are expected to increase taking into consideration recent interest rate movements ✓ Net profit remains unchanged from the forecasts as one -off extraordinary losses are expected to be absorbed by the gains on asset sales (cross-shareholdings and real estate) Pullback in the one-time extraordinary losses associated with the CB purchase and cancellation in the previous year 2. Consolidated Performance Forecasts
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*Top row : Operating revenue, Bottom row : Operating profit (billion JPY) Full-year forecast YoY Change Change from Apr.14 forecast Full-year forecast YoY Change Change from Apr.14 forecast 326.7 +1.5% (0.6%) 27.0 +7.2% +0.2% 27.7 + 2.8 + 0.0 6.3 + 0.7 +0.4 40.6 +15.4% +6.9% 32.6 (13.6%) (14.4%) 10.4 + 1.9 + 0.8 1.9 (0.6) (0.6) 53.4 +2.7% +0.7% 60.6 +2.5% (0.8%) 6.4 (0.1) + 0.0 1.9 (0.1) (0.3) 18.5 +12.7% +2.7% 509.1 +3.4% +1.2% 6.6 + 0.8 + 0.3 59.0 + 5.5 +1.5 Business profit 66.0 +6.4 +1.7 Share of profit of equity method affiliates 4.0 (0.2) +0.0 Dividend income from affiliates in Vietnam 3.0 +1.1 +0.2 Commercial Property Development in Japan Others Overseas Commercial Property Development Consolidated Total Department Stores in Japan Finance Overseas Department Stores Construction & Design Additions to Operating profit 17 ✓ The April forecasts are being updated on a rolling basis for each segment ✓ The Overseas business (Department Stores and Commercial Property Development) and Finance segment are expected to achieve a combined profit increase of ¥3.4 bn, resulting in an upward revision of ¥1.5 bn to the forecasts 3-1. Forecasts by Segment (Overview)
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(billion JPY) Full-year forecast YoY Change Change from Apr.14 forecast H1 YoY Change H2 forecast YoY Change Change from Apr.14 forecast Total operating revenue 885.4 +4.1% +2.1% 425.4 +5.9% 460.0 +2.6% +1.5% Gross margin ratio [% of in-store Total sales] 21.95% (0.03) (0.28) 22.01% (0.22) 21.89% +0.12 (0.29) Gross profit 197.9 +5.0 +0.7 95.7 +3.7 102.2 +1.3 (0.0) SG&A expenses 170.2 +2.2 +0.7 83.2 +0.8 87.0 +1.4 +0.2 SG&A to total operating revenue ratio 19.2% (0.5) (0.3) 19.6% (0.9) 18.9% (0.2) (0.3) Operating profit 27.7 +2.8 +0.0 12.5 +2.9 15.2 (0.0) (0.2) Operating profit ratio [% of Total operating revenue] 3.1% +0.2 (0.1) 2.9% +0.5 3.3% (0.1) (0.1) 18 <Details of the Forecasts for In-store Net Sales by Customer> (The figures in parentheses represent the forecasts as of April) *YoY Domestic customers: Up 6% (+6%) for the full year [up 7% (+7%) for H1 and up 6% (+6%) for H2] Inbound customers: Up 7% (-11%) for the full year [up 18% (-3%) for H1 and down 3% (-18%) for H2] ¥102.0 bn (¥84.5 bn) for the full year [¥51.9 bn (¥42.5 bn) for H1 and ¥50.0 bn (¥42.0 bn) for H2] ✓ Total operating revenue has been revised upward because in addition to strong domestic customer numbers, inbound customers are expected to increase ✓ Even though the gross margin ratio reflects the expected expansion in the share of net sales from high - ticket items with a low gross margin, the operating gross profit has been revised upward ✓ The profit forecasts remain unchanged after factoring in increased procurement costs, etc., while the operating profit to total operating revenue ratio is expected to improve from the previous year 3-2. [Department Stores in Japan] Forecast
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(billion JPY) Full-year forecast YoY change Human capital investments Measures for making department stores more profitable Procurement costs Variable costs Cost optimization program Change from Apr.14 forecast Personnel related expenses 54.5 +0.5 +1.5 +1.1 +0.0 +0.0 (2.1) (1.4) Advertising expenses 11.6 (0.2) +0.0 +0.2 +0.0 +0.0 (0.4) (0.8) G&A expenses 76.8 +1.6 +0.0 +0.7 +1.8 +1.1 (1.9) +3.1 Rent and tax expenses 27.4 +0.3 +0.0 +0.0 +0.3 +0.0 0.0 (0.2) Total 170.2 +2.2 +1.5 +2.0 +2.1 +1.1 (4.3) +0.7 SG&A to total operating revenue ratio 19.2% (0.5) (0.3) Breakdown of YoY change 19 ✓ Investments to lead to a boost in productivity and profitability continue to be executed, such as by promoting human capital management and strengthening sales capabilities ✓ The impact of increased procurement costs, etc., driven by geopolitical risks and other factors, is the main cause of the difference with the April forecasts ✓ Strengthened cost cutting measures to offset unavoidable cost increases, so the SG&A expenses ratio is expected to improve compared to the previous year and the April forecasts 3-2. [Department Stores in Japan] SG&A Expenses 6.6 increase
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1SGD 1CNY 1VND 1THB Foreign Currency Effects on Operating profit (billion JPY) Forecast 121.78 22.54 0.0061 4.85 Takashimaya Singapore Shanghai Takashimaya Takashimaya Vietnam Siam Takashimaya Total Apr.14 forecast 116.00 21.00 0.0056 4.70 + 0.4 + 0.0 + 0.1 + 0.0 + 0.5 Previous FY 114.75 20.87 0.0059 4.56 + 0.5 + 0.0 + 0.0 + 0.0 + 0.6 YoY Change Change from Apr.14 forecast exchange rate JPY *Top row : Operating revenue, Bottom row : Operating profit (billion JPY) Full-year (Jan.-Dec.) forecast YoY Change Change from Apr.14 forecast YoY Change in Local Currency H1 YoY Change H2 forecast YoY Change Change from Apr.14 forecast 29.7 +12.3% +4.1% +5.8% 13.8 +10.8% 15.9 +13.6% +6.1% 8.8 + 1.1 + 0.5 － 3.7 + 0.2 5.1 + 0.9 + 0.5 2.3 +7.0% +5.9% (0.9%) 1.3 +16.0% 1.0 (2.2%) (4.9%) 0.2 + 0.3 + 0.0 － 0.2 + 0.3 0.0 (0.0) + 0.0 5.2 +24.5% +19.4% +20.4% 2.5 +32.1% 2.7 +18.2% +14.0% 1.4 + 0.2 + 0.3 － 0.7 + 0.2 0.7 + 0.0 + 0.1 3.4 +41.3% +15.9% +32.8% 1.4 +39.8% 1.9 +42.4% +23.9% 0.0 + 0.3 + 0.0 － (0.0) + 0.2 0.0 + 0.2 + 0.0 40.6 +15.4% +6.9% 19.1 +15.4% 21.5 +15.3% +7.8% 10.4 + 1.9 + 0.8 4.6 + 0.8 5.8 + 1.1 + 0.6 Total of Overseas Department Stores Takashimaya Vietnam Ltd. Siam Takashimaya (Thailand) Co., Ltd. Takashimaya Singapore Ltd. Shanghai Takashimaya Co., Ltd. 20 ✓ Singapore is expected to see an increase in revenue and profit with the forecasts being revised upward as a result of factoring in the increase in net sales from strengthening product appeal, etc. ✓ Shanghai and Siam are expected to post an increase in revenue and a return to profitability ✓ Having celebrated its 10th anniversary since opening, Vietnam is expected to see steady growth and an increase in sales and profitability, and is therefore being revised upward 3-3. [Overseas Department Stores] Forecast
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*Top row : Operating revenue, Bottom row : Operating profit (billion JPY) Full-year forecast YoY Change Change from Apr.14 forecast H1 YoY Change H2 forecast YoY Change Change from Apr.14 forecast 53.4 +2.7% +0.7% 26.5 +2.8% 27.0 +2.6% +1.0% 6.4 (0.1) + 0.0 3.5 + 0.0 3.0 (0.2) (0.1) 13.4 +10.7% +4.5% 6.7 +16.6% 6.7 +5.3% +3.3% 5.3 + 0.8 + 0.3 2.5 + 0.5 2.8 + 0.3 + 0.1 5.7 +22.6% +3.0% 2.5 +13.1% 3.2 +31.4% +7.5% 1.9 + 0.1 + 0.2 1.0 + 0.1 0.9 + 0.0 + 0.0 18.5 +12.7% +2.7% 9.0 +14.5% 9.5 +11.1% +3.2% 6.6 + 0.8 + 0.3 3.2 + 0.5 3.4 + 0.3 + 0.1 71.9 +5.1% +1.2% 35.4 +5.5% 36.5 +4.7% +1.6% 13.1 + 0.7 + 0.3 6.7 + 0.5 6.4 + 0.1 (0.0) Operating profit + Dividend income from affiliates in Vietnam(1.7 billion JPY) 15.4 + 1.7 + 0.5 7.0 + 0.9 8.4 + 0.8 (0.2) Total of Commercial Property Development Subsidiaries in Vietnam Total of Overseas Commercial Property Development Total of Commercial Property Development in Japan [Toshin Development Co., Ltd.] Toshin Development Singapore Pte. Ltd. (TDS) 21 ✓ In the Commercial Property Development in Japan segment, despite the impact of revamps, it is anticipated that operating profit will be secured in line with the April forecasts by strengthening sales measures ✓ The Overseas Commercial Property Development segment is expected to post increases in both revenue and profit, exceeding the forecasts in both Singapore and Vietnam 3-4. [Commercial Property Development (in Japan / Overseas)] Forecast Dividend in the Vietnam business: ¥2.4 bn (¥1.3 bn in FY2025) +¥1.1 bn
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22 ✓ The Finance segment is expected to see an increase in sales and profit with the forecasts being revised upward after factoring in the expansion in net card transactions and the contribution to revenue from the Life Partner and Investment and Lending businesses ✓ The Construction & Design segment has been revised downward in light of H1 results and future risks (order environment accompanying the sharp rise in construction costs) ✓ The operating profit in the other segments is expected to be generally in line with the April forecasts 3-5. [Finance / Construction & Design / Others] Forecast *Top row : Operating revenue, Bottom row : Operating profit (billion JPY) Full-year forecast YoY Change Change from Apr.14 forecast H1 YoY Change H2 forecast YoY Change Change from Apr.14 forecast 25.1 +4.6% (0.1%) 12.3 +5.4% 12.8 +3.9% +0.3% 5.6 + 0.2 + 0.1 2.9 + 0.2 2.8 + 0.0 + 0.0 32.5 (13.9%) (14.7%) 17.5 (2.4%) 15.1 (24.2%) (23.0%) 2.0 (0.6) (0.6) 1.1 (0.4) 0.9 (0.1) (0.6) 16.6 +7.7% +0.9% 8.1 +5.9% 8.4 +9.6% +1.9% 0.8 + 0.2 (0.0) 0.4 + 0.1 0.4 + 0.1 + 0.0 9.0 (1.5%) (1.5%) 4.3 (3.2%) 4.7 +0.0% +0.0% 0.4 (0.3) + 0.0 0.2 (0.1) 0.2 (0.2) + 0.0 7.4 (1.7%) (3.2%) 3.4 (4.5%) 4.0 +0.7% +0.5% 0.9 (0.0) + 0.0 0.4 + 0.0 0.5 (0.0) + 0.0 4.8 +11.0% +3.1% 2.1 +31.1% 2.7 (0.7%) +0.0% 0.4 + 0.1 + 0.0 0.1 + 0.1 0.3 (0.0) + 0.0 All Takashimaya Agency Co., Ltd. Others Good Live Co., Ltd. Others Takashimaya Space Create Co., Ltd. (TSC) Construction & Design R.T. Corporation Co., Ltd. Others CENTURY & Co., Ltd. Others Takashimaya Financial Partners Co., Ltd. (TFP) Finance
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23 ✓ Total assets will increase through investments aimed at sustainable profit growth, etc. ✓ Liabilities continue to be used while promoting diverse financing methods to reduce capital costs ✓ Shareholders’ equity will increase due to improved net profit while cash and cash equivalents will be allocated to growth investments, etc. after ascertaining the appropriate level 4. Consolidated Balance Sheet (Billions of yen) 184.5 204.6 759.1 769.6 285.2 280.1 79.2 87.0 0 200 400 600 800 1,000 1,200 1,400 Feb. 28, 2026 Feb. 28, 2027 Cash and deposits +7.8 Property, plant and equipment +10.5 Intangible assets +0.5 Investments and other assets +20.1 Other Current assets (5.1) 1,380.0 Total assets: +33.8 28.0 29.4 54.1 47.3 395.7 422.3 325.7 452.7 542.8 428.3 0 200 400 600 800 1,000 1,200 1,400 Feb. 28, 2026 Feb. 28, 2027 1,346.2 1,380.0 Current liabilities (114.5) Non-current liabilities +127.0 Shareholders' equity +26.6 Other comprehensive income, etc. (6.7) Non-controlling interests +1.4 Liabilities and net assets: +33.8 1,346.2
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24 ✓ Operating cash flows will increase by ¥27.2 bn from the previous year due to an increase in profit before income taxes, etc. ✓ Investing cash flows will decrease by ¥47.1 bn from the previous year due to the execution of growth investments in the final year of the Medium-Term Management Plan ✓ Financing cash flows will increase by ¥43.8 bn from the previous year due to the continued utilization of debt despite the increase in dividend payments 5. Consolidated Cash Flows Operating cash flows: +27.2 Investing cash flows: (47.1) Financing cash flows: +43.8 (Billions of yen) Cash and cash equivalents at beginning and end of period: +7.5 53.8 (34.9) (31.8) 81.0 (82.0) 12.0 (100) (50) 0 50 100 Operating CF Investing CF Financing CF FY2025 FY2026 77.4 85.0 50 55 60 65 70 75 80 85 90 Cash and cash equivalents Beginning of FY2026 End of FY2026
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Ⅲ. 25 Path to Profit Growth and Evolution of Capital Policy Next Medium-Term Management Plan (From FY2027): Toward the 200th Anniversary of Takashimaya in 2031 1. Growth Strategy of the Takashimaya Group 2. Progress and Effects of Seamless Integration 3. Cash Allocation 4. Unlocking the Value of Assets Held 5. Shareholder Returns 6. Financial KPIs
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Trust earned in the ASEAN region through successes in Singapore and Ho Chi Minh Expertise cultivated by ToshinDevelopment Co., Ltd. together with department stores in Futako-Tamagawa. A platform for building ongoing relationships with all stakeholders Three Growth Domains ✓ Looking beyond the 200th anniversary, leveraging unique strengths to rebuild the portfolio ✓ Seamlessly connect growth domains to evolve the Machi-dukuri strategy and maximize the value proposition 26 Depar tment Stores FY2025 41％ 59％ FY2031 Commercial Property Development Finance Other Department Stores 47％ 53％ By business Commercial Property Development Finance Other Department Stores 32％ 68％ Overseas Domestic26％ Domestic 74％ Overseas By region Next-generation Shopping Centers Overseas Business Finance Business TAKASHIMAYA brand honed through the Department Stores in Japan segment 1-1. Growth Strategy of the Takashimaya Group
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✓ Generate business profit at the scale of ¥31.0 bn in next-generation shopping center operations and ¥10.0 bn each from Overseas business and the Finance segment in 2031 ✓ Profit growth in next-generation shopping centers will be driven by renovation effects and seamless integration between department stores and specialty stores. ✓ Make steady progress in each domain, such as through opening a store in Hanoi and the establishment of an intermediate holding company in the Finance sector, in FY2027 27 1-2. Profit Growth In Growth Domains Residential projects (short-term recovery): +¥1.3 bn 17.6 21.2 2.27.5 7.6 25年度実績 31年度目標 Commercial facilities with department stores at their core (Nihombashi, Shinjuku, Tamagawa, Kashiwa and Kyoto) + Toshin Development specialty stores 27 Specialty stores: +¥0.1 bn Department stores: +¥3.6 bn 1.2 2.1 1.4 3.7 1.0 2.8 0.1 1.4 25年度実績 31年度目標 Seamless integration (expansion of department stores into specialty store zones, etc.): +¥2.2 bn Non- commercial (offices, etc.): +1.9 bn Commercial (SCs and mixed-use): +¥2.4 bn Department stores: +¥0.9 bn Real estate leasing Investment and Lending business: ＋¥2.0 bn Life Partner business: ＋¥0.7 bn 5.3 7.0 0.3 1.0 2.0 25年度実績 31年度目標 ¥10.0 bn ¥5.6 bn ¥3.7 bn ¥10.0 bn¥31.0 bn ¥25.1 bn Next-generation shopping centers Overseas (Vietnam) business Finance business Card business (finance domain): +¥1.7 bn FY2025 results FY2025 results FY2025 results FY2031 targets FY2031 targets FY2031 targets
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With department stores at the heart of the facilities, achieve seamless integration with specialty stores [Next-generation Shopping Centers] Three Features Provide diverse motivations for visiting stores: Offer local community infrastructure: Increase visit frequency × Extend time spent in the facility × Capture new customers = Machi-dukuri unique to Takashimaya ✓ Tamagawa Takashimaya Shopping Center (S.C.), symbol of next-generation shopping centers, scheduled to reopen following renovations in 2027 ✓ Introducing innovative content to raise visit frequency, extend time spent in the facility, and increase net sales per customer ✓ Strengthening the revenue base of the entire facility by capturing new customers and encouraging foot traffic throughout the facility Initial Opening in March 2027 11F of the South Building: Men's sauna 10F of the South Building: "Play space for adults" ・Floors designed for extended stays will be formed ・New customer segments will be captured ・Value of using the entire SC will be enhanced Number of customers: +273.0 Operating profit: +177.5 *% compared to FY2023 28 Full Opening in June 2027 ・Payment methods and services across the foods floor will be standardized ・Visit frequency will be raised by focusing on everyday foods Sales: +7.0 Operating profit: +43.6 *% compared to FY2023 B1 of the Main Building: Foods floor Innovative content Community formation 1-3. Progress in Growth Domains: Conversion to Next-generation Shopping Centers
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-1.0 -0.5 0.0 0.5 1.0 1.5 2.0 2.5 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Ho Chi Minh City Takashimaya Saigon Centre A commercial area spanning 35,000 m2 from the first basement level to the sixth floor of WSH as a mixed- use complex developed by Toshin Development Hanoi Takashimaya S.C. Store Concept ✓ Saigon Centre/Ho Chi Minh City Takashimaya has achieved double-digit growth on average and cleared its accumulated losses in 2025 ✓ Hanoi Takashimaya S.C., the second location in Vietnam, is scheduled to open in WSH* in the fall of 2027 (*WSH: Westlake Square Hanoi) ✓ With a department store at its core, the facility will bring together a diverse range of specialty stores, dining options, services, and wellness functions Operating revenue target for 2028: ¥2.47 bn Fall 2027: Open (Hanoi Takashimaya S.C. and offices) in WSH Phase I From 2030: Open the Phase II office tower (including commercial facilities; approx. 60,000 m2) 29 Became profitable three years after opening Profit Trends at Saigon Centre/Ho Chi Minh City Takashimaya 2025 Cleared accumulated losses From 2030: Saigon Centre Phase III: Open the expansion ⇒ To become a shopping center spanning 90,000 m2, surpassing the facility in Singapore (Billions of yen) Build solid foundation in two major cities of Vietnam: Ho Chi Minh and Hanoi 1-3. Progress in Growth Domains: Vietnam Development
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✓ The Finance segment, which serves as a point of contact with all stakeholders, is the key to the Group's growth ✓ Finance-related subsidiaries will be consolidated into a single legal entity and an intermediate holding company will be established in March 2027 ✓ The value proposition in the Finance segment will be maximized through collaboration across Group companies with the establishment of the Synergy Promotion Committee 30 Takashimaya Financial Holdings (Scheduled to be established in March 2027) Synergy Promotion Committee 1-3. Progress in Growth Domains: Establishment of an Intermediate Holding Company in the Finance Segment Defensive strategy: Safeguarding soundness Offensive strategy: Supporting growth Growth investments Expansion of customer contact points New businessHuman resource development Internal controls Conflict of interest Personal information Cybersecurity Investment and Lending Business Finance Segment: Three Pillars Card & Payment Business Life Partner Business Investment in funds and financing needs of business partners, etc. Personal cards, corporate cards, and Takashimaya NEOBANK Bundle three pillars into one to form a stronger base for Group growth Asset formation, insurance, inheritance, IFA, and business succession Expanding contact points with all stakeholders (individuals and corporations) through M&As, etc.
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Data and system infrastructure Strengthening of digital experiences Collaboration among organizations and individuals Collaboration between stores and facilities Enhancement of marketing sophistication Overseas Business Next-generation Shopping Centers Specialty stores Card and app dual membership Rollout of events and campaigns across the Group Use of coupons and points across the Group Standardization of support services Unified app and One ID Personalization and deepening of customer understanding Infrastructure, frameworks, and promotion measures supporting the achievement of Group-wide seamless integration ✓ Enhancing strengths by seamlessly connecting three growth domains and expanding customer contact points ✓ Deepening customer understanding and improving experiential value by expanding activities across the Group Standardizing services and benefits across the Group31 Finance Segment Contact points with all stakeholders Department stores Real estate leasing Commercial/non- commercial Residential properties Department stores Building the foundation to centrally manage the customer data held by the Group by 2028 2-1. Overview of the Seamless Integration of the Group 31
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Changes in customer behavior and enhanced customer experience Economic benefits Expand number of users across the Group (Department stores, specialty stores, e-commerce, finance, and overseas stores) Expansion in scale of contribution to business profit Encourage purchases and shopping around stores through an increase in customer contact points and upgrade program Increase in customers with three times the average spend Acquire the next-generation of customers and convert into loyal customers ・Expansion of own card customers ・Expansion in number of app members Increase in number of dual app and card members Length of stay becomes longer thanks to attractive services and experiences Customer contact points expand through personalized approaches Impetus for purchases created with the expansion in customer contact points Repeat visits are encouraged with ease of use and perceived value Customers become fans and regulars through the accumulation of satisfying experiences Emotional attachment deepens Length of stay becomes longer Customer contact points increase Purchase frequency increasesRepeat visits increase Satisfaction and engagement improve Understanding customer behavior results in awareness of interests, preferences, and behaviors, as well as deeper emotional attachment Contribution to profit in FY2031: More than ¥3.0 bn 32 ✓ Creating upside potential for profit growth by enhancing customer value through seamless integration 2-2. Economic Benefits through Seamless Integration
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✓ Using the app as the starting point to drive the conversion of potential customers into members and accelerate the capture of new customers ✓ Implementing a loyalty program and encouraging app use by awarding digital points ✓ Establishing a platform to centrally manage all customer data and realizing an improvement in customer LTV Exclusive offers and priority services Benefit of earning 2% rewards on regular items Conversion of customers to dual membership with the app Number of app members: 1.3 million ⇒ 5 million (2031) Customer retention and development initiatives Customer acquisition initiatives Takashimaya Card (own credit card) Major payment service users Tomonokai / SUGO-TSUMI NEOBANK Individual tenant app members E-commerce business Platinum debit cards Social media followers Campaigns awarding docomo and Ponta points Conversion of customers to app members 33 Loyalty program (From 2029) Takashimaya digital points (From September 2026) Centrally manage customer data held by the Group 2-3. Seamless Customer Engagement: Integration of Customer Data
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✓ Expanding contact points with affluent customers from overseas through collaborations with overseas stores and external partners ✓ Deepen relationships with customers by utilizing customer data and digital tools ✓ Expand customer base across the entire ASEAN region by building long-term relationships 2-3. Seamless Customer Engagement: Inbound Customers 34 Expand customer contact points across the whole of the ASEAN region and deepen relationships • Mutual referrals with overseas stores • Mutual use of points between domestic and overseas stores (from March 2026) • Deployment of dedicated concierges (from August 2026 at Osaka Store) ⇒ Deploy to four stores, including Shinjuku Store and Kyoto Store, by the end of the year *Already deployed at Nihombashi Store • Collaborations with tax-free service operators (from October 2026) ⇒ CRM utilizing customer data Encourage store visits and purchases Deepen and solidify customer relationships One-to-one communication utilizing digital tools Customer Engagement for the ASEAN Region Create contact points with potential customers Generate recognition and interest • Strengthening information dissemination via social media (from April 2024) • Running advertisements along the customer journey to Japan (from April 2024) • Collaborations with card companies (from August 2026) • Partnerships with international hotel brands (from spring 2027) ⇒ Promoting further alliances with overseas companies Expanding customer contact points through collaborations with external companies
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Strengthen foundations Deepen Strengthen department store VIP customers Leverage broad customer base Expand the scope of proposals Expand Evolve into Group VIP customers Create Group synergies Capture ASEAN customers Broaden Leap toward global VIP customers (future concept) Collaborate with overseas bases Expand VIP customer base ・ Lower target age of VIP customers (from March 2026) ・ Collaborate with external companies (from August 2026) Deepen relationships with existing VIP customers ・ Improve customer understanding by leveraging customer base Strengthen the VIP customer service organization ・ Aim to enhance the sophistication of VIP organization and structure Expand scope of proposals to the finance sector • Collaborate with IFA business (ongoing) Strengthen product proposals, including specialty stores • Aim for collaborations with specialty stores and fashion e-commerce platforms Cultivate overseas affluent customers ・ Refer customers from overseas stores to VIP events (September 2026) Refer customers to stores in Japan and solidify relationships ・ Collaborate with tax-free service operators Strengthen the framework for serving customers in Japan and deepening relationships ・ Deploy overseas concierges Deepen and expand relationships with domestic and overseas affluent customers by taking advantage of the collective strengths of the Group 2-3. Seamless Customer Engagement: VIP Customers ✓ Strengthen VIP customer base by expanding the customer base and deepening relationships with existing customers ✓ Collaborate with Group and overseas bases to expand the scope of proposals and build relationships with overseas affluent customers 35
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Operating cash flows 36 ✓ There are no changes to allocations to growth investments, including human capital, ESG, and DX initiatives, or other investments ✓ Generate funds through asset sales and debt utilization during the three years of the current Medium-Term Management Plan and shift toward expanded shareholder returns ✓ Execute sales of non-current assets and increase dividends in this fiscal year and then accelerate capital efficiency improvements from the next Medium-Term Management Plan onward April 2024 (initial fiscal year of the current Medium-Term Management Plan) Asset sales (additional) ・FY2024: Cross-shareholdings ・FY2025: Non-current assets ・FY2026: Cross-shareholdings Non-current assets Shift from debt reduction to utilization ・Funds for the CB purchase in FY2025 to be utilized going forward Shareholder returns (additional) ・FY2024 to FY2025 Consecutive dividend increases, share buybacks totaling ¥30.0 bn, and CB purchase and cancellation ・FY2026: Dividend increase October 2026 (final fiscal year) Operating cash flows: 250.0 Shareholder returns: 20.0 Debt reduction: 10.0 Investments: 220.0 (Growth investments: 147.0) Cash OutCash In Operating cash flows: 250.0 Shareholder returns: 170.0 Investments: 220.0 (Growth investments: 147.0) Cash OutCash In Asset sales: 30.0 Debt utilization: 130.0 Shareholder returns: 20.0 Addition Addition Change Announced this time Ongoing consideration of expanding free cash flow, enhancing capital policy, and share buybacks, etc. Announced this time Details of Additions and Changes over the Three Years Next Medium-Term Management Plan onward FY2031 3. Cash Allocation (Billions of yen)
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Low-ROIC properties 20％ Non-store properties ✓ Individually considering measures to unlock value in core properties provided for commercial operations and other properties ✓ Advancing the sale of non-core real estate with resolutions planned for the sale of multiple properties during this fiscal year ✓ Sale of cross-shareholdings is proceeding as planned 37 Real estate holdings at the end of FY2025 (Japan / book value): Approx. ¥600.0 bn 80％ Core (Physical stores involved in commerce) To further raise the level of the Machi-dukuri strategy, considering all approaches, including partial asset monetization, while incorporating external expertise Low-ROIC assets Upon comprehensively considering usage situation and profit/loss, etc., carry out sales in stages and then allocate the cash obtained from the sales in a balanced manner to growth investments and shareholder returns, etc. Contracts concluded on four properties Negotiations under way on multiple other properties Non-core assets Sold in September Japan Airport Terminal Co., Ltd.: 290,000 shares Cross-shareholdings 4. Unlocking the Value of Assets Held
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Annual dividends per share Dividend payout ratio 38 As of April As of October (Updated) FY2026 Annual dividend: ¥40 (FY2025: ¥34) Dividend payout ratio: 30.8% / DOE: 2.49% FY2031 Dividend payout ratio: 30% or higher / DOE: 2.5% or higher ✓ Aim for profit allocation that prioritizes the balance between the needs of multiple stakeholders, such as growth investments, including human capital and ESG investments, and shareholder returns ✓ Achieve medium- to long-term enhancement in shareholder value through progressive dividends driven by the growth of net assets ✓ Under these policies, we have raised targets set in April and will increase dividends in this fiscal year, aiming for a dividend payout ratio of 50% or higher and a DOE of 5.0% or higher in FY2031 Annual dividend: ¥44 (¥2-increase in both the interim and year-end dividends) Dividend payout ratio: 33.9% / DOE: 2.75% Dividend payout ratio: 50% or higher / DOE: 5.0% or higher FY2018 FY2026 FY2031 Current Medium-Term Management Plan Next Medium-Term Management Plan onward COVID-19 pandemic (No reduction in dividend) ¥44 (Dividend payout ratio: 33.9% / DOE: 2.75%) Dividend payout ratio: 50% or higher / DOE: 5.0% or higher *Figures adjusted to reflect the reverse stock split in 2018 and the stock split in 2024 Progressive dividends 5. Shareholder Returns (Dividend Policy)
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39 ✓ In addition to increasing dividends, business profit and ROIC for FY2031 have been revised upward from the initial targets (April 2024) ✓ A new target has been set for an ROE of 10% or more in FY2031 with capital efficiency improvements and strengthening of earnings power to be promoted ✓ Enhance corporate value through a disciplined capital policy while maintaining financial health Business profit ¥80.0 to 85.0 bn ROE 10% or higher ROIC 7.5% or higher Next Medium- Term Management Plan onward FY2031 (Initial forecast: ¥75.0 to 80.0) (Initial forecast: 7.0%) Announced this time 6. Financial KPIs FY2024 FY2025 Results Results Forecast April 2026 forecast Operating profit (billions of yen) 57.5 53.5 59.0 57.5 Business profit (billions of yen) (Operating profit + share of profit of entities accounted for using equity method + dividend income) 63.4 59.6 66.0 64.3 (8.2) 42.0 ROIC (%) 6.4 5.7 6.0 5.5 [WACC %] [ 4.8 ] [ 4.8 ] [5.0] [ 4.9 ] (1.8) 8.6 Interest-bearing debt (billions of yen) 111.1 202.2 231.0 243.4 Shareholders' equity ratio (%) 36.5 33.4 34.0 33.9 (27) 143 (122.9) 24.0 DOE (%) 1.43 2.24 2.75 2.49 →Level excluding the impact of the net loss associated with the CB purchase and cancellation 8.3 EPS (yen) 126 130 Financial health Shareholder returns Dividend payout ratio (%) 19.2 33.9 30.8 130 FY2026 Profit growth ROE (%) 8.5 8.3 38.0 Theme KPI Net profit (billions of yen) 39.5 38.0
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Reference Materials 40 [FY2026 Interim Results] *Q1 and Q2 Overview by Segment Total Operating Revenue by Segment Net Sales in the Department Stores in Japan Segment (By Customer / By Product) SG&A Expenses in the Department Stores in Japan Segment [FY2026 Full-year Forecasts] *H1 and H2 Overview by Segment Total Operating Revenue by Segment SG&A Expenses in the Department Stores in Japan Segment [Overview of the Sale of Assets Held]
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41 (Reference) [FY2026 Interim Results] Overview by Segment *Top row : Operating revenue, Bottom row : Operating profit (billion JPY) H1 YoY Change Change from Apr.14 forecast Q1 YoY Change Q2 YoY Change 158.2 +1.6% (1.5%) 75.6 +2.9% 82.6 +0.4% 12.5 + 2.9 + 0.2 7.5 + 2.3 5.0 + 0.6 19.1 +15.4% +5.9% 9.7 +13.2% 9.4 +17.7% 4.6 + 0.8 + 0.2 2.6 + 0.4 2.0 + 0.4 26.5 +2.8% +0.4% 13.1 +3.1% 13.3 +2.5% 3.5 + 0.0 + 0.1 2.2 + 0.1 1.3 (0.1) 9.0 +14.5% +2.2% 4.5 +15.5% 4.4 +13.4% 3.2 + 0.5 + 0.2 1.7 + 0.3 1.5 + 0.2 13.1 +7.3% (1.8%) 6.5 +7.3% 6.6 +7.3% 3.1 + 0.5 + 0.2 1.6 + 0.2 1.5 + 0.2 17.5 (2.4%) (5.9%) 9.7 +12.5% 7.8 (16.3%) 1.1 (0.5) + 0.0 0.6 (0.0) 0.5 (0.4) 27.3 +1.4% (2.1%) 13.6 +1.3% 13.7 +1.6% 0.6 (0.2) (0.3) 0.3 + 0.0 0.3 (0.2) 244.1 +3.7% +0.5% 119.7 +6.4% 124.4 +1.3% 27.5 + 3.9 + 1.1 16.0 + 3.3 11.6 + 0.5 Business profit 30.5 +5.3 +1.9 17.3 +4.1 13.2 +1.2 Overseas Department Stores Commercial Property Development in Japan Department Stores in Japan Consolidated Total Construction & Design Overseas Commercial Property Development Finance Others
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42 (Reference) [FY2026 Interim Results] Total Operating Revenue by Segment (billion JPY) H1 YoY Change Change from Apr.14 forecast Q1 YoY Change Q2 YoY Change Department Stores in Japan 425.4 +5.9% +2.6% 214.2 +7.5% 211.3 +4.3% Overseas Department Stores 19.1 +15.4% +5.9% 9.7 +13.2% 9.4 +17.7% Commercial Property Development in Japan 26.5 +2.8% +0.6% 13.1 +3.1% 13.3 +2.5% Overseas Commercial Property Development 9.0 +14.5% +0.7% 4.5 +15.5% 4.4 +13.4% Finance 13.2 +7.7% (0.4%) 6.7 +6.9% 6.6 +8.5% Construction & Design 17.5 (2.4%) (6.1%) 9.7 +12.5% 7.8 (16.3%) Others 28.7 +1.6% (3.3%) 14.3 +1.6% 14.4 +1.6% Consolidated Total 517.5 +6.2% +2.9% 261.4 +8.4% 256.1 +4.1%
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43 YoY (Existing stores) Q1 Q2 H1 Q3 Q4 H2 Full- year Q1 Q2 H1 Total net sales (6%) (1%) (3%) +5% +4% +4% +1% +10% +7% +9% Domestic customers (1%) +4% +2% +4% +7% +6% +4% +9% +5% +7% (non-VIP customers) (0%) +4% +2% +3% +6% +5% +3% +9% +5% +7% (VIP customers) (2%) +3% +1% +7% +10% +8% +5% +11% +6% +8% Inbound customers (30%) (28%) (29%) +5% (14%) (5%) (18%) +15％ +22％ +18％ FY2025 FY2026 ✓ Total net sales were up 9% YoY, and there was significant growth in both domestic and inbound customers ✓ Net sales from domestic customers were up 7% YoY, while net sales from both VIP and non-VIP customers continued to perform strongly and in line with forecasts ✓ Net sales from inbound customers were significantly higher (up 18% YoY) than the forecasts that took into account risks (down 3% YoY) (Reference) [FY2026 Interim Results] In-store Net Sales in the Department Stores in Japan Segment (By Customer)
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44 ✓ Net sales of clothing and accessories, high-ticket items, and foods, which account for a large proportion of sales, all grew from the previous year ✓ In particular, net sales of clothing and accessories continued to be positive, supported by product strengthening measures (retail full-priced items) with key business partners ✓ Net sales of high-ticket items were up 19% and net sales of foods continued the positive trend from the previous year YoY (Existing stores) Q1 Q2 H1 Q3 Q4 H2 Full- year Q1 Q2 H1 Total net sales (6%) (1%) (3%) +5% +4% +4% +1% +10% +7% +9% Clothing and accessories (Women’s clothing and cosmetics, etc.) (1%) (1%) (1%) +1% (2%) (1%) (1%) +3% +2% +2% (of which, retail full-priced items) (1%) (1%) (1%) +2% (2%) +0% (0%) +3% +3% +3% high-ticket items (Special selection and jewelry) (11%) (7%) (9%) +12% +12% +12% +2% +20% +17% +19% Foods +4% +1% +2% +2% +2% +2% +2% +3％ +2％ +3％ FY2025 FY2026 (Reference) [FY2026 Interim Results] In-store Net Sales in the Department Stores in Japan Segment (By Product)
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4.3 3.7 3.9 3.8 4.3 4.4 4.3 6.5 4.5 3.3 4.1 3.5 3.5 3.5 4.0 4.9 4.7 3.9 0 2 4 6 8 10 12 Mar. Apr. May Jun. Jul. Aug. Sep. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Jun. Jul. Aug. China Others 7.7 7.8 7.4 8.3 9.2 8.8 7.1 7.06.97.0 10.5 8.9 9.4 8.0 7.4 9.4 8.9 7.3 0.25 0.26 0.24 0.24 0.23 0.23 0.27 0.31 0.28 0.31 0.29 0.24 (per day) 45 ✓ Net sales were ¥51.9 bn (YoY increase: ¥8.0 bn [+18%]), exceeding the forecast (¥42.5 bn) ✓ Net sales grew each month, supported by the external environment (weak yen) as well as various measures (customer referrals from overseas stores, etc.) ✓ Net sales in China remained at the level of the previous year, while growth in other countries led to the share of net sales accounted for by China dropping to 47% (56% in the previous year) ¥146.18 *U.S. dollar / Japanese yen (Month-end average) ¥160.46¥154.27 China: ¥24.4 bn Share: 56% China: ¥24.6 bn (+1% YoY) Share: 47% (Reference) [FY2026 Interim Results] Inbound Customers in the Department Stores in Japan Segment (By Country) FY2026FY2025 ¥51.9 bn (+18% YoY) ¥43.8 bn (-29% YoY)
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46 ✓ Net sales from high-ticket items were up 26% YoY, growing significantly thanks in part to the pullback from the slowdown due to the impact of the strong yen in the previous year ✓ The number of transactions (number of customers) fell 2% YoY, while net sales per customer were up 20% with net sales per customer increasing as a result of growth in high-ticket items ✓ The overall gross margin ratio was dragged down by the expansion in the share of net sales accounted for by high- ticket items with a low gross margin to 71% (66% in the previous year) Share of H1 net sales by product (previous year ⇒ this year) High-ticket items: 66%⇒71% / Cosmetics: 14％⇒12％ / Others: 20％⇒17％ YoY (Existing stores) Q1 Q2 H1 H2 Full- year Q1 Q2 H1 Total net sales (30%) (28%) (29%) (5%) (18%) +15％ +22% +18% Clothing and accessories +2% (7%) (2%) (7%) (5%) (3%) +4% +1% (of which, cosmetics) +5% +2% +3% (0%) +2% (1%) +6% +3% High-ticket items (41%) (36%) (39%) (5%) (24%) +24% +29% +26% Sporting goods +33% +6% +20% (9%) +4% (5%) +16% +4% Children’s information and hobbies +19% +2% +10% +2% +6% +1% +5％ +2％ FY2025 FY2026 Number of transactions (number of customers) +1% (8%) (3%) (7%) (5%) (4%) +1% (2%) Net sales per customer (31%) (22%) (27%) +1% (14%) +19% +21% +20% (Reference) [FY2026 Interim Results] Inbound Customers in the Department Stores in Japan Segment(By Product / By Net Sales Per Customer)
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47 (Reference) [FY2026 Interim Results] SG&A Expenses in the Department Stores in Japan Segment (billion JPY) H1 YoY change Human capital investments Measures for making department stores more profitable Procurement costs Variable costs Cost optimization program Change from Apr.14 forecast Personnel related expenses 26.1 (0.1) +0.6 +0.5 +0.0 +0.0 (1.2) (0.8) Advertising expenses 5.3 (0.4) +0.0 +0.0 +0.0 +0.0 (0.4) (0.5) G&A expenses 37.8 +1.1 +0.0 +0.4 +1.1 +0.4 (0.7) +1.9 Rent and tax expenses 14.1 +0.1 +0.0 +0.0 +0.1 +0.0 0.0 (0.1) Total 83.2 +0.8 +0.6 +0.8 +1.2 +0.4 (2.2) +0.6 SG&A to total operating revenue ratio 19.6% (0.9) (0.4) (billion JPY) Q1 YoY change Human capital investments Measures for making department stores more profitable Procurement costs Variable costs Cost optimization program Q2 YoY change Human capital investments Measures for making department stores more profitable Procurement costs Variable costs Cost optimization program Personnel related expenses 12.6 (0.1) +0.2 +0.2 +0.0 +0.0 (0.4) 13.4 +0.0 +0.5 +0.3 +0.0 +0.0 (0.7) Advertising expenses 3.1 (0.2) +0.0 +0.0 +0.0 +0.0 (0.2) 2.2 (0.1) +0.0 +0.0 +0.0 +0.0 (0.1) G&A expenses 17.5 +0.5 +0.0 +0.1 +0.4 +0.2 (0.2) 20.2 +0.6 (0.0) +0.3 +0.6 +0.2 (0.5) Rent and tax expenses 6.5 (0.1) +0.0 +0.0 +0.1 +0.0 (0.2) 7.6 +0.2 +0.0 +0.0 +0.1 +0.0 0.2 Total 39.8 +0.1 +0.2 +0.3 +0.5 +0.2 (1.1) 43.5 +0.7 +0.5 +0.5 +0.7 +0.2 (1.2) SG&A to total operating revenue ratio 18.6% (1.3) 20.6% (0.5) Breakdown of YoY change Breakdown of YoY changeBreakdown of YoY change
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*Top row : Operating revenue, Bottom row : Operating profit (billion JPY) Full-year forecast YoY Change Change from Apr.14 forecast H1 YoY Change Change from forecast H2 forecast YoY Change Change from Apr.14 forecast 326.7 +1.5% (0.6%) 158.2 +1.6% (1.5%) 168.5 +1.4% +0.4% 27.7 + 2.8 + 0.0 12.5 + 2.9 + 0.2 15.2 (0.0) (0.2) 40.6 +15.4% +6.9% 19.1 +15.4% +5.9% 21.5 +15.3% +7.8% 10.4 + 1.9 + 0.8 4.6 + 0.8 + 0.2 5.8 + 1.1 + 0.6 53.4 +2.7% +0.7% 26.5 +2.8% +0.4% 27.0 +2.6% +1.0% 6.4 (0.1) + 0.0 3.5 + 0.0 + 0.1 3.0 (0.2) (0.1) 18.5 +12.7% +2.7% 9.0 +14.5% +2.2% 9.5 +11.1% +3.2% 6.6 + 0.8 + 0.3 3.2 + 0.5 + 0.2 3.4 + 0.3 + 0.1 27.0 +7.2% +0.2% 13.1 +7.3% (1.8%) 13.9 +7.1% +2.1% 6.3 + 0.7 + 0.4 3.1 + 0.5 + 0.2 3.2 + 0.3 + 0.2 32.6 (13.6%) (14.4%) 17.5 (2.4%) (5.9%) 15.1 (23.7%) (22.5%) 1.9 (0.6) (0.6) 1.1 (0.5) + 0.0 0.8 (0.1) (0.6) 60.6 +2.5% (0.8%) 27.3 +1.4% (2.1%) 33.3 +3.3% +0.4% 1.9 (0.1) (0.3) 0.6 (0.2) (0.3) 1.3 + 0.0 (0.0) 509.1 +3.4% +1.2% 244.1 +3.7% +0.5% 265.0 +3.1% +1.9% 59.0 + 5.5 + 1.5 27.5 + 3.9 + 1.1 31.5 + 1.6 + 0.4 Business profit 66.0 +6.4 +1.7 30.5 +5.3 +1.9 35.5 +1.1 (0.2) Others Consolidated Total Construction & Design Finance Overseas Commercial Property Development Department Stores in Japan Commercial Property Development in Japan Overseas Department Stores 48 (Reference) [FY2026 Full-year Forecasts] Overview by Segment
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49 (Reference) [FY2026 Full-year Forecasts] Total Operating Revenue by Segment (billion JPY) Full-year forecast YoY Change Change from Apr.14 forecast H1 YoY Change Change from Apr.14 forecast H2 forecast YoY Change Change from Apr.14 forecast Department Stores in Japan 885.4 +4.1% +2.1% 425.4 +5.9% +2.6% 460.0 +2.6% +1.5% Overseas Department Stores 40.6 +15.3% +6.8% 19.1 +15.4% +5.9% 21.5 +15.3% +7.7% Commercial Property Development in Japan 53.4 +2.6% +0.6% 26.5 +2.8% +0.6% 26.9 +2.4% +0.5% Overseas Commercial Property Development 19.1 +16.4% +4.4% 9.0 +14.5% +0.7% 10.1 +18.2% +7.8% Finance 27.2 +7.8% +1.1% 13.2 +7.7% (0.4%) 14.0 +7.9% +2.6% Construction & Design 32.6 (13.7%) (14.4%) 17.5 (2.4%) (6.1%) 15.1 (23.8%) (22.4%) Others 64.1 +3.6% +0.3% 28.7 +1.6% (3.3%) 35.4 +5.2% +3.5% Consolidated Total 1,080.0 +4.6% +2.4% 517.5 +6.2% +2.9% 562.5 +3.2% +1.9%
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50 (Reference) [FY2026 Full-year Forecasts] SG&A Expenses in the Department Stores in Japan Segment (billion JPY) Full-year forecast YoY change Human capital investments Measures for making department stores more profitable Procurement costs Variable costs Cost optimization program Change from Apr.14 forecast Personnel related expenses 54.5 +0.5 +1.5 +1.1 +0.0 +0.0 (2.1) (1.4) Advertising expenses 11.6 (0.2) +0.0 +0.2 +0.0 +0.0 (0.4) (0.8) G&A expenses 76.8 +1.6 +0.0 +0.7 +1.8 +1.1 (1.9) +3.1 Rent and tax expenses 27.4 +0.3 +0.0 +0.0 +0.3 +0.0 0.0 (0.2) Total 170.2 +2.2 +1.5 +2.0 +2.1 +1.1 (4.3) +0.7 SG&A to total operating revenue ratio 19.2% (0.5) (0.3) (billion JPY) H1 YoY change Human capital investments Measures for making department stores more profitable Procurement costs Variable costs Cost optimization program Change from Apr.14 forecast H2 forecast YoY change Human capital investments Measures for making department stores more profitable Procurement costs Variable costs Cost optimization program Change from Apr.14 forecast Personnel related expenses 26.1 (0.1) +0.6 +0.5 +0.0 +0.0 (1.2) (0.8) 28.4 +0.5 +0.8 +0.7 +0.0 +0.0 (1.0) (0.6) Advertising expenses 5.3 (0.4) +0.0 +0.0 +0.0 +0.0 (0.4) (0.5) 6.2 +0.2 +0.0 +0.2 +0.0 +0.0 0.0 (0.3) G&A expenses 37.8 +1.1 +0.0 +0.4 +1.1 +0.4 (0.7) +1.9 39.0 +0.5 +0.0 +0.3 +0.7 +0.7 (1.2) +1.2 Rent and tax expenses 14.1 +0.1 +0.0 +0.0 +0.1 +0.0 0.0 (0.1) 13.3 +0.2 +0.0 +0.0 +0.1 +0.0 0.0 (0.1) Total 83.2 +0.8 +0.6 +0.8 +1.2 +0.4 (2.2) +0.6 87.0 +1.4 +0.8 +1.2 +0.8 +0.7 (2.1) +0.2 SG&A to total operating revenue ratio 19.6% (0.9) (0.4) 18.9% (0.2) (0.3) Breakdown of YoY change Breakdown of YoY change Breakdown of YoY change
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51 ■ Sale of Securities ■ Sale of Real Estate Stock Number of Shares Sold Sale Value (¥ m) Book Value (¥ m) Gain on Sale (¥ m) Timing of Sale Japan Airport Terminal Co., Ltd. 290,000 1,550 10 1,540 Q3 Property Current Status Sale Value (¥ m) Book Value (¥ m) Gain on Sale (¥ m) Timing of Sale Ebina parking lot (Kanagawa) Non-store 670 310 360 Q1 Shiomibashi land (Osaka) Non-store 3,800 1,490 2,170 Q3 Hirano land (Osaka) Non-store 160 100 50 Q3 Omiya-Higashi land and building (Saitama) Non-store 390 210 190 Q3 FY2026 (Reference) Overview of the Sale of Assets Held
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52 The forward-looking statements contained in this document are based on information currently available to the Company and on certain assumptions that the Company believes to be reasonable. These statements do not guarantee that the same results will be achieved. Actual performance may differ significantly due to various factors.