Interim report
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Consolidated Financial Results for the Three Months Ended June 30, 2026 (Based on Japanese GAAP) August 4, 2026 Company name: Axial Retailing Inc. Stock exchange listings: Tokyo, Prime Securities code: 8255 URL: https://www.axial-r.com/ Representative: Kazuhiko Hara, President and Representative Director, CEO Inquiries: Bungo Yamagishi, Vice President and Director, CFO T e l . + 8 1 258-66-6711 Scheduled date to commence dividend payments: None Preparation of supplementary material on financial results: None Holding of financial results briefing: None (Amounts less than one million yen are rounded down) 1. Consolidated financial results for the three months ended June 30, 2026 (from April 1, 2026 to June 30, 2026) (1) Consolidated operating results (cumulative) (% change YoY) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Three months ended Millions of yen % Millions of yen % Millions of yen % Millions of yen % June 30, 2026 72,725 2.1 2,541 -7.6 2,647 -6.6 1,720 -10.4 June 30, 2025 71,244 7.1 2,749 3.6 2,835 2.5 1,919 2.5 Note: Comprehensive income Three months ended June 30, 2026: 1,672 million yen [-15.4%] Three months ended June 30, 2025: 1,976 million yen [3.2%] Basic earnings per share Diluted earnings per share Three months ended Yen Yen June 30, 2026 19.45 ― June 30, 2025 21.62 ― (2) Consolidated financial position Total assets Net assets Equity-to-asset ratio As of Millions of yen Millions of yen % June 30, 2026 141,229 94,711 67.1 March 31, 2026 144,145 95,218 66.1 Reference: Net assets attributable to owners of parent As of June 30, 2026: 94,711 million yen As of March 31, 2026: 95,218 million yen 2. Cash Dividends Annual dividends per share First quarter-end Second quarter-end Third quarter-end Fiscal year-end Total Fiscal year Yen Yen Yen Yen Yen Ended March 31, 2026 ― 13.00 ― 16.00 29.00 Ending March 31, 2027 ― Ending March 31, 2027 (Forecast) 13.00 ― 16.00 29.00 Note: Revision of cash dividend forecast for this period: None 1
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3. Consolidated financial forecast for the fiscal year ending March 31, 2027 (from April 1, 2026 to March 31, 2027) (% change YoY) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Basic earnings per share Millions of yen ％ Millions of yen ％ Millions of yen ％ Millions of yen ％ Y en Six months ending September 30, 2026 149,000 1.6 5,500 -6.6 5,600 -7.1 3,800 -6.3 42.90 Fiscal year Ending March 31, 2027 300,000 1.5 11,700 -4.0 12,000 -6.2 8,000 -9.1 90.31 Note: Change from the latest released earnings forecasts: None Notes: 1. Significant changes in the scope of consolidation during the period: None 2. Adoption of accounting treatment specific to the preparation of semi-annual consolidated financial statements: None 3. Changes in accounting policies, accounting estimates and retrospective restatement 3.1. Changes in accounting policies due to revisions to accounting standards and other regulations: Yes 3.2. Changes in accounting policies due to other reasons: None 3.3. Changes in accounting estimates: None 3.4. Restatement: None 4. Number of issued shares (common stock) 4.1. Total number of issued shares at the end of the period (including treasury shares) As of June 30, 2026: 93,552,156 shares As of March 31, 2026: 93,552,156 shares 4.2. Number of treasury shares at the end of the period As of June 30, 2026: 5,681,493 shares As of March 31, 2026: 4,964,748 shares 4.3. Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) Three months ended June 30, 2026: 88,430,769 shares Three months ended June 30, 2025: 88,776,402 shares Cautions: 1. Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: None 2. Explanation relating to the appropriate use of earnings forecasts, and other noteworthy items Forward-looking statements in this earnings release, such as forecasts of results of operations, are based on the information currently available and certain assumptions that we regard as r easonable and therefore actual results may differ materially from those contained in or suggested by any forward-looking statements. 3. This document has been translated from a part of the Japanes e original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail. 2
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(Yen million) As of As of March 31, 2026 June 30, 2026 30,436 28,776 6,001 5,610 31 3 279 259 6,313 6,673 40 71 396 420 62 4,351 3,837 -4 -3 47,826 45,660 48,061 47,580 1,120 1,966 21,015 21,015 1,221 1,178 2,035 843 3,237 3,332 76,692 75,917 00 3,259 3,290 3,260 3,291 4,852 4,827 33 1,015 1,017 3,406 3,593 6,262 6,158 840 775 -15 -15 16,366 16,359 96,319 95,568 144,145 141,229 Current assets Assets Property, plant and equipment Cash and deposits Accounts receivable - trade Lease investment assets Merchandise and finished goods Work in process Raw materials and supplies Income tax refund receivable Other Allowance for doubtful accounts Total current assets Non-current assets Contract assets Other, net Buildings and structures, net Machinery, equipment and vehicles, net Land Leased assets, net Construction in progress Total investments and other assets Total property, plant and equipment Intangible assets Investments and other assets Investment securities Long-term loans receivable Deferred tax assets Lease and guarantee deposits Other Allowance for doubtful accounts Goodwill Other Total intangible assets Retirement benefit asset Total non-current assets Total assets Consolidated Financial Statements １ Consolidated Balance Sheet 3
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(Yen million) As of As of March 31, 2026 June 30, 2026 19,298 19,583 700 693 279 280 2,270 1,165 322 76 2,260 2,983 10,179 8,272 35,309 33,055 1,782 1,712 6,197 6,178 5,528 5,465 11 108 105 13,617 13,462 48,927 46,518 3,159 3,159 15,749 15,749 77,954 78,257 -4,727 -5,489 92,136 91,677 2,483 2,466 598 567 3,081 3,034 95,218 94,711 144,145 141,229 Liabilities Current liabilities Accounts payable - trade Treasury shares Total shareholders' equity Accumulated other comprehensive income Retirement benefit liability Other Total non-current liabilities Total liabilities Net assets Shareholders' equity Share capital Capital surplus Retained earnings Total current liabilities Non-current liabilities Lease obligations Asset retirement obligations Long-term guarantee deposits Lease obligations Income taxes payable Provision for bonuses for directors (and other officers) Provision for bonuses Other Contract liabilities Valuation difference on available-for-sale securities Adjustments related to retirement benefits Total accumulated other comprehensive income Total net assets Total liabilities and net assets 4
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(Yen million) Three Months ended Three Months ended June 30, 2025 June 30, 2026 71,244 72,725 50,979 52,180 20,264 20,544 2,701 2,747 5,210 5,511 81 76 1,021 1,003 167 135 1,383 1,356 1,292 1,351 00 0― 5,655 5,820 17,514 18,003 2,749 2,541 65 58 76 55 1 28 35 148 120 11 7 49 5 11 62 14 2,835 2,647 ―1 ―1 60 00 60 2,828 2,648 1,051 1,093 -142 -165 908 927 1,919 1,720 ―― 1,919 1,720 Commission for purchase of treasury shares Cost of sales Provision for bonuses Retirement benefit expenses Rent expenses on land and buildings Interest income Dividend income Other Provision of allowance for doubtful accounts Other Total selling, general and administrative expenses Operating profit Non-operating income Penalty income Depreciation Gross profit Selling, general and administrative expenses Employees' salaries Miscellaneous salaries and wages Provision for bonuses for directors (and other officers) Net profit Profit attributable to non-controlling interests Profit attributable to owners of parent ２ Consolidated Statements of Income and Comprehensive Income Consolidated Income Statement Impairment losses Total extraordinary losses Profit before income taxes Loss on retirement of non-current assets Non-operating expenses Interest expenses Other Total non-operating expenses Amortization of goodwill Total non-operating income Net sales Ordinary profit Income taxes - current Income taxes - deferred Extraordinary losses Total income taxes Extraordinary income Gain on sale of non-current assets Total extraordinary income 5
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(Yen million) Three Months ended Three Months ended June 30, 2025 June 30, 2026 1,919 1,720 77 -16 -20 -30 56 -47 1,976 1,672 1,976 1,672 ――Comprehensive income attributable to non-controlling interests Comprehensive income attributable to Comprehensive income attributable to owners of parent Other comprehensive income Comprehensive income Net profit Consolidated Comprehensive Income Statement Valuation difference on available-for-sale securities Adjustments related to retirement benefits Total other comprehensive income 6
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(Yen million) Three Months ended Three Months ended June 30, 2025 June 30, 2026 2,828 2,648 1,421 1,481 00 00 0- 0 -235 -245 615 723 -29 -46 -65 -82 11 7 ―- 1 60 487 391 -183 -413 368 285 177 -335 21 21 397 324 5,824 4,760 58 77 -9 -6 -1,535 -2,056 4,337 2,774 -1,187 -2,247 ―3 -102 -132 -0 -0 00 131 110 -25 53 -1,183 -2,213 -68 -69 -1,282 -767 -1,399 -1,384 -2,750 -2,220 403 -1,660 21,887 30,436 22,290 28,776 Subtotal Interest and dividends received Purchase of property, plant and equipment Increase (decrease) in trade payables Net increase (decrease) in payment for lease and guarantee deposits Purchase of intangible assets Expenditure on loans Proceeds from collection of loans receivable Proceeds from sale of property, plant and equipment Cash flows from operating activities Increase (decrease) in allowance for doubtful accounts Profit before income taxes Other Increase (decrease) in provision for bonuses for directors (and other officers) Decrease (increase) in consumption taxes receivable / payable Incease (decrease) in net defined benefit asset and liability Interest and dividend income Interest expenses Loss on retirement of non-current assets Decrease (increase) in trade receivables Decrease (increase) in inventories Loss (gain) on sale of non-current assets Increase (decrease) in provision for bonuses Amortization of goodwill Depreciation Impairment losses Other Net increase (decrease) in cash and cash equivalents Cash and cash equivalents at beginning of period Cash and cash equivalents at end of period ３ Consolidated Cash Flow Statement Cash flows from financing activities Repayment of lease obligations Purchase of treasury shares Dividends paid Interest paid Income taxes paid Net cash provided by (used in) operating activities Cash flows from investing activities Net cash provided by (used in) financing activities Decrease (increase) in lease investment assets Net cash provided by (used in) investing activities 7