Nissan Chemical : Financial Results for the 3Q of FY2025

Consolidated Financial Results for the Nine Months Ended December 31, 2025

(JPGAAP)

February 9,2026

Name of listed company: Nissan Chemical Corporation Stock Exchange: Tokyo

Code number: 4021 URL: https://www.nissanchem.co.jp/

Representative: YAGI Shinsuke, President

Inquiry to: NOMURA Hiroshi, Head of Finance and Accounting Department Tel. [phone] Scheduled dividend payment date: -

Supplemental information: Yes

Financial results meeting : Yes (For institutional investors and analysts)

(Amounts rounded down to the nearest million yen)

1. Consolidated Financial Results for the Nine Months Ended December 31, 2025 (From April 01, 2025 to December 31, 2025)

1. Consolidated Operating Results

   (% indicates the rate of increase/decrease against the same period of the previous year)

   	Net sales		Operating income		Ordinary income		Net income attributable to owners of parent
   	Million yen	%	Million yen	%	Million yen	%	Million yen	%
   Nine months ended December 31, 2025	195,435	11.8	44,984	9.5	46,513	7.4	35,043	10.5
   Nine months ended December 31, 2024	174,832	12.6	41,080	22.9	43,326	23.6	31,708	22.1

   (Note) Comprehensive income: Nine months ended December 31, 2025 : 41,371 million yen ,35.6%

   Nine months ended December 31, 2024 : 30,498 million yen ,6.5%

   	Basic earnings per share	Diluted net income per share
   	Yen	Yen
   Nine months ended December 31, 2025	259.10	-
   Nine months ended December 31, 2024	230.27	-

2. Consolidated Financial Position

	Total assets	Net assets	Equity ratio
	Million yen	Million yen	%
As of December 31, 2025	340,144	245,545	71.1
As of March 31, 2025	330,763	236,180	70.5

(Reference) Shareholders' equity:	As of December 31, 2025	: 241,840 million yen
2. Cash Dividends	As of March 31, 2025	: 233,291 million yen

	Cash dividends per share
	First quarter	Second quarter	Third quarter	Year-end	Annual
Year ended March 31, 2025 Year ending March 31, 2026	Yen - -	Yen 70.00 70.00	Yen - -	Yen 104.00	Yen 174.00
Year ending March 31, 2026 (Outlook)				110.00	180.00

(Note) Revision of the latest released dividend outlook: None

1. Outlook of Consolidated Financial Results for the Fiscal Year Ending March 31, 2026 (From April 01, 2025 to March 31, 2026)

   (% indicates the rate of increase/decrease against the same period of the previous year)

   	Net sales		Operating income		Ordinary income		Net income attributable to owners of parent		Basic earnings per share
   	Million yen	%	Million yen	%	Million yen	%	Million yen	%	Yen
   Year ending March 31, 2026	272,200	8.3	59,000	3.8	59,000	1.7	44,000	2.2	328.22

   (Note) Revision of the latest released outlook of financial results: None

2. Notes

1. Changes in significant consolidated subsidiaries

   (Changes in specified subsidiaries involving changes in scope of consolidation) : None

2. Application of special accounting treatment to preparation of quarterly financial statements : None

3. Changes of accounting policies and accounting estimates, and restatement

   1. Changes of accounting policies due to revisions of accounting standards : None

   2. Changes of accounting policies other than the above : None

   3. Changes in accounting estimates : None

   4. Restatements : None

4. Number of shares outstanding (common shares)

1. Number of shares outstanding (including treasury shares) As of December 31, 2025 : 135,800,000 shares

   As of March 31, 2025 : 136,800,000 shares

2. Number of treasury shares

   As of December 31, 2025 : 1,284,883 shares

   As of March 31, 2025 : 517,787 shares

3. Average number of shares outstanding

As of December 31, 2025 : 135,251,552 shares

As of December 31, 2024 : 137,701,777 shares

(Note) The Company has introduced "Board Benefit Trust (BBT)" based on the resolution of Board of Directors' meeting held on July 30,2019.The shares held by the Trust are included in the number of treasury shares at the end of the period, and they are included in the number of treasury shares deducted in calculating the average number of shares outstanding over the period. The number of shares held by the Trust (included in treasury shares) at the end of the period was 132,200 shares.

In addition, the average number of shares held by the Trust during the period was 133,633 shares. This is not included in the average number of shares outstanding.

• Presentation regarding implementation status of quarterly review procedures The financial release is not subject to quarterly review.

• Explanations regarding appropriate use of business outlook and other special notes

The business outlook contained in this report is based on information available at the time of disclosure. Actual operating results may differ materially from the outlook due to various factors.

For supplemental information, please refer to our website.

The transcript of financial results briefing will be released on our website as well.

Table of Contents for Attached Materials

1. Qualitative Information on Quarterly Results 2

   1. Business Performance 2

   2. Financial Position 3

   3. Outlook of Consolidated Financial Results and Other Forward-looking Information 4

   4. Basic Policy on Distribution of Earnings 4

2. Consolidated Financial Statements 5

   1. Consolidated Balance Sheets 5

   2. Consolidated Statements of Income / Consolidated Statements of Comprehensive Income 7

   3. Consolidated Statements of Cash Flows 9

   4. Notes to Consolidated Financial Statements 10

(Notes on Assumption of Going Concern) 10

(Notes on Significant Changes in Shareholders' Equity) 10

(Additional information) 10

(Segment Information) 11

1. Qualitative Information on Quarterly Results

1. Business Performance

   During the third quarter of the current fiscal year (April 01, 2025 to December 31, 2025), the global economy was supported by increased investment in the technology sector, including artificial intelligence, and by fiscal and monetary policies implemented by various countries. However, due to factors such as changes in trade policies in some major countries, the situation remained uncertain. Under these circumstances, in the Chemicals Segment, sales of both Basic Chemicals and Fine Chemicals increased. In the Performance Materials Segment, sales increased mainly due to strong sales of Semiconductor Materials. In the Agricultural Chemicals Segment, sales of both domestic and overseas increased. In the Healthcare Segment, sales decreased.

   As a result, both sales and each income exceeded the same period of the previous fiscal year and the outlook announced in November.

   (Million yen, amount rounded down to the nearest million yen)

   	3Q FY2024	3Q FY2025	Year on Year Change
   Sales	174,832	195,435	+20,603
   Operating income	41,080	44,984	+3,904
   Ordinary income	43,326	46,513	+3,187
   Net income attributable to owners of parent	31,708	35,043	+3,334

   3Q FY2025 (Outlook) (Note)	Change from Outlook
   189,600	+5,835
   41,600	+3,384
   41,200	+5,313
   31,100	+3,943

   (Note) The outlook is described on page 10 of the 2Q FY2025 Presentation Materials (announced on November 10, 2025).

   Explanations by segments are as below.

   The Chemicals Segment

   In Basic Chemicals, sales of high purity sulfuric acid (agent used for cleaning semiconductor) and sales of urea and AdBlue®* (high-grade urea solution) increased. In Fine Chemicals, sales of "FINEOXOCOL" (cosmetics, etc.) increased.

   As a result, sales of this segment were 28,949 million yen (an increase of 846 million yen from the same period of the previous fiscal year) and operating income was 238 million yen (an increase of 33 million yen). Compared to the outlook (Note), sales were below 0.2 billion yen and operating income was in line with the target.

   * AdBlue® is a registered trademark of the Verband der Automobilindustrie (VDA).

   (Note) The outlook is described on page 44 of the 2Q FY2025 Presentation Materials (announced on November 10, 2025).

   The Performance Materials Segment

   In Display Materials, sales of "SUNEVER" (LCD alignment coating) increased. In Semiconductor Materials, sales of anti-reflective coating for semiconductors (ARC®*) and multi-layer process materials (OptiStack®*) increased significantly due to high customer utilization. In Inorganic Materials, sales of "SNOWTEX" (for polishing electronic materials and hard coating) increased.

   As a result, sales of this segment were 82,991 million yen (an increase of 8,796 million yen) and operating income was 26,767 million yen (an increase of 4,259 million yen). Compared to the outlook (Note), sales were above 1.2 billion yen and operating income was above 1.3 billion yen.

   * ARC® and OptiStack® are registered trademarks of Brewer Science, Inc.

   (Note) The outlook is described on page 44 of the 2Q FY2025 Presentation Materials (announced on November 10, 2025).

   The Agricultural Chemicals Segment

   Sales of Fluralaner (active ingredients for veterinary pharmaceuticals) increased. In Japanese domestic market, supported by stronger demand driven by rising rice prices, sales of "ALTAIR" (paddy rice herbicide) and "VERDAD" (paddy rice herbicide) grew. In the overseas market, sales of "LEIMAY" (fungicide) were firm.

   As a result, sales of this segment were 61,471 million yen (an increase of 7,682 million yen) and operating income was 16,997 million yen (a decrease of 1,160 million yen). Compared to the outlook (Note), sales were above 2.4 billion yen and operating income was above 0.8 billion yen.

   (Note) The outlook is described on page 44 of the 2Q FY2025 Presentation Materials (announced on November 10, 2025).

   The Healthcare Segment

   Sales of "LIVALO" (anti-cholesterol drug) increased. Sales of "Custom Chemicals" (solution proposal business and joint development business) decreased.

   As a result, sales of this segment were 3,971 million yen (a decrease of 453 million yen) and operating income was 1,061 million yen (a decrease of 591 million yen). Compared to the outlook (Note), sales were above 0.2 billion yen and operating income was above 0.2 billion yen.

   (Note) The outlook is described on page 44 of the 2Q FY2025 Presentation Materials (announced on November 10, 2025).

   Trading

   Sales of this segment were 94,521 million yen (an increase of 7,460 million yen) and operating income was 2,925 million yen (a decrease of 223 million yen). Compared to the outlook (Note), sales were above 4.6 billion yen and operating income was above 0.1 billion yen.

   (Note) The outlook is described on page 61 and 62 of the 2Q FY2025 Presentation Materials (announced on November 10, 2025).

   Others

   Sales of this segment were 22,501 million yen (an increase of 1,637 million yen) and operating income was 1,003 million yen (an increase of 868 million yen).

2. Financial Position

(Position of Assets, Liabilities and Net Assets)

Total assets as of December 31, 2025 was 340,144 million yen (an increase of 9,381 million yen from March 31, 2025). It is mainly due to the increase Investment securities and cash and deposits, though notes and accounts receivable - trade decreased.

Total liabilities as of December 31, 2025 was 94,598 million yen (an increase of 16 million yen). It is mainly due to the increase of accounts payable - trade.

Net assets as of December 31, 2025 was 245,545 million yen (an increase of 9,364 million yen). As a result of these factors, equity ratio was 71.1% (an increase of 0.6% from March 31, 2025).

(Position of Cash Flows)

Deducting income taxes paid from income before income taxes and non-controlling interests, depreciation and change in working capital, net cash provided by operating activities for the nine months ended December 31, 2025 was 51,819 million yen (47,338 million yen for the same period of the previous year).

Mainly due to capital investment in factories, etc., net cash used in investing activities for the nine months ended December 31, 2025 was 15,336 million yen (13,349 million yen for the same period of the previous year).

Due to payment for dividends and share repurchase, net cash used in financing activities for the nine months ended December 31, 2025 was 31,451 million yen (27,349 million yen for the same period of the previous year).

Cash and cash equivalents at the end of this period increased 6,585 million yen from March 31, 2025 after adjusting for the 1,553 million yen effect of exchange rate. The balance stood at 34,040 million yen (29,202 million yen for the same period