Accounting Overview and Performance Forecast

Fiscal 2025 Accounting Overview

Consolidated net sales for fiscal 2025 increased by 5,763 million yen (3.1%) from the previous year to 194,554 million yen, driven by sales growth across all segments. As for profits, consolidated operating profit increased by 1,479 million yen (20.4%) from the previous year to 8,748 million yen. This result was primarily driven by an increase in gross profit resulting from higher sales, despite the fact that the Direct Selling Group was affected to some extent by rising cost ratios. Consolidated ordinary profit also increased by 2,267 million yen (21.2%) from the previous year to 12,964 million yen, primarily due to a higher share of profits of entities accounted for using the equity method. Profit attributable to owners of the parent increased by 372 million yen (4.2%) from the previous year to 9,180 million yen. Although we continued reducing strategically held shares during the fiscal year, the primary reasons for this result were a year-on-year decrease in gains on sales of investment securities and the recognition of an impairment loss on non-current assets.

Millions of yen

	Year ended Mar. 31, 2025	Year ended Mar. 31, 2026	Increase/decrease
	Year ended Mar. 31, 2025	Year ended Mar. 31, 2026		%
Consolidated net sales	188,791	194,554	5,763	3.1
Consolidated gross profit	83,549	85,844	2,294	2.7
Consolidated operating profit	7,268	8,748	1,479	20.4
Consolidated ordinary profit	10,697	12,964	2,267	21.2
Profit attributable to owners of the parent	8,808	9,180	372	4.2

Fiscal 2026 Performance Forecast

The performance forecast for fiscal 2026 is as follows.

Consolidated

	FY 2026 (Forecast)			FY 2025 (Actual)
	Millions of yen	% of net sales	YoY (%)	Millions of yen	% of net sales
Net sales	201,500	100.0	3.6	194,554	100.0
Operating profit	9,000	4.5	2.9	8,748	4.5
Ordinary profit	12,900	6.4	-0.5	12,964	6.7
Profit attributable to owners of the parent	9,800	4.9	6.7	9,180	4.7

Duskin Co., Ltd. (Non-consolidated)

	FY 2026 (Forecast)			FY 2025 (Actual)
	Millions of yen	% of net sales	YoY (%)	Millions of yen	% of net sales
Net sales	160,300	100.0	3.2	155,328	100.0
Operating profit	5,600	3.5	-6.8	6,011	3.9
Ordinary profit	11,000	6.9	1.1	10,876	7.0
Profit attributable to owners of the parent	9,000	5.6	14.1	7,886	5.1

Note: The forecast does not take into account the potential impact of the conflicts in the Middle East, as the outlook remains uncertain.