Slides
Page 1
February 3, 2026 Stock Code 7981 9 months and Q3 FYE3/2026 Results TAKARA STANDARD CO. LTD.
Page 2
Kitchen Bathroom Washstand Wall panels Water heater Toilet (Sales scheduled to end in March 2026) Company Overview 1 Our Share (Based on Revenue) A comprehensive housing equipment manufacturer that develops products using proprietary materials such as high-grade enamel. We operate mainly in the renovation market, new construction detached houses and multi-family housing market. Sales ChannelsMarkets Kitchen WashstandBathroom approx. 30％ 1st approx. 14％ 3rd approx. 23％ 3rd As of Fiscal Year 2024, according to our company's research End Users Company name TAKARA STANDARD Co., Ltd. Head office 1-2-1 Shigino-higashi, Joto-ku, Osaka 536-8536, Japan Established May 30, 1912 President Masaru Komori Listing Prime Market, Tokyo Stock Exchange (Stock code: 7981) Performance (consolidated) Net sales : ￥243.3billion operating margin : ￥15.6billion (FYE3/2025) Employees (consolidated) 6,560 (as of March 31, 2025) Remodeling New construction Detached houses New construction Multi-family housing Trading company, Agency, Dealer Overseas Market Non-Housing Market Developer, Construction company Housebuilder Local distributors Each sales destination
Page 3
Financial Results Highlights 2 Both net sales Net sales and all profit metrics reached record highs. All profit metrics increased by more than 25% year on year. Based on 9 months results, Full-Year forecasts were revised upward. Net sales and all profit metrics are expected to reach record high. Net sales ¥251.0 billion(+3.1% YoY) Operating profit ¥17.8 billion(+13.8% YoY) Profit attributable to owners of parent ¥13.6 billion(+22.6% YoY) - Sales growth in new detached houses and multi-family housing, along with cost savings from moreefficient production and reduced inventory. - Profit attributable to owners of parentincreased significantly, boosted by the sale of non-operating assets. Overview of Results for 9 months FYE3/2026 Earnings Forecasts for Full-Year FYE3/2026 (revise upward) Shareholder Returns Net Sales ¥192.6 billion(+4.5% YoY) Operating Profit ¥16.1 billion(+25.4% YoY) - Sales increased due to strong performance in both detached houses and multi-family housing in the new construction market. - All profit metrics increased significantly, driven by higher net sales, improved gross margin, and cost control. As a step toward achieving ROE of 8.0%, the Company targets 7.0% for the current fiscal year. Annual dividend to increase by ¥22 YoY to ¥100, interim and year-end ¥50 each, payout ratio around 50% - Share buybacks of approximately ¥22 billion are planned for this and next fiscal year (total payout ratio at around 130%). - Progress for the first half of the current fiscal year is ¥10.1 billion
Page 4
Contents 3 1. Overview of Financial Results 9 months FYE3/2026 PP. 4 ～ 14 3. Appendix PP .25 ～ 34 PP .16 ～ 232. Earnings Forecasts Full-Year FYE3/2026
Page 5
Net sales and all profit metrics reached record-high levels for the 9 months. Net sales growth was driven in particular by strong performance in new construction. Operating profit increased significantly, supported by higher sales as well as ongoing rationalization and cost reduction initiatives. Profit attributable to owners of parent recorded a high growth rate, reflecting strong operating performance and progress in the sale of non-operating assets, including cross-shareholdings. Operating Results 4 9 months FYE3/2025 9 months FYE3/2026 Results % of sales Results % of sales Change % change Net sales 184.3 100.0% 192.6 100.0% +8.3 +4.5% Gross profit 63.8 34.7% 68.5 35.6% +4.6 +7.3% SG&A 51.0 27.7% 52.4 27.2% +1.4 +2.8% Operating profit 12.8 7.0% 16.1 8.4% +3.2 +25.4% Ordinary profit 13.2 7.2% 16.6 8.7% +3.4 +25.9% Profit attributable to owners of parent 9.0 4.9% 12.7 6.6% +3.6 +40.4% (¥ billions)
Page 6
Operating Results QoQ Comparison 5 FYE3/2025 FYE3/2026 Q1 （Apr.-Jun.） Q2 （Jul.-Sept.） Q3 （Oct.-Dec.） Q1（Apr.-Jun.） Q2（Jul.-Sept.） Q3（Oct.-Dec.） Results % of total Results % of total Results % of total Results % of total Change % change Results % of total Change % change Results % of total Change % change Net sales 57.3 58.6 68.3 61.3 +4.0 +7.1% 61.7 +3.1 +5.3% 69.5 +1.1 +1.7% Gross profit 19.7 34.5% 19.8 33.9% 24.2 35.5% 21.4 34.9% +1.6 +8.4% 21.7 35.2% +1.8 +9.5% 25.3 36.5% +1.1 +4.7% SG&A 16.6 29.1% 17.0 29.0% 17.3 25.3% 17.2 28.1% +0.5 +3.3% 17.2 27.9% +0.2 +1.4% 17.9 25.8% +0.6 +3.6% Operating profit 3.0 5.4% 2.8 4.9% 6.9 10.1% 4.2 6.9% +1.1 +35.8% 4.5 7.3% +1.6 +57.6% 7.4 10.7% +0.5 +7.4% Ordinary profit 3.2 5.7% 2.8 4.9% 7.1 10.4% 4.4 7.3% +1.1 +36.3% 4.5 7.3% +1.6 +58.9% 7.6 11.0% +0.5 +7.8% Profit attributable to owners of parent 2.0 3.6% 1.8 3.1% 5.1 7.6% 3.0 5.0% +1.0 +48.7% 3.8 6.3% +2.0 +113.6% 5.7 8.3% +0.5 +11.4% (¥ billions) Q3 is typically characterized by strong seasonality, mainly driven by remodeling demand. Last year’s Q3 had set a high benchmark due to a pre-revision rush in new detached houses ahead of amendments to the Building Standards Act, as well as robust remodeling sales. Net sales and profit growth slowed in Q3 compared to Q1 and Q2, but both new construction and remodeling remained strong, exceeding last year’s results.
Page 7
Analysis of Change in Operating Profit 6 (0.8) 12.8 +5.4 +1.0 (1.8) (0.5) 16.1 ¥3.2 billion increase +25.4％ Increased profits mainly driven by growth in new construction market Prices of raw materials such as wood-based materials, continue to rise Cost reductions in raw materials , and logistics through inventory optimization, along with production streamlining Operating profit 9 months FYE3/2025 Operating profit 9 months FYE3/2026Cost increasesSales impact／ Sales composition factors Human capital investment Other expenses Streamlining／ Cost reductions (¥ billions)
Page 8
Net Sales by Market 7 9 months FYE3/2025 9 months FYE3/2026 Results % of total Results % of total Change % change New construction Detached houses 54.7 29.7% 58.0 30.1% +3.3 +6.1% Multi-family housing 62.6 34.0% 67.0 34.8% +4.4 +7.1% Total 117.3 63.7% 125.1 65.0% +7.8 +6.6% Remodeling 58.6 31.8% 59.5 30.9% +0.9 +1.6% Total incl. others 184.3 100.0% 192.6 100.0% +8.3 +4.5% New Construction Detached houses - Realization of the effects of higher unit prices , and a pre-revision rush ahead of the April 2025 amendments to the Building Standards Act. New Construction Multi-family housing - Steady demand in the Tokyo metropolitan and other major urban areas, and higher unit prices driven by the premiumization of properties. Remodeling - Net Sales showed a slight increase. Despite continued enhancements to core products and customer-focused proposals, industry-wide demand remained sluggish. 9 months FYE3/2026 Net Sales ¥192.6 bn New construction Multi-family housing - 71.7billion % of total ：31.5％ New construction Total ¥125.1 bn % of total ：65.0％ New construction - Detached houses ¥58.0 bn % of total ：30.1％ Remodeling ¥59.5 bn % of total ：30.9％ New construction Multi-family housing ¥67.0 bn % of total ：34.8％ (¥ billions)
Page 9
8 Net Sales by Market QoQ Comparison FYE3/2025 FYE3/2026 Q1 （Apr.-Jun.） Q2 （Jul.-Sept.） Q3 （Oct.-Dec.） Q1（Apr.-Jun.） Q2（Jul.-Sept.） Q3（Oct.-Dec.） Results % of total Results % of total Results % of total Results % of total Change % change Results % of total Change % change Results % of total Change % change New con- struction Detached houses 17.1 29.9% 17.6 30.0% 20.0 29.3% 19.2 31.4% +2.1 +12.6% 18.6 30.1% +1.0 +5.7% 20.1 29.0% +0.1 +0.8% Multi- family housing 18.2 31.8% 20.3 34.8% 23.9 35.1% 20.0 32.7% +1.8 +10.2% 22.6 36.6% +2.2 +11.0% 24.3 35.1% +0.3 +1.6% Total 35.3 61.6% 37.9 64.8% 44.0 64.4% 39.3 64.1% +4.0 +11.4% 41.2 66.8% +3.2 +8.5% 44.5 64.1% +0.5 +1.2% Remodeling 19.4 33.9% 17.9 30.7% 21.2 31.0% 19.6 31.9% +0.1 +0.9% 17.9 29.0% (0.0) (0.4)% 22.0 31.7% +0.8 +3.9% Total incl. others 57.3 100.0% 58.6 100.0% 68.3 100.0% 61.3 100.0% +4.0 +7.1% 61.7 100.0% +3.1 +5.3% 69.5 100.0% +1.1 +1.7% (¥ billions) [Key Factors for Q3 Results] New Construction Detached houses - In last year’s Q3, part of the pre-revision rush ahead of amendments to the Building Standards Act materialized. Although there was a reactionary decline this year, net sales increased as market share continued to expand. New Construction Multi-family housing - Despite last year’s strong Q3 results, net sales increased this year, supported by higher unit prices driven by the premiumization of properties. Remodeling - Net sales growth accelerated from the first half, driven by enhanced specifications of volume-zone products and proposals of a broader product lineup.
Page 10
Net Sales by Product Category 9 9 months FYE3/2025 9 months FYE3/2026 Results % of total Results % of total Change % change Kitchen 111.8 60.7% 117.3 60.9% +5.5 +4.9% Bathroom 43.9 23.8% 45.7 23.8% +1.8 +4.2% Washstand 21.3 11.6% 23.0 12.0% +1.7 +8.1% Total incl. others 184.3 100.0% 192.6 100.0% +8.3 +4.5% Sales increased across all product segments, supported by strong performance in new construction market. Sales of washstands rose substantially, supported by greater adoption in new construction detached houses and multi-family housing. (¥ billions) 【New business-related Sales : within total】 Glass Frit 1.8 1.0% 1.9 1.0% +0.1 +6.3% Panel-related sales 0.5 0.3% 0.4 0.3% (0.0) (14.3)% Overseas business sales 0.8 0.5% 0.8 0.5% +0.0 +2.9% 9 months FYE3/2026 Net Sales ¥192.6 bn Kitchen ¥117.3 bn % of total：60.9％ Washstand ¥23.0 bn % of total：12.0％ Bathroom ¥45.7 bn % of total：23.8％
Page 11
Net Sales by Product Category QoQ Comparison 10 FYE3/2025 FYE3/2026 Q1 （Apr.-Jun.） Q2 （Jul.-Sept.） Q3 （Oct.-Dec.） Q1 （Apr.-Jun.） Q2 （Jul.-Sept.） Q3 （Oct.-Dec.） Results % of total Results % of total Results % of total Results % of total Change % change Results % of total Change % change Results % of total Change % change Kitchen 34.2 59.7% 35.9 61.3% 41.6 60.9% 36.8 60.0% +2.6 +7.6% 38.1 61.8% +2.2 +6.2% 42.3 60.9% +0.6 +1.6% Bathroom 14.2 24.9% 13.6 23.3% 15.9 23.4% 15.1 24.8% +0.9 +6.5% 13.9 22.6% +0.2 +2.0% 16.6 23.9% +0.6 +4.1% Washstand 6.4 11.3% 6.7 11.5% 8.1 11.9% 7.1 11.7% +0.6 +10.8% 7.5 12.2% +0.7 +11.8% 8.4 12.1% +0.2 +3.0% Total incl. others 57.3 100.0% 58.6 100.0% 68.3 100.0% 61.3 100.0% +4.0 +7.1% 61.7 100.0% +3.1 +5.3% 69.5 100.0% +1.1 +1.7% Glass Frit 0.6 1.1% 0.5 1.0% 0.6 0.9% 0.6 1.1% +0.0 +4.0% 0.6 1.0% +0.0 +9.3% 0.6 1.0% +0.0 +5.7% Panel- related sales 0.1 0.3% 0.2 0.3% 0.2 0.3% 0.1 0.3% (0.0) (1.4)% 0.1 0.3% (0.0) (19.9)% 0.1 0.3% (0.0) (18.6)% Overseas business sales 0.2 0.5% 0.3 0.5% 0.2 0.4% 0.2 0.4% (0.0) (3.0)% 0.2 0.5% (0.0) (5.2)% 0.3 0.5% +0.0 +17.7% (¥ billions) 【New business-related Sales : within total】
Page 12
The rate of change in our shipment volume (Industry Comparison) Shipment Growth Rate and Changes in our market share 11 In 9 months of the current fiscal year, our shipment volume outpaced the industry level(as per the JAPAN ASSOCIATION OF KITCHEN & BATH) YoY, driven by strong sales in the new construction market. Compared to FYE3/2020 levels, our all products segments exceeded industry level, leading to an expansion of our market share. Kitchen Bathroom Washstand * Figures for the JAPAN ASSOCIATION OF KITCHEN & BATH are YoY percentage changes in the total numbers of Kitchens Modular Bathrooms and Washstands. * Industry share is based on our own research. ＋14.4% ＋2.9％ ＋4.3% ＋3.2% ＋7.9% ＋4.4% (2.1)% ＋1.3％ (4.0)% (3.3)％ (3.5)% (5.6)% (3.6)% (1.7)％ (4.8)% (4.9)％ 20% （ 3 ｒｄ） 20% （ 3 ｒｄ） 22% （ 3 ｒｄ） 22% （ 3 ｒｄ） 12% （ 4 ｔｈ） 13% （ 3 ｒｄ） 14% （ 3 ｒｄ） 14% （ 3 ｒｄ） 27% （ 1 ｓｔ） 28% （ 1 ｓｔ） 29% （ 1 ｓｔ） 29% （ 1 ｓｔ） 30% （ 1 ｓｔ） 23% （ 3 ｒｄ） 14% （ 3 ｒｄ） ＋3.8% (1.4)％ ＋6.9% (2.6)％ 26% （ 1 ｓｔ） 11% （ 4 ｔｈ） ＋5.7% ＋2.0% ＋4.9% ＋2.1％ （2.4）% （4.0）％ （4.1）% （3.7）％ ＋1.9% ＋0.1％ （3.3）% （10.2）% （5.3)% (12.2)% 20% （ 3 ｒｄ） (1.0)% (6.4)% JAPAN ASSOCIATION OF KITCHEN & BATH The rate of change in our shipment volume (Industry Comparison) TAKARA STANDARD TAKARA STANDARD TAKARA STANDARD Our market share (monetary base) JAPAN ASSOCIATION OF KITCHEN & BATH JAPAN ASSOCIATION OF KITCHEN & BATH FYE3/2022FYE3/2021FYE3/2020 FYE3/2023 FYE3/2024 FYE3/2025 9 months FYE3/2026 Our market share (monetary base) Our market share (monetary base) The rate of change in our shipment volume (Industry Comparison)
Page 13
Sales Composition by Product and Market 12 9 months FYE3/2026 Kitchen Bathroom Washstand Net sales (¥ billions) 117.3 45.7 23.0 Each Sales as % of Total YoY Change in Net Sales New construction Detached houses ＋5.7％ ＋6.5％ ＋10.0％ Multi- family housing ＋6.9％ ＋3.8％ ＋10.1％ Total ＋6.4％ ＋6.0％ ＋10.1％ Remodeling ＋1.1％ ＋2.6％ ＋3.5％ 33.1% 41.1% 23.4% 32.7% 7.4% 58.4% 19.0% 58.6% 20.4% Remodeling New construction - Detached houses New construction Multi-family housing
Page 14
Consolidated Balance Sheet 13 End-Mar. 2025 End-Dec. 2025 Change Main Items Assets Current assets 160.3 155.6 (4.7) Cash and deposits Accounts and Notes receivable Inventories (13.1) +8.3 (0.9) Noncurrent assets 116.5 122.8 +6.2 Property plant and equipment +5.8 Total assets 276.9 278.4 +1.5 Liabilities Current liabilities 63.0 67.7 +4.6 Accounts Payable +5.0 Noncurrent liabilities 19.3 19.3 +0.0 Total liabilities 82.4 87.0 +4.6 Total net assets 194.5 191.3 (3.1) Profit attributable to owners of parent Dividends Purchase of treasury shares +12.7 (6.6) (10.1) Total liabilities and net assets 276.9 278.4 +1.5 (¥ billions)
Page 15
Consolidated Cash Flows 14 9 months FYE3/2025 9 months FYE3/2026 Main Items Cash and cash equivalents at beginning of period 59.6 68.0 Cash flows from operating activities 11.2 14.2 Profit before income taxes Depreciation Decrease in trade receivables 18.4 5.6 (7.8) Cash flows from investing activities (6.3) (8.2) Proceeds from sale of investment securities Purchase of property, plant and equipment 2.6 (10.9) Free cash flows 4.9 6.0 Cash flows from financing activities (6.1) (19.1) Net decrease in short-term borrowings Purchase of treasury shares Dividends paid (2.4) (10.1) (6.5) Cash and cash equivalents at end of period 58.4 54.9 (¥ billions)CF from operating activities 14.2 CF from investing activities (8.2) CF from financing activities (19.1) Free cash flows 6.0 FYE3/2026 at beginning of period 68.0 9 months FYE3/2026 at end of period 54.9
Page 16
Contents 15 1. Overview of Financial Results 9 months FYE3/2026 PP. 4 ～ 14 3. Appendix PP .25 ～ 34 PP .16 ～ 232. Earnings Forecasts Full-Year FYE3/2026
Page 17
50 100 150 Operating Environment 16 It continued to recover moderately, supported by improvements in employment and income conditions. However, the outlook remains uncertain due to persistent inflation, U.S. trade policies, and rising geopolitical risks. Although raw material prices have stabilized recently, they remain at a high level. Japan’s domestic economy Japan’s housing market Housing starts declined significantly for both detached houses and multi-family housing, reflecting a recoil from last-minute demand ahead of the revised Building Standards Act implemented in April 2025. As this index serves as a leading indicator, it is expected to have a certain degree of impact on our future business performance. The renovation market has recently shown some weakness, although we expect a gradual recovery supported by Japan’s large existing housing stock. Foreign exchange rates and Tariffs At present, the majority of our sales are to the domestic market, and most of our procurement is from domestic suppliers. Accordingly, while foreign exchange rates and tariffs may have some indirect impact, their direct effect on our business remains limited. Industry Trends New Housing Starts (MLIT) Kitchen and Bathroom shipments in the remodeling market (JAPAN ASSOCIATION OF KITCHEN & BATH) Market conditions of our main materials Cold-rolled steel sheet Naphtha¥/kg ¥/kl 63,200 thousands of unit 27,400 thousands of unit Note: Fiscal year ends in March 666 659 618 610 534 9M FYE2022 9M FYE2023 9M FYE2024 9M FYE2025 9M FYE2026 641 660 637 641 645 9M FYE2022 9M FYE2023 9M FYE2024 9M FYE2025 9M FYE2026 FYE2021 FYE2022 FYE2023 FYE2024 FYE2025 FYE2026 126.5 84.3 FYE2021 FYE2022 FYE2023 FYE2024 FYE2025 FYE2026 0 50,000 100,000
Page 18
17 FYE3/2025 Results (1) FYE3/2026 Initial forecast (2) FYE3/2026 Revised forecast (Disclosed on Nov. 6, 2025) (3) FYE3/2026 2nd Revised forecast (Disclosed on Feb. 3, 2026) YoY Change % change Net sales 243.3 247.0 250.0 251.0 +7.6 +3.1% Operating profit 15.6 17.2 17.5 17.8 +2.2 +13.8% Operating profit ratio 6.4% 7.0% 7.0% 7.1% ＋0.7P － Ordinary profit 16.0 17.5 17.8 18.3 +2.3 +14.3% Profit attributable to owners of parent 11.0 12.8 13.0 13.6 +2.5 +22.6% ROE 5.8% 6.7% 6.7% 7.0% +1.2P － Key Assumptions by Market at Each Forecast Announcement ① FYE3/2026 Initial forecast FYE3/2026 Revised forecast ② Disclosed on Nov. 6, 2025 ③ Disclosed on Feb. 3, 2026 New Construction Detached houses • Expected to remain in line with FYE3/2025, despite a contracting market ↑ Revenue increase reflecting expanded optional product sales and pre-revision rush demand ahead of the Building Standards Act amendment ↓ Concerns over the impact of the amendment ↓ Impact of the amendment and concerns about some construction delays New Construction Multi-family housing • Expected to remain in line with FYE3/2025, despite a contracting market ↑ Reflecting continued solid demand in major metropolitan areas and higher unit prices driven by option products. ↓ Given the exceptionally strong sales of option products in Q4 of the previous fiscal year, some normalization in profits is expected. ↑ Solid demand is expected to continue. With concerns over the rebound from last year’s strong option product sales easing, Q4 performance is projected to remain firm Remodeling • Improvement in sales mix through revenue growth driven by stronger product and proposal capabilities ↓ Although unit sales outperformed the industry, market conditions remained challenging, resulting in results falling short of initial expectations. Challenging market conditions are expected to continue in the second half. ↑ While market conditions remain challenging, strengthened proposal activities are expected to expand the increase in net sales compared with the revision (2). Earnings Forecasts for FYE3/2026 Revised upward on Feb. 3 , 2026 （Second time this period） (¥ billions)
Page 19
18 Earnings Forecasts for FYE3/2026 (9 months results / Q4 forecast) FYE3/2026 Q1 results Q2 results Q3 results Q4 forecast Full-Year forecast Results % of sales % change Results % of sales % change Results % of sales % change Forecast % of sales % change Forecast % of sales % change Net sales 61.3 +7.1% 61.7 +5.3% 69.5 +1.7% 58.3 (1.3)% 251.0 +3.1% Operating profit 4.2 6.9% +35.8% 4.5 7.3% +57.6% 7.4 10.7% +7.4% 1.6 2.8% (39.9)% 17.8 7.1% +13.8% Ordinary profit 4.4 7.3% +36.3% 4.5 7.3% +58.9% 7.6 11.0% +7.8% 1.6 2.8% (41.0)% 18.3 7.3% +14.3% Profit attributable to owners of parent 3.0 5.0% +48.7% 3.8 6.3% +113.6% 5.7 8.3% +11.4% 0.8 1.5% (56.2)% 13.6 5.4% +22.6% ROE 7.0% +1.2PP [Q4 forecast by market] New construction detached houses Market share expansion and higher selling prices are expected to continue. However, net sales are expected to decline, reflecting the impact of amendments to the Building Standards Act and concerns over delays in construction schedules for some projects. New construction multi-family housing Supported by continued solid demand, performance is expected to remain firm. Remodeling While sluggish industry-wide growth is expected to persist, we aim to increase unit sales compared with the previous fiscal year by strengthening proposal activities. [SG&A] Personnel expenses Enhanced investment in human capital to drive sustainable growth (¥ billions)
Page 20
Breakdown of projected Operating Profit Revised upward on Feb.3 , 2026 19 +5.4 +1.2 (2.2) (1.5) (0.7)15.6 17.8 Production efficiency improvements, cost reduction of materials Net sales growth was mainly driven by new construction sales, with higher product prices contributing to increased gross profit. ¥2.2 bn increase +13.8％ (¥ billions) Cost increases Sales impact／ Sales composition factors Human capital investment Other expenses Streamlining／ Cost reductions Operating profit FYE3/2025 Operating profit FYE3/2026 Prices of raw materials such as wood-based materials, continue to rise Enhanced investment to drive sustainable growth
Page 21
The State of Capital Investment No revision from the initial forecast 20 Aggressive investment is planned, including production-related investments of ¥7.6bn and other IT-related investments for the purpose of improvement of productivity and further growth. Plan for FYE3/2026 Capital Investment 12.3 Depreciation 7.8 7.8 8.3 14.3 10.9 12.3 6.4 6.7 7.1 7.5 7.8 FYE2022 FYE2023 FYE2024 FYE2025 FYE2026 Capital Investment Depreciation Item Results Main details Production related 7.6 investment in production efficiency through automation and labor saving, expansion of production facilities and other measures to increase production, etc. Information system-related 1.7 IT-related investments (promotion of DX, etc.) Building/office related 1.6 Office environment improvement, building maintenance and management, etc. Breakdown of major areas Planned capital Investment of ¥12.3bn for the FYE3/2026 Note: Fiscal year ends in March (¥ billions)(¥ billions) （forecast） (¥ billions)
Page 22
Financial Strategy Reform Formulation of new shareholder return policy (announced in May 2025) 21 To achieve ROE of 8% for the FYE3/2027, the shareholder return policy will be revised to a more proactive approach. After Revision Share- holder Return Policy Dividend Dividend payout ratio of 50%, ~¥20.0bn over three years of the current plan, progressive dividend linked to profit growth Purchase treasury shares FYE3/2026 to 2027 Purchase of ~¥22.0 bn worth of treasury stock (~¥24.0bn over three years of the current medium term management plan) Concept of Shareholder Return In addition to the above, during the current medium term management plan period, we will actively utilize shareholder returns through both dividends and purchase treasury shares to achieve an ROE of 8%. For the period following the completion of the medium term management plan 2026 (FYE3/2027), the decisions will be based on the financial situation and investment projects at that time. However, the targets for FYE3/2031, including the KPI of 10% ROE and the improvement of stock price, will be strongly considered in making those decisions.
Page 23
Shareholders Return Policy – Dividend Payout Ratio No revision from the initial forecast 22 115.60 113.80 118.24 103.76 149.11 117.79 137.30 163.15 31 32 34 34 52 52 54 78 100 26.8％ 28.1％ 28.8％ 32.8％ 34.9％ 44.1％ 39.3％ 47.8％ 50％ level 50％ level 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 0.00 50.00 100.00 150.00 200.00 250.00 300.00 350.00 FYE2018 FYE2019 FYE2020 FYE2021 FYE2022 FYE2023 FYE2024 FYE2025 FYE2026 FYE2027 (forecasts) (targets) EPS Annual Dividend/Share(Interim dividend Results) Dividend Payout Ratio ✓ The annual dividend for FYE3/2026 will be ¥100 per share, including an interim dividend of ¥50, representing an increase of ¥22 from the previous fiscal year. ✓ We have maintained a policy of stable dividends and have not reduced dividends for 33 consecutive terms, excluding commemorative dividends. ✓ Going forward, we will continue to focus on EPS growth while strongly emphasizing on direct shareholder returns. Medium Term Management Plan 2023 Medium Term Management Plan 2026 (¥ per share) Note: Fiscal year ends in March
Page 24
2.2 2.3 2.4 2.4 3.8 3.6 3.7 5.2 3.6 3.5 1.826.8％ 28.1％ 28.8％ 32.8％ 34.9％ 87.2％ 76.8％ 64.3％ 130％ level 130％ level 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% 120.0% 140.0% 0 50 100 150 200 FYE2018 FYE2019 FYE2020 FYE2021 FYE2022 FYE2023 FYE2024 FYE2025 FYE2026 FYE2027 Shareholders Return Policy - Total Payout Ratio No revision from the initial forecast 23 Total Dividend Results (composition of Net Income) Share Repurchase Results (composition of Net Income) Total Payout Ratio ✓ Since the previous medium-term management plan, we have actively executed share buyback, maintaining a high total payout ratio. ✓ Further accelerating initiatives to achieve the target ROE of 8% and to establish a sustainable PBR above 1.0x. ✓ For the next and following fiscal years, we have set a total payout ratio target of 130%, aiming to reduce net assets. ✓ Share repurchases of approximately ¥11.0 billion are planned for the current fiscal year, of which ¥10.1 billion had been executed as of 9M. (forecasts) (targets) Medium Term Management Plan 2023 Medium Term Management Plan 2026 (¥ billions) Note: Fiscal year ends in March
Page 25
Contents 24 1. Overview of Financial Results 9 months FYE3/2026 PP. 4 ～ 14 3. Appendix PP .25 ～ 34 PP .16 ～ 232. Earnings Forecasts Full-Year FYE3/2026
Page 26
Topics 25 Launch of the “Space Project” aimed at entering space-related businesses Featured as a case study of capital cost management initiatives selected by the Tokyo Stock Exchange • In May last year, we announced an update to our Medium-Term Management Plan titled “A new shareholder return policy and profit growth initiatives aimed at achieving an ROE of 8%.” • This material has been featured in the casebook of “Management with Awareness of Capital Cost and Stock Price” selected by the Tokyo Stock Exchange. Supported kitchen renovation projects for children’s cafeterias in Yamanashi Prefecture Source: Japan Exchange Group https://www.jpx.co.jp/english/equities/follow-up/uorii50000004sse-att/vk0khi000000gi0s.pdf • Leveraging over 110 years of enamel technology, we aim to enter the space-related business. • Our enamel excels in durability, corrosion resistance, and cleanliness. Recent thermal vacuum and vibration tests confirmed its high potential for use in space environments. • Going forward, we have launched the "Space Project" to explore new possibilities for our enamel and will continue R&D efforts. • Supported a kitchen renovation at the Hikari Children’s Cafeteria in Yamanashi Prefecture through the “ALIA Children Support Project.” The “Edel” system kitchen provided Began airing a new TV commercial featuring Tao Tsuchiya and others • A new TV commercial began airing nationwide in December 2025, featuring Tao Tsuchiya, now in her seventh year as our brand ambassador, and Yoshiko Miyazaki, appearing for the second consecutive year, bringing her friend Maki Kubota. ALIA: Association of Living Amenity (General Incorporated Association) (1) Strengthening area-wide strategy sharing and execution capabilities (2) Enhancing sales capabilities through optimized human resource allocation (3) Improving operational efficiency and workload leveling Strategic Objective Consolidated business locations primarily to strengthen sales capabilities in the remodeling market 21 regional headquarters and branches → 11 regional headquarters For illustrative purposes only
Page 27
Industry Share 26 Achieved the No.1 position in total sales of kitchens, bathrooms, and washstands in Japan for FYE3/2025. 50.0 100.0 150.0 200.0 250.0 300.0 FYE2018 FYE2019 FYE2020 FYE2021 FYE2022 FYE2023 FYE2024 FYE2025 Domestic Net Sales Trend of Major Water-related Products (Kitchens, Bathrooms, and Washstands) The company Company A Company B Company C The gap with competitor around ¥80 bn Based on each company’s publicly disclosed financial results and the Company’s own research. increased by approximately 135% compared with FYE3/2018. (¥ billions) Note: Fiscal year ends in March
Page 28
Features / Strengths : Proprietary material, High-Grade Enamel 27 Glass coating(enamel)Steel sheet(metal) High-Grade Enamel Fused at high temperatures for strong adhesion! ＋ A composite material created by fusing a glass coating onto a metal surface. It combines the strength of metal with the beauty of glass, making it an ideal material that maximizes the advantages of both. What is enamel? Easy to clean Moisture-resistant Scratch-resistant Heat-resistant Odor-resistantEasy to clean Moisture-resistant Scratch-resistant Heat-resistant Odor-resistantMagnet-friendlyMagnet-friendly
Page 29
Features / Strengths : Production and logistics system ensuring stable supply Highly regarded by business partners, holding a strong market share for kitchens and washstands in new multi-family housing Produces a wide range of products tailored to customer needs, supported by regional production and logistics bases Competitors 20％ Kitchens (units sold) The company 80％ Shipment unit share in the new multi-family housing market (for sale) – FYE3/2025, based on the Company’s research 15 production sites 8 logistics centers 28 Production and logistics capacity to handle large-scale projects Diversified locations to mitigate risks such as natural disasters Washstands (units sold) The company 73％ Competitors 27％
Page 30
Features / Strengths : Dedicated sales organization and the largest number of showrooms in the industry 29 Largest in the industry Approximately 160 locations across all 47 prefectures nationwide Largest in the industry Approximately 160 locations across all 47 prefectures nationwide branch and sales offices Remodeling Trading company, Agency, Dealer Remodeling branch and sales offices Housebuilder Provides web content useful for gathering information on remodeling the Company Market branch and sales offices New construction Multi-family housing Developer, Construction company New construction Multi-family housing An organization of remodeling stores partnered with the Company, possessing proven track records and extensive experience. Customers can find partners for water-related remodeling projects. Dedicated sales organizations are assigned to each market segment, enabling attentive and well-coordinated sales activities. We operate community-based showrooms where customers can see, touch, and be convinced of our products. New construction Detached houses New construction Detached houses (Partner Shops)
Page 31
FYE3/2025 - actuals Kitchen Bathroom Washstand Net sales (¥ billions) 149.0 55.7 28.6 Each Sales as % of Total YoY Change in Net Sales New construction Detached houses ＋8.1％ ＋7.9％ ＋0.2％ Multi- family housing ＋10.4％ ＋19.6％ ＋10.5％ Total ＋9.4％ ＋9.8％ ＋7.8％ Remodeling (5.1）% (3.4）% (2.5）% 33.9% 40.8% 22.7% 33.8% 7.6% 57.3% 19.0% 58.6% 20.0% Sales Composition by Product and Market Actual results for FYE3/2025 30 Remodeling New construction - Detached houses New construction Multi-family housing
Page 32
Historical Trends in Net sales and Operating Revised upward on Feb.3, 2026 31 11.4 16.6 12.5 13.0 12.2 12.3 11.8 12.6 10.9 14.4 10.9 12.4 15.6 17.8 20.0 158.5 182.7 175.1 180.2 183.1 188.4 193.2 201.5 191.2 211.5 227.4 234.7 243.3 251.0 250.0 200 5 10 15 20 25 30 35 FYE2013 FYE2014 FYE2015 FYE2016 FYE2017 FYE2018 FYE2019 FYE2020 FYE2021 FYE2022 FYE2023 FYE2024 FYE2025 FYE2026 FYE20262 FYE2027 The Company has applied the “Accounting Standard for Revenue Recognition” and related standards from FYE3/2022, and the figures for FYE3/2021 were retroactively restated, whereas the figures for FYE3/2020 and earlier periods have not been restated. Operating Profit 7.2％ Net sales Operating Profit 9.1％ 7.2％ 7.2％ 6.7％ 6.6％ 6.1％ 6.3％ 5.7％ 6.8％ 4.8％ 5.3％ 6.4％ 7.1％ 8.0％ (forecast) (target) Note: Fiscal year ends in March (¥ billions)• The figures for FYE3/2027 were set as the final-year targets of ' the Medium-Term Management Plan 2026 ' announced in May 2024. Meanwhile, current performance has been trending above the assumptions made at the time of the plan’s formulation. • At this stage, the numerical targets for FYE3/2027 remain unchanged; however, we will consider revising the plan as appropriate, taking into account future business conditions.
Page 33
Historical Trends in ROE and PBR 5.3% 8.0% 6.1% 6.3% 5.9% 5.5% 5.2% 5.3% 4.4% 6.1% 4.6% 5.2% 5.8% 7.0% 8.0% 0.85 0.88 1.06 1.05 0.86 0.83 0.77 0.73 0.70 0.51 0.57 0.73 0.61 FYE2013 FYE2014 FYE2015 FYE2016 FYE2017 FYE2018 FYE2019 FYE2020 FYE2021 FYE2022 FYE2023 FYE2024 FYE2025 FYE2026 FYE2027 PBR ROE 32 (forecast) (target)Note: Fiscal year ends in March • Through strategic initiatives aimed at achieving a PBR of 1.0 as early as possible, we reached this milestone in January 2026, and the share price has remained around this level. • Building on this achievement as a new starting point, we will focus on expanding the equity spread by improving ROE, with the aim of further increasing PBR.
Page 34
Market-specific data 33 Partially edited based on the “Building Starts Statistics Survey” by MLIT -50.0% -25.0% 0.0% 25.0% 50.0% Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec FYE3/2024 FYE3/2025 FYE3/2026 Detached Houses - YoY Multi-Family Housing - YoY ● New Conｓｔruction Detached Houses and Multi-Family Housing – Related Data / YoY Comparison of New Construction Starts in Japan ● Renovation-related data / YoY comparison of visitors for renovation purposes at our showrooms -10.0% -5.0% 0.0% 5.0% 10.0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 FYE3/2024 FYE3/2025 FYE3/2026 Renovation-related visitors (YoY at our showrooms) ● Number of overseas local distributor's showrooms China Taiwan Vietnam Others Total As of Dec. 31, 2025 32 34 4 5 75 vs. Mar. 31, 2025 +2 +2 (2) ±0 +2 Unit: locations
Page 35
9 months FYE 3/2026 Progress against Forecast Revised upward on Feb.3, 2026 34 Q1 21.8% Q2 22.7%Q3 42.7% Q4 12.7%Q1 23.7% Q2 24.3%Q3 27.9% Q4 24.1% Progress against Forecast Net sales 192.6 Earnings Forecast ■ 9 months FYE3/2026 Results ■Earnings Forecast Operating profit Ordinary profit 16.1 16.6 Net Sales Operating profit Quarterly Trends in Net Sales and Operating Profit ■ ■ FYE3/2026 Quarterly Results ■ ■ FYE3/2025 Quarterly Results Profit attributable to owners of parent 12.7 (¥ billions) Progress rate 251.0 (¥ billions) 57.3 58.6 68.3 59.0 61.3 61.7 69.5 3.0 2.8 6.9 2.7 4.2 4.5 7.4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 FYE3/2025 FYE3/2026 Quarterly Performance Composition Ratio - 5-Year Average 9 months 75.9％ 9 months 87.3％ 76.8% 17.8 90.7% 18.3 91.1% 13.6 93.4%
Page 36
< IR Contact > E-mail ir@takara-standard.co.jp IR Department Administration Division TAKARA STANDARD CO. LTD. This document contains forward-looking statements based on the Company’s plans. These statements are subject to risks and uncertainties that may cause actual results to differ materially from those described herein. In addition, this document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the Japanese original shall prevail.