Supplementary Explanatory Materials for the Full-Year Financial Results for the Fiscal Year Ending March 2026 | Vertex Corporation (5290) timely disclosure

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Direction

Mixed performance

Direction inferred from the company’s description.

Scale

7601

¥ million (year-on-year increase in net sales)

Wording

Avoiding a definitive answer

How definitive the wording is.

Contents of this document

Supplementary materials to the earnings reportFiscal year ending March 2026, full year11 items taken from the company’s own explanation

Financial Results Figures (The key points of this material are explained below)

Net Sales¥46,519 million+19.5%

Operating profit¥7,058 million+12.3%

Ordinary income¥7,109 million+10.2%

Net income¥10,315 million +113.7%net income attributable to owners of the parent

Gross Profit MarginNot disclosed (28.7% in the fourth quarter of the fiscal year ended March 2026)

Operating profit margin15.2%, down 1.0 percentage point year on year

Selling, general and administrative expensesNot disclosed (¥2,130 million in the fourth quarter of the fiscal year ended March 2026)

Results for the three months of the current quarter

Net Sales

¥15,529 million

Gross profit

¥4,460 million

Operating profit

¥2,329 million

Operating profit margin

15 %

Selling, general and administrative expenses

¥2,130 million

Full-year earnings forecast

Net Sales

¥52,000 million

Operating profit

¥7,100 million

Ordinary income

¥7,250 million

Net income

¥4,700 million net income attributable to owners of the parent

What the company explained in this material

Self-assessment against the planThe company's self-assessment against its own plan.

Revenue was 13.5% above plan and operating income was 11.2% above plan

Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.

Operating profit

Other113

Segment286

Slope disaster prevention-63

Piles-175

Concrete930

Concrete business profit

Impact of product mix and sales price revisions2,325

Impact of changes in sales volume-412

Impact of surging raw material prices-261

Impact of changes in products and construction work289

Net increase from IKK434

Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.

Not disclosed (the Company mentioned the possibility of higher crude oil and naphtha prices and tighter supply and demand)

New initiatives

First-time consolidation of IKK and full-year contribution
Raise the guideline for the dividend payout ratio from 30% to 40%
Plan to increase the dividend per share for the fiscal year ending March 2027 to ¥40
Share repurchases with an upper limit of ¥1 billion

Key KPIsA metric the company considers important as a management benchmark.

EPS¥207.95
ROE25.7 %
D/E ratio0.12 times
Equity ratio67.3 %
Year on year against the same period last year-3.2%
Dividend per share¥35 per share
Payout ratio40.8 %
Total Payout Ratio70 %

Segment results

Net Sales

Concrete

¥30,028 million+11.6%

Piles

¥2,828 million-23.3%

Slope disaster prevention

¥4,635 million-5.2%

Segment

¥5,623 million

Other

¥3,403 million-0.5%

Profit

Concrete

¥6,341 million+17.2%

Piles

¥70 million-71.4%

Slope disaster prevention

¥1,595 million-3.8%

Segment

¥286 million

Other

¥893 million+14.6%

Corporate overhead

¥-2,130 million

Medium-term management plan targets

The target guideline for the dividend payout ratio was raised from 30% to 40%. The Company explained that it is accumulating prospective projects toward achieving the targets of the next medium-term management plan.

Financial targets

Debt-to-equity ratio

TargetApproximately 0.5 times

Actual results0.12 times

Room to utilize debt

Target¥10–15 billion

ROE

Actual results25.7 %

Annual Dividend

Fiscal year ending March 2026

Annual¥35 per share

Fiscal year ending March 2027

Annual¥40 per share

Payout ratio

Fiscal year ending March 202640.8 %

Fiscal year ending March 202742 %

Total payout ratio70 %

Acquisition of treasury shares

Maximum amount10 Hundreds of millions of yen

Contents of this document
Item	Details
Document type	Supplementary materials to the earnings report
Fiscal Period Covered	Fiscal year ending March 2026, full year
Net Sales	¥46,519 million (YoY +19.5%)
Operating profit	¥7,058 million (YoY +12.3%)
Ordinary income	¥7,109 million (YoY +10.2%)
Net income	¥10,315 million (net income attributable to owners of the parent) (YoY +113.7%)
Gross Profit Margin	Not disclosed (28.7% in the fourth quarter of the fiscal year ended March 2026)
Operating profit margin	15.2%, down 1.0 percentage point year on year
Selling, general and administrative expenses	Not disclosed (¥2,130 million in the fourth quarter of the fiscal year ended March 2026)
Results for the three months of the current quarter	Net Sales ¥15,529 million / Gross profit ¥4,460 million / Operating profit ¥2,329 million / Operating profit margin 15 % / Selling, general and administrative expenses ¥2,130 million
Full-year earnings forecast	Net Sales ¥52,000 million / Operating profit ¥7,100 million / Ordinary income ¥7,250 million / Net income ¥4,700 million (net income attributable to owners of the parent)
Self-assessment against the plan	Revenue was 13.5% above plan and operating income was 11.2% above plan
Segment results	Net Sales Concrete ¥30,028 million (YoY +11.6%) / Piles ¥2,828 million (YoY -23.3%) / Slope disaster prevention ¥4,635 million (YoY -5.2%) / Segment ¥5,623 million / Other ¥3,403 million (YoY -0.5%) / Profit Concrete ¥6,341 million (YoY +17.2%) / Piles ¥70 million (YoY -71.4%) / Slope disaster prevention ¥1,595 million (YoY -3.8%) / Segment ¥286 million / Other ¥893 million (YoY +14.6%) / Corporate overhead ¥-2,130 million
Breakdown of Factors Affecting the Change	Operating profit Other 113 / Segment 286 / Slope disaster prevention -63 / Piles -175 / Concrete 930 / Concrete business profit Impact of product mix and sales price revisions 2,325 / Impact of changes in sales volume -412 / Impact of surging raw material prices -261 / Impact of changes in products and construction work 289 / Net increase from IKK 434 / Other Not disclosed
Key KPIs	Indicator name EPS / Value ¥207.95 / Year on year against the same period last year Not disclosed, Indicator name ROE / Value 25.7 % / Year on year against the same period last year Not disclosed, Indicator name D/E ratio / Value 0.12 times / Year on year against the same period last year Not disclosed, Indicator name Equity ratio / Value 67.3 % / Year on year against the same period last year -3.2 %, Indicator name Dividend per share / Value ¥35 per share / Year on year against the same period last year Not disclosed, Indicator name Payout ratio / Value 40.8 % / Year on year against the same period last year Not disclosed, Indicator name Total Payout Ratio / Value 70 % / Year on year against the same period last year Not disclosed
Assumptions Underlying the Business Outlook	Not disclosed (the Company mentioned the possibility of higher crude oil and naphtha prices and tighter supply and demand)
Medium-term management plan targets	The target guideline for the dividend payout ratio was raised from 30% to 40%. The Company explained that it is accumulating prospective projects toward achieving the targets of the next medium-term management plan.
Financial targets	Debt-to-equity ratio Target Approximately 0.5 times / Actual results 0.12 times / Room to utilize debt Target ¥10–15 billion / Actual results Not disclosed / ROE Actual results 25.7 %
Annual Dividend	Fiscal year ending March 2026 Annual ¥35 per share / Interim Not disclosed / End of period Not disclosed / Fiscal year ending March 2027 Annual ¥40 per share / Interim Not disclosed / End of period Not disclosed
Payout ratio	Fiscal year ending March 2026 40.8 % / Fiscal year ending March 2027 42 % / Total payout ratio 70 %
Acquisition of treasury shares	Maximum amount 10 Hundreds of millions of yen / Number of Shares Not disclosed / Period Not disclosed
New initiatives	First-time consolidation of IKK and full-year contribution, Raise the guideline for the dividend payout ratio from 30% to 40%, Plan to increase the dividend per share for the fiscal year ending March 2027 to ¥40, Share repurchases with an upper limit of ¥1 billion

Items this document does not state (9)

Progress against full-year forecastUnit price and quantity metricsNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookCapital expendituresOrders received and order backlogMarket Size / ShareKey points of the Q&A

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

Revenue increased due to the effects of the first-time consolidation of IKK and higher sales, particularly of flood-control products in the Concrete business. Operating income increased despite the impact of surging raw material prices, owing to product-mix effects centered on value-added products, the effects of price revisions, and actuarial differences related to the retirement benefit provision. Net income increased substantially because a ¥6.019 billion gain on bargain purchase arising from the acquisition of IKK was recorded as extraordinary income.

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