Note: 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 original shall prevail.

April 30, 2024

Consolidated Financial Results for the Three Months Ended March 31,
2024 (Under Japanese GAAP)
Company name:Taki Chemical Co., Ltd.
Listing:
Tokyo Stock Exchange
Securities code:
4025
URL:
https://www.takichem.co.jp/
Representative:
Katsuhiko Taki, Representative Director, President
Inquiries:
Osamu Okamoto, General Manager, General Affairs & Personnel Department
TEL:079-437-6002
Scheduled date to file quarterly securities report:
May 10, 2024
Scheduled date to commence dividend payments:–Preparation of supplementary material on quarterly financial results: None
Holding of quarterly financial results briefing:
None(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the three months ended March 31, 2024 (from January 1, 2024
to March 31, 2024)(1) Consolidated operating results (cumulative)
Net sales
Three months ended
March 31, 2024
March 31, 2023

Millions of yen9,2798,843

Note: Comprehensive income(Percentages indicate year-on-year changes.)

Operating profit% Millions of yen

4.9
5.1

497
248

% Millions of yen

100.5(60.8)

575
290

For the three months ended March 31, 2024:
For the three months ended March 31, 2023:

Basic earnings per share
Three months ended
March 31, 2024
March 31, 2023

% Millions of yen

98.3(58.8)

418
311%

34.1(37.3)¥2,337 million [332.6%]¥540 million [(51.4)%]

Diluted earnings per share

Yen

49.42
36.02

Profit attributable toowners of parent

Ordinary profit

Yen––(2) Consolidated financial position
Total assets

Net assets

Millions of yen
As ofMarch 31, 2024
55,364
December 31, 2023
51,299Reference:
EquityAs of March 31, 2024:¥35,731 million
As of December 31, 2023:¥33,819 million

Equity-to-asset ratio

Millions of yen%

35,81433,89964.5
65.9

2. Cash dividends
Annual dividends per shareFirst quarter-end

Second quarter-end

Third quarter-end

Yen

Yen

Yen

Fiscal year ended
December 31, 2023
Fiscal year ending
December 31, 2024–

Fiscal year-end

TotalYenYen––

50.00

50.00

––

55.00

55.00

–

Fiscal year ending
December 31, 2024(Forecast)

Note: Revisions to the forecast of cash dividends most recently announced: None
Breakdown of year-end dividend for the fiscal year ended December 31, 2023
Ordinary dividend:¥45.00Commemorative dividend:¥5.00 (Commemorating the construction of the new head office building)

3. Consolidated earnings forecast for the fiscal year ending December 31, 2024 (from January 1,2024 to December 31, 2024)
Net sales

Full year(Percentages indicate year-on-year changes.)
Basic
Profit attributable toOrdinary profit
earnings perowners of parent
share

Operating profit

Millions ofyen%Millions ofyen%Millions ofyen%Millions ofyen%

Yen

37,000

6.2

1,200

31.4

1,650

23.4

1,500

10.6

177.18

Note: Revisions to the earnings forecast most recently announced: None

*Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in thechange in scope of consolidation): None
Newly included:
0 companies
Excluded:
0 companies(2) Adoption of accounting treatment specific to the preparation of quarterly consolidated financial
statements: None
(3) Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies due to revisions to accounting standards and other regulations:None(ii) Changes in accounting policies due to other reasons: None(iii) Changes in accounting estimates: None(iv) Restatement: None
(4) Number of issued shares (common shares)(i) Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2024

9,458,768

As of December 31, 2023

9,458,768(ii) Number of treasury shares at the end of the period
As of March 31, 2024

992,644

As of December 31, 2023

992,644(iii) Average number of shares outstanding during the period (cumulative from the beginning of thefiscal year)
Three months ended March 31, 2024

8,466,124Three months ended March 31, 2023

8,659,828* Quarterly financial results reports are exempt from a quarterly review conducted by certified public
accountants or an audit corporation.
* Proper use of earnings forecasts, and other special matters
The earnings forecast is based on information available to the Company as of the date of this document as well as certain
assumptions it believes to be reasonable, and actual results may differ materially due to various factors. Please also see“(3) Explanation of Consolidated Earnings Forecast and Other Forward-Looking Information” in “1. Qualitative
Information on Quarterly Financial Results” on page 3 of the appendix.

Taki Chemical Co., Ltd. (4025) Financial Results for the Three Months Ended March 31, 2024

Appendix Table of ContentsIndex
1. Qualitative Information on Quarterly Financial Results ........................................................................... 2(1) Explanation of Operating Results ....................................................................................................... 2(2) Explanation of Financial Position ...................................................................................................... 3(3) Explanation of Consolidated Earnings Forecast and Other Forward-Looking Information............... 3
2. Quarterly Consolidated Financial Statements and Significant Notes Thereto .......................................... 4(1) Quarterly Consolidated Balance Sheet ............................................................................................... 4(2) Quarterly Consolidated Statement of Income and Quarterly Consolidated Statement ofComprehensive Income ...................................................................................................................... 6(Quarterly Consolidated Statement of Income) (First three-month period) ....................................... 6(Quarterly Consolidated Statement of Comprehensive Income) (First three-month period) ............. 7(3) Notes to Quarterly Consolidated Financial Statements ...................................................................... 8(Notes on Going Concern Assumption) ............................................................................................. 8(Notes on Significant Changes in Shareholders’ Equity) ................................................................... 8-1-Taki Chemical Co., Ltd. (4025) Financial Results for the Three Months Ended March 31, 2024

1. Qualitative Information on Quarterly Financial Results(1) Explanation of Operating Results
Given the backdrop of rebounding economic and social activities, during the three-month period underreview, the Japanese economy continued recovering gradually due partly to the effects of various
government policies. However, the situation remained uncertain due to downside risks caused by priceincreases, fluctuations in financial and capital markets, and other factors.
Working against this backdrop, the Group focused on enhancing the profitability of its current
businesses in line with the Medium-term Management Plan 2028 launched in January 2024. As a result,net sales for the three months under review totaled ¥9,279 million (up 4.9% versus the same period lastyear), operating profit was ¥497 million (up 100.5% versus the same period last year), ordinary profit
was ¥575 million (up 98.3% versus the same period last year), and profit attributable to owners of theparent was ¥418 million (up 34.1% versus the same period last year).
Operating results by segment are as shown below.
Agriculture
While the fertilizer sales volume remained at the same level as the same period last year, net sales
came to ¥2,603 million, a significant decrease of 15.3% versus the same period last year, as selling
prices decline due to lower raw material prices.
Chemicals
Sales of water treatment chemicals totaled ¥2,763 million, a significant increase of 13.0% versus
the same period last year, as the sales volume of ultra-high-basicity polyaluminum chloride
increased and due to work to revise selling prices resulting from higher raw material prices.
Sales of functional materials amounted to ¥1,445 million, a significant increase of 50.9% versus thesame period last year, as the sales volume of high-purity tantalum oxide for smartphones wasstrong due to a recovery in demand, despite lower sales volume of aluminum chloride with highbasicity for automotive ceramic fibers, mainly as a result of falling demand.
Sales of other chemical products totaled ¥39 million, down 15.3% versus the same period last year.
As a result, net sales came to ¥4,248 million, a significant increase of 23.1% versus the sameperiod last year.
Construction materials
Net sales totaled ¥895 million, a significant increase of 16.6% versus the same period last year as aresult of an increase in selling prices of gypsum board despite the sales volume remaining flat.
Petroleum
Net sales came to ¥497 million, a decrease of 1.1% versus the same period last year, due to a
decline in fuel oil sales volume as a result of falling demand.
Real estate
Net sales totaled ¥338 million, up 0.1% versus the same period last year with rental income at
shopping centers remaining at the same level as the same period last year.

-2-Taki Chemical Co., Ltd. (4025) Financial Results for the Three Months Ended March 31, 2024

Transportation
Net sales declined 2.0% versus the same period last year to ¥695 million as handling volume
decreased despite the transported cargo remaining flat.
(2) Explanation of Financial Position
Total assets at the end of the first quarter of the current fiscal year came to ¥55,364 million (up ¥4,064
million from the end of the previous fiscal year). Current assets totaled ¥24,548 million (up ¥764
million from the end of the previous fiscal year) due primarily to an increase of ¥1,071 million in notes
and accounts receivable - trade, despite a decrease of ¥692 million in cash and deposits. Non-current
assets came to ¥30,815 million (up ¥3,299 million from the end of the previous fiscal year) due
primarily to increases of ¥662 million in property, plant and equipment and ¥2,670 million ininvestment securities.
Total liabilities amounted to ¥19,549 million (up ¥2,149 million from the end of the previous fiscalyear) due primarily to increases of ¥425 million in notes and accounts payable - trade, ¥957 million inaccounts payable - other and ¥863 million in deferred tax liabilities.
Net assets totaled ¥35,814 million (up ¥1,914 million from the end of the previous fiscal year) due
primarily to an increase of ¥1,915 million in the valuation difference on available-for-sale securities.
(3) Explanation of Consolidated Earnings Forecast and Other Forward-Looking Information
No changes have been made to the earnings forecast for the fiscal year ending December 31, 2024,
which was announced on February 13, 2024.

-3-Taki Chemical Co., Ltd. (4025) Financial Results for the Three Months Ended March 31, 2024

2. Quarterly Consolidated Financial Statements and Significant Notes Thereto(1) Quarterly Consolidated Balance Sheet(Millions of yen)
As of December 31, 2023
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Electronically recorded monetary claims operating
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, netTools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, netLand
Leased assets
Accumulated depreciation
Leased assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
SoftwareRight to use water facilities, etc.
Total intangible assets
Investments and other assets
Investment securities
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets-4-

As of March 31, 2024

5,075
9,233

4,383
10,304

2,248

2,261

–
4,274
242
1,931
790
(12)
23,784

100
4,368
330
2,021
792
(13)
24,54822,376(16,086)
6,290
16,908(15,641)
1,266
1,571
(1,425)
145
7,086
457
(121)
336
1,255
16,38024,266(16,226)
8,039
16,927(15,728)
1,199
1,682
(1,433)
249
7,086
457
(129)
328
140
17,043

317
9
326

287
9
297

10,60557
179(34)
10,80727,51551,29913,27655
177(34)
13,47430,81555,364Taki Chemical Co., Ltd. (4025) Financial Results for the Three Months Ended March 31, 2024
(Millions of yen)
As of December 31, 2023
Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term borrowings
Current portion of long-term borrowings
Lease liabilities
Accounts payable - other
Income taxes payable
Accrued consumption taxes
Provision for bonuses
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Lease liabilities
Deferred tax liabilities
Retirement benefit liability
Guarantee deposits received
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets-5-

As of March 31, 2024

5,904
373
60
35
1,218
174
109
42
584
8,503

6,330
373
60
35
2,175
151
94
227
446
9,894

335
342
1,789
3,733
2,550
146
8,897
17,400

335
333
2,653
3,633
2,555
145
9,654
19,5492,147
1,420
26,435(1,370)28,632

2,147
1,420
26,430(1,370)28,627

5,199

7,115

(12)
5,187
79
33,89951,299

(10)
7,104
82
35,81455,364

Taki Chemical Co., Ltd. (4025) Financial Results for the Three Months Ended March 31, 2024

(2) Quarterly Consolidated Statement of Income and Quarterly Consolidated Statement ofComprehensive Income(Quarterly Consolidated Statement of Income)(First three-month period)(Millions of yen)Three months ended
March 31, 2023
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Gain on sale of investment securities
Other
Total non-operating income
Non-operating expenses
Interest expenses
Loss on retirement of non-current assets
Waste disposal costs
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of investment securities
Subsidy income
Total extraordinary income
Extraordinary losses
Loss on retirement of non-current assets
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit (loss) attributable to non-controlling interests
Profit attributable to owners of parent-6-Three months ended
March 31, 2024

8,843
7,108
1,735
1,487
248

9,279
7,224
2,054
1,557
497

1
30
0
15
48

1
35–
47
83

200
1
5
290

2–
10
5575–
214
214

4–
4––
504
264
(55)
209
295
(16)
311

11578
134
22
157
421
2418

Taki Chemical Co., Ltd. (4025) Financial Results for the Three Months Ended March 31, 2024

(Quarterly Consolidated Statement of Comprehensive Income)(First three-month period)(Millions of yen)Three months ended
March 31, 2023
ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Remeasurements of defined benefit plans, net of tax
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners ofparent
Comprehensive income attributable to noncontrolling interests-7-

Three months ended
March 31, 2024
295

421

244
0245
540

1,915
1
1,916
2,337

557

2,335

(16)

2

Taki Chemical Co., Ltd. (4025) Financial Results for the Three Months Ended March 31, 2024

(3) Notes to Quarterly Consolidated Financial Statements(Notes on Going Concern Assumption)
Not applicable(Notes on Significant Changes in Shareholders’ Equity)
Not applicable-8-