Fiscal Year Ending March 2027 Second Quarter (Interim) Financial Summary [Japanese GAAP] (Consolidated)

Overview of Operations

In the current second quarter (interim), net sales decreased 13.0% year-over-year to 7,071,415 thousand yen, affected by profitability reviews of public-private partnership projects for regional governments, DX support, and the logistics business. Operating loss was 325,642 thousand yen, ordinary loss was 363,542 thousand yen, and interim net loss attributable to owners of parent was 303,023 thousand yen. The Company made Juppo Works a subsidiary and is strengthening DX initiatives, including low-code development using Claris FileMaker.

Financial Position and Outlook

At the end of the interim period, total assets were 13,734 million yen and the equity ratio was 56.2%, indicating stability. There is no change to the dividend forecast, and the earnings forecast for the fiscal year ending March 2027 remains the same as previously announced. By segment, the Information Media, DX Support, Logistics, Healthcare and Investment businesses show a mix of accomplishments and challenges. Going forward, the Company expects recovery in external customer sales through acquiring new customers, expanding transactions with existing customers, and strengthening proposals for hometown tax donation support.