Fiscal Year Ending March 2026 Third Quarter Financial Results Presentation Materials

Performance Overview

For the cumulative third quarter of the fiscal year ending March 2026, net sales reached 9,618 million yen (7.6% YoY increase), driven by strengthened sales activities in the DDS business, resulting in increased orders primarily from existing customers. Operating income was 2,514 million yen (8.4% YoY increase), supported by increased sales of rental and subscription services centered on SAP in the high value-added DDS business. Ordinary income rose to 2,849 million yen (20.5% YoY increase), and net income attributable to owners of parent reached a record high of 2,031 million yen (26.4% YoY increase). Selling, general and administrative expenses were 2,391 million yen (6.4% YoY increase) due to changes in the salary system and increased marketing activities; however, profit margins remained largely unchanged.

Segment Performance and Outlook

The DDS business performed steadily with net sales of 5,649 million yen (9.1% YoY increase) and operating income of 1,815 million yen (12.9% YoY increase), driven by SAP promotion under the medium-term management plan. The SMS business also saw increased sales and rental revenue, with net sales of 2,909 million yen (8.7% YoY increase) and operating income of 523 million yen (7.2% YoY increase). The Other business recorded net sales of 1,059 million yen (2.2% YoY decrease) and operating income of 174 million yen (21.9% YoY decrease). The number of transaction sites continued to grow steadily, maintaining a high repeat rate of 68.2%. The equity ratio remains robust at 76.4%, supporting a sound financial base.