IFRS Consolidated Financial Summary for Q3 Fiscal Year Ending March 2026

Overview of Business Performance

In the consolidated cumulative Q3 period of the fiscal year ending March 2026, net sales decreased 4.4% YoY to JPY 258,627 million. The main factors for revenue decline were reduced production and sales caused by parts supply shortages in the Safety & Security segment’s wireless systems business, and the impact of U.S. tariff measures on the Mobility & Telematics Services and Entertainment Solutions segments’ media businesses. Business profit dropped 28.3% to JPY 13,319 million, operating income decreased 11.4% to JPY 14,870 million, and net income attributable to owners of the parent declined 11.4% to JPY 12,469 million. By segment, the Mobility & Telematics Services division saw decreased sales but increased business profit; the Safety & Security division experienced declines in both sales and profit; and the Entertainment Solutions division also recorded decreases in both sales and profit.

Financial Position and Shareholder Return Policy

Total assets increased approximately JPY 30.6 billion to JPY 343,948 million compared to the previous consolidated fiscal year-end. Total liabilities increased about JPY 15.4 billion to JPY 197,387 million, while total equity rose approximately JPY 15.2 billion to JPY 146,561 million. The equity ratio attributable to owners of the parent increased by 0.9 points to 40.8%. Cash flows from operating activities increased by JPY 24,282 million but decreased compared to the same period last year. Cash flows from investing activities decreased by JPY 16,609 million, and cash flows from financing activities increased by JPY 6,296 million. At the board meeting on February 3, 2026, the company resolved to acquire and retire treasury stock (up to 3 million shares, JPY 3 billion) as part of shareholder returns.