Notice Regarding the Full-Year Standalone Financial Results and Variances from the Previous Fiscal Year

Overview of Financial Results

The full-year standalone financial results for the fiscal year ending February 2026 showed operating revenue of 4.506 billion yen, a 63.3% increase year-over-year, primarily due to increased dividends received from subsidiaries. Operating loss contracted to △473 million yen driven by a reduction in non-recurring expenses associated with revenue structure reforms under the medium-term management plan. Ordinary income turned positive to 393 million yen due to foreign exchange gains and increases in interest and dividend income. Meanwhile, net income attributable to owners of parent decreased substantially to 1.335 billion yen despite gains on sales of investment securities, reflecting a reversal effect from real estate sale gains recorded in the previous fiscal year.

Reasons for Variance and Future Outlook

The increase in operating revenue was mainly due to higher dividends received from subsidiaries, while the reduction in operating loss resulted from decreased one-time costs related to revenue structure reforms. Improvement in ordinary income was driven by increased non-operating income including foreign exchange gains and higher interest and dividend income. Special gains and losses were negatively impacted by a decrease in real estate sale gains from the prior fiscal year, resulting in a significant reduction in net income attributable to owners of parent. Based on these factors, efforts will continue towards improving revenue structures and securing stable dividend income going forward.