Financial Summary for the Fiscal Year Ending February 2026 [Japanese GAAP] (Consolidated)

Performance Overview

For the fiscal year ending February 2026, consolidated net sales were JPY 78,745 million (10.3% YoY increase), operating income was JPY 4,499 million (3.9% YoY increase), and ordinary income was JPY 4,701 million (3.0% YoY increase). Net income attributable to owners of parent was JPY 2,503 million (22.5% YoY decrease). While a gain on the sale of policy-held shares of JPY 1,103 million was recorded as extraordinary income, losses of JPY 542 million from litigation settlements and goodwill impairment losses of JPY 819 million related to M&A were booked as extraordinary losses, resulting in a net profit decline. By segment, the Security Business reported net sales of JPY 76,781 million (10.4% YoY increase) and operating income of JPY 4,166 million (5.2% YoY increase). The Building Management and Real Estate Business reported net sales of JPY 1,964 million (6.7% YoY increase) and operating income of JPY 325 million (12.1% YoY decrease).

Outlook

For the fiscal year ending February 2027, consolidated net sales are forecast to be JPY 78,000 million (0.9% YoY decrease), operating income JPY 3,500 million (22.2% YoY decrease), ordinary income JPY 3,600 million (23.4% YoY decrease), and net income attributable to owners of parent JPY 2,300 million (8.1% YoY decrease). The increase in personnel expenses due to wage improvements considering inflationary pressures is expected to impact earnings. We aim for sustainable growth and enhanced corporate value through expanding the newly introduced security platform 'Kakehashi' and providing next-generation security services utilizing AI camera technology.