Interim report
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Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail. July 31, 2025 Consolidated Financial Results for the Three Months Ended June 30, 2025 (Under Japanese GAAP) Company name: transcosmos inc. Listing: Tokyo Stock Exchange Securities code: 9715 URL: https://www.trans-cosmos.co.jp/english/ Representative: Masaaki Muta, Representative Director, Co-president Takeshi Kamiya, Representative Director, Co-president Inquiries: Makoto Noguchi, Corporate Senior Officer, Responsible for Accounting & Finance Division, Corporate Headquarters Telephone: +81-50-1748-0265 Scheduled date to commence dividend payments: — Preparation of supplementary material on financial results: Yes Holding of financial results briefing: None (Yen amounts are rounded down to millions, unless otherwise noted.) 1. Consolidated financial results for the three months ended June 30, 2025 (from April 1, 2025 to June 30, 2025) (1) Consolidated operating results (cumulative) (Percentages indicate year-on-year changes.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Three months ended Millions of yen % Millions of yen % Millions of yen % Millions of yen % June 30, 2025 94,439 3.7 3,683 21.0 4,412 17.2 3,404 111.4 June 30, 2024 91,083 2.4 3,043 36.9 3,763 16.1 1,610 9.6 Note: Comprehensive income For the three months ended June 30, 2025: ¥1,020 million [(67.1)%] For the three months ended June 30, 2024: ¥3,101 million [332.8%] Basic earnings per share Diluted earnings per share Three months ended Yen Yen June 30, 2025 90.85 85.15 June 30, 2024 43.44 40.64 (2) Consolidated financial position Total assets Net assets Equity-to-asset ratio Net assets per share As of Millions of yen Millions of yen % Yen June 30, 2025 205,583 125,804 56.2 3,084.93 March 31, 2025 207,984 129,068 57.0 3,166.17 Reference: Equity As of June 30, 2025: ¥115,601 million As of March 31, 2025: ¥118,645 million
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2. Cash dividends Annual dividends per share First quarter-end Second quarter-end Third quarter-end Fiscal year-end Total Yen Yen Yen Yen Yen Fiscal year ended March 31, 2025 - 0.00 - 106.00 106.00 Fiscal year ending March 31, 2026 - Fiscal year ending March 31, 2026 (Forecast) 0.00 - 108.00 108.00 Note: Revisions to the forecast of cash dividends most recently announced: None 3. Forecasts for consolidated financial results for the fiscal year ending March 31, 2026 (April 1, 2025 to March 31, 2026) (Percentages indicate year-on-year changes.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Basic earnings per share Fiscal year ending Millions of yen % Millions of yen % Millions of yen % Millions of yen % Yen March 31, 2026 400,000 6.4 15,500 7.1 17,000 8.4 11,500 1.5 306.89 Note: Revisions to the full-year earnings forecasts most recently announced: None * Notes (1) Significant changes in the sco pe of consolidation during the period: None Newly included: — Excluded: — (2) Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: None (3) Changes in accounting policies, changes in accounting estimates, and restatement (i) Changes in accounting policies due to revisions to accounting standards and other regulations: None (ii) Changes in accounting policies due to other reasons: None (iii) Changes in accounting estimates: None (iv) Restatement: None (4) N umber of issued shares (common shares) (i) Total number of issued shares at the end of the period (including treasury shares) As of June 30, 2025 43,863,116 shares As of March 31, 2025 43,863,116 shares (ii) Number of treasury shares at the end of the period As of June 30, 2025 6,390,276 shares As of March 31, 2025 6,390,229 shares (iii) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) Three months ended June 30, 2025 37,472,869 shares Three months ended June 30, 2024 37,066,635 shares * Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: None
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* Proper use of earnings forecasts, and other special matters (Cautionary statement with respect to forward-looking statements, and other information) Forward-looking statements contained in this document are based on the information currently available to transcosmos inc. (the Company) and estimates based on reasonable assumptions. Actual operating results may differ materially from these forecasts due to various factors. (Access to supplemental material for the consolidated financial results) The Company will post the supplemental material for the consolidated financial results for the three months ended June 30, 2025, on the Company’s website on Thursday, July 31, 2025.
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Unaudited Quarterly Consolidated Balance Sheet transcosmos inc. AND ITS CONSOLIDATED SUBSIDIARIES As of June 30, 2025 and March 31, 2025 1 ASSETS Millions of yen Thousands of U.S. dollars (Note 1) As of June 30, 2025 As of March 31, 2025 As of June 30, 2025 Current assets: Cash and deposits ¥ 72,633 ¥ 73,502 $ 501,544 Notes and accounts receivable – trade, and contract assets 65,898 69,506 455,036 Merchandise and finished goods 3, 528 3,391 24,363 Work in process 247 181 1,708 Supplies 77 70 536 Others 10,431 8,143 72,029 Less - allowance for doubtful accounts ( 131) ( 137) (906) Total current assets 1 52,685 15 4,658 1,054,312 Non-current assets: Property, plant and equipment: Buildings and structures, net 6,886 7,128 47,553 Tools, furniture and fixtures, net 5,611 6,086 38,749 Land 710 705 4,908 Others, net 1,100 1,179 7,600 Total property, plant and equipment, net 14,309 15,099 98,811 Intangible assets: Goodwill 577 619 3,990 Software 3,768 3,945 26,019 Others 891 763 6,156 Total intangible assets 5,237 5,329 36,166 Investments and other assets: Investment securities 4,025 3,363 27,793 Shares of unconsolidated subsidiaries and affiliates 11,942 12,851 82,467 Investments of capital subsidiaries and affiliates 1,778 1,853 12,280 Deferred tax assets 4,032 3,497 27,844 Guarantee deposits 10,443 10,236 72,110 Others 1,978 1,961 13,665 Less - allowance for doubtful accounts (850) (867) (5,873) Total investments and other assets 33,350 32,896 230,287 Total non-current assets 52,897 53,325 365,265 Total assets ¥ 205,583 ¥ 207,984 $ 1,419,577 See accompanying notes to unaudited quarterly consolidated financial statements.
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Unaudited Quarterly Consolidated Balance Sheet transcosmos inc. AND ITS CONSOLIDATED SUBSIDIARIES As of June 30, 2025 and March 31, 2025 2 LIABILITIES Millions of yen Thousands of U.S. dollars (Note 1) As of June 30, 2025 As of March 31, 2025 As of June 30, 2025 Current liabilities: Accounts payable - trade ¥ 1 4,605 ¥ 1 4,223 $ 100,854 Short-term borrowings 53 80 368 Current portion of bonds payable 82 81 566 Current portion of long-term debt 2,058 2,059 14,214 Accounts payable - other 6,004 7,170 41,465 Accrued expenses 19,418 19,303 134,087 Income taxes payable 2,220 2,642 15,331 Accrued consumption taxes 6,210 5,247 42,887 Accrued compensation 9,123 6,671 63,000 Others 5,198 4,535 35,894 Total current liabilities 64,976 62,014 448,669 Non-current liabilities: Bonds payable 124 128 856 Convertible bond-type bonds with subscription rights to shares 10,029 10,034 69,252 Long-term debt 2,138 4,151 14,765 Liability for retirement benefits 412 411 2,849 Others 2,098 2,176 14,489 Total non-current liabilities 14,802 16,901 102,212 Total liabilities 79,778 78,916 550,881 NET ASSETS Shareholders’ equity: Capital stock 29,065 29,065 200,704 Capital surplus 6,889 6,889 47,569 Retained earnings 91,182 91,749 629,624 Treasury stock, at cost (16,125) (16,125) (111,348) Total shareholders’ equity 111,011 111,579 765,550 Accumulated other comprehensive income : Unrealized holding gain on securities 813 321 5,615 Foreign currency translation gains adjustments 3,776 6,744 26,075 Total accumulated other comprehensive income 4,589 7,066 31,690 Stock acquisition rights 0 0 4 Non-controlling interests 10,202 10,422 70,451 Total net assets 125,804 129,068 868,696 Total liabilities and net assets ¥ 205,583 ¥ 207,984 $ 1,419,577 See accompanying notes to unaudited quarterly consolidated financial statements.
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Unaudited Quarterly Consolidated Statement of Income transcosmos inc. AND ITS CONSOLIDATED SUBSIDIARIES For the three months ended June 30, 2025 and 2024 3 Millions of yen Thousands of U.S. dollars (Note 1) 2025 2024 2025 Net sales ¥ 9 4,439 ¥ 91,083 $ 652,119 Cost of sales 76,296 73,708 526,833 Gross profit 18,143 17,375 125,286 Selling, general and administrative expenses 14,460 14,331 99,853 Operating profit 3,683 3,043 25,432 Non-operating income (expenses): Interest income 92 75 640 Interest expenses (11) (53) (82) Dividend income 21 39 149 Share of profits (losses) of entities accounted for using equity method 152 (17) 1,050 Foreign exchange gains 411 641 2,843 Impairment losses on fixed assets (14) － (102) Gains on sale of investment securities 22 － 152 Gains on sale of non-current assets 0 49 4 Losses on valuation of investment securities (36) (553) (251) Other income (expenses), net 53 32 368 Total non-operating income (expenses) 691 213 4,772 Profit before income taxes and non-controlling interests 4,374 3,257 30,205 Income taxes : Current 1,524 1,996 10,530 Deferred (728) (677) (5,032) Total income taxes 796 1,318 5,497 Profit 3,578 1,938 24,707 Profit attributable to non-controlling interests 173 328 1,198 Profit attributable to owners of parent ¥ 3,404 ¥ 1,610 $ 23,50 9 See accompanying notes to unaudited quarterly consolidated financial statements.
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Unaudited Quarterly Consolidated Statement of Comprehensive Income transcosmos inc. AND ITS CONSOLIDATED SUBSIDIARIES For the three months ended June 30, 2025 and 2024 4 Millions of yen Thousands of U.S. dollars (Note 1) 2025 2024 2025 Profit ¥ 3,578 ¥ 1,938 $ 24,707 Other comprehensive income : Unrealized holding gains (losses) on securities 494 ( 123) 3,411 Foreign currency translation gains (losses) adjustments (2,283) 659 (15,767) Share of other comprehensive income from ownership in entities accounted for using the equity method (768) 627 (5,303) Total other comprehensive income (2,557) 1,163 (17,659) Comprehensive income ¥ 1 ,020 ¥ 3,101 $ 7,047 Total comprehensive income attributable to: Owners of parent ¥ 927 ¥ 2,751 $ 6,407 Non-controlling interests 92 350 640 See accompanying notes to unaudited quarterly consolidated financial statements.
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Notes to Unaudited Quarterly Consolidated Financial Statements transcosmos inc. AND ITS CONSOLIDATED SUBSIDIARIES 5 1. U.S. Dollar Amounts The accompanying quarterly consolidated financial statements are expressed in yen, and solely for the convenience of the reader, have been translated into United States (U.S.) dollars at the rate of ¥ 144.82 = $1, the approximate exchange rate of the Tokyo Foreign Exchange Market as of June 30, 2025. This translation should not be construed as a representation that the amounts shown could be converted to U.S. dollars at such rate. 2. Uncertainties of entity's ability to continue as going concern None. 3. When there are significant changes in amounts of equity None 4. Quarterly statement of cash flows Quarterly consolidated statement of cash flows is not prepared. The amounts of Depreciation of property, plant and equipment and Amortization of intangible assets, Amortization of goodwill for the three months ended June 30, 2025 and 2024 are as follows: Millions of yen Thousands of U.S. dollars (Note 1) 2025 2024 2025 Depreciation of property, plant and equipment and Amortization of intangible assets ¥ 1,367 ¥ 1,408 $ 9,445 Amortization of goodwill 42 64 290
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Notes to Unaudited Quarterly Consolidated Financial Statements transcosmos inc. AND ITS CONSOLIDATED SUBSIDIARIES 6 5. Segment Information Information on net sales, profit or loss and assets for each reportable segment for the three months ended June 30, 2025 and 2024 Millions of yen 2025 Reportable segments Parent company Domestic subsidiaries and affiliates Overseas subsidiaries and affiliates Total Eliminations Consolidated Net sales Sales to third parties ¥ 62,008 ¥ 8, 814 ¥ 23,616 ¥ 94,439 ¥ － ¥ 9 4,439 Inter-segment sales and transfers 287 1,667 1,384 3, 338 (3,338) － Total ¥ 62,295 ¥ 10,481 ¥ 2 5,001 ¥ 9 7,778 ¥ (3,338) ¥ 9 4,439 Segment profit ¥ 1,831 ¥ 889 ¥ 959 ¥ 3, 680 ¥ 2 ¥ 3, 683 Thousands of U.S. dollars (Note 1) 2025 Reportable segments Parent company Domestic subsidiaries and affiliates Overseas subsidiaries and affiliates Total Eliminations Consolidated Net sales Sales to third parties $ 428,177 $ 60,864 $ 1 63,077 $ 652,119 $ － $ 652,119 Inter-segment sales and transfers 1,9 82 1 1,511 9,560 2 3,054 (23 ,054) － Total $ 430,160 $ 72,376 $ 1 72,637 $ 675,174 $ (23,054) $ 652,119 Segment profit $ 12,646 $ 6,144 $ 6, 622 $ 25,413 $ 19 $ 25,432 Note A: Segment profit of ¥ 2 million ($19 thousand) in “Eliminations” consists of inter-segment elimination. Note B: Total consolidated segment profit agrees with consolidated operating profit. Millions of yen 2024 Reportable segments Parent company Domestic subsidiaries and affiliates Overseas subsidiaries and affiliates Total Eliminations Consolidated Net sales Sales to third parties ¥ 5 9,259 ¥ 8,763 ¥ 2 3,059 ¥ 91,083 ¥ － ¥ 91,083 Inter-segment sales and transfers 3 06 1,642 1,334 3,283 (3,283) － Total ¥ 5 9,566 ¥ 10,406 ¥ 2 4,394 ¥ 9 4,366 ¥ ( 3,283) ¥ 91,083 Segment profit ¥ 1,318 ¥ 7 09 ¥ 1,020 ¥ 3,048 ¥ (5) ¥ 3,043 Note A: Segment profit of ¥ (5) million in “Eliminations” consists of inter-segment elimination. Note B: Total consolidated segment profit agrees with consolidated operating profit.