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 discrepan cy between this translated document and the Japanese original, the original shall prevail. October 5, 2026 Consolidated Financial Results for the Six Months Ended August 31, 2026 (Under Japanese GAAP) Company name: Daiseki Co., Ltd. Listing: Tokyo Stock Exchange, Nagoya Stock Exchange Securities code: 9793 URL: https://www.daiseki.co.jp/english/index.html Representative: Tetsuya Yamamoto, President and Representative Director Inquiries: Hideki Katase, Managing Executive Officer, General Manager of Headquarters of Planning and Management Telephone: +81-52-611-6322 Scheduled date to file semi-annual securities report: October 13, 2026 Scheduled date to commence dividend payments: October 23, 2026 Preparation of supplementary material on financial results: Yes Holding of financial results briefing: Yes (for analysts and institutional investors) (Yen amounts are rounded down to millions, unless otherwise noted.) 1. Consolidated financial results for the six months ended August 31, 2026 (from March 1, 2026 to August 31, 2026) (1) Consolidated operating results (cumulative) (Percentages indicate year-on-year changes.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Six months ended Millions of yen % Millions of yen % Millions of yen % Millions of yen % August 31, 2026 37,492 3.8 8,345 12.0 8,657 13.4 5,805 23.1 August 31, 2025 36,117 10.1 7,450 1.6 7,629 (1.1) 4,712 (3.4) Note: Comprehensive income For the six months ended August 31, 2026: ¥ 6,276 million [ 21.1 %] For the six months ended August 31, 2025: ¥ 5,179 million [ (3.4) %] Basic earnings per share Diluted earnings per share Six months ended Yen Yen August 31, 2026 122.77 - August 31, 2025 99.07 - (2) Consolidated financial position Total assets Net assets Equity-to-asset ratio As of Millions of yen Millions of yen % August 31, 2026 109,332 87,803 78.7 February 28, 2026 105,176 83,403 77.7 Reference: Equity As of August 31, 2026: ¥ 86,087 million As of February 28, 2026: ¥ 81,746 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 - 36.00 - 40.00 76.00 February 28, 2026 Fiscal year ending 43.00 February 28, 2027 Fiscal year ending February 28, 2027 (Forecast) - 43.00 86.00 Note: Revisions to the forecast of cash dividends most recently announced: None 3. Consolidated financial result forecasts for the fiscal year ending February 28, 2027 (from March 1, 2026 to February 28, 2027) (Percentages indicate year-on-year changes.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Basic earnings per share Millions of yen % Millions of yen % Millions of yen % Millions of yen % Yen Full year 74,200 3.2 16,800 15.1 17,000 14.2 11,200 22.3 236.83 Note: Revisions to the financial result forecast most recently announced: None * Notes (1) Significant changes in the scope of consolidation during the period: None Newly included: - companies( ) Excluded: - companies( ) (2) Adoption of accounting treatment specific to the preparation of semi-annual 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) Number of issued shares (common shares) (i) Total number of issued shares at the end of the period (including treasury shares) As of August 31, 2026 48,000,000 shares As of February 28, 2026 48,000,000 shares (ii) Number of treasury shares at the end of the period As of August 31, 2026 706,634 shares As of February 28, 2026 714,476 shares (iii) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) Six months ended August 31, 2026 47,288,273 shares Six months ended August 31, 2025 47,569,216 shares * Semi-annual financial results reports are exempt from review conducted by certified public accountants or an audit firm. * Proper use of earnings forecasts, and other special matters The forecast figures stated above reflect projections determined based on the information currently available and may contain uncertain factors in large part. Actual business results, etc. may differ from the above forecast figures due to changes in earnings results, among others.
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Daiseki Co., Ltd. (9793) ―1― Attached Material 1. Qualitative Information on Semi-annual Consolidated Financial Results .......................................................... 2 (1) Explanation of Operating Results ................................................................................................................. 2 (2) Explanation of Financial Position ................................................................................................................. 2 (3) Explanation of Consolidated Financial Results Forecast and Other Forward-Looking Statements ............. 2 2. Semi-annual Consolidated Financial Statements and Primary Notes .................................................................. 3 (1) Semi-annual Consolidated Balance Sheet..................................................................................................... 3 (2) Semi-annual Consolidated Statements of Income and Comprehensive Income ........................................... 5 Semi-annual Consolidated Statement of Income .......................................................................................... 5 Semi-annual Consolidated Statement of Comprehensive Income ................................................................ 6 (3) Notes to Semi-annual Consolidated Financial Statements............................................................................ 7 Notes on premise of going concern .............................................................................................................. 7 Notes on significant changes in the amount of shareholders’ equity ............................................................ 7 Significant events after reporting period ....................................................................................................... 7
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Daiseki Co., Ltd. (9793) ―2― 1. Qualitative Information on Semi-annual Consolidated Financial Results (1) Explanation of Operating Results During the six months ended August 31, 2026, the Japanese economy continued to experience modest recovery and positive growth, on the back of increasing demand related to artificial intelligence and semiconductors, improvements in the emp loyment and income environments, and growing capital investments. However, the future outlook remained uncertain due mainly to heightened uncertainty arising from various risks, including soaring resource prices driven by escalating tensions in the Middle East, as well as fluctuations in foreign exchange rates. Amid such an economic situation, in a mainstay business of the Company group (the “Group”), the industrial waste treatment business of the Company centered on industrial wastewater treatment achieved record-high net sales and profits, although net sales, operating profit, and ordinary profit were slightly lower than planned, on account of the aggressive acquisition of wastewater as a raw material for recycled fuels, despite higher raw material costs and SG&A expenses. In the soil remediation business of Daiseki Eco. Solution Co., Ltd., steady performance was recorded with both sales and profits exceeding the plan, due mainly to large -scale factory projects in the Kanto region, which ha s been carried ov er from the previous fiscal year, and a large -scale factory project in the Chubu region under a contract secured during the current fiscal year. In the lead recycling business of Daiseki MCR Co., Ltd., both net sales and profits were higher than planned, supported by the effects of price revisions implemented from the current fiscal year, despite factors such as the impact of rising raw material costs. In the washing business for large ta nks of System Kikou Co., Ltd., both net sales and profit were lower than planned due to the postponement of some projects to the second half of the current fiscal year. The Group has aimed for a company that is well -liked by local communities by conducting management that emphasizes our purpose of becoming “an environment -creating company contributing to society through the environment by making the best use of limited resources” as an environment -creating company, continuing to step up efforts to retain and train human resources while also investing to expand capacity. As a result, for the six months ended August 31, 2026, net sales, operating profit, ordinary profit, and profit attributable to owners of parent were ¥37,492 million (up 3.8% year on year), ¥8,345 million (up 12.0% year on year), ¥8,657 million (up 13.4% year on year), and ¥5,805 million (up 23.1% year on year), respectively, achieving record-high net sales and profits. As the Group consists of a single business segment, the environment-related business, the information by segment is omitted. (2) Explanation of Financial Position Total assets as of August 31, 2026 increased by ¥4,155 million compared with the end of the previous fiscal year, amounting to ¥109,332 million. The increase was largely due to increases in cash and deposits of ¥1,644 million, notes and accounts receivable - trade, and contract assets of ¥1,292 million, investment securities of ¥559 million, inventories of ¥490 million, and property, plant and equipment of ¥393 million, while being offset by a decrease in deferred tax assets of ¥117 million. Liabilities decreased by ¥244 million compared with the end of the previous fiscal year, amounting to ¥21,528 million. The decrease was largely due to decreases in other under curr ent liabilities of ¥601 million and long -term borrowings of ¥447 million, offset by an increase in short -term borrowings of ¥720 million. Net assets increased by ¥4,400 million compared with the end of the previous fiscal year, amounting to ¥87,803 million . The increase was largely due to increases in retained earnings of ¥3,914 million by recording profit gains, etc. and valuation difference on available-for-sale securities of ¥387 million. (3) Explanation of Consolidated Financial Results Forecast and Other Forward-Looking Statements No revisions have been made to the consolidated financial results forecast announced on April 7, 2026.
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Daiseki Co., Ltd. (9793) ―3― 2. Semi-annual Consolidated Financial Statements and Primary Notes (1) Semi-annual Consolidated Balance Sheet (Millions of yen) As of February 28, 2026 As of August 31, 2026 Assets Current assets Cash and deposits 18,398 20,042 Notes and accounts receivable - trade, and contract assets 13,991 15,283 Electronically recorded monetary claims - operating 1,319 1,355 Inventories 2,277 2,767 Other 599 568 Allowance for doubtful accounts (10) (12) Total current assets 36,576 40,005 Non-current assets Property, plant and equipment Buildings and structures, net 15,991 16,275 Machinery, equipment and vehicles, net 6,571 6,267 Land 29,722 29,742 Construction in progress 890 1,286 Other, net 924 921 Total property, plant and equipment 54,100 54,493 Intangible assets Goodwill 675 645 Customer-related assets 752 719 Other 346 336 Total intangible assets 1,774 1,700 Investments and other assets Investment securities 7,063 7,622 Long-term time deposits 3,500 3,500 Deferred tax assets 1,508 1,390 Other 657 622 Allowance for doubtful accounts (3) (3) Total investments and other assets 12,725 13,132 Total non-current assets 68,600 69,327 Total assets 105,176 109,332
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Daiseki Co., Ltd. (9793) ―4― (Millions of yen) As of February 28, 2026 As of August 31, 2026 Liabilities Current liabilities Notes and accounts payable - trade 3,180 3,248 Electronically recorded obligations - operating 1,226 1,045 Short-term borrowings 2,660 3,380 Current portion of long-term borrowings 901 896 Income taxes payable 2,784 2,905 Provision for bonuses 807 906 Other 4,427 3,826 Total current liabilities 15,987 16,208 Non-current liabilities Long-term borrowings 3,524 3,077 Provision for retirement benefits for directors (and other officers) 297 285 Retirement benefit liability 1,333 1,375 Deferred tax liabilities 248 231 Other 381 349 Total non-current liabilities 5,785 5,319 Total liabilities 21,773 21,528 Net assets Shareholders' equity Share capital 6,382 6,382 Capital surplus 1,488 1,491 Retained earnings 76,162 80,077 Treasury shares (2,761) (2,728) Total shareholders' equity 81,272 85,222 Accumulated other comprehensive income Valuation difference on available-for-sale securities 479 867 Remeasurements of defined benefit plans (5) (2) Total accumulated other comprehensive income 473 864 Non-controlling interests 1,657 1,716 Total net assets 83,403 87,803 Total liabilities and net assets 105,176 109,332
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Daiseki Co., Ltd. (9793) ―5― (2) Semi-annual Consolidated Statements of Income and Comprehensive Income Semi-annual Consolidated Statement of Income (Millions of yen) For the six months ended August 31, 2025 For the six months ended August 31, 2026 Net sales 36,117 37,492 Cost of sales 24,192 24,578 Gross profit 11,924 12,914 Selling, general and administrative expenses 4,474 4,568 Operating profit 7,450 8,345 Non-operating income Interest income 57 57 Dividend income 19 26 Insurance claim income 21 7 Compensation income 25 8 Subsidy income 15 66 Gain on investments in silent partnerships - 93 Other 65 94 Total non-operating income 204 353 Non-operating expenses Interest expenses 20 32 Commission for purchase of treasury shares 2 0 Other 2 9 Total non-operating expenses 25 41 Ordinary profit 7,629 8,657 Extraordinary income Gain on sale of non-current assets 33 27 Total extraordinary income 33 27 Extraordinary losses Loss on sale of non-current assets 18 0 Loss on retirement of non-current assets 96 91 Loss on tax purpose reduction entry of non-current assets - 53 Total extraordinary losses 114 145 Profit before income taxes 7,548 8,540 Income taxes - current 2,537 2,732 Income taxes - deferred (175) (77) Total income taxes 2,362 2,654 Profit 5,185 5,885 Profit attributable to non-controlling interests 472 79 Profit attributable to owners of parent 4,712 5,805
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Daiseki Co., Ltd. (9793) ―6― Semi-annual Consolidated Statement of Comprehensive Income (Millions of yen) For the six months ended August 31, 2025 For the six months ended August 31, 2026 Profit 5,185 5,885 Other comprehensive income Valuation difference on available-for-sale securities 38 387 Remeasurements of defined benefit plans, net of tax (44) 2 Total other comprehensive income (6) 390 Comprehensive income 5,179 6,276 Comprehensive income attributable to Comprehensive income attributable to owners of parent 4,718 6,196 Comprehensive income attributable to non-controlling interests 460 79
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Daiseki Co., Ltd. (9793) ―7― (3) Notes to Semi-annual Consolidated Financial Statements Notes on premise of going concern Not applicable. Notes on significant changes in the amount of shareholders’ equity Not applicable. Significant events after reporting period Daiseki Eco. Solution Co., Ltd., a consolidated subsidiary of the Company, has been selected under the 5th public call for applications for the “Large -Scale Growth Investment Subsidy for Labor -Saving Measures, etc., Aimed at Wage Increases at Mid-tier, Small and Medium-sized, and Startup Enterprises,” a program sponsored by the Ministry of Economy, Trade and Industry (METI). As a result, it has been decided to grant the subsidy to Daiseki Eco. Solution Co., Ltd. (1) Project name Plastic Resource Recycling Project in Shizuoka City (2) Amount of subsidy granted ¥2,918 million (3) Impact on profit or loss The amount of the subsidy may vary depending on the results of the review, etc. to be conducted after completion of the subsidized project. The Company expects to account for the subsidy by applying advanced depreciation by reduction of book value of assets associated with national subsidies, etc. and record extraordinary income from the receipt of the subsidy and an extraordinary loss resulting from the advanced depreciation for the fiscal year ending February 2030.