Nec Corporation · TSE:6701

Nec — Nec Corp Unsp/Adr New — Q1 2027 Earnings Presentation

25 slides from Nec's earnings presentation, Jul 29, 2026

1. Slide 1: Financial Results for Q1 Fiscal Year Ending March 31, 2027

   6701.T Financial Results for Q1 Fiscal Year Ending March 31, 2027 July 29, 2026 NEC Corporation (https://group.nec/global/en/about/ir/)

2. Slide 2: Index

   Index I. Financial Results for Q1, FY27/3 II. Financial Forecasts for FY27/3 III. Topics IV. Financial Results (Appendix) • Net profit refers to net profit attributable to owners of the parent for the same period. • As stated in the July 10, 2026 announcement, "NEC Revises Segments", NEC has revised

3. Slide 3: I. Financial Results for Q1, FY27/3

   I. Financial Results for Q1, FY27/3 © NEC Corporation 2026 3

4. Slide 4: Key Takeaways

   Key Takeaways Significant revenue and profit growth in both IT Services and Social Infrastructure ・Profitability improvements in Domestic IT and Aerospace / National Security significantly contributed to overall performance ・Newly consolidated CSG Systems International, Inc. from May 2026 Revenue 81

5. Slide 5: Summary of Financial Results for Q1, FY27/3

   Q1 Results Summary of Financial Results for Q1, FY27/3 FY26/3 FY27/3 FY26/3 FY27/3 (Billions of Yen) YoY (Billions of Yen) YoY Results Results Results Results Revenue 567.1 621.5 +9.6% Revenue 715.7 819.8 +14.5% IT Services Non-GAAP OP 40.8 57.8 +17.0 Non-GAAP OP 40.0 74.7 +34.7 % of revenue 7.2% 9.

6. Slide 6: IT Services

   Q1 Results IT Services Domestic: Significant profit growth driven by NEC BluStellar expansion and profitability improvements International: Both revenue and profit increased due to the new consolidation of CSG FY26/3 FY27/3 (Billions of Yen) YoY Results Results Revenue 468.4 477.2 +1.9% Domestic Non

7. Slide 7: Domestic IT Services

   Q1 Results Domestic IT Services NEC BluStellar: Revenue and profit increased due to expanding penetration of “NEC BluStellar Scenarios" in the Government agency and Finance markets Base Business: Revenue decreased due to the accelerated shift to NEC BluStellar, but profit increased due to profitabil

8. Slide 8: Domestic IT Services Booking Status on a Real Basis

   Q1 Results Domestic IT Services Booking Status on a Real Basis* (YoY) • Demand remained robust, centered on modernization • Effective order backlog coverage ratio** progressed at +2% YoY 1Q FY27/3 Notes Domestic IT Services +3% Public (Government agencies, In addition to digitalization projects for

9. Slide 9: Social Infrastructure

   Q1 Results Social Infrastructure Aerospace / National Security: Continued to perform strongly, achieving significant growth in both revenue and profit Submarine Systems: Achieved significant revenue growth and turned profitable due to the start of revenue recognition for projects ordered in the prev

10. Slide 10: II. Financial Forecasts for FY27/3

    II. Financial Forecasts for FY27/3 © NEC Corporation 2026 10

11. Slide 11: FY27/3 Financial Forecasts

    FY27/3 Forecasts FY27/3 Financial Forecasts Revised revenue upward by 40.0 billion yen and Non-GAAP OP by 10.0 billion yen (The impact of the new consolidation of CSG is not reflected in these figures, and is planned to be incorporated in the Q2 financial results announcement) FY27/3 FY27/3 FY26/3 (

12. Slide 12: FY27/3 Financial Forecasts (By Segment)

    FY27/3 Forecasts FY27/3 Financial Forecasts (By Segment) FY27/3 FY27/3 FY26/3 (Billions of Yen) Forecasts Changes Forecasts Results as of Apr. 28 as of Jul. 29 Revenue 2,736.1 2,605.0 +20.0 2,625.0 IT Services Non-GAAP OP 359.3 376.0 +5.0 381.0 % of revenue 13.1% 14.4% 14.5% Revenue 708.4 760.0 +20.

13. Slide 13: IT Services

    FY27/3 Forecasts IT Services Domestic: Despite the peak-out of projects in the Public sector, profitability improved due to NEC BluStellar expansion Revised upward financial forecasts considering Q1 progress International: Profit increased due to continuous profitability improvements and the curbing

14. Slide 14: Domestic IT Services

    FY27/3 Forecasts Domestic IT Services NEC BluStellar contributed to further profit margin improvement by expanding NEC scenarios leveraging AI and improving software productivity FY27/3 FY27/3 FY26/3 (Billions of Yen) Forecasts Changes Forecasts Results as of Apr. 28 as of Jul. 29 Revenue 638.3 760.

15. Slide 15: NEC BluStellar (By Segment)

    FY27/3 Forecasts NEC BluStellar (By Segment) Disclosed the breakdown for Domestic IT and Social Infrastructure from this fiscal year Q1 Full Year FY26/3 FY27/3 FY26/3 FY27/3 (Billions of Yen) YoY YoY Results Results Results Results Revenue 124.7 166.1 +33.2% 638.3 760.0 +19.1% Domestic Non-GAAP OP 1

16. Slide 16: Social Infrastructure

    FY27/3 Forecasts Social Infrastructure Aerospace / National Security: Profit increased through the further expansion of the defense business Submarine Systems: Turned profitable due to revenue recognition of projects ordered in the previous fiscal year and reduction of additional costs Network Infra

17. Slide 17: III. Topics

    III. Topics © NEC Corporation 2026 17

18. Slide 18: Topics on NEC BluStellar

    Topics on NEC BluStellar Launched a strategic collaboration with Anthropic in April, steadily making progress in initiatives with customers Jointly developed highly secure and reliable domain-specific AI solutions Launched initiatives with Launched the first service based Rolling out Claude to 30,00

19. Slide 19: Merger with NEC Solution Innovators, Ltd. (Effective October 1)

    Merger with NEC Solution Innovators, Ltd. (Effective October 1) Consolidating the NEC Group's strengths in domain knowledge and technical implementation capabilities to drive the application of AI throughout society Accelerating the transformation to an end-to-end value delivery model ahead of marke

20. Slide 20: NEC - Orchestrating a brighter world

    NEC \ Orchestrating a brighter world

21. Slide 21: IV. Financial Results (Appendix)

    IV. Financial Results (Appendix) © NEC Corporation 2026 21

22. Slide 22: Non-GAAP Operating Profit Adjustment Items

    Q1 Results Non-GAAP Operating Profit Adjustment Items FY26/3 FY27/3 (Billions of Yen) YoY Results Results Operating Profit 35.4 58.8 +23.4 Amortization of Intangible Assets for M&A 6.3 5.8 -0.6 Expenses for M&A 0.0 7.5 +7.5 Structural Reform Expenses and Adjusted - 2.1 +2.1 Impairment Losses Items S

23. Slide 23: Non-GAAP Net Profit Adjustment Items

    Q1 Results Non-GAAP Net Profit Adjustment Items FY26/3 FY27/3 (Billions of Yen) YoY Results Results Net Profit 19.3 49.7 +30.4 Amortization of Intangible Assets for M&A 4.2 3.8 -0.4 Expenses for M&A 0.0 5.4 +5.4 Structural Reform Expenses and Adjusted - 1.5 +1.5 Impairment Losses Items Stock Compens

24. Slide 24: Financial Position Data

    Q1 Results Financial Position Data As of As of Change from (Billions of Yen) March 31, June 30, March 31, 2026 2026 2026 Total Assets 4,466.8 4,506.8 +40.0 Total Equity 2,281.9 2,319.7 +37.8 Interest-bearing Debt 489.2 591.4 +102.2 Equity Attributable to Owners of the Parent 2,196.6 2,234.1 +37.5 %

25. Slide 25: Cautionary Statement with Respect to Forward-Looking Statements

    Cautionary Statement with Respect to Forward-Looking Statements This material contains Forward-Looking Statements regarding estimations, forecasts, targets and plans in relation to the results of operations, financial conditions and other overall management of the NEC Group (the “Forward-Looking Sta

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