Slide 1: Consolidated Financial Results for the First Nine Months of FY Ending March 2026
From April 1, 2025 to December 31, 2025 Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2026 January 30, 2026 Digital Arts Inc. Securities Code: 2326
Slide 2: Product Lineup
Product Lineup NEW Equipped with multi-factor Supporting the achievement authentication to help ensure the File SSE of simple and strong network IDaaS secure management of IDs for security cloud services File encryption and remote deletion solutions Helping users securely Helping users securely send
Slide 3: Product Price
Product Price Reference Price (monthly): 250 yen Reference Price (monthly): 500 yen Reference Price (monthly): 150 yen (for purchases of 500 licenses) Reference Price (monthly): SWG 1,500 yen Reference Price (monthly): 300 yen SWG ID 1,750 yen Reference Price (monthly): 250 yen (for purchases of 10
Slide 4: Regarding “Contracts” and “Net sales”
Regarding “Contracts” and “Net sales” Contracts Net sales The total amount of orders received by the The total of the amount of contracts acquired before the Company from its customers during the current previous period that will be recognized as net sales in accounting period (essentially equivalen
Slide 5: Key Points (FY Mar. 2026 First Nine Months)
Key Points（FY Mar. 2026 of First 9 Months） Contracts Net sales Operating profit 10,875 million yen 7,835 million yen 3,342 million yen YoY ＋4,016 million yen/＋58.6% YoY ＋560 million yen /＋7.7% YoY +197 million yen /+6.3% Contracts continued to grow Net sales increased less sharply than The trend in
Slide 6: Key Points (FY Mar. 2026 3Q)
Key points (FY Mar. 2026 3Q ) Contracts Net sales Operating profit 4,246 million yen 2,842 million yen 1,320 million yen YoY ＋1,904 million yen /＋81.3％ YoY ＋405 million yen /＋16.7% YoY +228million yen /+20.9% Contracts grew significantly, The substantial increase in The growth in operating profit re
Slide 7: Achievements vs. Financial Forecast for FY Ending March 31, 2026
Achievements vs. Financial Forecast for the Fiscal Year Ending March 31, 2026 (Consolidated) Forecast of Contracts Forecast of Net sales Forecast of Operating profit 19,000 million yen 11,800 million yen 5,607 million yen Results for the first nine months 10,875 million yen Results for the first nin
Slide 8: INDEX
01. Consolidated Results Highlights 02. Non-consolidated Results Highlights 03. Status of Each Market and Product INDEX 04. FY03/26 Initiatives 05. FY03/26 Product Information Updates 06. FY03/26 Full-Year Financial Forecast 07. FY03/26 Return to Shareholders Copyright © Digital Arts Inc.
Slide 9: 01. Consolidated Results Highlights
Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2026 01. Consolidated Results Highlights Copyright © Digital Arts Inc.
Slide 10: Consolidated Statement of Income
Consolidated Statement of Income Contracts grew significantly due to extremely strong orders for the Phase 2 of the GIGA School Concept. (Millions of Yen) FY Mar. 2025 FY Mar. 2026 FY Mar. 2026 First 9 mos. First 9 mos. Change YoY Full-Year Forecast*1 Contracts 6,858 10,875 +58.6％ 19,000 Net Sales 7
Slide 11: Consolidated Contracts and Net Sales by Market
Consolidated Contracts and Net sales by Market Enterprise sector market: Until the first half, growth was slow. After the start of the second half, signs of growth appeared and, consequently, double-digit growth was achieved. Public sector market: Contracts continued to rise sharply, driven by the a
Slide 12: Quarterly Trends in Consolidated Net Sales, Operating Profit and Operating Margin
Quarterly Trends in Consolidated Net Sales, Operating Profit and Operating Margin Net sales, operating profit and operating margin in 3Q of the fiscal year ending March 31, 2026 indicated a steady increase. Quarterly Trends in Consolidated Net Sales, Operating Profit and Operating Margin (Millions o
Slide 13: Provision Type Ratio in Consolidated Contracts and Net Sales
Provision Type Ratio in Consolidated Contracts and Consolidated Net Sales In both contracts and in net sales, the cloud service product ratio increased. Trend in Consolidated Contracts (Millions of Yen) Trend in Consolidated Net Sales (Millions of Yen) License sales products/ Others Cloud service pr
Slide 14: Trend in Order Backlog
Trend in Order Backlog Contract balance grew significantly due to extremely strong orders for Phase 2 of the GIGA School Concept and Next-Generation School Affairs DX projects. Trend in Order Backlog (Millions of Yen) Sales for the next fiscal year Sales for the next fiscal year (GIGA) Sales for the
Slide 15: Consolidated Cost of Sales and SG&A Expenses
Consolidated Cost of Sales and Selling, General and Administrative Expenses While the cost of sales and selling, general and administrative expenses increased year on year due to increased investment in human resources, a cost structure appropriate for the plan was created by deploying AI to advance
Slide 16: Quarterly Trend in Consolidated Cost of Sales
Quarterly Trend in Consolidated Cost of Sales Labor Depresiation Communication expenses Others Cost of Sales Transfer to other accounts 1,527 (Millions of Yen) 1,450 1,340 250 1,204 1,235 1,248 332 270 400 1,244 231 1,102 229 351 1,084 1,083 239 221 268 244 220 302 1,027 996 365 989 201 984 968 145
Slide 17: Quarterly Trend in Consolidated SG&A Expenses
Quarterly Trend in Consolidated Selling, General and Administrative Expenses Personnel expenses Advertising expenses Others (Millions of Yen) 735 669 675 648 646 633 643 609 609 597 608 597 578 574 558 307 213 215 248 219 238 214 244 229 224 223 216 232 204 219 44 66 74 54 80 106 78 60 77 86 92 74 6
Slide 18: Consolidated Balance Sheet
Consolidated Balance Sheet Advances received increased due to the significant growth in contracts. (Millions of Yen) As of end of 3Q As of end of As of end of 3Q Change from end Main Factors for Changes FY Mar. 2025 FY Mar. 2025 FY Mar. 2026 of FY Mar. 2025 Increase in cash and deposit (+1,356M), de
Slide 19: 02. Non-consolidated Results Highlights
Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2026 02. Non-consolidated Results Highlights Copyright © Digital Arts Inc.
Slide 20: Summary of Non-consolidated Results
Summary of Non-consolidated Results Contracts grew significantly due to extremely strong orders for the Phase 2 of the GIGA School Concept. (Millions of Yen) FY Mar. 2025 FY Mar. 2026 FY Mar. 2026 First 9 mos. First 9 mos. Change YoY Full-Year Forecast*1 Contracts 6,851 10,869 +58.7% 18,995 Net Sale
Slide 21: 03. Status of Each Market and Product
Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2026 03. Status of Each Market and Product Copyright © Digital Arts Inc.
Slide 22: Trend in Consolidated Contracts by Market
Trend in Consolidated Contracts by Market Contracts for the first nine months reached a record high. (Millions of Yen) Enterprise Public Consumer DAC 10,875 Consumer 304 7,562 7,267 (7,035) 7,043 6,465 (5,986) (5,723) 526 6,858 6,775 Public 321 (5,710) 306 1,057 1,544 755 327 335 313 4,008 3,184 (3,
Slide 23: Trend in Consolidated Net Sales by Market
Trend in Consolidated Net Sales by Market Contracts for the first nine months reached a record high. (excluding DAC) (Millions of Yen) Enterprise Public Consumer DAC 8,322 7,658 (6,777) (6,600) 7,835 6,686 1,544 7,274 305 Consumer (5,931) 1,057 307 313 755 327 4,750 327 3,734 Public 3,555 4,141 (4,2
Slide 24: Enterprise Market Contracts and Net Sales by Product
Enterprise Sector Market Contracts and Net Sales in Market by Product i-FILTER: Faster growth was achieved with the capturing of demand for website security solutions on business devices, including mobile devices. m-FILTER: Rapid growth was maintained given demand for countermeasures against email a
Slide 25: Public Sector Market Contracts and Net Sales by Product
Public Sector Market Contracts and Net Sales in Market by Product i-FILTER: Continued to grow fast mainly due to the acquisition of projects for the GIGA School Concept and large-scale projects for public-sector organizations. m-FILTER: Decreased due to the absence of the projects for improvements S
Slide 26: Public Sector Share Growth during Phase 2 of the GIGA School Concept
Public Share growth during the Phase 2 of the GIGA School Concept Sector Market Adoption of i-FILTER now stands at 95%. Introduction of filtering under the GIGA School Concept*1 Phase 1 of the GIGA School Concept Phase 2 of the GIGA School Concept as of March 2025 Phase 2 of the GIGA School Concept
Slide 27: 04. FY03/26 Initiatives
Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2026 04. FY03/26 Initiatives Copyright © Digital Arts Inc.
Slide 28: White Operation® - our unique model for security measures
White Operation® -our unique model for security measures Conventional security measures mainly involve "detection and response" based on the premise of being attacked. However, as cyber attacks become more sophisticated and it becomes increasingly difficult to completely prevent damage using convent
Slide 29: Track Record of White Operation®
Track Record of White Operation® Number of White Operations® users 14.99 million 0 reports of malware infection NEW *1: The number of reports on damage due to malware infection from users of i-FILTER Ver. 10, m-FILTER Ver. 5, i-FILTER@Cloud and m-FILTER@Cloud as of December 2025 (Source: Digital Art
Slide 30: Enterprise Security Measures
Enterprise Security Measures "White Operation®" protects communication and authentication, which are the main attack points of cyber attacks, and completely protects data in case of leakage or theft. Communications NEW Security Service Edge In-house business SaaS Websites Communications Web Security
Slide 31: 05. FY03/26 Product Information Updates
Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2026 05. FY03/26 Product Information Updates Copyright © Digital Arts Inc.
Slide 32: New Product Release: Z-FILTER
New Product Release Z-FILTER, a new product, to be released on November 4 Projects are steadily increasing. Some orders have already been received. ゼロトラスト実現を支える、 認証から通信までカバーする 国産セキュリティ基盤 32 Copyright © Digital Arts Inc.
Slide 33: Difference Between i-FILTER and Z-FILTER
New Product Release Difference Between i-FILTER and Z-FILTER Z-FILTER includes all of the functions of i-FILTER, and further, it includes ZTNA and cloud FW. It is therefore capable of controlling all communications. In addition, it also permits secure user authentication using IDaaS. i-FILTER covers
Slide 34: Plan for Z-FILTER Offering
New Product Release Plan for Z-FILTER Offering SWG SWG ID SSE 500 yen/month 1,500 yen/month 1,750yen/month 2,000yen/month (excluding tax) (excluding tax) (excluding tax) (excluding tax) ZTNA ー ー ー ● IDaaS *1 ー ー ● ● URL filtering ● ● ● ● DNS security ー ● ● ● CASB ● ● ● ● Cloud Firewall ー ● ● ● IPS ー
Slide 35: 06. FY03/26 Full-Year Financial Forecast
Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2026 06. FY03/26 Full-Year Financial Forecast Copyright © Digital Arts Inc.
Slide 36: Full-Year Financial Forecast (Consolidated)
Full-Year Financial Forecast for the Fiscal Year Ending March 31, 2026 (Consolidated) (Millions of Yen) FY Mar. 2025 FY Mar. 2026 Change % Change Full-Year Results Full-Year Forecast Contracts 10,570 19,000 +8,429 +79.7% Net sales 9,982 11,800 +1,817 +18.2% Cost of sales 2,948 3,296 +348 +11.8% Gros
Slide 37: Full-Year Financial Forecast (Non-Consolidated)
Full-Year Financial Forecast for the Fiscal Year Ending March 31, 2026 (Non-Consolidated) (Millions of Yen) FY Mar. 2025 FY Mar. 2026 Change % Change Full-Year Results Full-Year Forecast Contracts 10,561 18,995 +8,433 +79.9% Net sales 9,972 11,795 +1,822 +18.3% Cost of sales 2,945 3,295 +349 +11.9%
Slide 38: Consolidated Cost of Sales and SG&A Expenses Forecast
Consolidated Cost of Sales and Selling, General and Administrative Expenses (Millions of Yen) FY Mar. 2025 FY Mar. 2026 Change % Change Full-Year Results Full-Year Forecast Cost of Sales 2,948 3,296 +348 +11.8% Labor 1,040 1,215 +175 +16.8% Depreciation 865 929 +64 +7.4% Communication expenses 1,505
Slide 39: 07. FY03/26 Return to Shareholders
Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2026 07. FY03/26 Return to Shareholders Copyright © Digital Arts Inc.
Slide 40: Return to Shareholders for the Fiscal Year Ending Mar. 2026
Return to Shareholders for the Fiscal Year Ending Mar. 2026 Starting FY March 2026, we will change our shareholder return policy as follows to strengthen our stance on returning profit to shareholders. Under the new policy, we plan shareholder returns for the fiscal year ending March 31, 2026 as fol
Slide 41: Notes on Descriptions
Notes on Descriptions Among the descriptions of plans, strategies and financial forecasts in this presentation material, those that are not historical facts are forward-looking statements. They reflect judgments made by the management of Digital Arts Inc. based on information currently available
Slide 42: For internet convenience, safety and security
- For internet convenience, safety and security -