Billing System Corporation · TSE:3623
Billing System — Q2 FY2026 Earnings Presentation
46 slides from Billing System's earnings presentation, Aug 13, 2026
Slide 1: FY2026 Second Quarter Financial Results Presentation
FY2026 Second Quarter Financial Results Presentation Billing System Corporation August 13, 2026 Copyright (c) Billing System Corp. All Rights Reserved. 1
Slide 2: Second Quarter Financial Results Presentation Summary
Second Quarter Financial Results Presentation Summary ⚫ Revenue and profits increased year on year . Ordinary profit was 444 million yen, or 159.4% YoY . ⚫ Recurring revenue, including contributions from new services, continued to grow steadily. Overall Highlights performance is progressing in line
Slide 3: Table of Contents
Table of Contents 01 Quarterly Results P4 02 Business Update P21 03 Full -Year Outlook P27 04 Appendix P34 Copyright (c) Billing System Corp. All Rights Reserved. 3
Slide 4: Quarterly Results
01 Quarterly Results Copyright(c) Copyright (c)Billing Billing System System Corp. Corp. All Rights All Rights Reserved. Reserved. 4
Slide 5: FY2026 2Q Results
FY2026 2Q Results ⚫ Revenue and profits exceeded the previous year's results, resulting in higher revenue and profit. ⚫ Gross profit margin improved by 5.3pt YoY to 39.4%, remaining strong following 1Q. ⚫ Profit measures remained solid, and progress toward the full -year forecast is on track . FY202
Slide 6: Trends in Recurring and Non-recurring Revenue
Revenue Trends Trends in Recurring and Non -recurring Revenue ⚫ Quarterly revenue continued its stable upward trend, reaching 1,218 million yen, or 107.0% YoY. ⚫ Recurring revenue increased to 1,142 million yen, or 108.1% YoY , and the revenue mix normalized to 93.8% . YoY (Unit: million yen) 107.0
Slide 7: Revenue Trends and Mix by Segment
Revenue Trends Revenue Trends and Mix by Segment ⚫ Revenue from the core Payment Support Business , including Bill Collection Service, Real -Time Payment Confirmation Service, and PayB , increased 10.5% YoY. (Unit: million yen) The decline from 1Q reflects the temporary impact of a large non -recurr
Slide 8: Revenue Trends by Segment (Numerical Data)
Revenue Trends Revenue Trends by Segment (Numerical Data) (Unit: million yen) 2026 2026 Segment Revenue 2022 2023 2024 2025 1Q 2Q Payment Support ・ PayB Recurring 2,385 2,735 3,235 3,475 890 971 ・ Real -Time Payment Real -Time Payment Confirmation Service / Payment Confirmation Service Non - Bill Co
Slide 9: Trends in Operating Profit, Ordinary Profit and Net Income (Quarterly)
Trends in Operating Profit, Ordinary Profit and Net Income (Quarterly) ⚫ Operating profit, ordinary profit and net income all increased YoY in line with revenue growth . ⚫ Although the high profit levels in 1Q normalized in 2Q, p erformance remained on track with the planned growth trajectory, maint
Slide 10: Revenue Structure (Quarterly)
Revenue Structure (Quarterly) Quarterly Trends in Revenue, Cost of Sales Quarterly Trends in Gross Profit Margin and and Gross Profit Operating Profit Margin (Unit: million yen) 1,600 45.0% 42.6% 1,371 38.2% 1,400 40.0% 36.9% 36.1% 37.1% 35.3% 35.9% 35.8% 1,216 1,218 34.7% 33.6% 1,139 1,119 35.0% 1,
Slide 11: Balance Sheet
Balance Sheet FY2025 FY2025 FY2026 vs. FY-end (Unit: million yen) End of 2Q End of 4Q End of 2Q Current assets 33,941 29,740 41,381 139.1% Non -current assets 468 406 413 101.6% See the next page for details on deposits received included in Total assets 34,409 30,146 41,794 138.6% current liabilitie
Slide 12: Adjusted Equity Ratio Excluding the Impact of Deposits Received
Adjusted Equity Ratio Excluding the Impact of Deposits Received Due to the nature of the Company's business, deposits received before settlement with client companies may remain at period -end, causing both assets and liabilities on the balance sheet to increase. These are temporary items that are s
Slide 13: Cash Flow Statement
Cash Flow Statement FY2025 FY2025 FY2026 Mainly due to an increase in deposits received. YoY End of 2Q End of 4Q End of 2Q Deposits received increased by approximately (Unit: million yen) ¥11.5 billion from the end of December 2025. Operating Cash Flow 7,832 4,201 12,015 153.4% Mainly due to the net
Slide 14: Trends in Cost of Sales and SG&A Expenses (Quarterly)
Trends in Cost of Sales and SG&A Expenses (Quarterly) Quarterly Trends in Cost of Sales and Cost of Sales Ratio Quarterly Trends in SG&A Expenses and SG&A Ratio (Unit: million yen) (Unit: million yen) 900 70.0% 350 23.1% 25.0% 22.4% 22.5% 787 21.9% 21.7% 21.5% 21.7% 782 68.0% 21.2% 20.8% 800 756 751
Slide 15: Trends in Major SG&A Expenses Breakdown
Major Trends inBreakdown SG&A Expenses ⚫ Recruitment progressed as planned as an upfront investment to strengthen development and corporate functions. ⚫ SG&A expenses increased due to the company -wide rollout of paid generative AI tools and enhanced training and development progra ms; however, thes
Slide 16: Headcount Trends
Headcount Trends Headcount ⚫ Headcount at the end of 2Q was 104 on a consolidated basis, including full -time and contract employees. ⚫ As a foundation for steadily executing the FY2026 strategy, the second year of the Medium -Term Business Plan, we are actively re cruiting in line with the plan. 12
Slide 17: Payment Support Business
Results by Segment Payment Support Business Quarterly Trends in Recurring and Non -recurring Revenue YoY: 110.5 % (Unit: million yen) YoY 1,200 110 .5% Recurring QoQ: 89.2 % Non-recurring 1,000 236 33 Share of Revenue: 82.5 % 17 19 8 45 26 ⚫ PayB recorded its highest -ever transaction volume, 800 16
Slide 18: Funds Transfer Support Business
Results by Segment Funds Transfer Support Business Quarterly Trends in Recurring and Non -recurring Revenue YoY: 103.4 % (Unit: million yen) YoY 90 Recurring 103 .4% QoQ: 100.5 % 3 Non-recurring 80 Share of Revenue: 7.2 % 70 ⚫ PayB for Business is gaining customers primarily in 60 the real estate in
Slide 19: Terminal Business
Results by Segment Terminal Business Quarterly Trends in Recurring and Non -recurring Revenue Cumulative Terminal Sales YoY: 82.3 % (Unit: million yen) 20,000 (Unit: units) 200 Recurring 18,000 17,179 17,581 17,834 QoQ: 76.3 % Non-recurring YoY 16,188 180 82.3% 16,000 14,274 15,097 Share of Revenue:
Slide 20: Other Business
Results by Segment Other Business Quarterly Trends in Recurring and Non -recurring Revenue YoY: 113.0% YoY (Unit: million yen) 114.3% 30 QoQ: 100.3% Recurring Non-recurring 25 Share of Revenue: 2.0% 7 0 2 20 ⚫ Other Business includes direct debit, bill 1 collection, finance brokerage and other servi
Slide 21: Business Update
02 Business Update Copyright (c) Billing System Corp. All Rights Reserved. 21
Slide 22: FY2026 Overall Strategic Framework
FY2026 Overall Strategic Framework In the second year of the Medium -Term Business Plan, we will expand our revenue base in the domestic payments market and acceler ate growth. Building on a platform where payment transaction volumes continue to accumulate, we will generate recurring revenue and sta
Slide 23: FY2026 Specific Measures: Progress Update ①
FY2026 Specific Measures: Progress Update ① Strategy Key Themes Approach to Value Creation Key Initiatives ⚫ Identify solutions to strengthen, scale ⚫ Shift resources from underperforming services to Strategy 1 Selective Solution Strategy down, or exit based on growth potential new service launches
Slide 24: FY2026 Specific Measures: Progress Update ②
FY2026 Specific Measures: Progress Update ② Strategy Key Themes Approach to Value Creation Key Initiatives ⚫ Redesign business processes from a ⚫ Rolled out generative AI company -wide in Strategy 4 Company -wide Operational May and accelerated its integration into company -wide optimization perspec
Slide 25: Progress on 2026 Business Policy
Progress on 2026 Business Policy Under our “coverage × density” growth model, we are steadily expanding future transaction volume and recurring revenue. We aim to build an even stronger revenue model and achieve sustainable profit growth. Coverage Density (Network Coverage) (Progress in Recurring Re
Slide 26: Expansion of PayB Partner Financial Institutions
Topics Expansion of PayB Partner Financial Institutions Many financial institution partnerships were advanced in 2Q, centered on PayB PayB is a payment service that allows users to make payments anytime, anywhere by scanning barcodes or QR codes printed on payment slips and invoices with a smartphon
Slide 27: Full-Year Outlook
03 Full -Year Outlook Copyright (c) Billing System Corp. All Rights Reserved. 27
Slide 28: FY2026 Financial Outlook
FY2026 Financial Outlook ⚫ Performance is progressing broadly in line with the full -year plan. ⚫ The financial forecast remains unchanged from the announcement made on February 13, 2026. FY2025 FY2026 FY2026 YoY Progress Rate (Unit: million yen) 2Q Results 2Q Results Full -Year Forecast Revenue 2,2
Slide 29: Trend in Earnings per Share (EPS)
Trend in Earnings per Share (EPS) (yen) 100.00 CAGR 26.9% 93.01 90.00 As of the end of 2Q, EPS was ¥45.35, representing Average EPS Growth Rate: 26.9% 80.00 48.8% progress toward the full-year forecast. 70.00 64.70 64.87 ⚫ Our business model is designed to achieve stable 60.00 revenue growth of 10 –
Slide 30: Dividend Plan
Dividend Plan We aim to provide shareholder returns that balance stability and performance linkage, using a consolidated dividend payout ratio of 35% and a dividend on equity (DOE) of 3% as benchmarks. For the current fiscal year, the Company plans an annual dividend of 32.50 yen per share. While ma
Slide 31: Capital Allocation Policy Focused on Growth
Capital Allocation Policy Focused on Growth Allocate generated cash first to growth and strategic investments, and return the resulting benefits to shareholders over tim e. Cash Generation Capital Allocation Policy Organic Growth Investments Operating Cash Flow Prioritize growth investments Primaril
Slide 32: Medium- to Long-Term Management Guidelines
Medium -to Long -Term Management Guidelines Structural accumulation of payment transaction volume and transaction value Revenue growth rate: 10 –15%, multi -year average Less Susceptible to Economic Cycles 1. Revenue Growth ・ Expanded usage by existing customers Highly Repeatable EPS Growth Model ・
Slide 33: Investor Information
Investor Information We will continue to provide investors with timely and direct explanations and expand opportunities for dialogue with shareholders. Archived videos are available on our website. Financial Results Briefing Video FY25 https://youtu.be/hnfMJVNFvOc?si=WHXLVbr2gxKCLwd_ Individual Inve
Slide 34: Appendix
04 Appendix Copyright (c) Billing System Corp. All Rights Reserved. 34
Slide 35: Company Overview
Company Overview Company Name Billing System Corporation Established June 5, 2000 Tokyo (Head Office): 13F Hibiya Daibiru, 1 -2-2 Uchisaiwaicho, Chiyoda -ku, Tokyo 100 -0011 Address Ibaraki (Toride Office Center): Room 201, Look Heights, 2 -2-16 Shinmachi, Toride -shi, Ibaraki 302 -0024 Capital 1,23
Slide 36: Core Philosophy and Vision
Core Philosophy and Vision We provide innovative workflows centered on our Payment Infrastructure to create value for our customers. Long -Term Vision Toward 2030 Supporting a Globally Connected Society Through Payments We will make increasingly complex payment operations safer and more efficient as
Slide 37: Billing System's Growth Trajectory
Billing System’s Growth Trajectory Billing System has built a track record in public funds, utility payments, and financial institution partnerships, establishi ng structural competitive advantages through SLA operations, audit readiness, and regulatory compliance. Startup Phase Payment Infrastructu
Slide 38: Business Opportunities for Billing System
Business Opportunities for Billing System A growth model that starts with payments and funds transfers and expands from social infrastructure payments to data utilizat ion businesses (Sustainable scaling through multi -payment solutions × operational DX × data utilization) STEP 3 STEP 1 STEP 2 Areas
Slide 39: Billing System's Service Lineup
Billing System 's Service Lineup We do more than simply transfer funds; we provide comprehensive support across payment -related business workflows Bill Collection Real -Time Payment e -JIBAI Multi -Payment Acceptance PayB Service Confirmation Service Service Compulsory Automobile Liability Insuranc
Slide 40: Billing System's Business Structure in the Payment Value Chain
Billing System’s Business Structure in the Payment Value Chain "Information Generation → Receipt of Funds → Reconciliation and Management → Funds Distribution" represents the flow of information and funds. By integrating this entire process, we create value beyond operational efficiency. Front End P
Slide 41: Segment Reclassification: Segments Used in Financial Results Presentations
Segment Reclassification: Segments Used in Financial Results Presentations To expand the payment value chain while focusing on Payment Support operations, we have reorganized the business into the following four segments and will report strategies and initiatives accordingly. Revenue Breakdown in Fi
Slide 42: Revenue Growth: Business Portfolio
Revenue Growth: Business Portfolio Our revenue growth began with a single service, the Bill Collection Service, and has evolved into our current position throug h m arket expansion aligned with our customers’ business workflows. We will allocate cash generated by our core services to growth investme
Slide 43: Competitive Environment and the Company's Strategic Positioning
Competitive Environment and the Company's Strategic Positioning E-commerce Payment Processing / Payment Gateway Public and Financial Infrastructure Payment HUB × Integration into Payment Processing and Bill Collection Major Financial SIers Business Workflows Companies Competitive Axis Competitive Ax
Slide 44: Supplementary Information on Financial Position and Financial Soundness
Supplementary Information on Financial Position and Financial Soundness Key Fundamental Assessment Criteria and Supporting Facts Comparison Growth with Listed Facts Fintech Potential Peers Growth Compared with listed fintech peers, revenue growth, profit ◎ Potential growth, and EPS growth are all at
Slide 45: Disclaimer and Contact Information
Disclaimer and Contact Information Use of This Document This document contains forward -looking statements. These statements are based on information available at the time they were pre pared and do not guarantee future results. They involve risks and uncertainties. Please note that actual results m
Slide 46: Copyright (c) Billing System Corp. All Rights Reserved.
Copyright (c) Billing System Corp. All Rights Reserved. 46