Azbil CorporationTSE: 6845

Presentation Materials for the Third Quarter of Fiscal Year Ending March 31, 2026

· Issued by Azbil Corporation
Presentation Materials for the Third Quarter of Fiscal Year 2025 (Ending March 31, 2026) (Based on Japanese GAAP)

February 6, 2026 Azbil Corporation

RIC: 6845.T, Sedol: 6985543



© Azbil Corporation. All rights reserved.

Highlights

  1. Consolidated Financial Results for the Cumulative Third Quarter of FY2025

    • Orders received were impacted by the FY2024 transfer of an overseas subsidiary, Azbil Telstar (ATL), but there was a significant increase in the BA business and overall orders received were on a par with the same period of FY2024. Net sales decreased because of the transfer, but operating income increased compared to the same period of FY2024 thanks to measures to strengthen profitability, etc.

      • If the effect of the transfer is excluded, both orders received and net sales effectively increased.

  2. Consolidated Financial Plan for FY2025

    - No revision from the most recent announcement (upward revision) on October 30, 2025

    • We will continue aiming to achieve our upwardly revised financial plan, drawing principally on BA business performance.

      • Although net sales will slightly decrease compared to FY2024 due to the effect (a reduction of 14.6 billion yen) of the FY2024 transfer of equity interests in ATL, both the BA and AA businesses will achieve growth, resulting in an effective net increase. Operating income will increase for a fifth consecutive fiscal year.

  3. Returning Profits to Shareholders and Investing in Human Capital

    - No revision from the initial announcement on May 13, 2025

    • We plan to increase the dividend for the eleventh consecutive year, with an annual dividend of 26 yen per share for FY2025; DOE will improve further to reach 5.6%.

    • In addition to the repurchase and cancellation of the Company's own stock, we also invest in human capital by utilizing

      treasury shares.

  4. Progress in Implementing the Medium-term Plan

    • Under our medium-term plan (FY2025-FY2027), based on the themes of Evolution and Co-creation, and employing the unique business model of the azbil Group, we will realize increased sales and enhanced profitability while actively making necessary investments, such as in human capital.

    • Initiatives in growth businesses are progressing, with ESCO services overseas and green-transformation-related business such as the energy management business in Japan, as well as increasing customer adoption of new products and services utilizing AI technologies. Our initiatives are gaining high social recognition.

Contents
  1. Consolidated Financial Results for the Cumulative Third Quarter of FY2025 4
  2. Consolidated Financial Plan for FY2025 12

    No revision from the most recent announcement (upward revision) on October 30, 2025

    * There is also no revision to the financial plan by segment announced on November 5, 2025

  3. Returning Profits to Shareholders and Investing in Human Capital 16

    No revision from the initial announcement on May 13, 2025

  4. Progress in Implementing the Medium-term Plan 19

Appendix I

Financial Data

25

Appendix II

Initiatives to Strengthen Corporate Governance, Returning Profits to Shareholders,

Investments, and Sustainability Management

31

Notes

38

1. Consolidated Financial Results for the Cumulative Third Quarter of FY2025

1. Consolidated Financial Results for the Cumulative Third Quarter of FY2025

Consolidated Financial Results

Orders received were impacted by the FY2024 transfer of an overseas subsidiary, Azbil Telstar (ATL), but there was a significant increase in the BA business, and overall orders received were on a par with the same period of FY2024. Net sales decreased because of the transfer, but operating income increased compared to the same period of FY2024 thanks to measures to strengthen profitability, etc.

If the effect of the transfer is excluded, both orders received and net sales effectively increased.

  • Orders received fell significantly for the LA business because of the impact of the FY2024 transfer of equity interests in ATL, but orders received rose significantly for the BA business; consequently, overall orders received were on a par with the same period of FY2024. (Impact of the transfer: a reduction of 15.5 billion yen)

  • Sales increased for both the BA and AA businesses, but because of the ATL transfer (impact: a reduction of 14.6 billion yen) the LA business saw a significant drop, resulting in an overall decrease compared to the same period of FY2024.

  • Operating income increased owing to profitability-strengthening measures, including cost pass-through, despite increases in personnel and other expenses. Consequently, operating income was higher than for the same period of FY2024.

  • Ordinary income increased compared to the same period of FY2024, owing to the growth in operating income.

  • Net income attributable to owners of parent decreased significantly compared to the same period of FY2024, mainly as a result of the recording of gain on sale of equity interests in ATL (7.6 billion yen) as extraordinary income in the same period of FY2024.

(Billions of yen)

FY2024 Q1-3

(A)

FY2025 Q1-3

(B)

Difference

(B) - (A)

% Change

Orders received

231.1

231.1

(0.0)

(0.0)

215.6

15.5

7.2

Net sales

217.9

208.0

(9.8)

(4.5)

203.2

4.7

2.3

Japan

166.5

170.5

3.9

2.4

Overseas

51.3

37.5

(13.8)

(26.9)

Gross profit

93.9

96.7

2.7

3.0

Margin

43.1

46.5

3.4pp

SG&A

67.1

67.4

0.3

0.5

63.6

3.8

6.0

Operating income (loss)

26.8

29.2

2.4

9.1

26.3

2.8

10.8

Margin

12.3

14.0

1.7pp

13.0

1.1pp

Ordinary income (loss)

28.0

30.7

2.6

9.5

Income (loss) before income taxes

37.2

31.2

(5.9)

(16.1)

Net income (loss) attributable to owners of parent

28.6

22.6

(6.0)

(21.0)

Margin

13.2

10.9

(2.3)pp

*

*

*

*

*

© Azbil Corporation. All rights reserved.

Reference: The impact of foreign exchange rate fluctuations (compared with the same period of FY2024)

(0.4) billion yen for net sales

(0.1) billion yen for operating income

The impact of foreign exchange rate fluctuations is derived from the difference in rates, between the previous

and current periods, used to convert overseas subsidiaries' P/L into yen from the local currency.

* The figures in the lower rows for orders received, net sales, SG&A, and operating income exclude 5

Azbil Telstar's results.

© Azbil Corporation. All rights reserved.