Disco : Consolidated Financial Results for the Third Quarter of Fiscal Year 2025

Year ending

YoY (%)

March 31, 2026

Net sales

419,000

6.5

Operating income

172,100

3.2

Ordinary income

172,400

2.0

Net income

126,400

2.0

Net income per share (yen)

1,165.72

-

Shipment figures

438,000

9.1

4. Other

1) Important changes in subsidiaries: None

2) Changes in principles, procedures, or display of accounting method concerning consolidated statement policies.

1. Changes in accounting policies along with changes in accounting standards: None

2. Other changes: None

3) Number of shares outstanding (common stock)

(1) Number of shares issued (including treasury stocks)

As of December 31, 2025:

108,446,529

shares

As of March 31, 2025:

108,420,665

shares

(2) Number of shares of treasury stock

As of December 31, 2025:

16,001

shares

As of March 31, 2025:

15,978

shares

(3) Average number of shares

As of December 31, 2025:

108,424,165

shares

As of December 31, 2024:

108,362,219

shares

Explanation regarding appropriate use of earnings forecast:

The performance forecasts and estimates provided in this Financial Review are based on certain assumptions judged to be reasonable at the present time in light of information currently available. Consequently, actual operating results may differ substantially from the projections in the Financial Review.

Reference: non-consolidated forecasts for FY2025 (April 1, 2025 - March 31, 2026)

(Millions of yen)

Year ending

YoY (%)

March 31, 2026

Net sales

342,100

3.1

Operating income

141,800

(1.0)

Ordinary income

161,400

4.3

Net income

122,400

5.4

Net income per share (yen)

1,128.83

-

Note: Revision of earnings forecast during this period: Yes

*For the revised non-consolidated forecasts, refer to the "Business and Dividend Forecast Notification" announced on January 21, 2026.

‌5. Consolidated balance sheets

(Millions of yen)

As of

March 31, 2025

As of

December 31, 2025

Assets

Current assets

Cash and deposits

229,167

246,143

Notes and accounts receivable

- trade, and contract assets

43,178

50,761

Merchandise and finished goods

32,955

41,103

Work in process

44,762

41,176

Raw materials and supplies

61,285

59,316

Other

13,293

8,609

Allowance for doubtful accounts

(140)

(155)

Total current assets

424,502

446,956

Non-current assets

Property, plant and equipment

Buildings and structures, net

103,769

102,613

Land

62,816

65,472

Other, net

37,428

43,481

Total property, plant and equipment

204,014

211,567

Intangible assets

246

227

Investments and other assets

25,324

19,511

Total non-current assets

229,585

231,307

Total assets

654,087

678,263

Liabilities

Current liabilities

Notes and accounts payable - trade

7,950

6,925

Electronically recorded obligations - operating

22,918

20,943

Income taxes payable

30,175

2,989

Contract liabilities

43,933

62,225

Provision for bonuses

41,639

26,598

Other provisions

1,866

2,798

Other

11,909

12,238

Total current liabilities

160,392

134,719

Non-current liabilities

991

932

Total liabilities

161,383

135,652

Net assets

Shareholders' equity

Share capital

22,089

22,227

Capital surplus

24,077

24,215

Retained earnings

431,718

479,042

Treasury shares

(47)

(48)

Total shareholders' equity

477,838

525,436

Accumulated other comprehensive income

Valuation difference on available-for-sale securities

348

563

Foreign currency translation adjustment

13,023

15,052

Remeasurements of defined benefit plans

(45)

(30)

Total accumulated other comprehensive income

13,327

15,585

Share acquisition rights

1,188

1,224

Non-controlling interests

348

365

Total net assets

492,703

542,611

Total liabilities and net assets

654,087

678,263

‌6. Consolidated statement of (comprehensive) income

(Millions of yen)

Nine months ended

Nine months ended

31-Dec-24

31-Dec-25

Net sales

272,596

303,828

Cost of sales

79,245

91,754

Gross profit

193,351

212,074

Selling, general and administrative expenses

78,253

85,861

Operating profit

115,098

126,212

Non-operating income

Interest income

37

56

Share of profit of entities

accounted for using equity method

235

160

Foreign exchange gains

825

-

Rental income

183

303

Subsidy income

558

734

Other

188

238

Total non-operating income

2,029

1,494

Non-operating expenses

Foreign exchange losses

-

517

Depreciation

31

731

Other

16

6

Total non-operating expenses

47

1,255

Ordinary profit

117,080

126,451

Extraordinary income

Gain on sale of non-current assets

9

9

Gain on reversal of share acquisition rights

6

-

Total extraordinary income

15

9

Extraordinary losses

Loss on sale and retirement of non-current assets

28

119

Extra retirement payments

16

149

Demolition expenses

409

817

Total extraordinary losses

454

1,087

Profit before income taxes

116,641

125,373

Income taxes - current

29,917

26,426

Income taxes - deferred

1,331

6,241

Total income taxes

31,248

32,667

Profit

85,392

92,705

Profit attributable to

Profit attributable to owners of parent

85,252

92,639

Profit attributable to non-controlling interests

140

65

Other comprehensive income

Foreign currency translation adjustment

192

2,088

Remeasurements of defined benefit plans, net of tax

(9)

14

Share of other comprehensive income of entities

accounted for using equity method

114

179

Total other comprehensive income

297

2,282

Comprehensive income

85,690

94,988

Comprehensive income attributable to

Comprehensive income attributable to

owners of parent

85,563

94,897

Comprehensive income attributable to

non-controlling interests

127

90