Financial Results for the First Nine Months Ended December 30, 2025(numerical)

February 6, 2026

Company name: Hosiden Corporation Listing: Tokyo Stock Exchange Securities code: 6804

URL: https://www.hosiden.com/en/ Representative: Kenji Furuhashi, President and CEO

Inquiries: Tadamichi Tani, General Manager of President Office Telephone: +81-72-993-1010

Scheduled date to commence dividend payments: -Preparation of supplementary material on quarterly financial results: Yes Holding of quarterly financial results briefing: None

(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the first nine months ended December 31, 2025 (from April 1, 2025 to December 31, 2025)
   1. Consolidated operating results (cumulative) (Percentages indicate year-on-year changes.)

      	Net sales		Operating profit		Ordinary profit		Profit attributable to owners of parent
      Nine months ended	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
      December 31, 2025	375,018	108.6	16,749	53.6	21,069	74.3	14,230	67.0
      December 31, 2024	179,764	1.3	10,907	(2.9)	12,085	(21.3)	8,494	(19.9)

      (Note) Comprehensive income	For the first nine months ended December 31, 2025	13,621 million yen	[68. 4%]
      	For the first nine months ended December 31, 2024	8,086 million yen	[(40.5)%]

      	Basic earnings per share	Diluted earnings per share
      Nine months ended	Yen	Yen
      December 31, 2025	281.44	262.24
      December 31, 2024	164.14	153.40

   2. Consolidated financial position

   	Total assets	Net assets	Equity-to-asset ratio
   As of	Millions of yen	Millions of yen	%
   December 31, 2025	217,911	146,447	67.2
   March 31, 2025	200,279	140,317	70.1

   (Reference) Equity

   As of December 31, 2025 146,447 million yen

   As of March 31, 2025 140,317 million yen

2. Cash dividends

   	Annual dividends per share
   	First quarter-end	Second quarter-end	Third quarter-end	Fiscal year-end	Total
   	Yen	Yen	Yen	Yen	Yen
   Fiscal year ended March 31, 2025	-	19.00	-	40.00	59.00
   Fiscal year ending March 31, 2026	-	25.00	-
   Fiscal year ending March 31, 2026 (Forecast)				25.00	50.00

   (Note) Revision of cash dividend forecast most recently announced: None

   The Fiscal year-end dividend forecast is calculated based on full-year results with a dividend payout ratio of 30%, so the Company is not currently considering any revisions to the Company's earnings forecasts and are maintaining the forecast disclosed at the beginning of the fiscal year.

3. Consolidated financial results forecasts for the fiscal year ending March 31, 2026 (from April 1, 2025 to March 31, 2026)

   (Percentages indicate year-on-year changes.)

   	Net sales		Operating profit		Ordinary profit		Profit attributable to owners of parent		Basic earnings per share
   Full year	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
   	440,000	77.7	19,000	40.0	22,000	48.9	14,500	44.5	288.67

   (Note) Revision of financial results forecast most recently announced: Yes

   • Financial results forecasts are based on the assumption of a foreign exchange rate of 150 yen per U.S. dollar.

1. Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change in scope of consolidation): None

   Newly included: - companies (Company name) Excluded: - companies (Company name)

2. Application of specific accounting for preparing quarterly consolidated financial statements: None

3. Changes in accounting policies, changes in accounting estimates, and restatement

   1. Changes in accounting policies due to revisions to accounting standards and other regulations:

      None

   2. Changes in accounting policies due to other reasons: None

   3. Changes in accounting estimates: None

   4. Restatement: None

4. Number of issued shares (common shares)

   1. Total number of issued shares at the end of the period (including treasury shares)

      As of December 31, 2025	60,164,784 shares
      As of March 31, 2025	60,164,784 shares

   2. Number of treasury shares at the end of the period

      As of December 31, 2025	10,931,748 shares
      As of March 31, 2025	9,277,041 shares

   3. Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year)

      Nine months ended December 31, 2025	50,562,828 shares
      Nine months ended December 31, 2024	51,750,558 shares

      Notes: 1. Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants or an audit corporation.

      1. Explanation on proper use of earnings forecasts, and other special matters

         • The forward-looking statements about the future financial results of this document are future forecasts based on the judgment of Hosiden Corporation (the "Company") taking into account the information currently available, and the Company does not intend to make a warranty of their achievement. These forward-looking statements contain various potential risks and uncertainties, and actual results may be materially different from the forward-looking statements due to various material factors. Therefore, the Company asks not to depend highly on these forward-looking statements.

(Means of access to supplementary material on financial results) The supplementary material on financial results will be available on the Company's website.

1. ‌Quarterly consolidated balance sheets

   		(Millions of yen)
   	As of March 31, 2025	As of December 31, 2025
   Assets
   Current assets
   Cash and deposits	59,564	62,326
   Notes receivable	3	-
   Accounts receivable	31,918	51,265
   Electronically recorded monetary claims	1,220	1,024
   Securities	-	6,296
   Merchandise and finished goods	8,220	7,443
   Work in process	3,207	2,596
   Raw materials and supplies	61,897	51,111
   Other	5,667	5,537
   Allowance for doubtful accounts	(182)	(195)
   Total current assets	171,516	187,407
   Non-current assets
   Property, plant and equipment	19,602	20,919
   Intangible assets	508	502
   Investments and other assets
   Investment securities	7,228	7,483
   Retirement benefit asset	-	220
   Other	1,678	1,633
   Allowance for doubtful accounts	(254)	(254)
   Total investments and other assets	8,652	9,081
   Total non-current assets	28,763	30,503
   Total assets	200,279	217,911

   		(Millions of yen)
   As of March 31, 2025		As of December 31, 2025
   Liabilities
   Current liabilities
   Accounts Payable	34,092	41,861
   Electronically recorded obligations	1,546	1,787
   Short-term borrowings	1,050	-
   Income taxes payable	2,127	5,164
   Provision for loss on liquidation of affiliates	-	803
   Other	6,421	6,538
   Total current liabilities	45,236	56,155
   Non-current liabilities
   Bonds with share acquisition rights	10,190	10,169
   Retirement benefit liability	1,497	1,374
   Other	3,037	3,764
   Total non-current liabilities	14,725	15,308
   Total liabilities	59,962	71,464
   Net assets
   Shareholders' equity
   Share capital	13,660	13,660
   Capital surplus	19,596	19,603
   Retained earnings	112,257	123,179
   Treasury shares	(12,393)	(16,584)
   Total shareholders' equity	133,120	139,859
   Accumulated other comprehensive income
   Valuation difference on available-for-sale securities	3,464	4,278
   Foreign currency translation adjustment	2,922	1,741
   Remeasurements of defined benefit plans	809	567
   Total accumulated other comprehensive income	7,196	6,587
   Total net assets	140,317	146,447
   Total liabilities and net assets	200,279	217,911

2. ‌Quarterly consolidated statements of income and quarterly consolidated statements of comprehensive income Quarterly consolidated statements of income

   		(Millions of yen)
   	Nine months ended December 31, 2024	Nine months ended December 31, 2025
   Net sales	179,764	375,018
   Cost of sales	161,924	350,943
   Gross profit	17,840	24,075
   Selling, general and administrative expenses	6,933	7,326
   Operating profit	10,907	16,749
   Non-operating income
   Interest income	737	666
   Dividend income	151	178
   Foreign exchange gains	262	3,421
   Other	98	92
   Total non-operating income	1,250	4,358
   Non-operating expenses
   Interest expenses	25	25
   Bond issuance expenses	40	-
   Other	6	11
   Total non-operating expenses	72	37
   Ordinary profit	12,085	21,069
   Extraordinary income
   Gain on sale of non-current assets	4	6
   Gain on liquidation of subsidiary	-	5
   Other	1	-
   Total extraordinary income	5	11
   Extraordinary losses
   Loss on sale and retirement of non-current assets	6	10
   Provision for loss on liquidation of affiliates	-	794
   Other	0	-
   Total extraordinary losses	7	805
   Profit before income taxes	12,083	20,276
   Income taxes - current	2,967	5,881
   Income taxes - deferred	621	164
   Total income taxes	3,589	6,046
   Profit	8,494	14,230
   Profit attributable to non-controlling interests	-	-
   Profit attributable to owners of parent	8,494	14,230

   Quarterly consolidated statements of comprehensive income

   		(Millions of yen)
   Nine months ended December 31, 2024		Nine months ended December 31, 2025
   Profit	8,494	14,230
   Other comprehensive income
   Valuation difference on available-for-sale securities	221	813
   Foreign currency translation adjustment	(464)	(1,180)
   Remeasurements of defined benefit plans, net of tax	(164)	(241)
   Total other comprehensive income	(407)	(608)
   Comprehensive income	8,086	13,621
   Comprehensive income attributable to
   Comprehensive income attributable to owners of parent	8,086	13,621
   Comprehensive income attributable to non-controlling interests	-	-

3. ‌Quarterly consolidated statements of cash flows

   		(Millions of yen)
   Nine months ended December 31, 2024		Nine months ended December 31, 2025
   Cash flows from operating activities
   Profit before income taxes	12,083	20,276
   Depreciation	2,379	3,444
   Loss (gain) on liquidation of affiliates	-	(5)
   Increase (decrease) in loss on liquidation of affiliates	-	794
   Decrease (increase) in trade receivables	(12,512)	(19,153)
   Decrease (increase) in inventories	(26,634)	12,278
   Decrease (increase) in operating accounts receivable	210	248
   Increase (decrease) in trade payables	26,576	7,936
   Other, net	(3,247)	(1,612)
   Subtotal	(1,144)	24,206
   Interest and dividends received	862	756
   Interest paid	(23)	(23)
   Income taxes paid	(5,572)	(2,886)
   Net cash provided by (used in) operating activities	(5,877)	22,052
   Cash flows from investing activities
   Payments into time deposits	(12,604)	(11,505)
   Proceeds from withdrawal of time deposits	11,050	9,195
   Proceeds from withdrawal of long-term deposits	-	3,500
   Purchase of property, plant and equipment	(4,630)	(4,848)
   Proceeds from redemption of investment securities	-	300
   Other, net	(23)	(92)
   Net cash provided by (used in) investing activities	(6,208)	(3,451)
   Cash flows from financing activities
   Net increase (decrease) in short-term borrowings	-	(1,050)
   Redemption of bonds with share acquisition rights	(9,085)	-
   Proceeds from the issuance of bonds with share acquisition rights	10,159	-
   Purchase of treasury shares	(3,000)	(4,200)
   Dividends paid	(3,264)	(3,307)
   Other, net	(77)	(57)
   Net cash provided by (used in) financing activities	(5,268)	(8,616)
   Effect of exchange rate change on cash and cash equivalents	(696)	(596)
   Net increase (decrease) in cash and cash equivalents	(18,050)	9,389
   Cash and cash equivalents at beginning of period	76,662	46,769
   Cash and cash equivalents at end of period	58,611	56,158

4. ‌Notes to quarterly consolidated financial statements Notes on going concern assumption‌

None applicable.

(Purchase of treasury shares)

The Company acquired 1,662,200 treasury shares in accordance with a resolution at the meeting of the Board of Directors held on November 7, 2025. As a result, treasury shares increased 4,199 million yen during the period under review, and treasury shares amounted 16,584 million yen at the end of third quarter consolidated accounting period.

(Sale of a Consolidated Subsidiary)

The Company internally decided to liquidate its consolidated subsidiary, China Hosiden Co., Ltd, but it was decided to sell all shares to Dongguan Fuxiang Marketing Planning Co., Ltd. after the business ends around March 2026, and a share transfer agreement was concluded on December 31,2025.

1. Overview

   1. Reason for selling stocks

      The Company is working to further strengthen its global structure by optimizing production sites and diversifying the supply chain.

      Under this policy, the Company has enhanced the Company's investments in the Southeast Asia region, which has advantages in both production and logistics. With the progress of this structural transition, part of the production functions of the Company's China sites has already been transferred to Southeast Asia, and moving forward, the Company will gradually reorganize the Company's production system in China from the perspective of improving overall business efficiency across the group. As a part of this initiative, the Company has decided to reorganize China Hosiden Co., Ltd. and sell its all shares.

   2. Name of the buyer

      Dongguan Fuxiang Marketing Planning Co.,Ltd

   3. Date of the sale of equity shares May 31,2026 (planned)

   4. Overview of the Subsidiary to be sold

      ① Name China Hosiden Co., Ltd.

      ② Business description Manufacturing Electro-mechanical components

2. Selling price and Impact on Profit and Loss

Selling price is 25 million RMB and the profit and loss is currently being calculated.

In connection with this matter, during the first nine months of the fiscal year ending March 31, 2026 (from April 2025 to December 2025), the scheduled payments related to the reorganization, such as economic compensation to employees, have been recorded as extraordinary losses under "Provision for loss on liquidation of affiliates" of 770 million yen.

(Cancellation of treasury shares)

The Company resolved matters related to the cancellation of treasury shares on November 7, 2025 under the provisions of Article 178 of the Companies Act.

1. Reason for acquisition and cancellation of treasury shares

   The Company will acquire and cancel treasury shares for execution of flexible capital policies in response to changes in the management environment as well as enhancing shareholder returns and capital efficiency.

2. Details of the cancellation of treasury shares

   1. Class of shares to be cancelled: Common shares of the Company

   2. Number of shares to be cancelled: 1,662,200 shares

      (2.76％ of total number of issued shares before cancellation)

   3. Schedule date of cancellation: February 27, 2026

Segment information

1. The first nine months ended December 31, 2024 (from April 1, 2024 to December 31, 2024)

   1. Net sales, and profit by reportable segment

      (Millions of yen)

      	Reportable segments				Adjustments	Amounts in quarterly consolidated statements of income
      	Electro-mechanical components	Acoustic components	Applied equipment and other	Total
      Net sales
      Sales to unaffiliated customers	152,671	15,926	11,166	179,764	-	179,764
      Inter-segment sales and transfers	-	-	-	-	-	-
      Total	152,671	15,926	11,166	179,764	-	179,764
      Segment profit	8,379	1,661	866	10,907	-	10,907

      Note: The total amount of segment profit is equal to the operating profit in the quarterly consolidated statements of income.

2. The first nine months ended December 31, 2025 (from April 1, 2025 to December 31, 2025)

   1. Net sales, and profit by reportable segment

      (Millions of yen)

      	Reportable segments				Adjustments	Amounts in quarterly consolidated statements of income
      	Electro-mechanical components	Acoustic components	Applied equipment and other	Total
      Net sales
      Sales to unaffiliated customers	348,757	14,817	11,443	375,018	-	375,018
      Inter-segment sales and transfers	-	-	-	-	-	-
      Total	348,757	14,817	11,443	375,018	-	375,018
      Segment profit	14,622	1,381	744	16,749	-	16,749

      Note: The total amount of segment profit is equal to the operating profit in the quarterly consolidated statements of income.

   2. Changes in reporting segments

Due to a partial change in the performance management classifications of the Company's group, starting from the first quarter of the consolidated accounting period, the reporting segments of the Company's group now include the previously separate "the display components" under "the applied equipment and other". The Company revised the segment classification of some product in line with this change. Furthermore, the segment information for the previous third quarter consolidated cumulative period has been presented based on the revised classification method.

None applicable.