Financial Results for the First Nine Months Ended September 30,2025

November 7, 2025

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 file quarterly securities report: November 13, 2025

Scheduled date to commence dividend payments: December 4, 2025 Preparation of supplementary material on quarterly financial results: Yes

Holding of quarterly financial results briefing: Yes(for institutional investors and securities analysts)

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

1. Consolidated financial results for the first six months ended September 30, 2025 (from April 1, 2025 to September 30, 2025)
   1. Consolidated operating results (cumulative) (Percentages indicate year-on-year changes.)

      	Net sales		Operating profit		Ordinary profit		Profit attributable to owners of parent
      Six months ended	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
      September 30, 2025	245,426	111.3	8,098	1.6	9,588	51.2	6,108	38.0
      September 30, 2024	116,173	(7.0)	7,969	23.2	6,340	(42.5)	4,426	(39.5)

      (Note) Comprehensive income	For the first six months ended September 30, 2025	4,545 million yen	[(24.7)%]
      	For the first six months ended September 30, 2024	6,037 million yen	[(40.6)%]

      	Basic earnings per share	Diluted earnings per share
      Six months ended	Yen	Yen
      September 30, 2025	120.03	111.863
      September 30, 2024	85.50	-

   2. Consolidated financial position

   	Total assets	Net assets	Equity-to-asset ratio
   As of	Millions of yen	Millions of yen	%
   September 30, 2025	212,990	142,843	67.1
   March 31, 2025	200,279	140,317	70.1

   (Reference) Equity

   As of September 30, 2025 142,843 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.)

(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 revised from the previous rate of 145 yen per U.S. dollar.

1. Significant changes in the scope of consolidation during the period: 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 September 30, 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 September 30, 2025	9,269,404 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)

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

2 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.

Index

1. Qualitative information regarding financial results for the first six months ended September 30, 2025.. 2

   1. Explanation of operating results 2

   2. Explanation of financial position 3

   3. Information regarding consolidated earnings forecasts and other forward-looking statements 3

2. Quarterly consolidated financial statements and significant notes thereto 4

   1. Quarterly consolidated balance sheets 4

   2. Quarterly consolidated statements of income and quarterly consolidated statements of comprehensive income 6

   3. Quarterly consolidated statements of cash flows 8

   4. Notes to quarterly consolidated financial statements 9

Notes on going concern assumption 9

Notes on significant changes in the amount of shareholders' equity 9

Notes on additional information 9

Segment information, etc 10

Significant subsequent events 11

1. ‌Qualitative information regarding financial results for the first six months ended September 30, 2025‌
   1. ‌Explanation of operating results‌

      During the first six months of the fiscal year ending March 31, 2025 (from April 2025 to September 2025), the global economy faced significant uncertainty due to factors including additional tariffs imposed by the United States, escalating tensions in the Middle East, and the prolonged situation in Ukraine. While the United States saw solid growth, primarily driven by personal consumption, China saw no significant recovery in personal consumption, resulting in a sluggish overall economy. Furthermore, Europe's manufacturing sector remains sluggish, and the economy remains stagnant. The Japanese economy experienced a lackluster recovery in domestic demand due to factors such as a decline in real purchasing power caused by rising cost of living and rising import costs due to the weaker yen. Furthermore, while the yen appreciated against the dollar at the beginning of the fiscal year, it weakened again toward the end of interim consolidated accounting period due to trends in U.S. interest rates.

      In the electronics components industry to which the Group belongs, in the automotive-related market, a temporary slowdown in EV demand, mainly in Europe and the United States, and the impact of trade issues have continued to be observed. In the mobile communications-related market, although sales are on a recovery trend and demand is returning mainly for high-end models, recovery is slow movement in emerging markets, so the industry continues to face challenges.

      Under such circumstances, the Group recorded increase in net sales as a whole due to the amusement-related business grew significantly, and the automotive-related business also increased despite a decrease in the mobile communications-related business.

      With regard to profits, in addition to a significant increase in sales related to amusement-related business, foreign exchange losses incurred in the same period of the previous year turned into foreign exchange gains in the period under review, resulting in ordinary profit significantly exceeding that of the same period last year.

      As a result, during the period under review, the Group posted consolidated net sales of 245,426 million yen (up 111.3% year on year), operating profit of 8,098 million yen (up 1.6% year on year), ordinary profit of 9,588 million yen (up 51.2% year on year) with foreign exchange gains of 929 million yen in line with foreign exchange fluctuations, and profit attributable to owners of parent of 6,108 million yen (up 38.0% year on year).

      The net sales and segment profit or loss for the reportable segments are as follows:

      Net sales for the electro-mechanical components segment were 227,402 million yen (up 133.9% year on year) due to the amusement-related business grew significantly and the automotive-related business also increased despite a decrease in the mobile communications-related business, and the segment profit was 6,423 million yen (up 11.0% year on year).

      Net sales for the acoustic components segment were 10,261 million yen (down 5.4% year on year) due to decreases in the automotive-related businesses and the AV equipment-related business, and the segment profit was 1,084 million yen (down 22.8% year on year).

      Net sales for the applied equipment and other segment were 7,762 million yen (down 4.1% year on year), and the segment profit was 591 million yen (down 23.8% year on year) due to a decrease in the automotive-related businesses despite an increase in the amusement related business.

      Notes: 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 second quarter consolidated cumulative period has been presented based on the revised classification method.

   2. ‌Explanation of financial position‌

      Assets, liabilities, and net assets

      At the end of the first six months ended September 30, 2025, total assets increased 12,711 million yen from the end of the previous fiscal year to 212,990 million yen mainly due to an increase in trade receivables, despite decreases in cash and deposits and inventories. Total liabilities increased 10,184 million yen from the end of the previous fiscal year to 70,147 million yen mainly due to increases in trade payable and income taxes payable despite a decrease in short-term borrowings.

      Net assets increased 2,526 million yen from the end of the previous fiscal year to 142,843 million yen mainly due to increases in retained earnings and valuation difference on available-for-sale securities, despite a decrease foreign currency translation adjustment, resulting in an equity-to-asset ratio of 67.1%.

      Cash flows

      At the end of the first six months ended September 30, 2025, cash and cash equivalents decreased 216 million yen from the end of the previous fiscal year to 46,552 million yen.

      Net cash provided in operating activities in the period under review was 5,594 million yen. This was mainly due to profit before income taxes of 8,814 million yen, depreciation of 2,199 million yen, an increase in trade receivables of 28,015 million yen, a decrease in inventories of 13,450 million yen, an increase in trade payables of 10,629 million yen, and income taxes paid of 1,615 million yen.

      Net cash used in investing activities was 1,981 million yen. This was mainly due to payments into time deposits of 11,538 million yen, proceeds from withdrawal of time deposits of 9,228 million yen, proceeds from withdrawal of long-term deposits of 3,500 million yen, and purchase of property, plant and equipment of 3,023 million yen.

      Net cash used in financing activities was 3,124 million yen. This was mainly due to repayments of short-term borrowings of 1,050 million yen and devidends paid of 2,035 million yen.

   3. ‌Information regarding consolidated earnings forecasts and other forward-looking statements‌

   Regarding the financial results forecasts for the fiscal year ending March 31, 2026, released on August 8, 2025 in the "Consolidated Financial Results for the First Three Months Ended March, 2026", the Company has revised it as follows to reflect the actual results for this consolidated period and other factors.

   	Net sales	Operating profit	Ordinary profit	Profit attributable to owners of parent	Basic earnings per share
   Previous announced forecast（Ａ）	Millions of yen 428,000	Millions of yen 15,500	Millions of yen 16,000	Millions of yen 11,300	Yen 222.06
   Revision forecast （Ｂ）	440,000	16,000	18,000	12,000	235.79
   Change（Ｂ－Ａ）	12,000	500	2,000	700	-
   Percentage change （％）	2.8	3.2	12.5	6.2	-
   （Reference） Previous term results （fiscal year ending March 31,2025）	247,571	13,573	14,776	10,037	194.76

   The assumed exchange rate is 150 yen per US dollar and is based on the exchange rate at the end of the interim consolidated accounting period. It has been changed from the previous assumption of 145 yen.

2. ‌Quarterly consolidated financial statements and significant notes thereto

1. ‌Quarterly consolidated balance sheets

   		(Millions of yen)
   As of March 31, 2025		As of September 30, 2025
   Assets
   Current assets
   Cash and deposits	59,564	58,035
   Notes and accounts receivable - trade, and contract assets	33,142	60,846
   Securities	-	695
   Merchandise and finished goods	8,220	7,123
   Work in process	3,207	2,886
   Raw materials and supplies	61,897	49,381
   Other	5,667	5,178
   Allowance for doubtful accounts	(182)	(186)
   Total current assets	171,516	183,961
   Non-current assets
   Property, plant and equipment	19,602	19,622
   Intangible assets	508	446
   Investments and other assets
   Investment securities	7,228	7,469
   Retirement benefit asset	-	145
   Other	1,678	1,601
   Allowance for doubtful accounts	(254)	(254)
   Total investments and other assets	8,652	8,961
   Total non-current assets	28,763	29,029
   Total assets	200,279	212,990

   		(Millions of yen)
   As of March 31, 2025		As of September 30, 2025
   Liabilities
   Current liabilities
   Accounts Payable	34,092	44,056
   Electronically recorded obligations	1,546	1,786
   Short-term borrowings	1,050	-
   Income taxes payable	2,127	2,983
   Provision for loss on liquidation of affiliates	-	752
   Other	6,421	5,424
   Total current liabilities	45,236	55,005
   Non-current liabilities
   Bonds with share acquisition rights	10,190	10,176
   Retirement benefit liability	1,497	1,457
   Other	3,037	3,508
   Total non-current liabilities	14,725	15,142
   Total liabilities	59,962	70,147
   Net assets
   Shareholders' equity
   Share capital	13,660	13,660
   Capital surplus	19,596	19,603
   Retained earnings	112,257	116,330
   Treasury shares	(12,393)	(12,383)
   Total shareholders' equity	133,120	137,210
   Accumulated other comprehensive income
   Valuation difference on available-for-sale securities	3,464	4,062
   Foreign currency translation adjustment	2,922	922
   Remeasurements of defined benefit plans	809	648
   Total accumulated other comprehensive income	7,196	5,633
   Total net assets	140,317	142,843
   Total liabilities and net assets	200,279	212,990

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

   		(Millions of yen)
   Six months ended September 30, 2024		Six months ended September 30, 2025
   Net sales	116,173	245,426
   Cost of sales	103,608	232,552
   Gross profit	12,565	12,874
   Selling, general and administrative expenses	4,595	4,775
   Operating profit	7,969	8,098
   Non-operating income
   Interest income	479	412
   Dividend income	84	98
   Foreign exchange gains	-	929
   Other	82	77
   Total non-operating income	646	1,517
   Non-operating expenses
   Interest expenses	17	20
   Foreign exchange losses	2,253	-
   Other	4	7
   Total non-operating expenses	2,276	28
   Ordinary profit	6,340	9,588
   Extraordinary income
   Gain on sale of non-current assets	3	5
   Total extraordinary income	3	5
   Extraordinary losses
   Loss on sale and retirement of non-current assets	1	9
   Provision for loss on liquidation of affiliates	-	768
   Other	0	-
   Total extraordinary losses	2	778
   Profit before income taxes	6,342	8,814
   Income taxes - current	1,604	2,658
   Income taxes - deferred	311	47
   Total income taxes	1,915	2,706
   Profit	4,426	6,108
   Profit attributable to non-controlling interests	-	-
   Profit attributable to owners of parent	4,426	6,108

   Quarterly consolidated statements of comprehensive income

   		(Millions of yen)
   Six months ended September 30, 2024		Six months ended September 30, 2025
   Profit	4,426	6,108
   Other comprehensive income
   Valuation difference on available-for-sale securities	(187)	597
   Foreign currency translation adjustment	1,907	(1,999)
   Remeasurements of defined benefit plans, net of tax	(109)	(161)
   Total other comprehensive income	1,610	(1,563)
   Comprehensive income	6,037	4,545
   Comprehensive income attributable to
   Comprehensive income attributable to owners of parent	6,037	4,545
   Comprehensive income attributable to non-controlling interests	-	-

3. ‌Quarterly consolidated statements of cash flows

   		(Millions of yen)
   Six months ended September 30, 2024		Six months ended September 30, 2025
   Cash flows from operating activities
   Profit before income taxes	6,342	8,814
   Depreciation	1,430	2,199
   Increase (decrease) in loss on liquidation of affiliates	-	768
   Decrease (increase) in trade receivables	(2,746)	(28,015)
   Decrease (increase) in inventories	(7,638)	13,450
   Decrease (increase) in operating accounts receivable	280	436
   Increase (decrease) in trade payables	5,136	10,629
   Other, net	(1,706)	(1,562)
   Subtotal	1,097	6,722
   Interest and dividends received	527	506
   Interest paid	(17)	(19)
   Income taxes paid	(3,308)	(1,615)
   Net cash provided by (used in) operating activities	(1,700)	5,594
   Cash flows from investing activities
   Payments into time deposits	(8,905)	(11,538)
   Proceeds from withdrawal of time deposits	7,338	9,228
   Proceeds from withdrawal of long-term deposits	-	3,500
   Purchase of property, plant and equipment	(2,411)	(3,023)
   Other, net	(33)	(148)
   Net cash provided by (used in) investing activities	(4,011)	(1,981)
   Cash flows from financing activities
   Net increase (decrease) in short-term borrowings	-	(1,050)
   Redemption of bonds with share acquisition rights	(9,085)	-
   Purchase of treasury shares	(0)	(0)
   Dividends paid	(2,274)	(2,035)
   Other, net	(57)	(38)
   Net cash provided by (used in) financing activities	(11,417)	(3,124)
   Effect of exchange rate change on cash and cash equivalents	555	(705)
   Net increase (decrease) in cash and cash equivalents	(16,573)	(216)
   Cash and cash equivalents at beginning of period	76,662	46,769
   Cash and cash equivalents at end of period	60,088	46,552

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

None applicable.

None applicable

The Company has resolved to liquidate its consolidated subsidiary, China Hosiden Co., Ltd.

1. Reason for Liquidation of a Consolidated Subsidiary.

   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 liquidate China Hosiden Co., Ltd..

2. Overview of the Subsidiary to be Liquidated

   (1) Name	China Hosiden Co., Ltd.
   (2) Address	Hongda Industrial Area, Qiaotou Town, Dongguan City, Guangdong, P.R.China
   (3) Name and title of Representative	Isao Fuji, Chairman
   (4) Business description	Manufacturing Electro-mechanical components
   (5) Share capital	HK$ 361,550 thousand
   (6) Date of establishment	Contract manufacturing factory established was established in May, 1988. China Hosiden Co., Ltd. was established in February 2012.
   (7) Major shareholder and shareholding ratio	Hong Kong Hosiden Ltd. 100%

3. Schedule for Liquidation

   Operations are scheduled to end around March 2026, and liquidation is expected to be completed once the necessary procedures are completed in accordance with local laws and regulations.

4. Impact on Profit and Loss

   In connection with this matter, during the first six months of the fiscal year ending March 31, 2026 (from April 2025 to September 2025), the scheduled payments related to the liquidation, such as economic compensation to employees, have been recorded as a special loss under "Provision for Loss on Liquidation of Affiliates" totaling 768 million yen.

   ‌Segment information, etc.

   Segment information

   1. The first six months ended September 30, 2024 (from April 1, 2024 to September 30, 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	97,226	10,851	8,095	116,173	-	116,173
         Inter-segment sales and transfers	-	-	-	-	-	-
         Total	97,226	10,851	8,095	116,173	-	116,173
         Segment profit	5,787	1,405	776	7,969	-	7,969

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

   2. The first six months ended September 30, 2025 (from April 1, 2025 to September 30, 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	227,402	10,261	7,762	245,426	-	245,426
         Inter-segment sales and transfers	-	-	-	-	-	-
         Total	227,402	10,261	7,76	245,426	-	245,426
         Segment profit	6,423	1,084	591	8,098	-	8,098

         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 second quarter consolidated cumulative period has been presented based on the revised classification method.

The Company hereby announces that it has resolved, at a meeting of the Board of Directors held on November 7, 2025, the matters concerning the acquisition of treasury shares pursuant to the provisions of Article 156 of the Companies Act, as applied by replacing the relevant terms pursuant to the provisions of Article 165, paragraph (3) of the same Act as well as the matters concerning the cancellation of treasury shares pursuant to the provisions of Article 178 of the Companies Act. The details are described below.

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 matters related to acquisition of treasury shares

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

   2. Total number of shares to be acquired: 2.0 million shares (maximum)

      (3.93% of total number of issued shares (excluding treasury shares))

   3. Total amount of share acquisition costs: 4.2 billion yen (maximum)

   4. Acquisition period: From November 10, 2025 to January 30, 2026

   5. Method of acquisition: Market purchase on the Tokyo Stock Exchange

      ①Market purchase on the auction market

      ②Repurchase of own shares through ToSTNeT-3

3. Details of matters related to cancellation of treasury shares

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

   2. Total number of shares to be canceled: The total number of treasury shares to be acquired in 2. above.

   3. Scheduled date of cancelation: February 27, 2026