Id Holdings CorporationTSE: 4709

Financial Results Presentations 3Q(25/4/1-25/12/31)

· Issued by Id Holdings Corporation






‌April 1, 2025 - December 31, 2025‌

Supplementary Briefing on

Financial Results

ID Holdings Corporation （TSE Prime Market Code: 4709）

President, Representative Director and Group CEO Masaki Funakoshi

Change or Die !

Change or Die !

‌Overview of Financial Results for Q3

Net Sales ¥29,188 million (+9.7% YoY)

⊕ Application development, IT infrastructure and cybersecurity* trended firmly.

Operating Income ¥3,018 million (+7.6% YoY)

Operating Income Margin 10.3% (-0.2P YoY)

⊝ Returns to employees increased, as did expenses for strategic investment in personnel

training and retention.

⊕ Net sales rose and gross profit margin improved in application development and other segments.

⊕ Decline in amount of amortization of goodwill

* Beginning in FY2025, the service formerly named "software development" is renamed "application development" and the service formerly named "cybersecurity, consulting and training" is split into two services, "cybersecurity" and "consulting and training." The changes in service names do not entail any change in operational content of the services.





‌Financial Results (Consolidated)

Change or Die !

( million)

2024.12

2025.12

Results

(% of net sales)

Results

(% of net sales)

Diff.

YoY

26,602

-

29,188

-

2,586

+9.7%

20,159

75.8%

21,728

74.4%

1,568

+7.8%

6,442

24.2%

7,460

25.6%

1,017

+15.8%

3,637

13.7%

4,441

15.2%

804

+22.1%

3,303

12.4%

3,308

11.3%

5

+0.2%

2,805

10.5%

3,018

10.3%

213

+7.6%

2,897

10.9%

3,036

10.4%

139

+4.8%

1,724

6.5%

1,939

6.6%

214

+12.4%

102.92

-

114.79

-

11.87

-

122.80

-

123.75

-

0.95

-

Net sales

Cost of sales

Gross profit

SG&A expenses

EBITDA1

Operating income Ordinary income

Net income attributable to

owners of parent Earnings per share (EPS)

()

EPS before amortization of goodwill2()

Notes:

  1. EBITDA = Operating income + Depreciation + Amortization of goodwill

  2. EPS before amortization of goodwill = (Net income attributable to owners of parent + Amortization of goodwill) ÷ Interim average number of shares





Focus

areas

¥6,948 million (+18.6％ YoY)

Consulting and Training (Share of net sales: 4.1%)

⊝ Projects with some customers were completed, etc.

Cybersecurity (Share of net sales: 7.8%)

⊕ Expanded orders from multiple customers, including public-sector clients, in line with growing demand for cybersecurity measures

IT Infrastructure (Share of net sales: 12.0%)

⊕ Expansion of order acceptance from customers in the finance, energy and manufacturing sectors

⊕ Expanded transactions through partnerships with major IT

vendors

Base areas

¥21,809 million (+6.8％ YoY)

Application Development (Share of net sales: 35.0%)

⊕ Acquired new customers through partnerships with major IT vendors

⊕ Launch of new projects with existing clients

⊕ Expansion of order acceptance from customers in the finance, manufacturing, and energy sectors

System Management (Share of net sales: 39.7%)

⊕ Expansion in order acceptance and the start of new projects from finance-related customers and major IT vendors

⊕ Revising unit prices for price optimization

⊝ Downsizing of some projects and changes in service categories

‌Net Sales by Service

（¥ million）

Change or Die !

29,188

24,106

244

26,602

327

431

+33.8%

+6.7%

+45.2%

+31.9%

-6.8%

+44.5%

+15.9%

+42.7%

+12.1%

+5.6%

+4.2%

10,845

11,593

+2.6%

11,304

8,629

9,113

2,111

10,215

1,081

3,012

1,194

1,570

3,491

1,275

2,268

1,187

2023.12 2024.12 2025.12

  • System Management ■ Application Development

  • IT Infrastructure ■ Cyber Security

  • Consulting and Training ■ Others





    ‌Gross Profit by Service

    System Management

    Application Development

    3,500

    2,701

    50.0%

    45.0%

    2,739

    2,713

    45.0%

    3,000

    40.0%

    2,500

    2,419

    40.0%

    2,500

    1,843

    35.0%

    35.0%

    1,630

    2,000

    2,000

    23.4%25.0%

    26.4% 30.0%

    25.0%

    30.0%

    1,500

    1,500

    24.2%

    20.2%

    20.0%

    22.3%

    20.0%

    18.9%

    1,000

    15.0%

    15.0%

    1,000

    10.0%

    10.0%

    500

    500

    5.0%

    5.0%

    0

    0.0%

    0.0%

    0

    2023.12

    2024.12

    2025.12

    2023.12

    2024.12

    2025.12



    ■■ Gross profit (¥million)

    Change or Die !

    Gross profit margin (%)

    IT Infrastructure

    Cybersecurity

    Consulting and Training

    914



    30.4%

    2024.12

    429



    27.3%

    2024.12

    678 70.0%

    700

    90.0%

    600

    568 550 80.0%



    1,000

    895

    50.0%

    600

    489 70.0%

    500

    60.0%

    40.0%

    602

    400

    40.0%

    400

    50.0%



    600



    28.5%

    25.6%

    30.0%

    300

    155

    29.9%30.0%

    300



    47.6% 43.2%

    41.2%40.0%

    30.0%



    200

    10.0%

    100

    14.4%

    10.0%

    100

    10.0%

    0.0%

    0

    2023.12

    2025.12

    0.0%

    2023.12

    2025.12

    2023.12 2024.12 2025.12



    ‌Net Sales by Strategic Alliances

    The ID Group secures a stable earnings base by maintaining a balance be35 ,000 tween direct contracts (about 60%) and projects through major SIers (about 40%).

    29,188

    26,602

    4,736

    +9.3%

    4,335

    Direct

    transactions (Share of net sales:

    64.7 %)

    6,033

    5,608

    +7.6%

    7,231

    +12.3%

    8,118

    2,093

    2,043

    2,578

    -5.0%

    1,990

    2,164

    +5.9%

    2,660

    +3.2%

    Through

    major SIers (Share of net sales:

    35.3 %)

    2,711

    +28.5%

    3,484

    (¥ million)

    Major Customers (Non-Finance)

    (Share of net sales: 20.7%)

    Major Customers

    (Finance)

    (Share of net sales: 27.8%)

    Strategic Partners

    (Share of net sales: 6.8%)



    ⊕ Receipt of orders for new major projects in application development from customers related to energy and transportation, and expansion of orders from customers related to manufacturing

    ⊕ Expansion of orders received for security projects with multiple customers

    ⊕ Receipt of new major IT infrastructure projects from customers related to energy, etc.

    ⊕ Expansion of orders received for cloud platform migration and configuration, and vulnerability response projects

    ⊕ Receipt of orders for new major projects in application development from customers related to insurance

    ⊕ Expansion of projects through strengthened sales activities

    ⊖ Exit from projects in system management, etc.

    Hitachi Group

    (Share of net sales: 7.4%)

    ⊕ Expansion of orders received for security projects from customers related

    to public office

    Change or Die !

    Kyndryl Japan

    (Share of net sales: 9.1%)

    IBM Group

    (Share of net sales: 11.9%)

    *The figures in parentheses in

    ⊕ Expansion of orders received for security projects from customers related to manufacturing

    ⊕ Expansion of orders for application development projects from customers related to energy and broadcasting, and receipt of new major projects from customers related to transportation, etc.

    ⊕ Expansion of orders for IT infrastructure and cybersecurity projects from customers related to public-sector

    • IBM Japan

2024.12 2025.12

  • IBM Group ■ Kyndryl Japan ■ Hitachi Group ■ Strategic Partners

  • Major Customers (Finance) ■ Major Customers (Non-Finance) ■ Others

    the graph indicate the share of

    net sales.

    1,272

    1,438

    2,030

    (7.0%)

    1,454

    (5.0%)

    (development projects)

  • MI Digital Services (operational projects)

Note: Beginning in the fiscal year under review, accounting categories are changed for some customers. Net sales in the previous fiscal year are calculated based on categories after the change.

2024.12 2025.12





‌Net Sales Composition by End-user Industry

Transactions with the financial sector account for about 50% of net sales.

( million)

2025.12

(% of net sales)

YoY

Finance

13,151

45.1%

+952

+7.8%

Energy, public sector

5,829

20.0%

+918

+18.7%

Manufacturing

2,862

9.8%

+312

+12.3%

Information & Communication

2,467

8.5%

+305

+14.1%

Transportation

1,185

4.1%

+20

+1.8%

Others*

3,692

12.7%

+75

+2.1%

Total

29,188

100.0%

+2,586

+9.7%

(¥ million)

Figures in parentheses

indicate % of net sales

Transportation Others

Information & Communication

1,185

(4.1%)

2,467

(8.5%)

2,862

Change or Die !

(9.8%)

3,692

(12.7%)

Finance

13,151

(45.1%)

Manufacturing

Energy, public sector

5,829

(20.0%)

*"Media", "Healthcare", "Construction, Real estate", "Wholesale, Retail, Restaurants", etc.

Note: Accounting categories may be changed according to status of corporate clients. (Net sales in the previous fiscal year are calculated based on categories

after the change.)





Change or Die !

‌Operating Income Analysis (YoY)

2024.12

2025.12

Main Reasons in Changes

（¥ million）

Results

Results

Diff.



Gross profit

6,442

7,460

+1,017

・Increase in net sales +2,586

・Increase in cost of sales +1,568

-Subcontract expenses +1,031

-Labor cost +336



-Purchases +162

SG&A

expenses



3,637

4,441

+804

・Increase in personnel cost +694

-Advancing returns to employees

・Increase/decrease in other expenses +109

-Increase in strategic investment to train and secure personnel

-Decrease in amortization of goodwill

etc.

Operating income

2,805

3,018

+213





‌Analysis of Balance-sheet Factors



Main Factors

  • Contract assets increased

    +375

  • Investment securities increased

    +231

  • Decrease due to

    amortization of goodwill

    -151

  • Cash and deposits decreased

-360

Assets 22,490

2025.3

2025.12

(¥ million)

Liabilities

8,874

Net assets 13,615

Main Factors

  • Interest-bearing debt decreased

    -950

  • Income taxes payable decreased

    -902

  • Provision for bonuses decreased

    -213

  • Contract liabilities increased

    +423

  • Other current liabilities increased

+728

Net assets 14,645

Liabilities

8,022

Assets

22,667

Change or Die !

Equity Ratio: 64.3％ Current Ratio: 205.8％ Goodwill: ¥324 million





‌Order Backlog by Service (Cumulative)

(¥ million)

■ 2024.12 ■ 2025.12

Change or Die !

8,813

7,755

3,407

3,017

1,997

1,612

2,129

1,810

1,002

1,025

210

165

102

88

Total

System

Application

IT

Cybersecurity

Consulting and

Others

Management

development

Infrastructure

Training





Change or Die !

‌Forecast of Consolidated Financial Results for FY2025 (YoY)

2025.3

2026.3

(Announced October 31, 2025)

（¥ million）

Results

(% of net sales)

Plan

(% of net sales)

Diff.

YoY

Net sales EBITDA

Operating income Ordinary income

Net income attributable to owners of parent

Earnings per Share(EPS)()

EPS before Amortization

of Goodwill()

36,274

4,390

3,780

3,862

2,389

142.54

165.43

-12.1%

10.4%

10.6%

6.6%

-

-

39,000

-

+2,725

+7.5%

4,540

11.6%

+149

+3.4%

4,100

10.5%

+319

+8.4%

4,080

10.5%

+217

+5.6%

2,500

6.4%

+110

+4.6%

147.77

-

+5.23

-

159.70

-

-5.73

-



Cash flows from

operating activities

3,557

-

3,355



-

-202

-





‌Disclaimer

This presentation material contains statements and information about future forecasts, including financial projections, strategies and business plans of ID Holdings Corporation.

Forecasts and plans contained in these non-historical information are based on our judgment in accordance with the information available at the time of publication.

Change or Die !

These forward-looking statements and information also incorporate potential risks and uncertainties caused by changing economic trends, the competitive environment, and other factors. The Company's actual results, business development progress, and financial situation may differ significantly from forward-looking statements and information contained herein, due to competition in the industry, market demand, exchange rates, and other socioeconomic and political factors.

This English translation is only for reference purpose. When there are any discrepancies between original Japanese version and

English translation version, the original Japanese version always prevails.



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