Transcosmos : Financial Results for Q2

Published October 31, 2025 at 8:25 a.m. UTC

Source: MarketScreener

‌Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

October 31, 2025

Consolidated Financial Results for the Six Months Ended September 30, 2025 (Under Japanese GAAP)

Company name: transcosmos inc. Listing: Tokyo Stock Exchange Securities code: 9715

URL: https://www.trans-cosmos.co.jp/english/ Representative: Masaaki Muta, Representative Director, Co-president

Takeshi Kamiya, Representative Director, Co-president Inquiries: Makoto Noguchi, Corporate Senior Officer,

Responsible for Accounting & Finance Division, Corporate Headquarters

Telephone: +81-50-1748-0265

Scheduled date to file semi-annual securities report: November 5, 2025 Scheduled date to commence dividend payments: -

Preparation of supplementary material on financial results: Yes Holding of financial results briefing: Yes

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

Consolidated financial results for the six months ended September 30, 2025 (from April 1, 2025 to September 30, 2025)

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	192,111	3.5	8,072	13.2	9,307	29.3	6,526	57.1
September 30, 2024	185,545	3.1	7,132	22.1	7,196	(1.3)	4,153	(5.4)

Note: Comprehensive income	For the six months ended September 30, 2025:	¥ 4,274 million	[(48.9)%]
	For the six months ended September 30, 2024:	¥ 8,368 million	[22.9%]

	Basic earnings per share	Diluted earnings per share
Six months ended	Yen	Yen
September 30, 2025	174.17	163.22
September 30, 2024	110.85	103.81

Consolidated financial position

	Total assets	Net assets	Equity-to-asset ratio	Net assets per share
As of	Millions of yen	Millions of yen	%	Yen
September 30, 2025	210,345	129,074	56.4	3,164.79
March 31, 2025	207,984	129,068	57.0	3,166.17

Reference: Equity

As of September 30, 2025: ¥ 118,593 million

As of March 31, 2025: ¥ 118,645 million

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	-	0.00	-	106.00	106.00
Fiscal year ending March 31, 2026	-	0.00
Fiscal year ending March 31, 2026 (Forecast)			-	108.00	108.00

Note: Revisions to the forecast of cash dividends most recently announced: None

Forecasts for consolidated financial results for the fiscal year ending March 31, 2026 (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

Fiscal year ending

Millions of

yen

Millions of

yen

Millions of

yen

Millions of

yen

Yen

March 31, 2026

400,000

6.4

15,500

7.1

17,000

8.4

11,500

1.5

306.89

Note: Revisions to the full-year earnings forecasts most recently announced: None

* Notes

Significant changes in the scope of consolidation during the period: None Newly included: -
Excluded: -
Adoption of accounting treatment specific to the preparation of semi-annual consolidated financial statements:
None
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

Number of issued shares (common shares)

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

As of September 30, 2025	43,863,116 shares
As of March 31, 2025	43,863,116 shares

Number of treasury shares at the end of the period

As of September 30, 2025	6,390,340 shares
As of March 31, 2025	6,390,229 shares

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

Six months ended September 30, 2025	37,472,831 shares
Six months ended September 30, 2024	37,473,013 shares

Semi-annual financial results reports are exempt from review conducted by certified public accountants or an audit firm.
Proper use of earnings forecasts, and other special matters

(Cautionary statement with respect to forward-looking statements, and other information)

Forward-looking statements contained in this document are based on the information currently available to transcosmos inc. (the Company) and estimates based on reasonable assumptions. Actual operating results may differ materially from these forecasts due to various factors.

(Access to supplemental material for the consolidated financial results)

The Company will post the presentation material for the consolidated financial results for the six months ended September 30, 2025, on the Company's website on Friday, October 31, 2025.

‌Millions of yen			Thousands of U.S. dollars (Note 1)
ASSETS	As of September 30, 2025	As of March 31, 2025	As of September 30, 2025
Current assets:
Cash and deposits	¥ 73,908	¥ 73,502	$ 496,393
Notes and accounts receivable - trade, and contract assets	69,978	69,506	470,003
Merchandise and finished goods	3,251	3,391	21,838
Work in process	283	181	1,903
Supplies	80	70	538
Others	9,952	8,143	66,842
Less - allowance for doubtful accounts	(135)	(137)	(909)
Total current assets	157,318	154,658	1,056,611
Non-current assets:
Property, plant and equipment:
Buildings and structures, net	6,874	7,128	46,174
Tools, furniture and fixtures, net	5,788	6,086	38,879
Land	717	705	4,819
Others, net	964	1,179	6,476
Total property, plant and equipment, net	14,345	15,099	96,350
Intangible assets:
Goodwill	866	619	5,819
Software	3,720	3,945	24,987
Others	1,008	763	6,772
Total intangible assets	5,595	5,329	37,579
Investments and other assets:
Investment securities	3,811	3,363	25,597
Shares of unconsolidated subsidiaries and affiliates	11,884	12,851	79,820
Investments of capital subsidiaries and affiliates	1,780	1,853	11,960
Deferred tax assets	3,707	3,497	24,903
Guarantee deposits	10,639	10,236	71,456
Others	2,161	1,961	14,518
Less - allowance for doubtful accounts	(899)	(867)	(6,043)
Total investments and other assets	33,085	32,896	222,213
Total non-current assets	53,026	53,325	356,143
Total assets	¥ 210,345	¥ 207,984	$ 1,412,754

See accompanying notes to unaudited half-term consolidated financial statements.

Millions of yen			Thousands of U.S. dollars (Note 1)
LIABILITIES	As of September 30, 2025	As of March 31, 2025	As of September 30, 2025
Current liabilities:
Accounts payable - trade	¥ 16,333	¥ 14,223	$ 109,702
Short-term borrowings	35	80	237
Current portion of bonds payable	72	81	483
Current portion of long-term debt	2,056	2,059	13,813
Accounts payable - other	7,547	7,170	50,691
Accrued expenses	19,767	19,303	132,768
Income taxes payable	3,096	2,642	20,800
Accrued consumption taxes	5,035	5,247	33,823
Accrued compensation	7,279	6,671	48,894
Others	5,263	4,535	35,354
Total current liabilities	66,489	62,014	446,569
Non-current liabilities:
Bonds payable	97	128	651
Convertible bond-type bonds with subscription rights to shares	10,024	10,034	67,325
Long-term debt	2,124	4,151	14,271
Liability for retirement benefits	420	411	2,821
Others	2,115	2,176	14,205
Total non-current liabilities	14,781	16,901	99,275
Total liabilities	81,270	78,916	545,845
NET ASSETS
Shareholders' equity:
Capital stock	29,065	29,065	195,217
Capital surplus	6,889	6,889	46,273
Retained earnings	94,304	91,749	633,383
Treasury stock, at cost	(16,125)	(16,125)	(108,305)
Total shareholders' equity	114,134	111,579	766,568
Accumulated other comprehensive income:
Unrealized holding gain on securities	721	321	4,846
Foreign currency translation gains adjustments	3,737	6,744	25,102
Total accumulated other comprehensive income	4,459	7,066	29,948
Stock acquisition rights	0	0	4
Non-controlling interests	10,480	10,422	70,388
Total net assets	129,074	129,068	866,909
Total liabilities and net assets	¥ 210,345	¥ 207,984	$ 1,412,754

See accompanying notes to unaudited half-term consolidated financial statements.

Millions of yen			Thousands of U.S. dollars (Note 1)
	2025	2024	2025
Net sales	¥ 192,111	¥ 185,545	$ 1,290,294
Cost of sales	154,910	150,199	1,040,436
Gross profit	37,201	35,345	249,858
Selling, general and administrative expenses	29,128	28,213	195,640
Operating income	8,072	7,132	54,218
Non-operating income (expenses):
Interest income	168	149	1,128
Interest expenses	(23)	(30)	(158)
Dividend income	40	52	269
Share of profits of entities accounted for using equity method	228	522	1,536
Foreign exchange gains (losses)	727	(364)	4,887
Provision of allowance for doubtful accounts	(31)	(371)	(213)
Gains on sale of non-current assets	-	93	-
Gains on liquidation of subsidiaries and affiliates	-	186	-
Gains on sale of investment securities	22	-	148
Losses on valuation of investment securities	(73)	(751)	(490)
Losses on valuation of shares of subsidiaries and affiliates	-	(328)	-
Loss on retirement of non-current assets	(31)	-	(212)
Impairment losses on fixed assets	(31)	-	(213)
Other income (expenses), net	126	72	847
Total non-operating income (expenses)	1,121	(767)	7,530
Income before income taxes and non-controlling interests	9,193	6,364	61,748
Income taxes:
Current	2,352	1,770	15,802
Deferred	(126)	44	(848)
Total income taxes	2,226	1,814	14,954
Profit	6,967	4,549	46,794
Profit attributable to non-controlling interests	440	395	2,958
Profit attributable to owners of parent	¥ 6,526	¥ 4,153	$ 43,836

See accompanying notes to unaudited half-term consolidated financial statements.

Millions of yen			Thousands of U.S. dollars (Note 1)
	2025	2024	2025
Profit	¥ 6,967	¥ 4,549	$ 46,794
Other comprehensive income:
Unrealized holding (losses) on securities	402	(221)	2,701
Foreign currency translation gains adjustments	(2,423)	3,012	(16,279)
Share of other comprehensive income from ownership in entities accounted for using equity method	(670)	1,027	(4,504)
Total other comprehensive income	(2,692)	3,818	(18,083)
Comprehensive income	¥ 4,274	¥ 8,368	$ 28,711
Total comprehensive income attributable to:
Owners of patent	¥ 3,919	¥ 7,922	$ 26,327
Non-controlling interests	354	445	2,383

See accompanying notes to unaudited half-term consolidated financial statements.

Millions of yen			Thousands of U.S. dollars (Note 1)
	2025	2024	2025
Operating activities:
Income before income taxes and non-controlling interests	¥ 9,193	¥ 6,364	$ 61,748
Depreciation of property, plant and equipment	2,023	2,067	13,590
Impairment losses on fixed assets	31	51	213
Amortization of goodwill	89	126	602
Amortization of intangible assets	740	776	4,973
Increase (decrease) in allowance for doubtful accounts	34	119	233
Increase (decrease) in accrued compensation	650	332	4,368
Changes in liability for retirement benefits, nets	9	16	64
Interest and dividend income	(208)	(202)	(1,398)
Interest expenses	23	30	158
Foreign exchange losses (gains)	(727)	364	(4,887)
Share of losses (profits) of entities accounted for using equity method	(228)	(522)	(1,536)
Losses (gains) on investments in investment partnerships	11	15	75
Losses on disposal of fixed assets	31	14	212
Losses (gains) on sales of investment securities	(22)	(40)	(148)
Losses on valuation of investment securities	73	751	490
Losses on valuation of shares of subsidiaries and affiliates	-	328	-
Losses (gains) on changes in ownership interests in subsidiaries and affiliates	-	0	-
Decrease (increase) in notes and accounts receivable - trade	(1,358)	555	(9,125)
Decrease (increase) in inventories	(123)	(786)	(831)
Increase (decrease) in trade payables	2,272	(379)	15,263
Increase (decrease) in accrued consumption taxes	(187)	(1,031)	(1,259)
Others, net	665	(4,187)	4,472
Subtotal	12,994	4,764	87,279
Interest and dividends received	198	226	1,330
Interest paid	(22)	(59)	(148)
Income taxes paid	(1,859)	(1,850)	(12,487)
Net cash provided by operating activities	¥ 11,311	¥ 3,080	$ 75,973

	2025	2024	2025
Investing activities:
Payments into time deposits	¥ (142)	¥ (146)	$ (959)
Proceeds from withdrawal of time deposits	265	287	1,785
Purchases of property, plant and equipment	(1,474)	(1,419)	(9,905)
Purchases of intangible assets	(568)	(796)	(3,820)
Purchases of investment securities	(57)	(50)	(387)
Proceeds from sales of investment securities	25	2	169
Purchase of shares of subsidiaries and affiliates	(185)	(285)	(1,245)
Payments for acquisition of businesses	(534)	-	(3,586)
Proceeds from purchase of shares of subsidiaries resulting in change in scope of consolidation	-	71	-
Payments for guarantee deposits	(697)	(698)	(4,684)
Proceeds from collection of guarantee deposits	259	905	1,745
Payments of loans receivable	(57)	(75)	(382)
Collection of loans receivable	32	235	215
Other payments	(677)	(466)	(4,547)
Other proceeds	553	561	3,719
Net cash used in investing activities	(3,258)	(1,877)	(21,886)
Financing activities:
Proceeds from short-term borrowings	16	18	107
Repayment of short-term borrowings	(61)	(44)	(411)
Repayment of long-term borrowings	(2,028)	(2,035)	(13,626)
Proceeds from issuance of bonds	-	100	-
Cash dividends paid	(3,973)	(3,034)	(26,685)
Proceeds from share issuance to non-controlling shareholders	16	-	113
Cash dividends paid to non-controlling interests	(313)	(226)	(2,105)
Others, net	(282)	(346)	(1,894)
Net cash used in financing activities	(6,626)	(5,570)	(44,504)
Effect of exchange rate changes on cash and cash equivalents	(887)	1,294	(5,959)
Increase (decrease) in cash and cash equivalents	539	(3,073)	3,624
Cash and cash equivalents at the beginning of the period	73,134	64,421	491,201
Cash and cash equivalents at the end of the period	¥ 73,674	¥ 61,347	$ 494,825

See accompanying notes to unaudited half-term consolidated financial statement

U.S. Dollar Amounts
The accompanying half-term consolidated financial statements are expressed in yen, and solely for the convenience of the reader, have been translated into United States (U.S.) dollars at the rate of ¥148.89=$1, the approximate exchange rate on the Tokyo Foreign Exchange Market as of September 30, 2025. This translation should not be construed as a representation that the amounts shown could be converted to U.S. dollars at such rate.
Uncertainties of entity's ability to continue as going concern
None.
When there are significant changes in amounts of equity
None
Segment Information

Information on net sales and profit or loss for each reportable segment for the six months ended September 30, 2025 and 2024

Millions of yen
2025
Reportable segments
	Parent company	Domestic subsidiaries and affiliates	Overseas subsidiaries and affiliates	Total	Eliminations	Consolidated
Net sales Sales to third parties	¥ 125,950	¥ 18,310	¥ 47,851	¥ 192,111	¥ －	¥ 192,111
Inter-segment sales and transfers	563	3,541	2,763	6,869	(6,869)	-
Total	¥ 126,514	¥ 21,851	¥ 50,615	¥ 198,981	¥ (6,869)	¥ 192,111
Segment profit	¥ 4,225	¥ 1,679	¥ 2,185	¥ 8,089	¥ (17)	¥ 8,072

Thousands of U.S. dollars (Note 1)
2025
Reportable segments
	Parent company	Domestic subsidiaries and affiliates	Overseas subsidiaries and affiliates	Total	Eliminations	Consolidated
Net sales Sales to third parties	$ 845,928	$ 122,977	$ 321,389	$ 1,290,294	$ －	$ 1,290,294
Inter-segment sales and transfers	3,786	23,788	18,563	46,138	(46,138)	-
Total	$ 849,714	$ 146,765	$ 339,953	$ 1,336,433	$ (46,138)	$ 1,290,294
Segment profit	$ 28,376	$ 11,280	$ 14,676	$ 54,334	$ (116)	$ 54,218

Note A: Segment profit of ¥ (17) million ($ (116) thousand) in "Eliminations" consists of inter-segment elimination. Note B: Total consolidated segment profit agrees with consolidated operating income.

Millions of yen
2024
Reportable segments
	Parent company	Domestic subsidiaries and affiliates	Overseas subsidiaries and affiliates	Total	Eliminations	Consolidated
Net sales Sales to third parties	¥ 120,078	¥ 17,582	¥ 47,884	¥ 185,545	¥ －	¥ 185,545
Inter-segment sales and transfers	566	3,461	2,681	6,709	(6,709)	-
Total	¥ 120,645	¥ 21,043	¥ 50,565	¥ 192,254	¥ (6,709)	¥ 185,545
Segment profit	¥ 3,354	¥ 1,489	¥ 2,344	¥ 7,188	¥ (56)	¥ 7,132

Note A: Segment profit of ¥ (56) million in "Eliminations" consists of inter-segment elimination. Note B: Total consolidated segment profit agrees with consolidated operating income.