In the fiscal year ended March 31, 2026, net sales amounted to ¥487,542 million, operating income was ¥47,128 million, and adjusted EBITDA was ¥16,656 million. While the Pachislot & Pachinko Machines Business performed strongly, operating income decreased compared to the prior fiscal year, mainly due to the sluggish performance of the Entertainment Contents Business, as well as the impact of the consolidation of the financial results of GAN Limited and Stakelogic B.V., both of which were acquired in the Gaming Business. In addition, as impairment losses on goodwill and other intangible assets related to Rovio Entertainment Ltd, as well as on goodwill and property, plant and equipment related to Stakelogic, were recognized as extraordinary losses, net loss attributable to owners of parent amounted to ¥5,756 million. Furthermore, a gain on deferred tax adjustments was recorded following a review of the recoverability of deferred tax assets.

For the nine months ended December 31, 2025, the Group recorded net sales of ¥335,232 million, operating income of ¥19,844 million, and adjusted EBITDA of ¥3,482 million. In the Entertainment Contents Business, regarding Rovio Entertainment Ltd, the Group recognized impairment losses on goodwill and other intangible assets of ¥31,380 million as an extraordinary loss. As a result, loss attributable to owners of parent amounted to ¥16,894 million.

With respect to the outlook, please refer to “Notice of Recording of Extraordinary Losses (Impairment Losses) and Revision of Operating Results Forecast” announced on February 13, 2026.

For the six months ended September 30, 2025, the Group recorded net sales of ¥201,108 million, operating income of ¥10,064 million, and adjusted EBITDA of ¥15,959 million, all of which fell short of expectations.

The primary factors behind this shortfall from expectations include lower-than-expected sales of Full Game and the shortfall from expectations of Rovio Entertainment Ltd in the Entertainment Contents Business. In the Pachislot & Pachinko Machines Business, the release schedule was adjusted due to the approval status for pachislot machines. In the Gaming Business, although existing operations showed a strong performance, the Group recorded losses due to factors such as the impact of incorporating the results of newly acquired companies Stakelogic B.V. and GAN Limited.

In the first quarter for the fiscal year ending March 31, 2026, the Group started off with net sales of ¥81,026 million, an operating loss of ¥519 million, and adjusted EBITDA of ¥1,461 million. Although the number of newly released titles was limited, net sales were in line with expectations, while the operating loss was narrower than expected. Despite the recording of foreign exchange losses as non-operating expenses, adjusted EBITDA met expectations.

In the fiscal year ended March 31, 2026, net sales amounted to ¥487,542 million, operating income was ¥47,128 million, and adjusted EBITDA was ¥16,656 million. While the Pachislot & Pachinko Machines Business performed strongly, operating income decreased compared to the prior fiscal year, mainly due to the sluggish performance of the Entertainment Contents Business, as well as the impact of the consolidation of the financial results of GAN Limited and Stakelogic B.V. (“Stakelogic”), both of which were acquired in the Gaming Business.

In addition, as impairment losses on goodwill and other intangible assets related to Rovio Entertainment Ltd (“Rovio”), as well as on goodwill and property, plant and equipment related to Stakelogic, were recognized as extraordinary losses, net loss attributable to owners of parent amounted to ¥5,756 million. Furthermore, a gain on deferred tax adjustments was recorded following a review of the recoverability of deferred tax assets.

The Company positions the return of profits to shareholders as an important management issue.

We aim to maximize corporate value through the management focusing on capital efficiency in its medium-term financial strategy until the fiscal year ending March 2026 and while promoting aggressive investment for growth, we will also provide appropriate shareholder returns. The basic policy for shareholder returns is to apply DOE (Dividend on equity ratio) 3% or more, or the total return ratio of 50% or more, whichever is higher and implement shareholder returns through dividends or share buybacks.