Interim report
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This is an abridged translation of the original Japanese document and is provided for informational purposes only . If there are any discrepancies between this and the original , the original Japanese document prevails . Kakaku.com , Inc. Consolidated Financial Results for the Three Months Ended June 30 , 2026 ( Under IFRS ) Tokyo Stock Exchange https://corporate.kakaku.com/ Atsuhiro Murakami , President and Representative Director Shinichi Kasuya Director and Senior Managing Executive Officer and CFO + 81-3-5725-4554 Stock listings : Securities code : 2371 URL : Representative : Information contact : Telephone Scheduled dates Dividend payout : Supplementary materials to financial results available : Earnings presentation held : None None August 5 , 2026 ( Amounts of less than one million yen are rounded . ) 1. Consolidated Financial Results for the Three Months Ended June 30 , 2026 ( 1 ) Consolidated Operating Results Profit before income ( % = year - on - year change ) Profit for the period Revenue Three months ended ¥ million % June 30 , 2026 June 30 , 2025 25,700 17.0 21,958 24.0 Profit attributable to owners of the parent Operating profit ¥ million 6,884 7,288 taxes % ¥ million % ¥ million % ( 5.6 ) 4.5 6,919 7,260 ( 4.7 ) 4,687 ( 6.4 ) 2.4 5,005 3.9 Total comprehensive income for the period Basic earnings per share Diluted earnings per share company Three months ended ¥ million % ¥ million % ¥ ¥ June 30 , 2026 4,689 June 30 , 2025 5,006 ( 6.3 ) 3.8 4,672 5,004 ( 6.6 ) 3.1 23.70 25.31 23.69 25.30 For reference : Adjusted EBITDA : Three months ended June 30 , 2026 : 8,955 million ( Note ) yen The Company finalized the provisional accounting treatment for the business combination for the six months ended September 30 , 2025. As a result , figures for the three months ended June 30 , 2025 reflect the finalization of the provisional accounting treatment . ( 2 ) Consolidated Financial Position Total assets Total equity Total equity attributable to owners of the parent company Total equity attributable to owners of the parent company ratio ¥ million ¥ million ¥ million % As of June 30 , 2026 100,205 65,009 64,804 64.7 As of March 31 , 2026 92,475 65,170 64,988 70.3
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2. Dividends Annual dividends Q1 Q2 Q3 Year end Annual total ¥ ¥ ¥ ¥ ¥ FY2026/3 – 25.00 – 25.00 50.00 FY2027/3 – FY2027/3 (Forecast) 0.00 – 0.00 0.00 (Note) Revisions to most rece nt dividend forecasts: None 3. Consolidated Earnings Forecast for the Fiscal Year Ending March 31, 2027 (April 1, 2026 to March 31, 2027) (% = year-on-year change) Revenue Operating profit Profit before income taxes Profit attributable to owners of the parent company Basic earnings per share Adjusted EBITDA ¥ million % ¥ million % ¥ million % ¥ million % ¥ ¥ million % Six months ending September 30, 2026 53,700 19.7 13,700 (1.0) 13,700 1.1 9,200 (1.8) 46.50 16,300 – Full year 114,500 21.6 30,800 13.1 30,700 12.3 20,700 10.1 104.63 36,000 – (Notes) 1. Revisions to most r ecent earnings forecasts: None 2. The method for calculating adjusted EB ITDA is described in the section “Appropriate Use of Earnings Forecasts and Other Important Information” below. *Notes (1) Significant changes in the scope of consolidation during the period: Yes Newly included: 1 company (engage Inc.) Excluded: – (2) Accounting policy changes and accounting estimate changes: i) Changes in accounting policies required by IFRS: None ii) Changes other than the above i): None iii) Changes in accounting estimates: None (3) Number of shares issued (common stock) i) Number of shares issued at end of period (treasury shares included): June 30, 2026: 198,218,300 shares March 31, 2026: 198,218,300 shares ii) Number of shares held in treasury at end of period: June 30, 2026: 378,833 shares March 31, 2026: 382,033 shares iii) Average number of shares outstanding during the period: Three months ended June 30, 2026: 197,837,322 shares Three months ended June 30, 2025: 197,768,300 shares
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* Review of the Japanese-language originals of the attached quarterly consolidated financial statements by a certified public accountant or the accounting auditor: None *Appropriate Use of Earnings Forecasts and Other Important Information (Disclaimer Regarding Forward-Looking Statements) Forward-looking statements in this document, including forecasts, are based on information available to the Company at the time of the announcement, which the Company assumes to be reasonable. Therefore, the Company does not guarantee the achievement of forecasts and other forward-looking statements. Actual business and other results may differ substantially due to various factors. Starting with the fiscal year ending March 31, 2027, the Company has introduced “Adjusted EBITDA” as a key management indicator. Adjusted EBITDA = Operating profit + Depreciation and amortization + Share-based payment expenses ± Gains or losses from non-recurring items (M&A-related expenses, impairment losses, etc.)
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- 1 - Contents 1. Operating Results and Financial Position ....................................................................................................................... 2 (1) Operatin g Results .................................................................................................................................................. 2 (2) Financial Position ....................................................................................................... .......................................... 3 (3) Explanation of Consolidat ed Earnings Forecast and Other Forward-looking Statements .................................... 4 2. Condensed Consolidated Financial Statements and Significant Notes Thereto .............................................................. 5 (1) Condensed Consolidated Statement of Financial Position ................................................................................... 5 (2) Condensed Consolidated Statement of Income .................................................................................................... 7 (3) Condensed Consolidated Statement of Comprehensive Income .......................................................................... 8 (4) Condensed Consolidated Statements of Changes in Equity ................................................................................. 9 (5) Condensed Consolidated Statement of Cash Flows ........................................................................................... 11 (6) Notes on the Condensed Consolidated Financial Statements ............................................................................. 13 (Notes regarding the going concern assumption) ................................................................................................. 13 (Segment information) ......................................................................................................................................... 13 (Business combination) ........................................................................................................................................ 15 (Significant subsequent events) ............................................................................................................................ 16
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- 2 - 1. Operating Results and Financial Position (1) Operating Results The Group’s mission is “User-First to Create New Norms.” Based on the “Medium-Term Management Plan (FY26/3- FY30/3)” announced in March 2025, the Group has been advancing the development of our core businesses and investing in growth areas. The Company’s operating results for the three months ended June 30, 2026, are as follows. Consolidated revenue increased 17.0% year on year to 25,700 million yen. This was mainly due to increased revenues from the Tabelog business and HR business. Consolidated operating profit decreased 5.6% year on year to 6,884 million yen. This was mainly due to an increase in one- time expenses such as fees for financial advisors, attorneys at law and other experts in response to the tender offer (TOB) for our shares, despite increased profits in each segment, primarily the Tabelog business. Consolidated profit before income taxes decreased 4.7% year on year to 6,919 million yen. This was due to decreased operating profit. Consolidated profit attributable to owners of the parent company decreased 6.3% year on year to 4,689 million yen. This was due to decreased profit before income taxes. Furthermore, adjusted EBITDA for the three months ended June 30, 2026 was 8,955 million yen. Operating results (after intersegment eliminations) are presented below by business segment. (a) Kakaku.com Business In the Kakaku.com business, the shopping business performed strongly, while revenue from personal finance (credit cards, card loans, and housing loans) decreased from the previous fiscal year, weighing on overall results. As a result, revenue decreased 5.4% year on year to 5,518 million yen, while its segment income decreased 9.1% year on year to 2,847 million yen in the three months ended June 30, 2026. The Kakaku.com business’s revenue consists mainly of the following. Revenue (Millions of yen) Year-on-year change Shopping 1,985 2.6% increase Service 2,218 12.3% decrease Personal finance 837 26.1% decrease Telecommunications 741 0.1% increase Automobile 469 8.2% increase Other 172 23.4% decrease Advertising 523 6.9% decrease Insurance 791 2.3% decrease Kakaku.com had 26.88 million monthly unique users1 in June 2026. (b) Tabelog Business The Tabelog business’s revenue grew 17.9% year on year to 10,918 million yen, while its segment income increased 20.1% year on year to 6,276 million yen in the three months ended June 30, 2026, due to the increases in the number of restaurants with paid service contracts and the number of online reservations. The Tabelog business’s revenue consists mainly of the following. Revenue (Millions of yen) Year-on-year change Restaurant promotion 4,481 12.6% increase Restaurant reservation 5,606 27.3% increase Premium membership 417 3.2% increase Advertising 365 16.7% decrease Other 48 68.7% increase The number of people making online reservations increased 24.4% year on year to 37.03 million in the three months ended June 30, 2026. The total number of restaurants contracting Tabelog’s paid services was 102,800 as of June 30, 2026. Tabelog had 90.49 million monthly unique users 1 in June 2026. (c) HR Business2 The HR business’s revenue grew 44.5% year on year to 6,741 million yen in the three months ended June 30, 2026, due to the consolidation of the engage business as a subsidiary on April 1, 2026, as well as the continuous increase in usage
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- 3 - (monthly users and monthly visits) by job seekers on Kyujin Box, and the increase in revenue per active account of hiring companies. On the other hand, segment income decreased 36.0% year on year to 228 million yen due to the impact of the consolidation of the engage business as a subsidiary, as well as the continued strengthening of the sales structure in the Kyujin Box business. Revenue (Millions of yen) Year-on-year change Kyujin Box 5,327 14.2% increase engage 1,413 – Kyujin Box had 15.01 million monthly unique users1 in June 2026. (d) Incubation Business In the Incubation business, the growth in the travel/transportation and home services domains led to revenue that grew 14.7% year on year to 2,525 million yen and segment income that increased 44.6% year on year to 565 million yen in the three months ended June 30, 2026. The Incubation business’s revenue consists mainly of the following. Item Revenue (Millions of yen) Year-on-year change Real estate 555 1.2% decrease Travel/transportation 1,088 19.2% increase Home services 747 78.7% increase Other 135 56.4% decrease (Notes) 1. Monthly unique users are counted as the number of br owsers that visited the site (for certain browsers, operating systems, etc., there may be instances in which users who re-visited the site after a certain period of time are counted multiple times). Double-counting as a side effect of high-speed loading of mobile webpages and mechanical accesses by third parties’ web-scraping bots etc. are eliminated from the count to the fullest extent possible. 2. We have changed the name of the reportable segment previously known as the “Kyujin Box business” to the “HR business” from the three months ended June 30, 2026, due to the consolidation of engage Inc. as a subsidiary as of April 1, 2026. The “HR business” consists of “Kyujin Box” and “engage.” (2) Financial Position (a) Analysis of Financial Position Assets Consolidated assets at June 30, 2026, totaled 100,205 million yen, a 7,730 million yen increase from March 31, 2026. This was mainly due to a 5,053 million yen decrease in other financial assets (current), despite a 7,497 million yen increase in goodwill and other intangible assets, a 1,777 million yen increase in trade and other receivables, a 1,539 million yen increase in cash and cash equivalents, and a 716 million yen increase in other current assets. Liabilities Consolidated liabilities at June 30, 2026, totaled 35,196 million yen, a 7,891 million yen increase from March 31, 2026. This was mainly the net result of a 4,500 million yen increase in bonds and borrowings (current), a 3,300 million yen increase in other current liabilities and a 2,182 million yen increase in other financial liabilities (current), being offset by a 1,949 million yen decrease in income taxes payable. Equity Consolidated equity at June 30, 2026, totaled 65,009 million yen, a 161 million yen decrease from March 31, 2026. This was mainly the net result of a declaration of a 4,959 million yen dividend from retained earnings, despite recording profit attributable to owners of the parent company of 4,689 million yen. (b) Cash Flows Cash and cash equivalents (“cash”) at June 30, 2026, totaled 48,007 million yen, a 1,539 million yen increase from March 31, 2026. Cash flows from operating, investing, and financing activities were as follows. Cash flows from operating activities Operating activities provided net cash of 3,564 million yen (vs. 4,928 million yen provided in the year-earlier period). The main inflows were 6,919 million yen of profit before income taxes and 2,168 million yen of increase in other financial liabilities, which were offset by 4,226 million yen of income taxes paid and 1,618 million yen of increase in trade and other receivables.
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- 4 - Cash flows from investing activities Investing activities used net cash of 1,182 million yen (vs. 9,309 million yen used in the year-earlier period). This was primarily due to 4,944 million yen for purchase of shares of subsidiaries resulting in change in scope of consolidation, 699 million yen for purchase of intangible assets and 266 million yen for payments for lease and guarantee deposits, which were offset by 5,000 million yen for proceeds from withdrawal of time deposits. Cash flows from financing activities Financing activities used net cash of 849 million yen (vs. 7,922 million yen used in the year-earlier period). This was primarily due to 4,932 million yen for dividends paid and 405 million yen for repayments of lease liabilities, which were offset by a 4,500 million yen increase in short-term borrowings. (3) Explanation of Consolidated Earnings Forecast and Other Forward-looking Statements The consolidated earnings forecasts for the six months ending September 30, 2026, and the fiscal year ending March 31, 2027, that were disclosed in the Consolidated Earnings Report for the Fiscal Year Ended March 31, 2026, released on May 8, 2026, remain unchanged.
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- 5 - 2. Condensed Consolidated Financial Statements and Significant Notes Thereto (1) Condensed Consolidated Statement of Financial Position (Millions of yen) As of March 31, 2026 As of June 30, 2026 Assets Current assets Cash and cash equivalents 46,468 48,007 Trade and other receivables 13,234 15,011 Other financial assets 5,527 474 Other current assets 1,531 2,247 Total current assets 66,760 65,739 Non-current assets Property, plant and equipment 2,217 2,573 Right-of-use assets 3,477 3,921 Goodwill and other intangible assets 11,403 18,900 Investments accounted for using equity method 0 0 Other financial assets 6,362 6,754 Deferred tax assets 2,124 2,176 Other non-current assets 132 143 Total non-current assets 25,715 34,466 Total assets 92,475 100,205
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- 6 - (Millions of yen) As of March 31, 2026 As of June 30, 2026 Liabilities Current liabilities Trade and other payables 5,496 5,420 Bonds and borrowings – 4,500 Other financial liabilities 7,766 9,948 Income taxes payable 4,259 2,311 Lease liabilities 1,031 1,315 Employee benefit obligations 2,481 2,003 Other current liabilities 2,983 6,283 Total current liabilities 24,016 31,781 Non-current liabilities Lease liabilities 2,154 2,290 Provisions 583 594 Other non-current liabilities 552 531 Total non-current liabilities 3,289 3,415 Total liabilities 27,305 35,196 Equity Capital stock 916 916 Capital surplus – 41 Retained earnings 64,506 64,249 Treasury shares (689) (683) Other components of equity 256 281 Total equity attributable to owners of the parent company 64,988 64,804 Non-controlling interests 182 205 Total equity 65,170 65,009 Total liabilities and equity 92,475 100,205
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- 7 - (2) Condensed Consolidated Statement of Income (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Revenue 21,958 25,700 Operating expenses 14,667 18,809 Other income 2 7 Other expenses 4 15 Operating profit 7,288 6,884 Finance income 25 61 Finance expenses 50 26 Share of profit (loss) of associates and joint ventures accounted for by the equity method (4) – Profit before income taxes 7,260 6,919 Income tax expense 2,254 2,232 Profit 5,005 4,687 Profit attributable to: Owners of the parent company 5,006 4,689 Non-controlling interests (1) (2) Earnings per share Basic earnings per share (yen) 25.31 23.70 Diluted earnings per share (yen) 25.30 23.69
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- 8 - (3) Condensed Consolidated Statement of Comprehensive Income (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Profit 5,005 4,687 Other comprehensive income (Net of related tax effect) Items that will not be reclassified to profit or loss Net changes in fair value of financial assets measured at fair value through other comprehensive income (5) (20) Total items that will not be reclassified to profit or loss (5) (20) Items that may be reclassified to profit or loss Exchange differences on translation of foreign operations 4 5 Total items that may be reclassified to profit or loss 4 5 Other comprehensive income (Net of related tax effect) (1) (15) Comprehensive income 5,004 4,672 Comprehensive income attributable to: Owners of the parent company 5,004 4,673 Non-controlling interests 0 (1)
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- 9 - (4) Condensed Consolidated Statements of Changes in Equity Three months ended June 30, 2025 (From April 1, 2025 to June 30, 2025) (Millions of yen) Equity attributable to ow ners of the parent company Non- controlling interests Total equity Capital stock Capital surplus Retained earnings Treasury shares Other components of equity Total Net changes in fair value of financial assets measured at fair value through other comprehensive income Exchange differences on translation of foreign operations Subscription rights to shares Total other components of equity Balance at beginning of period 916 – 61,701 (877) (61) (7) 140 72 61,811 323 62,134 Profit – – 5,006 – – – – – 5,006 (1) 5,005 Other comprehensive income – – – – (5) 3 – (2) (2) 1 (1) Total comprehensive income – – 5,006 – (5) 3 – (2) 5,004 0 5,004 Dividends – – (10,875) – – – – – (10,875) (59) (10,934) Purchase and disposal of treasury shares – (88) – 88 – – – – – – – Share-based payment transactions – 53 – – – – – – 53 – 53 Issuance of share acquisition rights – – – – – – 1 1 1 – 1 Other – 35 (221) – – – – – (186) – (186) Total transactions with owners – – (11,096) 88 – – 1 1 (11,007) (59) (11,066) Balance at end of period 916 – 55,610 (790) (66) (4) 141 71 55,808 264 56,072
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- 10 - Three months ended June 30, 2026 (From April 1, 2026 to June 30, 2026) (Millions of yen) Equity attributable to ow ners of the parent company Non- controlling interests Total equity Capital stock Capital surplus Retained earnings Treasury shares Other components of equity Total Net changes in fair value of financial assets measured at fair value through other comprehensive income Exchange differences on translation of foreign operations Subscription rights to shares Total other components of equity Balance at beginning of period 916 – 64,506 (689) (68) 22 302 256 64,988 182 65,170 Profit – – 4,689 – – – – – 4,689 (2) 4,687 Other comprehensive income – – – – (20) 4 – (16) (16) 0 (15) Total comprehensive income – – 4,689 – (20) 4 – (16) 4,673 (1) 4,672 Dividends – – (4,946) – – – – – (4,946) (13) (4,959) Purchase and disposal of treasury shares – 4 – 6 – – (9) (9) 0 – 0 Share-based payment transactions – 38 – – – – 51 51 89 – 89 Change in scope of consolidation – – – – – – – – – 37 37 Total transactions with owners – 41 (4,946) 6 – – 41 41 (4,857) 24 (4,833) Balance at end of period 916 41 64,249 (683) (88) 26 343 281 64,804 205 65,009
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- 11 - (5) Condensed Consolidated Statement of Cash Flows (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Cash flows from operating activities Profit before income taxes 7,260 6,919 Adjustments to reconcile profit before income taxes Depreciation and amortization 1,055 1,237 Interest and dividend income (14) (32) Decrease (increase) in trade and other receivables 531 (1,618) Increase (decrease) in trade and other payables (2,456) (1,143) Increase (decrease) in other financial liabilities 4,125 2,168 Decrease (increase) in other current assets 3,132 (637) Increase (decrease) in other current liabilities (3,641) 1,353 Other 124 (482) Subtotal 10,115 7,765 Interest and dividend income received 14 50 Interest paid (14) (24) Income taxes paid (5,187) (4,226) Net cash provided by (used in) operating activities 4,928 3,564 Cash flows from investing activities Payments into time deposits (5,000) – Proceeds from withdrawal of time deposits – 5,000 Purchase of property, plant and equipment (136) (148) Purchase of intangible assets (460) (699) Purchase of investment securities (125) (125) Purchase of shares of subsidiaries resulting in change in scope of consolidation (3,553) (4,944) Payments for lease and guarantee deposits (39) (266) Other 4 0 Net cash provided by (used in) investing activities (9,309) (1,182)
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- 12 - (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Cash flows from financing activities Net increase (decrease) in short-term loans payable 4,000 4,500 Repayments of long-term loans payable (478) – Repayment of lease liabilities (365) (405) Dividends paid (10,836) (4,932) Dividends paid to non-controlling interests (59) (13) Proceeds from issuance of share options – 0 Other (185) – Net cash provided by (used in) financing activities (7,922) (849) Effect of exchange rate change on cash and cash equivalents (8) 6 Net increase (decrease) in cash and cash equivalents (12,311) 1,539 Cash and cash equivalents at beginning of period 50,859 46,468 Cash and cash equivalents at end of period 38,548 48,007
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- 13 - (6) Notes on the Condensed Consolidated Financial Statements (Notes regarding the going concern assumption) Not applicable. (Segment information) (1) Outline of reportable segments The Group’s reportable segments comprise the business units of the Group for which separate financial information is available and of which the Board of Directors periodically conducts reviews for the purpose of determining the allocation of management resources and evaluating their business results. The Group has established business divisions and subsidiaries by service, and each business division and subsidiary draws up comprehensive domestic and overseas strategies for the services for which it is responsible and engages in business activities. The Group comprises segments based on services under the business divisions and subsidiaries, which have been divided into the reportable segments of Kakaku.com, Tabelog, HR and Incubation. We have changed the name of the reportable segment previously known as the “Kyujin Box business” to the “HR business” from the three months ended June 30, 2026. Accordingly, figures for the three months ended June 30, 2025, are presented under the new name. The Kakaku.com business operates customer purchasing support site Kakaku.com and the insurance agency business through Kakaku.com Insurance, Inc., a consolidated subsidiary. The Tabelog business operates the restaurant search and reservation site Tabelog. The HR business operates Kyujin Box, a job classifieds site, engage, a job classifieds site operated by a consolidated subsidiary engage Inc., and Jobcube, a job classifieds site operated by a consolidated subsidiary JOBCUBE, INC. The Incubation segment operates Sumaity, a real estate/housing information site; 4travel, a travel review and comparison site; a dynamic package solution business operated by Time Design Co., Ltd., a consolidated subsidiary; Bus Hikaku Navi, a bus trip comparison service operated by LCL Incorporated, a consolidated subsidiary; and LiPLUS, a home service matching platform of LiPLUS Holdings, Inc., a consolidated subsidiary. (2) Information on reportable segments Information by reportable segment for the Group is as follows. Intersegment revenues and transfers are based on prevailing market prices.
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- 14 - (3) Information on the amounts of reve nue and profit/loss by reportable segment Three months ended June 30, 2025 (From April 1, 2025 to June 30, 2025) (Millions of yen) Reportable segment Adjustments (Note 1) Amount reported in the condensed consolidated statement of income Kakaku.com Tabelog HR Incubation Total Revenue Revenue from external customers 5,836 9,257 4,664 2,201 21,958 – 21,958 Intersegment revenue – – – 20 20 (20) – Total 5,836 9,257 4,664 2,221 21,978 (20) 21,958 Segment income (Note 2) 3,133 5,227 356 391 9,106 (1,819) 7,288 Finance income 2 5 Finance expenses 5 0 Share of profit (loss) of associates and joint ventures accounted for by the equit y method ( 4 ) Profit before income taxes 7 , 2 6 0 (Note 1) Adjustments of segment income of (1,819) million yen re presents corporate expenses not allocated to each reportable segment. (Note 2) Adjustments were made to reconcile segment income to operating profit in the condensed consolidated statement of income. (Note 3) During the six months ended September 30, 2025, the Company finalized the provisional accounting treatment for the business combination. As a result, figures for the three months ended June 30, 2025 reflect the finalization of the provisional accounting treatment. Three months ended June 30, 2026 (From April 1, 2026 to June 30, 2026) (Millions of yen) Reportable segment Adjustments (Note 1) Amount reported in the condensed consolidated statement of income Kakaku.com Tabelog HR Incubation Total Revenue Revenue from external customers 5,518 10,918 6,741 2,525 25,700 – 25,700 Intersegment revenue – – – – – – – Total 5,518 10,918 6,741 2,525 25,700 – 25,700 Segment income (Note 2) 2,847 6,276 228 565 9,915 (3,031) 6,884 Finance income 6 1 Finance expenses 2 6 Share of profit (loss) of associates and joint ventures accounted for by the equity metho d – Profit before income taxes 6 , 9 1 9 (Note 1) Adjustments of segment income of (3,031) million yen re presents corporate expenses not allocated to each reportable segment. (Note 2) Adjustments were made to reconcile segment income to operating profit in the condensed consolidated statement of income.
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- 15 - (Business combination) On April 1, 2026, the Company acquired shares of engage Inc. making it a subsidiary. (1) Overview of transaction (i) Name and business of acquired company Name of acquired company: engage Inc. Business description: The engage business, which includes the job posting site “engage” and the recruitment support tool “engage” but excludes the company review site “en-kaisha no hyoban” (ii) Main reason for business combination The target business consists of “engage,” one of Japan’s largest comprehensive job posting websites with over six million registered job seekers, as well as engage, a recruitment support tool used by over 700,000 companies nationwide. The target business functions as a digital platform designed to support both successful hiring and post-hiring engagement. The Company believes that the acquisition will contribute to an enhancement of its corporate value. In particular, the Company expects significant synergies by leveraging the operational foundation and resources of the target business, including the expansion of touchpoints with both job seekers and recruiting companies, and the enhancement of the overall value proposition of its services. In addition, the acquisition is expected to broaden the Company’s business portfolio and further strengthen its competitiveness in the recruitment domain, with Kyujin Box positioned as a core growth driver under the Company’s Medium-Term Management Plan. (iii) Date of business combination April 1, 2026 (iv) Legal form of business combination Acquisition of shares for cash (v) Ratio of voting rights acquired 85.1% (2) Fair value of consideration paid, assets acquired a nd liabilities assumed, and non-controlling interests as of the acquisition date (Millions of yen) Amount Fair value of consideration paid (cash) Net asset value (cash) 4,454 Adjustments (Note 1) 700 Total 5,154 Fair value of assets acquired and liabilities assumed (Note 2) Other current assets 5 Non-current assets 1,799 Current liabilities 1,557 Fair value of assets acquired and liabilities assumed (net) 248 Non-controlling interests (Note 3) 37 Goodwill (Note 4) 4,943 (Note 1) The consideration paid includes an adjustment of 700 million yen based on the acquisition price adjustment clause stipulated in the share transfer agreement. The adjustment amount is calculated based on the amount of the acquired company’s liabilities as of the acquisition date and was finalized in June 2026. The adjustment amount is outstanding at June 30, 2026 and is scheduled to be paid in July 2026. (Note 2) The assets acquired and liabilities assumed are tentatively calculated based on the information currently available, since the allocation of the consideration for the acquisition has not been completed as of the end of the three months ended June 30, 2026. The acquisition-related expenses for this business combination amounted to 55 million yen, all of which are recorded under “operating expenses” in the condensed consolidated statement of income. (Note 3) Non-controlling interests pertain to the equity interest in engage Inc. held by en Inc. and are measured by applying the non- controlling interest ratio to engage Inc.’s identifiable net assets as of the acquisition date of control. (Note 4) The goodwill arising from this business combination is recorded in the HR business segment. Goodwill mainly consists of the excess earning power expected from the future business development of engage Inc. Such goodwill is not deductible for tax purposes. (3) Cash flows from acquisition (Millions of yen) Amount Cash and cash equivalents paid for acquisition 4,454 Cash and cash equivalents held by the acquired company at the time of acquisition – Payments for acquisition of subsidiaries 4,454
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- 16 - (4) Impact on business performance Revenue arising from engage Inc. from the acquisition date to June 30, 2026 is 1,413 million yen, and loss is 63 million yen, which have been recorded in the Group’s condensed consolidated statement of income. (Significant subsequent events) Not applicable.