Interim report
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This document has been translated from the original Japanese document filed by Kioxia Holdings Corporation (the “Company”) and is provided for reference purposes only. In the event of any discrepancy between this document and the original Japanese document, the original Japanese document shall prevail. Consolidated Financial Results for the Six Months Ended September 30, 2026 (Under IFRS) October 30, 2026 Company name: Kioxia Holdings Corporation Stock Exchange Listing: Tokyo Securities code: 285A URL: https://www.kioxia-holdings.com/en-jp/top.html Representative: Representative Director, President & CEO Hiroo Ota Contact: General Manager of Disclosure Division Makoto Sonoda Telephone: 03 (6478) 2539 Scheduled date to submit semi-annual securities report:November 6, 2026 Scheduled date to commence dividend payments: December 8, 2026 Supplementary materials for financial results: Yes Financial results briefings: Yes (rounded to the nearest million yen) (% indicates variance against the same period in the previous year) Revenue Non-GAAP operating profit Operating profit Non-GAAP profit before tax Profit before tax million yen % million yen % million yen % million yen % million yen % Six months ended September 30, 2026 4,247,152 436.8 3,314,530 ー 3,264,727 ー 3,252,726 ー 3,203,390 ー Six months ended September 30, 2025 791,145 (13.0) 132,377 (54.7) 130,820 (55.2) 85,567 (65.7) 84,010 (66.3) Profit Non-GAAP profit attributable to owners of parent Profit attributable to owners of parent Total comprehensive income million yen % million yen % million yen % million yen % Six months ended September 30, 2026 2,197,875 ー 2,235,582 ー 2,197,871 ー 2,324,726 ー Six months ended September 30, 2025 58,943 (66.5) 60,172 (65.9) 58,946 (66.5) 80,298 (52.3) Basic earnings per share Diluted earnings per share JPY JPY Six months ended September 30, 2026 1,349.33 1,337.97 Six months ended September 30, 2025 36.42 36.13 1. Consolidated Financial Results for the Six Months Ended September 30, 2026 (April 1, 2026 to September 30, 2026) (1) Consolidated Operating Results (Cumulative) Note 1: “ー” is used when the variance against the same period in the previous year is 1,000% or more. Note 2: Non-GAAP measures, which exclude non-recurring items and other specific items from IFRS-based figures to more easily evaluate the Group’s fundamental profitability, are internal measures used by management and are not IFRS accounting items. As non-GAAP measures have not been audited or reviewed by auditors, they may not accurately reflect the Group’s financial condition or operating results. Note 3: The Company executed a 3-to-1 stock split for its common shares on October 1, 2026. Basic earnings per share and diluted earnings per share are calculated as if the stock split was effective at the beginning of the fiscal year ended March 31, 2026.
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Total assets Total equity Equity attributable to owners of parent Ratio of equity attributable to owners of parent million yen million yen million yen % As of September 30, 2026 5,883,885 2,929,116 2,928,964 49.8 As of March 31, 2026 3,690,071 1,399,079 1,398,929 37.9 Annual dividends End of first quarter End of second quarter End of third quarter Fiscal year end Total JPY JPY JPY JPY JPY Fiscal year ended March 2026 ー 0.00 ー 0.00 0.00 Fiscal year ending March 2027 ー 90.00 Fiscal year ending March 2027 (forecast) ー ー ー (% indicates variance against the same period of the previous year) Revenue Non-GAAP operating profit Operating profit Non-GAAP profit before tax Profit before tax Nine months ending December 31, 2026 million yen % million yen % million yen % million yen % million yen % 6,747,152 405.5 5,314,530 ー 5,259,727 ー 5,237,726 ー 5,183,390 ー Non-GAAP profit attributable to owners of parent Profit attributable to owners of parent Nine months ending December 31, 2026 million yen % million yen % 3,600,582 ー 3,557,871 ー (1) Changes in accounting policies required by IFRS: None (2) Changes in accounting policies other than those required by IFRS: None (3) Changes in accounting estimates: None (1) Number of issued shares at the end of the period (including treasury shares) As of September 30, 2026 1,646,307,702 As of March 31, 2026 1,638,258,870 (2) Number of treasury shares at the end of the period As of September 30, 2026 48,402,168 As of March 31, 2026 483 (3) Average number of shares outstanding during the period (cumulative) As of September 30, 2026 1,628,862,141 As of September 30, 2025 1,618,459,659 (2) Consolidated Financial Position 2. Status of Dividends Note 1: Revisions from the most recently announced dividend forecast: Yes Note 2: The Company executed a 3-to-1 stock split for its common shares on October 1, 2026. The results of the second quarter are listed as the amount before the stock split. 3. Consolidated Business Outlook for the Nine Months Ending December 31, 2026 (April 1, 2026 to December 31, 2026) Note: “ー” is used when the variance against the same period in the previous year is 1,000% or more. * Notes (1) Significant changes in the scope of consolidation during the six months ended September 30, 2026: None (2) Changes in accounting policies and estimates (3) Number of issued shares (common shares) Note: The Company executed a 3-to-1 stock split for its common shares on October 1, 2026. The number of issued shares (common shares) is calculated as if the stock split was effective at the beginning of the fiscal year ended March 31, 2026.
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* These financial results are not subject to review by certified public accountants or audit firms. * Appropriate use of business outlooks and other notes (Note on forward-looking statements) Forward-looking statements such as business outlooks contained in these financial statements are based on assumptions and beliefs that represent information available to the Company at the present time and are subject to various risks and uncertainties (including, but not limited to, economic trends, market demand, and competition in the semiconductor industry) and may differ from actual results.
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1. Overview of Operating Results Etc. 2 (1) Overview of Interim Operating Results 2 (2) Overview of Interim Financial Position 5 (3) Overview of Interim Cash Flows 6 (4) Explanation of Consolidated Business Outlook and other Forward-Looking Information 7 2. Condensed Interim Consolidated Financial Statements and Related Notes 8 (1) Condensed Interim Consolidated Statement of Financial Position 8 (2) Condensed Interim Consolidated Statement of Profit or Loss and Condensed Interim Consolidated Statement of Comprehensive Income 10 (3) Condensed Interim Consolidated Statement of Changes in Equity 14 (4) Condensed Interim Consolidated Statement of Cash Flows 15 (5) Notes to Condensed Interim Consolidated Financial Statements 16 Index - 1 -
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1. Overview of Operating Results Etc. (1) Overview of Interim Operating Results An overview of the operating results of the Company, its subsidiaries (collectively the “Group”), and interests in associates and joint arrangements is as follows. As the Group operates as a single reportable segment, the Memory business, it does not provide segment information. However, the Group provides revenue by the application of each product, in accordance with its purpose of use. “SSD & Storage” primarily includes solid-state drives (SSDs) and memory products for PCs, data centers, and enterprises. “Smart Devices” include embedded memory products with control functions which are used in consumer devices such as smartphones, tablets, and televisions, as well as in automotive and industrial devices. “Other” includes retail products such as SD memory cards and USB flash drives, as well as sales to the Sandisk group recorded through its three manufacturing joint ventures. Because the semiconductor and memory industry in which the Group operates is highly volatile over short periods, the Group does not provide plans or progress reports for the full fiscal year. The Group discloses consolidated operating results in the form of measures based on International Financial Reporting Standards (IFRS), as well as internal measures used by management when making decisions (“non- GAAP measures”). Non-GAAP measures exclude non-recurring items and other specific items from IFRS-based figures to more easily evaluate the Group’s fundamental profitability. Management believes that disclosing non-GAAP measures makes it easier for stakeholders to compare the Group’s performance with that of other companies in the same industry and against previous fiscal years. In doing so, the Group intends to provide useful information for understanding its regular operating results and business outlook. Non-GAAP measures are used internally by management and are not accounting items based on IFRS and have not been audited or reviewed by auditors. Therefore, such non-GAAP measures may not accurately reflect the Group’s financial condition or operating results. “Non-recurring items” are temporary gains and losses that the Group deems should be excluded for non-GAAP measures, including the impact of purchase price allocation (PPA) arising from mergers and acquisitions, provisions for losses on litigation, and the impact of significant changes to tax policies. “Other specific items” are gains and losses that the Group deems difficult to compare with other companies due to factors such as different accounting standards, including costs for the fiscal year recorded under the Group’s continuous service and performance-linked stock-based remuneration plans. In regard to the global economy for the six months ended September 30, 2026, in developed countries, while the price of goods trended upwards, a favorable labor market, stable consumer spending, and steady capital investments resulting from high demand for AI contributed to an overall strong economy. In developing countries, while exports increased, investment fell as the real estate market continued to struggle, consumer spending dragged, and overall economic indicators continued to be weak. Heightened geopolitical risks, particularly in the Middle East and Ukraine, contribute to an uncertain outlook for the global economy. During the six months ended September 30, 2026, the yen depreciated against the US dollar compared to the six months ended September 30, 2025. In the flash memory industry, while demand from smartphone and PC customers is seeing a downward trend, demand for AI servers at data centers and enterprise customers is increasing, and the overall market is continuing to grow. - 2 -
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(JPY in billions unless indicated otherwise) Three months ended September 30, 2026 Three months ended June 30, 2026 Quarter on quarter change Revenue 2,480.0 1,767.1 +712.9 SSD & Storage 1,616.0 1,174.7 +441.3 Smart Devices 788.9 525.7 +263.2 Other 75.2 66.7 +8.4 Non-GAAP operating profit 1,988.3 1,326.2 +662.1 PPA impact (loss) (0.1) (0.2) +0.1 Stock-based remuneration costs (loss) 6.4 (19.4) +25.9 Provisions for losses on litigation (loss) ー (36.6) +36.6 Operating profit 1,994.7 1,270.0 +724.7 Non-GAAP profit before tax 1,961.2 1,291.5 +669.7 Profit before tax 1,968.7 1,234.7 +734.0 Profit 1,355.7 842.2 +513.5 Non-GAAP profit attributable to owners of parent 1,348.6 887.0 +461.7 Profit attributable to owners of parent 1,355.7 842.2 +513.5 Non-GAAP basic earnings per share 833.94 yen 540.60 yen +293.34 yen Basic earnings per share 838.31 yen 513.30 yen +325.01 yen Average USD to yen exchange rate 161 yen 160 yen +1 yen ■Quarter on Quarter Comparison Table Note 1: Figures in this table are rounded to the nearest billion yen. Note 2: The Company executed a 3-to-1 stock split for its common shares on October 1, 2026. Non-GAAP basic earnings per share and basic earnings per share are calculated as if the stock split was effective at the beginning of the fiscal year ended March 31, 2026. Revenue for the three months ended September 30, 2026 was 2,480.0 billion yen, an increase of 712.9 billion yen from the previous quarter. This was primarily due to a significant increase in average selling prices (ASPs) resulting from strong demand from data center customers focusing on generative AI, as well as an increase in bit shipment. SSD & Storage revenue was 1,616.0 billion yen, an increase of 441.3 billion yen from the previous quarter, and Smart Device revenue was 788.9 billion yen, an increase of 263.2 billion yen from the previous quarter. Operating profit was 1,994.7 billion yen, an increase of 724.7 billion yen from the previous quarter. This was primarily due to the aforementioned increase in revenue. Profit before tax was 1,968.7 billion yen, an increase of 734.0 billion yen from the previous quarter. Profit attributable to owners of parent was 1,355.7 billion yen, an increase of 513.5 billion yen from the previous quarter. Non-GAAP operating profit (which excludes PPA impact of 0.1 billion yen, a reversal of stock-based remuneration costs of 6.4 billion yen, and provisions for losses on litigation, the latter of which there was none in the three months ended September 30, 2026) was 1,988.3 billion yen, an increase of 662.1 billion yen from the previous quarter. Non- GAAP profit before tax was 1,961.2 billion yen, an increase of 669.7 billion yen from the previous quarter. Non-GAAP profit attributable to owners of parent was 1,348.6 billion yen, an increase of 461.7 billion yen from the previous quarter. - 3 -
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(JPY in billions unless indicated otherwise) Six months ended September 30, 2026 Six months ended September 30, 2025 Year on year change Revenue 4,247.2 791.1 +3,456.0 SSD & Storage 2,790.7 462.0 +2,328.7 Smart Devices 1,314.5 236.3 +1,078.2 Other 141.9 92.8 +49.1 Non-GAAP operating profit 3,314.5 132.4 +3,182.2 PPA impact (loss) (0.2) (0.6) +0.3 Stock-based remuneration costs (loss) (13.0) (1.0) -12.0 Provisions for losses on litigation (loss) (36.6) ー -36.6 Operating profit 3,264.7 130.8 +3,133.9 Non-GAAP profit before tax 3,252.7 85.6 +3,167.2 Profit before tax 3,203.4 84.0 +3,119.4 Profit 2,197.9 58.9 +2,138.9 Non-GAAP profit attributable to owners of parent 2,235.6 60.2 +2,175.4 Profit attributable to owners of parent 2,197.9 58.9 +2,138.9 Non-GAAP basic earnings per share 1,372.48 yen 37.18 yen +1,335.30 yen Basic earnings per share 1,349.33 yen 36.42 yen +1,312.91 yen Average USD to yen exchange rate 160 yen 146 yen +14 yen ■Year on Year Comparison Table Note 1: Figures in this table are rounded to the nearest billion yen from the figures in “2. Condensed Interim Consolidated Financial Statements and Related Notes”, excluding non-GAAP figures, PPA impact, stock- based remuneration costs, and provisions for losses on litigation. Note 2: The Company executed a 3-to-1 stock split for its common shares on October 1, 2026. Non-GAAP basic earnings per share and basic earnings per share are calculated as if the stock split was effective at the beginning of the fiscal year ended March 31, 2026. Revenue for the six months ended September 30, 2026 was 4,247.2 billion yen, an increase of 3,456.0 billion yen from the six months ended September 30, 2025. This was primarily due to a significant increase in ASPs resulting from strong demand from data center customers focusing on generative AI, as well as an increase in bit shipment and the positive effect of exchange rates. Operating profit was 3,264.7 billion yen, an increase of 3,133.9 billion yen from the six months ended September 30, 2025. This was primarily due to the aforementioned increase in revenue, partially offset by a recording of provisions for losses on litigation, special profit-sharing for employees, and an increase in stock-based remuneration costs. Profit before tax was 3,203.4 billion yen, an increase of 3,119.4 billion yen from the six months ended September 30, 2025. Profit attributable to owners of parent was 2,197.9 billion yen, an increase of 2,138.9 billion yen from the six months ended September 30, 2025. Non-GAAP operating profit (which excludes PPA impact of 0.2 billion yen, stock-based remuneration costs of 13.0 billion yen, and provisions for losses on litigation of 36.6 billion yen) was 3,314.5 billion yen, an increase of 3,182.2 billion yen from the six months ended September 30, 2025. Non-GAAP profit before tax was 3,252.7 billion yen, an increase of 3,167.2 billion yen from the six months ended September 30, 2025. Non-GAAP profit attributable to owners of parent was 2,235.6 billion yen, an increase of 2,175.4 billion yen from the six months ended September 30, 2025. - 4 -
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(JPY in billions unless indicated otherwise) As of September 30, 2026 As of March 31, 2026 Change from the end of the previous fiscal year Total assets 5,883.9 3,690.1 +2,193.8 Total liabilities 2,954.8 2,291.0 +663.8 Total equity 2,929.1 1,399.1 +1,530.0 Equity attributable to owners of parent 2,929.0 1,398.9 +1,530.0 Ratio of equity attributable to owners of parent 49.8% 37.9% +11.9 percentage points (2) Overview of Interim Financial Position Note: Figures in this table are rounded to the nearest billion yen from the figures in “2. Condensed Interim Consolidated Financial Statements and Related Notes”. (Assets) Assets as of September 30, 2026 were 5,883.9 billion yen, an increase of 2,193.8 billion yen from the end of the previous fiscal year. This was primarily due to an increase in trade and other receivables of 987.8 billion yen and an increase in cash and cash equivalents of 926.6 billion yen. (Liabilities) Liabilities as of September 30, 2026 were 2,954.8 billion yen, an increase of 663.8 billion yen from the end of the previous fiscal year. This was primarily due to an increase of 870.2 billion yen in income taxes payable. (Equity) Equity as of September 30, 2026 was 2,929.1 billion yen, an increase of 1,530.0 billion yen from the end of the previous fiscal year. This was primarily due to profit for the six months ended September 30, 2026 of 2,197.9 billion yen, partially offset by a decrease of 800.0 billion yen from the purchase of treasury shares. As a result, the ratio of equity attributable to owners of parent was 49.8%, up 11.9 percentage points from the end of the previous fiscal year. - 5 -
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(JPY in billions unless indicated otherwise) Six months ended September 30, 2026 Six months ended September 30, 2025 Year on year change Net cash provided by (used in) operating activities 2,379.6 175.2 +2,204.4 Net cash provided by (used in) investing activities (193.0) (106.9) -86.1 Net cash provided by (used in) financing activities (1,257.4) (2.0) -1,255.4 (3) Overview of Interim Cash Flows Note: Figures in this table are rounded to the nearest billion yen from the figures in “2. Condensed Interim Consolidated Financial Statements and Related Notes”. The balance of cash and cash equivalents as of September 30, 2026 was 1,397.3 billion yen, an increase of 926.6 billion yen from the end of the previous fiscal year. Details of each cash flow are as follows. (Operating Activities) The Group recorded 2,379.6 billion yen in cash inflow as a result of its operating activities (compared to 175.2 billion yen in cash inflow in the six months ended September 30, 2025). This included profit before tax of 3,203.4 billion yen (compared to 84.0 billion yen in the six months ended September 30, 2025), partially offset by a cash outflow of 1,014.4 billion yen (compared to a cash inflow of 4.2 billion yen in the six months ended September 30, 2025) due to an increase in trade and other receivables. The primary reason for the 2,204.4 billion yen increase in cash inflow year on year was growth in profit before tax compared to the six months ended September 30, 2025. (Investing Activities) The Group recorded 193.0 billion yen in cash outflow as a result of its investing activities (compared to 106.9 billion yen in cash outflow in the six months ended September 30, 2025). This included 135.3 billion yen for the purchase of property, plant and equipment (compared to 143.1 billion yen in the six months ended September 30, 2025). The primary reason for the 86.1 billion yen increase in cash outflow year on year was the use of 78.2 billion yen for the purchase of other financial assets representing the acquisition of shares of Nanya Technology Corporation. (Financing Activities) The Group recorded 1,257.4 billion yen in cash outflow as a result of its financing activities (compared to 2.0 billion yen in cash outflow in the six months ended September 30, 2025). This included 800.3 billion yen used for the purchase of treasury shares (compared to none in the six months ended September 30, 2025) and 523.1 billion yen used in the repayment of long-term borrowings (compared to 498.8 billion yen in the six months ended September 30, 2025), primarily for early repayments. The primary reason for the 1,255.4 billion yen increase in cash outflow year on year was the aforementioned purchase of treasury shares and an increase in cash outflow from the aforementioned early repayment of long-term borrowings. This was despite the amount of liabilities remaining primarily unchanged from the six months ended September 30, 2025 due to the restructuring of capital structure carried out in July 2025. - 6 -
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(JPY in billions unless indicated otherwise) Outlook for the three months ending December 2026 Results of the three months ended September 2026 Variance against the prior quarter Results of the three months ended June 2026 Revenue 2,500.0 2,480.0 +0.8% 1,767.1 Non-GAAP operating profit 2,000.0 1,988.3 +0.6% 1,326.2 Operating profit 1,995.0 1,994.7 +0.0% 1,270.0 Non-GAAP profit before tax 1,985.0 1,961.2 +1.2% 1,291.5 Profit before tax 1,980.0 1,968.7 +0.6% 1,234.7 Non-GAAP profit attributable to owners of parent 1,365.0 1,348.6 +1.2% 887.0 Profit attributable to owners of parent 1,360.0 1,355.7 +0.3% 842.2 Non-GAAP basic earnings per share 854.24 yen 833.94 yen +20.30 yen 540.60 yen Basic earnings per share 851.11 yen 838.31 yen +12.80 yen 513.30 yen Average USD to yen exchange rate 157 yen 161 yen -4 yen 160 yen (4) Explanation of Consolidated Business Outlook and other Forward-Looking Information The business outlook for the third quarter of the consolidated fiscal year ending March 2027 (October 1, 2026 to December 31, 2026) is as follows. While demand for data centers is expected to remain strong, factors such as the negative impact of exchange rates are expected to lead to revenue and profit for the third quarter being broadly in line with that of the second quarter. Consolidated Business Outlook Third quarter of the consolidated fiscal year ending March 2027 (October 1, 2026 to December 31, 2026) Note: The Company executed a 3-to-1 stock split for its common shares on October 1, 2026. Non-GAAP basic earnings per share and basic earnings per share are calculated as if the stock split was effective at the beginning of the fiscal year ended March 31, 2026. (Note on forward-looking statements) Forward-looking statements included in this document are prepared based on the Company’s expectations and projections in light of the information currently available to it, which involve various risks and uncertainties (including, but not limited to, economic trends, market demand and the highly competitive semiconductor industry). Such risks and uncertainties may cause the Group’s actual results to be materially different from any future results expressed or implied by these forward-looking statements. The Company undertakes no obligation to update any forward-looking statements included herein. The information and projections regarding the flash memory industry included in this document are the Company’s assumptions and projections derived from information currently available to it. Whilst this document is provided in good faith, it does not purport to be comprehensive and has not been independently verified. The Company makes no representations with respect to such information and projections. This document includes non-GAAP measures, which are internal measures which management relies upon in making decisions that differ from financial measures prepared in accordance with IFRS. The non-GAAP measures, which are IFRS measures plus adjustments made for non-recurring items and other specific items, have not been audited or reviewed by auditors. Therefore, such non-GAAP measures may not accurately reflect the Group’s financial condition or operating results. - 7 -
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Millions of yen As of September 30, 2026 As of March 31, 2026 Assets: Current assets: Cash and cash equivalents 1,397,333 470,707 Trade and other receivables 1,648,356 660,559 Other financial assets 23,005 7,191 Inventories 446,026 412,612 Other current assets 81,991 66,760 Total current assets 3,596,711 1,617,829 Non-current assets: Property, plant and equipment 1,109,724 1,055,255 Right-of-use assets 171,264 178,092 Goodwill 395,550 395,585 Intangible assets 11,772 11,192 Investments accounted for using equity method 8,180 8,097 Other financial assets 470,216 219,230 Other non-current assets 24,163 27,285 Deferred tax assets 96,305 177,506 Total non-current assets 2,287,174 2,072,242 Total assets 5,883,885 3,690,071 2. Condensed Interim Consolidated Financial Statements and Related Notes (1) Condensed Interim Consolidated Statement of Financial Position - 8 -
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Millions of yen As of September 30, 2026 As of March 31, 2026 Liabilities and equity: Liabilities: Current liabilities: Bonds and borrowings 60,678 175,452 Trade and other payables 777,408 594,917 Lease liabilities 42,619 43,911 Other financial liabilities 2,889 28,338 Income taxes payable 974,689 104,516 Provisions 9,385 3,876 Other current liabilities 169,863 146,998 Total current liabilities 2,037,531 1,098,008 Non-current liabilities: Bonds and borrowings 543,231 872,116 Lease liabilities 156,201 161,710 Retirement benefit liability 42,223 42,871 Provisions 62,308 12,840 Other non-current liabilities 113,231 102,725 Deferred tax liabilities 44 722 Total non-current liabilities 917,238 1,192,984 Total liabilities 2,954,769 2,290,992 Equity: Share capital 34,804 31,284 Capital surplus 877,802 875,804 Other components of equity 251,570 124,888 Retained earnings 2,564,812 366,955 Treasury shares (800,024) (2) Total equity attributable to owners of parent 2,928,964 1,398,929 Non-controlling interests 152 150 Total equity 2,929,116 1,399,079 Total liabilities and equity 5,883,885 3,690,071 - 9 -
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Millions of yen except per share amounts From April 1, 2026 to September 30, 2026 From April 1, 2025 to September 30, 2025 Revenue 4,247,152 791,145 Cost of sales 813,923 597,828 Gross profit 3,433,229 193,317 Selling, general and administrative expenses 128,714 66,082 Other income 2,139 5,490 Other expenses 41,927 1,905 Operating profit 3,264,727 130,820 Finance income 7,341 1,996 Finance costs 68,763 48,962 Share of profit of investments accounted for using equity method 85 156 Profit before tax 3,203,390 84,010 Income tax expense 1,005,515 25,067 Profit 2,197,875 58,943 Profit attributable to: Owners of parent 2,197,871 58,946 Non-controlling interests 4 (3) Profit 2,197,875 58,943 Earnings per share: Basic earnings per share in yen 1,349.33 36.42 Diluted earnings per share in yen 1,337.97 36.13 (2) Condensed Interim Consolidated Statement of Profit or Loss and Condensed Quarterly Consolidated Statement of Comprehensive Income Six months ended September 30, 2026 and 2025 Condensed Interim Consolidated Statement of Profit or Loss - 10 -
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Millions of yen From April 1, 2026 to September 30, 2026 From April 1, 2025 to September 30, 2025 Profit 2,197,875 58,943 Other comprehensive income Items that will not be reclassified to profit or loss Net change in financial assets measured at fair value through other comprehensive income 126,765 18,085 Remeasurements of defined benefit plans － 3 Total of items that will not be reclassified to profit or loss 126,765 18,088 Items that may be reclassified to profit or loss Exchange differences on translation of foreign operations (426) 2,236 Effective portion of cash flow hedges 514 1,033 Share of other comprehensive income of investments accounted for using equity method (2) (2) Total of items that may be reclassified to profit or loss 86 3,267 Other comprehensive income, net of tax 126,851 21,355 Comprehensive income 2,324,726 80,298 Comprehensive income attributable to: Owners of parent 2,324,724 80,290 Non-controlling interests 2 8 Comprehensive income 2,324,726 80,298 Condensed Interim Consolidated Statement of Comprehensive Income - 11 -
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Millions of yen except per share amounts From July 1, 2026 to September 30, 2026 From July 1, 2025 to September 30, 2025 Revenue 2,480,035 448,346 Cost of sales 426,872 326,208 Gross profit 2,053,163 122,138 Selling, general and administrative expenses 56,987 36,235 Other income 1,609 1,569 Other expenses 3,075 1,551 Operating profit 1,994,710 85,921 Finance income 25,845 2,742 Finance costs 51,636 32,246 Share of profit (loss) of investments accounted for using equity method (249) 299 Profit before tax 1,968,670 56,716 Income tax expense 612,966 16,046 Profit 1,355,704 40,670 Profit attributable to: Owners of parent 1,355,706 40,662 Non-controlling interests (2) 8 Profit 1,355,704 40,670 Earnings per share: Basic earnings per share in yen 838.31 25.12 Diluted earnings per share in yen 832.31 24.86 Three months ended September 30, 2026 and 2025 Condensed Interim Consolidated Statement of Profit or Loss - 12 -
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Millions of yen From July 1, 2026 to September 30, 2026 From July 1, 2025 to September 30, 2025 Profit 1,355,704 40,670 Other comprehensive income Items that will not be reclassified to profit or loss Net change in financial assets measured at fair value through other comprehensive income (21,857) 15,217 Remeasurements of defined benefit plans (1) － Total of items that will not be reclassified to profit or loss (21,858) 15,217 Items that may be reclassified to profit or loss Exchange differences on translation of foreign operations (2,355) 603 Effective portion of cash flow hedges (2,558) 1,389 Share of other comprehensive income of investments accounted for using equity method (5) 4 Total of items that may be reclassified to profit or loss (4,918) 1,996 Other comprehensive income, net of tax (26,776) 17,213 Comprehensive income 1,328,928 57,883 Comprehensive income attributable to: Owners of parent 1,328,934 57,877 Non-controlling interests (6) 6 Comprehensive income 1,328,928 57,883 Condensed Interim Consolidated Statement of Comprehensive Income - 13 -
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Millions of yen Share capital Capital surplus Other components of equity Retained earnings (Accumulated deficit) Treasury shares Total equity attributable to owners of parent Non- controlling interests Total equity Balance as of April 1, 2026 31,284 875,804 124,888 366,955 (2) 1,398,929 150 1,399,079 Profit － － － 2,197,871 － 2,197,871 4 2,197,875 Other comprehensive income － － 126,853 － － 126,853 (2) 126,851 Comprehensive income － － 126,853 2,197,871 － 2,324,724 2 2,324,726 Issuance of new shares 2,240 2,239 － － － 4,479 － 4,479 Purchase of treasury shares － (219) － － (800,022) (800,241) － (800,241) Share-based payment transactions 1,280 (22) (185) － － 1,073 － 1,073 Transfer from other components of equity to retained earnings － － 14 (14) － － － － Total transactions with owners 3,520 1,998 (171) (14) (800,022) (794,689) － (794,689) Balance as of September 30, 2026 34,804 877,802 251,570 2,564,812 (800,024) 2,928,964 152 2,929,116 Millions of yen Share capital Capital surplus Other components of equity Retained earnings (Accumulated deficit) Total equity attributable to owners of parent Non- controlling interests Total equity Balance as of April 1, 2025 25,239 866,665 35,208 (189,547) 737,565 131 737,696 Profit － － － 58,946 58,946 (3) 58,943 Other comprehensive income － － 21,344 － 21,344 11 21,355 Comprehensive income － － 21,344 58,946 80,290 8 80,298 Issuance of new shares 326 326 － － 652 － 652 Share-based payment transactions 13 710 (31) 4 696 － 696 Transfer from other components of equity to retained earnings － － (3) 3 － － － Total transactions with owners 339 1,036 (34) 7 1,348 － 1,348 Balance as of September 30, 2025 25,578 867,701 56,518 (130,594) 819,203 139 819,342 (3) Condensed Interim Consolidated Statement of Changes in Equity Six months ended September 30, 2026 Six months ended September 30, 2025 - 14 -
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Millions of yen From April 1, 2026 to September 30, 2026 From April 1, 2025 to September 30, 2025 Cash flows from operating activities Profit before tax 3,203,390 84,010 Depreciation and amortization 153,543 158,839 Impairment losses 656 126 Finance income (7,341) (1,996) Finance costs 68,763 48,962 Share of loss (profit) of investments accounted for using equity method (85) (156) Loss (gain) on sales and retirement of non-current assets 1,613 (2,154) Decrease (increase) in inventories (33,941) (7,595) Decrease (increase) in trade and other receivables (1,014,370) 4,191 Increase (decrease) in trade and other payables 87,674 14,878 Increase (decrease) in retirement benefit liability (643) (342) Other 39,919 (20,193) Subtotal 2,499,178 278,570 Interest and dividends received 6,278 2,246 Interest paid (15,150) (67,405) Income taxes refund (paid) (110,726) (38,259) Net cash provided by operating activities 2,379,580 175,152 Cash flows from investing activities Purchase of property, plant and equipment (135,296) (143,127) Proceeds from sale of property, plant and equipment 1,329 4,820 Purchase of intangible assets (1,684) (1,923) Proceeds from government grants 21,276 33,355 Purchase of other financial assets (78,220) － Other (427) (7) Net cash used in investing activities (193,022) (106,882) Cash flows from financing activities Proceeds from long-term borrowings 77,498 507,212 Repayments of long-term borrowings (523,094) (498,817) Proceeds from issuance of bonds － 326,656 Repayments of lease liabilities (15,935) (14,712) Redemption of preferred shares － (322,996) Proceeds from issuance of shares 4,479 651 Purchase of treasury shares (800,342) － Net cash used in financing activities (1,257,394) (2,006) Effect of exchange rate changes on cash and cash equivalents (2,538) 1,350 Net increase (decrease) in cash and cash equivalents 926,626 67,614 Cash and cash equivalents at beginning of period 470,707 167,932 Cash and cash equivalents at end of period 1,397,333 235,546 (4) Condensed Interim Consolidated Statement of Cash Flows - 15 -
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(5) Notes to Condensed Interim Consolidated Financial Statements (Going Concern Assumption) Not applicable. Millions of yen From April 1, 2026 to September 30, 2026 From April 1, 2025 to September 30, 2025 SSD & Storage 2,790,716 461,970 Smart Devices 1,314,513 236,340 Other 141,923 92,835 Total 4,247,152 791,145 (Segment Information) (1) Information about reportable segment Segment information is omitted as the Group operates as a single reportable segment, the Memory business. (2) Information on Products and Services Information on the Group’s revenue by application is as follows. - 16 -