Interim report
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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. Consolidated Interim Financial Results for the Six Months Ended September 30, 2026 (Under Japanese GAAP) November 2, 2026 Company name: Macnica Holdings, Inc. Listing: TSE Prime Securities code: 3132 URL: https://holdings.macnica.co.jp/ Representative: Kazumasa Hara Representative Director and President Inquiries: Makoto Okawara, Director Telephone: +81 45 470 8980 Scheduled date of filing interim securities report: November 13, 2026 Scheduled date to commence dividend payments: December 2, 2026 Preparation of supplementary material on financial results: Yes Holding of interim financial results briefing: Yes (For institutional investors and analysts) 1. Consolidated interim financial results for the six months ended September 30, 2026 (April 1, 2026, to September 30, 2026) (1) Consolidated operating results (cumulative) Yen rounded down to millions, % indicate year-on-year changes Net sales Operating income Ordinary income Net income attributable to owners of parent Six months ended Millions of yen % Millions of yen % Millions of yen % Millions of yen % September 30, 2026 831,293 44.5 33,518 91.5 32,751 122.4 22,278 102.1 September 30, 2025 575,435 10.9 17,506 △21.8 14,728 △30.2 11,021 △27.7 Note: Comprehensive income For the six months ended September 30, 2026: 21,930 million yen [51.9%] For the six months ended September 30, 2025: 14,440 million yen [30.9%] Net income per share Diluted net income per share Six months ended Yen Yen September 30, 2026 124.74 － September 30, 2025 61.75 － Note: Diluted net income per share is stated as "-" because there are no latent shares. (2) Consolidated financial position Total assets Net assets Equity ratio As of Millions of yen Millions of yen % September 30, 2026 840,288 305,865 34.9 March 31, 2026 700,887 289,115 39.8 Note: Reference: Equity as of September 30, 2026: 293,575 million yen; as of March 31, 2026: 278,932 million yen
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2. 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, 2026 － 35.00 － 35.00 70.00 Fiscal year ending March 31, 2027 － 45.00 Fiscal year ending March 31, 2027 (Forecast) － 45.00 90.00 Note: Revisions to the forecast of cash dividends most recently announced: Yes 3. Forecast of Consolidated Financial Results for the Fiscal Year Ending March 31, 2027 (April 1, 2026 to March 31, 2027) % indicate changes from the same period of the previous fiscal year Net sales Operating income Ordinary income Net income attributable to owners of parent Net income per share Fiscal year ending Mil yen % Mil yen % Mil yen % Mil yen % yen March 31, 2027 1,670,000 37.5 67,500 60.9 66,000 76.5 46,000 65.7 257.56 Notes: 1. Revisions of the forecast most recently announced: Yes 2. The Company resolved to acquire treasury shares at the Board of Directors meeting held on November 2, 2026. The calculation of net income per share in the consolidated earnings forecast does not take account of the impact of acquisitions of treasury shares made on or after November 4, 2026, under this resolution. Notes: (1) Significant changes in scope of consolidation during the interim period: None Newly included: None Excluded: None (2) Application of accounting procedures specific to the interim consolidated financial statements: Yes Please see "2. Consolidated Interim Financial Statements and Major Notes , (4) Notes to Consolidate d Interim Financial Statements: Application of accounting procedures specific to the interim consolidated financial statements" on page 11. (3) Changes in accounting policies, changes in accounting estimates, and restatement (i) Changes in accounting policies due to revisions to accounting standards and other regulations: None (ii) Changes in accounting policies due to other reasons: None (iii) Changes in accounting estimates: None (iv) Restatement: None (4) Number of issued shares (common shares) (i) Total number of issued shares at the end of the period (including treasury shares) As of September 30, 2026 179,072,146 shares As of March 31, 2026 179,072,146 shares (ii) Number of treasury shares at the end of the period As of September 30, 2026 416,933 shares As of March 31, 2026 509,089 shares (iii) Average number of shares outstanding during the interim period Six months ended September 30, 2026 178,602,543 shares Six months ended September 30, 2025 178,478,266 shares
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* Interim financial results are exempt from review conducted by certified public accountants or an audit corporation. * Disclaimer regarding forward-looking statements and other special notes Forward-looking statements in this document such as financial forecasts are based on assumptions available to management and considered reasonable at the time of publication. The Group does not guarantee the achievement of projections. Actual performance m ay differ materially from these projections due to various factors. Please see “1. Overview of Operating Results (3) Consolidated Earnings Forecasts and Other Forward -Looking Statements" on page 5 for more information regarding the assumptions used and matters to be noted when relying on profit projections.
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 1 Attached Contents 1. Overview of Interim Operating Results (1) Interim Operating Results ................................................................................................................ 2 (2) Interim Financial Position ................................................................................................................ 4 (3) Consolidated Earnings Forecasts and Other Forward-Looking Statements ..................................... 5 2. Consolidated Interim Financial Statements and Major Notes (1) Consolidated Interim Balance Sheet .................................................................................................. 6 (2) Consolidated Interim Statements of Income and Comprehensive Income ........................................ 8 (3) Consolidated Interim Statements of Cash Flow .............................................................................. 10 (4) Notes to Consolidated Interim Financial Statements....................................................................... 11 Notes on going concern assumptions .................................................................................................. 11 Notes on significant changes in shareholders' equity ........................................................................ 11 Accounting procedures specific to the consolidated interim financial statement .................................. 11 Segment information ...................................................................................................................... 12 Important subsequent events ........................................................................................................... 14
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 2 1. Overview of Operating Results (1) Interim Operating Results During the consolidated interim period under review, the Japanese economy continued in a moderate recovery, with capital expenditure remaining robust against a backdrop of solid corporate earnings, despite the impact of rising prices and interest rates. In the global economy, against a backdrop of rapid proliferation and advancement of AI, including generative AI, concerns regarding AI safety and its social impact have grown markedly, leading to calls for stricter regulations on AI development and use. Me anwhile, demand for AI-related products remains robust, with capital expenditure, centered on data centers and semiconductors, expanding and the AI -related market continuing to perform well. However, due to ongoing geopolitical risks and other factors, the global outlook remains uncertain. In the electronics industry, to which our company belongs, demand for generative AI servers remained robust, underpinning overall demand for semiconductors. In the industrial equipment market, demand is recovering across a wide range of products, including capital expenditure on equipment for manufacturing and testing semiconductors, as well as factory automation (FA) machine tools. Furthermore, in the automotive market, demand for advanced control systems aimed at improving safety and automation continues. In the IT sector, the environment for corporate IT investment remains favorable. In the field of security, the impact of cyber-attacks on businesses is becoming increasingly severe, with a succession of large-scale data breaches and cyber incidents in Japa n that have disrupted business operations. Furthermore, in addition to ransomware and supply chain attacks, attacks targeting cloud services and externally accessible systems are becoming increasingly prevalent, making corporate cybersecurity measures more critical than ever. Moreover, with the proliferation of generative AI, the expanding use of AI agents and the growing adoption of cloud services, the IT assets and access pathways that companies must manage are becoming increasingly complex; consequently, corporate demand for cybersecurity investment has remained at a high level. In the CPS (Cyber -Physical System) market in which the company operates, there is a growing need for solutions that integrate the physical and cyber domains, driven by social challenges such as labor shortages resulting from a declining birth rate and ageing population, a shortage of staff for regional public transport, the transition to a decarbonized society, and the extension of healthy life expectancy, as well as the rapid advancement of digital technologies, including generative AI. Specifically, demand highly aligned with our key business themes (Smart Cities / Mobility, Smart Manufacturing, Healthcare, Circular Economy, and Food & Agri-Tech) is expanding. Furthermore, there are ongoing policy initiatives to support the expansion of this market. For instance, the public-private investment roadmap for "key products and technologies" in 17 strategic sectors, decided by the Japan Growth Strategy Headquarters on July 21, 2026, identifies areas highly compatible with CPS, such as autonomous driving technology and physical AI, as priority sectors. As a result, for the current consolidated interim, net sales stood at 831,293 million yen, up 44.5% year-on- year, operating income came to 33,518 million yen, up 91.5% year -on-year, ordinary income was 32,751 million yen, up 122.4% year -on-year, and net income attributable to owners of the parent came to 22,278 million yen, up 102.1% year-on-year. Please note the Group had previously reported two segments, “ICs, Electronic Devices and Other Business” and “Cybersecurity and Other IT Solutions”, until the current consolidated fiscal year. However, following a review of our performance management structure in line with the expansion of the CPS (Cyber -Physical System) Solutions business, we decided to classify the “CPS (Cyber-Physical System) Solutions Business” as an independent reporting segment, effective this fiscal year. In conjunction with this change in segment classification, we are renaming the "ICs, Electronic Devices, and Other Business" segment to "Semiconductor Business" and the "Cybersecurity and Other IT Solutions Business" segment to "Cybersecurity Business." Segment information for the previous interim consolidated fiscal period is stated based on figures prepared under the classification method after the change.
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 3 (Before change) (After change) ICs, Electronic Devices and Other Business Semiconductor Business Cybersecurity and Other IT Solutions Business Cybersecurity Business CPS Solutions Business The financial results by segment are as follows. 1. Semiconductor Business In the Semiconductor Business, in the industrial equipment market, both domestically and overseas, capital expenditure geared toward AI demand drove steady performance in semiconductor manufacturing equipment applications. Further, an improvement in demand has been observed across a wide range of applications, including factory automation (FA) and machine tools. In terms of product categories, a recovery has been seen across many product types, centered on analog products and also including PLDs, memory, AS SPs, power ICs and others. In the automotive market, demand for semiconductors is recovering as inventory adjustments have come to an end. In the computer market, demand for AI servers remains robust. As a result, interim net sales for this business came to 721,339 million yen, up 46.7% year -on-year, while operating income stood at 29,258 million yen, up 117.1% year-on-year. 2. Cybersecurity Business In the Cybersecurity Business, against a backdrop of a further rise in corporate risk awareness following a series of large-scale incidents in Japan, endpoint security products, which provide comprehensive protection and management of client devices, continued to perform strongly, whilst security products that help visualize and manage cyber risks and take preventive action saw growth. Against the backdrop of expanding cloud service usage and the widespread adoption of zero -trust security, solutions support ing secure content management in the cloud, as well as SASE (Secure Access Service Edge) products that integrate networking and security, recorded steady growth. Furthermore, the overseas cybersecurity business in the Asia -Pacific region, centered on Singapore, is also growing steadily. As a result, interim net sales for this business amounted to 105,887 million yen, up 31.2% year -on-year, while operating income stood at 8,907 million yen, up 14.8% year-on-year. 3. CPS Solutions Business In the CPS Solutions Business, against a backdrop of growing demand for advanced solutions following the renewal of core systems, growth was seen in systems integration (SI) within the Smart Manufacturing sector centered on digital transformation (DX) -related services, as well as in production simulation and PLM. In the manufacturing support sector, contract manufacturing-related projects expanded in response to customer needs for in-house production and manufacturing DX. In the Smart City/Mobility sector, we are continuing to strengthen development of our vehicles and the remote operation management system ‘ everfleet’ with a view to expanding the real -world deployment of autonomous driving services. In March 2026, our autonomous electric bus, the EVO, obtained authorization under the Road Transport Vehicle Act to operate as a driverless autonomous vehicle (Level 4) on public roads in Hitachi-Ota City, Ibaraki Prefecture. Against this backdrop, our consolidated subsidiary Navya Mobility SAS continued to expand its production and delivery capabilities for autonomous electric buses, however the lead time for deployment to local authorities and other customers has lengthened. Consequently, the number of completed vehicles sold externally during the current interim period fell short of initial projections, resulting in expenses being recognized before sales. In addition, net sales and profit in this sector fell short of the initial plan, owing to the termination of a project following the cancellation of a customer’s vehicle development program. Consequently, interim net sales for this business totaled 4,066 million yen, up 25.9% year -on-year, while interim operating loss stood at 4,647 million yen, compared with an operating loss of 3,728 million yen in the same period of the previous fiscal year.
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 4 Reference: Consolidated Net Sales by Product Apr 1 - Sept 30, 2025 Apr 1 - Sept 30, 2026 Y/Y change (%) Millions of yen Millions of yen Semiconductor Business 491,552 721,339 46.7 IC 418,406 629,608 50.5 PLD 51,635 56,891 10.2 ASIC 8,680 8,413 △3.1 ASSP 47,937 77,471 61.6 Analog 136,328 238,323 74.8 Memory 28,099 61,431 118.6 Microcontroller 77,470 101,501 31.0 Power and Other ICs 68,253 85,574 25.4 Electronic Devices 40,444 61,941 53.2 Other 32,701 29,789 △8.9 Cybersecurity Business 80,651 105,887 31.3 Hardware 7,501 7,340 △2.1 Software 60,291 84,439 40.1 Service 12,857 14,106 9.7 CPS Solutions Business 3,230 4,066 25.9 Total 575,435 831,293 44.5 Notes: Amounts are sales to external customers, excluding internal sales or transfer sales between segments. (2) Interim Financial Position Assets, Liabilities and Net Assets Total assets at the end of the interim period stood at 840,288 million yen, an increase of 139,401 million yen compared with the end of the previous fiscal year. Current assets increased by 139,982 million yen compared with the end of the previous fiscal year. This was primarily due to notes receivable, trade receivables and contract assets of 92,256 million yen, and 41,317 million yen in inventories, respectively. Fixed assets decreased by 581 million yen compared with the end of the previous fiscal year. This was primarily due to a decrease of 1,095 million yen in other intangible fixed assets and a decrease of 377 million yen in other investments and assets, despite an increase of 956 million yen in investment securities. Current liabilities increased by 122,611 million yen compared with the end of the previous fiscal year. This was primarily due to increases of 36,424 million yen in notes and accounts payable, 40,119 million yen in short-term borrowings, 4,964 million yen in income tax payable and similar liabilities, and 39,879 million yen in other current liabilities, respectively. Long-term liabilities increased by 40 million yen compared with the end of the previous fiscal year. This was due to an increase of 50 million yen in other non-current liabilities, despite a decrease of 9 million yen in liabilities relating to retirement benefits.
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 5 Net assets increased by 16,749 million yen compared with the end of the previous fiscal year. This was mainly due to increases of 16,028 million yen in retained earnings and 2,106 million yen in non-controlling interests, despite a 2,884 million yen decrease in foreign currency translation adjustment. Cash Flows The balance of cash and cash equivalents at the end of the interim period stood at 53,206 million yen, a decrease of 1,163 million yen compared with the 54,370 million yen recorded at the end of the previous consolidated financial year. Cash flow from operating activities Cash flow from operating activities decreased by 32,569 million yen, compared with an increase of 23,614 million yen in the same period of the previous year. This was mainly due to an increase in trade receivables and inventories, despite the recognition o f interim net income before income tax and other adjustments of 32,737 million yen, as well as increases in trade payables. Cash flows from investing activities Cash flows from investing activities decreased by 2,346 million yen, compared with a decrease of 1,180 million yen in the same period of the previous year. This was primarily due to the disbursement of loans granted and purchases of intangible fixed assets and shares in affiliated companies. Cash flows from financing activities Cash flows from financing activities increased by 34,468 million yen, compared with a decrease of 24,907 million yen in the same period of the previous fiscal year. This was primarily due to a net increase in short- term loans, despite cash dividends paid and dividends paid to non-controlling shareholders. (3) Consolidated Earnings Forecasts and Other Forward-Looking Statements Regarding the outlook, in the Semiconductor Business, demand for AI-related infrastructure is expected to drive the market, and semiconductor demand is forecast to remain robust across a wide range of markets. In the Cybersecurity Business, new security demand driven by AI is also on the rise; the endpoint security market remains robust, and demand for cybersecurity is expected to increase further both domestically and internationally. In the CPS Solutions Business, in the Smart City/Mobility field, autonomous driving is designated as a product and technology in the Japanese government's “17 Strategic Fields”, with autonomous buses expected to proliferate in the years ahead. However, in addition to the continued investment phase in the business development of the autonomous bus, sales plans have been revised in light of changes in the overseas business environment, and some projects have ended owing to customers discontinuing vehicle development. As a result, net sales and income for this business in the second half are expected to fall short of the initial plan. In light of this business environment, we have revised the full -year consolidated earnings forecast for the fiscal year ending March 31, 2027, as set out in the 'Consolidated Financial Results for the Fiscal Year ended March 31, 2026 [Japanese GAAP]' published on May 11, 2026. For further details, please refer to the 'Notice Regarding Revisions to the Full-year Consolidated Earnings Forecast for the Fiscal Year ending March 31, 2027, Dividends from Retained Earnings (Interim Dividend) and Year -end Dividend Forecast (Dividend Increase)', published today. The underlying exchange rate assumption is 1 US$ = 158 yen. While vigorously advancing the initiatives set out in our Medium-term Management Plan (FY2025–2027), which targets the end of FY2027, we will place great importance on dialogue with our suppliers and customers, respond agilely to changes in the external environment, and strive to enhance our corporate value over the medium- to long-term.
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 6 2026 2026 2. Consolidated Interim Financial Statements and Major Notes (1) Consolidated Interim Balance Sheet (Millions of yen) As of March 31, As of September 30, ASSETS Current assets Cash and deposits 54,388 53,206 Notes, accounts receivable and contract assets 268,665 360,922 Electronically recorded receivables 25,157 16,809 Product 263,912 305,230 Other 56,708 72,790 Allowance for doubtful accounts △959 △1,104 Total current assets 667,872 807,854 Fixed assets Tangible fixed assets Buildings and structures, net 2,284 2,211 Tools, furniture and fixtures, net 1,770 1,783 Machinery, equipment and vehicles, net 638 633 Land 3,067 3,067 Other, net 1,712 1,729 Total tangible fixed assets 9,474 9,424 Intangible fixed assets Goodwill 105 89 Other 5,931 4,835 Total intangible fixed assets 6,037 4,925 Investments and other assets Investment securities 8,121 9,077 Other 9,434 9,056 Allowance for doubtful accounts △52 △51 Investments and other assets 17,503 18,083 Total fixed assets 33,015 32,433 Total Assets 700,887 840,288
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 7 2026 2026 (Millions of yen) As of March 31, As of September 30, LIABILITIES Current liabilities Notes & accounts payable 225,254 261,679 Short-term loans payable 75,786 115,905 Accrued income taxes 5,186 10,151 Accrued bonuses 7,479 8,710 Provision for directors' bonuses 36 29 Other current liabilities 95,825 135,705 Total current liabilities 409,570 532,182 Long-term liabilities Liability for retirement benefits 417 408 Other long-term liabilities 1,782 1,833 Total long-term liabilities 2,200 2,241 Total liabilities 411,771 534,423 NET ASSETS Shareholders’ Equity Paid-in capital 14,040 14,040 Additional paid-in capital 30,654 30,774 Retained earnings 197,678 213,707 Treasury share △1,030 △843 Total shareholders' equity 241,342 257,678 Other Comprehensive Income Unrealized holding gains on securities 788 1,087 Gain (loss) on deferred hedge △627 265 Translation adjustments 37,428 34,544 Total comprehensive income 37,589 35,896 Non-controlling interests 10,183 12,290 Total net assets 289,115 305,865 Total Liabilities & Net Assets 700,887 840,288
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 8 September 30, 2025 September 30, 2026 (2) Consolidated Interim Statements of Income and Comprehensive Income Consolidated Interim Statement of Income (Millions of yen) Six months ended Six months ended Net sales 575,435 831,293 Cost of sales 515,561 747,001 Gross profit 59,873 84,292 Selling, general & administrative expenses 42,367 50,773 Operating income 17,506 33,518 Non-operating income Interest income 212 178 Dividend income 221 160 Equity in net gain of affiliates 11 － Foreign exchange gains － 253 Insurance proceeds 488 28 Gain on reversal of product compensation expenses － 500 Other 582 544 Total non-operating income 1,517 1,666 Non-operating expenses Interest expense 1,030 2,119 Equity in net loss of affiliates － 16 Foreign exchange losses 2,542 － Loss on transfer of receivables 215 225 Other 506 72 Total non-operating expenses 4,294 2,433 Ordinary income 14,728 32,751 Extraordinary income Proceeds from sale of investment securities 170 25 Other 6 7 Total extraordinary income 177 33 Extraordinary losses Loss on retirement of fixed assets 102 11 Loss on valuation of investment securities 36 15 Loss on valuation of shares of subsidiaries and associates － 15 Other 4 2 Total extraordinary losses 143 46 Interim income before income taxes 14,762 32,737 Corporate, inhabitant and enterprise taxes 4,062 8,938 Total corporate tax 4,062 8,938 Net interim income 10,700 23,799 Net interim income (loss) attributable to non-controlling interests △321 1,520 Net interim income attributable to owners of parent 11,021 22,278
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 9 September 30, 2025 September 30, 2026 Consolidated Interim Statement of Comprehensive Income (Millions of yen) Six months ended Six months ended Net interim income 10,700 23,799 Other comprehensive income Unrealized holding gains on securities 862 273 Gain (loss) on deferred hedge △322 892 Translation adjustments 3,208 △3,021 Other comprehensive income of entities under equity method △10 △13 Total comprehensive income 3,739 △1,868 Comprehensive interim income 14,440 21,930 (Breakdown of comprehensive income) Comprehensive interim income attributable to owners of parent 14,049 20,585 Comprehensive interim income attributable to non-controlling interests 390 1,344
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 10 September 30, 2025 September 30, 2026 (3) Consolidated Interim Statements of Cash Flow (Millions of yen) Six months ended Six months ended Operating Activities Interim income before income taxes 14,762 32,737 Depreciation and amortization 2,116 2,151 Interest and dividend income △434 △339 Interest expense 1,030 2,119 Insurance proceeds △488 △28 Equity in net loss (gain) of affiliates △11 16 Loss (gain) on translation 504 △47 Loss on retirement of non-current assets 102 11 Proceeds from sale of investment securities △170 △25 Loss on valuation of investment securities 36 15 Loss on valuation of shares of subsidiaries and associates － 15 Change in notes and accounts receivable △38,757 △88,309 Change in inventories 11,854 △43,624 Changes in trade payable 30,770 39,031 Other 3,591 29,455 Sub-total 24,907 △26,819 Interest and dividends received 451 333 Interest paid △985 △2,001 Proceeds from insurance income 488 28 Corporate tax payment △1,247 △4,110 Net cash provided by (used in) operating activities 23,614 △32,569 Investing Activities Proceeds from withdrawal of time deposits 67 17 Disbursement of loans △729 △865 Proceeds from collection of loans 623 631 Purchases of property and equipment △697 △647 Proceeds from sales of property and equipment 0 13 Purchases of intangible assets △652 △802 Purchases of investment securities △37 － Proceeds from sales of investment securities 247 65 Purchase of shares of subsidiaries and associates － △827 Proceeds from sales of shares of subsidiaries and associates － 0 Other △1 69 Net cash provided by (used in) investing activities △1,180 △2,346
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 11 September 30, 2025 September 30, 2026 (Millions of yen) Six months ended Six months ended Financing Activities Change in short-term loans △17,346 41,132 Proceeds from share issuance to non-controlling shareholders － 762 Purchase of treasury shares △0 △0 Cash dividends paid △6,241 △6,252 Dividends paid to non-controlling interests △936 △769 Other △382 △404 Net cash provided by (used in) financing activities △24,907 34,468 Translation adjustments on cash and cash equivalents 241 △715 Net increase (decrease) in cash and cash equivalents △2,231 △1,163 Cash and cash equivalents at the beginning of the year 48,452 54,370 Cash and cash equivalents at end of the interim period 46,221 53,206 (4) Notes to Consolidated Interim Financial Statements Notes on going concern assumptions Not applicable. Notes on significant changes in shareholders' equity Not applicable. Application of accounting procedures specific to the interim consolidated financial statements Tax expenses The Company adopted a procedure for reasonably estimating the effective tax rate after applying tax effect accounting to income before taxes for the consolidated fiscal year, including the current consolidated interim period, and multiplying interim income before income taxes by the estimated effective tax rate.
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 12 Segment information 1. Previous Consolidated Interim Period (April 1 – September 30, 2025) (1) Sales and profit (loss) by reportable segment (Millions of yen) Reportable segment Other Total Semiconductor Business Cybersecurity Business CPS Solutions Business Sub-total Sales 1) Sales to external customers 491,552 80,651 3,230 575,435 － 575,435 2) Internal sales, segment transfers － 54 － 54 － 54 Total 491,552 80,705 3,230 575,489 － 575,489 Operating income (loss) by segment 13,474 7,759 △3,728 17,505 － 17,505 (2) Income (loss) by reportable segment & consolidated interim statements of income ( Reconciliation) (Millions of yen) Income Amount Total segment income 17,505 Elimination of intersegment income 0 Operating income in the consolidated interim statement of income 17,506 (3) Impairment losses on fixed assets, information concerning goodwill by reportable segmen t Not applicable 2. Current Consolidated Interim Period (April 1 – September 30, 2026) (1) Sales and profit (loss) by reportable segment (Millions of yen) Reportable segment Other Total Semiconductor Business Cybersecurity Business CPS Solutions Business Sub-total Sales 1) Sales to external customers 721,339 105,887 4,066 831,293 － 831,293 2) Internal sales, segment transfers － － － － － － Total 721,339 105,887 4,066 831,293 － 831,293 Operating income (loss) by segment 29,258 8,907 △4,647 33,517 － 33,517 (2) Income (loss) by reportable segment & consolidated interim statements of income (reconciliation) (Millions of yen) Income Amount Total segment income 33,517 Elimination of intersegment income 0 Operating income in the consolidated interim statement of income 33,518
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Macnica Holdings, Inc. (3132) Financial Results for the Six Months Ended September 30, 2026 13 (3) Impairment losses on fixed assets, information concerning goodwill by reportable segment Not applicable (4) Changes in reportable segments The Group ha d previously reported two segments, namely the "ICs, Electronic Devices and Other Business" segment and the "Cybersecurity and Other IT Solutions Business" segment. However, effective this fiscal year, following a review of the business performance and management structure accompanying the expansion of the CPS (Cyber -Physical System) Solutions business, it became possible to capture independent financial information for that business, and the Company has therefore decided to classify “CPS Solutions Business” as an independent reportable segment. In conjunction with this change, the "ICs, Electronic Devices and Other Business" segment will be renamed as the "Semiconductor Business," and the "Cybersecurity and Other IT Solutions Business" segment will be renamed as the "Cybersecurity Business." Segment information for the previous interim consolidated fiscal period is stated based on figures prepared under the classification method after the change. Subsequent events The Company hereby announces that, at the Board of Directors meeting held today, we resolved the following matters related to the acquisition of treasury shares, pursuant to Article 156 of the Companies Act, which is applied pursuant to Article 165, Paragraph 3 of the same Act. 1. Reason for purchase of treasury shares Our basic policy is to secure the internal reserve necessary for future business development and the further enhancement and strengthening of our corporate structure while returning maximal profit to our shareholders, and to strive for continued stable div idends while taking account of various circumstances. Under our Medium-Term Management Plan (FY2025~2027), we aim to achieve a total payout ratio of 40 –50%. This will be achieved by paying stable and continuous dividends based on a target consolidated dividend on equity ratio (DOE: 5%), while implementing flexible share buy-backs that account for capital efficiency and market conditions. Taking current performance trends and financial conditions into account and based on the shareholder returns policy set forth in the Medium -Term Management Plan, we have decided to implement an acquisition of treasury shares. 2. Details of purchase (1) Class of shares to be purchased: Common shares of the Company (2) Total number of shares to be purchased: 1,600,000 shares (maximum) (Ratio to the total number of issued shares excluding treasury shares: 0.89％) (3) Total purchase price of shares: ¥5,000,000,000 (maximum) (4) Purchase period: November 4, 2026, through December 21, 2026 (5) Purchase method: Market purchase on the Tokyo Stock Exchange