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pci Financial Results for the Three Months Ended June 30 , 2026 Copyright PCI Holdings , INC . PCI Holdings , INC . ( TSE Standard Market : 3918 ) August 7 , 2026
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1 Copyright PCI Holdings, INC. Q1 FY3/2027 Financial Highlights ◼ Net sales came in at 6,538 million yen and operating profit at 187 million yen, with revenue and profit falling year-on-year due to the drop of last year's high-margin large projects. Net sales : 6,538 million yen （YoY-1.1％） Operating profit : 187 million yen （YoY-43.9％） Actual Results Operating profit margin : 2.9％ （YoY-2.2ppt） : 85 million yen （YoY-63.5%） Quarterly Net profit attributable to owners of the parent
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2 Copyright PCI Holdings, INC. Contents 1．PCI Group Business Introduction 2. Major Releases 3．Q1 FY3/2027 Consolidated Financial Results 4．Shareholder Returns (Reference) About the PCI Group
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3 Copyright PCI Holdings, INC. PCI Group Business Introduction
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4 Copyright PCI Holdings, INC. Providing software technology solutions for challenges across a wide range of industries, including social infrastructure (finance, logistics, healthcare) and sectors like automotive, telecommunications, manufacturing, and government/public agencies. In recent years, driven by the growth of SDV¹ in the mobility sector, we are particularly focused on promoting the development of AD/ADAS² using platforms such as AUTOSAR³. Designing, developing, and selling hardware products and devices for specific industries, including embedded PCs and edge computers for the medical, printing, and retail sectors, as well as semiconductor design, testing, and LSI turnkey services. Solving challenges across a broad range of fields by providing comprehensive ICT consulting services, which include AI implementation, cloud integration, and the development of IoT platforms. Engineering Business Products/Devices Business ICT Solutions Business ※1 SDV (Software Defined Vehicle): The concept of a vehicle whose functions and features are defined and controlled by software, enabling performance to be enhanced through updates even after purchase. ※2 AD/ADAS (Autonomous Driving/Advanced Driver-Assistance Systems):Systems that support driver safety and convenience, such as autonomous driving (AD) and advanced driver-assistance systems (ADAS). ※3 AUTOSAR (AUTomotive Open System Architecture): A standardized platform specification aimed at improving the efficiency of software development in the automotive industry and standardizing the development of in-vehicle software. PCI Group Business Introduction
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5 Copyright PCI Holdings, INC. Major Releases
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6 Copyright PCI Holdings, INC. Release Date Classification Description 2026, April/1 Other Merged with NSR Co., Ltd., with PCI Solutions INC. as the surviving company. April/1 Other PCI Group Introduces Work-Nursing Care Balance Support Service. April/7 PR SORD Corporation exhibited Embedded PC "SR-s350" at JUMBO BIKKURI FAIR 2026. May/14 Timely Disclosure Notice Regarding Financial Results for the Fiscal Year Ended March 2026, Briefing Materials, and Revision (Increase) of Dividend Forecast. May/14 Timely Disclosure Notice Concerning Agreement with Controlling Shareholder Restar Corporation and Change in Consolidated Subsidiary (Transition to an Equity-Method Affiliate) May/20 Timely Disclosure Notice Concerning Dividend of Surplus, Notice Regarding Amendments to Articles of Incorporation (Changes to Trade Name and Business Purposes) May/20 Timely Disclosure Notice Concerning Change of Representative Director and Election of Director Candidates, Notice Regarding Change of Accounting Auditor. May/20 Timely Disclosure Notice Regarding Decision on Basic Policy for Transition from Pure Holding Company to Operating Holding Company via Merger with Consolidated Subsidiary. May/25 PR PCI Solutions INC. Launched "Voice AI Agent Implementation Support Service for Amazon Connect“. May/27 PR PCI Solutions INC. Exhibited "ExaGrid" at Interop Tokyo 2026. Jun/1 PR PCI Solutions INC. Exhibited at "AWS Summit Japan 2026" Held at Makuhari Messe Jun/12 IR SESSA Partners issued a sponsored research report on PCI Holdings. Jun/29 Other PCI Solutions INC. Employees Selected as "2026 Japan AWS All Certifications Engineers" and "2026 Japan AWS Jr. Champions" Q1 FY3/2027 Major Releases
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7 Copyright PCI Holdings, INC. Q1 FY3/2027 Financial Results
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8 Copyright PCI Holdings, INC. Q1 FY3/2027 Financial Results ◼ Net sales were flat year-on-year, while operating profit declined significantly. (Unit: million yen) ①Apr–Jun 2025 ②Apr–Jun 2026 Change (②‐①) YoY Change (%) Net sales 6,614 6,538 -75 -1.1% Gross profit 1,607 1,477 -129 -8.1% Gross profit margin 24.3% 22.6% -1.7p － SG&A expenses 1,273 1,290 +16 +1.3% Operating profit 334 187 -146 -43.9% Operating profit margin 5.1% 2.9% -2.2p － Ordinary income 337 166 -170 -50.7% Quarterly Net profit attributable to owners of the parent 234 85 -149 -63.5% EBITDA 416 271 -144 -34.8% EBITDA margin 6.3％ 4.2% -2.1p －
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9 Copyright PCI Holdings, INC. Three-Year Comparison for Q1 FY3/27 ◼ Net sales remained flat year-on-year, but operating profit declined significantly due to the drop-off of last year's high-margin, large-scale projects. 6,283 5,904 331 6,538 Apr–Jun 2024 Apr–Jun 2025 Apr–Jun 2026 6,614 Impact of Large-Scale Projects (Unit: million yen) (Unit: million yen) 113 210 187 124 Apr–Jun 2024 Apr–Jun 2025 Apr–Jun 2026 Net sales Operating profit -75 (-1.1％) 334Impact of Large-Scale Projects -146 (-43.9％)
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10 Copyright PCI Holdings, INC. Financial Results by Business Segments (Unit: million yen) FY3/27 Q1 Net sales FY3/27 Q1 Gross Profit (Profit Margin) FY3/27 Q1 Segment Profit (Profit Margin)YoY YoY YoY Engineering Business Segment 3,488 +26 (+0.8%) 814 (23.3%) +18 (+2.3%) 169 (4.9%) -47 (-21.8%) Product/Device Business Segment 2,305 +361 (+18.6%) 420 (18.2%) -7 (-1.7%) 110 (4.8%) +0 (+0.5%) ICT Solutions Business Segment 812 -424 (-34.3%) 268 (33.0%) -140 (-34.4%) 99 (12.3%) -103 (-51.0%) Consolidated Financial Results 6,538 -75 (-1.1%) 1,477 (22.6%) -129 (-8.1%) 187 (2.9%) -146 (-43.9%) Stable Core Businesses ◼ Engineering ◼ Product/Device ◼ ICT Solution Growth Drivers ： Operating profit declined as the mobility sector remained weak and gross profit growth was insufficient to absorb SG&A expenses. ： Net sales grew, but profit remained flat year - on - year, as cost increases for memory and other components since last year could not be passed on or absorbed in time. ： Cloud and AI remained solid, but revenue and profit fell sharply due to the drop - off of last year’s high - margin large projects.
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11 Copyright PCI Holdings, INC. Analysis of Year-on-Year Change in Operating Profit ◼ Operating profit dropped by 146 million yen (down 43.9% year - on - year), impacted by the decrease in gross profit. ◼ Continued strategic investments in personnel and R&D expenses. (Unit: million yen) Apr–Jun 2025 Apr–Jun 2026 334 -129 +24 -5-15 187 -21 Operating profit -146 (-43.9％) Gross profit decrease R&D expenses Personnel expenses Recruiting and training expenses Other SG&A expenses
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12 Copyright PCI Holdings, INC. (Unit: million yen) FY3/2026 FY3/2027 Q1 Current assets 12,396 10,987 Cash and deposits 4,606 3,884 Trade receivables 5,307 4,055 Other 2,482 3,048 Non-current assets 3,627 3,739 Property, plant and equipment 806 748 Goodwill 1,326 1,280 Other 1,495 1,711 Total assets 16,023 14,727 (Unit: million yen) FY3/2026 FY3/2027 Q1 Current liabilities 4,938 4,431 Trade payables 2,016 2,155 Borrowings and bonds payable 101 86 Other 2,821 2,190 Non-current liabilities 895 839 Borrowings 214 196 Retirement benefit liabilities 139 109 Other 542 534 Total liabilities 5,834 5,271 Total net assets 10,189 9,456 Total liabilities and net assets 16,023 14,727 ◼ Total assets stood at 14,727 million yen, down 1,295 million yen from the end of FY3/26, mainly due to making PRIVATECH Inc. an equity - method affiliate. ◼ Total liabilities came to 5,271 million yen, down 563 million yen from the end of FY3/26. ◼ Net assets came to 9,456 million yen, down 732 million yen from the end of FY3/26 (dividends paid were 377 million yen, and non - controlling interests decreased by 429 million yen). The equity ratio was 64.1% (shareholders' equity: 9,434 million yen). (Reference) Consolidated Balance Sheet
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13 Copyright PCI Holdings, INC. Shareholder Returns
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14 Copyright PCI Holdings, INC. Shareholder Returns ◼ Shareholder Return Policy: Aiming for a total payout ratio of 50% or more, combining stable, continuous dividends with flexible share buybacks. ◼ FY3/27 Dividend Forecast: 58 yen per annum (Interim: 20 yen / Year-end: 38 yen) Note: Considering flexible share buybacks and/or cancellations of treasury stock as appropriate. 14※Due to the irregular six-month fiscal year ending March 2025, no interim dividend will be paid. 40.7% 48.5% 33.0% 79.0% 50.6% 50.0% 50.1% 15 15 16 17 19 20 16 16 17 18 25 38 3810 FY9/21 FY9/22 FY9/23 FY9/24 FY3/25 FY3/26 FY3/27(Target) 200 million 58 Target 31 45 25 57 Half-year results31 33 Target 50.0％ or more
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15 Copyright PCI Holdings, INC. Company Profile
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16 Copyright PCI Holdings, INC. PCI Holdings, INC. 16 We pursue the happiness of all our employees through customer satisfaction, and contribution to the development of society. Corporate Philosophy Corporate Name PCI Holdings, Inc. Capital 2,091 million yen Established April 2005 Net sales (Consolidated) 26,835 million yen (FY3/2026 results) Listing Tokyo Stock Exchange Standard Market (Securities code: 3918) Operating profit (Consolidated) 1,558 million yen (FY3/2026 results) Location 1-21-19 Toranomon, Minato-ku, Tokyo, 105-0001 No. of employees (Consolidated) 1,647 (As of March 31, 2026) Representatives Atsushi Watanabe, President Major Group Companies PCI Solutions INC. SORD CORPORATION PRIVATECH Inc. (Made an equity-method affiliate as of June 30, 2026) The meaning of PCI Positively, Change, Innovate
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17 Copyright PCI Holdings, INC. Optimization of Group Management Structure 50% PRIVATECH Semiconductor solutions Software and hardware development FPGA development SORD Embedded PC sales, design, manufacturing, and maintenance services PCI Solutions Embedded development, financial systems, IoT solutions, IT infrastructure building, sales and maintenance of mainframe PCI Holdings ・Group company integration ・Corporate action planning and promotion ・Internal control and internal auditing of the entire group ・Centralized management of finance, accounting, procurement of funds, etc. Restar Capital and business alliances 100% 100% (TSE Prime Market:3156) 51.1% Institute of PCI Solutions Research on Information Technology PJS Software development System integration NSR Software development 50% Absorption Merger Made into an equity-method affiliate ◼ Absorption Merger of NSR Co., Ltd. into PCI Solutions Inc. (Effective April 1, 2026) ◼ Privatech became an equity - method affiliate of the Company (as of June 30, 2026).
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18 Copyright PCI Holdings, INC. Operating Companies and Description PCI Solutions ・Software engineering company that provides technical capabilities for any industry or field ・Particularly strong in embedded systems development Engineering Business Product/ Device Business ICT Solutions Business ・System engineering company with strengths in semiconductor design and testing technologies ・Testing house located near the Tokyo metropolitan area - Embedded software development (Manufacturers: mainly for automotive, telecommunications, information appliances, etc.) - Enterprise software development (System integrators: mainly for finance, distribution, manufacturing, government, etc.) - Kitting services (System integrators and manufacturers: mainly for medical, retail, etc.) - Call center services (Manufacturers: PC help desk, etc.) - ODM services (IoT solutions) - SI services (Solutions using AI) - Design and testing of semiconductors (For semiconductor manufacturers) - LSI turnkey service (For electronic device manufacturers) - Solutions using AI - Cloud service Integration - Development of embedded computers (Manufacturers: for medical equipment, printing machines, etc.) - Computer development for edge computing (System integrators: for medical, retail, etc.) PRIVATECH IT services meeting customer requirements and specifications across a wide range of industries Design, development, and sales of hardware products and devices for specific industries Problem solving through consulting and services that utilize ICT in a wide range of fields – – – Mutual collaboration by topic and by project ・The first PC manufacturer in Japan ・50 years in business and highly reliable technology ・Embedded PC manufacturer SORD Made an equity-method affiliate as of June 30, 2026
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19 Copyright PCI Holdings, INC. Executive Structure and Office Location Position Name Career, etc. President & Representative Director Atsushi Watanabe Executive Officer, General Manager of Cloud Business Division, CSK Company, SCSK Corporation Senior Executive Officer, Officer in Charge of DX Business Promotion, SCSK Corporation Senior Managing Executive Officer, SCSK Corporation President and Representative Director, SCSK ServiceWare Corporation Executive Officer in Charge of IT & SIer Business, Restar Corporation Senior Managing Director Kensaku Morishita Division Manager, Integrated Product Strategy Division, Fujitsu Ltd. Executive Officer & Division Manager, Fujitsu Marketing Ltd. President & Representative Director, Fujitsu Coworco Ltd. Director Naohiro Iguchi General Manager, Corporate Planning Office, Profit Cube Inc. Director & General Manager PCI Holdings, INC. Director Kazuya Sugizono General Manager, Finance & Accounting Office, Profit Cube Inc. Executive Officer & General Manager, Finance & Accounting PCI Holdings, INC. Director Yoshiaki Numata Executive Officer, PCI Solutions, Inc. Director & Executive Officer, PCI Solutions, Inc. President & Representative Director, PCI Solutions, Inc. Outside Director Yuji Sakakura Nissho Iwai Corporation (now Sojitz Corporation)General Manager, Financial Markets Department GCA Corporation (now Houlihan Lokey, Inc.)Director and CFO (Chief Financial Officer) SWCC SHOWA HOLDINGS CO., LTD. (now SWCC Corporation)June 2020 - Present: Outside Director, Audit and Supervisory Committee Member Director (Full-time Member of A&S Committee) , PCI Holdings, INC. Director (Full-time Member of A&S Committee) Hiroyuki Nakamura Managing Director, Advanced Technology & Management Japan, Ltd President & Representative Director, ATM Japan Business Services, Ltd. Full-time Auditor, SocioFuture Ltd Outside Director, PCI Holdings, INC. Outside Director (Member of A&S Committee) Shinnosuke Maki Representative, Maki Shinnosuke Certified Public Accountant Office President & Representative Director, MSPG Consulting Outside Auditor, EM Systems Co. Ltd. Auditor, Kagoshima Professional Sports Project Outside Director (Member of A&S Committee) Yasufumi Sakurai Partner, Harumi Partners Law Firm Outside Director (Member of A&S Committee), TriIs Inc. Representative, Org. for Promotion of Sports & Compliance Education Outside Director (Member of A&S Committee) Hiroyuki Okayama Managing Executive Officer, Nippon Steel & Sumikin Bussan Corporation (currently NIPPON STEEL TRADING CORPORATION) Managing Executive Officer, NIPPON STEEL TRADING CORPORATION Advisor, NIPPON STEEL TRADING CORPORATION Tokyo (Headquarters: Toranomon) Osaka Nagoya Kanagawa Chiba★ ● ● ●●
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20 Copyright PCI Holdings, INC. Disclaimer No information in this material is intended as a solicitation to buy or sell our stock. The forecasts and other forward-looking statements contained in this material are based on the information available to us at the time the material was prepared and involve potential risks and uncertainties. Therefore, please be aware that, due to various factors, actual results may differ materially from those projected in the forward -looking statements. In the event that you suffer any loss or damage based on this information, neither our Company nor the information providers shall be liable for any loss or damage. Contact information: Group Strategy and IR Section, PCI Holdings, INC. E-mail : ir@pci-h.co.jp
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Copyright PCI Holdings, INC. Positively, Change, Innovate