Interim report
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Translation Notice : This document is an excerpt translation of the original Japanese document and is only for reference purposes . In the event of any discrepancy between this translated document and the original Japanese document , the latter shall prevail . Summary of Consolidated Financial Results for the Six Months Ended June 30 , 2026 ( Based on Japanese GAAP ) August 5 , 2026 Company name : Stock code : Stock exchange listing : BASE , Inc. Tokyo 4477 URL https://binc.jp/en Representative : Inquiries : Representative Director , Senior Executive Officer and CEO Director , Senior Executive Officer and CFO Yuta Tsuruoka Ken Harada TEL 03 ( 6441 ) 2075 Scheduled date to file Quarterly Securities Report : August 5 , 2026 Scheduled date to commence dividend payments : Preparation of supplementary material on quarterly financial results : Holding of quarterly financial results meeting : Yes Yes 1. Consolidated financial results for the Six months ended June 30 , 2026 ( from January 1 , 2026 to June 30 , 2026 ) ( 1 ) Consolidated operating results ( cumulative ) Net sales EBITDA Six months ended June 30 , 2026 Millions of yen 12,388 % 35.5 Millions of yen 1,179 % Operating profit Millions of yen % Millions of yen 105.1 1,068 87.3 919 ( for institutional investors and analysts ) ( Amounts of less than one million yen are rounded down ) ( % indicates changes from the previous corresponding period ) Profit attributable to Ordinary profit owners of parent Millions of yen % 815 82.3 % 58.7 Six months ended June 30 , 9,144 36.7 575 12.8 570 12.2 579 12.5 446 ( 1.0 ) 2025 ( Note ) Comprehensive Income ( millions of yen ) Six months ended June 30 , 2026 : 800 ( 62.1 % ) Six months ended June 30 , 2025 : 493 ( 7.9 % ) Earnings per share Diluted earnings per share Six months ended June 30 , 2026 Six months ended June 30 , 2025 Yen 7.08 3.88 Yen 7.04 3.81 ( Notes ) EBITDA = ( Operating profit + Depreciation + Amortization of Goodwill ) ( 2 ) Consolidated financial position Total assets Net assets Equity ratio Millions of yen Millions of yen 15,441 15,119 % 28.4 25.3 As of June 30 , 2026 As of December 31 , 2025 52,130 57,803 ( Reference ) Equity ( millions of yen ) As of June 30 , 2026 : 14,804 As of December 31 , 2025 : 14,601 2. Cash dividends Year ended December 31 , 2025 Year ending December 31 , 2026 Year ending December 31 , 2026 ( Forecast ) 1st quarter - end 2nd quarter - end Yen ( Note ) Revisions to most recent dividend forecast : None Yen 0.00 0.00 Annual dividends per share 3rd quarter - end Fiscal year - end Total Yen Yen Yen 5.00 5.00 5.00 5.00 3. Forecast of consolidated financial results for the fiscal year ending December 31 , 2026 ( from January 1 , 2026 to December 31 , 2026 ) ( % indicates changes from the previous fiscal year ) Profit attributable to Net sales EBITDA Operating profit Ordinary profit Earnings per share Full year Millions of yen 28,371 % 36.9 Millions of yen 2,457 % 40.5 Millions of yen 2,270 % 34.6 Millions of yen 2,029 % owners of parent Millions of yen % Yen 23.4 1,497 ( 17.9 ) 13.01 ( Note ) Revisions to most recent consolidated results forecast : None 2 EBITDA = ( Operating profit + Depreciation + Amortization of Goodwill )
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4. Notes (1) Changes in significant subsidiaries during the Six months ended June 30, 2026 Yes (changes in specified subsidiaries resulting in the change in scope of consolidation): New: – ( Port Inc. ), Exclusion: – ( ) (2) Application of special accounting methods for preparing quarterly consolidated financial statements: No (3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements Changes in accounting policies due to revisions to accounting standards and other regulations: No Changes in accounting policies due to other reasons: No Changes in accounting estimates: No Restatement of prior period financial statements: No (4) Number of issued shares (common shares) Total number of issued shares at the end of the period (including treasury shares) As of June 30, 2026 117,931,657 shares As of December 31, 2025 117,847,657 shares Number of treasury shares at the end of the period As of June 30, 2026 2,774,285 shares As of December 31, 2025 2,751,336 shares Average number of shares during the period (cumulative from the beginning of the fiscal year) Six months ended June 30, 2026 115,149,256 shares Six months ended June 30, 2025 115,117,083 shares *The summary of quarterly financial results are not subject to a quarterly review by a certified public accountant or an auditing firm. *Explanation on the appropriate use of business forecasts and other special matters (Notice regarding forward-looking statements, etc.) Forward-looking statements or projections contained in this document are based on information that the Company has at the present time and certain premises that the Company deems reasonable. Such forward-looking statements are not intended to represent a commitment on the part of the Company to achieve them. Also, actual results may differ significantly due to various factors. Please see the "1. Qualitative information on results for the Six months ended June 30, 2026 (3) Overview of forecast of operating results including consolidated financial results" on page 4 of the attached document for the conditions that form the basis of earnings forecasts and cautions for using earnings forecasts. (Access to supplementary information on the financial results and explanation on a financial result briefing) The Company is scheduled to hold a financial result briefing for institutional investors and analysts on Wednesday, August 5, 2026. Relevant briefing information is scheduled to be disclosed on our website.
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－ 1 － Contents of Appendix 1. Qualitative information on results for the six months ended June 30, 2026…............................................................................................. 2 (1) Overview of operating results…............................................................................................................................................................... 2 (2) Overview of financial position….............................................................................................................................................................. 3 (3) Overview of forecast of operating results including consolidated financial results …............................................................................. 4 2. Quarterly consolidated financial statements and main noted items…........................................................................................................... 5 (1) Quarterly consolidated balance sheets…................................................................................................................................................... 5 (2) Quarterly consolidated statements of income and comprehensive income.............................................................................................. 7 (3) Quarterly consolidated statement of cash flows....................................................................................................................................... 9 (4) Notes on quarterly consolidated financial statements............................................................................................................................... 11 (Notes regarding going concern assumptions)............................................................................................................................................ 11 (Notes on significant changes in amounts of shareholders’ equity) ........................................................................................................... 11 (Additional Information) ........................................................................................................................................................................... 11 (Segment information etc.).......................................................................................................................................................................... 12 (Business combinations) ............................................................................................................................................................................ 13 (Significant subsequent events)................................................................................................................................................................... 14
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－ 2 － 1. Qualitative information on results for the Six months ended June 30, 2026 (1) Overview of operating results According to the “FY2024 Survey on Electronic Commerce” conducted by Japan’s Ministry of Economy, Trade and Industry, the domestic BtoC e-commerce market continues to expand. While the goods category has remained firm, the service category has driven overall market growth, and we recognize that the business environment surrounding the Group remains stable. In this business environment, the BASE Business working to grow net sales and gross profit through stable growth in Gross Merchandise Volume (GMV) and an improved take rate. We also continue to implement marketing initiatives to increase the number of new shop openings. In the PAY.JP Business, we working to increase the number of new merchants by strengthening product development as well as sales and marketing. We also aim to grow net sales and gross profit by facilitating the adoption of PAY.JP among E‑Store Shopserve merchants. In the YELL BANK Business, we are working to grow net sales and gross profit by expanding the total amount of purchased receivables through the enhancement of product functionality and the strengthening of a sound operating base. In the want.jp Business, we are working to grow net sales and gross profit by increasing cross‑border EC transaction volume for “BASE” shops through the provision of “Kantan Kaigai Hanbai” (Easy Overseas Shipping), a cross‑border EC feature co‑developed with the BASE Business. In the E‑Store Shopserve Business, we are working to achieve stable top‑line growth by strengthening our consulting and solution provision capabilities. Additionally, we are working to improve the gross profit margin by migrating payment processing to PAY.JP and reducing payment costs. As a result, for the six months ended June 30, 2026, the BASE Group recorded net sales of ¥12,388 million (+35.5% YoY), gross profit of ¥6,395 million (+53.4% YoY), EBITDA (Note 1) of ¥1,179 million (+105.1% YoY), operating profit of ¥1,068 million (+87.3% YoY), ordinary profit of ¥919 million (+58.7% YoY), and profit attributable to owners of parent of ¥815 million (+82.3% YoY). (Note 1) EBITDA = (operating profit + depreciation and amortization + amortization of goodwill) The business results by segment are as follows. A) BASE Business During the six months ended June 30, 2026, the GMV of the BASE Business increased year on year, driven by growth in both the number of monthly active shops and average monthly GMV per shop. As a result, the GMV for the six months ended June 30, 2026, totaled ¥85,373 million on an order basis and ¥82,948 million on a payment basis (+6.0% on an order basis and +6.9% on a payment basis year on year), net sales were ¥5,819 million (+17.8% YoY), gross profit was ¥3,772 million(+25.3% YoY), and segment profit was ¥883 million (+48.9% YoY). B) PAY.JP Business During the six months ended June 30, 2026, the GMV of the PAY.JP Business increased year on year. As a result, the GMV for the six months ended June 30, 2026, totaled ¥118,185 million (+6.3% YoY), net sales were ¥3,252 million (+6.0% YoY), gross profit was ¥469 million (+5.9% YoY), and segment profit was ¥156 million (-7.7% YoY). C) YELL BANK Business During the six months ended June 30, 2026, in the YELL BANK Business, net sales and gross profit increased year on year, driven by the business growth of “YELL BANK,” etc. As a result, YELL BANK Business net sales for the six months ended June 30, 2026, were ¥630 million (+20.5% YoY), gross profit was ¥602 million (+20.0% YoY), and segment profit was ¥267 million (+12.0% YoY). D) want.jp Business During the six months ended June 30, 2026, due to the impact of revisions to product listings on certain marketplaces and other factors, net sales were ¥502 million (-18.8% YoY), gross profit was ¥185 million (-13.0% YoY), and segment loss was ¥10 million (compared with a segment loss of ¥13 million in the same period of the previous fiscal year). E) E‑Store Shopserve Business During the six months ended June 30, 2026, in the E‑Store Shopserve Business, net sales were ¥2,194 million, gross profit was ¥1,365 million, and segment profit was ¥175 million. In addition, as E‑Store Corporation became a consolidated subsidiary beginning with the third quarter of the previous fiscal year, the “E‑Store Shopserve Business” has been added as a reportable segment.
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－ 3 － (2) Overview of financial position (Assets) Total assets as of June 30, 2026 were ¥52,130 million, a decrease of ¥5,673 million from the end of the previous fiscal year. This was mainly due to decreases of ¥4,367 million in cash and deposits and ¥2,337 million in accounts receivable - trade, partially offset by a ¥1,020 million increase in goodwill arising from a business combination. Current assets of ¥570 million and non‑current assets of ¥15 million were also acquired through the business combination. (Liabilities) Total liabilities as of June 30, 2026 were ¥36,688 million, a decrease of ¥5,994 million from the end of the previous fiscal year. This was mainly due to decreases of ¥5,951 million in accounts payable - trade and ¥60 million in other current liabilities. Current liabilities and non‑current liabilities assumed from the business combination were ¥218 million and ¥87 million, respectively. (Net assets) Net assets as of June 30, 2026 were ¥15,441 million, an increase of ¥321 million from the end of the previous fiscal year. This was mainly due to an increase of ¥815 million in retained earnings from the recording of profit attributable to owners of parent and a decrease of ¥575 million in retained earnings from dividends of surplus. (Cash flows status) Cash and cash equivalents (hereinafter, “cash”) as of June 30, 2026 were ¥16,499 million, a decrease of ¥8,366 million from the end of the previous fiscal year. The respective statuses of cash flows during the six months ended June 30, 2026 and their contributing factors are as follows: (Cash flows from operating activities) Net cash used in operating activities amounted to ¥2,831 million (¥2,099 million used in the same period of the previous fiscal year). The main reasons for the cash increase were increases of ¥2,337 million in accounts receivable - other. The main reasons for the cash decrease were a decrease of ¥5,951 million in accounts payable – trade. (Cash flows from investing activities) Net cash used in investing activities amounted to ¥4,846 million (¥3,382 million used in the same period of the previous fiscal year). The main reasons for the cash increase were increases of ¥2,000 million in proceeds from withdrawal of time deposits. The main reasons for the cash decrease were ¥6,000 million in payments into time deposits and ¥882 million in purchase of shares of subsidiaries resulting in change in scope of consolidation. (Cash flows from financing activities) Net cash used in financing activities amounted to ¥688 million (¥1,014 million used in the same period of the previous fiscal year). The main reasons for the cash decrease were ¥114 million in repayments of long-term borrowings and ¥574 million in dividends paid.
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－ 4 － (3) Overview of forecast of operating results including consolidated financial results As part of our Medium Term Management Policies, we will continue to pursue EBITDA growth by balancing top‑line expansion with enhanced profitability through the strengthening of our existing products. In particular, we will focus on implementing AI within our products to provide new value‑added services to our customers. Furthermore, we will reinforce initiatives to create group synergies, aiming to achieve both top‑line growth and improved profit margins. In addition to these organic efforts, we will pursue inorganic growth through M&A and strategic alliances. Regarding shareholder returns, backed by our solid financial foundation, we intend to continue providing returns through dividends and the acquisition of treasury shares. Based on this approach, the management policy and consolidated earnings forecast for the fiscal year ending December 2026 are as follows. In the BASE Business, we aim for a 10% to 15% year‑on‑year increase in both net sales and gross profit. This will be driven by stable growth in GMV and an improved take rate, reflecting the full-year contribution of the monetization of the “Pay ID” app. We expect an increase in promotion expenses as we continue mass marketing to drive the number of new shop openings. In the PAY.JP Business, we target approximately 10% year‑on‑year growth in net sales and gross profit. We plan to increase the number of new merchants by expanding our payment method lineup and strengthening sales and marketing. We will also facilitate the adoption of PAY.JP among E‑Store Shopserve merchants. In the YELL BANK Business, we aim for approximately 30% year‑on‑year growth in net sales and gross profit by expanding product functionality, strengthening our operating base, and increasing the total amount of purchased receivables. In the want.jp Business, we will focus on growing net sales and gross profit by increasing cross‑border EC transaction volume for “BASE” shops through “Kantan Kaigai Hanbai” (Easy Overseas Shipping), a cross‑border EC feature co‑developed with the BASE Business. In the E‑Store Shopserve Business, we will seek stable top‑line growth by enhancing our consulting and solution delivery capabilities. Additionally, we will improve the gross profit margin by migrating card payment processing to PAY.JP to reduce payment costs. Note that following the acquisition of E‑Store Corporation in July 2025, its financial results have been consolidated starting from October 2025. Based on the above, we expect consolidated net sales to be ¥28,371 million (+36.9% YoY) and consolidated gross profit to be ¥14,070 million (+40.9% YoY). In addition, EBITDA is expected to be ¥2,457 million (+40.5% YoY) and operating profit is expected to be ¥2,270 million (+34.6% YoY). For the fiscal year ending December 31, 2026, we plan to pay a dividend of 5 yen per share (record date: December 31, 2026). In addition, we have established a 1.0 billion yen framework for the repurchase of treasury shares during this period to enable flexible shareholder returns. The impact of the consolidation of Port Inc., whose shares were acquired in April 2026, is not included in the consolidated earnings forecast for the fiscal year ending December 31, 2026, as such impact is immaterial. If any matters requiring disclosure arise in the future, we will promptly announce them.
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－ 5 － 2. Quarterly consolidated financial statements and main noted items (1) Quarterly Consolidated balance sheets (Million yen) As of December 31, 2025 As of June 30, 2026 Assets Current assets Cash and deposits 26,867 22,500 Accounts receivable - trade 22,982 20,644 Other 2,994 3,296 Allowance for doubtful accounts (519) (677) Total current assets 52,324 45,764 Non-current assets Property, plant, and equipment 170 178 Intangible assets Goodwill 1,393 2,362 Customer related intangible assets 1,183 1,149 Other 15 14 Total Intangible assets 2,591 3,527 Investments and other assets 2,716 2,660 Total non-current assets 5,478 6,365 Total assets 57,803 52,130
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－ 6 － (Million yen) As of December 31, 2025 As of June 30, 2026 Liabilities Current liabilities Accounts payable - trade 39,265 33,314 Contract liabilities 209 195 Provision for point card certificates 69 70 Other 1,766 1,706 Total current liabilities 41,311 35,286 Non-current liabilities Long-term borrowings 596 610 Other 775 792 Total non-current liabilities 1,372 1,402 Total liabilities 42,683 36,688 Net assets Shareholders’ equity Capital stock 8,847 8,848 Deposits for subscriptions of shares 0 － Capital surplus 4,655 4,655 Retained earnings 2,016 2,256 Treasury shares (999) (999) Total shareholders’ equity 14,520 14,760 Accumulated other comprehensive income Valuation difference on available-for-sale securities 81 43 Total accumulated other comprehensive income 81 43 Share acquisition rights 321 416 Non-controlling interests 196 220 Total net assets 15,119 15,441 Total liabilities and net assets 57,803 52,130
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－ 7 － (2) Quarterly Consolidated statement of income and comprehensive income Consolidated statement of income (Million yen) Six Months Ended June 30, 2025 (from January 1, 2025 to June 30, 2025) Six Months Ended June 30, 2026 (from January 1, 2026 to June 30, 2026) Net sales 9,144 12,388 Cost of sales 4,974 5,992 Gross profit 4,169 6,395 Selling, general, and administrative expenses 3,598 5,326 Operating profit 570 1,068 Non-operating income Interest income 13 43 Commission income 6 － Lecture fees and other income 4 0 Other 9 14 Total non-operating income 34 58 Non-operating expenses Interest expenses 7 8 Loss on valuation of crypto assets － 83 Share of loss of entities accounted for using equity method － 38 Commission expenses 7 65 Other 11 11 Total non-operating expenses 25 206 Ordinary profit 579 919 Extraordinary income Gain on sale of investment securities － 149 Total extraordinary income － 149 Profit before income taxes 579 1,069 Income taxes - current 123 239 Income taxes - deferred 9 (7) Total income taxes 132 231 Net Profit 446 837 Profit attributable to non-controlling interests － 22 Profit attributable to owners of parent 446 815
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－ 8 － Consolidated statement of comprehensive income (Million yen) Six Months Ended June 30, 2025 (from January 1, 2025 to June 30, 2025) Six Months Ended June 30, 2026 (from January 1, 2026 to June 30, 2026) Net profit 446 837 Other comprehensive income Valuation difference on available-for-sale securities 46 (36) Total other comprehensive income 46 (36) Comprehensive income 493 800 Comprehensive income attributable to Comprehensive income attributable to owners of parent 493 777 Comprehensive income attributable to non-controlling interests － 23
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－ 9 － (3) Consolidated statement of cash flows (Million yen) Six Months Ended June 30, 2025 (from January 1, 2025 to June 30, 2025) Six Months Ended June 30, 2026 (from January 1, 2026 to June 30, 2026) Cash flows from operating activities Profit before income taxes 579 1,069 Depreciation 4 60 Amortization of Goodwill － 50 Share-based payment expenses 154 162 Increase (decrease) in allowance for doubtful accounts 94 157 Increase (decrease) in provision for point card certificates － 0 Interest and dividend income (13) (44) Commission income (6) － Interest expenses on borrowings and bonds 7 8 Commission expenses 7 15 Loss (gain) on sale of investment securities － (149) Share of loss (profit) of entities accounted for using equity method － 38 Increase (decrease) in accounts receivable -other 562 2,337 Increase (decrease) in trade accounts payable (3,024) (5,951) Increase (decrease) in deposits received 7 (57) Other, net (286) (379) Subtotal (1,913) (2,681) Interest and dividend income received 13 43 Commission income received 13 － Interest paid (7) (8) Income taxes paid (206) (184) Net cash provided by (used in) operating activities (2,099) (2,831) Cash flows from investing activities Purchase of property, plant, and equipment (6) (42) Purchase of investment securities － (47) Purchase of intangible assets － (2) Proceeds from sale of investment securities － 176 Payments into time deposits － (6,000) Proceeds from withdrawal of time deposits － 2,000 Payments of leasehold and guarantee deposits － (0) Proceeds from refund of leasehold and guarantee deposits 0 － Purchase of acquisition of new consolidated subsidiary － (882) Advance payments for purchase of shares of subsidiaries and associates (3,326) －
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－ 10 － (Million yen) Six Months Ended June 30, 2025 (from January 1, 2025 to June 30, 2025) Six Months Ended June 30, 2026 (from January 1, 2026 to June 30, 2026) Other, net (50) (47) Net cash provided by (used in) investing activities (3,382) (4,846) Cash flows from financing activities Repayments of long-term borrowings (20) (114) Proceeds from issuance of share acquisition rights 12 0 Purchase of treasury shares (1,007) － Dividends paid － (574) Net cash provided by (used in) financing activities (1,014) (688) Net increase (decrease) in cash and cash equivalents (0) 0 Net increase (decrease) in cash and cash equivalents (6,496) (8,336) Cash and cash equivalents at beginning of period 25,730 24,865 Cash and cash equivalents at end of period 19,233 16,499
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－ 11 － (4) Notes on quarterly consolidated financial statements (Notes regarding going concern assumptions) Not applicable. (Notes on significant changes in amounts of shareholders’ equity) Consolidated six months ended June 30, 2025 (From January 1, 2025 to June 30, 2025) In accordance with the resolution at a meeting of the Board of Directors held on February 14, 2025, the Company acquired its treasury shares of 2,665,000 shares. As a result of this acquisition of treasury shares, treasury shares increased by ¥999 million during the six months ended June 30, 2025, and as of June 30, 2025, treasury shares were ¥999 million. Consolidated six ended June 30, 2026 (From January 1, 2026 to June 30, 2026) Not applicable. (Additional Information) On August 1, 2026, it was discovered that personal information had been leaked at Estore Corporation, a consolidated subsidiary of the Company, as a result of unauthorized access by an external party. The Company announced the incident on the same day. The detailed circumstances of the incident, including its cause and the scope of the information affected, remain under investigation. Although the impact of this incident on the Company’s consolidated financial results for the current fiscal year is expected to be immaterial, the Company is currently conducting a detailed assessment. The Company will promptly disclose any further information should the incident be expected to have a material impact on its financial results.
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－ 12 － (Segment information etc.) Segment Information Consolidated six months ended June 30, 2025 (From January 1, 2025 to June 30, 2025) 1．Information on the amount of net sales and profit (loss) of each reportable segment, and information regarding disaggregation of revenue (Million yen) Reportable segment Reconciliations (Note 1) Consolidated (Note 2) BASE Business PAY.JP Business YELL BANK Business want.jp Business Total Net sales Goods or services transferred at a point in time 4,535 3,023 24 618 8,202 － 8,202 Goods or services transferred over time 335 40 － － 375 － 375 Revenue from contracts with customers 4,871 3,063 24 618 8,578 － 8,578 Other revenue 66 0 498 － 565 － 565 Net sales to external customers 4,938 3,063 523 618 9,144 － 9,144 Inter-segment net sales or transfers － 3 － － 3 (3) － Total 4,938 3,067 523 618 9,147 (3) 9,144 Segment profit (loss) 593 169 239 (13) 988 (417) 570 (Notes) 1. Reconciliations of segment profit of ¥(417) million are for corporate expenses that are not allocated to any reportable segment. Corporate expenses are mainly general and administrative expenses that are not attributable to any reportable segment. 2. Segment profit (loss) is adjusted with operating profit stated in the quarterly consolidated statement of income. Consolidated six months ended June 30, 2026 (From January 1, 2026 to June 30, 2026) １．Information on the amount of net sales and profit (loss) of each reportable segment, and information regarding disaggregation of revenue (Million yen) Reportable segment Other (Note 1) Total Reconcilia tions (Note 2) Consolidate d (Note 3) BASE Business PAY. J P Business YELL BANK Business want.jp Business E-Store Shopserve Business Total Net sales Goods or services transferred at a point in time 5,441 3,200 23 502 1,135 10,303 － 10,303 － 10,303 Goods or services transferred over time 334 41 － － 1,059 1,435 － 1,435 － 1,435 Revenue from contracts with customers 5,776 3,242 23 502 2,194 11,739 － 11,739 － 11,739 Other revenue 42 0 606 － － 648 － 648 － 648 Net sales to external customers 5,818 3,242 630 502 2,194 12,388 － 12,388 － 12,388 Inter-segment net sales or transfers 1 9 － － － 11 － 11 (11) － Total 5,819 3,252 630 502 2,194 12,399 － 12,399 (11) 12,388 Segment profit (loss) 883 156 267 (10) 175 1,472 － 1,472 (404) 1,068 (Notes) 1. The “Other” category comprises business that is not included in reportable segments. 2. Reconciliations of segment profit of ¥(404) million are corporate expenses that are not allocated to each reportable segment. Corporate expenses consist mainly of general and administrative expenses that do not belong to reportable segments. 3. Segment profit (loss) is adjusted with operating profit stated in the quarterly consolidated statement of income.
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－ 13 － ２．Information on changes in reportable segments, etc. Beginning with previous the fiscal year, “E-Store Shopserve Business” was added as a reportable segment as a result of making Estore Corporation a consolidated subsidiary. 3．Information about impairment losses on non-current assets or goodwill, etc. by reportable segment (Significant changes in the amount of goodwill) As a result of making Port Inc a consolidated subsidiary, the amount of goodwill for the “other” increased. The amount of goodwill that occurred due to this is ¥1,020 million. (Business combinations) Business Combination through Acquisition 1. Overview of Business Combination (1) Name of Acquired Business and Description of its Business Company name: Port Inc. Description: Entertainment-tech business (2) Purpose Port Inc. (Head office: Shibuya-ku, Tokyo; Representative Director: Takashi Tamaki) (hereinafter, “Port”) is a company that, under the slogan “WE EMPOWER ARTISTS,” provides systems and opportunities that support relationships through which people who take on challenges by leveraging their individuality can connect, through what they love, with those who empathize with and support them. Port operates an entertainment-tech business, including “Talkport,” a service that enables a wide range of creators—from artists, idols, actors, voice actors, YouTubers, VTubers, and characters to athletes—to offer one-on-one video calls to fans, and “Shoport,” an e-commerce platform service optimized for entertainment merchandise sales. In the growing fan engagement market centered on the entertainment and hobby categories, Port supports creators’ activities by leveraging the strengths of its products. Based on its medium-term management policy, the Group has been working to expand its target customer base through the promotion of M&A, strategic alliances, and other initiatives, and to maximize value creation by providing the BASE Group’s unique value-up initiatives to the expanded customer base, with the aim of achieving the Group’s inorganic growth. Specifically, as areas of focus for M&A, in order to expand its target customer base (GMV), the Group has given priority to e-commerce operators (non-face-to-face storefront services) operating mainly in the merchandise domain, as well as in the services and digital content domains, as potential M&A candidates. The Group has determined that Port is aligned with the above policy and has decided to execute this share acquisition. (3) Date of Business Combination April 17, 2026 (share acquisition date) June 30, 2026 (deemed share acquisition date) (4) Legal Form of Business Combination Share acquisition for cash consideration (5) Name of Company after Business Combination No change. (6) Percentage of V oting Rights after Acquisition 100.0% (7) Main Reason for Deciding the Acquiring Company Acquisition of shares in exchange for cash. 2. Period during which Performance of the Acquired Company is Included in the Quarterly Consolidated Statements of Income The Acquired Company’s results are not included in that period. 3. Acquisition Cost of the Acquired Company and Breakdown by Type of Consideration Consideration for Acquisition Cash ¥1,300 million Acquisition cost ¥1,300 million 4. Costs Relating to the Acquisition Advisory fees and similar costs: ¥62 million 5. Goodwill Amount, Reason for Goodwill, and the Calculation Method and Period for Amortization (1) Goodwill Amount ¥1,020 million
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－ 14 － The amount of goodwill is provisional, as the allocation of acquisition costs has not been completed as of June 30, 2026. (2) Reason for Goodwill Excess earning power expected from the future business development of Port Inc. (3) Calculation Method and Period for Amortization We plan to amortize the cost evenly over the period in which it is estimated that the effect will be realized. 6. The Amounts of Assets Acquired and Liabilities Assumed as of the Business Combination Date, and Their Major Components Current assets ¥570 million Non‑current assets ¥15 million Total assets ¥585 million Current liabilities ¥218 million Non‑current liabilities ¥87 million Total liabilities ¥306 million 7. Allocation of Acquisition Costs As of June 30, 2026, the identification of identifiable assets and liabilities as of the date of the business combination and the calculation of fair value have not been completed. Accordingly, the allocation of acquisition costs has not been finalized, and provisional accounting procedures have been applied based on reasonable information available at that time. (Significant subsequent events) Not applicable.