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. October 15, 2026 Consolidated Financial Results for the Second Quarter of the Fiscal Year Ending February 28, 2027 (Under IFRS) Company name: Baycurrent, Inc. Listing: Tokyo Stock Exchange Stock Exchange Code: 6532 URL: https://www.baycurrent.co.jp/ Representative: Yoshiyuki Abe, Member of the Board, Chairman of the Board and President Inquiries: Kosuke Nakamura, Member of the Board, CFO Telephone: +81-3-5544-9331 Scheduled date of filing semi-annual report: October 15, 2026 Scheduled date to commence dividend payments: November 30, 2026 Preparation of supplement to financial results: Yes Holding of financial results briefing: Yes (for securities analysts and institutional investors) (Amounts are rounded to the nearest million yen.) 1. Consolidated financial results for the second quarter of the fiscal year ending February 28, 2027 (from March 1, 2026 to August 31, 2026) (1) Consolidated operating results (cumulative) (Percentages indicate year-on-year changes.) Revenue EBITDA Operating profit Profit before tax Profit Profit attributable to owners of parent Six months ended Million yen % Million % Million yen % Million yen % Million yen % Million yen % August 31, 2026 92,913 35.7 30,726 29.4 29,892 28.5 29,943 28.6 22,209 28.9 22,209 28.9 August 31, 2025 68,462 26.6 23,754 27.7 23,270 28.4 23,292 28.8 17,229 28.9 17,229 28.9 Note: Total comprehensive income For the six months ended August 31, 2026: ¥22,213 million (28.9%) For the six months ended August 31, 2025: ¥17,229 million (28.9%) For the definition and calculation method of EBITDA, please refer to “1. Qualitative Information on the Period under Review (Reference information)” of the attached materials. Basic earnings per share Diluted earnings per share Six months ended Yen Yen August 31, 2026 148.63 – August 31, 2025 113.44 – (2) Consolidated financial position Total assets Total equity Equity attributable to owners of parent Ratio of equity attributable to owners of parent to total assets As of Million yen Million yen Million yen % August 31, 2026 138,867 102,304 102,304 73.7 February 28, 2026 157,485 117,038 117,038 74.3
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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 February 28, 2026 – 50.00 – 50.00 100.00 Fiscal year ending February 28, 2027 – 65.00 Fiscal year ending February 28, 2027 (Forecast) – 65.00 130.00 Note: Revisions to the dividends forecasts since the latest announcement: None 3. Consolidated financial results forecasts for fiscal year ending February 28, 2027 (from March 1, 2026 to February 28, 2027) (Percentages indicate rate of changes year-on-year.) Revenue EBITDA Operating profit Profit before tax Profit Profit attributable to owners of parent Basic earnings per share Million yen % Million yen % Million yen % Million yen % Million yen % Million yen % Yen Full year 190,000 28.1 66,500 27.6 64,800 27.2 64,900 27.3 48,100 27.1 48,100 27.1 323.79 Note: Revisions to the financial results forecasts since the latest announcement: None
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* Notes (1) Significant changes in the scope of consolidation during the period: None Newly included: — companies (Company name) Excluded: — companies (Company name) (2) Changes in accounting policies and changes in accounting estimates (i) Changes in accounting policies required by IFRS: None (ii) Changes in accounting policies due to other reasons: None (iii) Changes in accounting estimates: None (3) Number of issued shares (common shares) (i) Total number of issued shares at the end of the period (including treasury shares) As of August 31, 2026 150,227,210 shares As of February 28, 2026 155,411,410 shares (ii) Number of treasury shares at the end of the period As of August 31, 2026 3,243,175 shares As of February 28, 2026 3,557,256 shares (iii) Average number of shares outstanding during the period Six months ended August 31, 2026 149,427,153 shares Six months ended August 31, 2025 151,878,382 shares * Financial results reports for the second quarter (interim) are exempt from audit conducted by certified public accountants or an audit corporation. * Proper use of financial results forecasts, and other special matters (Caution regarding forward-looking statements, etc.) Financial results forecasts and other forward -looking st atements provided in these materials are based on information available to Baycurrent and certain other assumptions deemed reasonable as of the date of publication of this document, and do not represent any guarantee that Baycurrent will achieve these results. Actual financial results and other aspects of business performance may differ significantly from these forecasts owing to various factors. Please refer to “ 1. Qualitative Information on the Period under Review (3) Explanation of Consolidated Financial Results Forecasts and Other Forward -looking Statements ” of the attached materials for conditions forming the basis for financial results forecasts, notes regarding the use of financial results forecasts, and other information. (Access to quarterly financial results briefing) Baycurrent plans to hold a briefing for securities analysts and institutional investors on October 19, 2026. The briefing to be used on said date is scheduled to be posted on Baycurrent’s website alongside disclosure to the Tokyo Stock Exchange.
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- 1 - Contents of the Attached Materials 1. Qualitative Information on the Period under Review ............................................................................................ 2 (1) Explanation of Operating Results ..................................................................................................................... 2 (2) Explanation of Financial Position ..................................................................................................................... 3 (3) Explanation of Consolidated Financial Results Forecasts and Other Forward -looking Statements ................. 4 2. Condensed Interim Consolidated Financial Statements and Related Notes Under IFRS ....................................... 5 (1) Condensed Interim Consolidated Statements of Financial Position ................................................................. 5 (2) Condensed Interim Consolidated Statements of Profit or Loss ............................................................................... 6 (3) Condensed Interim Consolidated Statements of Comprehensive Income ................................................................ 6 (4) Condensed Interim Consolidated Statements of Changes in Equity ........................................................................ 7 (5) Condensed Interim Consolidated Statements of Cash Flows .................................................................................. 8 (6) Notes Concerning Condensed Interim Consolidated Financial Statements ...................................................... 9
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- 2 - 1. Qualitative Information on the Period under Review (1) Explanation of Operating Results During the six -month period under review, the Japanese economy continued to recover gradually, supported by improved employment and income condition s, as well as various policy measures. However, the outlook remained uncertain amid factors such as U.S. trade policy, rising geopolitical risks, sharp exchange -rate fluctuations, and rising prices. Against this backdrop, companies are actively pursuing new initiatives to enhance value added and create business opportunities. Demand for consulting services to support these efforts is expected to remain strong, driven not only by digital transformation (DX) initiatives but also by growing demand for corporat e transformation leveraging generative AI. Under the current Medium -Term Management Plan, the Baycurrent Group aims to become a “comprehensive partner in addressing the management challenges of leading companies.” The plan sets annual revenue growth of 20% as a benchmark for FY202 4 through FY2028, with targets of ¥250.0 billion in revenue and an EBITDA margin of 30% to 40% for FY202 8. To achieve these targets, during the six -month period under review, we focused on recruiting and developing outstanding tale nt, advancing our core client strategy, and enhancing our services to address clients’ management challenges from multiple perspectives. As a result, revenue increased 35.7% year on year, while EBITDA increased 29.4%. The Baycurrent Group operates in a single business segment , con sulting, and therefore does not provide segment information. Financial results under IFRS (Million yen) Period Six months ended August 31, 2025 Six months ended August 31, 2026 Change (%) Term from March 1, 2025 to August 31, 2025 from March 1, 2026 to August 31, 2026 Revenue 68,462 92,913 35.7 Cost of sales 30,540 38,757 26.9 Gross profit 37,922 54,156 42.8 Gross profit margin (%) 55.4% 58.3% – Selling, general and administrative expense 14,662 24,327 65.9 EBITDA 23,754 30,726 29.4 EBITDA margin (%) 34.7% 33.1% – Operating profit 23,270 29,892 28.5 Profit before tax 23,292 29,943 28.6 Profit 17,229 22,209 28.9 Note: Stated amounts are rounded to the nearest million yen.
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- 3 - (2) Explanation of Financial Position 1) Analysis of Financial Position The status of financial position as of the end of the six months under review is as follows. Assets as of the end of the six months under review amounted to 138,867 million yen, a decrease of 18 ,618 million yen from the end of the previous fiscal year. This was mainly due to an increase of 2 ,320 million yen in property, plant and equipment and decreases of 17,825 million yen in cash and cash equivalents and 3,643 million yen in trade and other receivables. Liabilities amounted to 36,563 million yen, a de crease of 3,884 million yen from the end of the previous fiscal year. This was mainly due to decreases of 2,112 million yen in income taxes payable and 4 ,646 million yen in other current liabilities. Equity amounted to 102,304 million yen, a decrease of 14,734 million yen from the end of the previous fiscal year. This was mainly due to an increase of 4,196 million yen in treasury shares and decreases of 8,522 million yen in capital surplus and 2,020 million yen in retained earnings. 2) Analysis of Cash Flows The status of cash flows as of the end of the six months under review is as follows. Cash and cash equivalents (hereinafter, “cash”) as of the end of the six months under review amounted to 54,483 million yen, a decrease of 17,825 million yen from the end of the previous fiscal year. (Cash from operating activities) Cash provided for as a result of operating activities in the six months under review amounted to 22,195 million yen (18,710 million yen provided for in the previous corresponding period). The main increases were 29,943 million yen in profit before tax, 2,016 million yen in depreciation and amortization, and 1,166 million yen in decrease in trade and other receivables, and the main decrease was 8,449 million yen in income taxes paid. (Cash from investing activities) Cash used as a result of investing activities in the six months under review amounted to 964 million yen (786 million yen used in the previous corresponding period). This was mainly 585 million yen in purchase of property, plant and equipment and 295 million yen in payments of leasehold deposits. (Cash from financing activities) Cash used as a result of financing activities in the six months under review amounted to 39,056 million yen (10,191 million yen used in the previous corresponding period). Used were 263 million yen in repayments of long-term borrowings, 1,171 million yen in repayments of lease liabilities, 30,031 million yen in purchase of treasury shares, and 7,591 million yen in dividends paid.
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- 4 - (Reference information) The Baycurrent Group uses EBITDA as a reference indicator for operating results to provide useful information to understand the true growth of the Baycurrent Group’s corporate value so investors can evaluate the Baycurrent Group’s financial results without being swayed by differences in accounting standards. EBITDA and its calculation method are as follows. EBITDA under IFRS: Operating profit + Depreciation and amortization (excluding depreciation of right-of-use assets) +/- Other adjustments (Million yen) Period Six months ended August 31, 2025 Six months ended August 31, 2026 Term from March 1, 2025 to August 31, 2025 from March 1, 2026 to August 31, 2026 Operating profit 23,270 29,892 Adjustments: +Depreciation and amortization (excluding depreciation of right-of-use assets) (Note 2) 260 629 +/-Other adjustments (Notes 2, 3) 224 205 Adjustment subtotal 484 834 EBITDA 23,754 30,726 Notes: 1. Stated amounts are rounded to the nearest million yen. 2. “+/-Other adjustments” is accounting treatment specific to IFRS. (3) Explanation of Forward-Looking Information, Including Consolidated Earnings Forecasts The outlook for full-year consolidated earnings remains unchanged from the forecast announced in th e “Consolidated Financial Results for the Fiscal Year Ended February 28, 2026,” dated April 14, 2026.
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- 5 - 2. Condensed Interim Consolidated Financial Statements and Related Notes Under IFRS (1) Condensed Interim Consolidated Statements of Financial Position (Million yen) Previous fiscal year (As of February 28, 2026) Six months under review (As of August 31, 2026) Assets Current assets Cash and cash equivalents 72,308 54,483 Trade and other receivables 36,610 32,967 Inventories 624 28 Other financial assets 3,020 3,020 Other current assets 1,730 2,365 Total current assets 114,292 92,863 Non-current assets Property, plant and equipment 13,631 15,951 Goodwill 19,187 19,187 Intangible assets 95 169 Other financial assets 6,029 6,335 Other non-current assets 79 95 Deferred tax assets 4,172 4,267 Total non-current assets 43,193 46,004 Total assets 157,485 138,867 Liabilities and equity Liabilities Current liabilities Borrowings 262 – Lease liabilities 2,512 3,201 Other financial liabilities 1,738 2,087 Income taxes payable 10,828 8,716 Provisions – 109 Other current liabilities 20,146 15,500 Total current liabilities 35,486 29,613 Non-current liabilities Lease liabilities 3,801 5,672 Provisions 1,160 1,278 Total non-current liabilities 4,961 6,950 Total liabilities 40,447 36,563 Equity Share capital 282 282 Capital surplus 8,522 – Treasury shares (11,025) (15,221) Retained earnings 119,245 117,225 Other components of equity 14 18 Total equity attributable to owners of parent 117,038 102,304 Total equity 117,038 102,304 Total liabilities and equity 157,485 138,867
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- 6 - (2) Condensed Interim Consolidated Statements of Profit or Loss (Million yen) Six months ended August 31, 2025 (from March 1, 2025 to August 31, 2025) Six months under review (from March 1, 2026 to August 31, 2026) Revenue 68,462 92,913 Cost of sales 30,540 38,757 Gross profit 37,922 54,156 Selling, general and administrative expense 14,662 24,327 Other income 10 63 Operating profit 23,270 29,892 Finance income 55 100 Finance costs 33 49 Profit before tax 23,292 29,943 Income tax expense 6,063 7,734 Profit 17,229 22,209 Profit attributable to Owners of parent 17,229 22,209 Profit 17,229 22,209 Earnings per share Basic earnings per share (Yen) 113.44 148.63 Diluted earnings per share (Yen) – – (3) Condensed Interim Consolidated Statements of Comprehensive Income [Six months ended August 31, 2025 and 2026] (Million yen) Six months ended August 31, 2025 (from March 1, 2025 to August 31, 2025) Six months under review (from March 1, 2026 to August 31, 2026) Profit 17,229 22,209 Other comprehensive income Items that will not be reclassified to profit or loss Financial assets measured at fair value through other comprehensive income (0) 4 Total other comprehensive income (0) 4 Comprehensive income 17,229 22,213 Comprehensive income attributable to Owners of parent 17,229 22,213 Comprehensive income 17,229 22,213
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- 7 - (4) Condensed Interim Consolidated Statements of Changes in Equity Six months ended August 31, 2025 (from March 1, 2025 to August 31, 2025) (Million yen) Equity attributable to owners of parent Total share capital Share capital Capital surplus Treasury shares Retained earnings Other components of equity Balance as of March 1, 2025 282 8,069 (8,574) 94,624 – 94,401 Profit – – – 17,229 – 17,229 Other comprehensive income – – – – (0) (0) Total comprehensive income – – – 17,229 (0) 17,229 Purchase of treasury shares – – (3,000) – – (3,000) Disposal of treasury shares – (549) 549 – – – Dividends – – – (5,627) – (5,627) Share-based payment expenses – 549 – – – 549 Total transactions with owners, etc. – 0 (2,451) (5,627) – (8,078) Balance as of August 31, 2025 282 8,069 (11,025) 106,226 (0) 103,552 Six months under review (from March 1, 2026 to August 31, 2026) (Million yen) Equity attributable to owners of parent Total share capital Share capital Capital surplus Treasury shares Retained earnings Other components of equity Balance as of March 1, 2026 282 8,522 (11,025) 119,245 14 117,038 Profit – – – 22,209 – 22,209 Other comprehensive income – – – – 4 4 Total comprehensive income – – – 22,209 4 22,213 Purchase of treasury shares – – (29,998) – – (29,998) Disposal of treasury shares – (1,478) 1,478 – – – Cancellation of Treasury Shares – (24,324) 24,324 – – – Dividends – – – (7,593) – (7,593) Share-based payment expenses – 644 – – – 644 Transfer to Retained earnings – 16,636 – (16,636) (0) – Total transactions with owners, etc. – (8,522) (4,196) (24,229) (0) (36,947) Balance as of August 31, 2026 282 – (15,221) 117,225 18 102,304
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- 8 - (5) Condensed Interim Consolidated Statements of Cash Flows (Million yen) Six months ended August 31, 2025 (from March 1, 2025 to August 31, 2025) Six months under review (from March 1, 2026 to August 31, 2026) Cash flows from operating activities Profit before tax 23,292 29,943 Depreciation and amortization 1,217 2,016 Share-based payment expenses 549 644 Finance income (55) (100) Finance costs 33 49 Decrease (increase) in trade and other receivables 721 1,166 Decrease (increase) in inventories 231 596 Decrease (increase) in other current assets (444) 281 Increase (decrease) in other financial liabilities 149 577 Increase (decrease) in other current liabilities 244 (4,588) Other (8) 17 Subtotal 25,929 30,601 Interest received 42 84 Interest paid (27) (41) Income taxes paid (7,234) (8,449) Net cash provided by (used in) operating activities 18,710 22,195 Cash flows from investing activities Purchase of property, plant and equipment (257) (585) Payments of leasehold deposits (417) (295) Other (112) (84) Net cash provided by (used in) investing activities (786) (964) Cash flows from financing activities Repayments of long-term borrowings (525) (263) Repayments of lease liabilities (1,034) (1,171) Purchase of treasury shares (3,006) (30,031) Dividends paid (5,626) (7,591) Net cash provided by (used in) financing activities (10,191) (39,056) Net increase (decrease) in cash and cash equivalents 7,733 (17,825) Cash and cash equivalents at beginning of period 60,552 72,308 Cash and cash equivalents at end of period 68,285 54,483
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9 (6) Notes Concerning Condensed Interim Consolidated Financial Statements (Notes on going concern assumption) Not applicable. (Changes in accounting policies) Not applicable. (Changes in accounting estimates) Not applicable. (Segment information) Statements are omitted as the Baycurrent Group has only the solitary segment of the consulting business.