Interim report
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September 10, 2026 Consolidated Financial Results for the Fiscal Year Ended July 31, 2026 (Under Japanese GAAP) Company name: i-mobile Co., Ltd. Listing: Tokyo Stock Exchange Securities code: 6535 URL: https://www.i-mobile.co.jp/ Representative: Tetsuya Noguchi, Representative Director, CEO and Senior Executive Officer Inquiries: Yasuhiro Fumita, Executive Managing Director and Senior Executive Officer, CFO, General Manager of Corporate General Headquarters Telephone: +81-(0)3-5766-7230 Scheduled date of annual general meeting of shareholders: October 23, 2026 Scheduled date to commence dividend payments: October 5, 2026 Scheduled date to file annual securities report: October 22, 2026 Preparation of supplementary material on financial results: Yes Holding of financial results briefing: Yes (for analysts and institutional investors) (Yen amounts are rounded down to millions, unless otherwise noted.) 1. Consolidated financial results for the fiscal year ended July 31, 2026 (from August 1, 2025 to July 31, 2026) (1) Consolidated operating results (cumulative) (Percentages indicate year-on-year changes.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Fiscal year ended Millions of yen % Millions of yen % Millions of yen % Millions of yen % July 31, 2026 22,146 2.9 4,177 1.1 4,277 5.1 2,890 (2.3) July 31, 2025 21,528 14.9 4,133 16.5 4,069 17.6 2,957 22.2 Note: Comprehensive income For the fiscal year ended July 31, 2026: 2,893 million yen [(1.9% )] For the fiscal year ended July 31, 2025: 2,950 million yen [20.8%] Basic earnings per share Diluted earnings per share Return on equity Ratio of ordinary profit to total assets Ratio of operating profit to net sales Fiscal year ended Yen Yen % % % July 31, 2026 51.64 51.61 17.4 13.5 18.9 July 31, 2025 51.40 51.36 18.7 15.7 19.2 Reference: Share of profit (loss) of entities accounted for using equity method For the fiscal year ended July 31, 2026: — For the fiscal year ended July 31, 2025: — (2) Consolidated financial position Total assets Net assets Equity-to-asset ratio Net assets per share As of Millions of yen Millions of yen % Yen July 31, 2026 36,226 17,098 47.0 309.31 July 31, 2025 27,264 16,221 59.3 288.28 Reference: Equity As of July 31, 2026: 17,038 million yen As of July 31, 2025: 16,157 million yen (3) Consolidated cash flows Cash flows from operating activities Cash flows from investing activities Cash flows from financing activities Cash and cash equivalents at end of the period Fiscal year ended Millions of yen Millions of yen Millions of yen Millions of yen July 31, 2026 7,442 (2,862) (1,946) 19,973 July 31, 2025 4,816 (3,619) (2,303) 17,496 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.
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2. Cash dividends Annual dividends per share Total cash dividends (Total) Payout ratio (Consolidated) Ratio of dividends to net assets (Consolidated) First quarter-end Second quarter-end Third quarter-end Fiscal year-end Total Yen Yen Yen Yen Yen Millions of yen % % Fiscal year ended July 31, 2025 － 0.00 － 26.00 26.00 1,457 50.6 9.3 Fiscal year ended July 31, 2026 － 0.00 － 27.00 27.00 1,487 52.3 9.0 Fiscal year ending July 31, 2027 (Forecast) － 0.00 － 27.00 27.00 47.4 3. Consolidated earnings forecast for the fiscal year ending July 31, 2027 (from August 1, 2026 to July 31, 2027) (Percentages indicate year-on-year changes.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Basic earnings per share Millions of yen % Millions of yen % Millions of yen % Millions of yen % Yen July 31, 2027 22,200 0.2 4,500 7.7 4,530 5.9 3,140 8.6 57.00
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* Notes (1) Significant changes in the scope of consolidation during the period: Yes Newly included: 0 companies Excluded: 1 company (Cyber Consultant, Inc.) (2) 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 other than (i) : None (iii) Changes in accounting estimates : None (iv) Restatement : None (3) Number of issued shares (common shares) (i) Number of issued shares at the end of the period (including treasury shares) As of July 31, 2026 58,147,188 shares As of July 31, 2025 58,147,188 shares (ii) Number of treasury shares at the end of the period As of July 31, 2026 3,062,015 shares As of July 31, 2025 2,100,015 shares (iii) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) Fiscal year ended July 31, 2026 55,964,430 shares Fiscal year ended July 31, 2025 57,526,480 shares Reference: Overview of non-consolidated financial results 1. Non-consolidated financial results for the fiscal year ended July 31, 2026 (from August 1, 2025 to July 31, 2026) (1) Non-consolidated operating results (Percentages indicate year-on-year changes.) Net sales Operating profit Ordinary profit Profit Fiscal year ended Millions of yen % Millions of yen % Millions of yen % Millions of yen % July 31, 2026 21,110 2.5 4,036 2.0 4,122 0.5 2,782 (9.0) July 31, 2025 20,596 15.9 3,957 15.1 4,100 23.4 3,056 29.8 Basic earnings per share Diluted earnings per share Fiscal year ended Yen Yen July 31, 2026 49.72 49.69 July 31, 2025 53.13 53.08 (2) Non-consolidated financial position Total assets Net assets Equity-to-asset ratio Net assets per share As of Millions of yen Millions of yen % Yen July 31, 2026 34,994 15,939 45.4 288.28 July 31, 2025 26,065 15,088 57.6 268.06 Reference: Equity As of July 31, 2026: 15,879 million yen As of July 31, 2025: 15,024 million yen * Financial results reports are exempt from an audit conducted by certified public accountants or an audit firm. * Proper use of earnings forecasts, and other special matters The forward-looking statements, including business results forecasts, contained in this document are based on information currently available to the Company and certain assumptions deemed reasonable by the Company. Actual business results may differ considerably due to various factors. The Company is to hold a financial results briefing session for institutional investors and analysts on Friday, September 11, 2026.
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- 1 - Appendix Index 1. Overview of Operating Results ··················································································································2 (1) Operating Results for the Fiscal Year Ended July 31, 2026 ··········································································2 (2) Financial Position for the Fiscal Year Ended July 31, 2026 ·········································································3 (3) Cash Flows for the Fiscal Year Ended July 31, 2026 ·················································································4 (4) Future Outlook ·······························································································································4 (5) Basic Policy on Distribution of Profit and Dividends for the Fiscal Years Ended July 31, 2026 and Ending July 31, 2027 ························································································4 2. Basic Approach to Selection of Accounting Standards ·····················································································5 3. Consolidated Financial Statements and Notes ······························································································6 (1) Consolidated Balance Sheet ·············································································································6 (2) Consolidated Statement of Income and Consolidated Statement of Comprehensive I ncome ···································8 Consolidated Statement of Income ········································································································8 Consolidated Statement of Comprehensive Income ····················································································9 (3) Consolidated Statement of Changes in Equity ························································································ 10 (4) Consolidated Statement of Cash Flows ······························································································· 12 (5) Notes to Consolidated Financial Statements ····················································································· 13 Notes on Going Concern Assumption ·································································································· 13 Segment Information and Other Data ··································································································· 13 Per Share Information ····················································································································· 15 Significant Subsequent Events ········································································································· 15
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- 2 - 1. Overview of Operating Results (1) Operating Results for the Fiscal Year Ended July 31, 2026 During the fiscal year ended July 31, 2026 (August 1, 2025 to July 31, 2026), the Japanese economy continued to recover moderately, supported by improvements in the employment and personal income environment. However, the outlook remains uncertain amid rising prices, fluctuations in foreign exchange rates, and concerns over a slowdown in overseas economies. The i-mobile Group (the “G roup”) is composed of two business segments —Consumer Service business and Online Advertising business— operating under the Group vision “Creating a Business for the Future.” The H ometown Tax Donation market, which is the mainstay business domain of the Consumer Service business, is transitioning from its previous phase of high growth to a more stable growth phase, reflecting tax system revisions and changes to the system and its operational rules. Nevertheless, the hometown tax donation amount in fiscal 2025 reached 1,331.4 billion yen, up 4.6% from the previous fiscal year, driven by increased familiarity with the system, rising wages, and resilient domestic economic conditions, as well as consumers’ efforts to safeguard their livelihoods amid rising price s, thereby continuing the market’s steady growth. The number of people eligible for the hometown tax donation credit (the number of people who actually made a hometown tax donation and were eligible for a residence tax credit) also increased by 6.5% year on year to approximately 11.51 million people *1, a record high. While hometown tax donation has gained wider recognition as a system in line with its original purpose of realizing regional revitalization, the usage rate of hometown tax donation*2 remains as low as 18.5%. This indicates that there is still significant room for market expansion and that the market is expected to continue growing steadily. In the domestic online advertising market, which is the mainstay business domain of the Online Advertising business, online advertising expenditure in 2025 continued its steady growth with an increase of 10.8% year on year to 4,045.9 billion yen *3, and the market is expected to remain strong going forward, driven by search ads, social media ads and video ads. However, global shifts in consumer behavior and consumption patterns have changed the mainstream formats of online advertising, leading to a relative slowdown in the market growth of ad networks. This, in turn, has had a significant impact on the Group’s Ad Network business. Amidst this business environment, the Group, as an Internet marketing company, is striving to further enhance corporate value. We are doing so by leveraging the technology and marketing expertise cultivated in our founding Ad Network business to develop new markets and invest in growth business sectors. In the Hometown Tax Donation business, which contributes to addressing social issues such as regional industry development, we are working to increase the number of contracted municipalities and members through brand awareness initiatives and promotional activities for the “Furunavi” brand. Additionally, in collaboration with municipalities, we are expanding our range of experi ence- based gifts in return through unique initiatives, such as dining and lodging programs. Moreover, we are promoting the agency service for hometown tax donation *4 to strengthen collaboration with municipalities. Furthermore, through our unique system *5, “Furunavi Travel Reservation,” which i ntegrates the processes of hometown tax donation and accommodation booking, we are expanding the number of contracted facilities, allowing for seamless booking and payment for travel using hometown tax donations, and there by further enhancing customer conv enience. We have also accelerated the development of new services leveraging the customer base built through businesses like “Furunavi,” and are working to promote the penetration and retention of “Furunavi Money”*6, a payment service aimed at offering even greater convenience to our customers. The service has been steadily expanding its usage, and we will continue to promote cross-service utilization in order to drive continued usage and strengthen our revenue base. Meanwhile, in our Ad Network business, w hich continues to face a challenging operating environment, we are working to restructure our business framework by establishing a system for offering solutions that combine multiple products and by re - evaluating customer targets. By developing new revenue models and taking other measures, we are working to diversify our revenue base and improve profitability. In the Green Energy business that contributes to regional revitalization by addressing social issues, 29 solar power plants s tarted operation during the current fiscal year, bringing the total to 51 solar power plants (agrivoltaics and ground-mounted type *7). In addition, the grid-scale battery storage system (battery storage facility) connected to the grid in November 2025 entered the supply- demand balancing market in March 2026 and is now making a stable contribution to revenue. Furthermore, our subsidiary Furunavi Energy, Inc.*8, which is responsible for our retail electricity business, has launched the “Smart Price Plan,” a low -voltage rate plan for households that also allows customers to pay their electricity bills using hometown tax donation credits, in addition to its existing high-voltage supply services for commercial clients and collaborations with municipalities. Contracts under this plan hav e been increasing steadily. In the mainstay Hometown Tax Donation business, measures to expand market share and the customer base for medium - to long- term growth, as well as measures in response to changes in the market environment, proved effective. In ad dition, the benefits of upfront investments to build a revenue base in the Green Energy business began to materialize during the current fiscal year, leading to a steady contribution to earnings. As a result, net sales for the fiscal year ended July 31, 2026 met the full-year plan, exceeded the prior-year level, and reached a record high of 22,146 million yen, up 2.9% year on year. On the profit front, although the Ad Network business is still in the process of improving its revenue base, profit in the Hometown Tax Donation business increased, mainly due to a continued decline in promotional costs. As a result, operating profit for the fiscal year ended July 31, 2026 amounted to 4,17 7 million yen, up 1.1% year on year ; ordinary profit was 4,277 million yen, up 5.1% year on year; and profit attributable to owners of parent totaled 2,890 million yen, down 2.3% year on year. Business performance by segment was as follows. Net sales for each segment include inter-segment sales and transfers. The details are described in “3. Consolidated Financial Statements and Notes, (5) Notes to Consolidated Financial Statements (Segment Information and Other Data).”
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- 3 - (Consumer Service Segment) In the Consumer Service segment, the Compan y operates the Hometown Tax Donation business “Furunavi,” as well as the Furunavi Travel business, Restaurant PR business, and Loyalty Points Service business as peripheral businesses. During the fi scal year ended July 31, 2026, we expanded our payment services in order to improve user convenience, and implemented promotional campaigns, including TV commercials, to acquire new customers. We also drove initiatives to enhance customer engagement through the “Furunavi App” and to strengthen collaboration with municipalities. As a result, the repeat usage rate remained stable, while the amount of donations received and net sales remained strong, both reaching record highs. As for segment profit, although sales promotion expenses exceeded the plan due to strategi c promotional investments made in the first quarter to cap italize on an opportunity to expand the customer base, promotional costs were optimized from the second quarter onward, supported by the expanded customer base, and profit margins continued to improve. Consequently, segment profit exceeded the prior-year level. As a result, net sales in the Consumer Service segment for the fiscal year ended July 31, 2026 were 19,538 million yen, up 2.5% year on year, and segment profit was 4,101 million yen, up 2.0% year on year. (Online Advertising Segment) In the Online Advertising segment *9, the Group develops the Ad Network business, the Influencer Marketing business, the Media Solution business, and the App Operation business (Ohte, Inc., etc.). Although the Ad Network business continues to be significantly affected by reduced budgets from major clients and a decline in advertising expenditures across the industry, w e are working to improve the profitability of existing businesses and create new revenue opportunities. In the Media Solution business, we expanded the provision of “Ad Network OEM,” *10 a new business model utilizing the expertise cultivated through operating one of Japan’s largest programmatic ad networks, and secured new contracts for its implem entation. In the Influencer Marketing business, we strengthened the client support capabilities of “Brand radar,”*11 which supports the enhancement of brand value, including by implementing “Fan Search,” a social media marketing support f eature powered by image analysis AI*12. As a result, the service was adopted by major companies, while efforts to acquire new clients by enhancing the service’s added value also progressed steadily. In the App Operation business, we are working to diversify the revenue models of existing titles and revitalize the customer base through collaborations with popular IP . In addition, along with expanding into the poikatsu*13 market through partnerships with other companies, we are also reaching out to seniors and other new user bases and developing overseas markets. Through these initiatives, we aim to expand our user base and business domains in Japan and overseas. As a result, net sales in the Online Advertising segment for the fiscal year ended July 31, 2026 were 2,316 million yen, down 4.0% year on year, and segment profit was 74 million yen, down 51.4% year on year. *1 Source: Results of Survey on Current Status of Hometown Tax Donations, Municipal Tax Planning Division, Local Tax Bureau, Ministry of Internal Affairs and Communications of Japan, July 31, 2026 In addition, the results including the hometown tax donation amount were calculated based on t he municipal fiscal year (from April 1 to March 31 of the following year), which differs from the calculation period of residence tax. *2 The usage rate of hometown tax donation is calculated by the Company with reference to “Actual Results of Residence Ta x Deduction for Taxation in Each Fiscal Year” and “Survey of Municipal Taxation Status in Each Fiscal Year,” both published by the Ministry of Internal Affairs and Communications. *3 Source: 2025 Advertising Expenditures in Japan, Dentsu Inc., March 5, 2026 *4 A service that acts as an agent for complex operations of hometown tax donations, such as posting on portal sites, deliver y management, and responding to business operators and donors. *5 Business model patent “Patent No. 7624263” in the Furunavi Travel Reservation business *6 A prepaid payment service usable for donations via Furunavi and local payments for Furunavi Travel reservations *7 A method of utilizing idle land by installing solar power generation facilities directly on the land and selling the generated electricity *8 The retail electricity business was launched on June 1, 2025 *9 Effective February 1, 2026, the Company integrated the Ad Network, Influencer Marketing, and Media Solution businesses within the Online Advertising business segment and reorganized them into the Internet Marketing business. *10 A solution that offers the ad platform operating technology developed by i-mobile on an OEM basis *11 A tool that helps enhance brand value in social media marketing by supporting compliance with stealth marketing regulations and other measures. *12 A patent-pending feature that uses a proprietary algorithm to directly analyze brand touchpoints from image data without relying on hashtags or captions *13 It is an abbreviation for “point-saving activity,” a generic term for accumulating points and using accumulated points. (2) Financial Position for the Fiscal Year Ended July 31, 2026 Total assets as of July 31, 2026 were 36,226 million yen, an increase of 8,961 million yen from the end of the previous fiscal year. This was mainly due to increases in accounts receivable – other of 4,626 million yen, construction in progress of 1,654 million yen, and machinery and equipment, (net) of 1,235 million yen. Liabilities were 19,128 million yen, an increase of 8,084 million yen from the end of the previous fiscal year. This was mainly due to an increase in deposits received of 11,053 million yen, partially offset by decreases in provision for sales promotion expenses of 1,706 million yen and income taxes payable of 712 million yen.
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- 4 - Net assets were 17,098 million yen, an increase of 876 million yen from the end of the previous fiscal year. This was mainly due to an increase res ulting from the recording of profit attributable to owners of parent of 2,890 million yen, partially offset by a decrease resulting from dividends of surplus of 1,457 million yen and the acquisition of treasury shares of 502 million yen. (3) Cash Flows for the Fiscal Year Ended July 31, 2026 The balance of cash and cash equivalents (hereinafter referred to as “funds”) as of J uly 31, 2026 totaled 19,973 million yen, an increase of 2,477 million yen from the end of the previous fiscal year. Cash flows during the fiscal year ended July 31, 2026 and the factors affecting them were as follows. (Cash flows from operating activities) Funds provided by operating activities amounted to 7,442 million yen for the fiscal year ended July 31, 2026, compared with 4,816 million yen provided in the previous fiscal year. This was mainly attribut ed to an increase in deposits received of 11,052 million yen and profit before income taxes of 4,107 million yen, partially offset by an increase in accounts receivable – other of 4,645 million yen, a decrease in provision for sales promotion expenses of 1,706 million yen, and income taxes paid of 1,437 million yen. (Cash flows from investing activities) Funds used in investing activities amounted to 2,862 million yen for the fiscal year ended July 31, 2026, compared with 3,619 million yen used in the previous fiscal year. This was mainly attribut ed to purchase of property, plant and equipment of 3,289 million yen and purchase of securities of 999 million yen, despite a decrease in time deposits of 1,500 million yen. (Cash flows from financing activities) Funds used in financing activities amounted to 1,946 million yen for the fiscal year ended July 31, 2026, compared with 2,303 million yen used in the previous fiscal year. This was mainly attribut ed to dividends paid of 1,456 million yen and purchase of treasury shares of 502 million yen. (4) Future Outlook As for performance in the fiscal year ending July 31, 2027, the Group forecasts net sales of 22,200 million yen, up 0.2% year on year, operating profit of 4,500 million yen, up 7.7%; ordinary profit of 4,530 million yen, up 5.9%; and profit attributable to owners of parent of 3,140 million yen, up 8.6%. For details, please refer to the financial results briefing materials for the fiscal year ended July 31, 2026, which are disclosed at the same time as these financial results. (5) Basic Policy on Distribution of Profit and Dividends for the Fiscal Years Ended July 31, 2026 and Ending July 31, 2027 (Basic Policy) While preserving the resources required to maintain our business foundation and achieve sustainable growth, the Company will provide shareholder returns agilely, in addition to considering r elevant factors, including our business performance, financial conditions, and internal reserves. More specifically, for the four fiscal years from FY07/24 through FY07/27, we will impleme nt shareholder returns through a total return, consisting of dividends with a benchmark payout ratio of 50%, together with flexible share buybacks in line with the share price level and market conditions. The Company pays dividends of surplus once a year as a year-end dividend. However, in accordance with Article 459, Paragraph 1 of the Companies Act, the Company has a provision in its Articles of Incorporation that dividends from surplus shall be determined by a resolution of the Board of Directors, with July 31 as the record date of the year -end dividend and January 31 as the record date of the interim dividend. (Dividends for the fiscal year ended July 31, 2026) Concerning dividends of surplus for the fiscal year ended July 31, 2026, the Company resolved to distribute dividends of 27 yen per share, with the record date d ated July 31, 2026, at the meeting of the Board of Directors held on September 10, 2026. As a result, the annual dividend for the fiscal year ended July 31, 2026 is 27 yen per share. (Dividends for the fiscal year ending July 31, 2027) Concerning dividends of surplus for the fiscal year ending July 31, 2027, the Company plans to pay a dividend of 27 yen per share, unchanged from the previous fiscal year. This will consist of an ordinary dividend of 20 yen and a commemorative dividend of 7 yen marking the 20th anniversary of the Company’s founding. The Company will also consider conducting share buybacks flexibly, comprehensively taking into account the share price level, market conditions, and other factors. (Acquisition of treasury shares during the fiscal year ended July 31, 2026) As mentioned in the “Notice Regarding Status and Completion of Acquisition of Treasury Shares” published on July 1, 2026, the Company resolved, at the meeting of its Board of Directors held on June 11, 2026, to conduct a share buyback of up to 1,200,000 shares at an aggregate acquisition cost of up to 700 million yen, with the aim of further enhancing capital efficiency and increasing shareholder value. Under this resolution, the Company acquired 1,009,700 treasury shares at an aggregate acquisition cost of 502 million yen between June 12 and June 30, 2026.
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- 5 - 2. Basic Approach to Selection of Accounting Standards The Group applies Japan accounting standards to ensure comparability with other companies in the same industry in Japan.
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- 6 - 3. Consolidated Financial Statements and Notes (1) Consolidated Balance Sheet (Unit: Millions of yen) As of July 31, 2025 As of July 31, 2026 Assets Current assets Cash and deposits 20,496 21,473 Accounts receivable – trade 2,380 2,447 Securities － 999 Prepaid expenses 769 505 Accounts receivable – other 139 4,766 Other 51 60 Allowance for doubtful accounts (1) (0) Total current assets 23,835 30,252 Non-current assets Property, plant and equipment Buildings, net 364 329 Machinery and equipment, net 516 1,751 Construction in progress 46 1,701 Other, net 157 214 Total property, plant and equipment 1,084 3,998 Intangible assets Software 331 341 Other 48 50 Total intangible assets 380 391 Investments and other assets Investment securities 462 543 Deferred tax assets 1,139 682 Other 361 358 Allowance for doubtful accounts (0) － Total investments and other assets 1,963 1,584 Total non-current assets 3,428 5,974 Total assets 27,264 36,226
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- 7 - (Unit: Millions of yen) As of July 31, 2025 As of July 31, 2026 Liabilities Current liabilities Accounts payable – trade 508 458 Accounts payable – other 1,155 866 Income taxes payable 807 94 Deposits received 4,769 15,822 Provision for bonuses 92 138 Provision for sales promotion expenses 2,944 1,238 Other 633 376 Total current liabilities 10,912 18,995 Non-current liabilities Asset retirement obligations 131 132 Total non-current liabilities 131 132 Total liabilities 11,043 19,128 Net assets Shareholders’ equity Share capital 152 152 Capital surplus 73 74 Retained earnings 17,134 18,485 Treasury shares (1,248) (1,722) Total shareholders’ equity 16,112 16,989 Accumulated other comprehensive income Valuation difference on available-for-sale securities 44 48 Total accumulated other comprehensive income 44 48 Share acquisition rights 64 59 Total net assets 16,221 17,098 Total liabilities and net assets 27,264 36,226
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- 8 - (2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income Consolidated Statement of Income (Unit: Millions of yen) Year ended July 31, 2025 Year ended July 31, 2026 Net sales 21,528 22,146 Cost of sales 28 219 Gross profit 21,500 21,926 Selling, general and administrative expenses 17,367 17,749 Operating profit 4,133 4,177 Non-operating income Interest income 17 60 Dividend income 0 0 Foreign exchange gains － 14 Gain on sale of investment securities － 9 Gain on valuation of investment securities － 22 Cash-back income － 16 Other 2 1 Total non-operating income 19 126 Non-operating expenses Loss on valuation of investment securities 4 － Commission expenses 2 3 Donations 69 21 Other 6 2 Total non-operating expenses 83 26 Ordinary profit 4,069 4,277 Extraordinary income Gain on sale of investment securities 239 － Gain on national subsidies 10 － Other 1 － Total extraordinary income 252 － Extraordinary losses Impairment losses 148 170 Head office relocation expenses 37 － Other 10 － Total extraordinary losses 197 170 Profit before income taxes 4,124 4,107 Income taxes – current 1,365 761 Income taxes – deferred (197) 455 Total income taxes 1,167 1,217 Profit 2,957 2,890 Profit attributable to owners of parent 2,957 2,890
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- 9 - Consolidated Statement of Comprehensive Income (Unit: Millions of yen) Year ended July 31, 2025 Year ended July 31, 2026 Profit 2,957 2,890 Other comprehensive income Valuation difference on available-for-sale securities (6) 3 Total other comprehensive income (6) 3 Comprehensive income 2,950 2,893 (Details) Comprehensive income attributable to owners of parent 2,950 2,893
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- 10 - (3) Consolidated Statement of Changes in Equity Year ended July 31, 2025 (August 1, 2024 to July 31, 2025) (Unit: Millions of yen) Shareholders’ equity Share capital Capital surplus Retained earnings Treasury shares Total shareholders’ equity Balance at beginning of period 152 73 15,446 (227) 15,445 Changes during period Dividends of surplus (1,267) (1,267) Profit attributable to owners of parent 2,957 2,957 Purchase of treasury shares (1,124) (1,124) Disposal of treasury shares (8) 102 94 Restricted share-based remuneration 7 7 Transfer from retained earnings to capital surplus 0 (0) － Net changes in items other than shareholders’ equity Total changes during period － － 1,688 (1,021) 667 Balance at end of period 152 73 17,134 (1,248) 16,112 Accumulated other comprehensive income Share acquisition rights Total net assets Valuation difference on available-for-sale securities Total accumulated other comprehensive income Balance at beginning of period 51 51 136 15,633 Changes during period Dividends of surplus (1,267) Profit attributable to owners of parent 2,957 Purchase of treasury shares (1,124) Disposal of treasury shares 94 Restricted share-based remuneration 7 Transfer from retained earnings to capital surplus － Net changes in items other than shareholders’ equity (6) (6) (72) (79) Total changes during period (6) (6) (72) 587 Balance at end of period 44 44 64 16,221
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- 11 - Year ended July 31, 2026 (August 1, 2025 to July 31, 2026) (Unit: Millions of yen) Shareholders’ equity Share capital Capital surplus Retained earnings Treasury shares Total shareholders’ equity Balance at beginning of period 152 73 17,134 (1,248) 16,112 Changes during period Dividends of surplus (1,457) (1,457) Profit attributable to owners of parent 2,890 2,890 Purchase of treasury shares (502) (502) Disposal of treasury shares (3) 28 24 Change in scope of consolidation (82) (82) Restricted share-based remuneration 4 4 Net changes in items other than shareholders’ equity Total changes during period － 0 1,350 (474) 877 Balance at end of period 152 74 18,485 (1,722) 16,989 Accumulated other comprehensive income Share acquisition rights Total net assets Valuation difference on available-for-sale securities Total accumulated other comprehensive income Balance at beginning of period 44 44 64 16,221 Changes during period Dividends of surplus (1,457) Profit attributable to owners of parent 2,890 Purchase of treasury shares (502) Disposal of treasury shares 24 Change in scope of consolidation (82) Restricted share-based remuneration 4 Net changes in items other than shareholders’ equity 3 3 (4) (0) Total changes during period 3 3 (4) 876 Balance at end of period 48 48 59 17,098
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- 12 - (4) Consolidated Statements of Cash Flows (Unit: Millions of yen) Year ended July 31, 2025 Year ended July 31, 2026 Cash flows from operating activities Profit before income taxes 4,124 4,107 Depreciation 225 302 Impairment losses 148 170 Amortization of goodwill 5 － Share-based payment expenses (54) 10 Increase (decrease) in allowance for doubtful accounts 0 (0) Increase (decrease) in provision for bonuses 8 45 Increase (decrease) in provision for sales promotion expenses 395 (1,706) Loss (gain) on valuation of investment securities 4 (22) Loss (gain) on sale of investment securities (239) (9) Interest and dividend income (17) (60) Decrease (increase) in trade receivables (754) (119) Increase (decrease) in trade payables (204) (0) Decrease (increase) in accounts receivable – other (9) (4,645) Decrease (increase) in prepaid expenses 58 258 Increase (decrease) in accounts payable – other 208 (257) Increase (decrease) in deposits received 1,868 11,052 Other 70 (302) Subtotal 5,838 8,821 Interest and dividends received 12 59 Income taxes refund (paid) (1,045) (1,437) Other 10 － Net cash provided by (used in) operating activities 4,816 7,442 Cash flows from investing activities Net decrease (increase) in time deposits (3,000) 1,500 Purchase of property, plant and equipment (709) (3,289) Proceeds from sale of property, plant and equipment － 18 Purchase of intangible assets (209) (123) Purchase of securities － (999) Proceeds from the sales of investment securities 341 31 Other (41) － Net cash provided by (used in) investing activities (3,619) (2,862) Cash flows from financing activities Purchase of treasury shares (1,124) (502) Exercise of share acquisition rights 89 11 Dividends paid (1,268) (1,456) Net cash provided by (used in) financing activities (2,303) (1,946) Effect of exchange rate change on cash and cash equivalents (0) 2 Net increase (decrease) in cash and cash equivalents (1,106) 2,636 Cash and cash equivalents at the beginning of the year 18,602 17,496 Increase (decrease) in cash and cash equivalents resulting from change in scope of consolidation － (158) Cash and cash equivalents at the end of the year 17,496 19,973
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- 13 - (5) Notes to Consolidated Financial Statements (Notes on Going Concern Assumption) Not applicable. (Segment Information and Other Data) (Segment Information) 1. Reportable segments (1) Method of determining reportable segments The Company’s reportable segments are those of the Group for which separate financial information is available and which are subject to periodic review by the Board of Directors in order to determine the allocation of management resources and evaluat e business performance. The Company is composed of segments classified by business type, with the Consum er Service business and Online Advertising business being the reportable segments for the purpose of further clarifying the main business areas. (2) Products and services belonging to each reportable segment The Consumer Service segment includes the Hometown Tax Donation business, the Furunavi Travel business, the Restaurant PR business, and the Loyalty Points Service business. The Online Advertis ing segment includes the Ad Network business, the Influencer Marketing business, the Media Solution business, and the App Operation business. 2. Calculation method for net sales, profit or loss, assets or liabilities, and other items for each reportable segment The accounting method for the reported business segments complies with the accounting policies adopted for the preparation of the consolidated financial statements. Profit for reportable segments is based on operating profit. Intersegment profit and transfers are based on prevailing market prices.
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- 14 - 3. Information on net sales, amounts of profit or loss, and other items by reportable segment Year ended July 31, 2025 (August 1, 2024 to July 31, 2025) (Unit: Millions of yen) Reportable segment Adjustments (Note 1,2,3) Amount recorded on consolidated financial statements (Note 4) Consumer Service Online Advertising Total Net sales Goods to be transferred at a point in time 29 0 29 9 39 Goods to be transferred over a certain period 19,029 2,406 21,435 54 21,489 Net sales to external customers 19,059 2,406 21,465 63 21,528 Intersegment sales or transfers － 5 5 (5) － Total 19,059 2,411 21,471 57 21,528 Segment profit 4,021 153 4,175 (41) 4,133 Other items Depreciation 91 94 185 39 225 Notes: 1. The adjustment of 63 million yen for net sales to external customers also corresponds to net sales that do not belong to the reportable segments. 2. Adjustments to segment profit of (41) million yen are entirely attributable to net sales that do not belong to reportable segments and corporate expenses not allocated to reportable segments . Corporate expenses are general and administrative expenses not attributable to reportable segments. 3. The adjustment of 39 million yen to depreciation represents depreciation expenses that do not belong to any reportable segments. 4. Segment profit correspond to the operating profit reported on the Consolidated Statement of Income. Year ended July 31, 2026 (August 1, 2025 to July 31, 2026) (Unit: Millions of yen) Reportable segment Adjustments (Note 1,2,3) Amount recorded on consolidated financial statements (Note 4) Consumer Service Online Advertising Total Net sales Goods to be transferred at a point in time 121 － 121 11 133 Goods to be transferred over a certain period 19,416 2,303 21,720 292 22,013 Net sales to external customers 19,538 2,303 21,841 304 22,146 Intersegment sales or transfers － 12 12 (12) － Total 19,538 2,316 21,854 292 22,146 Segment profit 4,101 74 4,176 1 4,177 Other items Depreciation 112 91 203 99 302 Notes: 1. The adjustment of 304 million yen for net sales to external customers also corresponds to net sales that do not belong to the reportable segments. 2. Adjustments to segment profit of 1 million yen are entirely attributable to net sales that do not belong to reportable seg ments and corporate expenses not allocated to reportable segments. Corporate expenses are general and administrative expenses not attributable to reportable segments. 3. The adjustment of 99 million yen to depreciation represents depreciation expenses that do not belong to any reportable segments. 4. Segment profit corresponds to the operating profit reported on the Consolidated Statement of Income.
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- 15 - (Per Share Information) Year ended July 31, 2025 (August 1, 2024 to July 31, 2025) Year ended July 31, 2026 (August 1, 2025 to July 31, 2026) Book value per share (yen) 288.28 309.31 Basic earnings per share (yen) 51.40 51.64 Diluted earnings per share (yen) 51.36 51.61 Notes: The basis for calculating basic earnings per share and diluted earnings per share is as follows. Item Year ended July 31, 2025 (August 1, 2024 to July 31, 2025) Year ended July 31, 2026 (August 1, 2025 to July 31, 2026) Basic earnings per share Profit attributable to owners of parent (millions of yen) 2,957 2,890 Amounts not allocated to common shareholders (millions of yen) － － Profit attributable to owners of parent related to common shares (millions of yen) 2,957 2,890 Average number of common shares outstanding during the year (shares) 57,526,480 55,964,430 Diluted earnings per share Adjustments to profit attributable to owners of parent (millions of yen) － － Increase in number of common shares 45,490 32,849 [Of which, share acquisition rights (shares)] (45,490) （32,849） Outline of stock not included in the calculation of diluted earnings per share due to lack of dilutive effect － － (Significant Subsequent Events) (Issuance of Share Acquisition Rights) The Company resolved, at a meeting of its Board of Directors held on August 24, 2026, to issue its Second and Third Series of Share Acquisition Rights with monetary consideration and its Fifth Series of Share Acquisition Rights without monetary consideration, and allotted them on September 9, 2026. For details, please refer to the notices regarding each series of share acquisition right s published on August 24 and September 9, 2026. (Execution of a Syndicated Commitment Line Agreement) The Company entered into a commitment line agreement through a syndicated loan arrangement on August 31, 2026. For details, please refer to the "Notice Regarding Execution of a Commitment Line Agreement" published on the same date.