Interim report
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Consolidated Financial Results for the Nine Months Ended December 31, 2025 [Japanese GAAP] February 13, 2026 Company name: Totech Corporation Stock exchange listing: Tokyo Stock Exchange Securities code: 9960 URL: https://www.totech.co.jp/ Representative: Kaoru Koyama, Representative Director and President Contact: Toshikazu Kanai, Executive Officer and Deputy General Manager of Administration Division Phone: +81-3-6632-7000 Scheduled date of commencing dividend payments: - Availability of supplementary explanatory materials on financial results: Available Schedule of financial results briefing session: None (Amounts of less than one million yen are rounded down.) 1. Consolidated Financial Results for the Nine Months Ended December 31, 2025 (April 1, 2025 - December 31, 2025) (1) Consolidated Operating Results (Cumulative) (% indicates changes from the previous corresponding period.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Nine months ended Million yen % Million yen % Million yen % Million yen % December 31, 2025 123,195 11.6 12,208 19.8 12,976 17.6 9,132 19.0 December 31, 2024 110,422 9.2 10,190 52.1 11,037 50.0 7,674 56.1 (Note) Comprehensive income: Nine months ended December 31, 2025: ¥13,552 million [58.2%] Nine months ended December 31, 2024: ¥8,567 million [24.5%] Basic earnings per share Diluted earnings per share Nine months ended Yen Yen December 31, 2025 221.81 – December 31, 2024 186.52 – (2) Consolidated Financial Position Total assets Net assets Equity ratio Net assets per share Million yen Million yen % Yen As of December 31, 2025 118,679 69,575 58.6 1,689.28 As of March 31, 2025 105,229 61,229 58.2 1,487.75 (Reference) Equity: As of December 31, 2025: ¥69,575 million As of March 31, 2025: ¥61,228 million 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. Dividends Annual dividends per share 1st quarter-end 2nd quarter-end 3rd quarter-end Year-end Total Yen Yen Yen Yen Yen Fiscal year ended March 31, 2025 – 24.00 – 92.00 116.00 Fiscal year ending March 31, 2026 – 35.00 – Fiscal year ending March 31, 2026 (Forecast) 82.00 117.00 (Note) Revision to the forecast for dividends announced most recently: None 3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2026 (April 1, 2025 - March 31, 2026) (% indicates changes from the previous corresponding period.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Basic earnings per share Million yen % Million yen % Million yen % Million yen % Yen Full year 166,000 6.4 16,000 8.9 16,800 7.9 12,000 7.2 291.43 (Note) Revision to the financial results forecast announced most recently: None
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* Notes: (1) Significant changes in the scope of consolidation during the period: Yes Newly included: 1 company (SANNOU KIKOU CO., LTD.) Excluded: 2 companies (Totech Denko Corporation, Quantum Security System Pte.Ltd.) (2) Accounting methods adopted particularly for the preparation of quarterly consolidated financial statements: None (3) Changes in accounting policies, changes in accounting estimates and retrospective restatement 1) Changes in accounting policies due to the revision of accounting standards and other regulations: None 2) Changes in accounting policies other than 1) above: None 3) Changes in accounting estimates: None 4) Retrospective restatement: None (4) Total number of issued shares (common shares) 1) Total number of issued shares at the end of the period (including treasury shares): As of December 31, 2025: 41,964,000 shares As of March 31, 2025: 41,964,000 shares 2) Total number of treasury shares at the end of the period: As of December 31, 2025: 777,793 shares As of March 31, 2025: 808,875 shares 3) Average number of shares outstanding during the period: Nine months ended December 31, 2025: 41,173,686 shares Nine months ended December 31, 2024: 41,145,196 shares (Note) The total number of treasury shares at the end of the period includes the shares of the Company (144,354 shares as of December 31, 2025) held by Custody Bank of Japan, Ltd. (Trust Account E) as tr ust assets of Board Benefit Trust (J-ESOP). The shares of the Company (151,995 shares as of December 31, 2025) held by Custody Bank of Japan, Ltd. (Trust Account E) are included in the treasury shares that are deducted in the calculation of the average number of shares outstanding during the period. * Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: None. * Explanation of the proper use of financial results forecast and other notes The forward -looking statements such as financial results forecast included in this document are based on the information currently available to the Company and certain assumptions deemed reasonable, and the Company does not in any way guarantee the achievement of these projections. Actual results may differ significantly due to various factors. For the assumptions underlying the financial forecasts and notes on the use of the financial forecasts, please refer to “Explanation of Consolidated Financial Results Forecast and Other Forward-looking Information” on page 3 of the attached document. (Access to supplementary explanatory materials on quarterly financial results) Supplementary explanatory materials on financial results will be posted on the Company’s website on Friday, February 13, 2026.
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1 Table of Contents - Attachments 1. Qualitative Information on Quarterly Financial Results ..................................................................... 2 (1) Explanation of Operating Results ................................................................................................... 2 (2) Explanation of Financial Position .................................................................................................. 2 (3) Explanation of Consolidated Financial Results Forecast and Other Forward-looking Information ............................................................................................................................................................ 3 2. Quarterly Consolidated Financial Statements and Principal Notes .................................................... 4 (1) Quarterly Consolidated Balance Sheets ......................................................................................... 4 (2) Quarterly Consolidated Statements of Income and Comprehensive Income ................................. 6 Quarterly Consolidated Statements of Income ............................................................................... 6 Nine Months Ended December 31 ............................................................................................ 6 Quarterly Consolidated Statements of Comprehensive Income .................................................... 7 Nine Months Ended December 31 ............................................................................................ 7 (3) Notes to Quarterly Consolidated Financial Statements .................................................................. 8 (Notes on going concern assumption) ...................................................................................... 8 (Notes in case of significant changes in shareholders’ equity) ................................................ 8 (Notes to segment information, etc.) ........................................................................................ 9 (Notes to statements of cash flows) ....................................................................................... 10 (Significant subsequent event) ............................................................................................... 10
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2 1. Qualitative Information on Quarterly Financial Results (1) Explanation of Operating Results In the Japanese economy during the nine months ended December 31, 2025, domestic demand has continued to underpin economic conditions as consumer spending tended to recover mainly in service fields with a backdrop of improvements in employment and wages conditions, despite a continuous rise in consumer prices. The government has shown an attitude to continue to put emphasis on a favorable cycle of growth investment and wage hikes, and public investments have also been steadily growing in response to implementation of relevant budgets. While the overseas economy was on a moderate recovery trend even with regional disparities, unclear outlooks including fluctuations in exchange rates and resource prices caused by geopolitical risks and trends in financial policies may have impacts on corporate business performance. In the construction industry in which the Group’s main customers operate, an appetite for investment has steadily increased in fields related to datacenters and renewable energy, in addition to redevelopment projects mainly in urban areas. On the other hand, construction material prices continuously tended to hover high, and a sense of labor shortage has remained at high level in the construction industry that is a labor-intensive industry. Accordingly, management of construction period and ensuring of execution systems have become important issues in business management. Under such circumstances, the Group has worked on acquisition of demand in redevelopment and growth fields, exactly grasping trends in construction demand against a backdrop of large-scale development and private capital investment, and pushed ahead with further efficient and sophisticated sales and execution systems. As a result, the Totech Group’s business results for the nine months ended December 31, 2025 grew at a higher level year on year in both net sales and operating profit in each segment. In the future, the Group will continuously work to maintain and improve efficient sales and execution systems so as to achieve both ensuring of profitability and continuous growth, as paying close attention on changes in construction material prices, labor supply and demand, and other external environments. <Product sales business> The product sales business primarily sells equipment with a focus on air conditioners, controllers, and electric facilities equipment, and provides maintenance service. Owing to steady order intake including redevelopment projects especially in urban areas, net sales and gross profit amounted to ¥70,719 million (up 7.4% year on year) and ¥15,504 million (up 10.7% year on year), respectively. <Construction business> The construction business engages in design and execution of instrumentation work, plumbing and electric work, etc., as well as provision of regular and spot maintenance. Thanks to brisk construction demand and sales with proposals in the field of regular maintenance, net sales and gross profit amounted to ¥54,937 million (up 18.6% year on year) and ¥18,260 million (up 19.5% year on year), respectively. (2) Explanation of Financial Position (Assets) Total assets as of December 31, 2025 amounted to ¥118,679 million, an increase of ¥13,449 million from the end of the previous fiscal year. This was primarily attributable to an increase of ¥6,571 million in investment securities mainly due to a rise in the market value of held securities, and an increase of ¥4,551 million in land, as well as net increases of ¥2,364 million in trade receivable and inventories. (Liabilities) Total liabilities as of December 31, 2025 amounted to ¥49,103 million, an increase of ¥5,103 million from the end of the previous fiscal year. This was primarily attributable to an increase of ¥9,023 million in interest-
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3 bearing liabilities, an increase of ¥2,299 million in other current liabilities, and an increase of ¥2,774 million in deferred tax liabilities, despite decreases of ¥4,244 million in notes and accounts payable - trade and electronically recorded obligations - operating, a decrease of ¥2,484 million in provision for bonuses, and a decrease of ¥2,481 million in income taxes payable. (Net assets) Total net assets as of December 31, 2025 amounted to ¥69,575 million, an increase of ¥8,346 million from the end of the previous fiscal year. This was primarily attributable to an increase of ¥4,566 million in valuation difference on available-for-sale securities resulting mainly from a rise in the market value of held securities, as well as a net increase of ¥3,884 million in retained earnings in which dividends paid and other items were deducted from the recording of profit attributable to owners of parent. As a result, equity ratio as of December 31, 2025 stood at 58.6%, a 0.4% increase from the end of the previous fiscal year. (3) Explanation of Consolidated Financial Results Forecast and Other Forward-looking Information Regarding the consolidated financial results forecast for the fiscal year ending March 31, 2026, there have been no changes to the full-year consolidated financial results forecast announced on November 11, 2025.
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4 2. Quarterly Consolidated Financial Statements and Principal Notes (1) Quarterly Consolidated Balance Sheets (Million yen) As of March 31, 2025 As of December 31, 2025 Assets Current assets Cash and deposits 13,078 12,036 Notes and accounts receivable - trade, and contract assets 33,414 35,550 Electronically recorded monetary claims - operating 7,448 8,032 Inventories 4,632 4,276 Accounts receivable - other 1,321 819 Other 391 537 Allowance for doubtful accounts (0) (0) Total current assets 60,285 61,252 Non-current assets Property, plant and equipment Buildings and structures 14,327 14,771 Land 8,386 12,937 Leased assets 1,210 1,956 Construction in progress 523 460 Other 1,241 1,344 Accumulated depreciation (4,750) (5,239) Total property, plant and equipment 20,938 26,231 Intangible assets Goodwill 1,058 1,702 Software 658 377 Software in progress 184 464 Other 1,005 957 Total intangible assets 2,906 3,501 Investments and other assets Investment securities 15,055 21,626 Deferred tax assets 463 174 Retirement benefit asset 717 1,072 Other 4,937 4,951 Allowance for doubtful accounts (75) (130) Total investments and other assets 21,098 27,693 Total non-current assets 44,943 57,426 Total assets 105,229 118,679
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5 (Million yen) As of March 31, 2025 As of December 31, 2025 Liabilities Current liabilities Notes and accounts payable - trade 16,561 12,760 Electronically recorded obligations - operating 6,716 6,273 Short-term borrowings 2,998 12,469 Income taxes payable 3,274 792 Provision for bonuses 3,960 1,476 Provision for bonuses for directors (and other officers) 15 - Other 5,706 8,006 Total current liabilities 39,235 41,779 Non-current liabilities Long-term borrowings 819 373 Deferred tax liabilities 1,966 4,740 Provision for retirement benefits for directors (and other officers) 179 204 Retirement benefit liability 137 203 Other 1,662 1,801 Total non-current liabilities 4,764 7,323 Total liabilities 44,000 49,103 Net assets Shareholders’ equity Share capital 1,857 1,857 Capital surplus 2,319 2,344 Retained earnings 48,660 52,545 Treasury shares (210) (193) Total shareholders’ equity 52,626 56,553 Accumulated other comprehensive income Valuation difference on available-for-sale securities 7,065 11,632 Foreign currency translation adjustment 1,285 1,230 Remeasurements of defined benefit plans 250 159 Total accumulated other comprehensive income 8,601 13,021 Non-controlling interests 0 0 Total net assets 61,229 69,575 Total liabilities and net assets 105,229 118,679
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6 (2) Quarterly Consolidated Statements of Income and Comprehensive Income Quarterly Consolidated Statements of Income Nine Months Ended December 31 (Million yen) For the nine months ended December 31, 2024 For the nine months ended December 31, 2025 Net sales 110,422 123,195 Cost of sales 81,107 89,425 Gross profit 29,315 33,769 Selling, general and administrative expenses 19,124 21,560 Operating profit 10,190 12,208 Non-operating income Interest income 33 47 Dividend income 374 464 Purchase discounts 312 346 Foreign exchange gains 13 0 Miscellaneous income 263 227 Total non-operating income 997 1,086 Non-operating expenses Interest expenses 50 92 Provision of allowance for doubtful accounts - 9 Guarantee commission 66 68 Miscellaneous losses 34 148 Total non-operating expenses 151 318 Ordinary profit 11,037 12,976 Extraordinary income Gain on sale of investment securities 262 290 Total extraordinary income 262 290 Extraordinary losses Loss on retirement of non-current assets - 56 Total extraordinary losses - 56 Profit before income taxes 11,299 13,211 Income taxes - current 2,797 3,032 Income taxes - deferred 832 1,046 Total income taxes 3,629 4,078 Profit 7,670 9,132 Loss attributable to non-controlling interests (4) (0) Profit attributable to owners of parent 7,674 9,132
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7 Quarterly Consolidated Statements of Comprehensive Income Nine Months Ended December 31 (Million yen) For the nine months ended December 31, 2024 For the nine months ended December 31, 2025 Profit 7,670 9,132 Other comprehensive income Valuation difference on available-for-sale securities 846 4,566 Foreign currency translation adjustment 174 (55) Remeasurements of defined benefit plans, net of tax (123) (91) Total other comprehensive income 897 4,419 Comprehensive income 8,567 13,552 Comprehensive income attributable to Comprehensive income attributable to owners of parent 8,572 13,552 Comprehensive income attributable to non -controlling interests (4) (0)
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8 (3) Notes to Quarterly Consolidated Financial Statements (Notes on going concern assumption) Not applicable. (Notes in case of significant changes in shareholders’ equity) Not applicable.
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9 (Notes to segment information, etc.) [Segment Information] For the nine months ended December 31, 2024 (from April 1, 2024 to December 31, 2024) 1. Information on net sales and profit or loss by reportable segment (Million yen) Reportable segment Others (Note 1) Total Adjustment (Note 2) Amount recorded in Quarterly Consolidated Statements of Income (Note 3) Product Sales Business Construction Business Total Net sales Net sales to outside customers 64,130 46,261 110,391 31 110,422 - 110,422 Inter-segment net sales or transfers 1,735 63 1,798 - 1,798 (1,798) - Total 65,865 46,324 112,189 31 112,221 (1,798) 110,422 Segment profit 14,008 15,284 29,292 19 29,311 3 29,315 (Notes) 1. The category of “Others” represents an operating segment not included in reportable segments, which operates a solar power business. 2. The adjustment of segment profit of ¥3 million mainly represents elimination of inter-segment transactions. 3. Segment profit is adjusted against gross profit in quarterly consolidated statements of income. 2. Information on impairment loss on non-current assets or goodwill, etc. by reportable segment Not applicable. For the nine months ended December 31, 2025 (from April 1, 2025 to December 31, 2025) 1. Information on net sales and profit or loss by reportable segment (Million yen) Reportable segment Others (Note 1) Total Adjustment (Note 2) Amount recorded in Quarterly Consolidated Statements of Income (Note 3) Product Sales Business Construction Business Total Net sales Net sales to outside customers 68,316 54,853 123,170 25 123,195 - 123,195 Inter-segment net sales or transfers 2,403 84 2,487 - 2,487 (2,487) - Total 70,719 54,937 125,657 25 125,683 (2,487) 123,195 Segment profit 15,504 18,260 33,764 11 33,776 (6) 33,769 (Notes) 1. The category of “Others” represents an operating segment not included in reportable segments, which operates a solar power business. 2. The adjustment of segment profit of ¥(6) million mainly represents elimination of inter-segment transactions. 3. Segment profit is adjusted against gross profit in quarterly consolidated statements of income. 2. Information on impairment loss on non-current assets or goodwill, etc. by reportable segment
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10 (Significant change in amount of goodwill) In the construction business, SANNOU KIKOU CO., LTD., which became a wholly owned subsidiary, has been included in the scope of consolidation from the first quarter of the fiscal year under review. Goodwill increased by ¥954 million arising from this event for the nine months ended December 31, 2025. Since the allocation of acquisition cost has not been completed as of December 31, 2025, th e amount of goodwill was provisionally calculated. (Notes to statements of cash flows) Quarterly Consolidated Statements of Cash Flows for the nine months ended December 31, 2025 were not prepared. Depreciation (including amortization of intangible assets excluding goodwill) and amortization of goodwill for the nine months ended December 31 are as follows. (Million yen) For the nine months ended December 31, 2024 (from April 1, 2024 to December 31, 2024) For the nine months ended December 31, 2025 (from April 1, 2025 to December 31, 2025) Depreciation 1,165 1,227 Amortization of goodwill 154 297 (Significant subsequent event) (Acquisition of treasury shares) At the Board of Directors meeting held on February 13, 2026, the Company has resolved to repurchase its own shares pursuant to the provisions of Article 156 of the Companies Act, as applied by replacing the relevant terms pursuant to the provisions of Article 165, paragraph 3 of the same Act. 1. Purpose of the acquisition of treasury shares The Company will acquire treasury shares as part of flexible capital policy measures responsive to changes in the business environment and as part of shareholder return initiatives. 2. Details of the acquisition (1) Class of shares to be acquired Common shares of the Company (2) Total number of shares to be acquired 180,000 shares (maximum) (0.44% of the total number of outstanding shares (excluding treasury shares)) (3) Total value of shares to be acquired An amount obtained by multiplying the number in the above (2) by the closing price of shares of the Company on February 13, 2026 at the Tokyo Stock Exchange (maximum) (4) Date of acquisition February 16, 2026 (5) Method of acquisition Purchase through the off -auction own share repurchase transaction on the Tokyo Stock Exchange (ToSTNeT-3)