QPS Holdings (464A) investor relations material

Executive summary

• Secured a major five-year contract with the Ministry of Defense for satellite constellation operations, with expected revenue of ¥69.7 billion, strengthening the long-term business foundation.

• Achieved four successful commercial satellite launches, expanding the operational constellation to nine satellites.

• Expanded strategic partnerships with major corporations to accelerate entry into private and overseas markets.

• Strengthened financial base through a syndicated loan and a ¥15.2 billion third-party share issuance.

• Adjusted satellite launch schedule due to changes by Rocket Lab, with one launch postponed to after June 2026.

Financial highlights

• 3Q cumulative revenue was ¥1,611 million, down ¥227 million year-over-year; EBITDA reached ¥1,101 million, up ¥760 million.

• Operating loss was ¥1,450 million, with an ordinary loss of ¥182 million and a net loss attributable to shareholders of ¥187 million.

• Full-year revenue forecast maintained at ¥4,000 million, but operating loss forecast widened to ¥2,200 million due to increased depreciation and communication costs.

• 3Q cumulative business income increased by ¥1.35 billion year-over-year, driven by government contracts and subsidies.

• No dividend declared or paid for the period.

Outlook and guidance

• Full-year image data sales forecast revised upward to ¥2,100 million, reflecting strong government demand.

• Development and research sales forecast revised downward to ¥1,900 million due to project delays.

• Full-year revenue forecast revised to ¥4,000 million, with an expected net profit per share of ¥10.33.

• Continued large-scale upfront investments planned for satellite manufacturing and launches.

• Ongoing receipt of government grants and execution of syndicated loans to support accelerated constellation build-out.