0001829126-26-012200 | 6-K | XBRL Viewer

Subsequent Events	6 Months Ended
Aug. 31, 2026
Subsequent Events [Abstract]
Subsequent Events	Note 3 — Subsequent Events The Company has evaluated subsequent events through November 10, 2026, the date these unaudited condensed consolidated financial statements were available to be issued, and has determined that the following subsequent event requires disclosure. Subsequent to August 31, 2026, the Company implemented a reorganization of certain of its subsidiaries and business functions, effective September 1, 2026. The Company is currently evaluating the accounting and disclosure impacts of the reorganization, and an estimate of its financial effect cannot be made at this time. The reorganization had no impact on the accompanying unaudited condensed consolidated financial statements as of and for the six months ended August 31, 2026.

Subsequent Events

6 Months Ended

Aug. 31, 2026

Note 3 — Subsequent Events

The Company has evaluated subsequent events through November 10, 2026, the date these unaudited condensed consolidated financial statements were available to be issued, and has determined that the following subsequent event requires disclosure.

Subsequent to August 31, 2026, the Company implemented a reorganization of certain of its subsidiaries and business functions, effective September 1, 2026. The Company is currently evaluating the accounting and disclosure impacts of the reorganization, and an estimate of its financial effect cannot be made at this time. The reorganization had no impact on the accompanying unaudited condensed consolidated financial statements as of and for the six months ended August 31, 2026.

Revenue

6 Months Ended

Aug. 31, 2026

Revenue

Revenue

Note 2 — Revenue

The following table presents the Company’s revenue from contracts with customers by reportable segment, disaggregated by major product and service lines and geographical markets for the six months ended August 31, 2025 and 2026:

Schedule of geographical markets
	For the Six Months Ended August 31, 2025
	Software Defined Vehicle (SDV)		Location- Based Services (LBS)		Other and Eliminations			Total
	JPY		JPY		JPY			JPY
	(In thousands)
Major Product/Service Lines
Software Development Services		7,200,099		1,459,873		(598,143	)		8,061,829
Licensing		235,721		1,231,158		-			1,466,879
Software-related Services		200,962		468,433		62,983			732,378
Total		7,636,782		3,159,464		(535,160	)		10,261,086
Geographical Markets
Japan		7,533,554		3,158,864		(596,726	)		10,095,692
International		103,228		600		61,566			165,394
Total		7,636,782		3,159,464		(535,160	)		10,261,086

	For the Six Months Ended August 31, 2026
	SDV		LBS		Other and Eliminations			Total		Total
	JPY		JPY		JPY			JPY		US$
	(In thousands)
Major Product/Service Lines
Software Development Services		7,519,263		1,483,355		(607,325	)		8,395,293		52,556
Licensing		191,123		1,329,297		-			1,520,420		9,518
Software-related Services		193,314		503,542		165			697,021		4,363
Total		7,903,700		3,316,194		(607,160	)		10,612,734		66,437
Geographical Markets
Japan		7,861,808		3,316,194		(782,812	)		10,395,190		65,075
International		41,892		-		175,652			217,544		1,362
Total		7,903,700		3,316,194		(607,160	)		10,612,734		66,437

Revenue (Tables)

6 Months Ended

Aug. 31, 2026

Revenue

Schedule of geographical markets

Schedule of geographical markets
	For the Six Months Ended August 31, 2025
	Software Defined Vehicle (SDV)		Location- Based Services (LBS)		Other and Eliminations			Total
	JPY		JPY		JPY			JPY
	(In thousands)
Major Product/Service Lines
Software Development Services		7,200,099		1,459,873		(598,143	)		8,061,829
Licensing		235,721		1,231,158		-			1,466,879
Software-related Services		200,962		468,433		62,983			732,378
Total		7,636,782		3,159,464		(535,160	)		10,261,086
Geographical Markets
Japan		7,533,554		3,158,864		(596,726	)		10,095,692
International		103,228		600		61,566			165,394
Total		7,636,782		3,159,464		(535,160	)		10,261,086

	For the Six Months Ended August 31, 2026
	SDV		LBS		Other and Eliminations			Total		Total
	JPY		JPY		JPY			JPY		US$
	(In thousands)
Major Product/Service Lines
Software Development Services		7,519,263		1,483,355		(607,325	)		8,395,293		52,556
Licensing		191,123		1,329,297		-			1,520,420		9,518
Software-related Services		193,314		503,542		165			697,021		4,363
Total		7,903,700		3,316,194		(607,160	)		10,612,734		66,437
Geographical Markets
Japan		7,861,808		3,316,194		(782,812	)		10,395,190		65,075
International		41,892		-		175,652			217,544		1,362
Total		7,903,700		3,316,194		(607,160	)		10,612,734		66,437

Cover	6 Months Ended
Cover	Aug. 31, 2026
Cover [Abstract]
Document Type	6-K
Amendment Flag	false
Document Period End Date	Aug. 31, 2026
Current Fiscal Year End Date	--02-28
Entity Registrant Name	Micware Co., Ltd
Entity Central Index Key	0002083526

Revenue (Details) ¥ in Thousands, $ in Thousands	6 Months Ended
Revenue (Details) ¥ in Thousands, $ in Thousands	Aug. 31, 2026 USD ($)	Aug. 31, 2026 JPY (¥)	Aug. 31, 2025 JPY (¥)
Revenues	$ 66,437	¥ 10,612,734	¥ 10,261,086
JAPAN
Revenues	65,075	10,395,190	10,095,692
International [Member]
Revenues	1,362	217,544	165,394
Software Development Services [Member]
Revenues	52,556	8,395,293	8,061,829
Licensing [Member]
Revenues	9,518	1,520,420	1,466,879
Software Related Services [Member]
Revenues	$ 4,363	697,021	732,378
Software Defined Vehicle [Member]
Revenues		7,903,700	7,636,782
Software Defined Vehicle [Member] \| JAPAN
Revenues		7,861,808	7,533,554
Software Defined Vehicle [Member] \| International [Member]
Revenues		41,892	103,228
Software Defined Vehicle [Member] \| Software Development Services [Member]
Revenues		7,519,263	7,200,099
Software Defined Vehicle [Member] \| Licensing [Member]
Revenues		191,123	235,721
Software Defined Vehicle [Member] \| Software Related Services [Member]
Revenues		193,314	200,962
Location Based Services [Member]
Revenues		3,316,194	3,159,464
Location Based Services [Member] \| JAPAN
Revenues		3,316,194	3,158,864
Location Based Services [Member] \| International [Member]
Revenues			600
Location Based Services [Member] \| Software Development Services [Member]
Revenues		1,483,355	1,459,873
Location Based Services [Member] \| Licensing [Member]
Revenues		1,329,297	1,231,158
Location Based Services [Member] \| Software Related Services [Member]
Revenues		503,542	468,433
Other And Eliminations [Member]
Revenues		(607,160)	(535,160)
Other And Eliminations [Member] \| JAPAN
Revenues		(782,812)	(596,726)
Other And Eliminations [Member] \| International [Member]
Revenues		175,652	61,566
Other And Eliminations [Member] \| Software Development Services [Member]
Revenues		(607,325)	(598,143)
Other And Eliminations [Member] \| Licensing [Member]
Revenues
Other And Eliminations [Member] \| Software Related Services [Member]
Revenues		¥ 165	¥ 62,983

- Definition

Amount of revenue recognized from goods sold, services rendered, insurance premiums, or other activities that constitute an earning process. Includes, but is not limited to, investment and interest income before deduction of interest expense when recognized as a component of revenue, and sales and trading gain (loss).

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+ Details

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
¥ in Thousands, $ in Thousands

Aug. 31, 2026

USD ($)

Aug. 31, 2026

JPY (¥)

Feb. 28, 2026

JPY (¥)

Current Assets

Cash and cash equivalents

$ 66,272

¥ 10,586,282

¥ 8,259,660

Accounts receivable, net

5,345

853,758

1,758,584

Accounts receivable due from related parties, net

136

21,704

86,934

Contract assets

3,869

618,031

223,490

Contract assets due from related parties

13,155

2,101,404

3,126,224

Inventories

1,616

258,157

18,902

Tax receivable

3,422

4,929

Prepayments and other current assets

6,375

1,018,385

1,026,648

Prepayments and other current assets due from related parties

198

31,670

13,074

Total current assets

96,987

15,492,813

14,518,445

Non-current Assets

Property and equipment, net

10,653

1,701,737

1,849,599

Operating lease right-of-use assets, net

20,295

3,241,960

3,834,503

Intangible assets, net

1,386

221,394

206,920

Long-term investments

2,202

351,771

317,000

Goodwill

1,498

239,228

Deferred offering costs

231,986

Deferred tax assets, net

8,425

1,345,878

1,028,394

Long-term prepayments and other non-current assets

13,795

2,203,537

2,213,137

Total non-current assets

58,254

9,305,505

9,920,767

TOTAL ASSETS

155,241

24,798,318

24,439,212

Current liabilities

Short-term borrowings

800,000

Current portion of long-term borrowings

8,940

1,428,138

2,021,924

Accounts payable

4,909

784,234

1,217,573

Accounts payable due to a related party

983

157,101

188,264

Current portion of contract liabilities

5,859

935,938

763,650

Current portion of contract liabilities due to a related party

1,614

257,838

646,603

Operating lease liabilities, current

7,088

1,132,254

1,206,136

Taxes payable

3,110

496,858

530,424

Accrued expenses and other current liabilities

8,894

1,420,843

1,388,559

Accrued expenses and other current liabilities due to related parties

873

Total current liabilities

41,397

6,613,204

8,764,006

Non-current liabilities

Long-term borrowings

11,329

1,809,679

2,565,203

Contract liabilities, non-current

5,216

833,146

877,430

Operating lease liabilities, non-current

14,657

2,341,277

2,880,319

Deferred tax liabilities, net

426

68,001

61,513

Other non-current liabilities

3,758

600,246

678,073

Total non-current liabilities

35,386

5,652,349

7,062,538

TOTAL LIABILITIES

76,783

12,265,553

15,826,544

Mezzanine equity

Redeemable ordinary shares (313,300 and 0 nil shares issued and outstanding as of February 28, 2026 and August 31, 2026, respectively)*

^[1]

391,124

TOTAL MEZZANINE EQUITY

391,124

Equity

Ordinary shares, 125,320,000 shares authorized; 58,054,490 shares issued and 55,828,614 shares outstanding as of February 28, 2026, and 61,331,990 shares issued and 59,419,414 shares outstanding as of August 31, 2026

^[1]

26,293

4,200,000

480,000

Treasury shares, 1,912,576 shares as of February 28, 2026 and August 31, 2026*

(2,209)

^[1]

(352,877)

(410,683)

Additional paid-in capital

6,983

1,115,496

997,803

Retained earnings

46,595

7,443,068

6,823,084

Accumulated other comprehensive income

796

127,078

118,474

Total equity attributable to shareholders of the Company

78,458

12,532,765

8,008,678

Non-controlling interests

212,866

TOTAL EQUITY

78,458

12,532,765

8,221,544

TOTAL LIABILITIES, MEZZANINE EQUITY AND EQUITY

$ 155,241

¥ 24,798,318

¥ 24,439,212

[1]	The shares and per share information are presented on a retroactive basis to reflect the share split from 1 to 130, which became effective on March 1, 2024, and reflect the share split from 1 to 241, which became effective on March 31, 2026.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
¥ in Thousands, $ in Thousands

6 Months Ended

Aug. 31, 2026

USD ($)

$ / shares

Aug. 31, 2026

JPY (¥)

¥ / shares

Aug. 31, 2025

JPY (¥)

¥ / shares

Income Statement [Abstract]

Revenue - third parties

$ 21,813

¥ 3,484,454

¥ 3,368,257

Revenue - related parties

44,624

7,128,280

6,892,829

Total Revenue

66,437

10,612,734

10,261,086

Cost of revenue

42,349

6,764,846

7,040,540

Gross profit

24,088

3,847,888

3,220,546

Operating expenses

Selling, general, and administrative expenses

13,960

2,229,961

1,916,500

Research and development expenses

5,191

829,203

519,153

Total operating expenses

19,151

3,059,164

2,435,653

Operating profit

4,937

788,724

784,893

Other income (expense)

Interest expenses, net

(82)

(13,042)

(18,977)

Loss from disposal of long-lived assets

(9)

(1,410)

Loss from disposal of long-term investment

(5)

(820)

Gain from change in fair market value of equity securities

223

35,591

4,407

(Loss) gain from foreign currency exchange

9,399

(971)

Gain on bargain purchase

106,805

Other income (expenses), net

(191)

(30,468)

20,287

Total other income (expense), net

(5)

(750)

111,551

INCOME BEFORE INCOME TAX PROVISION

4,932

787,974

896,444

PROVISION (BENEFIT) FOR INCOME TAXES

Current

3,043

486,068

514,044

Deferred

(1,947)

(311,026)

(326,400)

Total provision for income taxes

1,096

175,042

187,644

Net income

3,836

612,932

708,800

Less: net (income) loss attributable to non-controlling interests

7,052

(5,867)

Net income attributable to the Company’s ordinary shareholders

3,880

619,984

702,933

Other comprehensive (loss) income, net of tax:

Foreign currency translation adjustments

11,532

(9,008)

Total comprehensive income

3,908

624,464

699,792

Less: comprehensive (income) loss attributable to non-controlling interests

4,124

(4,246)

Comprehensive income attributable to the Company

$ 3,934

¥ 628,588

¥ 695,546

WEIGHTED AVERAGE NUMBER OF ORDINARY SHARES

Basic

^[1]

58,055,596

56,000,976

Diluted

^[1]

63,221,297

56,000,976

EARNINGS PER SHARE

Basic | (per share)

^[1]

$ 0.07

¥ 10.68

¥ 12.55

Diluted | (per share)

^[1]

$ 0.06

¥ 9.81

¥ 12.55

[1]	The shares and per share information are presented on a retroactive basis to reflect the share split from 1 to 130, which became effective on March 1, 2024, and reflect the share split from 1 to 241, which became effective on March 31, 2026.

Basis of Presentation and Summary of Significant Accounting Policies (Details Narrative) ¥ / shares in Units, ¥ in Thousands	6 Months Ended
	Aug. 31, 2026 JPY (¥) ¥ / shares
Accounting Policies [Abstract]
Convenience translations \| ¥	¥ 159,740
Foreign exchange rate \| ¥ / shares	¥ 1.00

Basis of Presentation and Summary of Significant Accounting Policies

6 Months Ended

Aug. 31, 2026

Accounting Policies [Abstract]

Basis of Presentation and Summary of Significant Accounting Policies

Note 1 — Basis of Presentation and Summary of Significant Accounting Policies

The accompanying unaudited condensed consolidated financial statements of Micware Co., Ltd. and its subsidiaries (collectively, the “Company”) have been prepared using accounting policies consistent with those applied in the Company’s audited consolidated financial statements for the fiscal year ended February 28, 2026, which were prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). These unaudited condensed consolidated financial statements do not include all of the information and disclosures required by GAAP for interim or annual financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair statement of the results for the interim periods presented have been included. The results of operations for the six months ended August 31, 2026 are not necessarily indicative of the results to be expected for the fiscal year ending February 28, 2027.

The Company’s functional currency and reporting currency are the Japanese yen (“JPY” or “¥”), the legal currency of Japan. The terms “dollar,” “US$,” or “$” refer to U.S. dollars, the legal currency of the United States. Convenience translations with respect to financial information as of and for the six months ended August 31, 2026 included herein are based on the exchange rate of JPY to U.S. dollars of ¥159.74=$1.00, which was the foreign exchange rate on August 31, 2026, the last business day of that period, as reported by the United States Federal Reserve Board. Changes in the exchange rate will affect the U.S. dollar equivalent of the Company’s obligations and assets, including accounts receivable, and may result in an increase or decrease in these amounts when expressed in thousands of U.S. dollars. No representation is made that JPY amounts have been, could have been, or could be, converted into US$ at that rate or any other rate.

As described in Note 3, the Company implemented a reorganization of certain of its subsidiaries and business functions effective September 1, 2026, and is reassessing its operating and reportable segments in connection with the reorganization. Accordingly, segment profit or loss and related disclosures have not been presented in these unaudited condensed consolidated financial statements. Revenue disaggregated by the Company’s current reportable segments is presented in Note 2.

These unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the fiscal year ended February 28, 2026, included in the Company’s Annual Report on Form 20-F filed with the U.S. Securities and Exchange Commission on June 30, 2026.

There have been no material changes to the Company’s significant accounting policies from those described in Note 2 to the audited consolidated financial statements for the fiscal year ended February 28, 2026.

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS ¥ in Thousands, $ in Thousands	6 Months Ended
	Aug. 31, 2026 USD ($)	Aug. 31, 2026 JPY (¥)	Aug. 31, 2025 JPY (¥)
Cash flows from operating activities
Net income	$ 3,836	¥ 612,932	¥ 708,800
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense	1,297	207,177	207,205
Amortization of operating lease right-of-use assets	3,703	591,496	561,048
Share-based compensation	1,830	292,284
Loss on disposal of property and equipment	9	1,410
Loss on disposal of long-term investment	5	820
Change in fair value of marketable securities	(223)	(35,591)	(4,407)
Gain on bargain purchase			(106,805)
Deferred tax benefit	(1,947)	(311,026)	(326,400)
Changes in operating assets and liabilities:
Accounts receivable	5,664	904,826	968,211
Accounts receivable due from related parties	408	65,230	949,237
Contract assets	(2,470)	(394,541)	(219,757)
Contract assets due from related parties	6,416	1,024,820	(420,916)
Inventories	(1,498)	(239,255)	(34,014)
Tax receivables	9	1,507	333,822
Prepayments and other assets	725	115,803	153,955
Prepayments and other assets due from related parties	(116)	(18,596)	(16,047)
Accounts payable	(2,713)	(433,339)	(159,395)
Accounts payable due to a related party	(195)	(31,163)	(4,220)
Contract liabilities	801	128,004	242,691
Contract liabilities due to a related party	(2,434)	(388,765)	264,092
Accrued expenses and other liabilities	(371)	(59,237)	150,496
Accrued expenses and other liabilities due to related parties	(5)	(873)	(96)
Operating lease liabilities	(3,830)	(611,871)	(516,075)
Taxes payable	(210)	(33,566)	(426,683)
Net cash provided by operating activities	8,691	1,388,486	2,304,742
Cash flows from investing activities
Payment for investment			(200,354)
Purchase of property and equipment	(553)	(88,382)	(33,485)
Proceeds from sale of property and equipment	1	107	464
Purchase of intangible assets	(223)	(35,643)	(277)
Acquisitions			(205,000)
Net cash used in investing activities	(775)	(123,918)	(438,652)
Cash flows from financing activities
Proceeds from borrowings	1,878	300,000	100,000
Repayment of borrowings	(15,333)	(2,449,310)	(999,810)
Payments on deferred offering costs	(1,203)	(192,225)	(82,357)
Repayments of finance lease obligation	(223)	(35,611)	(31,398)
Net proceeds from IPO	23,670	3,781,042
Reissuance of treasury shares			149,940
Acquisition of noncontrolling interests in subsidiaries	(2,213)	(353,482)
Net cash (used in) provided by financing activities	6,576	1,050,414	(863,625)
Effect of foreign exchange rate changes on cash and cash equivalents	73	11,640	(9,263)
Net increase in cash and cash equivalents	14,565	2,326,622	993,202
Cash and cash equivalents at the beginning of the period	51,707	8,259,660	7,670,463
Cash and cash equivalents at the end of the period	66,272	10,586,282	8,663,665
Supplementary cash flow information
Cash paid for income taxes	3,792	605,670	80,715
Cash paid for interest expenses	154	24,661	25,987
Non-cash financing and investing activities
Operating lease right-of-use assets obtained in exchange for operating lease liabilities	91	14,508	1,020,425
Finance lease right-of-use assets obtained in exchange for finance lease liabilities	284	45,288	50,771
Remeasurement of operating lease liabilities and right-of-use assets due to modifications	20	3,271
Adjustments to redeemable ordinary shares fair value measurement			39,000
Conversion of redeemable ordinary shares into permanent equity upon IPO	2,449	391,124
Offering cost incurred for IPO	$ 2,656	¥ 424,211

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - shares	Aug. 31, 2026	Feb. 28, 2026
Statement of Financial Position [Abstract]
Temporary equity, shares issued	0	313,300
Temporary equity, shares outstanding	0	313,300
Common Stock, Shares Authorized	125,320,000	125,320,000
Common Stock, Shares, Issued	61,331,990	58,054,490
Common Stock, Shares, Outstanding	59,419,414	55,828,614
Treasury shares	1,912,576	1,912,576

- Definition

Number of shares of common stock outstanding. Common stock represent the ownership interest in a corporation.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481112/505-10-50-2

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section S45
-Paragraph 3
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480100/505-10-S45-3

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 210
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(29))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480566/210-10-S99-1

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 942
-SubTopic 210
-Name Accounting Standards Codification
-Section S45
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477657/942-210-S45-1

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 942
-SubTopic 210
-Name Accounting Standards Codification
-Section S50
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478478/942-210-S50-1

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 942
-SubTopic 210
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.9-03(20))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478546/942-210-S99-1

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 210
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SX 210.6-05(4))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479170/946-210-S99-2

Reference 8: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 946
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 3
-Subparagraph (SX 210.6-09(4)(b))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479134/946-220-S99-3

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 210
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.6-04(16)(a))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479170/946-210-S99-1

Reference 10: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 946
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 3
-Subparagraph (SX 210.6-09(7))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479134/946-220-S99-3

+ Details

- Definition

The number of securities classified as temporary equity that have been sold (or granted) to the entity's shareholders. Securities issued include securities outstanding and securities held in treasury. Temporary equity is a security with redemption features that are outside the control of the issuer, is not classified as an asset or liability in conformity with GAAP, and is not mandatorily redeemable. Includes any type of security that is redeemable at a fixed or determinable price or on a fixed or determinable date or dates, is redeemable at the option of the holder, or has conditions for redemption which are not solely within the control of the issuer. If convertible, the issuer does not control the actions or events necessary to issue the maximum number of shares that could be required to be delivered under the conversion option if the holder exercises the option to convert the stock to another class of equity. If the security is a warrant or a rights issue, the warrant or rights issue is considered to be temporary equity if the issuer cannot demonstrate that it would be able to deliver upon the exercise of the option by the holder in all cases. Includes stock with put option held by ESOP and stock redeemable by holder only in the event of a change in control of the issuer.

+ References + Details

- Definition

The number of securities classified as temporary equity that have been issued and are held by the entity's shareholders. Securities outstanding equals securities issued minus securities held in treasury. Temporary equity is a security with redemption features that are outside the control of the issuer, is not classified as an asset or liability in conformity with GAAP, and is not mandatorily redeemable. Includes any type of security that is redeemable at a fixed or determinable price or on a fixed or determinable date or dates, is redeemable at the option of the holder, or has conditions for redemption which are not solely within the control of the issuer. If convertible, the issuer does not control the actions or events necessary to issue the maximum number of shares that could be required to be delivered under the conversion option if the holder exercises the option to convert the stock to another class of equity. If the security is a warrant or a rights issue, the warrant or rights issue is considered to be temporary equity if the issuer cannot demonstrate that it would be able to deliver upon the exercise of the option by the holder in all cases. Includes stock with put option held by ESOP and stock redeemable by holder only in the event of a change in control of the issuer.

+ References + Details

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
¥ in Thousands, $ in Thousands

Common Stock [Member]

USD ($)

Common Stock [Member]

JPY (¥)

Treasury Shares [Member]

USD ($)

Treasury Shares [Member]

JPY (¥)

Additional Paid-in Capital [Member]

USD ($)

Additional Paid-in Capital [Member]

JPY (¥)

Retained Earnings [Member]

USD ($)

Retained Earnings [Member]

JPY (¥)

AOCI Attributable to Parent [Member]

USD ($)

AOCI Attributable to Parent [Member]

JPY (¥)

Noncontrolling Interest [Member]

USD ($)

Noncontrolling Interest [Member]

JPY (¥)

USD ($)

JPY (¥)

Beginning balance, value at Feb. 28, 2025

¥ 480,000

¥ (489,121)

¥ 926,301

¥ 5,540,108

¥ 69,722

¥ 184,038

¥ 6,711,048

Beginning balance, shares at Feb. 28, 2025 | shares

^[1]

58,054,490

2,337,700

Net income (loss)

702,933

5,867

708,800

Foreign currency translation adjustment

(7,387)

(1,621)

(9,008)

Reissuance of treasury shares

¥ 78,438

71,502

149,940

Reissuance of treasury shares, shares | shares

^[1]

(425,124)

Adjustments to redeemable ordinary shares fair value measurement

(39,000)

Ending balance, value at Aug. 31, 2025

¥ 480,000

¥ (410,683)

997,803

6,204,041

62,335

188,284

7,521,780

Ending balance, shares at Aug. 31, 2025 | shares

^[1]

58,054,490

1,912,576

Beginning balance, value at Feb. 28, 2026

¥ 480,000

¥ (410,683)

997,803

6,823,084

118,474

212,866

8,221,544

Beginning balance, shares at Feb. 28, 2026 | shares

^[1]

58,054,490

1,912,576

Net income (loss)

619,984

(7,052)

$ 3,836

612,932

Foreign currency translation adjustment

8,604

2,928

11,532

Issuance of ordinary shares upon Initial public offering (“IPO”), net of issuance costs

¥ 3,720,000

61,042

3,781,042

[custom:IssuanceOfOrdinarySharesUponInitialPublicOfferingIpoNetOfIssuanceCostsShares] | shares

^[1]

3,277,500

Offering cost incurred for IPO

(424,211)

Conversion of redeemable ordinary shares into permanent equity upon IPO

57,806

333,318

391,124

Acquisition of noncontrolling interests

(144,740)

(208,742)

(353,482)

Share-based compensation

292,284

Ending balance, value at Aug. 31, 2026

¥ 4,200,000

¥ (352,877)

¥ 1,115,496

¥ 7,443,068

¥ 127,078

78,458

¥ 12,532,765

Ending balance, shares at Aug. 31, 2026 | shares

^[1]

61,331,990

1,912,576

Ending balance, shares at Aug. 31, 2026 | shares

^[1]

Ending balance, value at Aug. 31, 2026 | $

$ 26,293

$ (2,209)

$ 6,983

$ 46,595

$ 796

$ 78,458

[1]	The shares and per share information are presented on a retroactive basis to reflect the share split from 1 to 130, which became effective on March 1, 2024, and reflect the share split from 1 to 241, which became effective on March 31, 2026.