Notice Regarding Decision to Pursue the Sale of or Exit from the Medical Platform Business

• IR

SMS Co., Ltd. (the "Company") announces that, at a meeting of its Board of Directors held on October 29, 2026, it resolved to initiate the process to sell to a third party, or exit from, the Medical Platform Business (the "Target Business") operated by the MIMS Group, a group of consolidated subsidiaries of the Company (such sale or exit, the "Sale or Exit"). Details are as follows.
The counterparty, method, timing of execution, terms, and other specific details of the Sale or Exit have not been determined at this time. The Company will promptly make an announcement once they have been determined.

1. Reasons for the Decision

As stated in the “Corporate Value Creation Roadmap” (the presentation material for financial results summary for the fiscal year ended March 31, 2026) disclosed on April 28, 2026, the Company has been reviewing its business portfolio in order to concentrate management resources on its focus areas.
The Target Business operates platforms for healthcare professionals in the Asia-Pacific region (APAC) and, across the region, holds assets such as a drug database with strong brand recognition and a physician network.
The Company believes that operating the Target Business under a partner with superior product development capabilities and financial strength would be an effective way to further enhance its value. The Company has also determined that concentrating its management resources on the Career Business and the Elderly/Disability Care Management Support Business, which generate high returns on capital, will contribute to the enhancement of its corporate value.
In light of the above, the Company has decided to initiate the process for the Sale or Exit.

2. Overview of the Target Business

(1) Description of Business
Platform business for healthcare professionals in APAC

(2) Operating Results, etc. of the Target Business
The operating results, etc. of the Target Business are currently under examination as part of the ongoing carve-out process for the Target Business. The Company will promptly make an announcement once disclosure becomes possible.

3. Method and Schedule of the Sale or Exit

(1) Method
The Company will proceed with the process for the Sale or Exit. However, no decision has yet been made on specific matters such as the counterparty, the method (a sale through a share transfer, business transfer, or otherwise, or a discontinuation of the Target Business), the timing, or the terms.

(2) Schedule

4. Future Outlook

The impact of the Sale or Exit on the Company’s consolidated financial results for the fiscal year ending March 31, 2027 and thereafter is currently under examination. The Company will promptly make an announcement if the counterparty, method, terms, etc. of the Sale or Exit are determined, or if any impact on its financial results that requires disclosure becomes apparent.
There is no change at this time to the consolidated financial forecast for the fiscal year ending March 31, 2027 announced on April 28, 2026.

(Reference) Consolidated Financial Forecast for the Current Fiscal Year (Announced on April 28, 2026) and Consolidated Results for the Previous Fiscal Year

(millions of yen)

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Notice Regarding Decision to Pursue the Sale of or Exit from the Medical Platform Business