DJCO

• Journal Technologies revenue grew 19.5% to $22.1 million in the quarter, and 21.0% to $55.6 million for the nine months.
• Income from operations was $5.3 million for the quarter and $8.7 million for the nine months, up from $3.2 million and $4.9 million, respectively.
• Net loss for the quarter was $10.9 million, or ($7.90) per share, driven by net unrealized losses on marketable securities of $24.1 million.
• As of June 30, 2026, marketable securities had a fair market value of $406.0 million with accumulated pretax unrealized gains of $266.9 million.

2.02 Results of Operations and Financial Condition · 9.01 Financial Statements and Exhibits

• Journal Technologies revenue rose 32.2% to $18.2 million in Q2; first-half revenue was $33.4 million, up 22.0%.
• Income from operations was $3.0 million in Q2, up from $1.0 million; first-half operating income was $3.5 million, up from $1.7 million.
• Net loss for Q2 was $34.6 million, or ($25.14) per share, driven by $51.2 million in net unrealized losses on marketable securities.
• Marketable securities fair value was $430.1 million as of March 31, 2026, with accumulated pretax unrealized gains of $291.0 million.

2.02 Results of Operations and Financial Condition · 9.01 Financial Statements and Exhibits

• Daily Journal Corporation held its 2026 Annual Meeting of Shareholders on February 24, 2026, with 1,235,109 shares represented.
• Shareholders ratified Baker Tilly US, LLP as independent registered public accounting firm for fiscal year ending September 30, 2026, with 1,222,331 votes for and 2,268 against.
• Shareholders approved, on a non-binding advisory basis, executive compensation, with 907,768 votes for and 17,834 against, and 300,133 broker non-votes.
• The report was filed under Item 5.07 to disclose the final voting results of the annual meeting.

5.07 Submission of Matters to a Vote of Security Holders

• Journal Technologies revenue rose 12% to $15.2 million, driven by higher public service fees and license/maintenance fees.
• Traditional Business advertising and circulation revenue increased 6% to $4.4 million.
• Net loss was $8.0 million, or ($5.79) per share, compared to net income of $10.9 million, or $7.91 per diluted share, in the prior-year quarter, primarily due to net unrealized losses on marketable securities.
• As of December 31, 2025, marketable securities had a fair market value of $481.3 million with accumulated pretax unrealized gains of $342.2 million.

2.02 Results of Operations and Financial Condition · 9.01 Financial Statements and Exhibits

• The committee consists solely of independent directors Mary Conlin, John Frank, and Rasool Rayani, with Rayani as Chair.
• The Board determined each member meets Nasdaq independence requirements under Rule 5605(a)(2).
• The Nominating Committee Charter is attached as Exhibit 99.1 to the Form 8-K.
• The company has two other standing committees: Audit and Compensation, both chaired by Mary Conlin.

8.01 Other Events · 9.01 Financial Statements and Exhibits

• Total consolidated revenue for fiscal year ended September 30, 2025 was $87.7 million, a 25% increase from $69.9 million in fiscal 2024.
• Operating income was $9.5 million (10.9% of revenue) versus $4.1 million (5.8% of revenue) in the prior year.
• Net income was $112.1 million, or $81.41 per diluted share, up from $78.1 million, or $56.73 per diluted share, in fiscal 2024.
• The company generated $13.3 million in operating cash flow and held marketable securities with a fair value of $493.0 million as of September 30, 2025.

2.02 Results of Operations and Financial Condition · 9.01 Financial Statements and Exhibits

• Daily Journal Corporation issued a press release on December 26, 2025, addressing threats and false statements from Buxton Helmsley USA, Inc. and its CEO Alexander Erwin Parker.
• The Company has referred Buxton Helmsley and Parker to federal and state authorities for consideration of criminal prosecution, and to the SEC's Enforcement Division for civil charges.
• The Company refuted Parker's accounting allegations regarding software development costs under ASC 985-20, stating its auditor and a third-party expert support its practices.
• The Company filed this 8-K under Item 8.01 to publicly disclose the correspondence and defend against what it calls a harassment campaign.

8.01 Other Events · 9.01 Financial Statements and Exhibits

• Erik Nakamura, 50, was appointed Chief Financial Officer and Principal Financial Officer of Daily Journal Corporation, effective December 12, 2025.
• Current CFO Tu To is expected to retire on January 15, 2026, and is transitioning her duties to Nakamura.
• The appointment continues the company's initiative since 2023 to build its finance team with modernized systems and controls.
• Specific compensation terms for Nakamura have not been finalized and will be disclosed in a future SEC filing.

5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements