Slides
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Results of FY2026 1Q Outlook for FY2026 August 4, 2026 Teijin Limited
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Key points of the financial announcement Results of FY2026 1Q ⚫Adjusted operating income: ¥12.3 billion (+¥4.5 billion compared with FY2025 1Q) ✓Inventory build-up among customers driven by the Middle East situation and early realization of price increase effects in certain applications, etc. ⚫Profit attributable to owners of parent: ¥45.1 billion (+¥45.8 billion compared with FY2025 1Q, completion of the transfer of the aramid paper business in April 2026) Outlook for FY2026 ⚫While revenue exceeded the initial forecast, profit and dividend forecast are unchanged ⚫Adjusted operating income: ¥30.0 billion (+¥4.2 billion compared with FY2025) ⚫Annual dividend: Forecast to be at ¥50/share (Interim: ¥25/share, Year-end: ¥25/share) Topics ⚫As part of structural reform in the pharmaceutical business, a contract has been signed to transfer the sales functions for seven long-listed drugs 1
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Contents 1 Results of FY2026 1Q 2 Outlook for FY2026 3 Supplementary information
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1 Results of FY2026 1Q 2 Outlook for FY2026 3 Supplementary information Contents 3
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FY2026 1Q actual highlights [Compared with FY2025 1Q] Results of FY2026 1Q Outlook for FY2026 Supplementary information *1 ROE = Profit (loss) attributable to owners of parent / Average of the equity attributable to owners of parent as of the beginning and the end of the FY (Annualized) *2 ROIC = Adjusted operating income after tax / Average of invested capital as of the beginning and the end of the FY (Invested capital = Capital + Interest-bearing debt)(Annualized) ⚫Revenue decreased by ¥21.2 billion, adjusted operating income increased by ¥4.5 billion ⚫Profit attributable to owners of parent was ¥45.1 billion mainly due to the transfer of the aramid paper business FY25 1Q FY26 1Q Difference 243.1 221.9 -21.2 7.8 12.3 +4.5 (3.5) (0.4) +3.1 (4.2) 47.8 +52.0 (0.9) (14.6) -13.7 (0.7) 45.1 +45.8 (0.7%) 46.3% +47.0% 2.8% 5.0% +2.2% Yen/US$ 145 159 Yen/Euro 164 185 69 96 36 46An average Europe natural gas price (Euro/MWh) Others ROIC*2 Non-recurring items (Billions of Yen) Financial income and costs Revenue Adjusted operating income ROE *1 PL exchange rate Profit (loss) attributable to owners of parent An average Dubai crude oil price (US$/barrel) ✓ ✓ ✓ 4
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（Billions of Yen） FY25 1Q FY26 1Q Difference %change FY25 1Q FY26 1Q Difference %change Apparel & Industries 82.1 91.7 +9.6 +11.7% 4.1 4.8 +0.7 +17.5% Healthcare & Life Solutions 33.8 32.9 -0.9 -2.6% 4.0 4.6 +0.6 +14.6% Electronics & Energy 36.6 45.3 +8.6 +23.5% 5.1 8.5 +3.4 +67.7% Specialty materials 83.6 47.9 -35.7 -42.7% (1.8) (1.0) +0.7 - Others 6.9 4.1 -2.8 -40.9% (0.3) (1.8) -1.5 - Elimination and Corporate - - - - (3.2) (2.8) +0.5 - Total 243.1 221.9 -21.2 -8.7% 7.8 12.3 +4.5 +57.3% Revenue Adjusted operating income Outlook for FY2026 Supplementary informationResults of FY2026 1Q By segment 5 FY2026 1Q actual highlights [Compared with FY2025 1Q] ✓ ✓ *1 Impact of exclusion of the aramid paper business *1 ⚫Revenue decreased by ¥21.2 billion due to transfer of the composites business in North America ⚫Adjusted operating income increased by ¥4.5 billion, driven by strong performance in the Electronics & Energy
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(+) • Increase in sales volumes Industrial materials: Artificial leather, polyester staple fibers for various filters, and household merchandise Fiber materials and apparel: Textile and apparel for North America and China • Price increases and sales mix improvement offset raw material and fuel prices inflation (−) • Increase in SG&A expenses for sales expansion and higher labor costs, etc. • Integration-related expenses with Asahi Kasei Advance, etc. ¥91.7 billion (+¥9.6 billion compared with FY2025 1Q) ¥4.8 billion (+¥0.7 billion compared with FY2025 1Q) ⚫Firm sales in both industrial materials and fiber materials and apparel contributed to profit growth (Billions of Yen) Revenue AOI Apparel & Industries 6 FY25 1Q Volume (including capacity utilization) Spread Forex Others FY26 1Q 4.1 4.8 -0.3 0.5 0.0 0.5 Results of FY2026 1Q Outlook for FY2026 Supplementary information Analysis of adjusted operating income (AOI) by segment [Compared with FY2025 1Q]｜ Industrial materials Increase in SG&A expenses for sales and integration-related expenses, etc.
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Results of FY2026 1Q Outlook for FY2026 Supplementary information Analysis of adjusted operating income (AOI) by segment [Compared with FY2025 1Q]｜ ⚫AOI increased mainly due to growth in the number of rented CPAP devices and increased sales volumes of orphan drugs (+) • Increase in the number of rented CPAP devices • Increase in sales volumes of orphan drugs Treatment for hypoparathyroidism YOVIPATH, etc. (−) • Pharmaceutical business excluding rare/intractable disease areas ( including impairment loss of sales rights for diabetes treatments) Drug price revisions and decrease in sales volume due to discontinuation of sales, etc. ¥32.9 billion (-¥0.9billion compared with FY2025 1Q) ¥4.6 billion (+¥0.6 billion compared with FY2025 1Q) (Billions of Yen) Revenue AOI Healthcare & Life Solutions 7 FY25 1Q Volume Sales price and mix Others Pharmaceuticals excluding rare/intractable disease areas FY26 1Q 4.0 1.0 0.0 0.0 -0.4 4.6 CPAP, orphan drugs (YORVIPATH, etc.)
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⚫Sales volumes remained firm driven mainly by inventory build-up among customers and stable demand in battery materials and semiconductor–related areas ¥45.3 billion (+¥8.6 billion compared with FY2025 1Q) ¥8.5 billion (+¥3.4 billion compared with FY2025 1Q)Revenue AOI Electronics & Energy 8 (+) • Firm sales volumes Inventory build-up among customers, etc. • Sale price revisions in response to surging raw material and fuel prices Partial carryover of raw materials and fuel prices increases to 2Q and beyond • Foreign exchange impact FY25 1Q Volume (including capacity utilization) Spread Forex Others FY26 1Q (Billions of Yen) 5.1 1.0 1.0 -0.1 8.5 1.5 Results of FY2026 1Q Outlook for FY2026 Supplementary information Analysis of adjusted operating income (AOI) by segment [Compared with FY2025 1Q]｜
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⚫Aramid fibers: Volume improved through higher capacity utilization and increased sales volumes. Spread deteriorated due to rising raw materials and fuel prices ⚫Carbon fibers: Sales mix improved due to increased demand from aircraft applications. Cost structural reforms progressedsteadily ¥47.9 billion (-¥35.7 billion compared with FY2025 1Q) ¥-1.0 billion (+¥0.7 billion compared with FY2025 1Q) Overall Aramid Carbon fibers (+) • Cost structural reforms • Decrease in depreciation /amortization due to impairment losses • Higher capacity utilization Recovery from large-scale periodic maintenance in FY2025 • Firm sales volumes Ballistic applications, automotive applications • Sales mix improved due to increased demand from aircraft applications (−) • Rising raw materials and fuel prices • Impact of the exclusion of the composites business in North America Revenue AOI Specialty Materials 9 FY25 1Q Volume (including capacity utilization) Spread Forex Others Excluding TAT-NA impact FY26 1Q (Billions of Yen) -1.8 -1.0 2.5 1.0 1.2 -2.0 -2.0 Sales volumes 0.5 Capacity utilization 2.0 Results of FY2026 1Q Outlook for FY2026 Supplementary information Analysis of adjusted operating income (AOI) by segment [Compared with FY2025 1Q]｜ Decrease in depreciation/amortization due to impairment losses, cost structural reforms, etc.
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(Billions of Yen) FY25 1Q FY26 1Q Difference Gain on sales of noncurrent assets 0.0 5.0 +5.0 Gain on sale of shares of subsidiaries and affiliates 0.6 45.5 +44.8 Loss on disposal of fixed assets (0.1) (0.1) -0.0 Impairment loss (3.7) (0.0) +3.6 Others*1 (1.0) (2.5) -1.5 Non-recurring items, total (4.2) 47.8 +52.0 Results of FY2026 1Q Outlook for FY2026 Finance income and costs, Non-recurring items [Compared with FY2025 1Q] Finance income and costs ⚫Interest expenses decreased due to repayment of interest- bearing debt Non-recurring items ⚫Recorded a gain on the sale of shares of an affiliated company due to the transfer of the aramid paper business *Gain is shown as a plus, loss is shown as minus Supplementary information 10 (Billions of Yen) FY25 1Q FY26 1Q Difference Interest income 0.7 0.7 +0.0 Dividends income 0.4 0.2 -0.2 Foreign exchange gain - 0.4 +0.4 Gain on valuation of derivatives 0.2 - -0.2 Finance income, total 1.4 1.4 +0.0 Interest expenses (2.5) (1.6) +0.9 Foreign exchange losses (2.3) - +2.3 Loss on valuation of derivatives - (0.1) -0.1 Others (0.1) (0.1) +0.0 Finance costs, total (4.9) (1.8) +3.1 Finance income and costs, total (3.5) (0.4) +3.1 ✓ ✓ *1 Special retirement benefits, etc. *2 Sale of non-business assets (idle land) ✓ *2
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Outlook for FY2026 Results of FY2026 1Q Financial position [Compared with the end of FY2025] ⚫Total assets increased compared with the end of the previous fiscal year D/E ratio improved from the end of precious fiscal year due to proceeds from the sales of the aramid paper business *1 D/E ratio taking into account the equity credit of the subordinated bonds (The Company issued subordinated bonds of ¥60.0 billion on July 21, 2021) Supplementary information 11 ✓ Mar. 31, 2026 Jun. 30, 2026 Difference FX Impact Total assets 920.1 950.2 +30.1 +8.0 Liabilities 551.5 530.3 -21.2 +2.0 [Interest-bearing debt] 336.4 325.2 -11.2 +0.8 Net assets 368.6 419.9 +51.2 - 0.92 0.78 -0.14 - 0.78 0.66 -0.11 - Yen/US$ 160 162 Yen/Euro 183 185 BS exchange rate Net D/E ratio (Billions of Yen) D/E ratio (Capital adjustment) *1
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Outlook for FY2026 Results of FY2026 1Q Cash flows [Compared with FY2025 1Q] ⚫Cash flows from investing activities increased significantly due to the sale of the aramid paper business Supplementary information 12 (Billions of Yen) FY25 1Q FY26 1Q Difference Operating activities 16.6 17.3 +0.6 Investing activities (18.5) 36.3 +54.9 Free cash flow (1.9) 53.6 +55.5 Financing activities 99.8 (17.1) -116.8 Net inc/dec in Cash & cash equivalents 97.8 36.6 -61.3 *1 Impact of a temporary increase in borrowing associated with the transfer of the composites business in North America ✓ *1
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1 Results of FY2026 1Q 2 Outlook for FY2026 3 Supplementary information Contents
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FY25 Actual FY26 Outlook Difference FY26 Previous Outlook Revenue 873.2 900.0 +26.8 850.0 25.8 30.0 +4.2 30.0 Profit (loss) attributable to owners of parent (88.0) 45.0 +133.0 45.0 ROE (22.1%) 12% +34% 12% ROIC 2.6% 3% +0% 3% D/E ratio (capital adjustment) *2 0.78 0.7 -0.1 0.7 Dividends per share (Yen) 50 50 - 50 Dividend Payout Ratio - 21% - - Yen/US$ 151 156 Yen/Euro 175 183 PL exchange rate (Billions of Yen) Adjusted operating income Results of FY2026 1Q Outlook for FY2026 Supplementary information Summary of outlook for FY2026[Compared with FY2025] ⚫ Revenue is forecast to increase by ¥26.8 billion (+¥50.0 billion*1 compared with previous forecast), adjusted operating income is forecast to increase by ¥4.2 billion, and profit (loss) attributable to owners of parent is forecast to increase by ¥133.0 billion ⚫The dividend is forecast to be at ¥50/share (interim: ¥25/share; Year-end: ¥25/share) *No change from the previous fiscal year *1 Apparel & Industries: +¥20.0 billion, Electronics & Energy: +¥10.0 billion, Specialty Materials: +¥20.0 billion *2 D/E ratio taking into account the equity credit of the subordinated bonds (The Company issued subordinated bonds of ¥60.0 billion on July 21, 2021) ✓ ✓ ✓ ✓ 14
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Supplementary informationResults of FY2026 1Q Outlook for FY2026 Summary of outlook for FY2026 highlights [Compared with FY2025] ｜ ⚫Revenue is forecast to increase by ¥26.8 billion. Apparel & Industries is expected to increase revenue as the effects of the management integration with Asahi Kasei Advance begin to materialize in the second half. Healthcare & Life Solutions is expected to see a decrease in revenue due to the narrowing to rare/intractable disease areas in the pharmaceutical business ⚫Adjusted operating income is forecast to increase by ¥4.2 billion By segment *1 FY2025 results include the composites business in North America (transfer completed on July 1, 2025) ✓ ✓ 15 Apparel & Industries 350.1 420.0 +69.9 17.1 19.0 +1.9 8% 8% 8% Healthcare & Life Solutions 138.6 110.0 -28.6 13.4 10.0 -3.4 7% 5% 12% Electronics & Energy 149.9 160.0 +10.1 18.9 15.0 -3.9 16% 13% 16% Specialty Materials*1 212.8 190.0 -22.8 (9.0) 3.0 +12.0 (3%) 1% 6% Others 21.9 20.0 -1.9 (3.5) (5.0) -1.5 - - - Elimination and Corporate - - - (11.1) (12.0) -0.9 - - - Total 873.2 900.0 +26.8 25.8 30.0 +4.2 2.6% 3% 5% (Billions of Yen) FY25 Actual FY26 Outlook Difference FY25 Actual FY25 Actual FY26 Outlook FY28 Targets Revenue Adjusted operating income ROIC DifferenceFY26 Outlook
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Supplementary informationResults of FY2026 1Q Outlook for FY2026 Analysis of adjusted operating income (AOI) by segment [Compared with FY2025]｜ Apparel & Industries ¥420.0 billion (+¥69.9 billion compared with FY2025) ¥19.0 billion (+¥1.9 billion compared with FY2025) (Billions of Yen) Revenue AOI ⚫Sales volumes are expected to increase across applications for both fiber materials and apparel and industrial materials The effects of the management integration with Asahi Kasei Advance are expected to gradually materialize from the second half 16 (+) • Increase in sales volumes Industrial materials: Artificial leather, polyester staple fibers for filters, and household merchandise Fiber materials and apparel: Textile and apparel for North America and China • Improve in sales mix • Despite surging raw material and fuel prices and outsourcing processing costs, the spread is maintained • Integration effects with Asahi Kasei Advance (-) • Increase in SG&A expenses for sales expansion and higher labor costs, etc. FY25 actual Volume (including capacity utilization) Spread Forex Others FY26 Outlook 17.1 19.0 2.0 1.5 0.5 -2.1 Industrial materials Improve in sales mix, etc. (+) Integration effects (−) Increase in SG&A expenses for sales expansion, etc.
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Results of FY2026 1Q Outlook for FY2026 Analysis of adjusted operating income (AOI) by segment [Compared with FY2025] ｜ Healthcare & Life Solutions ¥110.0 billion (-¥28.6 billion compared with FY2025) ¥10.0 billion (-¥3.4 billion compared with FY2025)Revenue AOI Supplementary information ⚫Growth in the number of rented CPAP devices and an increase in sales volumes of orphan drugs, however, AOI is forecast to decrease due to the narrowing of the pharmaceutical business (+) • Increase in the number of rented CPAP devices • Increase in sales volumes of orphan drugs Treatment for hypoparathyroidism YORVIPATH,etc. (-) • Pharmaceutical business excluding rare/intractable disease areas (including impairment loss of sales rights for diabetes treatments) Drug price revisions and decrease in sales volume due to discontinuation of sales, etc. 17 FY25 actual Volume Sales price and mix Others Pharmaceuticals excluding rare/intractable disease areas FY26 Outlook (Billions of Yen) 10.0 -0.5 -0.4 -6.5 CPAP, orphan drugs (YORVIPATH,etc.) 13.4 4.0 Impact of the narrowing of the pharmaceutical business
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Supplementary informationResults of FY2026 1Q Outlook for FY2026 Transfer of manufacturing and marketing approvals and sales transfer for seven pharmaceutical products ⚫We are promoting structural reform of our pharmaceutical business with the aim of establishing a high-quality profit base, as set out in the Medium-Term Management Plan ⚫To accelerate narrowing to rare/intractable disease areas, seven pharmaceuticals are transferred and sold to LTL Pharma Co., Ltd. *1 CPAP: Continuous Positive Airway Pressure *2 Somatuline is a registered trademark of Ipsen Pharma (France) *3 Xeomin is a registered trademark of Merz Pharma GmbH & Co. KGaA (Germany) ■ Contract signed: June 2026 (closing completed at the end of July) ■ Successor: LTL Pharma Co., Ltd. ■ Products to be transferred: Bonalon, Spiropent, Lytgen, Feburic, Alvesco, Salivate, Salcoat ■ FY2025 sales revenue of the products concerned: approximately ¥12.0 billion Overview of succession and transfer Pharmaceuticals: Narrowing to rare/intractable disease areas Hypoparathyroidism YOVIPATH Acromegaly and pituitary gigantism, etc. Somatuline*2 v Medical devices: provide to more than 0.5 million people in Japan and overseas Therapeutic oxygen concentrator Hi-Sanso Device for automated pressure adjusting CPAP*1 Ventilators SLEEPMATE Upper and lower limb spasticity, and chronic sialorrhea, etc. XEOMIN*3 Accelerate the narrowing down of pharmaceuticals further, and create value early in the areas that can leverage the home healthcare platform, such as rare/intractable disease 18
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Supplementary informationResults of FY2026 1Q Outlook for FY2026 Analysis of adjusted operating income (AOI) by segment [Compared with FY2025]｜ ¥160.0 billion (+¥10.1 billion compared with FY2025) ¥15.0 billion (-¥3.9 billion compared with FY2025) ⚫Profit is expected to decrease due to temporary factors, including the absence of patent licensing income, as well as an uncertain market environment Electronics & Energy Revenue AOI 19 FY25 actual Volume (including capacity utilization) Spread Forex Others FY26 Outlook (Billions of Yen) 18.9 15.0 -1.5 -1.5 -1.9 1.0 (+) • Foreign exchange impact (-) • Decrease in sales volumes Timing difference of shipment (Separator) Customer inventory build-up at 1Q is expected to be resolved • Deteriorationin spread Impact of surging raw materials and fuel prices to emerge from 2Q onward • Absence of patent licensing income for separator, etc.
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Results of FY2026 1Q Outlook for FY2026 Analysis of adjusted operating income (AOI) by segment [Compared with FY2025]｜ ¥190.0 billion (-¥22.8 billion compared with FY2025) ¥3.0 billion (+¥12.0 billion compared with FY2025) ⚫Aramid business is expected to increase in AOI, driven by improved capacity utilization and decrease in depreciation/amortization following impairment losses ⚫Carbon fibers business is expected to an increase in AOI due to increase in sales volumes of aircraft applications and progressing cost structural reforms Specialty Materials Revenue AOI Supplementary information 20 FY25 actual Volume (including capacity utilization) Spread Forex Others Excluding TAT-NA impact FY26 Outlook (Billions of Yen) -9.0 3.09.0 -1.0 6.5 -0.5 -2.0 Sales volumes 3.0 Capacity utilization 6.0 Cost structural reforms Decrease in depreciation/amortization due to impairment losses, etc. Overall Aramid Carbon fibers (including composites) (+) • Cost structural reforms • Decrease in depreciation/amortization due to impairment losses • Improving capacity utilization Recovery from FY25 large-scale periodic maintenance • Increase in sales volumes Automotive, ballistic applications • Sales mix improvement driven by growth in aircraft applications (-) • Rising raw materials and fuel prices • Impact of foreign exchange rates The appreciation of the euro • Impact on exclusion of composites business in North America
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1 Results of FY2026 1Q 2 Outlook for FY2026 Supplementary information3 Contents
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0.97 1.10 1.11 0.77 0.78 0.7 0.5 0.0 1.0 1.5 0.0 200.0 400.0 600.0 FY2021 FY2022 FY2023 FY2024 FY2025 FY2026 Outlook 55 40 30 50 50 50 0 50 (Yen/Share) 100 FY2021 FY2022 FY2023 FY2024 FY2025 Outlook for FY2026 dividend ⚫Annual dividend forecast to be ¥50/share in light of the stable dividend (interim: ¥25/share, Year-end : ¥25/share) Trend of interest-bearing debt and D/E ratio Trend of dividend per share Dividend Payout Ratio 46% 34% (Net loss) *1 D/E ratio with adjusted capitalization of subordinated bond (The Company issued subordinated bonds of ¥60.0 billion on July 21, 2021) Interest-bearing debt D/E ratio (after capital adjustment)*1 - (Net loss) - (Billions of Yen) Japanese GAAP IFRS (Times) Japanese GAAP IFRS Interest-bearing debt (Net loss) - FY2026 Outlook 21% 2 2 Outlook for FY2026 Supplementary informationResults of FY2026 1Q
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23 Market Related Business Macro Environment Apparel A&I Demand remains firm in Japan and U.S. China shows a recovery trend, led by demand mainly in the sports and outdoor applications Infrastructure A&I S/M Demand for various filters remains firm in industrial and water purification applications The submarine power cable market supporting next-generation energy infrastructure is expected to expand over the medium to long term Healthcare H&L Demand for home healthcare will continue to grow (More than 9.0 million potential sleep apnea syndrome patients in Japan*) Battery materials/ Semiconductor- related E&E Demand for high-end smartphones remains firm Demand in the advanced semiconductor area is expanding rapidly due to the growth of AI Automotive A&I E&E S/M The growth of the European market remains low In China, local manufacturers lead the market, overall conditions remain firm, but there is uncertainty as to whether the growth will stabilize As Japanese automotive market is forecast to recover gradually from last year’s sluggish condition, some inventory adjustments continue Aircraft S/M As procurement constraints on supply chains remain, delivery of major aircraft manufacturers has recovered to a level exceeding the previous year. The market is forecast to grow over the medium- to long- term Apparel＆Industries：A&I Healthcare＆Life Solutions：H&L Electronics＆Energy：E＆E Specialty Materials：S/M Assumptions｜Trend of the Company’s main target markets [FY2026] Outlook for FY2026 Supplementary informationResults of FY2026 1Q *Reference: Benjafield AV, et al: Lancet Respir Med 2019; 7(8): 687-698
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Factors affecting Profit and Loss Outlook for FY2026 Supplementary informationResults of FY2026 1Q Segment Impacts Apparel & Industries • 2Q-3Q are a season for sales of autumn/winter clothing, and 4Q for spring clothing Healthcare & Life Solutions • Expenses tend to be concentrated in 4Q Electronics & Energy • Resin & plastic processing: periodic maintenance in 2Q & 3Q every year Specialty Materials • Large-scale periodic maintenance in the aramid is conducted every three years (Latest maintenance: FY2025 1Q: Next maintenance: FY2028 1Q) 24
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25 Changes of disclosure segment Outlook for FY2026 Supplementary informationResults of FY2026 1Q ⚫To promote the Customer-Driven business, which will be the core of the Medium-Term Management Plan 2026-2028, we revised the disclosure segment classifications by customer domain starting in FY2026 Former segment New segment *former battery materials & membrane business Segment Business Apparel & Industries Fibers ＆Products Converting Healthcare ＆ Life Solutions Healthcare Electronics ＆ Energy resin & plastic processing, battery & semiconductor solutions* Specialty Materials aramid, carbon fibers including composites Others regenerativemedicine, etc. Segment Business Fibers ＆Products Converting Fibers ＆Products Converting Healthcare Healthcare Materials aramid, resin & plastic processing, carbon fibers, composites Others battery materials & membrane, regenerativemedicine, etc.
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Supplementary informationResults of FY2026 1Q Outlook for FY2026 Results of FY2026 1Q Summary by segment [Compared with FY2025 1Q] 26 (Billions of Yen) FY25 1Q FY26 1Q Difference %change FY25 1Q FY26 1Q Difference %change FY25 1Q FY26 1Q Difference %change Revenue 243.1 221.9 -21.2 -8.7% 82.1 91.7 +9.6 +11.7% 33.8 32.9 -0.9 -2.6% EBITDA 23.2 24.7 +1.6 +6.8% 6.1 6.8 +0.6 +10.0% 10.2 9.6 -0.6 -6.0% Depreciation & Amortization 15.3 12.4 -2.9 -19.1% 2.1 2.0 -0.1 -4.9% 6.2 5.0 -1.2 -19.3% Adjusted operating income 7.8 12.3 +4.5 +57.3% 4.1 4.8 +0.7 +17.5% 4.0 4.6 +0.6 +14.6% ROIC 2.8% 5.0% +2.2% - 7% 8% +1% - 7% 11% +4% - FY25 1Q FY26 1Q Difference %change FY25 1Q FY26 1Q Difference %change FY25 1Q FY26 1Q Difference %change Revenue 36.6 45.3 +8.6 +23.5% 83.6 47.9 -35.7 -42.7% 6.9 4.1 -2.8 -40.9% EBITDA 6.3 9.9 +3.5 +55.6% 2.8 1.7 -1.1 -38.0% 0.9 (0.5) -1.4 - Depreciation & Amortization 1.3 1.3 +0.1 +6.6% 4.6 2.8 -1.8 -39.5% 1.3 1.3 +0.1 +5.9% Adjusted operating income 5.1 8.5 +3.4 +67.7% (1.8) (1.0) +0.7 - (0.3) (1.8) -1.5 - ROIC 18% 27% +9% - (3%) (2%) +1% - - - - - Electronics & Energy Specialty Materials TOTAL Apparel & Industries Healthcare & Life Solutions Others
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Supplementary informationResults of FY2026 1Q Outlook for FY2026 Results of FY2026 1Q Changes by segment [Compared with FY2025 1Q, FY2025 4Q] Difference Difference 1Q 2Q 3Q 4Q 1Q Apr.-Jun. Jul.-Sep. Oct.-Dec. Jan.-Mar. Apr.-Jun. Revenue Apparel & Industries 82.1 88.3 88.2 91.5 350.1 91.7 +9.6 +0.2 Healthcare & Life Solutions 33.8 34.5 37.4 32.8 138.6 32.9 -0.9 +0.2 Electronics & Energy 36.6 39.0 37.7 36.6 149.9 45.3 +8.6 +8.7 Specialty Materials 83.6 41.5 40.8 46.9 212.8 47.9 -35.7 +1.0 Others 6.9 4.7 4.7 5.6 21.9 4.1 -2.8 -1.5 Total 243.1 207.9 208.8 213.3 873.2 221.9 -21.2 +8.6 Adjusted operating income Apparel & Industries 4.1 4.9 4.3 3.9 17.1 4.8 +0.7 +1.0 Healthcare & Life Solutions 4.0 3.1 5.9 0.5 13.4 4.6 +0.6 +4.1 Electronics & Energy 5.1 4.8 5.1 3.9 18.9 8.5 +3.4 +4.6 Specialty Materials (1.8) (4.5) (0.2) (2.5) (9.0) (1.0) +0.7 +1.5 Others (0.3) (0.7) (1.6) (0.9) (3.5) (1.8) -1.5 -0.9 Elimination and Corporate (3.2) (2.3) (2.7) (2.9) (11.1) (2.8) +0.5 +0.2 Total 7.8 5.2 10.8 2.0 25.8 12.3 +4.5 +10.4 26/1Q -25/1Q 26/1Q -25/4Q(Billions of Yen) Total FY25 FY26 27
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Supplementary informationResults of FY2026 1Q Outlook for FY2026 Results of FY2026 1Q Consolidated statementsof income [Quarterly transition] *1 Excluding profit and loss arising from non-recurring factors *2 CAPEX includes investments in intangible assets (excluding M&A) *3 Excluding non-recurring items (impairment losses, etc.) in FY2025 1Q 2Q 3Q 4Q 1Q Apr.-Jun. Jul.-Sep. Oct.-Dec. Jan.-Mar. Apr.-Jun. Revenue 243.1 207.9 208.8 213.3 873.2 221.9 Cost of sales (187.2) (199.3) (156.9) (167.8) (711.2) (163.3) Gross profit 55.9 8.6 51.9 45.5 162.0 58.6 SG&A expenses (52.6) (54.3) (51.8) (72.7) (231.3) (48.9) Other income and expenses (1.0) (10.6) 0.2 10.2 (1.4) 50.2 Operating income 2.3 (56.4) 0.3 (16.9) (70.7) 60.0 Finance income and costs (3.5) (0.4) (0.7) (0.8) (5.3) (0.4) Share of profit (loss) of investments accounted for using the equity method 1.3 0.9 0.2 (0.5) 2.0 0.3 Profit before tax 0.1 (55.8) (0.1) (18.2) (74.1) 59.8 Income tax expense (0.6) 1.7 (4.1) (10.8) (13.9) (14.8) Profit (loss) from discontinued operations - - - - - - Profit (0.6) (54.2) (4.2) (29.0) (87.9) 45.1 Profit attributable to owners of parent (0.7) (54.1) (4.1) (29.0) (88.0) 45.1 Profit attributable to non-controlling interests 0.2 (0.1) (0.0) 0.0 0.1 (0.1) Operating income 2.3 (56.4) 0.3 (16.9) (70.7) 60.0 Share of profit (loss) of investments accounted for using equity method*1 1.4 1.0 0.3 (0.0) 2.7 0.1 Non-recurring items 4.2 60.6 10.1 18.9 93.8 (47.8) Adjusted operating income 7.8 5.2 10.8 2.0 25.8 12.3 CAPEX*2 19.9 12.7 12.2 14.8 59.6 11.5 Depreciation & Amortization 15.3 16.1 14.8 14.2 60.3 12.4 R&D Expenses*3 6.6 6.6 6.5 7.8 27.5 6.5 (Billions of Yen) Total FY25 FY26 28
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Supplementary informationResults of FY2026 1Q Outlook for FY2026 Results of FY2026 1Q Consolidated Statement of Financial Position[Quarterlytransition] 29 Jun. 30, 2025 Sep. 30, 2025 Dec. 31, 2025 Mar. 31, 2026 Jun. 30, 2026 Total assets Current assets 664.1 549.7 573.2 528.1 557.3 Non-current assets 481.0 418.2 416.4 392.0 392.9 Total 1,145.1 968.0 989.6 920.1 950.2 Liabilities 709.0 582.6 598.4 551.5 530.3 [Interest-bearing debt] 492.2 386.7 388.3 336.4 325.2 Equity 436.1 385.4 391.2 368.6 419.9 Total 1,145.1 968.0 989.6 920.1 950.2 Total liabilities and Equity FY25 (Billions of Yen) FY26
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Supplementary informationResults of FY2026 1Q Outlook for FY2026 Results of FY2026 1Q Breakdown of changes in total assets [Compared with the end of FY2025] 30 Mar. 31, 2026 Jun. 30, 2026 Difference Total assets 920.1 950.2 +30.1 Cash and cash equivalents 104.5 141.0 +36.6 Trade receivables 167.4 165.6 -1.7 Inventory assets 208.8 214.6 +5.8 237.3 237.2 -0.1 58.9 60.8 +1.9 15.1 6.4 -8.6 Others 128.2 124.5 -3.7 Goodwill and intangible assets Property, plant and equipment & Right-of-use assets (Billions of Yen) Assets held for sale
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Supplementary information Outlook for FY2026 Summary by segment [Compared with FY2025] 31 Results of FY2026 1Q Outlook for FY2026 (Billions of Yen) FY25 Actual FY26 Outlook Difference FY25 Actual FY26 Outlook Difference FY25 Actual FY26 Outlook Difference Revenue 873.2 900.0 +26.8 350.1 420.0 +69.9 138.6 110.0 -28.6 EBITDA 86.1 83.0 -3.1 24.9 27.0 +2.1 39.2 30.5 -8.7 Depreciation & Amortization 60.3 53.0 -7.3 7.8 8.0 +0.2 25.7 20.5 -5.2 Adjusted operating income 25.8 30.0 +4.2 17.1 19.0 +1.9 13.4 10.0 -3.4 ROIC 2.6% 3% +0% 8% 8% +0% 7% 5% -2% FY25 Actual FY26 Outlook Difference FY25 Actual FY26 Outlook Difference FY25 Actual FY26 Outlook Difference Revenue 149.9 160.0 +10.1 212.8 190.0 -22.8 21.9 20.0 -1.9 EBITDA 24.0 20.0 -4.0 7.5 17.0 +9.5 (0.7) (1.5) -0.8 Depreciation & Amortization 5.1 5.0 -0.1 16.5 14.0 -2.5 2.9 3.5 +0.6 Adjusted operating income 18.9 15.0 -3.9 (9.0) 3.0 +12.0 (3.5) (5.0) -1.5 ROIC 16% 13% -3% (3%) 1% +4% - - - TOTAL Apparel & Industries Healthcare & Life Solutions Electronics & Energy Specialty Materials Others
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Historical financial indicators Outlook for FY2026 Supplementary informationResults of FY2026 1Q *1 Japanese GAAP: ROE = Profit attributableto owners of parent / Average* total shareholders’equity IFRS: ROE = Profit attributableto owners of parent / Average* of equity attributableto owners of parent *2 ROIC based on operatingincome = Operatingincome / Average* invested capital (Invested capital = Net assets + Interest-bearing debt – Cash and deposits) *3 After-tax adjusted operatingincome ROIC= Adjusted operatingincome after tax / Average* of invested capital (Invested capital = Equity + Interest-bearing dept ) *Average: ([Beginningbalance + Ending balance] / 2) *4 Japanese GAAP: EBITDA = Operatingincome + Depreciation/amortization(including goodwill) IFRS: EBITDA = Adjusted operating income + Depreciation/amortization *5 Japanese GAAP: Net income per share *6 Including IT business until FY2024 *7 CAPEX includes investments in intangible assets (excludingM&A) (IncludingIT business until FY2024) *8 Excluding non-recurring items (Impairment losses, etc.) in FY2025 *9 Japanese GAAP: D/E ratio = Interest-bearing debt / Total shareholders’equity (Gross) IFRS: D/E ratio = Interest-bearing debt / Equity attributableto owners of parent (Gross) *10 D/E ratio taking into account the equity credit of the subordinatedbonds (The Company issued subordinatedbonds of ¥60.0 billion on July 21, 2021) *11 Japanese GAAP: Equity ratio 32 FY21 FY22 FY23 FY23 FY24 FY25 FY26 Actual Actual Actual Actual Actual Actual Outlook ROE*1 5.5% (4.1%) 2.4% (2.9%) 6.7% (22.1%) 12% Operating income ROIC *2 5.5% 1.6% 1.6% - - - - ROIC *3 - - - 1.8% 2.6% 2.6% 3% EBITDA *4 (Billions of Yen) 113.0 87.8 92.4 98.4 98.2 86.1 83.0 Basic earnings per share*5 (Yen) 120.6 (92.0) 55.1 (60.9) 147.1 (456.3) 233.3 Dividends per share (Yen) 55 40 30 30 50 50 50 Free cash flow*6 (Billions of Yen) (108.7) 2.7 23.4 28.8 122.4 59.7 63.0 CAPEX*7 (Billions of Yen) 200.8 62.5 66.9 77.4 59.9 59.6 65.0 Depreciation & Amortization*6 (Billions of Yen) 68.8 74.9 78.9 78.0 71.0 60.3 53.0 R&D Expenses*8 (Billions of Yen) 33.3 31.9 42.6 32.7 30.9 27.5 28.0 Total assets (Billions of Yen) 1,207.6 1,242.4 1,251.0 1,226.6 1,061.3 920.1 980.0 Interest-bearing debt (Billions of Yen) 485.2 529.4 498.9 516.9 387.1 336.4 320.0 D/E ratio*9 1.10 1.25 1.10 1.26 0.90 0.92 0.8 D/E ratio (capital adjustment) *10 0.97 1.10 0.97 1.11 0.77 0.78 0.7 Shareholders’ equity ratio *11 36.4% 34.2% 36.3% 33.4% 40.6% 39.6% 39% Japanese GAAP IFRS
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33 Sales of principal pharmaceuticals in Japan Outlook for FY2026 Supplementary informationResults of FY2026 1Q Product Target disease FY2025 FY2026 1Q 2Q 3Q 4Q Total 1Q Total sales of four diabetes treatments 4.8 4.6 4.8 3.6 17.8 3.5 Nesina Type 2 Diabetes 2.3 2.2 2.3 1.6 8.5 1.3 Inisync Type 2 Diabetes (combination drug) 1.6 1.5 1.5 1.3 5.9 1.4 Liovel Type 2 Diabetes (combination drug) 0.5 0.5 0.5 0.3 1.9 0.3 Zafatek Type 2 Diabetes 0.4 0.5 0.4 0.3 1.6 0.5 Somatuline*1 Acromegaly and pituitary gigantism, thyroid stimulating hormone-secreting pituitary tumors, and gastroenteropancreatic neuroendocrine tumors 1.6 1.7 1.9 1.5 6.6 1.8 XEOMIN*2 Treatment for upper and lower limb spasticity, chronic drooling, cervical dystonia, and blepharospasm 0.6 0.7 0.7 0.6 2.6 0.7 YOVIPATH Treatment for hypoparathyroidism 0.2 Mucosolvan Expectorant 0.2 0.2 0.3 0.2 1.0 0.2 *1 Somatuline is the registered trademark of Ipsen Pharma, France *2 Xeomin is the registered trademark of Merz Pharma GmbH & Co. KGaA, Germany (Billions of Yen) Undisclosed
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ESG external evaluation Outlook for FY2026 Supplementary information Included in domestic programs for outstandingESG initiatives Status of inclusion in SRI indices “Four Stars” NIKKEI Sustainable Management Survey, SDGs Edition Included in the following ESG indices used by the GPIF Included in Sompo Sustainability Index S&P Global Sustainability Yearbook Member Results of FY2026 1Q THE INCLUSION OF TEIJIN LIMITED IN ANY MSCI INDEX, AND THE USE OF MSCI LOGOS, TRADEMARKS, SERVICE MARKS OR INDEX NAMES HEREIN, DO NOT CONSTITUTE A SPONSORSHIP, ENDORSEMENT OR PROMOTION OF TEIJIN LIMITED BY MSCI OR ANY OF ITS AFFILIATES. THE MSCI INDEXES ARE THE EXCLUSIVE PROPERTY OF MSCI. MSCI AND THE MSCI INDEX NAMES AND LOGOS ARE TRADEMARKS OR SERVICE MARKS OF MSCI OR ITS AFFILIATES. 34
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Disclaimer This material is based on quarterly consolidated financial statements that have not undergone a voluntary review by an auditing firm Any statements in this material, other than those of historical facts, are forward-lookingstatements about the future performance of Teijinand its Group companies, which are based on management’s assumptionsand beliefs in light of informationcurrently available and involve risks and uncertainties. Actual results may differ materially from these forecasts Informationabout pharmaceuticals,medical devices, and regenerativemedical products (including pipeline products) included in this material is not providedfor the purposes of advertising or medical advice This material is based on the consolidated results for FY2026 1Q announced at 11:30 on August 4, 2026 (local time in Japan)