Slides
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Financial Results Briefing for 1st Half of FY2026 (April – September) 1
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Contents ０１：Results of Operations for 1st Half of FY2026 ０２：Outlook for Full-year of FY2026 ０3 ：Appendix 2
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Results of Operations for 1st Half of FY2026 (April – September) Vice President and CFO Masaya Saito3
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1H FY2026 Key Highlights Sales increased in all regions, double-digit increase in sales led by Asia and Europe. Despite a higher COGS ratio and increased SG&A expenses, operating income rose, and there were significant increases in ordinary income and profit attributable to owners of the parent, driven by higher non-operating income. Sales：164,257 Million yen +18.1％ (YoY), Ahead of plan ◼ Japan： Sales of new lip balms, “Hadalabo”, “Rohto V5” supplements and “Gyutto” continued to perform strongly, Subsidiary Rohto Nitten and Amato performed well. ◼ Asia： Sales continued to be strong in Southeast Asian countries such as Vietnam and Indonesia. Production in Myanmar began and contributed to sales growth following the acquisition of an import license. Consolidation of Eu Yan Sang International Ltd. (EYS ) contributed to sales. ◼ Americas： Hydrox Laboratories, which manufactures and sells medical disinfectants, continued to perform strongly. Brazilian subsidiary contributed to increased sales. ◼ Europe： Dax Cosmetics, based in Poland, performed strongly. Eye drops performed well. Consolidation of Mono chem-pharm contributed to sales. O.I. ：19,317 Million yen +8.6％, Ahead of plan, EBITDA : +23.2 % (YoY) Japan and Asia： Significant increase Americas and Europe： Profit Decrease The full-year forecast for sales, O.I., ordinary income and profit attributable to owners of the parent was revised upward. Year-end dividend was increased by 1 yen, resulting in annual dividends of 43 yen and a payout ratio of 30.4%. Dividends are planned to increase for 22 consecutive fiscal years. 4
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Financial Summary 1H (Q1-Q2) FY2024 1H (Q1-Q2) FY2025 1H (Q1-Q2) FY2026 Full-year Forecast Sales（Mil. yen） 127,869 139,082 164,257 338,500 O.I.（Mil. yen） 20,966 17,791 19,317 39,500 O.I. Ratio 16.4％ 12.8% 11.8% 11.7% EBITDA (Mil. Yen) 25,088 22,236 27,395 56,584 EBITDA Margin 19.6％ 16.0％ 16.7％ 16.7％ Full-year forecast for FY2026 Sales: 338.5 Bil. Yen O.I.: 39.5 Bil. Yen Sales（Mil. yen） O.I. (Mil. Yen) 5 1H FY2024 1H FY2025 1H FY20261H FY2022 1H FY2023 1H FY2024 1H FY2025 1H FY20261H FY2022 1H FY2023
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Consolidated Results • Double-digit sales growth • Despite a higher COGS ratio and increased SG&A expenses, operating income rose thanks to sales increase. • Both Sales and O.I. exceeded the planned targets. • Significant increases in ordinary income and profit attributable to owners of parent thanks to increased non-operating income. ・Sales increased in all regions ・Exchange rate： USD/JPY : 146.25（-4.8% vs LY: 153.65） CNY/JPY : 20.47（-2.8% vs LY: 21.05） ・Impact of exchange rate： Sales : -2,090 Mil, O.I.: -140 Mil ・EYS： Amortization of goodwill: 770 Mil Amortization of trademark right: 440 Mil A profit was secured after accounting for amortization. ・COGS ratio : + 0.9 p Impacted by QTP , Amato, Indonesia, China and UK. ・ SG&A expenses： Personnel expenses and depreciation cost increased due to the consolidation of EYS and Mono. ・Dividend income contributed to higher non-operating income. 6 1st Half Q2 (3 months) Amount % of Net Sales YoY(%) Amount % of Net Sales YoY(%) Amount Amount Sales 164,257 100.0 18.1 82,292 100.0 16.4 139,082 70,725 Gross Profit 91,183 55.5 16.1 45,330 55.1 15.0 78,507 39,431 SG＆A Expenses 71,865 43.8 18.4 37,711 45.8 12.8 60,716 33,430 Promotional Exp 9,724 5.9 23.0 5,405 6.6 26.0 7,906 4,290 Advertisement 18,476 11.2 2.6 10,537 12.8 (4.3) 18,009 11,005 R＆D 6,688 4.1 (17.5) 3,302 4.0 (26.3) 8,107 4,480 Others 36,975 22.5 38.5 18,466 22.4 35.2 26,693 13,653 Operating Income 19,317 11.8 8.6 7,618 9.3 27.0 17,791 6,000 Ordinary Income 24,609 15.0 32.4 8,481 10.3 34.3 18,590 6,317 Profit attributable to owners of parent 17,652 10.7 36.6 5,883 7.1 32.6 12,921 4,438 FY2025 （Mil. Yen） 1st Half of FY2026 Q2(3 months) of FY2026
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17,791 19,317 +14,210 ▲1,535 ▲1,818 ▲466 +1,418 ▲4,086 ▲6,197 Analysis of Change in Operating Income (YoY) 1H FY2025 O.I. 1H FY2026 O.I. Sales Increase COGS Promotional Exp ADs R＆D Exp Personnel Costs Others ⊖ EYS ⊖ UK ⊖ Depreciation in EYS ⊖ Other costs in EYS ⊖ Amortization of goodwill of EYS ⊖ Other costs in Mono ⊕Rohto (standalone) ⊖ Rohto (standalone) ⊖ Vietnam ⊖ China Millions of yen ⊖ QTP ⊖ Amato ⊖ China ⊖ UK ⊖ EYS ⊖ Mono 7 ⊕ Consolidation of EYS ⊕ Sales increase in Rohto (standalone) ⊕ Consolidation of Mono ⊕ Sales increase in Vietnam, Indonesia and Myanmar
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Sales by Segment (previous forecast) 【Japan】 ・Eye care : Sales increased in contact care and eye drops for contact lenses/young users. ・Skin care : Sales of Lip balm, “Hadalabo” and “Gyutto” increased. ・Internal Medicine/Food : Double-digit growth of “Rohto V5” and increased in Amato. Drink in “Episteme” declined. ・Medical : Increased in Rohto Nitten and decreased in QTP 【Asia】 ・Eye care : Increased in Myanmar, Vietnam and Indonesia ・Skin care : Increased in Indonesia, Myanmar, Taiwan and China ・Internal medicine/food and Medical : Increased due to EYS consolidation 【Americas】 ・Eye care : Foreign exchange effects negatively impacted sales. ・Skin care : Increased in Hydrox ・Medical : Decreased in Hydrox products for medical institutions (Total Hydrox sales increased) 【Europe】 ・Eye care : Increased shipment for middle-east countries ・Skin Care: Popular Hadalabo contributed to sales increase in DAX ・Medical and Others: Increased due to Mono consolidation 8 （Mil. Yen） YoY （Mil. Yen） YoY （Mil. Yen） YoY （Mil. Yen） YoY （Mil. Yen） YoY （Mil. Yen） YoY （Mil. Yen） YoY Eye Care 11,141 6.2 7,340 7.7 1,309 (5.3) 221 184.4 56 - 8,928 7.9 20,069 6.9 Skin Care 46,958 4.6 30,893 7.2 6,563 6.2 8,447 7.6 1,445 (1.0) 47,350 6.9 94,309 5.7 Internal Medicine/ Food 11,509 (2.2) 16,015 3,497.0 15 27.4 46 (16.0) 201 1.5 16,278 2,187.8 27,788 122.6 Medical 12,935 (2.3) 1,827 226.0 1,926 (5.3) 1,142 16,302 0 - 4,896 88.2 17,831 12.6 Others 1,015 (3.5) 1,271 (0.3) 291 (32.8) 1,679 4,253.2 0 - 3,242 85.5 4,257 52.1 Total 83,559 2.6 57,348 51.3 10,107 0.6 11,538 43.7 1,703 2.7 80,697 40.0 164,257 18.1 Full-year Forecast (Before revision) 171,200 3.8 116,000 15.6 20,200 (2.7) 23,800 24.2 3,300 (2.0) 163,300 13.7 334,500 8.4 Progress Rate(%) 49.148.8 49.4 50.0 48.5 51.6 49.4 Japan TotalAsia Americas Europe Others Overseas
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Operating Income by Segment (previous forecast) 9 （Mil Yen） 1H (Q1-Q2) FY2026 % of Composition YoY (%) Full-year Forecast Progress Rate (%) 1H (Q1-Q2) FY2025 % of Composition Japan 11,061 57.3 12.0 21,700 51.0 9,872 55.5 Asia 7,139 37.0 18.3 12,800 55.8 6,037 33.9 Americas 428 2.2 (35.1) 1,400 30.6 659 3.7 Europe 225 1.2 (58.2) 2,000 11.3 538 3.0 Others 118 0.6 (18.5) 300 39.3 145 0.8 Adjustme nt 345 1.8 (35.7) 800 43.1 536 3.0 Total 19,317 100.0 8.6 39,000 49.5 17,791 100
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Japan: Increase in Sales and Significant Increase in Profit Sales: 83,559 million yen: Ahead of plan ◼ Sales in eye care, including contact care products and eye drops for contact lens and younger consumers, performed strongly. ◼ Sales of Lip balm, “Hadalabo”, “Rohto V5”, “Gyutto”, sunscreen and gastrointestinal medicine perform strongly. ◼ Inbound demand reached a record high. ◼ Rohto (standalone), Rohto Nitten and Amato contributed to sales growth. ◼ Rohto (standalone): Mid single-digit sales growth, QTP: High single-digit sales decline, ◼ Rohto Nitten : High single-digit sales increase, Amato: High single-digit sales growth O.I.: 110,61 million yen: Ahead of plan ◼ COGS ratio in Rohto (standalone) remained flat while COGS ratio increased in QTP , Rohto Nitten and Amato. ◼ Despite a higher COGS ratio and increased SG&A expenses, operating income significantly increased due to lower R＆D expenses. ◼ Rohto (standalone) : Increased by more than 20%. ◼ QTP , Rohto Nitten and Amato: Lower profit New V5 product, V5 eye x Sleep care is popular and received new award. Popular new color of plumped lips Sales：83,559 million yen +2.6％ (YoY) O.I.：11,061 million yen +12.0％ (YoY) “Gyutto”, frizzy hair treatment for adults, received many cosmetic awards. 10 Key message is “can select “Hadalabo” based on skin type and preferred texture
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Sales: 57,348 million yen: Ahead of plan ◼ Sales continued to be strong in Vietnam, Indonesia, and other Southeast Asian countries. ◼ Production in Myanmar began and contributed to sales growth following the acquisition of an import license. ◼ Although the market environments in Hong Kong and China remain stagnant, sales in China returned to positive growth on a local currency basis. Hong Kong and China secured positive growth in 1st Half. ◼ EYS contributed to sales growth but affected by the slowdown in the Singapore and Hong Kong markets. ◼ EYS Sales: High single-digit decline on a local currency basis, falling behind plan. ◼ Sales of “Hadalabo”, “Acnes”, anti-dandruff shampoo “Selsun” and Eye drops performed strongly. O.I.: 7,139 million yen: Ahead of plan ◼ Amortization of goodwill of EYS: 770 Mil yen, Amortization of trademark right: 440 Mil yen ◼ EYS O.I. (before amortization): Double-digit decline and behind plan (Maintained profitability after goodwill and other amortization) ◼ Higher sales in Myanmar and Hong Kong contributed to higher O.I. than the targets. In Myanmar, the sales of eye drops and “Acnes“ resumed. Raising awareness among existing fans through SNS under the theme of “Back Stock.” Sales composition by country in Asia excluding EYS Asia: Significant Increase in Sales and Profit Sales： 57,348 million yen +51.3％ (YoY) O.I.：7,139 million yen +18.3％ (YoY) In Vietnam, new users were successfully acquired through the 15th anniversary campaign for “Hadalabo”. 11 26% 15% 18% 11% 10% 7% 1% 10% China Hong Kong Vietnam Indonesia Taiwan Malaysia Singapore Others
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Sales: 10,107 million yen: Ahead of plan ◼ Impact of exchange rate: - 690 Mil yen ◼ Hydrox, which manufactures and sells medical disinfectants, performed strongly. ◼ Sales of “Hadalabo” and ophthalmic products performed well and contributed to sales increase in Brazilian subsidiary. ◼ Hydrox, Ophthalmos and Mentholatum Brazil : Double-digit growth on a local currency basis O.I.: 428 million yen: Ahead of plan ◼ Impact of exchange rate: - 60 Mil yen ◼ Higher SG&A expenses resulted in decline in profit ◼ Hydrox and Ophthalmos : Higher profit Cherry Blossom Event was held under the “Hadalabo Tokyo” brand in Washington, D.C. this April. Highly successful and contributed to an increase in sales. Hadalabo expanded its distribution network by opening an official e- commerce store in Brazil, Mercado Livre. Americas: Increase in Sales and Decrease in Profit Sales： 10,107 million yen +0.6％ (YoY) O.I.：428 million yen -35.1％ (YoY) Hydrox disinfectants for hospital channel 12 A campaign for eye drops was conducted in collaboration with outdoor influencers to coincide with the summer season.
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Sales: 11,538 million yen: Ahead of plan ◼ DAX contributed to sales growth through robust sales of “Perfecta” and “Hadalabo Tokyo” which was expanded to new market. ◼ “Rohto Dry Aid” performed strongly. ◼ Consolidation of Mono contributed to sales increase. ◼ DAX: Double-digit sales growth (local currency basis) O.I.: 225 million yen: Behind plan ◼ In the UK, production volume declined due to the bankruptcy of the container supplier for topical analgesic products, and higher costs from alternative sourcing led to a rise in the cost ratio and a decrease in profit. ◼ DAX: mid-10% growth (local currency basis) Europe: Significant Increase in Sales and Decrease in Profit Sales： 11,538 million yen +43.7％ (YoY) O.I.：225 million yen -58.2％ (YoY) In addition to the UK and Poland, “Hadalabo Tokyo” was launched in Croatia. Sales promotion with major retailer Gratis in Turkey and expansion into new markets such as Spain and South Africa are key growth drivers. New “Coldmaris Protect” eye drops was launched in March. We intend to expand our core nasal sprays across Europe and other regions. With Mono’s aseptic manufacturing capabilities and strong regulatory expertise, we aim to broaden eye care business in EU market. 13
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Outlook for Full-year of FY2026 President and Representative Director Hidetoshi Segi14
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Key Highlights □ Although there are concerns about households’ increased frugality in the face of rising prices in Japan, a gradual recovery is expected against the background of wage increases and expansion of capital investment. □ Overseas, the environment for personal consumption is expected to remain challenging due to increasing uncertainty over tradepolicy. □ We forecast record high sales in 2025. □ We forecast a profit increase despite the impact of yen appreciation □ As the performance in Japan, Asia, and Americas during 1st half exceeded expectations and the second half is also expected to progress favorably, we have revised our earnings forecast upward. Sales, operating income, ordinary income and profit attributable to owners of parent were revised upward from the previous forecast. □ Japan ✓ Despite the uncertainty in inbound demand, domestic consumption remains steady. ✓ Core business is expected to grow steadily. ✓ Upfront investment for mid- to long-term sustainable growth. ✓ Sales and profits in QTP are expected to decline. □ Overseas ✓ We estimate appreciation of Japanese yen. ✓ Sales in Myanmar turned to be a positive growth ✓ Vietnam, Indonesia and Southeast Asia will continue to drive growth. ✓ The Chinese and Hong Kong market is still challenging and stagnant. ✓Full-year results for EYS and Mono will be consolidated. □ Dividends are planned to increase for 22 consecutive fiscal years with a payout ratio of 30.4%. 15
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Forecast for Full-year FY2026（Upward Revision） □ Sales, ordinary income and net profit : Expect to reach record high figures □ The latest forecast vs previous forecast: Sales +4,000 Mil yen, Operating income +500 Mil yen Ordinary income +1,000 Mil yen, Net profit +500 Mil yen. □ Forecast for exchange rate: Revised to 148 yen per USD from 142 yen, and to 20 yen per CNY from 19 yen. □ Impact of exchange rate vs LY: -6,100 Mil yen (Sales), -700 Mil yen (O.I.) □ EBITDA Margin: Expect to be 16.7％ 16 ※Operating income, Ordinary income, profit attributable to owners of parent and YoY (%) in FY2025 are calculated based on figures after retrospective adjustments, reflecting the finalization of the provisional accounting treatment for the business combination conducted in the Q1 FY2026. FY2025 （Mil Yen） Revised Forecast % of Net Sales YoY (%) vs Previous Forecast Previous Forecast YoY (%) Actual Sales 338,500 100.0 9.7 4,000 334,500 8.4 308,625 Operating Income 39,500 11.7 3.3 500 39,000 2.0 38,234 Ordinary Income 44,000 13.0 10.8 1,000 43,000 8.2 39,725 Profit attributable to owners of parent 32,000 9.5 3.8 500 31,500 2.1 30,841 Exchange Rate (USD/JPY) 142.00 152.61 Exchange Rate (CNY/JPY) 19.00 21.02 148.00 20.00 Forecast for FY2026 FY2026
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□ Asia: +3,700 Mil yen (Myanmar and other south-east Asia is expected to progress favorably.) □ Americas: +300 Mil yen (Hydrox expect to perform strongly.) □ Impact of exchange rate vs LY: Asia -4,700 Mil yen , Americas -1,100 Mil yen, Europe + 0 Mil yen, Others – 200 Mil yen Sales Forecast by Segment（Upward Revision） 17 FY2025 （Mil Yen） Revised Forecast Composition rate (%) YoY (%) vs Previous Forecast Previous Forecast YoY (%) Actual Sales 338,500 100.0 9.7 4,000 334,500 8.4 308,625 Japan 171,200 50.6 3.8 0 171,200 3.8 164,988 Asia 119,700 35.4 19.3 3,700 116,000 15.6 100,336 Americas 20,500 6.1 ▲1.3 300 20,200 ▲2.7 20,769 Europe 23,800 7.0 24.2 0 23,800 24.2 19,163 Others 3,300 1.0 ▲2.0 0 3,300 ▲2.0 3,366 Exchange Rate (USD/JPY) 142.00 152.61 Exchange Rate (CNY/JPY) 19.00 21.0220.00 Forecast for FY2026 148.00 FY2026
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Forecast for O.I. by Segment (Upward Revision) 18 □ Japan: +600 Mil yen (Rohto standalone expect to perform well.) □ Asia: +500 Mil yen (Myanmar and other south-east Asia is expected to progress favorably.) □ Europe: -600 Mil yen (Higher COGS due to alternative supplier for topical analgesic products in UK) □ Impact of exchange rate vs LY: Asia -700 Mil yen , Americas -100 Mil yen, Europe + 0 Mil yen, Others - 0 Mil yen ※Operating income, Ordinary income, profit attributable to owners of parent and YoY (%) in FY2025 are calculated based on figures after retrospective adjustments, reflecting the finalization of the provisional accounting treatment for the business combination conducted in the Q1 FY2026. FY2025 （Mil Yen） Revised Forecast Composition rate (%) YoY (%) vs Previous Forecast Previous Forecast YoY (%) Actual Operating Income 39,500 100.0 3.3 500 39,000 2.0 38,234 Japan 22,300 56.5 ▲0.7 600 21,700 ▲3.4 22,453 Asia 13,300 33.7 14.7 500 12,800 10.4 11,595 Americas 1,400 3.5 ▲9.2 0 1,400 ▲9.2 1,542 Europe 1,400 3.5 ▲1.0 ▲600 2,000 41.4 1,414 Others 300 0.8 ▲15.3 0 300 ▲15.3 354 Adjustment 800 2.0 ▲8.5 0 800 ▲8.5 874 Exchange Rate (USD/JPY) 142.00 152.61 Exchange Rate (CNY/JPY) 19.00 21.0220.00 Forecast for FY2026 FY2026 148.00
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⊕EYS ⊕Rohto (standalone) ⊕Mono ⊕Vietnam ⊕Indonesia ⊕Myanmar ⊖EYS ⊖Mono ⊖Rohto (standalone) ⊖China ⊖Vietnam ⊖Rohto (Standalone) ⊖EYS ⊕China ⊕Hong Kong ⊕Rohto (Standalone) Forecast for Change in Operating Income (YoY) Millions of yen FY2025 O.I. FY2026 O.I. Sales Increase COGS Promotional Exp ADs R＆D Exp Others ⊖ Personnel expenses in EYS ⊖ Depreciation in EYS ⊖ Other costs in EYS ⊖ Amortization of goodwill of EYS ⊖ Personnel expenses in Mono ⊖ Other costs in Mono 19 ※Operating income, Ordinary income, profit attributable to owners of parent and YoY (%) in FY2025 are calculated based on figures after retrospective adjustments, reflecting the finalization of the provisional accounting treatment for the business combination conducted in the Q1 FY2026.
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Mid- to Long- Term Growth Strategy / Basic Policy Evolve Rohto Science and maximize earnings in the core care business. Build a foundation for professional care, expand the circle of well-being. Core business Growing business Investment for the future Global expansion Explore new market Expanding new values in eye/skin care both domestically and internationally. Establish a position in new fields such as hair care. Deepen and enhance technological capabilities From raw material research to the development of internal medicine/food. Expansion of higher sales and profit Establish a strong foundation of medical business Building the foundation of the medical domain (ophthalmology, dermatology, orthopedics, and exercise) driving our business over the next decade 20 ＊ Phyto-Science: One of the new business strategies pursued by Rohto Pharmaceutical, aimed at developing the health industry and solving social issues through the use of local natural materials and technologies. Focusing on the active properties and func tions of plant-based materials (“Phyto-Power”), we aim to unlock their value and potential using cutting-edge science, working toward the creation of a sustainable society
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Acquisition of the trademark for “Obagi” in Japan □ November 13, 2025 Signed an agreement with OBAGI, a subsidiary of Waldencast, to acquire the trademark for “Obagi” in Japan. □ Amount of acquisition：82.5 Mil USD（approx. 12,400 Mil yen） □ Current status：We pays the royalty for “Obagi” brand to OBAGI COSMECEUTICALS LLC. We manufacture and sell our own “Obagi” in consumer channel in Japan. □Future plan： By acquiring the permanent license and distribution rights for all sales channels in Japan, we will be able to expand not only in consumer channels but also in beauty clinics, aesthetic salons, and all other channels. Going forward, we will further strengthen and expand the brand presence in Japan. Core business □ About “Obagi” brand: Developed based on the “Skin Health Restoration Theory” advocated by Dr. Obagi, a skincare researcher in Los Angeles, the brand aims to maximize the skin’s natural potential to achieve healthy and beautiful skin. We adapted the concept to suit Japanese skin through continuous improvements and launched the brand in Japan in 2001. As a pioneer in functional cosmetics and doctor’s skincare products, Obagi serves as the leading and flagship brand in our skincare business. 21
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コア事業の拡大 Expansion of core businesses and entry into new fields □ Expand new young users by raising eye drop literacy Communicated the importance of eye care to all generations through promotions featuring SixTONES and experiential exhibits at the Expo. □ Establishment of a new business field in hair care Domestic：3 different colors of “PRORY repair color treatment” was launched Overseas：Various events were held to promote awareness and recommendations of “Selsun.” □ New expansion in animal field ” Annitto” was launched under companion animal business □ Soild growth for skin care Domestic：Plan to launch new products in “Melano CC”, “Obagi”, and “Hadalabo” Overseas：Exploring and Expanding new market for “Hadalabo Tokyo” ６０ “Hadalabo” brand Core business 22
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Deepen and enhance technological capabilities □ Supplement of “Phyto-science” New generation of sustainable nutritious New product, “100% algae origin DHA/EPA” □ New types of beauty drink “MOCOLA double impact shot” was launched Nominated as Nikkei Trendy Hit prediction 2026 Japan’s first algae farm, FARMO, and the Rohto Algae Technology Laboratory serve as research and production bases established under our “Phyto-science Initiative.” Viewing algae as the crops of the future, these facilities explore their potential and applications. □ Stimulated demand among younger consumers in GI medicine Impressive catchphrase for young generations Growing business 23
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未来への投資 Establish a strong foundation of medical business □ Expanding limited derma skin care for clinic channel Domestic：”DRX” has 20th brand anniversary Indonesia：”Dermacept RX” was launched in 2014 “DERMACEPT RX VITAMIN C GEL SERUM” was launched in October 2025 □ New approach to intractable wounds - ”Autlogel” □ Hydrox perform well in America □ Rohto Nitten perform strongly Plan to launch a new ophthalmic medicine going forward A functional skincare brand formulated with ingredients such as hydroquinone and azelaic acid, designed to be used under the guidance of dermatologists. Future investment Ophthalmic domains Dermal domains 24
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Maximizing human capital Through well-being management with the participation of all employees, we will create and grow businesses that “help create a better world” and “contribute to society.” As part of initiatives to realize the “ROHTO Well-being LIFE Declaration,” which promotes employee autonomy and social engagement, we have introduced new systems to support personal growth and contribution to society. □ Introduction of a new work style “Beyond Work System” ・Employees can choose to work three or four days per week, using the remaining days for side jobs, learning, social contribution, or acquiring qualifications. ・Through experiences and learning outside the company, employees are expected to bring new insights back to the workplace, revitalizing the organization and fostering new value creation. □ Introduction of a “Flexible Working Hours System without Core Time” ・Employees seeking work arrangements suited to their life stage, such as childcare or nursing care, can use the flexible system. ・Those aiming to pursue further challenges or learning can choose the “Beyond Work System”, supporting diverse work styles. □Major work style-related systems at Rohto Pharmaceutical “Reskilling Leave System” (from June 2025) “Intrapreneurship Support Program ‘Asuniwa’” (since 2020) “External Challenge Work (Side Job System)” (since 2016) “Internal W-Job (Concurrent In-house Roles)” (since 2016) ※ The “ROHTO Well-being LIFE Declaration” represents our commitment to encouraging employees’ self-direction and active participation in society. 25
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13 14 18 22 27 36 43 19.2％ 19.1％19.4％ 19.0％ 19.9％ 26.6％ 30.4％ 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 0 10 20 30 40 50 2019年度 2020年度 2021年度 2022年度 2023年度 2024年度 2025年度 Annual Dividends Payout Ratio FY20’ FY21’ FY22’ FY23’ FY24’ FY25’ FY26’ Shareholder Returns（Year-end dividend to be increased by 1 yen） Dividend per share (yen) Interim dividend: 21 yen, Year-end dividend: 22 Annual dividends: 43 yen, Payout ratio : 30.4％ (estimated) Payout ratio (％) 26 Dividend Payout Ratio over 30% DOE Over 3.5% Shareholder return policy Ensure stable and continuous dividend increases, unaffected by profit fluctuations.
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Appendix 28
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Our Purpose・Corporate Philosophy To lead all individuals and society surrounding us to “well-being” by delivering “health” to people around the world through our products and services and to make people happier and make the future brighter. Corporate Philosophy For the people to enjoy their fulfilled and happy life, the Company takes the greatest responsibility to contribute to their mental and physical health continuously, and to attain such responsibility, the Company endeavors to operate its business from a long-term perspective and generate value. Being fully aware of its mission as a public organ, the Company endeavors to cooperate with all persons surrounding the Company to solve social issues and share with them all benefits gained through such efforts. 1. 2. Chapter 1, Article 2 of the Articles of Association29
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Vision 2030“Connect for Well-being” Rohto strives to be innovative in the fields of medicine and skincare products, as well as other business areas, so that people all over the world can experience “Well-being” then together. In order to fully realize this goal, we closely “connect” members to those inside and outside of company. We also “connect” organizations to each other. We train our staff members in our chain of trust, so that we can create an organization with a sense of unity and then “connect” them to further people’s “well-being”. We will continue to contribute to the well-being of people all over the world through our business activities and aim to realize a sustainable society in which people can live healthy and happy lives. 30
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１Q ２Q ３Q ４Q 2024 １Q ２Q Rohto (Standalone) + low-10% + low single-digit + high single-digit - low single-digit + mid single-digit + low single-digit + mid single-digit China + mid single-digit - mid single-digit - low single-digit - high single-digit - mid single-digit - low single-digit + low single-digit Hong Kong + low single-digit - low-10% - mid single-digit - low single-digit - mid single-digit + low single-digit + mid single-digit Taiwan + mid single-digit + high single-digit + mid single-digit + high single-digit + mid single-digit + low-10% + low single-digit Vietnam + high single-digit + low-20% + low-20% - low single-digit + low-10% + low-10% + low-10% Indonesia + mid-30% + high single-digit + mid-10% + high-10% + high-10% + mid-30% + mid-20% Sales growth in Asia（Local currency basis） ※Excluding EYS Sales FY2025（YoY） FY2026（YoY） 31
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Domestic Sales by Brand in 1st Half of FY2026 YoY:＋6.7％ Composition: 13.6％ YoY:-7.7％ Composition: 5.9％ New ※YoY: Sales growth （1H FY2026 vs 1H FY2025) ※Composition: % of net sales in Rohto on non-consolidated basis Revamp for lotion on August 30th No.1 brands for basic skincare sold in drugstores* Sunscreen New YoY:+26.1％ Composition: 7.8％ YoY:＋12.5％ Composition: 7.4％ YoY:+6.0％ Composition: 6.2％ YoY:-9.9％ Composition: 11.4％ Lip balm Revamp for “Obagi X Vitalize Lift” cream on September 10th * Intage SRI+ [Weekly] Categories : Total cosmetics (4 categories) Period : From Apr 2025 to September 2025, unit sales. 32
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Asian Sales by Brand in 1st Half of FY2026 ※YoY: Sales growth （1H FY2026 vs 1H FY2025) ※Composition: % of net sales in Asia YoY:+7.0％ Composition: 12.7％ YoY:+27.7％ Composition: 12.1％ YoY:-11.4％ Composition: 10.7％ YoY:+26.9％ Composition: 5.8％ YoY:-11.2％ Composition: 4.7％ YoY:+26.3％ Composition: 7.8％ YoY:+5.0％ Composition: 3.4％ YoY:+11.9％ Composition: 3.3％ Lip balm SunscreenEye Drops Men’s cosmetics 33
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※Capital expenditures represent the total amount of tangible and intangible fixed assets. ※Depreciation excludes amortization of goodwill. ※Impact from the acquisition of the trademark of “Obagi” is excluded. Trends in the expenses over the past three years 34 Advertisement / R&D Expense （Millions of yen） 1H FY2024 1H FY2025 1H FY2026 YoY Change FY2024 FY2025 Forecast for FY2026 Advertisement 15,977 18,009 18,476 466 37,977 39,224 40,000 Sales ratio 12.5% 12.9% 11.2% - 14.0% 12.7% 11.8% R＆D Exp 5,663 8,143 6,741 △ 1,401 13,461 14,995 14,500 Sales ratio 4.4% 5.9% 4.1% - 5.0% 4.9% 4.3% Capital Expenditure, Depreciation & Amortization of goodwill （Millions of yen） 1H FY2024 1H FY2025 1H FY2026 YoY Change FY2024 FY2025 Forecast for FY2026 Capital Expenditure 4,671 5,167 6,533 1,366 10,100 15,070 17,005 Depreciation 3,922 4,267 7,071 2,804 8,251 12,096 15,004 Amortization of goodwill 199 178 1,006 827 436 1,205 2,079
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Trends in exchange rate over the past three years Exchange rate（USD/JPY） Exchange rate（CNY/JPY） 1H FY2024 1H FY2025 1H FY2026 FY2024 FY2025 FY2026 Actual Actual Actual YoY Change YoY (%) Actual Actual Estimate 19.45 21.05 20.47 -0.58 △ 2.76 19.82 21.02 20.00 19.94 22.04 20.19 -1.85 △ 8.39 19.93 21.67 -Period-end rate Average rate 1H FY2024 1H FY2025 1H FY2026 FY2024 FY2025 FY2026 Actual Actual Actual YoY Change YoY (%) Actual Actual Estimate 138.69 153.65 146.25 -7.40 △ 4.82 143.31 152.61 148.00 146.20 144.80 146.92 2.12 1.46 150.67 149.67 - Average rate Period-end rate 35
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Domain Cell type Code Indications Planned regions Partners Non-clinical P1 P2 P3 Application Regenerative medicines Stage Current stage completion target*1 Progress of the Medical Pipeline (Not revised) ■Medical Eye Drops The myopia population is expected to exceed 5 billion in 2050, becoming a significant social issue. ROH-001, which shows effectiveness in slowing the progression of myopia, has entered the P2 stage. Domain Code Indications Planned regions Partners Non- clinical P1 P2 P3 Application Opthalmology area Target*1 Stage ROH-101 ROH-201 ROH-202 ROH-001 CMV*2 Corneal endotheliitis Théa, M’z Science D. Western Therapeutics Institute, Inc. Dry eyes*3 Opthalmic treatment agent Suppression of Myopia progression Japan Japan Tobacco Tsubota Laboratory, Inc. Approval in FY2027 - - ■Regenerative Medecine Products Osteoarthritis and severe cardiac failure are in the P2 stage. New drugs will be launched after 2030. Pipeline of Ophthalmology Area Pipeline of Regenerative medicines (As of May 2025) *1: Targets are for Rohto and are not agreed upon by partners. *2 Cytomegalovirus *3 Dry eye patients including those with Sjögren's syndrome - ROH-101: Completed P3 - ROH-201: Completed P2b - ROH-001: Completed P1 *1: Targets are for Rohto and are not agreed upon by partners. *2 Produced by Interstem Co., Ltd. (our subsidiary) Human adipose-derived stem cells Human umbilical cord-derived stem cells Cartilage cell kit*2 ADR-001 ADR-002K ADR-001 ADR-001 ADR-001 UDI-001 Cirrhosis of the liver Severe cardiac failure Kidney diseases Shionogi (P2 Completed) (P2 in preparation) (Application in preparation) FY2026 FY2030 Japan Japan Japan Approval in FY2029 (As of May 2025) Severe leg ischemia Lung fibrosis Neurodegenerative diseases Traumatic cartilage defects Osteoarthritis Japan Japan Japan Japan Japan Japan Japan Japan FY2026 (P1 Completed) FY2028 36
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■ This document was prepared for the purpose of providing an understanding of the current status of the Company as a reference for investment decisions. ■ The contents contained herein are prepared based on economic, social and other conditions generally recognized as prevailing at the time of preparation and on certain assumptions judged to be reasonable by the Company, but may be subject to change without notice due to changes in the business environment or other reasons. ■ This document contains information on pharmaceutical products and other products including products under development. Such information is not intended as promotion, advertising or medical advice. ■ Any investment decisions should be made at the investor's own discretion. ■ The Company assumes no responsibility whatsoever for any problems, losses, or damages resulting from the use of this material. 37
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