Interim report
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Note : This document has been translated from the Japanese original for reference purposes only . In the event of any discrepancy between this translated document and the Japanese original , the original shall prevail . Consolidated Financial Results for the Six Months Ended June 30 , 2026 [ IFRS ] August 10 , 2026 Accounting Standards F FASF MEMBERSHIP Tokyo Stock Exchange Company name : The Yokohama Rubber Co. , Ltd. Listing : Securities code : 5101 URL : Representative : Inquiries : Telephone : https://www.y-yokohama.com/global/ Masataka Yamaishi , Chairman & CEO , Chairman of the Board Masahiro Ogahara , General Manager and Head of Corporate Finance & Accounting Dept. + 81-463-63-0414 Scheduled date to file semi - annual securities report : Scheduled date to commence dividend payments : Preparation of supplementary material on financial results : Holding of financial results briefing : August 10 , 2026 September 11 , 2026 Yes Yes ( for analysts ) ( Yen amounts are rounded to the nearest million yen . ) 1. Consolidated financial results for the six months ended June 30 , 2026 ( from January 1 , 2026 to June 30 , 2026 ) ( 1 ) Consolidated operating results ( cumulative ) ( Percentages indicate year - on - year changes . ) Sales revenue Business profit Operating profit Millions of yen Six months ended 639,397 10.4 % Millions of yen 95,846 54.3 % Millions of yen 109,699 100.0 Profit attributable to owners of the parent % Millions of yen 72,578 104.2 Total comprehensive income % Millions of yen % 107,050 June 30 , 2026 Six months ended 579,201 10.3 62,119 13.8 June 30 , 2025 54,858 ( 2.5 ) 35,535 ( 23.7 ) ( 8,410 ) Note : Business profit is calculated by deducting cost of sales and selling , general , and administrative expenses from sales revenue . Diluted earnings Business profit Basic earnings per share per share Yen Yen Six months ended 461.62 460.16 margin % 15.0 June 30 , 2026 Six months ended 224.86 224.21 10.7 June 30 , 2025 ( 2 ) Consolidated financial position Total assets Total equity Millions of yen Millions of yen Equity attributable to owners of the parent Millions of yen Ratio of equity attributable to owners of the parent % Equity attributable to owners of the parent per share Yen As of June 30 , 2,170,542 1,133,257 1,124,216 51.8 7,126.69 2026 As of December 31 , 1,998,360 1,040,231 1,030,851 51.6 6,536.66 2025
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2. Dividends Dividends per share End of 1Q End of 2Q End of 3Q Year-end Annual Yen Yen Yen Yen Yen Fiscal year ended December 31, 2025 － 48.00 － 86.00 134.00 Fiscal year ending December 31, 2026 － 87.00 Fiscal year ending December 31, 2026 (forecast) － 136.00 223.00 Note: Revisions to the dividends forecast most recently announced: Yes 3. Consolidated financial results forecast for the fiscal year ending December 31, 2026 (from January 1, 2026 to December 31, 2026) (Percentages indicate year-on-year changes.) Sales revenue Business profit Operating profit Profit attributable to owners of the parent Basic earnings per share Millions of yen % Millions of yen % Millions of yen % Millions of yen % Yen Full Year 1,320,000 6.9 192,500 15.6 199,500 30.5 117,000 11.0 744.11 Note: Revisions to the financial results forecast most recently announced: Yes
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* Notes (1) Significant changes in the scope of consolidation during the period: None Newly included: – companies Excluded: – companies (2) Changes in accounting policies and changes in accounting estimates (i) Changes in accounting policies required by IFRS: None (ii) Changes in accounting policies due to other reasons: None (iii) Changes in accounting estimates: None (3) Number of issued shares (common shares) (i) Total number of issued shares at the end of the period (including treasury shares) As of June 30, 2026 166,396,381 shares As of December 31, 2025 166,396,381 shares (ii) Number of treasury shares at the end of the period As of June 30, 2026 8,649,095 shares As of December 31, 2025 8,693,419 shares (iii) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) Six months ended of June 30, 2026 157,224,082 shares Six months ended of June 30, 2025 158,032,678 shares * Semi-annual financial results reports are exempt from review conducted by certified public accountants or an audit corporation. * Proper use of earnings forecasts and other special matters (Cautionary statements with respect to forward-looking statements and other information) The earnings forecasts herein are prepared by the Company based on information available to the Company as of the announcement of this document. Actual results may differ from these forecasts due to a wide range of factors.
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○Contents of Attached Materials 1. Qualitative Information on Consolidated Results for the Period under Review (1) Consolidated Operating Results 2 (2) Consolidated Financial Position 3 (3) Consolidated Earnings Forecast and Other Forward-Looking Statements 3 2. Condensed Interim Consolidated Financial Statements and Principal Notes (1) Condensed Interim Consolidated Statement of Financial Position 4 (2) Condensed Interim Consolidated Statement of Profit or Loss and Condensed Interim Consolidated Statement of Comprehensive Income 6 (3) Condensed Interim Consolidated Statement of Change in Equity 8 (4) Condensed Interim Consolidated Statement of Cash Flows 10 (5) Notes Concerning Condensed Interim Consolidated Financial Statements 11 (Notes on going concern assumption) 11 (Segment information, etc.) 11 (Significant subsequent events) 12
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2 1. Qualitative Information on Consolidated Results for the Period under Review (1) Consolidated Operating Results Six months ended June 30, 2025 Six months ended June 30, 2026 YoY change ¥ million ¥ million % Sales revenue 579,201 639,397 10.4 Tires 523,556 580,360 10.8 MB 51,316 54,863 6.9 Others 4,329 4,173 (3.6) Business profit (loss) 62,119 95,846 54.3 Tires 56,595 89,029 57.3 MB 5,157 6,317 22.5 Others 373 498 33.7 Adjustments (5) 2 － Operating profit 54,858 109,699 100.0 Profit before tax 50,662 110,818 118.7 Profit attributable to owners of the parent 35,535 72,578 104.2 Note: Business profit is calculated by deducting cost of sales and selling, general, and administrative expenses from revenues. In the first half of fiscal 2026 (January 1 – June 30, 2026), the Yokohama Rubber Group continued to pursue the “exploitation” of the strengths of its existing businesses and the “exploration” of new value while implementing its medium-term management plan Yokohama Transformation 2026 (YX2026), which aims to complete the transformation begun during the previous medium-term plan. This effort again produced strong results in all of the Group’s businesses. The Group’s first-half consolidated results included sales revenue of ¥639,397 million (+10.4% YoY) and business profit of ¥95,846 million (+54.3% YoY). Operating profit totaled ¥109,699 million, a 100.0% YoY increase supported by a ¥35,302 million gain on the sale of assets at the site of a former OHT plant in Israel offsetting a one-time expense of ¥14,952 million on the closure of a U.S. tire plant in Salem, Virginia. As a result, profit attributable to owners of the parent totaled ¥72,578 million (+104.2% YoY), and the Group achieved record highs in all key earnings categories. Tire segment sales revenue totaled ¥580,360 million (+10.8% YoY), accounting for 90.8% of the Yokohama Rubber Group’s consolidated sales revenue. Consumer tire original equipment (OE) sales revenue increased year on year as strong sales in Japan of vehicle models equipped with YOKOHAMA tires compensated for the continued weakness in Japanese automakers’sales in China. Replacement tire sales revenue also increased year on year. In addition to constant meticulous sales efforts in Japan, replacement tire sales were boosted by strong sales of high-inch and other high-value-added tires in Europe and efforts to develop new customers and expand business with existing customers in all regions. The off-highway tire (OHT) business achieved a YoY increase in sales revenue in a difficult demand environment, as it strictly adhered to its policy of securing a revenue structure that is unaffected by demand cycles, increased sales while maintaining high profitability, and flexibly raised prices to reflect recent increases in raw material costs. Sales of OE tires for agricultural machinery were higher than a year ago as the business is steadily expanding sales volume by investing in its products and technologies to strengthen customer relationships. The OHT business also achieved YoY growth in sales of its replacement tires, as its multi-brand strategy, which includes its Mitas and Alliance brands, and aggressive launches of new products produced strong sales, especially in North America. MB (Multiple Businesses) segment sales revenue totaled ¥54,863 million (+6.9% YoY), accounting for 8.6%
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3 of the Group’s consolidated sales revenue. The segment’s hose & couplings business achieved YoY sales growth as it strengthened its hydraulic hose operations in the replacement markets in Japan and overseas and continued its meticulous sales activities. The industrial products business’sales revenue also increased year on year. In addition to expanding sales of conveyor belts and maintaining its high share in that market, the business increased its sales of aerospace products (government demand), an area it has been focusing on in recent years. The strong increase in first-half consolidated business profit is attributed to the consumer tire business’ higher sales of high-value-added tires (AGW) and high-inch tires, increased sales volume at the highly profitable OHT business, the MB segment’s efforts to improve profitability of its existing businesses, and Group-wide efforts to drastically reduce costs and implement structural reforms. (2) Consolidated Financial Position Total assets as of June 30, 2026, were ¥2,170,542 million, an increase of ¥172,182 million from the end of the previous consolidated fiscal year (December 31, 2025). The increase primarily reflects increases in inventories, cash and cash equivalents, and property, plant and equipment. Total liabilities as of June 30, 2026, were ¥1,037,285 million, an increase of ¥79,155 million from the end of the previous consolidated fiscal year. The increase in liabilities primarily reflects an increase in interest-bearing debt. Total equity as of June 30, 2026, came to ¥1,133,257 million, an increase of ¥93,027 million from the end of the previous consolidated fiscal year. This increase primarily reflects the recording of profit attributable to owners of the parent. (3) Consolidated Earnings Forecast and Other Forward-Looking Statements The consolidated earnings forecast for the fiscal year ending December 2026 (January 1 – December 31, 2026) has been revised. For details, please refer to the "Notice on Differences between Earnings Forecast and Results for First-Half 2026 and Upward Revisions to Full-Year Forecast and Shareholder Dividends" announced today.
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4 2. Condensed Interim Consolidated Financial Statements and Principal Notes (1) Condensed Interim Consolidated Statement of Financial Position (Millions of yen) As of December 31, 2025 As of June 30, 2026 Assets Current assets Cash and cash equivalents 107,391 147,059 Trade and other receivables 333,987 368,474 Other financial assets 8,576 15,907 Inventories 319,055 372,891 Other current assets 39,818 40,284 Subtotal 808,828 944,614 Non-current assets held for sale 17,340 107 Total current assets 826,168 944,721 Non-current assets Property, plant and equipment 634,266 672,810 Goodwill 332,899 340,438 Intangible assets 126,438 123,605 Other financial assets 44,072 49,647 Deferred tax assets 7,488 12,377 Other non-current assets 27,029 26,943 Total non-current assets 1,172,192 1,225,821 Total assets 1,998,360 2,170,542
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5 (Millions of yen) As of December 31, 2025 As of June 30, 2026 Liabilities and equity Liabilities Current liabilities Trade and other payables 112,706 137,899 Bonds and borrowings 135,230 238,253 Other financial liabilities 33,577 32,008 Income taxes payable 53,896 38,364 Other current liabilities 111,632 99,277 Total current liabilities 447,041 545,801 Non-current liabilities Bonds and borrowings 400,540 376,969 Other financial liabilities 44,286 49,883 Liabilities for retirement benefits 16,734 15,660 Deferred tax liabilities 29,365 27,146 Other non-current liabilities 20,163 21,825 Total non-current liabilities 511,089 491,484 Total liabilities 958,130 1,037,285 Equity Share capital 38,909 38,909 Share premium 29,967 30,248 Retained earnings 709,386 770,758 Treasury shares (15,662) (15,585) Other components of equity 268,251 299,887 Total equity attributable to owners of the parent 1,030,851 1,124,216 Non-controlling interests 9,379 9,041 Total equity 1,040,231 1,133,257 Total liabilities and equity 1,998,360 2,170,542
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6 (2) Condensed Interim Consolidated Statement of Profit or Loss and Condensed Interim Consolidated Statement of Comprehensive Income Condensed Interim Consolidated Statement of Profit or Loss Six Months Ended June 30 (Millions of yen) For the Six months ended June 30, 2025 For the Six months ended June 30, 2026 Sales revenue 579,201 639,397 Cost of sales (381,289) (391,973) Gross profit 197,912 247,424 Selling, general, and administrative expenses (135,793) (151,578) Business profit 62,119 95,846 Other income 2,468 38,398 Other expenses (9,729) (24,545) Operating profit 54,858 109,699 Finance income 3,154 9,111 Finance costs (7,351) (7,992) Profit before tax 50,662 110,818 Income taxes (14,822) (37,798) Profit 35,840 73,019 Profit attributable to: Owners of the parent 35,535 72,578 Non-controlling interests 305 441 Profit 35,840 73,019 Basic earnings per share (Yen) 224.86 461.62 Diluted earnings per share (Yen) 224.21 460.16
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7 Condensed Interim Consolidated Statement of Comprehensive Income Six Months Ended June 30 (Millions of yen) For the Six months ended June 30, 2025 For the Six months ended June 30, 2026 Profit 35,840 73,019 Other comprehensive income Items that will not be reclassified subsequently to profit or loss Gains (losses) on financial assets measured at fair value through other comprehensive income 959 4,113 Remeasurements of defined benefit plans (5,262) 1,950 Items that may be reclassified subsequently to profit or loss Cash flow hedges (2,333) 1,265 Exchange differences on translating foreign operations (37,614) 26,703 Total other comprehensive income, net of tax (44,250) 34,031 Comprehensive income (8,410) 107,050 Comprehensive income attributable to: Owners of the parent (8,623) 106,570 Non-controlling interests 213 481 Comprehensive income (8,410) 107,050
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8 (3) Condensed Interim Consolidated Statement of Changes in Equity Six Months Ended June 30, 2025 (Millions of yen) Equity attributable to owners of the parent Share capital Share premium Retained earnings Treasury shares Other components of equity Exchange differences on translating foreign operations Cash flow hedges Balance, January 1, 2025 38,909 31,386 619,730 (15,441) 198,727 225 Profit 35,535 Other comprehensive income (37,506) (2,333) Comprehensive income － － 35,535 － (37,506) (2,333) Purchase of treasury shares (6,002) Share-based payment transactions 79 109 Cancellation of treasury shares (488) (5,190) 5,678 Dividends from surplus (8,293) Transactions with non-controlling interests in subsidiaries that do not result in a loss of control (1,011) Transfer to retained earnings (5,263) Changes in scope of consolidation Total transactions with owners － (1,419) (18,746) (214) － － Balance, June 30, 2025 38,909 29,967 636,519 (15,656) 161,221 (2,108) Equity attributable to owners of the parent Non-controlling interests Total equity Other components of equity Total equity attributable to owners of the parent Gains (losses) on financial assets measured at fair value through other comprehensive income Remeasurements of defined benefit plans Total Balance, January 1, 2025 20,435 － 219,387 893,971 10,042 904,013 Profit － 35,535 305 35,840 Other comprehensive income 944 (5,262) (44,158) (44,158) (93) (44,250) Comprehensive income 944 (5,262) (44,158) (8,623) 213 (8,410) Purchase of treasury shares － (6,002) (6,002) Share-based payment transactions － 189 189 Cancellation of treasury shares － － － Dividends from surplus － (8,293) (631) (8,925) Transactions with non-controlling interests in subsidiaries that do not result in a loss of control － (1,011) (1,547) (2,558) Transfer to retained earnings 1 5,262 5,263 － － Changes in scope of consolidation － － － Total transactions with owners 1 5,262 5,263 (15,117) (2,179) (17,296) Balance, June 30, 2025 21,379 － 180,492 870,231 8,076 878,307
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9 Six Months Ended June 30, 2026 (Millions of yen) Equity attributable to owners of the parent Share capital Share premium Retained earnings Treasury shares Other components of equity Exchange differences on translating foreign operations Cash flow hedges Balance, January 1, 2026 38,909 29,967 709,386 (15,662) 247,674 (1,012) Profit 72,578 Other comprehensive income 26,670 1,265 Comprehensive income － － 72,578 － 26,670 1,265 Purchase of treasury shares (4) Share-based payment transactions 203 81 Cancellation of treasury shares Dividends from surplus (13,562) Transactions with non-controlling interests in subsidiaries that do not result in a loss of control Transfer to retained earnings 2,356 Changes in scope of consolidation 78 Total transactions with owners － 280 (11,206) 77 － － Balance, June 30, 2026 38,909 30,248 770,758 (15,585) 274,344 253 Equity attributable to owners of the parent Non-controlling interests Total equity Other components of equity Total equity attributable to owners of the parent Gains (losses) on financial assets measured at fair value through other comprehensive income Remeasurements of defined benefit plans Total Balance, January 1, 2026 21,589 － 268,251 1,030,851 9,379 1,040,231 Profit － 72,578 441 73,019 Other comprehensive income 4,107 1,950 33,992 33,992 39 34,031 Comprehensive income 4,107 1,950 33,992 106,570 481 107,050 Purchase of treasury shares － (4) (4) Share-based payment transactions － 284 284 Cancellation of treasury shares － － － Dividends from surplus － (13,562) (819) (14,381) Transactions with non-controlling interests in subsidiaries that do not result in a loss of control － － － Transfer to retained earnings (406) (1,950) (2,356) － － Changes in scope of consolidation － 78 78 Total transactions with owners (406) (1,950) (2,356) (13,205) (819) (14,024) Balance, June 30, 2026 25,290 － 299,887 1,124,216 9,041 1,133,257
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10 (4) Condensed Interim Consolidated Statement of Cash Flows (Millions of yen) For the six months ended June 30, 2025 For the six months ended June 30, 2026 Cash flows from operating activities Profit before tax 50,662 110,818 Depreciation and amortization 36,792 41,799 Impairment losses 2,913 3,914 Increase (decrease) in liabilities for retirement benefits (370) (338) Interest and dividend income (2,164) (2,505) Interest expenses 3,632 6,106 Loss (gain) on sale and retirement of non-current assets 184 (36,190) Decrease (increase) in trade receivables (2,605) (5,977) Increase (decrease) in trade payables 11,502 10,954 Decrease (increase) in inventories (13,921) (46,953) Other (17,861) (15,683) Subtotal 68,763 65,945 Interests and dividends received 2,116 2,472 Interests paid (3,596) (6,117) Income taxes (paid) refund (42,009) (71,081) Net cash provided by operating activities 25,273 (8,782) Cash flows from investing activities Payments into time deposits (634) (6,776) Proceeds from withdrawal of time deposits 1,578 － Purchases of property, plant and equipment (49,643) (59,851) Proceeds from sale of property, plant and equipment 745 55,191 Purchases of intangible assets (240) (745) Purchases of investment securities (9) (40) Proceeds from sale of investment securities 27 834 Payments for acquisition of businesses, including acquisition of subsidiaries, net of cash and cash equivalents acquired (140,527) － Other (1,644) (672) Net cash used in investing activities (190,346) (12,058) Cash flows from financing activities Net increase (decrease) in short-term borrowings 21,582 52,877 Net increase (decrease) in commercial paper 23,000 56,000 Proceeds from long-term borrowings 140,275 － Repayments of long-term borrowings (24,309) (31,430) Repayments of lease liabilities (5,671) (6,819) Purchases of treasury shares (6,002) (4) Proceeds from sale of treasury shares 189 284 Cash dividends paid (8,293) (13,398) Other (1,058) (798) Net cash provided by financing activities 139,712 56,711 Effect of exchange rate changes on cash and cash equivalents (14,839) 3,797 Net increase (decrease) in cash and cash equivalents (40,200) 39,667 Cash and cash equivalents at the beginning of period 136,215 107,391 Cash and cash equivalents at the end of period 96,014 147,059
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11 (5) Notes Concerning Condensed Interim Consolidated Financial Statements (Notes on going concern assumption) Not applicable. (Segment information, etc.) (1) Outline of Reportable Segments The Group’s business segments are organizational units for which the Group is able to obtain discrete financial information in order for the Company’s Board of Directors to regularly review performance to determine the distribution of management resources and evaluate business results. The Group classifies organizational units by product and service. Each organizational unit plans domestic or overseas general strategies for its products and services and operates its business. Major products in each reportable segment Reportable segment Major products Tires Tires for passenger cars, trucks and buses, light trucks, agricultural machinery, mining and construction equipment, industrial equipment, forestry machinery, etc.; various tire tubes; aluminum alloy wheels; and auto supplies MB Conveyor belts, various hoses, pneumatic marine fenders, oil fences, marine hoses, and aerospace products
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12 (2) Information on Segment Revenues and Results The figures related to reportable segments are based on business profit. Intersegment revenues are based on prevailing market prices. For the six months ended June 30, 2025 (from January 1, 2025 to June 30, 2025) (Millions of yen) Reportable segment Others (Note 1) Total Adjustment (Note 3) Consolidated Tires MB Sales revenue Sales revenue from external customers 523,556 51,316 4,329 579,201 － 579,201 Intersegment revenue 592 50 11,130 11,771 (11,771) － Total 524,148 51,366 15,459 590,972 (11,771) 579,201 Segment profit (business profit) (Note 2) 56,595 5,157 373 62,124 (5) 62,119 Other income and expenses (7,261) Operating profit 54,858 (Notes) 1. “Others” includes the sports business. 2. Segment profit (business profit) is calculated by deducting cost of sales and selling, general, and administrative expenses from sales revenues. 3. Segment profit adjustments include the elimination of intersegment transactions. For the six months ended June 30, 2026 (from January 1, 2026 to June 30, 2026) (Millions of yen) Reportable segment Others (Note 1) Total Adjustment (Note 3) Consolidated Tires MB Sales revenue Sales revenue from external customers 580,360 54,863 4,173 639,397 － 639,397 Intersegment revenue 541 68 11,312 11,921 (11,921) － Total 580,902 54,931 15,486 651,318 (11,921) 639,397 Segment profit (business profit) (Note 2) 89,029 6,317 498 95,844 2 95,846 Other income and expenses 13,853 Operating profit 109,699 (Notes) 1. “Others” includes the sports business. 2. Segment profit (business profit) is calculated by deducting cost of sales and selling, general, and administrative expenses from sales revenues. 3. Segment profit adjustments include the elimination of intersegment transactions. (Significant subsequent events) Not applicable.