Interim report
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Consolidated Financial Statements for the First Half of the Fiscal Year Ending December 31 , 2026 < under IFRS > August 7 , 2026 These financial statements , prepared in accordance with International Financial Reporting Standards ( IFRS ) , have been translated for reference only from the original Japanese - language document " KESSAN TANSHIN . " The entire format is pursuant to the requirements and guidance of Tokyo Stock Exchange . If any differences or discrepancies arise between the original Japanese document and this English translation , the original Japanese document shall prevail . Company name : Code number : Representative : Contact : Telephone : Bridgestone Corporation 5108 Yasuhiro Morita , Member of the Board Stock exchange listings : Tokyo , Fukuoka URL : https://www.bridgestone.com/ Global CEO and Representative Executive Officer Kazuchika Higuchi , General Manager , IR Department + 81-3-6836-3100 Scheduled date of submission of the Semi - annual Securities Report : August 7 , 2026 Scheduled date of dividend payment commencement : September 1 , 2026 Preparation of supplementary materials : Yes Financial statements briefing to be held : Yes ( All amounts are rounded off to the nearest million yen ) 1. Consolidated Results for the First Half of FY2026 ( January 1 , 2026 - June 30 , 2026 ) ( 1 ) Consolidated Operating Results ( Percentage figures represent year - on - year changes ) Figures for continuing operations ( Note 2 ) Profit attributable to owners of parent Yen in millions Adjusted operating Revenue Operating profit profit ( Note 1 ) Yen in millions % Yen in millions % Yen in millions % % Six months ended June 30 , 2026 2,321,667 9.7 280,871 19.7 280,229 70.4 Six months ended June 30 , 2025 2,116,437 ( 2.8 ) 234,644 2.4 164,484 ( 41.3 ) 206,083 78.9 115,189 ( 42.2 ) Profit attributable to owners of parent Yen in millions % income Yen in millions Figures including discontinued operations Comprehensive Basic earnings per share ( Note 3 ) Diluted earnings per share ( Note 3 ) % Yen Yen Six months ended June 206,245 78.5 30 , 2026 115,523 ( 42.0 ) 305,724 ( 66,435 ) 163.30 163.15 85.11 Six months ended June 30 , 2025 ( Notes ) 1 . 85.03 The Group utilizes " adjusted operating profit , " which is determined by adding or subtracting certain adjustment items to or from pre adjusted metrics ( operating profit ) . For details on reconciliations , please refer to page 10 " Reconciliation from adjusted operating profit to profit before tax❞ under " 1. Condensed Semi - annual Consolidated Financial Statements and Primary Notes ( 6 ) Notes to the Condensed Semi - annual Consolidated Financial Statements . " 2. The Group classified anti - vibration rubber business as discontinued operations , thereby deducting such discontinued operations from monetary amounts of the six months ended June 30 , 2025 and six months ended June 30 , 2026 . For details on discontinued operations , please refer to page 13 , " Discontinued operations " under " 1 . Condensed Semi - annual Consolidated Financial Statements and Primary Notes ( 6 ) Notes to the Condensed Semi - annual Consolidated Financial Statements . " 3. On January 1 , 2026 , the Company carried out a stock split of common shares at a 2 - for - 1 ratio . Basic earnings per share and diluted earnings per share have been calculated assuming that the stock split was conducted at the beginning of the fiscal year ended December 31 , 2025 . ( 2 ) Consolidated Financial Position Total assets Total equity As of June 30 , 2026 As of December 31 , 2025 Yen in millions 5,902,954 5,747,705 Yen in millions 3,838,726 3,719,888 Total equity attributable to owners of parent Yen in millions 3,781,546 3,661,793 Ratio of equity attributable to owners of parent to total assets % 64.1 63.7
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2. Dividends Dividend per share 1st quarter end 2nd quarter end 3rd quarter end Year-end Total Yen Yen Yen Yen Yen FY2025 – 115.00 – 115.00 230.00 FY2026 – 60.00 FY2026 (Projection) – 65.00 125.00 (Notes) 1. Changes from the latest forecasts released: No 2. On January 1, 2026, the Company carried out a stock split of common shares at a 2 -for-1 ratio. The amounts shown for FY2025 are the actual amounts of dividends paid before the stock split. 3. Consolidated Financial Results Forecasts for FY2026 (January 1, 2026 - December 31, 2026) (Percentage figures represent year-on-year changes) Figures for continuing operations Figures including discontinued operations Revenue Adjusted operating profit Profit attributable to owners of parent Basic earnings per share Yen in millions % Yen in millions % Yen in millions % Yen FY2026 4,500,000 1.6 515,000 4.3 340,000 3.9 270.87 (Notes) 1. Changes from the latest forecasts released: No 2. Amounts for profit attributable to owners of parent, and basic earnings per share for continuing operations only are as follows: ⚫ Profit attributable to owners of parent: ¥340,000 million ⚫ Basic earnings per share: ¥270.87 3. On January 1, 2026, the Company carried out a stock split of common shares at a 2 -for-1 ratio. The basic earnings per share in the Consolidated Financial Results Forecasts for FY2026 take into account the impact of this stock split. *Notes (1) Significant changes in scope of consolidation during the six months ended June 30, 2026: No (2) Changes in accounting policies and changes in accounting estimates 1) Changes in accounting policies required by IFRS : No 2) Changes in accounting policies other than 1) : No 3) Changes in accounting estimates : No (3) Number of issued shares (common shares) 1) Total number of issued shares at period end (including treasury stock): June 30, 2026 1,334,037,042 shares December 31, 2025 1,427,396,442 shares 2) Number of shares of treasury stock at period end: June 30, 2026 89,390,759 shares December 31, 2025 150,838,696 shares 3) Average number of shares outstanding during the period (during the first half): First Half ended June 30, 2026 1,262,966,339 shares First Half ended June 30, 2025 1,357,370,016 shares (Note) On January 1, 2026, the Company carried out a stock split of common shares at a 2-for-1 ratio. Total number of issued shares at period end, number of shares of treasury stock at period end, and average number of shares outstanding during the period have been calculated assuming that the stock split was conducted at the beginning of the fiscal year ended December 31, 2025. *Semi-annual financial results reports (for the six months ended June 30) are exempt from review conducted by certified public accountants or an audit corporation *Statement regarding appropriate use of forward-looking statements and other notes Forecasts based on our projections and plans for the future in this document contain unpredictable elements that may cause fluctuations. As such, they do not constitute guarantees by the Company of the achievement of those forecasts. Accordingly, actual business results may differ substantially from the Company’s current assessment.
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Bridgestone Corporation (5108) First Half Results of FY2026 － 1 － [ Index ] 1. Condensed Semi-annual Consolidated Financial Statements and Primary Notes ................................ 2 (1) Condensed Semi-annual Consolidated Statement of Financial Position ............................................. 2 (2) Condensed Semi-annual Consolidated Statement of Profit or Loss .................................................... 4 (3) Condensed Semi-annual Consolidated Statement of Comprehensive Income ................................... 5 (4) Condensed Semi-annual Consolidated Statement of Changes in Equity ............................................ 6 (5) Condensed Semi-annual Consolidated Statement of Cash Flows ........................................................ 8 (6) Notes to the Condensed Semi-annual Consolidated Financial Statements ....................................... 10 (Notes regarding going concern assumption) ...................................................................................... 10 (Reconciliation from adjusted operating profit to profit before tax) .................................................. 10 (Selling, general and administrative expenses) .................................................................................... 11 (Other income and other expenses) ....................................................................................................... 11 (Finance income and finance costs) ...................................................................................................... 12 (Discontinued operations) ...................................................................................................................... 13 (Subsequent events) ............................................................................................................................... 13
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Bridgestone Corporation (5108) First Half Results of FY2026 － 2 － 1. Condensed Semi-annual Consolidated Financial Statements and Primary Notes (1) Condensed Semi-annual Consolidated Statement of Financial Position (Yen in millions) As of December 31, 2025 As of June 30, 2026 Assets Current assets Cash and cash equivalents 713,810 791,733 Trade and other receivables 1,093,109 1,137,735 Inventories 885,458 935,234 Other financial assets 13,510 9,885 Other current assets 128,574 136,265 Subtotal 2,834,462 3,010,852 Assets held for sale 28,719 13,822 Total current assets 2,863,182 3,024,674 Non-current assets Property, plant and equipment 1,858,259 1,855,985 Right-of-use assets 312,761 310,757 Goodwill 166,454 167,990 Intangible assets 202,901 199,253 Investments accounted for using the equity method 49,951 55,119 Other financial assets 107,720 108,513 Deferred tax assets 114,532 102,331 Other non-current assets 71,944 78,332 Total non-current assets 2,884,523 2,878,280 Total assets 5,747,705 5,902,954
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Bridgestone Corporation (5108) First Half Results of FY2026 － 3 － (Yen in millions) As of December 31, 2025 As of June 30, 2026 Liabilities and equity Liabilities Current liabilities Trade and other payables 600,647 572,156 Bonds and borrowings 94,958 78,327 Lease liabilities 68,871 70,086 Income taxes payable 54,079 47,717 Other financial liabilities 43,735 42,931 Provisions 56,434 56,511 Other current liabilities 198,290 216,759 Subtotal 1,117,014 1,084,488 Liabilities directly associated with assets held for sale 5,640 1,591 Total current liabilities 1,122,654 1,086,079 Non-current liabilities Bonds and borrowings 392,312 481,739 Lease liabilities 270,874 269,662 Other financial liabilities 21,692 12,099 Retirement benefit liabilities 129,758 127,247 Provisions 40,908 38,891 Deferred tax liabilities 37,873 36,938 Other non-current liabilities 11,746 11,574 Total non-current liabilities 905,162 978,150 Total liabilities 2,027,817 2,064,228 Equity Common stock 126,354 126,354 Capital surplus 121,366 121,146 Treasury stock (433,930) (274,007) Other components of equity 794,058 889,893 Retained earnings 3,053,945 2,918,159 Total equity attributable to owners of parent 3,661,793 3,781,546 Non-controlling interests 58,095 57,180 Total equity 3,719,888 3,838,726 Total liabilities and equity 5,747,705 5,902,954
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Bridgestone Corporation (5108) First Half Results of FY2026 － 4 － (2) Condensed Semi-annual Consolidated Statement of Profit or Loss (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Continuing operations Revenue 2,116,437 2,321,667 Cost of sales 1,300,399 1,398,935 Gross profit 816,038 922,732 Selling, general and administrative expenses 586,395 642,616 Other income 7,359 14,387 Other expenses 72,518 14,274 Operating profit 164,484 280,229 Finance income 9,353 11,552 Finance costs 16,958 17,813 Share of profit (loss) of investments accounted for using the equity method (1,468) 634 Profit before tax 155,411 274,603 Income tax expense 36,641 64,440 Profit from continuing operations 118,770 210,163 Discontinued operations Profit from discontinued operations 334 161 Profit 119,104 210,324 Profit attributable to Owners of parent 115,523 206,245 Non-controlling interests 3,581 4,079 Profit 119,104 210,324 Earnings (loss) per share Basic earnings (loss) per share (Yen) Continuing operations 84.86 163.17 Discontinued operations 0.25 0.13 Total 85.11 163.30 Diluted earnings (loss) per share (Yen) Continuing operations 84.78 163.03 Discontinued operations 0.25 0.13 Total 85.03 163.15
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Bridgestone Corporation (5108) First Half Results of FY2026 － 5 － (3) Condensed Semi-annual Consolidated Statement of Comprehensive Income (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Profit 119,104 210,324 Other comprehensive income Items that will not be reclassified to profit or loss Net change in fair value of financial assets measured through other comprehensive income (4,343) (3,318) Remeasurements of defined benefit plans 58 (141) Share of other comprehensive income of investments accounted for using the equity method 55 73 Total of items that will not be reclassified to profit or loss (4,231) (3,386) Items that may be reclassified to profit or loss Exchange differences on translation of foreign operations (181,467) 92,853 Effective portion of change in fair value of cash flow hedges 2,410 1,304 Share of other comprehensive income of investments accounted for using the equity method (2,250) 4,631 Total of items that may be reclassified to profit or loss (181,307) 98,787 Other comprehensive income, net of tax (185,538) 95,400 Comprehensive income (66,435) 305,724 Comprehensive income attributable to Owners of parent (66,822) 302,287 Non-controlling interests 387 3,437 Comprehensive income (66,435) 305,724
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Bridgestone Corporation (5108) First Half Results of FY2026 － 6 － (4) Condensed Semi-annual Consolidated Statement of Changes in Equity Six months ended June 30, 2025 (Yen in millions) Equity attributable to owners of parent Common stock Capital surplus Treasury stock Other components of equity Stock acquisition rights Exchange differences on translation of foreign operations Effective portion of change in fair value of cash flow hedges Net change in fair value of financial assets measured through other comprehen- sive income Balance as of January 1, 2025 126,354 120,655 (134,592) 2,055 724,861 (3,100) 26,555 Profit – – – – – – – Other comprehensive income – – – – (180,915) 2,780 (4,289) Total comprehensive income – – – – (180,915) 2,780 (4,289) Purchase of treasury stock – – (107,676) – – – – Disposal of treasury stock – (131) 476 (117) – – – Share-based remuneration transactions – 482 – – – – – Dividends – – – – – – – Transfer from other components of equity to retained earnings – – – – – – (4,430) Other changes – – – – – – – Total transactions with owners, etc. – 351 (107,201) (117) – – (4,430) Balance as of June 30, 2025 126,354 121,006 (241,793) 1,938 543,946 (319) 17,837 Equity attributable to owners of parent Non- controlling interests Total Other components of equity Retained earnings Total Remeasure- ments of defined benefit plans Total Balance as of January 1, 2025 – 750,372 2,868,817 3,731,606 54,882 3,786,488 Profit – – 115,523 115,523 3,581 119,104 Other comprehensive income 79 (182,345) – (182,345) (3,194) (185,538) Total comprehensive income 79 (182,345) 115,523 (66,822) 387 (66,435) Purchase of treasury stock – – (0) (107,677) – (107,677) Disposal of treasury stock – (117) (40) 188 – 188 Share-based remuneration transactions – – – 482 – 482 Dividends – – (71,907) (71,907) (3,383) (75,290) Transfer from other components of equity to retained earnings (79) (4,509) 4,509 – – – Other changes – – – – (54) (54) Total transactions with owners, etc. (79) (4,626) (67,439) (178,914) (3,437) (182,351) Balance as of June 30, 2025 – 563,401 2,916,902 3,485,870 51,832 3,537,702
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Bridgestone Corporation (5108) First Half Results of FY2026 － 7 － Six months ended June 30, 2026 (Yen in millions) Equity attributable to owners of parent Common stock Capital surplus Treasury stock Other components of equity Stock acquisition rights Exchange differences on translation of foreign operations Effective portion of change in fair value of cash flow hedges Net change in fair value of financial assets measured through other comprehen- sive income Balance as of January 1, 2026 126,354 121,366 (433,930) 1,840 771,682 (2,834) 23,369 Profit – – – – – – – Other comprehensive income – – – – 98,028 1,318 (3,245) Total comprehensive income – – – – 98,028 1,318 (3,245) Purchase of treasury stock – – (109,291) – – – – Disposal of treasury stock – (220) 629 (144) – – – Cancellation of treasury stock – – 268,586 – – – – Share-based remuneration transactions – 0 – – – – – Dividends – – – – – – – Transfer from other components of equity to retained earnings – – – – – – (121) Total transactions with owners, etc. – (220) 159,924 (144) – – (121) Balance as of June 30, 2026 126,354 121,146 (274,007) 1,696 869,710 (1,516) 20,003 Equity attributable to owners of parent Non- controlling interests Total Other components of equity Retained earnings Total Remeasure- ments of defined benefit plans Total Balance as of January 1, 2026 – 794,058 3,053,945 3,661,793 58,095 3,719,888 Profit – – 206,245 206,245 4,079 210,324 Other comprehensive income (59) 96,042 – 96,042 (642) 95,400 Total comprehensive income (59) 96,042 206,245 302,287 3,437 305,724 Purchase of treasury stock – – (3) (109,294) – (109,294) Disposal of treasury stock – (144) (103) 163 – 163 Cancellation of treasury stock – – (268,586) – – – Share-based remuneration transactions – – – 0 – 0 Dividends – – (73,402) (73,402) (4,353) (77,755) Transfer from other components of equity to retained earnings 59 (62) 62 – – – Total transactions with owners, etc. 59 (206) (342,031) (182,534) (4,353) (186,886) Balance as of June 30, 2026 – 889,893 2,918,159 3,781,546 57,180 3,838,726
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Bridgestone Corporation (5108) First Half Results of FY2026 － 8 － (5) Condensed Semi-annual Consolidated Statement of Cash Flows (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Cash flows from operating activities Profit before tax 155,411 274,603 Profit before tax from discontinued operations 421 368 Depreciation and amortization 176,202 183,538 Increase (decrease) in accounts payable - bonuses (2,807) (13,103) Increase (decrease) in retirement benefit liabilities (5,385) (4,183) Interest and dividend income (8,648) (9,969) Interest expenses 9,104 11,018 Share of loss (profit) of investments accounted for using the equity method 1,468 (634) Loss (gain) on sale of fixed assets (4,169) (375) Business and plant restructuring income (1,268) (10,656) Business and plant restructuring expenses 70,277 11,112 Decrease (increase) in trade and other receivables 5,378 (11,671) Decrease (increase) in inventories (15,880) (29,587) Increase (decrease) in trade and other payables (37,989) 8,035 Increase (decrease) in consumption tax payables 8,668 13,307 Increase (decrease) in refund liabilities 15,571 23,576 Other (52,600) (49,360) Subtotal 313,754 396,016 Interest and dividends received 10,056 10,326 Interest paid (12,626) (10,399) Income taxes paid (32,059) (54,116) Net cash provided by (used in) operating activities 279,125 341,827 Cash flows from investing activities Payments for purchase of property, plant and equipment (123,899) (130,806) Proceeds from sale of property, plant and equipment 6,720 2,238 Payments for purchase of intangible assets (19,416) (16,507) Payments of long-term loans receivable (3,863) (5,031) Collection of loans receivable 6,458 2,761 Other 13,107 27,003 Net cash provided by (used in) investing activities (120,895) (120,342)
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Bridgestone Corporation (5108) First Half Results of FY2026 － 9 － (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Cash flows from financing activities Increase (decrease) in short-term borrowings (64,067) (27,101) Proceeds from long-term borrowings 60,000 30,000 Repayments of long-term borrowings (926) (645) Proceeds from issuance of bonds 100,000 120,000 Redemption of bonds – (50,000) Repayments of lease liabilities (36,080) (37,579) Purchase of treasury stock (107,674) (109,280) Dividends paid to owners of parent (71,899) (73,384) Dividends paid to non-controlling interests (3,383) (4,353) Other (12,335) (5,813) Net cash provided by (used in) financing activities (136,363) (158,154) Effect of exchange rate changes on cash and cash equivalents (35,535) 3,202 Net increase (decrease) in cash and cash equivalents (13,668) 66,533 Cash and cash equivalents at beginning of period 706,732 713,810 Net increase (decrease) in cash and cash equivalents included in assets held for sale (2,189) 11,390 Cash and cash equivalents at end of period 690,874 791,733
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Bridgestone Corporation (5108) First Half Results of FY2026 － 10 － (6) Notes to the Condensed Semi-annual Consolidated Financial Statements (Notes regarding going concern assumption) Not applicable (Reconciliation from adjusted operating profit to profit before tax) (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Adjusted operating profit (Note 1) 234,644 280,871 Adjustment items (income) (Note 2) 1,665 11,148 Adjustment items (expenses) (Note 4) 71,825 11,790 Operating profit 164,484 280,229 Finance income 9,353 11,552 Finance costs 16,958 17,813 Share of profit (loss) of investments accounted for using the equity method (1,468) 634 Profit before tax 155,411 274,603 (Note 1) For adjusted operating profit, adjustment items (income and expenses) are excluded from operating profit. (Note 2) The major breakdown of adjustment items (income) is as follows: (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Insurance claim income 234 205 Business and plant restructuring income 1,268 (Note 3) 10,656 Gain on reversal of impairment losses 162 286 Adjustment items (income) 1,665 11,148 (Note 3) This was primarily the recording of gains relating to the restructuring of overseas internal manufacturing businesses.
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Bridgestone Corporation (5108) First Half Results of FY2026 － 11 － (Note 4) The major breakdown of adjustment items (expenses) is as follows: (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Impairment losses 183 612 Cost of sales (loss on disaster) 1,304 31 Other expenses (loss on disaster) 37 14 Business and plant restructuring expenses (Note 5) 70,271 (Note 6) 11,093 Other expense with large amounts related to one time event 29 40 Adjustment items (expenses) 71,825 11,790 (Note 5) This was primarily the recording of expenses relating to the restructuring of overseas tire plants (Americas, Europe etc.). (Note 6) This was primarily the recording of expenses relating to the restructuring of overseas tire plants (Asia-Pacific etc.) and internal manufacturing businesses. (Selling, general and administrative expenses) The breakdown of “Selling, general and administrative expenses” is as follows: (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Freight 99,690 114,256 Advertising and sales promotional expenses 41,067 48,797 Employee benefit expenses 179,002 191,480 Depreciation and amortization 62,985 68,839 Research and development expenses (Note) 58,458 61,296 Others 145,192 157,948 Total 586,395 642,616 (Note) All research and development expenses recognized as expenses are included in selling, general and administrative expenses. (Other income and other expenses) The breakdown of “Other income” and “Other expenses” is as follows: (1) Other income (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Business and plant restructuring income 1,268 (Note) 10,656 Gain on sale of fixed assets 4,169 375 Others 1,921 3,357 Total 7,359 14,387 (Note) The major breakdown of “Business and plant restructuring income” is presented in “Reconciliation from adjusted operating profit to profit before tax.”
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Bridgestone Corporation (5108) First Half Results of FY2026 － 12 － (2) Other expenses (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Business and plant restructuring expenses (Note) 70,271 11,093 Others 2,247 3,181 Total 72,518 14,274 (Note) The major breakdown of “Business and plant restructuring expenses” is presented in “Reconciliation from adjusted operating profit to profit before tax.” (Finance income and finance costs) The breakdown of “Finance income” and “Finance costs” is as follows: (1) Finance income (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Interest income (Note) 7,706 9,282 Others 1,647 2,270 Total 9,353 11,552 (2) Finance costs (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Interest expenses (Note) 9,104 11,018 Foreign currency exchange loss 3,732 2,890 Others 4,122 3,905 Total 16,958 17,813 (Note) Interest income and interest expenses are in relation to financial assets and financial liabilities measured at amortized cost.
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Bridgestone Corporation (5108) First Half Results of FY2026 － 13 － (Discontinued operations) Anti-vibration rubber business On December 10, 2021, the Company made the decision to transfer its anti -vibration rubber business (the “Business Operations”) to Anhui Zhongding Holding (Group) Co., Ltd. (AZ). This entails the Company establishing a new wholly-owned subsidiary (Prospira Corporation) to which it transfers the Business Operations by carrying out an absorption-type demerger (the “Corporate Demerger”), then integrating the Business Operations of the Group into Prospira Corporation, and subsequently transferring all shares of Prospira Corporation to AZ (the “Share Transfer,” with the Corporate Demerger and the Share Transfer hereinafter referred to as the “Business Transaction”). The Company completed the Business Transaction on September 1, 2022. The Company plans to conduct separate transfer targeting a company at a later time. The Group has accordingly classified the Business Operations of the Company, Bridgestone APM Company, and Bridgestone Industrial Products (Thailand) Co., Ltd. as discontinued operations as well as Prospira Corporation, Prospira Manufacturing Japan Co., Ltd, Prospira Ntec Japan Co., Ltd, Prospira India Automotive Products Private Limited, Prospira (Thailand) Co., Ltd., Prospira America Corporation and Prospira China Co., Ltd. (1) Profit or loss from discontinued operations (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Profit or loss from discontinued operations Income 2,851 3,309 Expenses (Note) (2,430) (2,941) Profit before tax from discontinued operations 421 368 Income tax expense (87) (207) Profit from discontinued operations 334 161 (Note) Expenses for the six months ended June 30, 2025, include a reversal of expenses of ¥53 million recognized upon having measured the disposal group consisting of discontinued operations at fair value less selling costs. Expenses for the six months ended June 30, 2026, include a loss of ¥101 million recognized upon having measured the disposal group consisting of discontinued operations at fair value less selling costs. (2) Cash flow from discontinued operations (Yen in millions) Six months ended June 30, 2025 Six months ended June 30, 2026 Cash flow from discontinued operations Net cash provided by (used in) operating activities 272 439 Net cash provided by (used in) investing activities (120) (125) Net cash provided by (used in) financing activities – – Total 151 314 (Subsequent events) Not applicable