Interim report
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August 4, 2026 Corporate Name: AGC Inc. (Code Number: 5201; TSE Prime Market) (URL: https://www.agc.com/en/) President & CEO: Yoshinori Hirai Contact: Kazumi Tamaki, Executive Officer, General Manager, Corporate Communications & Investor Relations Division (URL:https://www.agc.com/en/contact/) Consolidated Financial Results for the Six Months ended June 30, 2026 (IFRS basis) (Figures are rounded down to the nearest million) For the Six months ended June 30, 2026 For the Six months ended June 30, 2025 Millions of yen % Millions of yen % Net sales 1,100,609 10.6 995,474 (1.9) Operating profit 64,661 19.7 54,022 (4.7) Profit before tax 60,331 78.8 33,751 - Profit for the period 41,368 125.3 18,357 - Profit for the period attributable to owners of the parent 35,512 155.4 13,905 - Total comprehensive income for the period 73,625 - (42,850) - Basic earnings per share (yen) 167.45 65.59 Diluted earnings per share (yen) 167.22 65.48 FY2026 second quarter (as of June 30, 2026) FY2025 (as of December 31, 2025) Total assets (millions of yen) 3,006,274 2,950,077 Total equity (millions of yen) 1,757,172 1,731,722 Equity attributable to owners of the parent (millions of yen) 1,528,307 1,485,126 Equity attributable to owners of the parent ratio (%) 50.8 50.3 1. Financial Results for the Six months ended June 30, 2026 (January 1 through June 30, 2026) (1) Consolidated operating results (% represents the change from the same period in the previous fiscal year) (2) Consolidated financial position 2. Dividends (Unit: yen) FY2025 FY2026 FY2026 (forecast) End of first quarter - - ―――― End of second quarter 105.00 105.00 ―――― End of third quarter - ―――― - End of fiscal year 105.00 ―――― 105.00 Total 210.00 ―――― 210.00 Note: Revision of the dividends forecast from the latest official forecast: No
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Full year Millions of yen % Net sales 2,200,000 6.9 Operating profit 150,000 17.7 Profit before tax 124,000 (0.6) Profit for the period 90,000 13.2 Profit for the period attributable to owners of the parent 77,000 11.3 Basic earnings per share (yen) 363.12 3. Forecast for FY2026 (January 1 through December 31, 2026) (% represents the change from the same period in the previous fiscal year) Note: Revision of the forecast for FY2026 consolidated operating results from the latest official forecast: No i. Changes in accounting policies required by IFRS: Yes ii. Changes in accounting policies other than "i" above: No iii. Changes in accounting estimates: No i. Number of shares issued (including treasury share) at the end of the period -As of June 30, 2026: 217,434,681 -As of December 31, 2025: 217,434,681 ii. Number of treasury share at the end of the period -As of June 30, 2026: 5,013,354 -As of December 31, 2025: 5,070,502 iii. Average number of shares issued during the period -For the six months ended June 30, 2026: 212,085,829 -For the six months ended June 30, 2025: 211,999,347 *Notes (1) Significant changes in the scope of consolidation during the six months ended June 30, 2026: No (2) Changes in Accounting Policies and Changes in Accounting Estimates Note: For details, please refer to “2. Condensed Interim Consolidated Financial Statements (IFRS) and major notes (5) Notes to the Condensed Interim Consolidated Financial Statements” on page 11. (3) Number of shares issued (common share) *This interim consolidated financial statement is outside the scope of quarterly review procedures. *Appropriate Use of Forecast and Other Information and Other Matters Cautionary Statement Regarding Forward-Looking Information The above forecast is the assumptions of the Group's management on the basis of currently available information and, as such, contain risks and uncertainties. For this reason, investors are advised not to base investment decisions solely on these prospective results. Please note that actual results may materially differ from the projection due to such various factors as business and market environment the Group is active in, currency exchange rate fluctuations, and others. Supplementary Material for the Quarterly Financial Results Supplementary material (Presentations of Financial Results for the Six Months ended June 30, FY2026) will be published today on TD-net for viewing in Japan, and on our Website.
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1. Overview of Operating Results 2 2. Condensed Interim Consolidated Financial Statements (IFRS) and major notes 3 (1) Condensed Interim Consolidated Statements of Financial Position 3 (2) Condensed Interim Consolidated Statements of Profit or Loss and Consolidated Statements of Comprehensive Income 4 (Condensed Interim Consolidated Statements of Profit or Loss) 4 (Condensed Interim Consolidated Statements of Comprehensive Income) 5 (3) Condensed Interim Consolidated Statements of Changes in Equity 6 (4) Condensed Interim Consolidated Statements of Cash Flows 10 (5) Notes to the Condensed Interim Consolidated Financial Statements 11 (Notes regarding assumption of a going concern) 11 (Changes in Accounting Policies) 11 (Material Accounting Policies) 11 (Changes in Accounting Estimates) 11 (Segment Information) 12 (Other Income and Other Expenses) 14 (Significant Subsequent Events) 14 (Attached Documents) INDEX - 1 -
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1. Overview of Operating Results For an overview of the consolidated operating results for the cumulative second quarter of the fiscal year under review, please refer to the “Presentations of Financial Results for the Six Months ended June 30, FY2026” which was disclosed today (Aug 4, 2026) via TDnet and on our corporate website. （URL: https://www.agc.com/en/ir/library/briefing/index.html） - 2 -
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As of December 31, 2025 As of June 30, 2026 Assets Current assets Cash and cash equivalents 94,671 87,570 Trade receivables 324,396 342,972 Inventories 465,415 495,857 Other receivables 55,879 61,909 Income tax receivables 7,019 6,543 Other current assets 20,390 27,098 Total current assets 967,772 1,021,952 Non-current assets Property, plant and equipment 1,652,885 1,655,807 Goodwill 52,100 52,308 Intangible assets 55,430 58,066 Investments accounted for using equity method 37,308 41,734 Other financial assets 70,175 71,370 Deferred tax assets 42,971 44,587 Other non-current assets 71,433 60,446 Total non-current assets 1,982,304 1,984,321 Total assets 2,950,077 3,006,274 Liabilities and equity Liabilities Current liabilities Trade payables 210,036 211,537 Short-term interest-bearing debt 98,538 105,029 Long-term interest-bearing debt due within one year 118,411 153,750 Other payables 220,258 230,853 Income tax payables 19,125 17,375 Provisions 3,518 4,814 Other current liabilities 26,315 16,492 Total current liabilities 696,203 739,853 Non-current liabilities Long-term interest-bearing debt 429,514 414,375 Deferred tax liabilities 20,313 18,897 Post-employment benefit liabilities 50,147 49,462 Provisions 12,419 16,288 Other non-current liabilities 9,757 10,224 Total non-current liabilities 522,151 509,247 Total liabilities 1,218,355 1,249,101 Equity Share capital 90,873 90,873 Capital surplus 95,864 95,714 Retained earnings 772,913 789,500 Treasury shares (26,323) (25,883) Other components of equity 551,798 578,101 Total equity attributable to owners of the parent 1,485,126 1,528,307 Non-controlling interests 246,595 228,865 Total equity 1,731,722 1,757,172 Total liabilities and equity 2,950,077 3,006,274 2. Condensed Interim Consolidated Financial Statements (IFRS) and major notes (1) Condensed Interim Consolidated Statements of Financial Position (Unit: millions of yen) - 3 -
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For the six months ended June 30, 2025 (Jan. 1 through Jun. 30, 2025) For the six months ended June 30, 2026 (Jan. 1 through Jun. 30, 2026) Net sales 995,474 1,100,609 Cost of sales (759,571) (838,870) Gross profit 235,903 261,738 Selling, general and administrative expenses (183,379) (200,875) Share of profit (loss) of associates and joint ventures accounted for using equity method 1,499 3,797 Operating profit 54,022 64,661 Other income 3,447 6,428 Other expenses (20,756) (7,169) Business profit 36,712 63,920 Finance income 4,880 5,114 Finance costs (7,841) (8,703) Net finance income (costs) (2,960) (3,589) Profit before tax 33,751 60,331 Income tax expenses (15,394) (18,963) Profit for the period 18,357 41,368 Attributable to: Owners of the parent 13,905 35,512 Non-controlling interests 4,452 5,855 Earnings per share Basic earnings per share (yen) 65.59 167.45 Diluted earnings per share (yen) 65.48 167.22 (2) Condensed Interim Consolidated Statements of Profit or Loss and Consolidated Statements of Comprehensive Income (Condensed Interim Consolidated Statements of Profit or Loss) (Unit: millions of yen) - 4 -
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For the six months ended June 30, 2025 (Jan. 1 through Jun. 30, 2025) For the six months ended June 30, 2026 (Jan. 1 through Jun. 30, 2026) Profit for the period 18,357 41,368 Other comprehensive income Components of other comprehensive income that will not be reclassified to profit or loss, net of tax Remeasurements of defined benefit plans (4,308) (7,556) Net change in revaluation of financial assets measured at FVTOCI (Note) (425) 12,798 Share of other comprehensive income of associates and joint ventures accounted for using equity method (18) 1 Total (4,752) 5,243 Components of other comprehensive income that will be reclassified to profit or loss, net of tax Cash flow hedges (1,584) 2,325 Exchange differences on translation of foreign operations (54,870) 24,688 Total (56,455) 27,013 Other comprehensive income, net of tax (61,207) 32,257 Total comprehensive income for the period (42,850) 73,625 Attributable to: Owners of the parent (32,761) 65,343 Non-controlling interests (10,088) 8,282 (Condensed Interim Consolidated Statements of Comprehensive Income) (Unit: millions of yen) (Note) FVTOCI: Fair Value Through Other Comprehensive Income - 5 -
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Equity attributable to owners of the parent Share capital Capital surplus Retained earnings Treasury shares Other components of equity Remeasureme nts of defined benefit plans Net change in revaluation of financial assets measured at FVTOCI (Note) Balance as of January 1, 2025 90,873 95,781 744,766 (26,767) 23,921 18,687 Changes in equity Comprehensive income Profit for the period - - 13,905 - - - Other comprehensive income - - - - (4,725) (446) Total comprehensive income for the period - - 13,905 - (4,725) (446) Transactions with owners Dividends - - (22,289) - - - Acquisition of treasury shares - - - (6) - - Disposal of treasury shares - - (196) 405 - - Changes in ownership interests in subsidiaries that do not result in loss of control - - - - - - Transfer from other components of equity to retained earnings - - 1,525 - - (1,525) Share-based payment transactions - 32 - - - - Others (business combinations and others) - - - - - - Total transactions with owners - 32 (20,960) 398 - (1,525) Balance as of June 30, 2025 90,873 95,813 737,710 (26,369) 19,195 16,715 (3) Condensed Interim Consolidated Statements of Changes in Equity For the six months ended June 30, 2025 (Unit: millions of yen) (Note) FVTOCI: Fair Value Through Other Comprehensive Income - 6 -
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Equity attributable to owners of the parent Non- controlling interests Total equity Other components of equity TotalCash flow hedges Exchange differences on translation of foreign operations Total Balance as of January 1, 2025 (497) 489,023 531,134 1,435,787 235,909 1,671,697 Changes in equity Comprehensive income Profit for the period - - - 13,905 4,452 18,357 Other comprehensive income (1,591) (39,902) (46,666) (46,666) (14,541) (61,207) Total comprehensive income for the period (1,591) (39,902) (46,666) (32,761) (10,088) (42,850) Transactions with owners Dividends - - - (22,289) (6,431) (28,720) Acquisition of treasury shares - - - (6) - (6) Disposal of treasury shares - - - 208 - 208 Changes in ownership interests in subsidiaries that do not result in loss of control - - - - - - Transfer from other components of equity to retained earnings - - (1,525) - - - Share-based payment transactions - - - 32 - 32 Others (business combinations and others) - - - - - - Total transactions with owners - - (1,525) (22,054) (6,431) (28,485) Balance as of June 30, 2025 (2,089) 449,121 482,943 1,380,971 219,389 1,600,361 For the six months ended June 30, 2025 (Unit: millions of yen) - 7 -
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Equity attributable to owners of the parent Share capital Capital surplus Retained earnings Treasury shares Other components of equity Remeasureme nts of defined benefit plans Net change in revaluation of financial assets measured at FVTOCI (Note) Balance as of January 1, 2026 90,873 95,864 772,913 (26,323) 9,128 18,384 Changes in equity Comprehensive income Profit for the period - - 35,512 - - - Other comprehensive income - - - - (7,814) 12,790 Total comprehensive income for the period - - 35,512 - (7,814) 12,790 Transactions with owners Dividends - - (22,298) - - - Acquisition of treasury shares - - - (10) - - Disposal of treasury shares - - (155) 450 - - Changes in ownership interests in subsidiaries that do not result in loss of control - 1 - - - - Transfer from other components of equity to retained earnings - - 3,526 - - (3,526) Share-based payment transactions - (150) - - - - Others (business combinations and others) - - - - - - Total transactions with owners - (149) (18,926) 439 - (3,526) Balance as of June 30, 2026 90,873 95,714 789,500 (25,883) 1,314 27,648 For the six months ended June 30, 2026 (Unit: millions of yen) (Note) FVTOCI: Fair Value Through Other Comprehensive Income - 8 -
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Equity attributable to owners of the parent Non- controlling interests Total equity Other components of equity TotalCash flow hedges Exchange differences on translation of foreign operations Total Balance as of January 1, 2026 (1,702) 525,987 551,798 1,485,126 246,595 1,731,722 Changes in equity Comprehensive income Profit for the period - - - 35,512 5,855 41,368 Other comprehensive income 2,323 22,531 29,830 29,830 2,426 32,257 Total comprehensive income for the period 2,323 22,531 29,830 65,343 8,282 73,625 Transactions with owners Dividends - - - (22,298) (26,010) (48,308) Acquisition of treasury shares - - - (10) - (10) Disposal of treasury shares - - - 295 - 295 Changes in ownership interests in subsidiaries that do not result in loss of control - - - 1 (2) (0) Transfer from other components of equity to retained earnings - - (3,526) - - - Share-based payment transactions - - - (150) - (150) Others (business combinations and others) - - - - - - Total transactions with owners - - (3,526) (22,162) (26,012) (48,175) Balance as of June 30, 2026 621 548,518 578,101 1,528,307 228,865 1,757,172 For the six months ended June 30, 2026 (Unit: millions of yen) - 9 -
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For the six months ended June 30, 2025 (Jan. 1 through Jun. 30, 2025) For the six months ended June 30, 2026 (Jan. 1 through Jun. 30, 2026) Cash flows from operating activities Profit before tax 33,751 60,331 Depreciation and amortization 88,204 97,822 Impairment losses 8,020 25 Interest and dividend income (4,830) (4,282) Interest expenses 7,210 7,563 Share of loss (profit) of associates and joint ventures accounted for using equity method (1,499) (3,797) Loss (gain) on sale or disposal of fixed assets 1,089 1,040 Decrease (increase) in trade receivables 15,534 (14,357) Decrease (increase) in inventories (9,496) (25,809) Increase (decrease) in trade payables (3,450) (14) Others 3,172 15,622 Subtotal 137,707 134,144 Interest and dividends received 5,114 5,034 Interest paid (7,115) (7,621) Income taxes refund (paid) (18,566) (26,665) Cash flows from operating activities 117,139 104,891 Cash flows from investing activities Purchase of property, plant and equipment, and intangible assets (91,739) (102,723) Proceeds from sale of property, plant and equipment 2,969 1,958 Purchase of other financial assets (292) (331) Proceeds from sale and redemption of other financial assets 3,538 6,611 Proceeds from sale of subsidiaries and associates or other businesses － 582 Others (2,202) (927) Cash flows from investing activities (87,726) (94,831) Cash flows from financing activities Changes in short-term interest-bearing debt 30,384 4,855 Proceeds from borrowing or issuing long-term interest-bearing debt 34,694 110,167 Repayment or redemption of long-term interest-bearing debt (70,783) (87,583) Payments for acquisition of interests in subsidiaries from non- controlling interests － (0) Proceeds from non-controlling interests 244 450 Acquisition of treasury shares (6) (10) Dividends paid (22,289) (22,298) Dividends paid to non-controlling interests (6,092) (26,576) Others 76 107 Cash flows from financing activities (33,770) (20,889) Effect of exchange rate changes on cash and cash equivalents (3,039) 3,728 Net changes in cash and cash equivalents resulting from transfer to assets held for sale (98) － Net increase (decrease) in cash and cash equivalents (7,495) (7,100) Cash and cash equivalents at the beginning of the period 107,988 94,671 Cash and cash equivalents at the end of the period 100,492 87,570 (4) Condensed Interim Consolidated Statements of Cash Flows (Unit: millions of yen) - 10 -
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(5) Notes to the Condensed Interim Consolidated Financial Statements (Notes regarding assumption of a going concern) Not applicable IFRS Title Summaries of new IFRS and amendments IFRS 7 (amended in May 2024) Financial Instruments: Disclosures Classification and Measurement of Financial Instruments IFRS 7 (amended in December 2024) Financial Instruments: Disclosures Contracts Referencing Nature-dependent Electricity IFRS 9 (amended in May 2024) Financial Instruments Classification and Measurement of Financial Instruments IFRS 9 (amended in December 2024) Financial Instruments Contracts Referencing Nature-dependent Electricity (Changes in Accounting Policies) The material accounting policies adopted for the Group's Condensed Interim Consolidated Financial Statements are the same as those for the Consolidated Financial Statements for the fiscal year ended December 31, 2025, with the exception of the items described below. The following are the accounting standards applied by the Group from fiscal year 2026, in compliance with each transitional provision. The effect of the application of the following standards on the Group’s Condensed Interim Consolidated Financial Statements is immaterial. (Material Accounting Policies) "Operating profit" in the Group's Condensed Interim Consolidated Statements of Profit or Loss is an indicator that facilitates continuous comparisons and evaluations of the Group's business performance. Main items of "other income" and "other expenses" are foreign exchange gains and losses, gain on sale of fixed assets, losses on disposal of fixed assets, impairment losses and expenses for restructuring programs. "Business profit" includes all income and expenses before finance income, finance costs and income tax expenses. The Group calculated income tax expenses for the six months ended June 30, 2026, based on the estimated average annual effective tax rate. (Changes in Accounting Estimates) In preparing the Group's Condensed Interim Consolidated Financial Statements, judgments, estimates and assumptions that affect the reported amounts of assets, liabilities, income and expenses are made. Therefore actual results could differ from these estimates. Estimates and assumptions that have a significant effect on the amounts recognized in the Group's condensed interim consolidated financial statements are in principle the same as the previous fiscal year. Estimates and their assumptions are reviewed continuously. The effect of reviewing estimates and assumptions is recognized in the period in which those estimates and assumptions are reviewed and in future periods. - 11 -
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Reportable segment Main products and services Architectural Glass Architectural figured glass, Architectural processing glass (Insulating glass, Toughened glass, Laminated glass) Automotive Automotive glass, Cover glass for car-mounted displays Electronics Display Glass substrates for TFT-LCD/OLED, Specialty Glass for displays Electronic Materials Materials for semiconductor, Optical materials Chemicals Integrated Chemicals Caustic soda, Polyvinyl Chloride raw materials, Urethane raw materials Fluorinated related products, Iodine-related products Essential Chemicals – SEA Caustic soda, Polyvinyl Chloride Life Science CDMO services for small molecule pharmaceuticals, agrochemicals, biopharmaceuticals Intermediates and Active Ingredients of synthetic pharmaceutical and agrochemical (Segment Information) The Group’s reportable segments are components of the Group for which discrete financial information is available, and whose operating results are reviewed regularly by the Group’s chief operating decision maker to make decisions about resources to be allocated to the segment and assess performance. The Group has six in- house companies by product and service: Architectural Glass Europe & Americas, Architectural Glass Asia Pacific, Automotive, Electronics, Chemicals, and Life Science. Each in-house company operates worldwide, formulating comprehensive domestic and overseas strategies for its products and services. In addition, the Architectural Glass Europe & Americas and Architectural Glass Asia Pacific companies are considered to share economic characteristics, because they are united in their efforts to share information on technological development and production related to float and architectural processing, to create social value of GHG reduction and product contribution to climate change issues, and to take a common commitment for long- term profitability indicators and others, and they have similarities in products and sales markets. Thus, the Group has five reportable segments: Architectural Glass, Automotive, Electronics, Chemicals and Life Science. The main products and services of each reportable segment are as follows. - 12 -
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Reportable segments Ceramics/ Others Total Adjustments Amount reported on condensed interim consolidated statements of profit or loss Architectural Glass Automotive Electronics Chemicals Life Science Sales to external customers 209,447 255,572 167,249 283,698 61,694 17,811 995,474 - 995,474 Inter-segment sales 1,394 112 888 2,167 1,816 10,213 16,593 (16,593) - Total sales 210,842 255,684 168,138 285,866 63,510 28,025 1,012,068 (16,593) 995,474 Segment profit (loss) (Operating profit) 3,236 15,119 24,424 22,543 (11,927) 590 53,986 35 54,022 Profit for the period - - - - - - - - 18,357 Reportable segments Ceramics/ Others Total Adjustments Amount reported on condensed interim consolidated statements of profit or loss Architectural Glass Automotive Electronics Chemicals Life Science Sales to external customers 228,554 280,190 173,148 331,261 71,185 16,268 1,100,609 - 1,100,609 Inter-segment sales 767 98 1,203 759 1,082 8,052 11,964 (11,964) - Total sales 229,322 280,288 174,351 332,021 72,268 24,321 1,112,574 (11,964) 1,100,609 Segment profit (loss) (Operating profit) 8,766 13,336 18,714 28,172 (6,058) 1,502 64,433 228 64,661 Profit for the period - - - - - - - - 41,368 For the six months ended June 30, 2025 (January 1 through June 30, 2025) (Unit: millions of yen) The prices of inter-segment sales are primarily based on market prices and manufacturing costs. Ceramics/Others mainly handles ceramics products, logistics and financial services. For the six months ended June 30, 2026 (January 1 through June 30, 2026) (Unit: millions of yen) The prices of inter-segment sales are primarily based on market prices and manufacturing costs. Ceramics/Others mainly handles ceramics products and financial services. - 13 -
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For the six months ended June 30, 2025 (Jan. 1 through Jun. 30, 2025) For the six months ended June 30, 2026 (Jan. 1 through Jun. 30, 2026) Foreign exchange gain － 3,647 Gains on sale of fixed assets 1,764 604 Others 1,682 2,176 Total 3,447 6,428 For the six months ended June 30, 2025 (Jan. 1 through Jun. 30, 2025) For the six months ended June 30, 2026 (Jan. 1 through Jun. 30, 2026) Foreign exchange loss (6,069) － Losses on disposal of fixed assets (2,854) (1,589) Impairment losses (8,020) (25) Expenses for restructuring programs (2,579) (4,804) Others (1,233) (750) Total (20,756) (7,169) (Other Income and Other Expenses) Other Income (Unit: millions of yen) Other Expenses (Unit: millions of yen) Impairment losses during the six months ended June 30, 2025 include amounts related to the contract development and manufacturing of biopharmaceutical active ingredients in the Life Science segment amounting to 7,724 million yen for AGC Biologics, Inc. (Significant Subsequent Events) No items to report - 14 -