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Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 1 2026/8/4 Financial Summary for Q2 FY2026 and Performance Forecast for FY2026
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2Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. INDEX 01 02 03 04 2026/8/4 Financial Summary for Q2 FY2026 Performance Forecast for FY2026 Direction of the Medium-Term Management Plan 2029 (MTMP29) Appendix
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3Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 01 2026/8/4 Financial Summary for Q2 FY2026
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4Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Actual FY2026- Q2 /Same period of previous fiscal year (change) Year-on-year comparison Market environment Net sales Operating profit Orders Financial Summary at a Glance Orders : 607.1 billion / 535.5 billion (71.6 billion) Net sales : 554.2 billion / 494.6 billion (59.5 billion) Operating profit : 37.4 billion / 21.7 billion (15.8 billion) 1 2 3 In Japan, both capital investment and exports remained firm. North America also stayed strong, while Europe recovered gradually. Demand in China remained sluggish. The economic outlook is uncertain due to the situation in the Middle East, U.S. tariffs, and other factors. Increased across all segments excluding Industrial Machinery. Increased across all segments. Increased across all segments due to higher sales. 01
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5Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 01 Unit: JPY billion FY2025 FY2026 Year-on-year changeActual Q1 Actual Q2 Actual 1H Actual Q1 Actual Q2 Actual 1H Orders 260.2 275.3 535.5 318.4 288.7 607.1 71.6 Net sales 241.5 253.1 494.6 255.6 298.6 554.2 59.5 Operating profit 11.2 10.5 21.7 13.4 24.1 37.4 15.8 Operating profit ratio 4.6% 4.1% 4.4% 5.2% 8.1% 6.8% 2.4pt Ordinary profit 8.7 10.2 18.9 11.0 23.1 34.1 15.2 Ordinary profit ratio 3.6% 4.0% 3.8% 4.3% 7.7% 6.2% 2.3pt Extraordinary income (loss) 1.2 (0.8) 0.5 2.2 (2.7) (0.5) (1.0) Profit attributable to owners of parent 6.5 5.9 12.4 7.9 14.1 22.0 9.6 Profit ratio attributable to owners of parent 2.7% 2.3% 2.5% 3.1% 4.7% 4.0% 1.5pt Currency exchange rate (USD/JPY) - - ¥ 148 - - ¥ 158 - Financial Summary
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6Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 01 Orders : Increased across all segments excluding Industrial Machinery. Net sales : Increased across all segments. Operating profit : Increased across all segments due to higher sales. The breakdown of orders and sales for strategic business units (SBUs) in each segment is provided on pages 30 and 31. Unit: JPY billion Orders Net sales Operating profit Actual FY2025-1H Actual FY2026-1H Change Actual FY2025-1H Actual FY2026-1H Change Actual FY2025- 1H Actual FY2026-1H Change Mechatronics 132.8 160.1 27.2 129.4 148.5 19.1 8.6 6.7% 13.6 9.2% 5.0 Industrial Machinery 114.6 107.9 (6.7) 98.2 101.7 3.6 (3.0) (3.1)% 2.2 2.1% 5.2 Logistics & Construction 193.6 213.6 20.0 175.4 208.2 32.7 7.9 4.5% 12.5 6.0% 4.6 Energy & Lifeline 91.1 122.0 30.9 88.3 92.6 4.3 7.0 8.0% 8.2 8.9% 1.2 Others 3.4 3.6 0.2 3.4 3.2 (0.2) 1.1 - 1.0 - (0.1) Total 535.5 607.1 71.6 494.6 554.2 59.5 21.7 4.4% 37.4 6.8% 15.8 Financial Summary: Segment Performance
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7Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 01 Effect of sales increases/decreases Effect of exchange rates Selling & administrative expenses Others Unit: JPY billion FY2025 1H FY2026 1H Mechatronics 3.2 Industrial Machinery 0.6 Logistics & Construction 5.7 Energy & Lifeline 0.3 Total 9.8 Effect of sales increases/decreases by segment Unit: JPY billion Analysis of Changes in Operating Profit for FY2026-Q2
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8Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Consolidated Balance Sheet Unit: JPY billion End-Dec 2025 End-Jun 2026 Change Current Assets 786.8 807.0 20.2 Cash and deposits 111.1 133.1 22.0 Notes and accounts receivable 313.7 302.4 (11.2) Inventories 328.8 340.2 11.4 Others 33.3 31.3 (2.0) Non-current Assets 533.7 540.1 6.3 Property, plant and equipment 373.2 378.6 5.4 Intangible assets 33.1 33.1 0.0 Investments and other assets 127.4 128.4 0.9 Total assets 1,320.5 1,347.1 26.6 End-Dec 2025 End-Jun 2026 Change Liabilities 634.3 640.1 5.7 Notes and accounts payable - trade 146.4 124.4 (22.0) Interest-bearing debts 252.7 271.6 18.9 Others 235.2 244.0 8.9 Net Assets 686.2 707.0 20.8 Shareholders' equity 488.4 495.8 7.4 Accumulated other comprehensive income 193.3 206.6 13.3 Non-controlling interests 4.6 4.6 0.1 Total liabilities and net assets 1,320.5 1,347.1 26.6 Net interest-bearing debt ratio 10.7% 10.3% (0.5)pt Equity ratio 51.6% 52.1% 0.5pt 01
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9Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Consolidated Statements of Cash Flows01 Item FY2025 1H FY2026 1H Change Operating Activities 46.6 36.6 (10.0) Profit before income taxes 19.4 33.6 14.2 Depreciation 18.6 20.7 2.1 Working capital 23.0 (6.0) (29.0) Others (such as taxes) (14.3) (11.7) 2.6 Investing Activities (30.9) (17.3) 13.6 (Free Cash Flows) 15.8 19.3 3.6 Financing Activities (6.7) 0.4 7.1 Change in cash and cash equivalents 5.4 22.5 17.2 Cash and cash equivalents at end of period 113.0 130.8 17.7 Unit: JPY billion FY2022 FY2023 FY2024 FY2025 FY2026 1H Free cash flow (JPY billion) (15.9) 22.1 (35.4) 4.3 19.3 Debt repayment period (years) *1 7.5 2.5 18.7 4.0 Interest coverage ratio (x) *2 20.0 27.1 3.4 16.8 *1 Interest-bearing debt / Operating cash flow *2 Operating cash flow / Interest paid
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10Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 02 2026/8/4 Performance Forecast for FY2026
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11Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Forecast FY2026 /Previous forecast (as of February 2026), (change) Orders Operating profit Net sales Change from previous forecast Topics and market conditions 02 Performance Forecast for FY2026: Summary Overall, the order environment is improving. Orders for semiconductor manufacturing equipment increased year on year, but a full recovery has yet to take hold. Operating profit is expected to increase, partly due to the effects of structural reforms, including personnel measures, despite rising costs driven by the situation in the Middle East. Increase in Mechatronics and Logistics & Construction. Increase in Mechatronics and Logistics & Construction. Increase due to higher sales. Orders : 1,180.0 billion / 1,120.0 billion (60.0 billion) Net sales : 1,120.0 billion / 1,090.0 billion (30.0 billion) Operating profit : 68.0 billion / 60.0 billion (8.0 billion) ROIC : 5.3% / 4.8% (0.5pt) 1 2 3 4
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12Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Performance Forecast for FY202602 Unit: JPY billion Forecast FY2026 Previous forecast (Feb. 2026) Change from previous forecast (Reference) Actual FY2025Actual 1H Forecast 2H Actual 1H Actual 2H Orders 607.1 572.9 1,180.0 1,120.0 60.0 535.5 622.9 1,158.4 Net sales 554.2 565.8 1,120.0 1,090.0 30.0 494.6 572.3 1,066.9 Operating profit 37.4 30.6 68.0 60.0 8.0 21.7 29.8 51.5 Operating profit ratio 6.8% 5.4% 6.1% 5.5% 0.6pt 4.4% 5.2% 4.8% Ordinary profit 34.1 27.9 62.0 55.0 7.0 18.9 27.0 45.9 Ordinary profit ratio 6.2% 4.9% 5.5% 5.0% 0.5pt 3.8% 4.7% 4.3% Extraordinary income (loss) (0.5) (5.5) (6.0) (5.0) (1.0) 0.5 (1.6) (1.1) Profit attributable to owners of parent 22.0 13.0 35.0 34.0 1.0 12.4 18.5 30.9 Profit ratio attributable to owners of parent 4.0% 2.3% 3.1% 3.1% 0.0pt 2.5% 3.2% 2.9% Dividend per share JPY 70 JPY 75 JPY 145 JPY145 JPY 0 JPY60 JPY65 JPY125 Total payout ratio - - 74.7% 76.2% (1.5)pt - - 48.6% ROIC (after-tax) - - 5.3% 4.8% 0.5pt - - 4.2% [Ref.] ROE - - 5.0% 5.0% 0.0pt - - 4.7% Currency exchange rate (U.S. dollars) ¥ 158 ¥ 155 - ¥ 145 - ¥ 148 - ¥ 150
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13Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Analysis of Changes in Operating Profit for FY2025/202602 Unit: JPY billion Previous forecast (Feb. 2026) Latest forecast (Aug. 2026) Change Mechatronics 5.0 7.0 2.0 Industrial Machinery 3.0 3.0 0.0 Logistics & Construction 3.0 6.0 3.0 Energy & Lifeline (2.0) (4.0) (2.0) Total 9.0 12.0 3.0 FY2025 FY2026 (as of Aug. 2026) Effect of sales increases/ decreases Effect of exchange rates Selling & administrative expenses Others Effect of sales increases/ decreases Effect of exchange rates Selling & administrative expenses OthersFY2026 (as of Feb. 2026) Effect of sales increases/decreases by segment Unit: JPY billion Unit: JPY billion
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14Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Performance Forecast for FY2026 by Segment02 Unit: JPY billion Orders Net sales Operating profit Actual FY2026- 1H Forecast FY2026 (as of Feb. 2026) Forecast FY2026 (as of Aug. 2026) Change (Feb. - Aug.) Actual FY2026- 1H Forecast FY2026 (as of Feb. 2026) Forecast FY2026 (as of Aug. 2026) Change (Feb. - Aug.) Actual FY2026-1H Forecast FY2026 (as of Feb. 2026) Forecast FY2026 (as of Aug. 2026) Change (Feb. - Aug.) Mechatronics 160.1 289.0 312.0 23.0 148.5 288.0 306.0 18.0 13.6 9.2% 22.0 7.7% 26.5 8.7% 4.5 Industrial Machinery 107.9 224.0 224.0 0.0 101.7 228.0 228.0 0.0 2.2 2.1% 8.0 3.5% 8.0 3.5% 0.0 Logistics & Construction 220.7 213.6 399.0 446.0 426.0 47.0 27.0 215.3 208.2 398.0 430.0 413.0 32.0 15.0 12.8 12.5 5.9% 6.0%* 19.0 4.8% 22.5 21.3 5.2% 5.2% 3.5 2.3 Energy & Lifeline 114.9 122.0 202.0 196.0 216.0 (6.0) 14.0 85.4 92.6 170.0 153.0 170.0 (17.0) 0.0 7.9 8.2 9.3% 8.9%* 8.0 4.7% 9.0 10.2 5.9% 6.0% 1.0 2.2 Others 3.6 6.0 2.0 (4.0) 3.2 6.0 3.0 (3.0) 1.0 - 3.0 - 1.9 - (1.0) Total 607.1 1,120.0 1,180.0 60.0 554.2 1,090.0 1,120.0 30.0 37.4 6.8% 60.0 5.5% 68.0 6.1% 8.0 The breakdown of orders and sales for strategic business units (SBUs) in each segment is provided on pages 30 and 31. •Reclassification of businesses comprising the segments (Figures in the lower row are before the reclassification) : Sumitomo Heavy Industries Process Equipment Co., Ltd. was transferred from Energy & Lifeline to Logistics & Construction on July 1, 2026 * * * * * * * * * * * * * * * * * * * *
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15Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. Orders for gear reducers and motors & inverters increased due to strong demand from Japan, the United States and Europe. Cryocoolers also saw an increase driven by semiconductor-related demand. 2026/8/4 Changes in Orders Changes in Operating Profit Mechatronics02 Actual FY2026-1H (year-on-year changes) Orders Net sales Operating profit Forecast FY2026 (Previous forecast (as of February 2026), change) Unit: JPY billion Changes in Sales Net sales Operating profit Orders 160.1 billion (+27.2 billion) 148.5 billion (+19.1 billion) 13.6 billion (+5.0 billion) 312.0 billion (+23.0 billion) 306.0 billion (+18.0 billion) 26.5 billion (+4.5 billion) Gear reducers, motors & inverters, and cryocoolers saw an increase due to higher orders. Increased due to higher sales. Increase due to revisions to our exchange rate assumptions, as well as strong demand for cryocoolers from the semiconductor-related market. Increase due to increased orders. Increase due to higher sales. Q3-Q4 Q1-Q2
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16Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Industrial Machinery02 Orders Net sales Operating profit Net sales Operating profit Orders Actual FY2026-1H (year-on-year changes) 107.9 billion (-6.7 billion) 101.7 billion (+3.6 billion) 2.2 billion (+5.2 billion) 224.0 billion (0.0 billion) 228.0 billion (0.0 billion) 8.0 billion (0.0 billion) Forecast FY2026 (Previous forecast (as of February 2026), change) Decreased due to lower orders for advanced medical devices, etc., despite higher orders for semiconductor manufacturing equipment. Increased, primarily in semiconductor manufacturing equipment, reflecting a large order backlog. Increased, driven by higher sales and improved profitability in plastics machinery. Orders for semiconductor manufacturing equipment are expected to decrease due to customers postponing and revising their investment plans, while orders for other products are expected to increase. While sales will vary by model, overall sales are expected to remain in line with the previous forecast. As previously forecasted. Unit: JPY billion Changes in Orders Changes in Operating Profit Changes in Sales Q3-Q4 Q1-Q2
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17Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Logistics & Construction02 Net sales Operating profit Net sales Operating profit Orders Orders Actual FY2026-1H (year-on-year changes) 213.6 billion (+20.0 billion) 208.2 billion (+32.7 billion ) 12.5 billion (+4.6 billion ) 446.0 billion (+47.0 billion) 430.0 billion (+32.0 billion) 22.5 billion (+3.5 billion) Forecast FY2026 (Previous forecast (as of February 2026), change) Orders for industrial cranes declined, reflecting the solid level of orders secured in the previous year, but orders increased for hydraulic excavators in the United States and Europe, and for mobile cranes in the United States. Increased due to increased orders. Increased due to higher sales. Increase due to higher demand for hydraulic excavators in the United States and Europe, and for industrial cranes, as well as reclassification of businesses within the segments. Increase due to increased orders. Increase due to higher sales. Unit: JPY billion *The graphs show figures after the reclassification of businesses comprising the segments : Sumitomo Heavy Industries Process Equipment Co., Ltd. was transferred from Energy & Lifeline to Logistics & Construction on July 1, 2026 Changes in Orders Changes in Operating Profit Changes in Sales Q3-Q4 Q1-Q2 (After reclassification)*(After reclassification)* (After reclassification)*
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18Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Energy & Lifeline02 Net sales Operating profit Net sales Operating profit Orders Orders Actual FY2026-1H (year-on-year changes) 122.0 billion (+30.9 billion) 92.6 billion (+4.3 billion ) 8.2 billion (+1.2 billion ) 196.0 billion (-6.0 billion) 153.0 billion (-17.0 billion) 9.0 billion (+1.0 billion) Forecast FY2026 (Previous forecast (as of February 2026), change) Increased due to the acquisition of large orders for water treatment equipment and marine structures. Increased due to a larger number of water treatment equipment orders contributing to sales during the period under review. Increased due to higher sales. Overall orders are expected to decrease due to the reclassification of segment businesses, while orders for marine structures are expected to grow. Decrease due to the reclassification of segment businesses. Increase due to improved profitability in each project, despite the negative impact from the reclassification of segment businesses. Unit: JPY billion Changes in Orders Changes in Operating Profit Changes in Sales (After reclassification)*(After reclassification)*(After reclassification)* *The graphs show figures after the reclassification of businesses comprising the segments : Sumitomo Heavy Industries Process Equipment Co., Ltd. was transferred from Energy & Lifeline to Logistics & Construction on July 1, 2026 Q3-Q4 Q1-Q2
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19Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 03 Direction of the Medium-Term Management Plan 2029 (MTMP29) 2026/8/4
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20Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 03 MTMP29: Key Considerations for Formulating Plan 01 Prioritize improving quality over expanding scale to achieve higher profitability and greater capital efficiency 02 Set a primary target of achieving 10% ROE within three years, while implementing a flexible capital policy 03 Define a new term, “driver business,” and preferentially allocate management resources to driver and service businesses
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21Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. MTMP29: Basic Policy03 Concentrate management resources on growth-driving businesses and service businesses to achieve high profitability and capital efficiency Basic policy Strengthen profitability through driver businesses Reduce invested capital in low-efficiency businesses Strengthen service businesses Key issues Corporate and business strategies • Advance portfolio reforms • Strengthen the management foundation (DX, human capital, and governance) Corporate strategies • Enhance the growth and profitability of driver businesses • Improve capital efficiency across businesses and implement restructuring • Promote life-cycle solutions Segment strategies Sustainable growth and corporate value enhancement of SHI-G (Sustainability) 2026/8/4
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22Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. MTMP29: Performance Targets (Financial Targets) Current status of MTMP26 (Estimated results for FY2026) Insufficient investment in key investment areas and delayed responses to changes in the external environment MTMP29 targets (FY2029 targets) Long-term vision (FY2035 targets) Operating profit ratio 6.1% 10% 15% ROE 5.0% 10% 15% ROIC 5.3% 8% 15% Building on the solid foundation, we aim for even higher levels of profitability and capital efficiency Rather than pursuing scale, we will narrow our business focus, concentrating on driver and service businesses to pursue management focused on quality 03 2026/8/4
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23Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. MTMP29: Business Portfolio (Current Status) and Issues to Be Addressed Businesses that will serve as a stable revenue base Businesses under development that will become our next-generation core businesses Businesses whose strategies need to be rebuilt Automated hydraulic excavators and cranes Plastics machinery Steam turbines Reactor vessels High High Market growth potential Low Renewable energy- related businesses Environment/energy Semiconductors Growth-driving businessesActive investment targets Capital efficiency Resource circulation- related businesses Semiconductor manufacturing equipment New shipbuilding Defense equipment Boilers Industrial machinery Automated warehouses/parking lots Cranes (Construction and industrial) Water treatment plant Gear reducers (Medium and large) Hydraulic excavators Motion control drives Underperforming businesses Underperforming businesses: Profit stabilization through structural reforms Transferring the parking system business Promoting carbon neutrality and the development and commercialization of renewable-energy businesses Businesses whose strategies need to be rebuilt: Promoting structural and portfolio reforms Key investment areas: Steady execution of investments and growth Transferring the steam turbine and process pump businesses LASSE: Laser Systems & Solutions of Europe SASU SMS-E: Sumitomo (SHI) Material Solutions Europe SASU 03 Precision control actuators Medical equipment Cryocoolers Advanced medical devices Robotics/automation Enhancing production capacity in response to growing demand for shipbuilding investment (Utilization of Saijo Plant) Strengthening the laser annealing business: Acquisition of LASSE (currently, SMS-E) 2026/8/4
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24Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. MTMP29: Business Portfolio (Goals of MTMP29)03 Current status in 2026 Businesses that will serve as a stable revenue base High Market growth potential Low Renewable energy- related businesses Medical equipment Environment/energy Semiconductors Businesses under development Capital efficiency Resource circulation- related businesses Water treatment plantHydraulic excavators Motion control drives High Businesses that will serve as a stable revenue base Businesses whose strategies need to be rebuilt Automated hydraulic excavators and cranes Plastics machinery Steam turbines Reactor vessels High High Market growth potential Low Precision control actuators Renewable energy-related businesses Medical equipment Cryocoolers Environment/ energy Semiconductors Growth-driving businessesActive investment targets Advanced medical devices Robotics/automation Capital efficiency Resource circulation-related businesses Semiconductor manufacturing equipment New shipbuilding Defense equipment Boilers Industrial machinery Automated warehouses/ parking lots Cranes (Construction and industrial) Water treatment plant Gear reducers (Medium and large) Hydraulic excavators Motion control drives Underperforming businesses Semiconductor manufacturing equipment Advanced medical devices Robotics/automation Gear reducers (Medium and large) Plastics machinery Precision control actuators Advanced Technologies (Cryocoolers, cryopumps) Industrial cranes, high- value-added cranes Businesses under development that will become our next-generation core businesses MTMP29 Businesses we are focusing on to make them growth drivers by the final year of the MTMP Semiconductor manufacturing equipment Driver businesses Boilers Industrial machinery Drive Technologies (Gear business, electric control) *Improve quality through service enhancement and other measures *Reducing invested capital 2026/8/4
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25Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 03 MTMP29: Strengthening Profitability through Driver Businesses Driver businesses: Businesses that serve as high-growth, high-profitability drivers of the Group's future growth, to which resources, including investment, are allocated on a priority basis • [Condition 1] Businesses that target growth markets and aim to be No. 1 or No. 2 in market share • [Condition 2] Businesses that aim to achieve an operating progit ratio of 15% or higher and net sales of JPY100 billion or more by 2035 Under MTMP29, we aim to increase operating profit for the driver businesses to more than 1.5 times the current level Condition 1: Growth market, competitive advantage Condition 2: Target scale and profitability for 2035 Drive Technologies SBU (DT) • Integration of gears, electrical equipment, and control technologies will increase customer value and proposal capabilities, enabling stronger competitiveness in targeted applications • Expanding sales scale and improving profitability through global expansion, integrated product promotion, and service enhancement Advanced Technologies SBU (AT) • We can establish a competitive advantage by leveraging our core technologies in vacuum robots, cryopumps, stages, and other products • By capturing growth in the semiconductor market, we can expand the scale toward 2035 Cranes SBU (planned) • In addition to growing demand for shipbuilding investment in Japan, we have a strong position in the domestic industrial crane market. • By capturing domestic demand and expanding our service business, we can transform it into a highly profitable business 2026/8/4
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26Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. Projected shipbuilding demand (2025 = 100) 0 100 200 300 400 500 '25 '26 '27 '28 '29 '30 '31 '32 03 MTMP29: Strengthening the Industrial Crane Business Shipbuilding business revitalization roadmap Effective utilization of Saijo Plant Annual production capacity target for each model 2030 (vs. current) Jib crane (JC) : 2.0x Goliath crane (GC) : 1.5x Overhead cranes for shipbuilding (OHC) : 3.3x Note: Demand expected is based on our order backlog and information obtained independently by us The Company holds a dominant market share in cranes for shipbuilding Expectations for the Company from the government and the shipbuilding industry are extremely high, but current production capacity is a bottleneck We will implement the following measures to strengthen the business: (1) Invest in equipment at Saijo Plant and Niihama Plant to significantly increase production capacity (2) Integrate the business with the construction mobile crane business to enhance our ability to respond through the optimal allocation of human resources Jib crane Goliath crane The government has formulated a roadmap to double annual shipbuilding output by 2035 from the current level. Effective public-private investment measures are currently under consideration Effective utilization made possible through integrated management by the L&C Segment/Production Department Demand Our production capacity 2026/8/4
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27Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 0 500 1000 2023 2024 2025 2026 2027 2028 2029 2030 AI Non-AI 03 MTMP29: Initiatives for the Semiconductor Manufacturing Equipment Business 2026 2027 2028 2029 Laser annealing equipment Ion implanter (billion $) Under MTMP29, we will unite as a company to make the semiconductor equipment business a growth driver Semiconductor market and growth potential - The growth driver has shifted toward advanced AI logic and memory - Demand in traditional applications such as PCs and smartphones is recovering - Power semiconductors face short-term adjustment despite medium-to- long-term growth - Capital investment in China is slowing, while domestic incentives are accelerating MTMP29 Initiative Common Strategic sales expansion (Steady execution and expansion of cross-selling initiatives, development of untapped customer segments, and entry into new markets) Ion implanter Promoting new product and advanced equipment development (Strengthening marketing) Strengthening organizational capabilities, including the development of strategic talent Laser annealing equipment Accelerating the development of a mass-production system for the laser annealing business Ion implanter: Limited customer base and areas of market entry (Delays in acquiring new customers and entering new markets) Laser annealing equipment: Developing a system for mass-production External environment Internal environment (issues) Ion implanter (SAion) Laser annealing equipment (LT3100) Planned net salesSemiconductor market forecast: AI-related vs. Non-AI-related * Prepared by the Company based on external materials 2026/8/4
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28Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 04 2026/8/4 Appendix
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29Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. Strategic Business Unit (SBU) and Key Models - In January 2026, we abolished the current business unit system that forms the basis of the segment structure, and established a strategic business unit (SBU) system that drives value creation from a market perspective and serves as the new organizational framework for the segment structure. - Promote enhanced synergy and operational efficiency by coordinating customer bases and technologies, create new businesses that will form future growth pillars, and accelerate further growth. 2026/8/4 04 Segment Material Handling Systems SBU Link-Belt Cranes SBU (LBC-SBU) Industrial cranes Logistics systems Material Solutions SBU (MS-SBU) Mechatronics Advanced Technologies SBU (AT-SBU) Cryocoolers Drive Technologies SBU (DT-SBU) Motors & inverters Energy & Lifeline Process Plant SBU (PP-SBU) Energy & Environment SBU Marine & Steel Structures SBU HSC Cranes SBU (HSC-SBU) Medical & Quantum Solutions SBU (MQS-SBU) Advanced medical devices Semiconductor manufacturing equipment Forging presses Plastics machinery Metal Processing Solutions SBU (MPS-SBU) Plastics Solutions SBU (PS-SBU) Construction Equipment SBU Hydraulic excavators Mobile cranes Mobile cranes Road machinery Boilers Resource recycling Renewable energy Water treatment plant Ship-related engineering Food machinery Precision positioning equipment SBU (Abbreviation) Main products Forging blades Gear reducers Large steel structures Industrial Machinery Logistics & Construction Laser annealing equipment *Only SBUs are listed *Sumitomo Heavy Industries Process Equipment Co., Ltd. was transferred from Energy & Lifeline Process Plant SBU to Logistics & Construction in July 2026 *In August 2026, the Industrial Machinery Material Solutions SBU (MS-SBU) was reorganized into the headquarters-directly controlled Semiconductor Equipment Division
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30Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. Key Figures by Strategic Business Unit (SBU) [1] Unit: JPY billion Orders Net sales Operating profit Actual FY2026- 1H Forecast FY2026 (as of Feb. 2026) Forecast FY2026 (as of Aug. 2026) Change (Feb. - Aug.) Actual FY2026- 1H Forecast FY2026 (as of Feb. 2026) Forecast FY2026 (as of Aug. 2026) Change (Feb. - Aug.) Actual FY2026-1H Forecast FY2026 (as of Feb. 2026) Forecast FY2026 (as of Aug. 2026) Change (Feb. - Aug.) Drive Technologies 117.8 224.0 234.0 10.0 112.2 222.0 231.0 9.0 Advanced Technologies 43.9 68.0 81.0 13.0 38.2 71.0 81.0 10.0 Other businesses, deductions, adjustments, etc. (1.7) (3.0) (3.0) 0.0 (2.0) (5.0) (6.0) (1.0) Mechatronics 160.1 289.0 312.0 23.0 148.5 288.0 306.0 18.0 13.6 9.2% 22.0 7.7% 26.5 8.7% 4.5 - Material Solutions 17.4 45.0 36.0 (9.0) 19.8 50.0 46.0 (4.0) Medical & Quantum Solutions 9.7 25.0 23.0 (2.0) 8.7 20.0 20.0 0.0 Metal Processing Solutions 12.5 30.0 35.0 5.0 12.4 29.0 30.0 1.0 Plastics Solutions 50.7 93.0 95.0 2.0 44.9 95.0 97.0 2.0 Other businesses, deductions, adjustments, etc. 17.5 31.0 35.0 4.0 16.0 34.0 35.0 1.0 Industrial Machinery 107.9 224.0 224.0 0.0 101.7 228.0 228.0 0.0 2.2 2.1% 8.0 3.5% 8.0 3.5% 0.0 - 2026/8/4 04
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31Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. Key Figures by Strategic Business Unit (SBU) [2] Unit: JPY billion Orders Net sales Operating profit Actual FY2026- 1H Forecast FY2026 (as of Feb. 2026) Forecast FY2026 (as of Aug. 2026) Change (Feb. - Aug.) Actual FY2026- 1H Forecast FY2026 (as of Feb. 2026) Forecast FY2026 (as of Aug. 2026) Change (Feb. - Aug.) Actual FY2026-1H Forecast FY2026 (as of Feb. 2026) Forecast FY2026 (as of Aug. 2026) Change (Feb. - Aug.) Material Handling Systems 27.2 60.0 69.0 9.0 33.3 62.0 62.0 0.0 HSC Cranes 17.9 33.0 33.0 0.0 18.3 37.0 37.0 0.0 Link-Belt Cranes 52.6 100.0 104.0 4.0 48.9 97.0 100.0 3.0 Construction Equipment 124.0 216.0 235.0 19.0 113.9 215.0 228.0 13.0 Other businesses, deductions, adjustments, etc. (0.9) (8.1)* (10.0) 5.0 (15.0)* 15.0 (5.0)* 1.0 (6.2)* (13.0) 3.0 (14.0)* 16.0 (1.0)* Logistics & Construction 220.7 213.6* 399.0 446.0 426.0* 47.0 27.0* 215.3 208.2* 398.0 430.0 413.0* 32.0 15.0* 12.8 12.5* 5.9% 6.0% 19.0 4.8% 22.5 21.3* 5.2% 5.2%* 3.5 2.3* - Energy & Environment 37.0 83.0 82.0 (1.0) 33.7 70.0 70.0 0.0 Process Plant 37.7 44.8* 72.0 57.0 77.0* (15.0) 5.0* 23.0 30.2* 57.0 42.0 59.0* (15.0) 2.0* Marine & Steel Structures 31.4 40.0 49.0 9.0 20.2 34.0 35.0 1.0 Other businesses, deductions, adjustments, etc. 8.8 7.0 8.0 1.0 8.5 9.0 6.0 (3.0) Energy & Lifeline 114.9 122.0* 202.0 196.0 216.0* (6.0) 14.0* 85.4 92.6* 170.0 153.0 170.0* (17.0) 0.0* 7.9 8.2* 9.3% 8.9% 8.0 4.7% 9.0 10.2* 5.9% 6.0%* 1.0 2.2* - Others 3.6 6.0 2.0 (4.0) 3.2 6.0 3.0 (3.0) 1.0 - 3.0 - 1.9 - (1.0) - Total 607.1 1,120.0 1,180.0 60.0 554.2 1,090.0 1,120.0 30.0 37.4 6.8% 60.0 5.5% 68.0 6.1% 8.0 - 2026/8/4 04 *Reclassification of businesses comprising the segments (Figures in the lower row are before the reclassification) : On July 1, 2026, the chemical equipment and other businesses were reclassified from Process Plant SBU to “Other businesses, deductions, adjustments, etc.” within Logistics & Construction
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32Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Sales of the Semiconductor-Related Product Business04 Total sales from semiconductor-related businesses (approximate numbers) The Company's components, equipment and key technologies in the semiconductor field Unit: JPY billion Relationship with key technologies (◎: Close ○: Moderate) Product Segment SBU Key technologies Beam control Ultracold Vacuum Component 4KGM Cryocooler/ Cryopump Mechatronics Advanced Technologies ◎ ◎ Vacuum robot ◎ Equipment Laser annealing equipment Material Solutions ◎ Ion implanter Industrial Machinery ◎ ○ Ion irradiation business ◎ ○ Superconduct ing magnet for MCZ Medical & Quantum Solutions ◎ ○ Q3-Q4 Q1-Q2
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33Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Trends in Consolidated Financial Results04 Changes in orders, sales, and operating profit Operating profit Mechatronics Industrial Machinery Logistics & Construction Energy & Lifeline Others Unit: JPY billion Net salesOrders Operating profit (After reclassification)* * Reclassification of businesses comprising the segments: Sumitomo Heavy Industries Process Equipment Co., Ltd. was transferred from Energy & Lifeline to Logistics & Construction on July 1, 2026 (After reclassification)* (After reclassification)*
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34Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Reference information on each segment [1] <Mechatronics> - Gear reducer business: Sales contribution ratio by model (approximate numbers) <Industrial Machinery> - Sales mix of injection molding machines by segment (approximate numbers) Gear motor (middle size) Gear box (large size) Motion control drives (MCD) Service Electric control Total FY2026 1H 40% 20% 10% 10% 20% 100% FY2025 40% 20% 10% 10% 20% 100% Electrical and electronic product- related Automobile Foods, containers, miscellaneous goods Others Total FY2026 1H 20% 10% 50% 20% 100% FY2025 20% 15% 50% 15% 100% 04
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35Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Reference information on each segment [2] <Logistics & Construction> - Hydraulic excavators: changes in demand by region (approximate numbers) - Industrial cranes: orders mix by segment (approximate numbers) *Only foreign capital Electricity Steel Shipbuilding Ports Others Total FY2026 1H 0% 50% 50% 0% 0% 100% FY2025 Cumulative 0% 20% 50% 10% 20% 100% Unit: 10,000 units North America Europe Asia (excluding China) China* Japan FY2026 Demand forecast 4.0 3.5 2.9 1.4 1.9 FY2025 Demand 4.0 3.3 3.6 1.3 1.9 04
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36Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Capital Investment, Depreciation Cost, Research & Development Cost, Personnel, Forex Sensitivity04 Capital investment* Depreciation Research & development cost* Personnel (as of end of each fiscal year) Unit: Persons FY2023 FY2024 FY2025 End-June 2026 Consolidated total 25,303 25,337 25,123 24,720 Forex sensitivity (FY2026 forecast) Unit: JPY billion US dollar Euro Total Effect of a 1-yen change on operating profit* 0.27 0.15 0.42 *The assumed exchange rates for 2H of FY2026 are JPY155 per US dollar and JPY180 per euro *Actual figures are based on cash outflows, while forecasts are based on the budget *Actual figures are based on the P&L, while forecasts are based on the budget Unit: JPY billion Q3-Q4 Q1-Q2
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37Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. 2026/8/4 Sales by Regional Segment <Exchange rate: JPY158 per US dollar> Unit: JPY billion Actual FY2026-1H North America Europe Asia (excluding China) China Others Overseas total Japan Total sales Mechatronics 35.3 33.9 18.3 16.8 10.3 114.6 33.8 148.5 Industrial Machinery 6.3 13.4 14.9 20.5 3.1 58.2 43.6 101.7 Logistics & Construction 81.7 17.0 23.8 3.9 6.9 133.3 74.9 208.2 Energy & Lifeline 8.7 15.5 11.3 0.1 8.4 44.0 48.6 92.6 Others - 0.0 - 0.0 - 0.0 3.2 3.2 Total / Sales ratio (%) 132.0 24 79.7 14 68.3 12 41.4 7 28.8 5 350.1 63 204.1 37 554.2 <Exchange rate: JPY148 per US dollar> Unit: JPY billion Actual FY2025-1H North America Europe Asia (excluding China) China Others Overseas total Japan Total sales Mechatronics 28.6 27.1 16.9 14.0 8.4 95.1 34.3 129.4 Industrial Machinery 7.1 11.2 13.6 21.6 2.5 56.1 42.1 98.2 Logistics & Construction 65.4 6.2 22.3 3.6 4.9 102.3 73.1 175.4 Energy & Lifeline 6.7 12.4 9.5 0.8 3.1 32.5 55.8 88.3 Others - - - 0.0 - 0.0 3.4 3.4 Total / Sales ratio (%) 107.9 22 56.9 12 62.2 13 40.0 8 18.9 4 286.0 58 208.6 42 494.6 04
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Copyright © Sumitomo Heavy Industries, Ltd. All Rights Reserved. All forward-looking statements regarding the company’s future performance are based on information currently available to Sumitomo Heavy Industries and determined subjectively. Future performance is not guaranteed and all information related to future performance contained herein is subject to changes in business environments. 2026/8/4