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 Three Months Ended June 30 , 2026 ( Under Japanese GAAP ) YUASA CO . , LTD . Tokyo Stock Exchange Company name : Listing : Securities code : 8074 URL : Representative : Inquiries : Telephone : https://www.yuasa.co.jp/en/ Hideaki Murayama , Representative Director , President & CEO Hideki Tani , Executive Officer , General Manager of Finance Dept. + 81-3-6369-1366 Scheduled date to commence dividend payments : Preparation of supplementary material on financial results : Holding of financial results briefing : None None August 7 , 2026 ( Yen amounts are rounded down to millions , unless otherwise noted . ) 1. Consolidated financial results for the three months ended June 30 , 2026 ( from April 1 , 2026 to June 30 , 2026 ) ( 1 ) Consolidated operating results ( cumulative ) ( Percentages indicate year - on - year changes . ) Profit attributable to Net sales Operating profit Ordinary profit owners of parent Three months ended Millions of yen % Millions of yen % Millions of yen % Millions of yen % June 30 , 2026 June 30 , 2025 131,560 116,596 12.8 3,335 2.6 2,156 54.7 29.0 3,407 Note : Comprehensive income For the three months ended June 30 , 2026 : For the three months ended June 30 , 2025 : 2,402 ¥ 5,472 million ¥ 2,337 million 41.9 19.6 2,095 23.6 1,695 31.0 [ 134.1 % ] [ 35.6 % ] Basic earnings per share Diluted earnings per share Three months ended Yen Yen June 30 , 2026 June 30 , 2025 99.50 80.60 99.23 80.35 Note : In the fiscal year ended March 31 , 2026 , the Company finalized the provisional accounting treatment for the business combination , and the figures for the three months ended June 30 , 2025 reflect the finalized content of the provisional accounting treatment . ( 2 ) Consolidated financial position As of Total assets Net assets Equity - to - asset ratio Millions of yen Millions of yen % As of June 30 , 2026 : As of March 31 , 2026 : 284,578 303,507 ¥ 122,746 million ¥ 119,926 million 124,482 121,446 43.1 39.5 June 30 , 2026 March 31 , 2026 Reference : Equity
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2. Cash dividends Annual dividends per share First quarter-end Second quarter-end Third quarter-end Fiscal year-end Total Yen Yen Yen Yen Yen Fiscal year ended March 31, 2026 – 76.00 – 114.00 190.00 Fiscal year ending March 31, 2027 – Fiscal year ending March 31, 2027 (Forecast) 73.00 – 117.00 190.00 Note: Revisions to the forecast of cash dividends most recently announced: None 3. Consolidated earnings forecasts for the fiscal year ending March 31, 2027 (from April 1, 2026 to March 31, 2027) (Percentages indicate year-on-year changes.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Basic earnings per share Millions of yen % Millions of yen % Millions of yen % Millions of yen % Yen Six months ending September 30, 2026 251,700 0.4 6,400 2.2 6,700 2.4 4,400 (8.8) 208.99 Full year 546,000 0.2 17,000 1.6 17,500 1.5 11,500 (4.3) 542.17 Note: Revisions to the earnings forecasts most recently announced: None
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* Notes (1) Significant changes in the scope of consolidation during the period: None (2) Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: None (3) Changes in accounting policies, changes in accounting estimates, and restatement (i) Changes in accounting policies due to revisions to accounting standards and other regulations: None (ii) Changes in accounting policies due to other reasons: None (iii) Changes in accounting estimates: None (iv) Restatement: None (4) 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 22,100,000 shares As of March 31, 2026 22,100,000 shares (ii) Number of treasury shares at the end of the period As of June 30, 2026 1,042,093 shares As of March 31, 2026 1,045,977 shares (iii) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) Three months ended June 30, 2026 21,057,976 shares Three months ended June 30, 2025 21,035,220 shares Note: The shares of the Company held by the “Board Incentive Plan (BIP) Trust” are included in the number of treasury shares at the end of the period (188,747 shares as of June 30, 2026 and 188,747 shares as of March 31, 2026). Also, the shares of the Company held by the “Board Incentive Plan (BIP) Trust” are included in treasury shares that are deducted for calculation of the average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) (188,747 shares for the three months ended June 30, 2026 and 206,477 shares for the three months ended June 30, 2025). * Review of the Japanese-language originals of the attached quarterly consolidated financial statements by certified public accountants or an audit corporation: None * Proper use of earnings forecasts, and other special matters (Caution regarding forward-looking statements) The forward-looking statements, including earnings forecasts, contained in this document are based on information currently available to the Company and on certain assumptions deemed to be reasonable. These statements do not purport that the Company pledges to realize such statements. Actual business and other results may differ substantially due to various factors. For the suppositions that form the assumptions for earnings forecasts and cautions concerning the use thereof, please refer to “1. Overview of Operating Results, (3) Explanation of consolidated earnings forecasts and other forward-looking statements” on page 5 of the attached material.
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1 Attached Materials 1. Overview of Operating Results ................................................................................................................................... 2 (1) Overview of operating results for the period under review ..................................................................................... 2 (2) Overview of financial position for the period under review ................................................................................... 5 (3) Explanation of consolidated earnings forecasts and other forward-looking statements .......................................... 5 2. Quarterly Consolidated Financial Statements and Significant Notes Thereto ............................................................ 6 (1) Consolidated balance sheet ..................................................................................................................................... 6 (2) Consolidated statement of income and consolidated statement of comprehensive income .................................... 8 Consolidated statement of income .......................................................................................................................... 8 Consolidated statement of comprehensive income ................................................................................................. 9 (3) Notes to quarterly consolidated financial statements ............................................................................................ 10 Notes on going concern assumption...................................................................................................................... 10 Notes on significant changes in the amount of shareholders’ equity .................................................................... 10 Business combinations .......................................................................................................................................... 10 Notes to quarterly consolidated statement of cash flows ...................................................................................... 10 Notes on segment information, etc. ....................................................................................................................... 11
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2 1. Overview of Operating Results (1) Overview of operating results for the period under review During the three months under review (April 1, 2026 to June 30, 2026), while the Japanese economy continued its moderate recovery due to improvements in the employment and income environment, as well as consumer spending, the impact of rising crude oil prices and material prices caused by the situation in the Middle East, along with worsening labor shortages in the logistics and construction industries, continued to affect the economy. In the industrial field, there was a gradual recovery in the automotive-related industry, and demand for capital investment remained steady mainly in the semiconductor-related industry. In the housing field, while the number of new housing starts, mainly for detached housing, remained low, mostly due to the mandatory compliance with “energy-saving standards,” the demand for products with excellent energy-saving performance and highly functional products remained firm. In the construction field, demands related to the social infrastructure development rose. In overseas countries, the economies of the U.S., India, and countries in the Southeast Asian region such as Indonesia demonstrated underlying strength. Meanwhile, China exhibited signs of an economic slowdown. Under these circumstances, we formulated our long-term vision “YUASA vision 370,” looking ahead to the 370th anniversary of our founding in 2036, and launched our medium-term management plan “Reborn 2031,” covering a five-year period, in April 2026. In the medium-term management plan, we aim to achieve greater growth, profitability, and efficiency by strengthening the three foundations of “business foundation, human capital foundation, and management foundation” and making proactive investments. Group consolidated net sales for the three months under review increased 12.8% from the same period of the previous year, to ¥131,560 million. In terms of profits, operating profit was ¥3,335 million (up 54.7% year on year), and ordinary profit was ¥3,407 million (up 41.9% year on year). Profit attributable to owners of parent increased 23.6% from the same period of the previous year, to ¥2,095 million. Results by reportable segment are as follows. Effective from the three months ended June 30, 2026, the name of the reportable segment that was previously shown as “Machine Tools Division” has been changed to “Factory Equipment Division,” and the name of the reportable segment that was previously shown as “Construction Machines Division” has been changed to “Urban Infrastructure Division.” <Industrial Equipment & Tools Division> In the Industrial Equipment & Tools Division, there was a significant impact from a shortage of chemicals triggered by the situation in the Middle East, as well as China’s export restrictions on tungsten, a raw material for cutting tools. Under these circumstances, we made efforts to ensure a stable supply of cutting tools by strengthening cooperation with suppliers and promoted solution sales centered around the consulting function “LOGI CRAFT,” which supports automation and labor-saving measures in logistics environments. Additionally, as a result of focusing on solving on-site issues such as improving working environments at production sites, achieving carbon neutrality, and implementing security and resilience measures, net sales were ¥19,240 million (up 17.3% year on year). <Factory Equipment Division> In the Factory Equipment Division, the need for equipment upgrades and automation remained steady against a backdrop of serious labor shortage. In the Japanese market, large-scale projects for defense, aircraft, and shipbuilding fields saw steady progress, and robust capital investment in the semiconductor- related industry drove orders received. Overseas, demand for aircraft, air-conditioning, semiconductors, and data centers remained firm, and strong willingness for capital investment in carbon neutrality continued. Under these circumstances, while we provided capital investment support utilizing subsidies, enhanced our proposals for energy-saving products such as air conditioning for factories and heat shielding materials, and made efforts to offer total solutions for addressing factory-wide issues, net sales were ¥21,960 million (down 1.9% year on year). <Housing, Air & Fluidic Control Systems Division> In the Housing, Air & Fluidic Control Systems Division, construction costs rose due to globally soaring resource and energy prices, and the number of new housing starts continued to decline. Additionally,
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3 construction delays due to chronic manpower shortages, resulting from workstyle reforms in the construction industry, continued to be an issue. Meanwhile, domestic and overseas trends toward decarbonization have accelerated, demand for energy-saving renovation of existing housing has increased, primarily due to the impact of the revised Building Energy Efficiency Act enacted last year, and the performance of housing equipment that contributes to high thermal insulation and high efficiency trended steadily. Additionally, due to the increased construction demand for data centers and large-scale redevelopment projects in urban areas, air conditioning-related equipment and piping material products that support advanced waste heat removal demonstrated robust trends. Under these circumstances, we endeavored to strengthen engineering capabilities, such as proposing labor- saving installation products and air conditioning renovations capable of meeting on-site needs for labor- saving and shorter construction periods, and promoted system proposals that respond to diverse customer needs. As a result, net sales were ¥55,177 million (up 16.8% year on year). <Building Supplies & Exterior Division> In the Building Supplies & Exterior Division, the market environment was difficult primarily due to rising material and personnel expenses, the emergence of labor shortages, and supply constraints for construction and civil engineering materials caused by a shortage of chemicals triggered by the situation in the Middle East. New development and redevelopment projects were reviewed, and some tenders for public-sector projects, including civil engineering projects, were cancelled due to a lack of bidders in certain regions, leading to continued uncertainty in market conditions. Meanwhile, social infrastructure investments focused on disaster prevention and mitigation, as well as the remodeling and renovation market, remained firm. Under these circumstances, we mainly focused on strengthening construction and procurement functions through our Group network, proposals for solar carports utilizing renewable energy, and proposals for fabrication hardware aligned with the needs of building construction sites. As a result, net sales were ¥16,806 million (up 37.0% year on year). <Urban Infrastructure Division> In the Urban Infrastructure Division, there was a robust trend in demand primarily for the maintenance and renewal of infrastructure for national resilience, as well as for urban redevelopment projects. On the other hand, in addition to persistently high prices for machinery, materials, and energy, labor shortages, and soaring personnel expenses, there were also impacts from working hour restrictions resulting from workstyle reforms and construction delays caused by shortages of qualified skilled workers. Under these circumstances, with the solving of various social issues as our main focus, we promoted the likes of labor-saving solutions and safety measures based on AI and IoT technologies, the expansion of sales of CO 2 visualization products and heatstroke countermeasures, and proposals of disaster preparedness and BCP-related products to government agencies. Further, we strove to expand our auction businesses of used construction, agricultural machines, etc. and enhance construction machines maintenance and rental functions, resulting in net sales of ¥8,358 million (up 0.9% year on year). <Energy Division> In the Energy Division, the external environment was a difficult one, despite the continuation of government subsidy measures, as crude oil prices remained at elevated levels against a backdrop of escalating tensions in the Middle East and U.S. economic trends. Under these circumstances, the gas station business, which operates mainly in the Tokai region, focused on strengthening services such as car rental and car maintenance businesses in addition to high value-added car washing, automobile inspections, coatings. In addition, we made efforts to strengthen sales of marine fuel in the Keihin area, resulting in net sales of ¥4,562 million (up 3.1% year on year). <Others> In Others, while the consumer goods business saw strong performance in fans and other seasonal household appliances, we focused on developing heatstroke countermeasures and strove to expand our lineup to capture consumer needs. In the wood products business, in addition to demand for detached housing remaining weak, rising procurement costs for imported wood and auxiliary materials, along with consistently high transportation and energy costs, led to a difficult business environment. As this continues, we focused on
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4 strengthening our stable supply system for timber from Japan and expanding sales of original products with high added value, such as large-section timber for non-residential use. As a result, net sales were ¥5,454 million (down 2.5% year on year).
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5 (2) Overview of financial position for the period under review As of June 30, 2026, total assets were ¥284,578 million, a decrease of ¥18,929 million from the end of the previous fiscal year. This was primarily due to decreases in notes and accounts receivable - trade, and contract assets of ¥17,584 million and cash and deposits of ¥9,916 million despite an increase in other in investments and other assets of ¥5,569 million. Total liabilities were ¥160,096 million, a decrease of ¥21,965 million from the end of the previous fiscal year. This was primarily due to decreases in electronically recorded obligations - operating of ¥11,052 million and notes and accounts payable - trade of ¥10,804 million. Total net assets increased by ¥3,036 million from the end of the previous fiscal year, to ¥124,482 million. This was primarily due to an increase in valuation difference on available-for-sale securities of ¥3,138 million. As a result, the equity-to-asset ratio was 43.1% (39.5% at the end of the previous fiscal year). (3) Explanation of consolidated earnings forecasts and other forward-looking statements Regarding the consolidated earnings forecasts for the first six months of the fiscal year ending March 31, 2027 and the full business year, the earnings forecasts are unchanged from the announcement in the “Consolidated Financial Results for the Fiscal Year Ended March 31, 2026” dated May 8, 2026. Furthermore, the earnings forecasts were created based on information which is currently available on the day of the announcement, and the actual performance and results may differ from the forecast values and outlook.
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6 2. Quarterly Consolidated Financial Statements and Significant Notes Thereto (1) Consolidated balance sheet (Millions of yen) As of March 31, 2026 As of June 30, 2026 Assets Current assets Cash and deposits 48,646 38,730 Notes and accounts receivable - trade, and contract assets 96,241 78,656 Electronically recorded monetary claims - operating 46,039 45,355 Inventories 20,220 23,569 Other 4,197 4,654 Allowance for doubtful accounts (69) (99) Total current assets 215,276 190,866 Non-current assets Property, plant and equipment Land 39,903 39,736 Other, net 6,882 6,787 Total property, plant and equipment 46,786 46,524 Intangible assets Goodwill 1,303 1,259 Other 14,363 14,574 Total intangible assets 15,666 15,834 Investments and other assets Other 25,856 31,426 Allowance for doubtful accounts (78) (73) Total investments and other assets 25,778 31,353 Total non-current assets 88,231 93,711 Total assets 303,507 284,578
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7 (Millions of yen) As of March 31, 2026 As of June 30, 2026 Liabilities Current liabilities Notes and accounts payable - trade 92,466 81,661 Electronically recorded obligations - operating 56,845 45,793 Short-term borrowings 3,587 2,937 Income taxes payable 3,288 572 Provision for bonuses 3,539 1,830 Provision for bonuses for directors (and other officers) 88 – Other 13,474 16,286 Total current liabilities 173,290 149,082 Non-current liabilities Long-term borrowings 1,210 1,196 Provision for share awards 310 296 Provision for share awards for directors (and other officers) 233 222 Retirement benefit liability 1,426 1,405 Other 5,590 7,893 Total non-current liabilities 8,771 11,013 Total liabilities 182,061 160,096 Net assets Shareholders’ equity Share capital 20,644 20,644 Capital surplus 6,756 6,755 Retained earnings 87,324 86,998 Treasury shares (2,902) (2,893) Total shareholders’ equity 111,822 111,504 Accumulated other comprehensive income Valuation difference on available-for-sale securities 6,089 9,227 Deferred gains or losses on hedges 39 55 Foreign currency translation adjustment 1,973 1,957 Remeasurements of defined benefit plans 1 1 Total accumulated other comprehensive income 8,104 11,242 Share acquisition rights 108 98 Non-controlling interests 1,411 1,637 Total net assets 121,446 124,482 Total liabilities and net assets 303,507 284,578
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8 (2) Consolidated statement of income and consolidated statement of comprehensive income Consolidated statement of income (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Net sales 116,596 131,560 Cost of sales 102,943 115,562 Gross profit 13,653 15,998 Selling, general and administrative expenses 11,497 12,662 Operating profit 2,156 3,335 Non-operating income Interest income 24 40 Dividend income 121 156 Share of profit of entities accounted for using equity method 73 – Other 79 118 Total non-operating income 298 314 Non-operating expenses Interest expenses 43 41 Share of loss of entities accounted for using equity method – 189 Other 9 11 Total non-operating expenses 53 242 Ordinary profit 2,402 3,407 Extraordinary income Gain on sale of non-current assets 1 – Total extraordinary income 1 – Extraordinary losses Loss on sale of non-current assets 0 62 Loss on retirement of non-current assets 0 2 Total extraordinary losses 0 65 Profit before income taxes 2,403 3,342 Income taxes 696 1,218 Profit 1,707 2,124 Profit attributable to non-controlling interests 11 28 Profit attributable to owners of parent 1,695 2,095
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9 Consolidated statement of comprehensive income (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Profit 1,707 2,124 Other comprehensive income Valuation difference on available-for-sale securities 1,062 3,349 Deferred gains or losses on hedges 2 15 Foreign currency translation adjustment (431) (16) Remeasurements of defined benefit plans, net of tax (2) (0) Total other comprehensive income 630 3,348 Comprehensive income 2,337 5,472 Comprehensive income attributable to Comprehensive income attributable to owners of parent 2,327 5,233 Comprehensive income attributable to non-controlling interests 10 238
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10 (3) Notes to quarterly consolidated financial statements Notes on going concern assumption No item to report. Notes on significant changes in the amount of shareholders’ equity No item to report. Business combinations (Finalization of provisional accounting treatment pertaining to business combination) The provisional accounting treatment applied during the three months ended June 30, 2025 to the business combination with LINE-UP CO., LTD. on February 28, 2025 (deemed acquisition date: March 31, 2025) was finalized at the end of the fiscal year ended March 31, 2026. The comparative information presented in the quarterly consolidated financial statements for the three months ended June 30, 2026, reflects significant revisions to amounts initially allocated to acquisition cost accompanying finalization of provisional accounting treatment. As a result, selling, general and administrative expenses decreased by ¥3 million, thereby resulting in operating profit, ordinary profit, and profit before income taxes each increasing by ¥3 million in the quarterly consolidated statement of income for the three months ended June 30, 2025. In addition, income taxes - deferred decreased by ¥7 million, thereby resulting in profit and profit attributable to owners of parent each increasing by ¥11 million. Goodwill is amortized over a period of 10 years, and the customer- related assets recorded under intangible assets other than goodwill are amortized over a period of 17 years. Notes to quarterly consolidated statement of cash flows Quarterly consolidated statement of cash flows for the three months ended June 30, 2026 is not prepared. Depreciation (including amortization related to intangible assets excluding goodwill) and amortization of goodwill for the three months ended June 30, 2025 and 2026 are as follows. In relation to the section (Finalization of provisional accounting treatment pertaining to business combination) under (Business combinations), depreciation (including amortization related to intangible assets excluding goodwill) and amortization of goodwill for the three months ended June 30, 2025 have been revised to reflect these adjustments. (Millions of yen) Three months ended June 30, 2025 (from April 1, 2025 to June 30, 2025) Three months ended June 30, 2026 (from April 1, 2026 to June 30, 2026) Depreciation 386 382 Amortization of goodwill 41 44
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11 Notes on segment information, etc. Segment information In relation to the section (Finalization of provisional accounting treatment pertaining to business combination) under (Business combinations), the segment information for the three months ended June 30, 2025 has been revised to reflect these adjustments. I. Three months ended June 30, 2025 (from April 1, 2025 to June 30, 2025) 1. Information on the amount of net sales and profit/loss for each reportable segment (Millions of yen) Reportable segments Others (Note 1) Total Adjustment (Note 2) Amount recorded in the quarterly consolidated statement of income (Note 3) Industrial Equipment & Tools Factory Equipment Housing, Air & Fluidic Control Systems Building Supplies & Exterior Urban Infra- structure Energy Total Net sales Sales to external customers 16,395 22,391 47,240 12,265 8,283 4,424 111,001 5,595 116,596 – 116,596 Intersegment sales or transfers 3,696 833 2,537 1,250 1,342 11 9,672 186 9,858 (9,858) – Total 20,092 23,224 49,778 13,516 9,625 4,436 120,673 5,782 126,455 (9,858) 116,596 Segment profit 345 597 1,702 296 249 18 3,211 76 3,287 (1,130) 2,156 Notes: 1. The classification “Others” is a segment of business not included in the reportable segments and includes businesses selling lifestyle-related products and wood products. 2. The adjustment of the segment profit of negative ¥1,130 million represents mainly costs related to the administration division of the Company that has not been attributed to a reportable segment. 3. Segment profit is adjusted to operating profit as recorded on the quarterly consolidated statement of income. 2. Information about impairment loss on non-current assets, goodwill, etc. for each reportable segment No item to report. II. Three months ended June 30, 2026 (from April 1, 2026 to June 30, 2026) 1. Information on the amount of net sales and profit/loss for each reportable segment (Millions of yen) Reportable segments Others (Note 1) Total Adjustment (Note 2) Amount recorded in the quarterly consolidated statement of income (Note 3) Industrial Equipment & Tools Factory Equipment Housing, Air & Fluidic Control Systems Building Supplies & Exterior Urban Infra- structure Energy Total Net sales Sales to external customers 19,240 21,960 55,177 16,806 8,358 4,562 126,105 5,454 131,560 – 131,560 Intersegment sales or transfers 3,874 1,134 2,683 1,380 1,508 15 10,597 97 10,694 (10,694) – Total 23,114 23,095 57,860 18,187 9,867 4,577 136,703 5,551 142,255 (10,694) 131,560 Segment profit 673 557 2,663 431 252 41 4,619 (14) 4,605 (1,269) 3,335 Notes: 1. The classification “Others” is a segment of business not included in the reportable segments and includes businesses selling lifestyle-related products and wood products. 2. The adjustment of the segment profit (loss) of negative ¥1,269 million represents mainly costs related to the administration division of the Company that has not been attributed to a reportable segment. 3. Segment profit (loss) is adjusted to operating profit as recorded on the quarterly consolidated statement of income. 2. Information about impairment loss on non-current assets, goodwill, etc. for each reportable segment No item to report.
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12 3. Matters related to changes in reportable segments, etc. The names of the reportable segments have been changed from the three months ended June 30, 2026. The segment name that was previously shown as “Machine Tools” has been changed to “Factory Equipment,” and the segment name that was previously shown as “Construction Machines” has been changed to “Urban Infrastructure.” The change is a change in the names of reportable segments only and has no impact on the segment information. The segment information for the three months ended June 30, 2025 is also presented under the new name.