Slide 1: 2nd Quarter 2025 Financial Results
2nd Quarter 2025 Financial Results August 7, 2025 Tamron Co., Ltd. (Code: 7740)
Slide 2: Contents
Contents I. 1st Half FY2025 Financial Results III. Medium-term management plan 1. 1st Half FY2025 Summary “Value Creation 26 ver.2.0” (For reference) 2. 1st Half FY2025 Financial Results 1. Positioning of the “Value Creation 26 ver.2.0” 3. Factors Affecting Operating Income Variability 2. Outline of
Slide 3: I. 1st Half FY2025 Financial Results
I. 1st Half FY2025 Financial Results
Slide 4: 1st Half FY2025 Summary
Ⅰ-１. 1st Half FY2025 Summary Environment Economy Market Along with sustained geopolitical risks, U.S. tariff policies are causing The market for interchangeable lens cameras grew in both quantity and value, greater confusion and heightened uncertainty about the future. driven by steady demand fo
Slide 5: 1st Half FY2025 Financial Results
Ⅰ-２. 1st Half FY2025 Financial Results Compared to the previous year: Negative impact of exchange rate due to yen appreciation: Net Sales: 650 million yen decreased Operating Income: 350 million yen decreased The main photographic products segment saw a revenue drop as a reaction to last year’s
Slide 6: Factors Affecting Operating Income Variability
Ⅰ-３. Factors Affecting Operating Income Variability 1st Half FY2025 (Millions of JPY) Impact of exchange rate on Net Sales: 10,839 (650) million yen (1,120) (350) 9,203 (290) (160) 284 Actual 1H FY24 Gross Profit FX rate impact R&D Expenses SG&A Expenses Gross Profit margin Actual 1H FY25 from sales
Slide 7: Photographic Products
Ⅰ-４. 1st Half FY2025 Results by Segment ① Photographic Products Own-Brand products: Despite growth in Japan and India, sales declined due to a slow recovery in Europe and the U.S., as well as a reactionary decline in China following its high-growth phase in 1st half of 2024. OEM products: Sales
Slide 8: Photographic Products (Own-Brand)
Ⅰ-４. 1st Half FY2025 Results by Segment ①Photographic Products (Own-Brand) Sales Composition by Base Sales Growth Rate by Base (Value Basis・1H YoY) (JPY Rate Basis・1H YoY) Others 5% Europe 17% 46% Other Asia 18% 4% 18% 30% 17% 24% 12% 14% Own-Brand 17% America 3% 6% Sales Composition 16% 28% Europe
Slide 9: Surveillance & FA Lenses
Ⅰ-４. 1st Half FY2025 Results by Segment ②Surveillance & FA Lenses Surveillance lenses and camera module: Sales increased by double digits, driven by stable growth in the market growth fueled by rising demand for high definition and high resolution, as well as the diversification of applications.
Slide 10: Surveillance & FA Lenses
Ⅰ-４. 1st Half FY2025 Results by Segment ②Surveillance & FA Lenses Sales Composition by Base Sales Growth Rate by Base (Value Basis・1H YoY) (JPY Rate Basis・1H YoY) Others 1% Europe 25% America 22% China 7% 6% 19% 4% 11% 6% 9% 1%9% 4% Europe America Japan China Others Total (9)% (1)% (2)% Surveillance
Slide 11: Mobility & Healthcare, Others
Ⅰ-４. 1st Half FY2025 Results by Segment ③ Mobility ＆ Healthcare, Others Automotive lenses: Sales continued to grow, mainly for sensing applications, supported by strong demand driven by the widespread adoption of Advanced Driving Assistance System (ADAS). Healthcare components in the cultivation
Slide 12: Quarterly performance trends by segment
Ⅰ-5. Quarterly performance trends by segment Summary of revenue and operating income by segment （Millions of JPY） 1Q YoY 2Q YoY 3Q YoY 4Q YoY 1Q YoY 2Q YoY QoQ FY24 (%) FY24 (%) FY24 (%) FY24 (%) FY25 (%) FY25 (%) (%) Photographic Net Sales 13,944 45.0 19,152 38.7 17,228 21.3 14,510 (5.8) 13,569 (2.
Slide 13: II. Financial Forecast FY2025
II. Financial Forecast FY2025
Slide 14: Impact of US tariffs
Ⅱ-1. Impact of US tariffs Production Strategy: Strengthen the global tripolar (Japan, China, Vietnam) production system with starting operation of Vietnam 2nd Factory Expand production capacity Strengthen risk management & stable supply system (risks: geopolitical risks, tariff risks, etc.) St
Slide 15: Financial Forecast FY2025
Ⅱ-2. Financial Forecast FY2025 While the 1st half outperformed the forecasts, the business environment in the 2nd half remains highly uncertain, due to unclear impact of the U.S. tariff policies and concerns over a slowdown in overseas economies. The forecasts has been slightly revised downward
Slide 16: Financial Forecast FY2025 by Segment: Photographic Products
Ⅱ-3. Financial Forecast FY2025 by Segment ① Photographic Products Own-Brand products: revenue is expected to turn to growth in Europe, the Americas, and China, resulting in an overall increase YoY as initially planned. With the effect of new product launches in the 2nd half, OEM products: While
Slide 17: Photographic Products - New Models
Photographic Products - New Models Prior to FY2023: Approximately 5 new models a year ⇒ Initial medium-term management plan: Targeting 6 to 7 new models a year ⇒ Achieved 7 new models launches in the first year of the plan⇒ New medium-term management plan: Aiming to launch 10 new models a year by 20
Slide 18: Financial Forecast FY2025 by Segment: Surveillance & FA Lenses
Ⅱ-3. Financial Forecast FY2025 by Segment ② Surveillance & FA Lenses Based on the strong performance in the 1 st half, both Sales and Operating Income have been revised upward. Initial Forecast: a slight increase in Sales and decrease in Operating Income. ⇒ High-single-digit increase in both Sales
Slide 19: Financial Forecast FY2025 by Segment: Mobility & Healthcare Products, Others
Ⅱ-3. Financial Forecast FY2025 by Segment ③Mobility ＆ Healthcare Products, Others Automotive lenses: Despite the downturn in the Chinese market, revenue is projected to continue increasing, with the business targeting ¥10 billion in annual sales. Healthcare components: Sales are projected to sig
Slide 20: III. Medium-term management plan Value Creation 26 ver.2.0
III. Medium-term management plan “Value Creation 26 ver.2.0” (announced in Feb. 2025)
Slide 21: Positioning of the Value Creation26 ver.2.0
III.-1. Positioning of the “Value Creation26 ver.2.0” Launch of the new medium-term plan "Value Creation26” Medium-term plan Vision23 ”Value Creation26 ver.2.0” 2018～2020 2021～2023 長期ビジョン Long-term vision 2024～2026 With the strong progress made since the first year of the new medium-term plan, Aimin
Slide 22: Outline of Value Creation26 ver.2.0: Basic Framework
III.-2. Outline of the ”Value Creation26 ver.2.0“ ①Basic Framework “Value Creation26 ver.2.0” We will overcome challenges, achieve high-quality leaps, and maximize corporate value through new endeavors. Reaching long-term vision "Net sales 100-billion-yen Company" in the next Medium-Term Plan Busine
Slide 23: Management Numerical Targets
III.-2. Outline of the ”Value Creation26 ver.2.0“ Management Numerical Targets Achieve growth in sales and profit while maintaining high profitability and 『Value Creation26 ver.2.0』 efficiency. FY2024 Results: Significant achievement of all targets in the first year of the • Record high Net sales
Slide 24: Status of Management Numerical Targets by Segment
III-2. ③Status of Management Numerical Targets by Segment Actual Target Target ver.2.0 Net Sales (Billions of JPY) Operating Income ratio 2023 2026 2026 More than 29% Net Sales ¥53.0B. ¥56.0B. ¥68.0B. More than 27% 26.4% Own-brand ¥32.8B. ¥37.0B. ¥39.0B. OEM ¥20.2B. ¥19.0B. ¥29.0B. 53.0 68.0 56.0 Op
Slide 25: Financial Strategy: Basic policy
III.-3. Financial Strategy of the “Value Creation 26 ver.2.0” ①Basic policy Building effective management while ensuring stability Appropriate Capital Structure Enhance Shareholder Return Sustain an ROE of appx.16% Stable shareholder returns & flexible repurchase of treasury stock Secure capital at
Slide 26: Financial Strategy: Cash Allocation
III.-3. Financial Strategy of the “Value Creation 26 ver.2.0” ③Cash Allocation Compared to term of the previous medium-term management plan, the amount of investment has set to be more than doubled, and the return rate has also set to be doubled. Billons of JPY Yr. 2024～2026 Yr. 2024～2026 Cumulated
Slide 27: Financial Strategy: Technology Strategy ver.2.0
III.-3. Financial Strategy of the “Value Creation 26 ver2.0” Strategy Investment – Technology Strategy ver.2.0 Making technologies that are next-generation solutions Tamron's technologies are evolving from imaging to measuring Agricultural/Food products sector Logistics sector Observation / measurem
Slide 28: Management with a focus on capital costs and stock prices
III.-4. Management with a focus on capital costs and stock prices ①Status of action By promoting management with awareness of capital costs, aimed to improve and maximize corporate value with achieving ROE over 16%, which is double of the cost of shareholder’s equity（approx.7%） 2020 2023 Vison of Va
Slide 29: ESG/Sustainability Strategy of Value Creation26 ver.2.0
III.-5. ESG/Sustainability Strategy of the “Value Creation26 ver.2.0” E nvironment S ocial G overnance Reduce environmental burden through Promote human capital management, Reform the Corporate Governance carbon neutral, in-house products designing and services DE&I, and job satisfaction Structure P
Slide 30: IV. Reference Data
IV. Reference Data
Slide 31: Financial Summary
IV-１. Financial Summary Assets Liabilities・Net Assets （Millions of JPY） （Millions of JPY） 120,000 120,000 102,184 102,184 97,434 96,535 97,434 96,535 100,000 100,000 16,607 16,800 14,309 3,243 80,000 38,384 80,000 2,828 3,419 36,078 33,155 60,000 60,000 16,331 16,908 19,405 40,000 77,805 82,333 78,8
Slide 32: Capital Investment, Depreciation, and R&D Expenses
IV-2. Capital Investment, Depreciation, and R&D Expenses Capital Investment R&D Expenses （Millions of JPY） （Millions of JPY） 10,000 10% 8,000 8.7% 8.6% 8.6% 5,956 8.5% 6,000 5,299 5,300 8.0% 8,000 8% 4,000 3,218 1,890 2,000 0 6,000 6% 2021 2022 2023 2024 2025(FC) Depreciation 4,000 4% 7,700 7,092 （M
Slide 33: Cash Flow
IV-３. Cash Flow （Millions of JPY） 20,000 17,644 15,000 10,910 9,657 10,000 7,103 7,644 4,519 5,000 0 (2,553) (3,124) (5,000) (4,822) (6,734) (6,022) (10,000) (8,989) (15,000) 24/6 24/12 25/6 Operating CF Investing CF Free CF Financing CF 24/6 24/12 25/6 Operating Activities CF 9,657 17,644 7,644 Inv
Slide 34: Cash Dividends Outlook & Key Performance Indicators
IV-４. Cash Dividends Outlook & Key Performance Indicators Cash Dividends Key Performance Indicators （JPY） Repurchase of treasury stock (4.0Bill.) （JPY） 200 25% 50 Repurchase of 80% treasury stock 45 (2.0Bill.) 68.0% 20.4% 40 19.8% 54.0% 60% 20% 35 150 17.2% 30 40.3% 16.1% 19.0% 39.8% 18.0% 25 40% 15
Slide 35: Impact of Foreign Exchange Rate Fluctuations
IV-５. Impact of Foreign Exchange Rate Fluctuations Foreign exchange impact on 1st half of FY25 Impact (Millions of JPY) FY24 1H FY25 1H Net Sales Operating Income USD/JPY 152.37 148.43 (360) (130) EUR/JPY 164.75 162.31 (50) (40) Others - - (240) (180) Total - - (650) (350) （Foreign exchange impact o
Slide 36: Disclaimer
Disclaimer 1. The purpose of this material is to provide information on the actual results for 1st Half FY2025 and future business strategies. It is not an offer or a solicitation of an offer to buy or sell securities. 2. The information provided in this material is based on the data that is obtaina