Toyo Tire Corporation TSE:5105

Toyo Tire : Financial Results for 1st Quarter of FY2026

Published May 15, 2026 at 2:15 a.m. UTC

Source: MarketScreener

Financial Results for 1st Quarter of FY2026

May 15, 2026

Financial Results for 1st Quarter of FY2026
Financial Forecast for FY2026
Topics

Highlights of Financial Results

Both net sales and operating income decreased year-on-year as unit sales declined.
Ordinary income increased from the corresponding period last year, when foreign exchange losses were recorded.
The impacts of the Middle East situation is expected to be 16.6 billion yen (in operating income) ⇒ To be absorbed by multiple measures
Financial forecast for FY2026 remains unchanged from the February announcement.
- Operating income: 94.0 billion yen
- Annual dividend per share: 135 yen

Financial Results for 1st Quarter of FY2026 (Jan-Mar)

（Unit: Millions of Yen）	2026 1Q Results	2025 1Q Results	Change	Change (%)
Net Sales	130,951	135,510	(4,558)	(3.4％)
Operating Income Margin	20,610 15.7％	22,419 16.5％	(1,809) -	(8.1％) -
Ordinary Income	21,352	18,256	+3,096	+17.0％
Profit Attributable to Owners of Parent*	15,476	13,505	+1,970	+14.6％

*Profit attributable to parent company shareholders

1 USD	155 Yen	154 Yen ＋1 Yen
1 EUR	184 Yen	160 Yen +24 Yen

Analysis of Operating Income for 1st Quarter of FY2026（Jan-Mar）

（vs 2025）

（Unit: Billions of Yen） Tires (1.9)

Others

＋0.1

22.4

(0.0)

(0.4) (0.9)

＋3.9

＋0.1

(0.3)

(4.2)

＋0.1

20.6

(0.0)

2025	Sales	Production	SGA	Raw	Forex	Freight	Tariff	Automotive	Other	2026
1Q	Factors	Cost	Expenses	Materials	Rate	Cost	Impact	Parts		1Q

2024

Sales Factors

Production Cost

SGA

Expenses

Raw Materials

Forex Rate

Freight Cost

Tariff Impact

Automotive Parts

Other

2025

17.7

+7.0

+1.5

+0.4

+3.5

+1.3

(0.6)

(5.0)

(0.4)

+0.0

25.3

Business Segments for 1st Quarter of FY2026（Jan-Mar)

（Unit: Millions of Yen）

Net Sales

2026

1Q Results

2025

1Q Results

Change Change (%)

Tires

Automotive Parts Other Adjustments Total

119,329

11,622

130,951

123,764 (4,434) (3.6%)

11,746 (124) (1.1%)

－－ー

135,510 (4,558) (3.4%)

*Net sales include intersegment internal net sales or transfers

Operating Income

2026

1Q Results

2025

1Q Results

Change Change (%)

Tires

Margin

Automotive Parts

Margin Other Adjustments Total

20,042

16.8％

567

4.9％

20,610

21,901 (1,859) (8.5%)

17.7％－－

509 +57 +11.3%

4.3％－ー

8 (7) (92.9%)

－－ー

22,419 (1,809) (8.1%)

*Segment profit adjustment amounts include intersegment eliminations

Geographic Area Segments for 1st Quarter of FY2026（Jan-Mar)

（Unit: Millions of Yen）

Net Sales

2026

1Q Results

2025

1Q Results

Change Change (%)

Japan N.America

Other Eliminations or Adjustments

Total

23,826

92,381

14,744

ー

130,951

26,978 (3,152) (11.7%)

91,545 +835 +0.9%

16,986 (2,242) (13.2%)

ーーー

135,510 (4,558) (3.4%)

*Net sales do not include intersegment internal net sales or transfers

Operating Income

2026

1Q Results

2025

1Q Results

Change Change (%)

Japan N.America

Other Eliminations or Adjustments

Total

15,474

2,318

3,905

(1,088)

20,610

13,981 +1,493 +10.7％

5,361 (3,042) (56.8%)

4,129 (224) (5.4%)

(1,052) (35) ー

22,419 (1,809) (8.1%)

Financial Results for 1st Quarter of FY2026
Financial Forecast for FY2026
Topics

Financial Forecast for 2nd Quarter of FY2026 (Jan-Jun)

There is no change from February forecast

（Unit: Millions of Yen）	2026 1H Forecast	2025 1H Results	Change	Change (%)
Net Sales	296,000	283,410	＋12,589	+4.4％
Operating Income	42,000	48,176	(6,176)	(12.8％)
Margin	14.2%	17.0％	ー	-
Ordinary Income	32,000	43,730	(11,730)	(26.8％)
Profit Attributable to Owners of Parent*	20,000	33,330	(13,330)	(40.0％)

*Profit attributable to parent company shareholders

Interim Dividends

per Share

65 Yen

60 Yen ＋5 Yen

1 USD	145 Yen	149 Yen (4 Yen)
1 EUR	170 Yen	162 Yen +8 Yen

Financial Forecast for FY2026（Jan-Dec）

There is no change from February forecast

Net Sales 620,000	594,923	＋25,076	＋4.2%	324,000	+12,487
Operating 94,000	97,350	(3,350)	(3.4％)	52,000	+2,825
Margin 15.2%	16.4%	ー	ー	16.0%	-
Ordinary Income 82,000	101,328	(19,328)	(19.1％)	50,000	(7,597)
Profit Attributable to Owners of 54,000	63,614	(9,614)	(15.1％)	34,000	+3,716

（Unit: Millions of Yen）

2026

orecast

2025

Results

Change

Change (%)

Income

Parent*

2026 2H

Forecast

Change (YoY)

*Profit attributable to parent company shareholders

Annual Dividends per Share

130 Yen

＋5 Yen

ー

135 Yen

1 USD	145 Yen	150 Yen (5 Yen)
1 EUR	170 Yen	169 Yen +1 Yen

Forex Rate Sensitivity 2026

USD	0.8 Billion Yen/Year
EUR	0.1 Billion Yen/Year

Impact of 1 yen fluctuation on operating income

Changes in Tire Production (New Rubber Volume)

Bar graph values show tire production volume composition ratio by region

（Unit: 1,000 Tons）

48%

52%

49%

50%

49%

50%

46%

48%

42%

31%

28%

30%

27%

29%

30%

32%

31%

35%

Japan

N.America

Asia

16%

16% 4%

16%

15%

13%

15%

14%

16%

2024

2025

2026

Europe

2025
1Q	2Q	3Q	4Q	Total
28.8	29.8	28.1	27.8	114.6
17.1	17.8	19.2	17.9	72.0
9.0	7.8	9.0	8.2	34.0
4.2	4.3	4.2	4.2	16.8
59.1	59.7	60.5	58.1	237.4
98％	107%	103%	103%	103%

	2026
Unit:1000 Ton	1Q
Japan	23.1
N.America	18.8
Asia	8.6
Europe	3.9
Total	54.4
YoY	92％

2026
Forecast
120.9
73.6
35.9
17.9
248.2
105%

Change in Tire Sales Quantity by Region（YoY）

Year-on-Year when the same period of the previous year = 100

2025
1Q	2Q	3Q	4Q	Total
104	98	103	104	102
97	107	109	91	100
99	98	92	98	97
105	100	100	108	103
67	99	40	62	67
103	103	94	94	98
99	99	96	98	98

		2026
		1Q
OE Total		117
RE Japan		67
RE Overseas		85
	N.America	94
	Europe	48
	SE Asia	90
Total		89

Reference：Ratio in Tire Unit Sales Quantity by Region（YoY)

（2025 Result）

（%）

2026
Forecast
107
110
104
104
92
115
106

Europe 6%

Asia 6%

Japan 16%

OE Total 18%

N.America 47%

Price Changes in Major Raw Materials

Change in Dubai Crude Oil and Natural Rubber TSR #20 Prices (SICOM)

（USD/bbl）

150

Dubai Crude Oil (left) Natural Rubber TSR#20 (right) （USC/kg）

300

100 200

50 100

0													0
2020	2020	2021	2021	2022	2022	2023	2023	2024	2024	2025	2025	2026
Jan	Jul	Jan	Jul	Jan	Jul	Jan	Jul	Jan	Jul	Jan	Jul	Jan

Price Changes & Impact of Raw Materials (Operating Income Basis) (Unit: Billions of Yen)

2025
1Q	2Q	3Q	4Q	Total
(2.8)	(2.6)	(0.3)	+1.1	(4.6)
(0.3)	+0.4	+2.2	+2.2	+4.5
+0.3	(0.1)	(0.3)	+0.2	+0.1
(2.8)	(2.3)	+1.7	+3.5	+0.0

2026
	1Q
Natural Rubber	+1.4
Petroleum Products	+2.1
Other Raw Materials	+0.4
Total	+3.9

Changes in Capital Investment and Depreciation

Capital Investment and Depreciation Note) Figures for capital expenditure do not include right-of-use assets, whereas figures for depreciation do.

（Unit: Billions of Yen）

Left：Capital Investment Right：Depreciation

Tire Other

49.0

34.1

30.8

35.1

35.6

38.6

30.0

25.6

9.4

9.3

1.2

8.1

16.6

23.9

24.5

9.0

6.1

9.6

40.8

8.2

2023 2024 2025 2026 2026 Plan

Changes in Interest-Bearing Debt Balance and Capital Ratio

Net Assetes

（Billions 500.0

Interest-Bearing Debt Balance

Capital Ratio

61.2%

53.5%

of yen）

472.6

532.8

522.7

72.5%

102.7

135.4

320.9

395.2

69.4%

92.3

83.7

108.4

65.4%

50.0%

0.0

2022YE 2023YE 2024YE 2025YE 2026

End of 1Q

0.0%

2022YE

2023YE

2024YE

2025YE

2026

End of 1Q

D/E Ratio

0.42

0.26

0.23

0.18

0.16

Net D/E Ratio

0.29

0.13

0.05

△0.05

△0.04

1．Financial Results for 1st Quarter of FY2026 2．Financial Forecast for FY2026

3. Topics

Impacts of the Middle East Situation

Estimated at 16.6 billion yen*. Proactively addressing the situation to achieve performance targets

* In FY2026 operating income

Raw materials

[Proposed measures]

Selling prices

Reflecting in prices

Applying markups in each market

Procurement

Price negotiation

Ongoing with shipping companies, etc.

Allocation

Optimizing allocation

Expanding local production for local consumption

Marine transport

Asia ⇒ NA, Europe, etc.: Fuel surcharge applied
Fares rising due to detours around the ME and

use of alternative transport

Trimming costs

Drawing up and promoting concrete measures

Expenses

Improving sales mix

Promoting production and sales of WLTR tires, which are in strong demand

Sales

mix

Energy cost

The information presented above is based on data available as of the

date hereof. The scope of the impacts and related measures is subject to material change depending on future developments.

16/18

(13.0)

billion yen

Petrochemicals: Impact of rising crude oil prices to spread in the second half
Natural rubber: Higher production costs and ripple effects from soaring synthetic rubber prices
Overall: Rising logistics costs passed on in pricing

Crude oil market and our performance (illustrative)

Projected impact (16.6) billion yen

U YoY

phase

pward

3-6 months

Crude oil market

Impact on performance

YoY

Decline

(2.2)

billion yen

(1.4)

billion yen

Rising mostly at Japanese plants

News

Construction of the Serbian R&D Center has started: Consolidating production, sales, and R&D functions

Groundbreaking ceremony for the Center

In Mar. 2026, the groundbreaking ceremony for the new R&D Center was held at the Serbia Plant.
The ceremony was attended by 100 representatives from the Company and the Republic of Serbia.

Serbian R&D Center

To begin operation in Jan. 2027
Core hub for advanced processing technology
Responsible for developing new compounds/materials, designing materials/compounds, and surveying/evaluating raw materials
Collaboration among
Serbian R&D Center(designer's rendition)
Serbia Plant
Delivers an end-to-end process through to driving tests on test courses in collaboration with the
production, sales, and
R&D functions
European Sales Companies
- Consolidating European sales bases at the Serbia Plant (2025 and beyond)
  R&D Center
- Increases production of PROXES for the European market
  From left Atsushi Saito, Chargé d'Affaires ad interim of Japan to Serbia; Satoru Moriya, Director of TOYO TIRE; President Aleksandar Vučić of the Republic of Serbia
  
  A bird's-eye view of the Serbia Plant
  Strengthening the business foundation in Europe to establish a system of local production for local consumption
  17/18
  
  Product Information
  New M177+ for long-distance truck and bus
  For
  NA
  OPEN COUNTRY A/T Ⅲ
  transportation
  (Launched in Dec. '25)
  Adopted for SUBARU CROSSTREK
  special edition models
  - The new tread pattern design enhances
    uneven wear resistance to extend tire life.
  - The original compound and new tread pattern design improve service life and fuel efficiency.
  - e-balance*1 increases recyclability via

retreading and casing durability.

New M630 all-weather tire for large four-

For

Japan

OPEN COUNTRY A/T III adopted for special edition models of the SUBARU CROSSTREK crossover SUV
[Special edition models]
・Touring WILDERNESS Edition
・Limited WILDERNESS Edition
axle low-deck trucks*2
(Launched in Jan. '26)
- Growing shortages of drivers and mechanics due to working-hour regulations ⇒ Making it imperative to improve efficiency in maintenance work
- Reduces shoulder wear by 61%*3 (compared with our conventional products), mitigating the front-axle uneven wear progression characteristic of the vehicle Delivers superior uneven wear resistance

* Reducing maintenance and extending the

replacement cycle

*1 Toyo Tire's proprietary technology for developing truck and bus tires that delivers a balanced combination of economic efficiency, durability, and environmental performance through stabilized tire geometry, high-rigidity bead design, and optimization simulation

*2 Large cargo trucks fitted with 19.5-inch tires, with two steering axles at the front and two dual-wheel axles at the rear

*3 Compared with the M646 all-weather tire for trucks and buses 18/18

Entering the SP9 Class

Ni?rburgring Endurance Race