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The Yokohama Rubber Company (5101) investor relations material
The Yokohama Rubber Company Investor presentation summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Market environment and challenges
OHT segment market recovery remains soft, with only partial rebound in agricultural original equipment and persistent overall weakness.
Prices for major agricultural commodities are weak, causing farmers to delay investments.
Geopolitical and tariff uncertainties, along with high US interest rates and weak consumer sentiment, continue to impact the operating environment.
Strategic initiatives and growth drivers
Over 600 new SKUs released in 2025, with similar plans for 2026, focusing on product and technology innovation.
Expansion into adjacent niches like rubber tracks and leveraging multi-brand strategies across premium and value segments.
Double-digit aftermarket growth for Mitas and addition of experienced sales leaders in the US and Europe.
Rationalization of underperforming assets and enhancement of operational flexibility.
Targeting ~$60M in cost and efficiency synergies in 2026 through scale and best practice sharing.
Financial performance and outlook
OHT achieved 14% profit growth in 2025, outperforming a declining market despite M&A headwinds.
Initiatives are expected to contribute JPY 5.4B in 2026, with business profit projected to rise 31% year-over-year.
Business profit is expected to grow at a ~20% CAGR, reaching approximately JPY 70B by 2029, assuming market normalization.
Growth is driven by market share gains, cost synergies, and structural reforms.
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