P.66 Automotive Group

66 03. Performance & Data

Automotive Group

Lead the transformation of mobility and create new values.

Main relevant material issues Takao Kusaka Group CEO, Automotive Group

▍Quantitative information

• 800　600　400　200　0
• 15　10　5　0

FY2025 Investment｜Approx. ¥17.0 billion

Main investment areas

• Automotive parts manufacturing business (capital investment)

Major asset replacement

• Divestment of Midas (U.S. tire retail business)
• Divestment of SML Isuzu

▍External Environment: Business Environment

Opportunities

• Growing demand for automobiles in emerging regions, such as ASEAN and the Middle East
• New business opportunities stemming from changes in market and customer needs due to proliferation of electrification, car sharing, autonomous driving, and environmentally friendly vehicles, as well as advancement of reuse and recycling
• Changing competitive landscape and accelerated restructuring in each sector of the automotive industry due to technological innovation

Risks

• Negative changes in business environment and supply chain disruptions due to geopolitical risks
• Slower economic growth and rising business costs due to inflation and high interest rates

▍Internal Environment: Key Strengths

• Global business portfolio covering a wide range of the automotive sector̶including manufacturing,

sales, leasing, and services̶built on a comprehensive view of the automotive value chain and with an eye toward the next generation of mobility

• Networks and partnerships with major OEMs and other key players in the industry
• Operational experiences and talent pool in various countries around the world, including high-volatility regions
• Frontline business management expertise and execution capabilities
• Strong business foundation in the mobility sector and the ability to create value by leveraging that foundation

▍Business Strategy

• Promote growth by expanding the product lineup and sales and service network in the automotive sales and marketing business
• Expand services and capture new business opportunities in the mobility services sector centered on the automotive leasing business
• Enhance the value of existing businesses and increase the profit scale of new businesses

▍Medium-Term Management Plan 2026

Initiatives in final year of medium-term management plan

• Reinforce the foundation of our automotive sales and marketing business through sales network expansion
• Strengthen domestic and overseas automotive leasing operations
• Expand the customer base of our engineering business by focusing on new customer acquisition

Initiatives for next medium-term management plan

• Expand the sales network and enhance supply chain management through digital transformation (DX) of the automotive sales and marketing business
• Expand and strengthen overseas operations and related areas in the automotive leasing business
• Expand the customer base and transaction volume in the engineering business
• Accelerate collaboration with SCSK

▍Business Development

• Engineering services
• Automotive sales and marketing
• Manufacture of automobile parts
• Leasing, rental, subscriptions
• Tire sales
• Car park operations
• Automotive finance
• Other services
• ※invite to new business mobility.

Aimo Park Sumitomo Mitsui Auto Service SC Automotive Engineering Automotive sales and marketing business KIRIU Group TBC Corporation

▍Key Market Trends

We aim to capture market growth centered on our core businesses and expand our profit scale.

Growth strategy for the mobility services business

Expand market and customer base Expand overseas business Mobility service business KINTO SMAS MOBILOTS Enhance functions and services One-stop EV-related services Expand product portfolio Car rental, car sharing

Automotive leasing market (Worldwide) (Trillions of USD)

Compound annual growth rate (CAGR) Approx. 7%

• 2025 0.65–0.7・・・・・・・・ 2030・・・・・・・・ 2035 1.4 (Year)

Source: Our estimates based on market research