The Financial Results for the
Fiscal Year Ended July 31, 2022
SILVER LIFE Co., Ltd.

-2-

FY2022 Financial Results（Millions of yen）
FY2022
YoY
Changes

FY2021
Composition

Ratio

Comparedwith
Forecast

YoY
ChangesComposition

Ratio

FY2022
Forecast

Sales

11,215

11.6% 100.0%-4.3%

10,05013.8% 100.0%

11,720Gross
Profit

3,088

13.5%

27.5%

3.7%

2,720

4.2%

27.1%

2,980

Operating
Profit561 -33.1%

5.0%

2.1%

839

-10.1%

8.4%

550

Ordinary
Profit709 -27.1%

6.3%

4.3%

973

-10.4%

9.7%

680

Profit401 -26.4%

3.6%

-6.5%

546

-19.5%

5.4%

430

Losses and percentage change in net sales, operating income, and ordinary income are for reference purposes only.
Actual results for the fiscal year ended July 31, 2022 are after the application of the revenue recognition accounting
standard, and the aforementioned three items have decreased by approximately 8 million each.
-3-

Sales per Category: Franchise Chains

Sales 8,080 million yen (YoY +11.1 %)FranchisechainsStores 990 (compared to the previous year-end ＋56）
Existing stores sales YoY (Open 13 months past)
Magokoro Bento +14.0%、Haishoku no Fureai +30.2%
Growth continues on the back of moderate store growth and sales per store（ Millions of yen ）
8,000
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0

2018/72017/7期

2019/7
2018/7期

2020/7
2019/7期

2021/72020/7期

2022/72021/7期-4-Sales per Category: Facilities for the Elderly, etc.

Sales 1,307 million yen （YoY +6.5 %）Facilities for theelderly

Cilled：923 million yen.YoY -9.0%(71% of sales to Facilities for the elderly)
Stabilized the Tochigi Factory and introduced the "Fit Plan" to enable
individual meals from July 2022. Return service levels to previous levels
Frozen： 384 million yen. YoY+80.3%(29% of sales to Facilities for the elderly)
Sales activities are in full swing as the impact of COVID-19 fades, and"Otegaru Chef," a low-priced brand, is launchedWith the operating of the Kazo Distribution Center, the daily shipment limit
has been eliminated, and full acceleration is now underway（ Millions of yen ）
1,400

1,200

1,000

800

600

400

200

0
2017/7期
2018/7

2018/7期
2019/7

2019/7期
2020/72020/7期
2021/72021/7期
2022/7-5-

Sales per Category: Direct sales / Others

Sales 1,827 million yen （YoY +18.1%）
Direct Sales/
OthersDirect sales： 1,257 million yen. YoY+39.7%
OEM： 564 million yen. YoY-12.7%. Continued decline in contract volume fromexisting large customers. The pace of decline gradually slowed due to thedevelopment of new customers
Warehousing operations: 5 million yen.began operations in July 2022.small sales
but almost entirely profitable（ Millions of yen ）
1,800
1,600
1,400
1,200
1,000
800
600
400
200
0

2018/72017/7期

2019/7

2018/7期

2020/7
2019/7期

2021/72020/7期

2022/72021/7期-6-Number of Stores
6 "Magokoro Bento" stores and 67 " Takushoku Life“ stores increased. 17 " Haishoku no
Fureai" stores decreased(compared to the previous year-end)
990 stores in total (as of the end of July. 2022)（number of stores）
1000
900
800

700
600

Expect continued long-term growth with moderate store growth x increase in sales
per store
Reasons for the expression "moderate store growth in the future→The number of stores has approximately doubled over the past few years.
→The withdrawal rate remains the same, and the number of store withdrawals per
year has also approximately doubled→From 2020 to 2021, the temporary sharp increase in store openings by COVID-19
covered the withdrawals.
→In 2022, the number of new store openings calmed down and the net increase instore openings also moderated (this is seen as the overall trend in the industry, as
the number of stores for other chains is also similar).

67

381

365

553

558

2021/72022/7

338
299
245

500
196
400

14

138

85

300
200
100

173

332

363

352

356

367

381

2013/7

2014/7

2015/7

2016/72017/7

2018/7

430

496

240

88
0

1
2008/715
2009/7

2010/7

2011/7

2012/7

Takushoku Life

Haishoku no Fureai

2019/72020/7

Magokoro Bento* 1. "Rakuraku Bento" is not included in the above number of stores since it will only be a store opened alongside a member store.
2. Since store sales start from zero and gradually increase after the opening, contribution to sales will be from the next year after
the store opens.

-7-

Analysis of Sales Figures（ Millions of yen ）

275
759

51

11,21579

Direct sales/ Others
FC Loyalties, Facilities for the
Elderlyetc.

10,050FC Food Sales

1,165 million yen increase
FY2021

FY2022-8-

Analysis of Ordinary Profit Figures
51（ Millions of yen ）

-168

316

Please refer to P13 “Increase in Advertising Expenses”
FC
Loyalties,
etc.

-117

Advertising
Expenses973

Increase in SG&A expenses due to operation of
Kazo Distribution Center
Labor, depreciation, supplies, repairs, utilities, etc.
Approx. 310 million yen newly incurred-97

Labor Costs
Food Sales
Profit-48-40

Freight Costs
Depreciation

-36
-31

Sales
Promotion Supplies
expenses Expenses Repair
Utilities
Expensescharge

-26

-65
709
Others

264 million yen decrease
FY2021

FY2022-9-

Analysis of Changes in Gross Profit
1,165（ Millions of yen ）101 -263
Merchandise
Inventory-255

Material cost

-213
Product
purchase-93

Depreciation
Labor costs

2,720
Sales

-57
Utilities
charge

-32

16

3,088

Tax and Others
public dues

Transfer of manufacturing of some chilled products that had been
outsourced to an in-house Factory from March 2022
→Material, utilities, and labor costs are expected to increase→Expected to decrease in merchandise procurement costs inconjunction with an increase in the ratio of manufacturing at thecompany's own Factories

368 million yen increase
FY2021

FY2022- 10 -

Factor for operating profit in the 4Q only
Disposal of approximately 76 million yen worth of frozen inventory in one
lump sum, which was a negative factor for operating profit in the 4Q only
In March 2022, the company set up its own warehouse, andfrom March to June, gathered inventory from several othercompanies' warehouses in one location and established its
own storage system, but found it to be inadequate.

Inventory Trends

Some inventory was out of date.
Some of the inventory had been removed from the inventory
to be shipped and stored in a dead stock.
The total amount of the inventory up to now was 76 million
yen.
Periodic reports of expiration dates had been received fromthe storage facility.
The inventory was left unattended amongst a lot of
information.
There was no alert system for inventory due dates.
The exact amount of inventory was not known, and only thatgroup of products was being manufactured unnecessarily.

FY20214Q

FY2022 FY2022 FY2022
1Q
2Q
3Q

FY20224Q

After discovering the problem, the company disposed of 76
million yen worth of dead items in one lump sum.
From now on, the company will manage the items in-houseto create a management system as an ordinary company andprevent recurrence of such a situation.
- 11 -

Impairments incurred in 4Q
Impairment of approximately 95 million yen on the former Akaiwa Distribution Center
profit before income taxes was negatively impacted, which was not anticipated in the budget.

The former Akaiwa Distribution Center will be used as a vegetable cutting center. (If conditions
are favorable, we will consider selling the center to another company or leasing it at the sametime.)(If conditions are favorable, we will consider selling or leasing it to another company at thesame time. The property was subject to impairment because it could not be realized and isvacant at the present time.

Currently the factory purchases cut vegetables(There is no place for equipment that can wash
muddy vegetables or a cutting machine.)
In-house production here is expected to lead to
long-term cost reductions, even taking into
account capital investment and labor costs.

- 12 -

Increase in Advertising Expenses
Significant increase from the same period last year 277 million yen →Direct sales advertising expenses +132 million yen
445 million yen
Previous period :Adjustment of advertising input so as not toexceed manufacturing capacity
Current period :August 2022: Suspended due to COVID-19
outbreak at the factory
Massive volume of ads to be dropped from
September

Direct sales
advertisingexpenses

Steady acquisition of regular customers (end of July 2021→endof July 2022)
Number of customers under regular course delivery 4,034 →7,575
Number of freezers on rent out of which 1,338 → 3,235

Facilities for theelderly
advertisingexpensesPlan to hold back a little in 1-2Q and increase from 3Q onward
New frozen bento meals brand, which has been delayed, will be
released from 3Q.

Franchise chainsadvertisingexpenses

FY2021

FY2022

Franchise chains advertising expenses +35 million
yen
Increased the amount of advertisements for food service
consumers on a trial basis in the current fiscal year→Stopped
due to poor cost-effectiveness.
Plans to try new initiatives in the future, such as MEO measuresusing Google Business Profiles, while monitoring costeffectiveness.
- 13 -

FY2023 Forecast（Millions of yen）

FY2023 Forecast

YoY
Changes

FY2022 Results

YoY
Changes

Sales

12,70013.2%

11,215

11.6%

Gross
Profit

4,270

38.2%

3,088

13.5%

Operating
Profit

700

24.7%

561

-33.1%

Ordinary
Profit

860

21.2%

709

-27.1%

Profit

550

36.9%

401

-26.4%

・Sales forecast is stated on the Sales Forecast per Sales Category page.
・Gross profit is expected to increase significantly due to the transfer of chilled products to the company's own factory.
However, freight expenses, which were previously borne by the outsourced manufacturing factory, are now includedin the company's SG&A expenses.
・S.G.&A. expenses include an increase in advertising expenses due to aggressive sales promotion measures, anddepreciation of the Kazo Distribution Center.
- 14 -

FY2023 Sales Forecast per Sales Category

FranchisechainsFacilities forthe elderly

Direct Sales /Others8,950 million yen （ YoY +10.8%）
Estimated number of stores at the end of the fiscal year: around 1,040 stores(around 50 stores compared to the previous fiscal year)
Expect continued long-term growth with moderate store growth x sales per
store

1,470 million yen （ YoY +12.5%）
Introducing new services in different price ranges“Fit Plan" for chilled products and "Otegaru Chef" for frozen products
Establish a sales structure with multiple low to mid-priced brands to ensurethat customers are not left out

2,280 million yen （ YoY +24.7%）
Direct sales business will promote new products and effective sales promotion
measures
Continue aggressive marketing in OEM and warehousing operations
Establish competitive advantage through total service of "manufacturing + storage +picking" by operating Kazo Distribution Center- 15 -

Review of Business Performance（FY2022）
Item

Details

Sales

Failed to meet plan

・Franchisees (increase in stores and sales per store) are both below forecast→Along with growth through own resources, we will consider M&A in the
future・Delayed start of New Brand of Frozen bent meals”Life Meal”,”Chiisana
Shiawase” →Sales are scheduled to begin in March 2023

Cost

Reduced than Forecasts
・Continued upward trend in raw material prices→Minor impact due to menu replacements→Plans to switch from expensive foreign products to cheap domestic products
due to the depreciation of the yen
・Transferred a portion of chilled meals that had been outsourced to an
external contractor to the company‘s own Factory → Profitability improved
despite increases in material costs, manufacturing labor costs, utilities costs

SG＆A
ExpensesSignificantly increase・Increase in advertising expenses
・Temporary expenses were increased with the start of operations at the Kazo
Distribution Center・310 million yen in total for labor costs, depreciation, repairs, etc.

Other・Impairment loss on the former distribution center in Akaiwa, 95 million yen→ Plans to use as vegetable cutting center- 16 -

Review of FY 2022 Financial Results（ Compared to mid-term management plan ）2023/7 → Sales plan revised downward due to delay in launching new frozen
bent meals→Operating profit in line with plan due to improvement in factory productivity
From July 2024 onward, both sales and opera
ting profit will remain unchanged from the medium-term management plan
Operating Profit
Billions of yen
Sales
Billions of yen
16.8

17,000

2,000

17

15.4
13.4

14,000
11.7

1,500
12

12.7

11.2

1,000

11,000

5 5
8,000

500

5,000

0

2021/72022/72023/72024/72025/7

Plan results

Plan results

Revised
Plan

Plan

Plan

7

7

2021/72022/72023/72024/72025/7

Plan results

Plan results

Revised
Plan

Plan

Plan

- 17 -

Sales measures to achieve the mid-term plan
The major investment phase has ended
we will take sales by implementing a variety of measures
Franchise Chains
Baby boomer generation will
become late-stage elderly
starting in 2025.
→ Continue to grow gently
as the number of late-stageelderly increases

Facilities for the Elderly●Cilledintroduced the "Fit Plan"
Resume fractional packs.
Restored to previous level●Frozen
Cheap frozen food brandStarted“Kodawari Chef
“also continue

Direct Sales(1) Efforts to strengthen advertising professionals→ Introduce advertising analysis
tools and Recruitment of advertising(2) Launch of new brands for the young and women→ New brand of frozen bento meals in “Life Meals”
Meals” and ”Chiisana Shiawase” Started March 2023

OEM・Warehousing●OEM
Continue to acquire new businesscustomer through aggressive sales
activities.
●Warehousing operations
Sales activities began in July 2022.
expected to contribute to profit due
to no additional costs and the
profit going directly to the company.

- 18 -

Shareholder Return【dividend】
Beginning with the FY2023, we will begin paying dividends
For the time being, we plan to pay dividends with a payout ratio of 30%
All planned major capital investments have been completed, and we aim
to expand performance, increase profits, and steadily increase dividends【Shareholder benefits】
Shareholder benefits were initiated in the
FY2023（ Distribution of two 5,000 yen
gift certificates for use on the company's
website to shareholders holding 200 or
more shares ）We hope that our shareholders will try
our meal, deepen their understanding of
our company, and become even morefans of our meals- 19 -

ESG Initiatives
Environmental
Initiatives
・Installed solar power generation
Tochigi Factory started operation in May. May-July2022. Provide an average of 10% of the factory's
total electricity consumption.
Annual reduction forecast is -95 kW in electricity andreduction forecast in electricity cost: -4 million yen.
Kazo Distribution Center will also
begin operation in August. The
same effect is expected.

GovernanceInitiatives
・Establishment of Nominating and Compensation
Committee.
Establishment of a Nomination and Compensation
Committee with a majority of independent outside
directors, and introduction of decisions by the committee
beginning with the election of directors and proposed.
executive compensation for the 2023/7.

Social Initiatives
・Calculation of CO2 emissions
CO2 emissions are currently being calculated.
Scope 1 and 2 will be calculated at the end of 2022.
Visualization of numerical values and efforts to
reduce.
Scope 3 is also expected to be calculated by the endof this fiscal year (July 2023).
In addition, we are convinced that this business willcontribute directly to CO2 reduction by increasing
sales, since it will reduce CO2 emissions frominefficient daily shopping and cooking in eachhousehold.

・Choice of work style
Increase in combined remote work, full remote work.
Able to work while raising children.
・Increased use of maternity and paternity leaveTen years have passed since the start of new graduate
recruitment, and many employees have reached theappropriate age for acquisition.
・Number of maternity and paternity leave taken
2021/7 0 2022/7 5・ Increase in the number of female managers
・Number and Ratio of Female Managers
2021/7 4 15.4% 2022/7 8 26.7%- 20 -

Company Overview- 21 -

Our Management Philosophy and Mission【Our Mission】
We prepare bento’s at reasonable prices and deliver to your home every day sothat elderly people living alone or needing long-term care who have difficulty
cooking or going out to shop can eat without any trouble.

- 22 -

Company Overview
Company NameSILVER LIFE Co., Ltd.

Representative

President, CEO : Takahisa Shimizu

Established

October 2007

Capital Stock

725 million yen (as of July 31, 2022)

Address

Highness Lofty Level 2, 4-32-4, Nishishinjuku, Shinjuku-ku, Tokyo, 160-0023,
Japan・Franchise management of food delivery service for the elderly(Service names: “Magokoro Bento”, “Haishoku no Fureai”, “Takushoku Life”)

Businesses

・Food ingredient sales to senior-care facilities(Service names: “Magokoro Shokuzai Service”, “Kodawari Chef”)
・Own brand and OEM sales of frozen bento meals(Service name: “Magokoro Care Shoku”)

Websitehttps://www.silver-life.co.jp/

Employees

426 (Full-time: 173 / Part-time: 253）As of the end of July 2022

Factory・Gunma Factory:1678-1, Nakano, Ora-machi, Ora-gun, Gunma, 370-0603, Japan・Tochigi Factory:576-6, Hakaricho, Ashikaga-shi, Tochigi, 326-0327, Japan

Distribution Center・Kazo Distribution Center:376, Sakae, Kazo-shi, Saitama, 349-0213, Japan- 23 -

Our History
Date

Main store / Business development

Oct. 2007 Company established in Setagaya-ku, Tokyo
Nov. 2007
Apr. 2009
Sep. 2010

Service” to senior-care facilities
Purchase of the Company factory site in Ora-machi, Ora-gun,
Gunma

May. 2013
Aug. 2013 Absorption-type merger with Next Community Co., Ltd.
Feb. 2014
Apr. 2014
Oct. 2014 Enfranchisement of all directly managed storesFeb. 2016 Acquired ISO9001 certification for Our factory (Kanto region)
Mar. 2016 Head office moved to the current site in Shinjuku-ku, Tokyo

Accomplished 300 "Magokoro Bento" stores
Launch of our second franchise chain “Haishoku no Fureai”
Launch of OEM sales

Accomplished a total of 500 "Magokoro Bento" & “Haishoku no Fureai”

Sep. 2016
Oct. 2017

Opened the 1st directly managed store in Setagaya-ku, Tokyo
Launched our first franchise chain “Magokoro Bento”
Accomplished 100 "Magokoro Bento" stores
Launch of our food ingredient delivery service “Magokoro ShokuzaiJun. 2012
Feb. 2013

Stores / Business development

storesDistribution center opened to Chiyoda-machi, Ora-gun,
Gunma

Oct. 2017 Listed on TSE Mothers
May. 2019

Accomplished a total of 700 "Magokoro Bento" & “Haishoku no Fureai”
storesJan. 2020 Listing shifted to the TSE, First Section
Mar. 2021 Tochigi Factory begins operations
Sep. 2021

Launch of our third franchise chain “Takushoku Life”

Mar. 2022 Kazo Distribution Center begins operations- 24 -

Business Model
Schematics of our Business Operation
FY2022 Sales Percentage

Raw materials providers / Out-sourcing factories
Foods,
Cooked foods

Loyalties,
ロイヤリティ等
etc.

Payment

Our
Factory

Our
Company

Food& Ingredients
食材販売売上高Net Sales

Management
Deliveryfees

Cooked foods

FrozenBento
meals

Payment

Franchise chain stores

558 storesnationwide*

365 storesnationwide*

Bento
Payment
General Customer

OEM supplier

Payment
loyalties,
Etc.

General Customer

67 stores
nationwide*

Food
ingredientpayment
Food
Ingredient,
etc.

Foods
Delivery

Facilities for the
Elderly, etc.

Mainly Wholesale Ingredients
A continuous profit system in which ourfood net sales increases proportionally to
the growth in net sales (number of meals)of franchise chain stores.
(Food net sales include sales for facilities
for the elderly, OEM, and in-house sales)*As of the end of July 2022
- 25 -

- 26 -

(increasing population of late-stage

External Environment elderly)

Our main target, the late-stage elderly, will increase exponentially beyond 2025
Population trends and future forecasts for theelderly (over 65 years old) and late-stage elderly (over 75 years old)(ten thousand)

2,417 2,446 2,387

2,500

2,180 2,288

Baby boomer generation will
become late-stage elderly
2,000
1,734
1,613
1,517
1,407

1,500
1,301

1,798

892

2,277

2,248

1,872

1,760
1,681
1,747

1,522
1,497 1,428

1,000

2,239
2,260

1,643
1,154 1,133

1,424

900

1,258

699
597

516
500
309
107

376
164

366
224

Future Forecast

0

Population age 65-74

Population aged over 75

Source: Cabinet Office, White Paper on the Aging Society- 27 -

(a business that does not rely on long-term

External Environment care insurance)

Changes in the Working Generation and the Elderly Population(ten thousand)

The working generation (15 to 64 years old) is decreasing,and the elderly population is increasing

6,000
4,000
2,000

Dependent Population(age 65+)
18.26 million
8.86 million

33.47 million

37.82 million

37.04 million

0

1975年

-2,000

1995年

2015年

2035年

2055年

Moving toward society where 1.3 people of the working
generation will support 1 person aged over 65.
Social security deposit benefits per person will decrease-4,000-6,000The increase of expenditure toward COVID-19 measuresin 2020 makes it even more difficult to secure financial
resources for long-term care and welfare-8,000Supporting Population(age 15~64)-10,000

Future Forecast

Source: Cabinet Office, White Paper on the Aging Society(cases)Bankruptcies in Elderly Welfare / Nursing Care Businesses
108 111 105 111120(90% of net sales rely on the long-term care insurance
system) The long-term care business is destined to
become difficult in the future.

100

76

80

60

46
35

40
20

15

54
38
27

23

54

In this upcoming era, only businesses such as food
distribution services for the elderly, which can be
managed without relying on long-term care insurance,
can support the lives of the rapidly increasing elderly
population.

33

19

0
2005

2007

2009

2011

2013

2015

2017

2019

Source: Tokyo Shoko Research, 1st half of 2020 "Elderly Welfare / Nursing Care
Business" Bankruptcy Situation- 28 -

- 29 -

Our Advantage: FC Network stores opened➢ Low-cost opening (non-visit-type stores with no restriction to location / no large kitchen equipment required)➢ The simple process of preparing cooked ingredients and delivering (the business can be started alone)➢ Stable supply of high-quality cooked ingredients from FC headquarters (no cooking experience required)This helped the number of stores to increasesignificantly in a short period of time

(Stores）
1,100

September 2021
Launch of our franchise
chain “Takushoku Life”

1,000

67
900
800

February 2014

700

Launch of our franchise chain“Haishoku no Fureai”

600

381
338

February 2013

299

Acquired Kanto region factory
500

April 2009400

Launched our first franchise chain“Magokoro Bento” in Ota-ku, Tokyo

300

2
14

85

138

196

245

Food Distribution Service
No. 1 Number of Stores *7

November 2007
200 Launched our first directly
managed store in Setagayaku, Tokyo
3
100
0

9

1

1
14

85

FY2008FY2009FY20104
169
FY2011238

FY2012323

FY2013

365

361

352

356

367

381

FY2014FY2015FY2016FY2017FY2018430

FY2019496

FY2020553

558

FY2021

FY2022* Our company investigation
Magokoro Bento

Haishoku no Fureai

Directly Managed Store

Takushoku Life

- 30 -

Production System allows Multi-Variety

Our Advantage: Random Production

Our factory 3 days menu

*this is an image➢ Manufacturing line required in a general foodfactory (dedicated line for a single productgroup)
A meat buns dedicated factory (1 million meat buns produced
daily flow from a buns dedicated machine to a conveyor.
Although there are meat buns and bun with bean-jam filling
differences, they are "Principally the same product group").

➢ Manufacturing line required for food distribution
service (line that can handle random production ofother varieties)
Since meals are distributed daily, the same product group cannot beprovided every day. 12 items made today, 12 items made tomorrow, 12
items made on the 3rd day, all should be different.

Only few factories have multi-variety random production lines which are thought to beinefficient (Usually cannot be maintained without a certain sales scale like our company)↓
As a result: Managing low-cost manufacturing that generates profit
despite the large variety of products- 31 -

Production System that provides an

Our Advantage: abundant Menu with Low Prices➢ Tenderness, seasoning, and nutritional balance suitable for the elderly to eat➢ Rich menu variety (more than 1,000 items) you will never get tired of for your everyday meals➢ Delivered to franchise chain stores refrigerated (chilled) to improve texture (regular meals)
Regular meal
➢ Mainly Japanese food bento for thegeneral elderly. Consideration to
nutritional balance and ease of eat

Komachi (smaller portion)➢ A bento with fewer calories, less salt,

and a smaller portion of a regular mealfor elderly people with smaller appetites

Puréed meal
➢ A puréed meal bento which looks thesame, for elderly people who havedifficulty chewing and swallowing

Price：
450yen+tax～

Price：
320yen+tax～

Price：
540yen+tax～（sides dish only）（sides dish + rice）（sides dish only）

Calorie-adjusted meal

Protein-adjusted meal

➢ A bento for people who need to calculate➢ A bento for people who need to calculate

calories and salt intake. Manufactured to
be almost 240 kcal no matter what you
eat

protein intake, such as people who go toa dialysis clinic regularly. Protein is 10g orless per meal

Price：
600yen+tax～

Price：
700yen+tax～（sides dish only）（sides dish only）- 32 -

Our Advantage➢ A p r o d u cti on l i n e t h a t c a n m a nuf a cture r e f r igera ted ( c hi lle d)

Production Systemi ngr e dients s pe c i alizing i n f ood di s t ribution➢ Fl e xi b l e p r o d u cti on s ys t e m c a p a bl e o f m ul t i -va riet y m ul t i -production➢ M e rit of s c a l e a nd r e a s ona ble pr i c e l i s ting d u e t o ma s s p r o d ucti on➢ "No. 1” number of stores in the industry (An internal investigation of Magokoro

Franchise Chain
Network

Bento & Haishoku no Fureai total) of our food distribution franchise chain network forthe elderly (990 stores total as of the end of July 2022)➢ A store network that covers the last mile to your home

Our biggest advantage is the consistent system we have from manufacturing to delivery- 33 -

Our Advantage (summary) Consistent System
GeneralFoodDistribution
RelatedCompanies

Manufacturer
Development
開発

Manufacturing
製造

Company
Product development
Manufacturing Factory,by Nutritionist
Affiliated Factory

Logistics
Companies

Logistics
物流

Food Distributor Business Area
販売
Sales

Picking of Freezing /Franchise chains,
Refrigerating Warehouse Facilities for the elderly,
OEM/Others

配達Delivery

Delivery to customers
from our nationwide
Franchise chain store
network

Feedback from franchise chain stores and customers

Purposeand
Features・Cost advantage due to mass production
・Product development based on customer
feedback (franchise chain stores)
・Ensure the "Safety and Security"

・Efficiency of storage anddelivery
・OEM sales expansion

Food distribution service for the elderly
Number of stores: 990(As of the end of July 2022)- 34 -

Handling of this Document◼ The statements in this document regarding future-prospects are based on current
information and may fluctuate due to economic trends, market environment, our relatedindustry trends, and other internal and external factors. Therefore, please have in mind
that there are risks and uncertainties that the actual results may differ from thosedescribed in this document regarding future-prospects.
◼ This document does not constitute or solicit an application for acquisition of any
securities, an application for sale, or an application for purchase (hereinafter referred toas “solicitation”) and is not intended to perform any solicitation activities and may not be
the basis of any contracts or obligations.
◼ Although we take the utmost care for the information in this document, there may beerrors in the posted information, and you may experience damage from data falsification
or data downloaded by a third party, but we do not take any responsibility for any
reason.

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