Kurita Water Industries Ltd.

Results Presentation
for the First Quarterof the Fiscal Year Ending March 31, 2024
(Securities code: 6370)

August 9, 2023

Overview of Results(Billions of Yen)

1Q of FY ended
03/2023

1Q of FY ending
03/2024

YoY Change

1H
Forecast

YoY Change

Orders

100.1

98.4

(1.7%)

175.0(12.7%)

Net Sales

74.7

90.5+ 21.3%

181.0+12.6%

Business Profit

6.3

7.5

+ 18.0%16.2(2.5%)

Net of Other Income and Expenses

0.1

0.7－(0.5)－Operating Profit

6.4

8.1＋ 27.5%

15.7(4.0%)

Profit Before Tax7.3

8.1＋ 10.9%15.5(11.5%)

Profit Attributable to Owners of Parent

4.9

5.7＋ 17.1%

10.5(15.2%)

43.29

50.67

＋ 17.0％93.42(15.2%)

USD (yen)

129.6

137.4

EUR (yen)

138.1

149.5

CNY (yen)

19.6

19.6

Basic Earnings per Share (yen)Foreign Exchange
Rate⚫ Net of other income and expenses increased due to an increase in foreign exchange gains and a decrease in other operating expenses.
⚫ In the same period of the previous fiscal year, the gain on derivative transactions (1.1 billion yen) accompanying the acquisition of additional shares inPentagon Technologies Group, Inc. was posted as financial income that was included in profit before tax.
1Results by Segment

Total

1Q of FY
ending03/2024

Orders100.1

98.4(1.7)

175.0

Net Sales

74.7

90.5

+ 15.9181.0

Business Profit

6.3

7.5

+ 1.1

16.2

Business Profit
Margin8.5%

8.2%(0.2pp)9.0%

Operating Profit

6.4

8.1

+ 1.8

15.7

Orders43.6

42.0(1.5)

68.0

Net Sales

30.9

43.2

+ 12.3

81.0

4.3

4.4

+ 0.1

7.4

Business Profit
Margin

13.9%

10.1%

(3.8pp)9.1%Operating Profit

4.3

4.5+ 0.2

7.4

Orders56.5

56.4(0.2)

107.0

Net Sales

43.7

47.3+ 3.6

100.0

Business Profit

2.0

3.1+ 1.1

8.8

Business Profit
Margin4.6％

6.5％+ 1.9pp

8.8%

Operating Profit

2.1

3.6+ 1.5

8.3

Electronics Business Profit
Industry

GeneralIndustry

Electronics Industry

1Q of FY
ended03/2023(BillionsYen)(Billions ofofYen)

YoY Change

1HForecast⚫ Orders declined mainly due to the decrease inprecision tool cleaning and maintenance.
⚫ Net sales increased mainly due to the construction
progress of facilities orders already received.
⚫ Business profit increased slightly due to a
deteriorating cost of sales ratio with lower service
business composition and the increase of SG&A
expenses, despite the sales increase.
General Industry⚫ Orders were almost unchanged from 1Q of theprevious fiscal year, while net sales increased due toprogress in construction of facilities and maintenanceprojects.
⚫ Business profit increased, with the effects of higher
sales and an improved cost of sales ratio more thanoffsetting the increase in SG&A expenses.

2Factors in Change in Business Profit (YoY Change)(Billions of Yen)

Impact ofincreased sales

Worsening in thecost of sales ratio

12+5.0

(1.9)

(2.0)

108

⚫ In Electronics Industry, theproduct mix worsened due
to large-scale facilities
project

6.3
64

Increase in
SG&A expenses

1Q of FY
ended
03/2023
Results⚫ Increased sales in both
Electronics Industry
and General Industry⚫ Impact of foreignexchange rate

⚫ In General Industry, costof sales ratio improved
due to countermeasures
to the soaring raw material
prices in the chemicals
business.

7.5⚫ Impact of foreignexchange rate⚫ Increase in personnel
expenses and sales
expenses⚫ Increase in R&D
expenses

1Q of FYending
03/2024
Results2

YoY change : +1.1
[Impact of foreign exchange rate +0.1 included]
03

Electronics Industry Segment(Billions of Yen)

1Q of FY ended
03/2023

1Q of FY ending
03/2024

YoY Change

1H
Forecast

43.6

42.0(1.5)

68.0

Facilities

15.1

14.9(0.1)

18.1

Recurring ContractBased Services

10.0

11.3

+ 1.3

22.4

Services

18.5

15,9(2.7)

27.5

Chemicals

2.7

2.5(0.2)

5.4

Precision Tool
Cleaning7.0

5.6(1.3)

12.8

Maintenance

8.9

7.7(1.2)

9.3

Net Sales

30.9

43.2

+ 12.381.0

Facilities

8.2

19.5+ 11.3

33.4

Recurring ContractBased Services

9.9

11.2

+ 1.3

22.6

Services

12.8

12.6(0.2)

25.0

Chemicals

2.7

2.5(0.2)

5.4

Precision Tool
Cleaning

6.9

5.7(1.2)

12.8

Maintenance

3.2

4.3

+ 1.1

6.8

Orders⚫ Orders for facilities remained at a high level on parwith the same period of the previous fiscal year,
while net sales increased due to the posting of salesof ordered projects mainly in Japan and China.
⚫ Recurring contract-based services increased due toan increase in water supply business.
⚫ Both orders and net sales in precision tool cleaning
decreased due to reflecting the impact of operations
in customers’ plants.
⚫ Orders for maintenance decreased as a reaction tothe increase in orders in the previous fiscal year
mainly due to some frontloaded orders. Net sales
increased due to the growth both in Japan andoverseas.

Factors in Change (Billions of Yen)
Organic Change+ 12.0Effect of Foreign Exchange Rate

+ 0.34

General Industry Segment(Billions of Yen)

1Q of FY ended
03/2023

1Q of FY ending
03/2024

YoY Change

1H
Forecast

56.5

56.4(0.2)

107.0

Facilities

7.2

7.7+ 0.5

12.3

Recurring ContractBased Services

2.2

2.9+ 0.7

5.0Services

47.2

45.8

(1.4)

89.7

Chemicals

29.0

27.8

(1.2)

62.3

Maintenance

16.2

16.4

+ 0.2

23.7

Others2.0

1.7(0.3)

3.7

Net Sales

43.7

47.3

+ 3.6

100.0

Facilities

3.3

4.5

+ 1.2

9.1

Recurring ContractBased Services

1.4

2.2+ 0.9

5.3Services

39.0

40.6+ 1.6

85.6

28.4

27.7(0.7)

61.8

Maintenance

8.7

11.2

+ 2.4

19.3

Others1.9

1.7(0.2)

4.5

OrdersChemicals⚫ Net sales for facilities increased due to the progresson the construction of ordered projects both in Japanand overseas.

⚫ Recurring contract-based services increased due tothe growth both in Japan and overseas.
⚫ Orders and net sales of chemicals decreased mainly
in China due to reflecting the impact of operations incustomers’ plants.

⚫ Orders for maintenance remained almost flat, but
net sales increased due to the acquisition ofcleaning projects in Japan and the progress ofconstruction.

Factors in Change (Billions of Yen)
Organic Change+ 2.2

Effect of Foreign Exchange Rate+ 1.4
5

Net Sales by Region / CSV Business Net Sales
Net Sales by Region - General Industry

Net Sales by Region - Consolidated
1Q of
FY ended
03/2023

1Q of
FY ending
03/2024

YoY Change

1HForecast

Japan

37.0

48.1

+ 11.0

91.9

Asia

16.3

20.3

+ 4.0

North & SouthAmerica

14.4

14.4

EMEA

6.9
74.7

(Billions of Yen)

Total

1Q of
FY ended
03/2023

1Q ofFY ending
03/2024

YoY Change

1H
Forecast

Japan

21.1

23.6+ 2.5

46.7

42.0

Asia

6.0

5.4(0.6)

14.4+ 0.1

31.6

North & SouthAmerica

9.7

10.6+ 0.9

23.4

7.7+ 0.8

15.4

EMEA

6.9

7.7+ 0.8

15.4

90.5

+ 15.9

181.0

43.7

47.3

+ 3.6

100.0

Net Sales by Region - Electronics Industry
1Q ofFY ending
03/2024

YoY Change

1H
Forecast

Japan

16.0

24.5

+ 8.5

45.2

Asia

10.3

14.9+ 4.6

27.6

North & SouthAmerica

4.6

3.8(0.8)

8.2

EMEAーーーー

30.9

43.2+ 12.3

81.0

Total

TotalCSV Business Net Sales

1Q ofFY ended
03/2023(Billions of Yen)

(Billions of Yen)

(Billions of Yen)

% of net sales※

8.9

9.8%

Electronics Industry

2.9

6.7%

General Industry

6.0

12.7%

CSV Business Net Salesbysegment

1Q of
FY ending
03/2024※Percentage of consolidated or segment net sales
6Capital Expenditures, Depreciation and R&D Expenses(Billions of Yen)

1Q ofFY ended
03/2023

1Q ofFY ending
03/2024

Capital Expenditures(Property, Plant andEquipment*)

10.9

8.3

YoY Change

Full-YearForecast⚫ Capital expenditures declined compared to 1Q of theprevious fiscal year due to a lower investment inwater supply business.

(2.5)

35.7

⚫ Depreciation increased due to the start of new watersupply projects during the previous fiscal year.

Depreciation(Property, Plant andEquipment*)

5.9

6.9

+ 1.0

27.3

R&D Expenses

1.5

1.7

+ 0.3

7.6

⚫ R&D expenses increased due to strengthening
efforts to create innovation.

* Right-of-use assets are included.

7

Reference : Change in disclosed segments
Up to Fiscal Year Ended
March 31, 2023

From Fiscal Year Ending
March 31, 2024

Water Treatment Chemicals
Water Treatment Facilities(for domestic electronics industry)

Electronics Industry

Facilities

Facilities

Maintenance

Recurring contract-based services*

Ultrapure water supply business
Precision tool cleaning

Water Treatment Facilities (overseas)
Facilities
Maintenance(including water supply business)

ServiceChemicals(breakdown)
Japan
Asia
North & South America
EMEA

Precision tool cleaning
Maintenance

General Industry(breakdown)

Facilities
Ultrapure water supply businessJapan

Recurring contract-based services*
Precision tool cleaning
Water Treatment Facilities(for domestic general industries)
Energy and infrastructure

ServiceChemicals
Maintenance

Asia
North & South America
EMEA

OthersSoil remediation

Other(Including soil remediation, etc)

* With this business structure, a certain amount of revenue according to
the value of services provided is consistently secured.

8Forward-looking Statements
This presentation contains forward-looking statements, business plan projections, and judgments based on information
available to management at the time of writing. Due to the existence of a variety of risk factors and uncertainties, actual
results may differ from those specified or implied by these forward-looking statements and projections.
The product or service names and logos used in this presentation are trademarks or registered trademarks of theCompany or other companies.