The Power of Purification
The Organo Group leverages the technologies it has
cultivated through long experience with water
treatment to contribute to the development ofindustry and societal infrastructure.

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Management Philosophy

Sustainability Policy

Organo serves as a valuable partner company by leveraging its leading-Together with our stakeholders, Organo aims to realize aedge technologies cultivated through long experience with water

sustainable society for the future and improve our corporate value

treatment, by contributing to the industries that create the future, andby playing a key role in the development of societal infrastructure.

E

Leveraging its leading-edge
technologies cultivated throughlong experience with water
treatment, Organo provides
environmentally-friendly products
and services that contribute towater environment conservationand prevention of global
warming.*Long-Term Management Vision
At Organo, we seek to expand our business through high value-added
separation and purification as well as analysis and manufacturing technologies,

SG

We promote a workplace wherehuman rights, diverse values,
and individuality are respected,
and where every employee isgiven the opportunity to growand play an active role.

We emphasize dialogue andcooperation with all
stakeholders, and we conduct
honest and fair corporate
activities.

and by providing products and services that promote the creation of value andwhich resolve the challenges that confront industry and society.

* “Leveraging its leading-edge technologies cultivated through long experience with watertreatment” refers to our pursuit of water treatment-related separation and purification,
analysis, and engineering technologies, and our provision of optimal systems and services
that meet the needs of society through a combination of these technologies.

We proactively contribute to a better tomorrow by cultivating people today
who will improve upon the way things were done yesterday, as a company
where all employees are energetic and passionate about their work.

●ContentsIntroduction

Management Resources

Introduction

1

Management Philosophy/Long-Term
Management Vision

3

Sustainability Policy

4

About the Organo Group
Business Overview of the Organo Group
History of the Organo GroupIntellectual and Human Capital(R&D and Engineering)

23

Manufacturing Capital

26

Social Capital (Overseas Network)

27

Growth Strategies of the Organo Group5
7

Value Creation of the Organo GroupMessage from the President

9

Organo’s Three Strengths

13

TOPICS: Value Creation Case Studies

17

Value Creation Process

19

Value Provided through Organo Group 21
Products and Technology

45

Environment

53

Society57

Corporate Data
Financial/Nonfinancial Information

61

Consolidated Balance Sheet

63
64

Long-Term Management Plan
ORGANO 2030

29

Medium-Term Management Plan
(2023–2025)31

Consolidated Statement of Income/Consolidated Statement ofComprehensive Income

33

Consolidated Statement of
Shareholders’ Equity

65

Financial Strategy

New Customer Value Creation Initiatives 35

Consolidated Statement of Cash Flows

66

Water Treatment Engineering
Business Unit37Company Information/ExternallyAcclaimed—Incorporated into Indexes

67

Performance Products Business Unit

39

Network (Japan/Overseas)

68

Sustainability and the Organo Group
Sustainability Management

3

Governance41

Editorial policy
Since 2020, the Organo Group has published the “Organo Group
Report” (integrated report), which reports on the financial andnonfinancial activities of the Group. The goal is to provide ourshareholders, investors, and other stakeholders with a better
understanding of our efforts to improve corporate value over themedium to long term by offering an integrated view of our financial
data, management strategies, the business environment, andenvironmental, social, and governance (ESG) issues.
Based on this report, we will continue to conduct dialogue with ourstakeholders to further improve corporate value.

Reference guidelines“International Integrated Reporting Framework” by theInternational Integrated Reporting Council (IIRC)“Guidance for Collaborative Value Creation” by Japan’s
Ministry of Economy, Trade and Industry“Environmental Reporting Guidelines” (2018 edition) by
Japan’s Ministry of the Environment
ISO 26000:2010 Guidance on Social Responsibility
Disclaimer regarding forward-looking statements
Forward-looking statements included in this report containassumptions and expectations. They are based on
information available at the time of publication, and involverisks and uncertainties. Please note that actual performance
may vary materially from forecasts owing to changes invarious factors impacting the Company’s business.

Origin of the Company Name
Ion exchange resin, one of Organo’s core materials, is called organic zeolite, or “organolite” for short, asopposed to natural inorganic zeolite. The company name derives from the name of the resin.
EcoCrysta, PURIC, ORBRAID, ORSMART, and MIZUNETSU, which appear in this document, are trademarks or registered trademarks of Organo Corporation.

ORGANO Group Report 20234

About the Organo Group

Business Overview of the Organo Group
Organo possesses a wide variety of water treatment technologies for ultrapure water, pure water, tap water, industrial wastewater and sewage, and is developing its businesses globally to serve a diverse range ofcustomers while also applying these technologies to non-water fields. In addition, the Company has built a structure that allows it to provide comprehensive solutions by integrating all functions in-house, including
product development, design, construction, sales, post-delivery maintenance, and operational support.
FY2022
Consolidated net sales¥132.4 billion

Organo (Suzhou) Water Treatment Co., Ltd. (China)
ORGANO CORPORATION (Japan)

Operating profit¥15.2 billion

Organo Technology Co., Ltd. (Taiwan)

Organo (Thailand) Co., Ltd.

642

domestic affiliates
Organo USA, Inc.

domestic offices and sales offices

Organo (Vietnam) Co., Ltd.

Overseas sales ratio:

Organo (Asia) Sdn. Bhd. (Malaysia)

37.5 %PT Lautan Organo Water (Indonesia)

Overseas
37.5%

Japan
62.5%

Water Treatment Engineering Business Unit
Net sales:¥111.6

Electronics industry¥75.4 billion(68%)

billionThis business unit provides water
treatment systems used at various
manufacturing plants, power
plants, and water supply andsewage facilities. It undertakes
business as a comprehensive
water treatment engineering
company providing solutions
ranging from the supply ofultrapure water—which boasts thetop level of purity in the world—towater recycling and various
wastewater treatment facilities
that detoxify harmful wastewater.

5General industry

Electric power/watersupply and sewage

84.3 %¥24.3 billion ¥11.7 billion(22%) (10%)

Plant Business

Providing optimal water treatment systems
based on advanced technology capabilities
cultivated in many industries and countries

Performance Products Business Unit

Net sales ratio:

Service Solutions Business

Providing solutions for customers’
operational support and improvement needs
as well as pure water at our own facilities

Net sales:¥20.8

Water treatment chemicals

Standard equipment and filters

Food products¥8.0 billion(39%)¥7.0 billion(34%)¥5.7 billion(27%)

billionThis business unit provides
performance products such as
water treatment chemicals,
standard equipment, filters, andfood processing materials tovarious manufacturing plants, retailfacilities, and medical and research
institutions. Although the businesshas focused primarily on Japan,
the Company is also working tostrengthen business development
overseas with products such ascompact pure water systems for
medical institutions and water
treatment chemicals for theelectronics industry.

Water treatment
chemicalsStandard equipment
and filters

Providing various water
treatment chemicals used forcooling water treatment, boiler
water treatment, wastewater
treatment, and RO membrane
treatment at factories andcommercial facilities.

Providing compact pure water
systems used at medical andresearch institutions and water
purification filters used atfactories and in vending
machines and coffee machines.

Net sales ratio:

15.7 %
Food products

Providing food additives used as
raw materials for processed
foods and beverages, as well asprocessing technologies for the
raw materials used in health foodproducts and food products fornursing care patients.
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About the Organo Group2014
Launched energy-saving
service solutions using
water heat utilization
systemHistory of the Organo Group2018

Technology Cultivated Over 75-Plus YearsSince its founding in 1946, Organo has been meeting the needs for water required in industry and daily life.
The history of the Organo Group is also the history of expanding the value of water and its possibilities.
Beginning with the development of a heat-free water distillation system for hospitals, research centers, and otherfacilities, Organo has been involved in a wide range of water treatment systems and technologies. This includes
treatment systems for pure water and wastewater in various industries, water treatment systems for water supply
and sewage and power plants, and ultrapure water systems for the manufacturing of semiconductors and otherdevices in the electronics industry. Organo plays a role in supporting the development of industry and daily life inJapan and overseas.

Expanded overseas business
Enhanced service solutions

2005
1991

1984
Expanded into pharmaceuticalmanufacturing field

Executed full-scale launchof comprehensive servicesolutions

Expanded deliveries forsemiconductors

1946

1940

1950

Formulated Sustainability
Policy1953

Expanded into
water supply andsewage field1986

Launched ORSMART CW,
DX-based energy-saving
solutions for cooling watertreatment

Expanded into
special sugar liquid refining field

1959

Completed Central ResearchLaboratory (Toda)

2010

1954

Launched
food productbusiness

Launchedwatertreatment
chemicals
business

Delivered Japan’s
first large-scale
pure water system

Launched energy-saving
service solutions featuring
ORBRAID Series coolingwater treatment agent

2022

Established R&D Center(Sagamihara)

1951

2020

Launched ORSMART RO,
energy-saving solutions
for RO membrane
treatment facilities

2005
1959

Formulated new
management philosophy
and long-term
management vision

2021

FoundedDeveloped compact pure watersystem (heat-free water
distillation system)

Established Organo (Vietnam) Co., Ltd.

2013
Established joint venture
enterprise PT Lautan Organo
Water (Indonesia)

2003

1966

1957
Delivered Japan’s firstultrapure water systemfor electronics industry

1960

Startup7

2003

Established Organo(Suzhou) Water
Treatment Co., Ltd.

Completedlarge-scalewater treatment
facility for
power plant

1970

1986
Established Organo (Malaysia)(currently Organo (Asia) Sdn.
Bhd.)

1980

Growth1989

Established Organo(Thailand) Co., Ltd.

1990

2000
Maturity

2005
Established Organo
Technology Co., Ltd.
(Taiwan)

2010

2015
Established joint venture enterprise
Murugappa Organo Water Solutions
Private Limited (India) (terminatedthe joint venture in 2021)

2021
Established Organo USA Inc.

2020

Note: The graph indicates the changes in net sales.

Leap

Founding of Japan Organo Co., Ltd.

Becoming a Comprehensive Water Treatment Engineering Company

Innovation and Creation

Further Growth through Expansion of Business Domains and Regions

The Company was founded in Suwa, Nagano Prefecture in1946. Japan Organo was established as the country’s firstcompany to sell ion exchange equipment as its main
product. In response to requests from industry in the wakeof post-war reconstruction and the rebuilding of theJapanese economy, the Company focused on research anddevelopment of equipment and forged a track record infields such as water treatment and sugar refining.

We completed the world’s first continuous pure water production
system and developed Japan’s first pulse bed sugar liquid decolorizing
equipment. As awareness of pollution issues continued to heighten, theCompany developed water treatment equipment for nuclear power
plants, commercialized a full-scale ultrapure water production system,compiled achievements in the areas of public sewage facilities andcorporate wastewater treatment, and made great strides towardbecoming a comprehensive water treatment engineering company.

In 1988, we established a management policy of“Innovation and Creation” to revamp and revitalize ourcorporate culture, established overseas subsidiaries, andstrengthened our business for the pharmaceuticalindustry. Moreover, we made steady progress inresolving management issues, such as expanding ourbusiness domains, establishing a cooperative structure
as a group, and restructuring our organization to bolster
technological development.

In 2018, we revised our management philosophy. We formulated along-term management vision that conveys our intent to contribute to thedevelopment of industry and the resolution of social issues by expanding
the leading-edge technologies cultivated through our experience withwater treatment into areas other than water and expanding ouroperational sphere. We will contribute to the realization of an affluent andsustainable society through the creation of water value.

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