パワーポイントテンプレート
Announcement of FY 2022 Year-End Results
May 26, 2023

0

Ⅰ. Results Outline

11. Outline of Consolidated Results for the Period Ended March 2022
(Units: millions of yen)2023/32022/3(Actual Results)

Net Sales

2023/3(Actual Results)

Change From
Prev. Period(Revised Forecast)

124,012113,305＋9.4％

118,000

Operating
Income

3,014

3,795

△20.6％

4,000

Ordinary
Income

3,562

4,261

△16.4％

4,470

Profit attributableto ownersof parent

2,523

3,155

△20.0％

3,200

68.41 yeｎ85.55 yeｎ

△20.0％

86.74 yen

Net Income
Per Share＊Revised Forecast : Announced May 10 2022

2

2. Consolidated Profits (1) Net Sales, Gross Profit(Units: billions of yen)

124.01【Increased/Decreased Values (Rates)】

113.30Net Sales＋ 10.71 billion yen【Main Increase/Decrease Factors】● System Kitchens● System Bathrooms● Washstands＋ 9,160 million yen＋ 180 million yen＋ 100 million yen● Increase Due to Increased Earnings

74.73

74.73

Cost of Sales（66.0）（66.0）＋ 9.69 billion yen
Cost of Sales Ratio＋ 8,400 million yen● Increase Due to Higher Cost of Sales Ratio＋ 1,290 million yen＋ 2.6 points● Increase in Raw Materials● Other model configuration differences, etc.
△ 0.5 points＋ 2.1％
38.56

38.56

(34.0)(34.0)● Increase Due to Increased Earnings

Gross Profit
02022/32023/3＋ 1.02 billion yen＋ 2,310 million yen● Decrease Due to Lower Gross Profit Margin△ 1,290 million yen

32. Consolidated Profits (2) SGA Expenses, Operating Income(Units: billions of yen)

38.56

39.58

【Increased/Decreased Values (Rates)】【Main Increase/Decrease Factors】

38,00036,000Gross Profit

34,000＋ 1.02 billion yen

32,00030,00028,000SGA Expenses

26,00024,00022,00020,000

34.77

36.57

（30.7）（29.5）＋ 1.80 billion yen● Sales Expenses● Distribution Expenses● Personnel Expenses● Administrative Expenses＋ 120 million yen＋ 780 million yen＋ 80 million yen＋ 820 million yen● Sales Expenses● Distribution Expenses● Personnel Expenses● Administrative Expenses－ points＋ 0.1 points△ 1.1 points△ 0.2 points

18,00016,00014,000

SGA Ratio

12,000△ 1.2 ％

10,000

8,000

6,000

4,000

2,000

3.79

3.01

（3.3）

（2.4）

2022/32023/30Operating Income● Increase in Gross Profit● Increase in SGA Expenses＋ 1,020 million yen△ 1,800 million yen△ 7.8 billion yen
43. Sales Composition (1) By Segment (Consolidated)

Kitchen Equipment

Bathtubs & Washstands

104,185
7,013

100,000【2023/3】

124,012(Units: millions of yen)
120,000

Other

113,305

7,942

7,075

15,251

Other

6.4％

14,95612.3％

14,816

6.4％

Bathtubs &12.3％
Washstands

81.3％

Kitchen Equipment

80,00060,000【2022/3】

100,818
82,35682,35681.3％

40,000

Other

6.2％

Bathtubs &13.2％
Washstands

20,00080.6％

Kitchen Equipment
02021/32022/32023/35

3. Sales Composition (2) By Sales Route (Non-Consolidated)

7.0％
6.1％
5.5 ％
Direct-Sales(Condominium owners)

14.8 ％

4.9 ％
14.7 ％

5.1％

15.5％

15.5％

14.5％

Housing Constructors

77.5％

General Routes(Construction Contractors - Home builder)79.7 ％

80.4 ％

80.4％

78.4％

0

2019/32020/32021/32022/32023/36

4. Consolidated Balance Sheet Summary – 1/2【Assets】【Increased/Decreased Values (Rates)】【Main Increase/Decrease Factors】

100(Units: billions of yen)

85.29

90

8７.93

＋2.65 billion yen

80

70

50

Current Assets

60

Total Assets

49.23

51.51

Cash and Deposits
Notes and Accounts Receivable
Electronically Recorded
Monetary Claims● Current Assets● Fixed Assets＋ 2,550 million yen＋ 100 million yen● Cash and Deposits＋ 50 million yen● Notes and Accounts Receivable＋ 990 million yen● Electronically Recorded Monetary Claims＋ 1,240 million yen＋ 2.28 billion yen
Inventory● Increase in Merchandise and Finished Goods

40

2.69
2.31

3.26
2.01

＋ 5.7 billion yen● Increase in Raw Materials＋ 420 million yen＋ 130 million yen

30

Other Current Assets
20

31.05

31.15

△ 0.30 billion yen
Fixed Assets

10＋ 0.10 billion yen● Tangible Fixed Assets● Intangible Fixed Assets● Securities Investments△ 70 million yen＋ 910 million yen△ 740 million yen

02022/32023/37

4. Consolidated Balance Sheet Summary – 2/2【Liabilities/Net assets】(Units: billions of yen)

85.29

26.37

【Increased/Decreased Values】

87.93● Accounts Payable - Trade● Short-term Borrowings
26.38

Current Liabilities＋ 0.01 billion yen
4.28【Primary Reasons for Increase/Decrease】△ 1,500 million yen● Current Portion of Long-term Borrowings△ 650 million yen● Electronically Recorded Obligations – Operating

5.69● Contract Liability

Long-Term Liabilities＋ 870 million yen＋ 980 million yen＋ 280 million yen● Long-term Borrowings＋ 1,350 million yen● Net Income● Dividends＋ 2,520 million yen△ 960 million yen＋ 1.41 billion yen
54.64

55.86

Total Net Assets＋ 1.22 billion yen
02022/32023/38

5. Consolidated Cash Flow Statement Summary(Units: billions of yen)

Cash Flow from Operating Activities

Cash Flow from Investing Activities

Cash Flow from Financing Activities

Year-End Cash & Cash Equivalents Balance

25.00

21.98

22.03

＋0.5

20.00

15.00

10.00

5.78
5.00

4.30

△14.8

0.00

＋3.4
△ 2.62 △ 3.64

＋16.2

△ 2.28 △ 2.02

△ 5.002022/32023/39

6. Capital Investments (Consolidated)
R&D Costs

Capital Investment

Deprecation Costs【Major Capital Investment Details】(Units: billions of yen)

8.40

FY 2022 Results

5.0

4.20

4.03

4.0

3.30

3.22

3.18

① Production-Related

1,190 million yen② Operations-Related

490 million yen③ ESG-Related

150 million yen④ Information-Related⑤ Others

3.0

120 million yen

FY 2023 Plan

2.09
2.0

1.01

2,070 million yen

3.04

1.15

1.18

1.10

① Production-Related

3,410 million yen② Operations-Related

1,400 million yen③ ESG-Related

250 million yen

1.0④ Information-Related⑤ Others

2,780 million yen
560 million yen

0.0

2021/32022/32023/32024/3(Forecast)10

7. Sales Results For Major Products and Cleanup Market Share - 1/3

Complete System Kitchen Sales Results
Monetary Value(Units: billions of yen)

100

Demand Trends and Market Share(Thousands of Sets)

400

Volume(Thousands of Sets)

Demand Volume

（％）

1,400

Cleanup Share

30

90.5

1,228

81.3
80

60

74.8

220

72.7

210

75.3

213

1,200

73.7

300

222

1,218

1,098

1,000

239

17.4

17.5

18.5

1,122
19.8

1,143

25

20.9
20

800

203
200

15
600

40

10
100

400

20

5

200

0

0

18/3

19/3

20/3

21/3

22/3

23/3

0

0

19/3

20/3

21/3

22/3

23/3

11

7. Sales Results For Major Products and Cleanup Market Share - 2/3

Modular System Bathroom Sales Results(Units: billions of yen)

15.0

12.2

11.7

Monetary Value(Thousands of Sets)

Volume

50

11.3

40

10.0
10.0

29

28

Demand Trends and Market Share

10.1

24

800

748

（％）

Cleanup Share

1,000

762

10.3

27
24

Demand Volume(Thousands of Sets)

10

733

733

8

683
30

600

20

400

10

200

0

0

6

24
3.8

3.6

3.6

3.3

3.3

4

5.0

0.0

18/3

19/3

20/3

21/3

22/3

23/3

2

0

19/3

20/3

21/3

22/3

23/3

12

7. Sales Results For Major Products and Cleanup Market Share - 3/3

Washstands/Vanities
Demand Volume(Units: billions of yen)

Cleanup Share

6.0

Demand Trends and Market Share(Thousands of Sets)

150

4.0

4.5

87

4.4

83

4.5

4.7

4.7

96

97

87

1,804
1,688

4.8
120

1,600

90

1,200

10.0

1,742

1,705
8.0

91

5.7
4.6

3.0

（％）

Cleanup Share

2,000

1,815
5.0

Demand Volume(Thousands of Sets)

5.6

5.3

6.0

4.8

60

800

4.0

30

400

2.0

0

0

2.0

1.0

0.0

18/3

19/3

20/3

21/3

22/3

23/3

0.0

19/3

20/3

21/3

22/3

23/3

13

8. Forecasted Consolidated Results for the Period Ending March 2024
(Units: millions of yen)2023/32024/3(Actual Results)（Forecast）

Change From
Prev. Period

Net Sales

124,012

131,000＋5.6％

Operating
Income

3,014

4,400

＋46.0％

Operating Income
Margin

2.4％

3.4％

-

Ordinary
Income

3,562

5,000

＋40.4％

Ordinary Income
Margin

2.9％

3.8％

-

Profit attributable toowners of parent

2,523

3,300

＋30.8％Net Income
Margin

2.0％

2.5％

14

II. Future Strategy
Progress of Medium-Term Management Plan

15

1. Management philosophy: Mission of Cleanup Group
Cleanup Group has been striving to contribute to the creation of abundant residences of ourcustomers through our business activities, with the “Five Concepts” as the core of our management.
We will continue to create and propose “new lifestyle values”, as we advance to attain our corporate
philosophy on “creating cheerful smiles in the family”.

The principles ofthe founder in“Five Concepts”

1. Founding Spirit
2. Affectionate Spirit
3. Creative Spirit
4. Technological
Spirit5. Spirit ofaccomplishment

Founder’s
Philosophy“Five Concepts”
Corporate Philosophy“Creating cheerful
smiles in the family”
Activity Philosophy
1. We will create a ‘soulful’ culture of lifestyleand cuisine.
2. We will always conduct fair and honest
corporate activities.
3. We will create a company our families can take pride in.
16

2. Long-term vision
The company formulated the “Long-term Vision” in April 2021 and the Medium-termManagement Plan is currently proceeding to achieve this vision.
【 Long-term vision 】

Cleanup Sustainability Vision 2030 (CSV30)“Leading the way to the future for people and their lifestyle”
At Cleanup we are the pioneers of fitted kitchens as we endeavor to become thecompany that continues to be selected by families all around the world, throughour efforts to broaden the potential of new living and dining spaces before wecreate them.
■ Important Guidelines
1. We take on the challenges of new business domains to build a stable revenue base as a kitchen
manufacturer.
2. We respond to the diversification of customer contacts and digitization, as we continue to remain apresence selected as a more familiar choice.
3. We utilize our personnel assets and create workplaces where people can exhibit their capabilities tothe maximum extent.
4. We are a company that contributes to building a sustainable society.
173. Outline of “2021 Medium-term Management Plan” - Basic Policies and Strategies
Basic policy of 2021 Medium-term Management Plan

We utilize the strengths of Cleanup Group to achieve “sustainable growth”.
1. Improve profitability of existing businesses 2. Expand business domains 3. Enhance management base for growth

Strategy 1➢

Develop demand for existing businesses and turn them around from a low-income structure

Engage in the following business activities, with the aim of securing a stable income from the business of three wet area ranges(kitchens, bathrooms and washrooms):① Enhance the sales capabilities for medium to superior quality products, improve the baseline of system bathrooms and acquire demand for renovations② Expand external sales businesses in service and distribution fields by utilizing know-how nurtured in the business operations of the three wet areas③ Reduce costs with core drivers of production reforms and CPS, improving the efficiency of indirect work operations, while improving profitability

Strategy 2➢

The following activities shall be implemented with the aim of creating new customers, as a part of our medium to long-term growthstrategy:① Roll out measures for new products and services, as well as new channels to our implementation plans② Promote the enhancement of three business models for our overseas business strategy

Strategy 3➢

Create new customers through new businesses

Enhance management base from perspective of ESG/SDGs

Engage in pursuits to resolve important issues (ESG and SDGs) towards the creation of a sustainable society, through our businessactivities
184. Progress status of strategy implementations for the “2021 Medium-term Management Plan”

Strategy 1

Develop demand for existing businesses and turn them aroundfrom a low-income structure■ Progress status

Product
Measures

1 ▶ Substantiation of sales expansion strategies with the new “STEDIA”

Product
Measures

2 ▶Model change for our top model, “CENTRO”

Marketing
Measures▶Creating a new system that integrates real and online experiences

Renovation
Measures

Continuing enhancements for the development of the “Water Section▶ Workshops”

19

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶ Substantiation of sales expansion strategies with the new “STEDIA”
Large scale model change in February 2022

Substantiation of contribution towards earnings by the new “STEDIA”
starting from FY2022
Status on the level of sales contributed by STEDIA
in the kitchen sector(Million yen)

厨房部門売上高Kitchensector sales amount
Kitchensector sales increase rate
厨房部門売上高伸長率
STEDIAsales increase rate
STEDIA売上高伸長率

200,000
Setting values
as of September
2021 to 100

150,000

113
110

↓ 100

（％）
115

100

100,818
Kitchen overall ranking

100,000

91,27485

Two years in a row

No.1

50,0000702022/32023/355

20

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶Model change of our top model, “CENTRO”
A model change was implemented for the occasion of the 50th
anniversary, since the release of our first system kitchen

The new concept is "turning aspirations into joy”

Product launched June 2023
⚫Strengthening the interior anddesign features, while maintaini
ng the performance and quality
levels of the kitchen⚫Substantiating assortment of doors, worktops and sinks, as w
ell as door colors and handles⚫Catering to diverse lifestyles and interior needs
21

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”

Commemorating the 50th anniversary since the release of
our first system kitchen

Broadcasting of our new television commercial entitled“An opportunity to choose our kitchen will happen one day”
<Intensive broadcasting of spot advertisements><Posting of advertisements innewspapers>

22

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶Creating a new system that integrates real and online experiences 1/ 3

[ Real (offline)]
Showrooms[Online]Online showrooms● Purposed for expanding the recognition of
new products and sales promotions

Online consultation● Introduction of leading products(CENTRO, STEDIA, Aqulia-Bath, etc.)●Features ranging from the introduction of
Cleanup products to tips on selecting kitchencomponents

23

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶Creating a new system that integrates real and online experiences 2/ 3
Showrooms (real)
Four showrooms were relocated or renovated in FY2022
Completely renovated and opened

Relocated and opened

KawagoeShowroom

Tsu Showroom

Kyoto
Showroom

Yamagata
Showroom

Very first exhibit of “doublerow type” kitchen at our
showrooms

Kitchen studio

Proposal corner features
CENTRO

Kitchen studio24

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶Creating a new system that integrates real and online experiences 3/ 3
Renewal of web pages
Articles about selecting kitchens and information on products andshowrooms are substantiated25

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶ Further enhancement of organization and information disseminating capabilityof the “Water Section Workshops” 1/2

17th year since starting in 2006
2009
Number ofparticipating
merchants

1,000
Participants
exceeded

2013

3,000
participants
exceeded

End of March, 2023

4,000

Approx.
companies[Five features]

１

２

３

４

５

Community-based

Reliable technologies
and services

Total support provided
for projects, starting withthe proposal through toconstruction work

Budget formulated toaccommodate requirements
and responsive action thatgives peace of mind

Dissemination of thelatest information

26

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶ Further enhancement of organization and information disseminating capabilityof the “Water Section Workshops” 1/2

Sustaining enhanced appeal of the official website “Water Section Workshops”(Most recent renewal in March 2022)
Further enhancing customer contacts and public
relations for members of the Water Section
Workshops on the internet●Introducing renovation case examples●Introducing Water Section Workshops nationwide●Invitations for renovation fairs nationwide●Point program membership guide, etc.

27

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”

Strategy 2

Create new customers through new businesses■ Progress status

Kitchen 1▶ Luxury kitchen business for the high-end class

Kitchen 2▶ New lifestyles with kitchen “HIROMA”

Overseasbusiness▶ Expansion of Overseas Business Operations28

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶Luxury kitchen business for the high-end class
Luxury Italian kitchen brand：Overseas luxury brandA brand delivered through a joint venture with Valcucine of Italy：Domestic premium made-to-order kitchen

Availability of the brand is limited to Japan, with designs supervised byThis luxury brand is rolled out to 55 countries around the world.
Valcucine
Digital implementations targeting high-end and extremely high-end classes
Licensed production at our manufacturing plants
Implementation of direct business model, with direct approaches to clientsSales
at routes, houses and direct sales offices of Cleanup
and major architectural offices
Entering into domestic luxury market zone29

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶ New lifestyle with kitchen “HIROMA”
Proposing a new concept
and lifestyle in the livingroom, dining room,
kitchen layout

スタンダードタイプ⚫ Collaboration with Hida Sangyo,
a long-established manufacturer of furniture●Simplify the elements of the kitchen, as much as possible and merge
them with the dining table

2021

2022～

[Full-scale sales started from October 2021]

Creating new movement in the market[November 2021] Online sales also start

HIROMA online shop opens to public[Further increasing brand exposures from 2022]●Participation in the exhibit “50 Shapes” at the Hiroshima T-Site●Participation in the exhibit “Renovation Industry Fair 2022”●Participation in the exhibit “Good Life Fair 2022”“Renovation Industry
Fair 2021”
Scene from the exhibit“Renovation Industry
Fair 2022”
Scene from the exhibit

Even broader
implementations, since thelatter half of 2022, throughsuch avenues as
collaboration with the “Future
Kitchen Project”“50 Shapes” exhibit at
the Hiroshima
T-Site Scene from theexhibit30

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶ Expansion of overseas business operations 1/2

Creating new markets●Exports and sales of kitchen products made with stainlesssteel, are considered key items, primarily for Asian
destinations.
●Starting Thai model system kitchen local production (⇒see next page)

Dalian
Korea

Hong Kong Showroom

Tokyo
Shanghai

Changsha●Intensifying sales activities and sales channel expansions
further, by making visits to local sites

Guangzhou
Taipei●New plans implemented through such efforts as thedevelopment of product specifications for overseas
markets and the utilization of local SNS arenas

Hong Kong

Thailand
BangkokVietnamTaiwan Showroom
Malaysia
Singapore

Exhibit in Hong Kong

Exhibit in Taiwan
31

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶ Expansion of overseas business operations 2/2
Through business partnership with National Furniture:Thai model system kitchen local production started(October 2022)
Further responsive action is taken for customer needs in the future, through such means as “export and sales of luxury
models”, as well as “local production of Thai models”

Locally produced model was developed using stainless cabinets,
catering to local lifestyles

Our exhibition booth at "Baan Lae Suan 2022”
The booth exhibited "CENTRO" (1 set) and "STEDIA" (2 sets), exported from Japan,
attracted the attention of visitors and local media.
32

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”

Strategy 3

Enhanced management base from the perspective of ESG/SDGs■ Progress status

Target▶Pursue non-financial goals and materiality

ESG activity 1▶Work towards the realization of a sustainable society

ESG activity 2▶A “Sustainability Report ” is issued

33

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶ Three non-financial targets set from FY2022
FY2030non-financial
targets

Environment related KPIs

Human resources related KPIs (three new additions starting in FY2022)

Greenhouse gasses reduced by
50%, in comparison with FY2013

Female manager ratio

15％

Child care leaveacquisition rate for males

Paid vacation acquisition rate

100％

60％

■ Important issues and activities at Cleanup
Relationship with the implementations of the2021 Medium-term Management Plan

Important issues

Important activities aimed at resolving issues

Provide value for lifestyles
through our products andservices➢ Implement new products, services and solutions for areas where
cultures of food and residences cross.
➢ Provide value that is useful for consumers and society (health, as well
as saving energy, resources and water)

・ Prioritize the implementation of the respective
following strategies
・ Develop demand for existing needs
・ Create new customers through new businesses

Create pleasant workplaces➢ Workplaces where the ability to work is maximized by providing
rewarding work and facilitating various working styles➢ Utilize various personnel resources by promoting diversity

・ Build a personnel system that enables“rewarding work”

Environmental conservation
andreduction of environmental
load➢ Promote a reduction of CO2 emissions, environmental loads andenergy saving techniques in business activities

・ Sustain and update ISO14001 certification
・ Consider the purchase of electrical power
derived from renewable energy

Fair and honest corporate
activities➢ Aim to resolve social issues through our supply chain as a whole(encourage CSR procurement)➢ Promote social contributions through business activities, seeking topursue progress as a member of the local society

・ Promote CSR procurement
・ Provide employment opportunities for disabled
persons and the continuation of relevant projects
・ Contribute to building a sustainable aging
society through our nursing care business operations

SDGs item34

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶ Work towards the realization of a sustainable society
Activities for achieving a reduction in greenhouse gases by 50%, in comparison with FY2013

Measure for boiler fuelConversion to fuel with low CO2 emissions

Switch heavy oil and LPG, used for boilers at manufacturing plants, to LNG● Cooperate with the construction of LNG satellite bases, within industrial parks●Aim for CNL (Carbon Neutral LNG)

Crete Factory(Operations starting in August 2023)

Kashima System Factory(Oerations starting in August 2024)

Kashima Factory(Operations starting in August 2025)

35

4. Progress status of strategy implementations for the “2021 Medium-term Management Plan”▶ A “Sustainability Report ” is issued
ESG activities

The “Sustainability Report” issued
Our activities, intended to achieve a sustainable
society, are introduced.

36

5. Starting the “Future Kitchen Project”“Create a future with spiritual abundance, starting from the kitchen”
Aiming to realize targets of the “Cleanup Sustainability Vision 2030”

The project started on February 22, 2023, to pave the way for a future withnew ideas that are not limited by existing concepts.

Promoting three actions

1

2

Industry-academia joint efforts made toaddress social issues with the

Kitchens sold in the past were utilized
for the“Future Kitchen Lab”

“Recycling Program”

3

Ideas are solicited from children who
will lead the future“Future Kitchen Illustration
Contest”
37

5. Starting the “Future Kitchen Project”▶Action ① “Future Kitchen Lab”

Cleanup Collaborates with Musashino Art University

A social experiment is performed, with “shedding the concept of LDK(living room-dining room-kitchen configuration concept)” as the topic,
by creating a place for communication for local communities, where
people can help each other in an emergency offering new kitchensthat can be transported by car and used at locations where electricity
and water supplies are not available, in collaboration with Musashino
Art University.

Collaborating with the exhibition, held byProfessor Kazuhiko Yamazaki of Musashino Art
University, by supplying system bathrooms and
HIROMA38

5. Starting the “Future Kitchen Project”▶Action ② “Future Kitchen Lab”

Cleanup Collaborates with Water Section Workshops●Collection of used kitchens and handover torecycling operators, are promoted when
Water Section Workshop members perform
renovations, using our “Stainless Steel
Cabinet Kitchens”●End users who participate in the program arepresented with benefits, according to theirlevel of involvement
The newly purchased stainless steel cabinets are
made of stainless steel, which proudly features a
recycling rate of over 80%, instead of theconventional wooden frame, thereby enabling
effective use of resources for the future.

39

5. Starting the “Future Kitchen Project”▶Action ③ “Future Kitchen Lab”

Cleanup collaborates with elementary school children nationwide
Activities utilized to create innovation by exploring the future of kitchens with children- Aiming to create an even more abundant food culture, by commercializing new kitchens that transcend theframework of system kitchens Eligibility

Elementary school students in grades
one through six

Application
periodJune 1 to October 15, 2023

Announcement
Planned for December 2023
of results

Application
rules

To apply use free expression ofdesirable kitchens of the future,with an illustration, to be submitted,
including an explanation text about
the illustrations.
(Free format, using about one
sheet of A4 size paper)40

6. B/S Policy
The company shall sustain financial soundness and promote growth investments,
intended to improve corporate value, as well as enhance shareholder returns[Utilization of cash and deposits]●Invest in new business developments andpromotions●Invest in overseas business expansions●Enhance management base[Review of portfolio assets]●Regularly verify investment securities●Promote more efficient and effective
utilizations and operations[Liabilities]●Utilize borrowings according to investment
opportunities and need for enhancing businessfoundation[Capital]●Enhance shareholder returns based onstable dividends●Appropriate acquisitions and depreciation oftreasury shares

Efficient and effective capital circulation
Improve profitability ofexisting businesses

Expand businessdomains

Enhance managementbase for growth41

7. Toward the realization of the Long-term vision "CSV30"

New outline of strategic scenario drawn up to achieve CSV30
2024 Medium-termManagement Plan

Promote conversion into fansand enhance professional
capabilities

2021 Medium-termManagement Plan

Implementation ofprioritized measures

Sales amount
Ordinary profit

1,300

1,100

1,041

Ordinary profit rate

1,133

1,240

900

700

2.6％

3.8％

Strategic investments forsustainable growth

2.9％

1,310

billions of yen

3.8％

Operating Profit(consolidated)

9.5

2

billions of yen

300

△ 100

ROE

(Targets for FY2030)

150

8

500

100

Long-term
visionSales amount(consolidated)

2021 Medium-termManagement Plan
Final year targets（Unit: 100 million yen）
1,500

2027 Medium-termManagement Plan

50

42

35

FY2020[Record]

FY202137[Record]

FY2022[Record]（Plan）

3.4％

5.9％

4.6％

5.9％

27

FY2023-4* ROE: Return on equity* In order to compensate for the impact of sales discounts, for which a
decision was made to be treated as considerations for variations, due tothe implementation of the “Accounting Standard for Revenue
Recognition”, the profit target for FY21 business plan was changed froman operating profit to an ordinary profit.

ROE(:Return on equity)

8.5％
42

8. Other topics
Cleanup Wrestling Club

Cleanup Foundation

Promoting sports through wrestling
Since the establishment in 1992, the Wrestling Club operates as a company sports activity andcontributes to the development of wrestling competition in Japan.
Affiliated athletesCleanup Kids
Iwasaki Wrestling ClubAwarded a certificate ofappreciation from the Japan
Federation of KOSEN
Association

Social contributions are provided to
the local community, as well asactivities to facilitate the healthy
growth of children who carry our
future, with support for the creationof a brighter future, which arefacilitated through the administrationof the kids wrestling program.
Scholarship assistance provided since founding.
This certificate of appreciation for meritorious
services was conferred, based on a recommendation
provided by the National Institute of Technology,
Fukushima College.

Kirin Kinoshita,
wrestler

Mei Shindo,
wrestlerFreestyle 74kg class

Women’s wrestling 72kg class<Emperor’s Cup> 2nd place<Meiji Cup> 2nd place<Bill Farrell Memorial International> 2nd place<Four Days Cup> 3rd place<Men's World Cup (USA)> participation

43

For any questions concerning investor relations, please contact:

Cleanup Corporation
General Affairs Department, General Affairs / IR Section
Contact our IR Representative

Phone +81-(0)3-3894-4771
URL https://cleanup.jp/

Disclaimer
This material is intended to provide information regarding the FY2022 financial results (April 2022 –March 2023) and does not constitute a solicitation to invest in Cleanup Corporation-issued securities.
Furthermore, this material was created based upon data current as of May 26, 2023. Opinions andforecasts contained within this material were the subjective judgments of Cleanup Corporation at thetime of creation. No guarantee or promise is made as to the accuracy or completeness of thisinformation. Additionally, this information is subject to change without prior notice.
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