FOR IMMEDIATE RELEASE
Kurita Water Industries Ltd. Reports Earnings for the Three Months Ended June 30, 2024
Tokyo, Japan, August 8, 2024 - Kurita Water Industries Ltd. (the “Company”) (TSE Securities Code6370) announced net sales of 93,980 million yen and profit attributable to owners of parent of 5,701
million yen, or 50.74 yen per share, for the three months ended June 30, 2024 (April 1, 2024 - June 30,2024).
Results of Operations
Total consolidated orders for the Kurita Group (the “Group”) in the three months ended June 30, 2024
rose 0.9% from the level of the year-ago period, to 99,268 million yen, and net sales increased 3.8%,
to 93,980 million yen. Business profit* increased 12.1%, to 8,357 million yen, operating profit was
8,638 million yen, up 6.2% versus the year-ago period, profit before tax was 8,738 million yen, rising
7.6%, and profit attributable to owners of parent amounted to 5,701 million yen, up 0.1%.
During the three months ended June 30, 2024, the global economy continued to recover moderately,
although the recovery lacked strength in certain countries and regions, given uncertainty due to theprolonged war in Ukraine and growing tensions in the Middle East.
Production activities in Japan’s manufacturing industry showed signs of recovery due to theresumption of production at certain auto manufacturers and progress in adjusting inventories ofelectronic components, including semiconductors. Capital investment held firm, bolstered by strong
corporate earnings. Overseas, the U.S. economy remained firm, while European economies
experienced a slow recovery due to the persistent effects of rising prices and interest rate hikes. The
Chinese economy’s rebound was weak due to the prolonged slump in the real estate market, but other
Asian economies showed moderate recovery.
* Business profit is the Group’s own indicator that measures constant business performance. It is net
sales less cost of sales and selling, general and administrative expenses. Although business profit is
not defined by IFRS, the Group voluntarily discloses it, believing that it is beneficial for users of its
financial statements.
Segment Information
The Group has Electronics Industry and General Industry as two reportable segments in its segment
information in order to formulate strategies based on an in-depth examination of the characteristics ofeach market and to expand solutions by combining diverse products and services, from the viewpointof providing value to society and customers.
Electronics Industry
Total Group orders for the Electronics Industry segment were 37,362 million yen, down 11.1% versus
the year-ago period. Orders for precision tool cleaning, maintenance, and recurring contract-based
services including ultrapure water supply increased, reflecting a recovery in the semiconductor market.
Meanwhile, orders for water treatment facilities decreased significantly due to the absence of orders
for large-scale projects posted in the same period of the previous fiscal year.
Total Group net sales for the Electronics Industry segment amounted to 43,606 million yen, an increaseof 0.9% year on year. Net sales of water treatment facilities declined due to the absence of sales fromlarge-scale projects in Japan, which were recorded in the same period of the previous fiscal year. Net
sales of maintenance also fell. However, net sales of recurring contract-based services and precision toolcleaning increased.
In terms of profits, business profit amounted to 4,706 million yen, an increase of 8.1% year on year,
and operating profit stood at 4,772 million yen, a rise of 5.4% year on year, reflecting an improvementin the cost of sales ratio due to a decrease in facility projects with a comparatively high cost ratio,
although net sales rose only slightly.

1General Industry
Total Group orders for the General Industry segment increased 9.8% from the same period of theprevious fiscal year, to 61,905 million yen. Orders for water treatment facilities rose mainly due to theaddition of four Arcade companies as consolidated subsidiaries in the second quarter of the previous
fiscal year. Orders for maintenance and recurring contract-based services also increased. Orders forwater treatment chemicals rose due to exchange rates and the development of the CSV business.
Total Group net sales for the General Industry segment amounted to 50,374 million yen, an increaseof 6.4% year on year. Net sales of maintenance, which was strong in the same period of the previous
fiscal year, declined, but net sales of water treatment facilities increased due to the abovementioned
acquisition of four Arcade companies and the recognition of revenue from the order backlog at the endof the previous fiscal year. Net sales of recurring contract-based services and water treatment
chemicals also climbed.
In terms of profits, business profit amounted to 3,656 million yen, an increase of 18.2% year on year,
reflecting the growth of the CSV business, which generates high-added-value. Operating profit stood
at 3,870 million yen, up 7.6% year on year, reflecting a decrease in foreign exchange gain.
Financial Condition
1) Total assets: 569,541 million yen, an increase of 12,134 million yen from the end of the previous
fiscal year
Current assets totaled 229,607 million yen at the end of the first quarter, an increase of 1,589 million
yen from the end of the previous fiscal year. This was mainly due to increases of 4,442 million yen inother financial assets and 2,544 million yen in inventories, which offset a decrease of 3,943 million
yen in trade and other receivables.
Non-current assets totaled 339,934 million yen at the end of the first quarter, an increase of 10,546
million yen from the end of the previous fiscal year. Property, plant and equipment increased 6,605
million yen chiefly due to the acquisition of new facilities in the ultrapure water supply business(Electronics Industry), and goodwill rose 4,207 million yen due to the weakening of the yen against
other currencies.
2) Liabilities: 225,643 million yen, an increase of 1,648 million yen from the end of the previous fiscal
year
Current liabilities totaled 122,326 million yen at the end of the first quarter, an increase of 3,706 million
yen from the end of the previous fiscal year. This is chiefly attributable to increases of 5,513 million
yen in trade and other payables and 2,926 million yen in bonds and borrowings, which offset a decreaseof 3,251 million yen in other current liabilities.
Non-current liabilities totaled 103,316 million yen at the end of the first quarter, a decrease of 2,059
million yen from the end of the previous fiscal year. This was mainly due to a decrease in bonds andborrowings of 1,032 million yen resulting from the repayment of long-term borrowings.
3) Equity: 343,898 million yen, an increase of 10,487 million yen from the end of the previous fiscal
yearThis was attributable to an increase of 9,315 million yen in other components of equity mainly due tothe posting of exchange differences on translation of foreign operations, reflecting the weakening of
the yen against other currencies, and a rise of 981 million yen in retained earnings due to the postingof a profit attributable to owners of parent.
Cash Flows
Consolidated cash and cash equivalents at the end of the first quarter totaled 53,050 million yen, adecrease of 959 million yen from the end of the previous fiscal year.
The various cash flows and related factors are outlined below.
1) Cash Flows from Operating Activities2

Net cash provided by operating activities during the first quarter ended June 30, 2024 totaled 16,706
million yen, an increase of 12,239 million yen from the same period of the previous fiscal year. Thiswas chiefly due to inflows, including profit before tax of 8,738 million yen, depreciation, amortizationand impairment losses of 8,445 million yen, and a decrease in trade and other receivables of 6,435
million yen, which were partially offset by outflows, including income taxes paid of 4,212 million yen.
2) Cash Flows from Investing Activities
Net cash used in investing activities totaled 15,202 million yen, an increase of 7,215 million yen fromthe same period of the previous fiscal year. Cash was used mainly for purchase of property, plant andequipment of 10,560 million yen and payments into time deposits of 4,908 million yen.
3) Cash Flows from Financing Activities
Net cash used in financing activities totaled 4,264 million yen, an increase of 6,957 million yen fromthe same period of the previous fiscal year. Cash was used mainly for dividends paid of 4,758 million
yen.
The Group’s basic policy is to constantly secure the liquidity necessary for business operations andestablish a stable fund-raising system. Short-term working capital, capital investment and otherinvestments in growth fields depend chiefly on the Group’s own funds, but the Group procuresfinancing through bond markets and bank loans as needed. As of the end of the period under review,
the Group has concluded commitment line contracts with two financial institutions (no borrowing
executed and unexecuted borrowings within the commitment line was 20,000 million yen).
Forecasts for the Fiscal Year Ending March 31, 2025
The Group considers that consolidated earnings forecasts for the fiscal year ending March 31, 2025
will be consistent with the forecast for the first half of the fiscal year ending March 31, 2025 and forthe full fiscal year stated in the “Earnings for the Fiscal Year Ended March 31, 2024” released on May
9, 2024.
The business forecasts are made by the Company based on information available at the time of
publication of this report and may differ from actual results due to changes in a range of factors.

3Condensed quarterly consolidated financial statements(1) Condensed quarterly consolidated statement of financial position(Million yen)
As of March 31, 2024

As of June 30, 2024

AssetsCurrent assets
Cash and cash equivalents

54,00953,050Trade and other receivables

139,464

135,521

Other financial assets

6,367

10,809Inventories

21,06923,613

Other current assets

7,107

6,612

Total current assets

228,018

229,607

Property, plant and equipment

190,973

197,578

Right-of-use assets

22,89822,750Goodwill

71,00175,208Intangible assets

17,485

17,559Non-current assets

Investments accounted for using equity method

1,422

1,535

Other financial assets

16,994

17,268Deferred tax assets

8,340

7,899

Other non-current assets

272

131

Total non-current assets

329,388339,934

557,407569,541

Total assets

4

(Million yen)
As of March 31, 2024

As of June 30, 2024

Liabilities and equity
Liabilities
Current liabilities
Trade and other payables

68,40373,916

Bonds and borrowings

19,09722,023

Lease liabilities

4,603

5,012

Income taxes payable

5,423

3,926

Provisions

2,399

2,005

Other current liabilities

18,692

15,441

Total current liabilities

118,620

122,326

Bonds and borrowings

58,714

57,682

Lease liabilities

18,774

18,244Non-current liabilities

Other financial liabilities

2,338

2,269

Net defined benefit liability

17,527

17,879Provisions

2,865

2,911

Deferred tax liabilities

1,628

1,350

Other non-current liabilities

3,526

2,979

Total non-current liabilities

105,375

103,316

223,995

225,643

Share capital

13,45013,450Capital surplus

(361)

(291)

Treasury shares(10,869)(10,861)

Other components of equity

30,38339,698Retained earnings

298,658

299,639331,261

341,636

2,150

2,262

Total equity

333,411

343,898

Total liabilities and equity

557,407569,541

Total liabilities
EquityEquity attributable to owners of parent
Non-controlling interests5(2) Condensed quarterly consolidated statement of profit or loss and comprehensive income
Condensed quarterly consolidated statement of profit or loss
(Million yen)Three months ended
June 30, 2023
Net sales
Cost of sales
Gross profit

Three months ended
June 30, 2024

90,544

93,98061,25361,35029,291

32,630

Selling, general and administrative expenses

21,83424,272Other income

1,023

585

Other expenses

348

304

Operating profit

8,131

8,638

Finance income

228

351

Finance costs

261

301

Share of profit (loss) of investments accounted for using
equity method

21

49

8,120

8,738

Income tax expense

2,356

2,959

Profit for the period

5,763

5,778

5,695

5,701

67

76

5,763

5,778

50.67

50.74

‒

‒

Profit before tax

Profit attributable to
Owners of parent
Non-controlling interests
Profit for the period
Earnings per share
Basic earnings per share (yen)Diluted earnings per share (yen)6

Condensed quarterly consolidated statement of comprehensive income(Million yen)Three months ended
June 30, 2023
Profit for the period

Three months ended
June 30, 2024

5,763

5,778

Net change in fair value of financial assets measured atfair value through other comprehensive income

492

(76)

Remeasurements of defined benefit plans

(24)

‒

467

(76)

9,965

9,417

Cash flow hedges

18

(15)

Share of other comprehensive income of investments
accounted for using equity method

23

64

10,0089,465

10,475

9,389

16,23915,167

16,11915,016

Other comprehensive income
Items that will not be reclassified to profit or loss

Total of items that will not be reclassified to profit orloss
Items that may be reclassified to profit or loss
Exchange differences on translation of foreign
operations

Total of items that may be reclassified to profit or loss
Other comprehensive income, net of tax
Comprehensive income for the period
Comprehensive income attributable to
Owners of parent
Non-controlling interests
Comprehensive income for the period

119

151

16,23915,167

7

(3) Condensed quarterly consolidated statement of changes in equity
Three months ended June 30, 2023 (April 1, 2023 - June 30, 2023)(Million yen)
Equity attributable to owners of parent
Other components of equity

Share capital

Balance as of April 1, 2023

Capital surplus Treasury shares

Exchangedifferences ontranslation offoreign
operations

Cash flow
hedgesFinancial assets
measured at fairvalue throughothercomprehensive
income13,450(608)(10,638)

9,678

222

Profit for the period

‒

‒

‒

‒

‒

‒

Other comprehensive income

‒

‒

‒

9,937

18

492

Total comprehensive income for the period

4,231

‒

‒

‒

9,937

18

492

Purchase of treasury shares

‒

‒

(1)

‒

‒

‒

Dividends

‒

‒

‒

‒

‒

‒

Share-based payment transactions

‒

55

‒

‒

‒

‒

Transfer from other components of equity toretained earnings

‒

‒

‒

‒

‒

‒

Total transactions with owners
Balance as of June 30, 2023

‒

55

(1)

‒

‒

‒

13,450(553)(10,639)

19,616

241

4,724(Million yen)
Equity attributable to owners of parent
Other components of equity
Remeasurementsof defined
benefit plans

Retainedearnings

Total

Non-controllinginterests

Total

Total

Balance as of April 1, 2023‒

14,132

277,639

293,975

1,784

Profit for the period

‒

‒

5,695

5,695

67

5,763

(24)

10,424‒

10,42451

10,475
16,239Other comprehensive income
Total comprehensive income for the period

295,759(24)

10,424

5,695

16,119119

Purchase of treasury shares

‒

‒

‒

(1)

‒

(1)

Dividends‒‒(4,383)(4,383)(37)(4,421)

Share-based payment transactions

‒

‒

‒

55

(2)

53

Transfer from other components of equity toretained earnings

24

24

(24)

‒

‒

‒

Total transactions with owners

24

24(4,408)(4,328)(40)(4,369)Balance as of June 30, 2023‒

24,581

278,926

305,766

1,863

307,630

8

Three months ended June 30, 2024 (April 1, 2024 - June 30, 2024)(Million yen)
Equity attributable to owners of parent
Other components of equity

Share capital

Balance as of April 1, 2024

Capital surplus Treasury shares

Exchangedifferences ontranslation offoreign
operations

Cash flow
hedgesFinancial assets
measured at fairvalue throughothercomprehensive
income5,104

13,450(361)(10,869)

25,144

134

Profit for the period

‒

‒

‒

‒

‒

‒

Other comprehensive income

‒

‒

‒

9,407

(15)

(76)

Total comprehensive income for the period

‒

‒

‒

9,407

(15)

(76)

Purchase of treasury shares

‒

‒

(0)

‒

‒

‒

Dividends

‒

‒

‒

‒

‒

‒

Share-based payment transactions

‒

69

9

‒

‒

‒

Transfer from other components of equity toretained earnings

‒

‒

‒

‒

‒

‒

Total transactions with owners
Balance as of June 30, 2024

‒

69

8

‒

‒

‒

13,450(291)(10,861)

34,552

118

5,028(Million yen)
Equity attributable to owners of parent
Other components of equity
Remeasurementsof defined
benefit plans

Retainedearnings

Total

Non-controllinginterests

Total

Total

Balance as of April 1, 2024‒

30,383

298,658

331,261

2,150

333,411

Profit for the period

‒

‒

5,701

5,701

76

5,778

Other comprehensive income

‒

9,315

‒

9,315

74

9,389
15,167

Total comprehensive income for the period

‒

9,315

5,701

15,016151

Purchase of treasury shares

‒

‒

‒

(0)

‒

(0)

Dividends‒‒(4,719)(4,719)(38)(4,758)

Share-based payment transactions

‒

‒

‒

78

‒

78

Transfer from other components of equity toretained earnings

‒

‒

‒

‒

‒

‒

Total transactions with owners‒‒(4,719)(4,641)(38)(4,680)

Balance as of June 30, 2024‒

39,698299,639

341,636

2,262

343,8989

(4) Condensed quarterly consolidated statement of cash flows(Million yen)Three months ended
June 30, 2023

Three months ended
June 30, 2024

Cash flows from operating activities
Profit before tax

8,120

8,738

Depreciation, amortization and impairment loss

7,858

8,445

Share of loss (profit) of investments accounted for using
equity method

(21)

(49)

Loss (gain) on sale of fixed assets

(26)

(9)

(642)

(1,689)(6,317)

6,435

Decrease (increase) in inventories
Decrease (increase) in trade and other receivables
Increase (decrease) in trade and other payables

1,974

5

Other

(1,899)(1,003)

9,047

20,871

Interest received

Subtotal

101

142

Dividends received

105

73

Interest paid

(98)

(169)

Income taxes paid

(4,688)(4,212)

4,467

16,706

Payments into time deposits(1,645)(4,908)Proceeds from withdrawal of time deposits

1,492

1,932

Purchase of property, plant and equipment(7,228)(10,560)

Net cash provided by (used in) operating activities
Cash flows from investing activities

Proceeds from sale of property, plant and equipment
Purchase of intangible assets
Other
Net cash provided by (used in) investing activities

28

49

(459)

(695)

(174)

(1,019)(7,987)(15,202)

9,479

2,857

Cash flows from financing activities
Net increase (decrease) in short-term borrowings andcommercial paper
Proceeds from long-term borrowings

22‒

Repayments of long-term borrowings(1,135)(1,088)

Repayments of lease liabilities(1,251)(1,274)

Dividends paid

(4,421)(4,758)

Other

(1)

(0)

2,693

(4,264)

Effect of exchange rate changes on cash and cash
equivalents

2,520

1,801

Net increase (decrease) in cash and cash equivalents

1,694

(959)

Cash and cash equivalents at beginning of period

50,46854,009Cash and cash equivalents at end of period

52,16253,050Net cash provided by (used in) financing activities

10Notes to Condensed Quarterly Consolidated Financial Statements(Notes on the Going-concern Assumption)
Three months ended June 30, 2024 (April 1, 2024 - June 30, 2024)
Not applicable(Segment Information)(1) Overview of reportable segments
The Company’s reportable segments are components of the Group about which separate financial information is available. Thesesegments are subject to periodic review to enable the Company’s board of directors to decide how to allocate resources and assess
performance.
The Group has Electronics Industry and General Industry as two reportable segments in order to formulate strategies based on an indepth examination of the characteristics of each market and to expand solutions by combining diverse products and services, from theviewpoint of providing value to society and customers.

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

11

(2) Information of reportable segments
Three months ended June 30, 2023 (April 1, 2023 - June 30, 2023)(Million yen)
Reportable Segments

Electronics
Industry

Net sales
Sales to outside customers
Inter-segment sales and transfers
Total
Segment income

General Industry

Total

Adjustments(note 1)

Amounts
reported on thecondensed
quarterly
consolidated
statement of
profit or loss
(note 2)

43,205‒47,338‒90,544‒‒‒90,544‒

43,20547,33890,544‒90,544

4,526

3,596

8,123

8

8,131

Finance income

228

Finance costs

261

Share of profit (loss) of investments accounted for using equity method

21

Profit before tax

8,120(Notes) 1. Segment income: Amount resulting from eliminations of inter-segment transactions.
2. Segment income is shown at the operating profit level.
Three months ended June 30, 2024 (April 1, 2024 - June 30, 2024)(Million yen)
Reportable Segments

Electronics
Industry

Net sales
Sales to outside customers
Inter-segment sales and transfers
Total
Segment income

General Industry

Total

Adjustments(note 1)

Amounts
reported on thecondensed
quarterly
consolidated
statement of
profit or loss
(note 2)43,606‒50,374‒

93,980‒‒‒93,980‒43,60650,374

93,980‒93,980

4,772

3,870

8,643

(4)

8,638

Finance income

351

Finance costs

301

Share of profit (loss) of investments accounted for using equity method

49

Profit before tax

8,738(Notes) 1. Segment income: Amount resulting from eliminations of inter-segment transactions.
2. Segment income is shown at the operating profit level.

12

(Net Sales)
The table below presents a breakdown of net sales for each reportable segment based on contracts with customers.
Three months ended June 30, 2023 (April 1, 2023 - June 30, 2023)(Million yen)
Reportable Segments
Electronics Industry

General Industry

Amounts reported on thecondensed quarterly consolidated
statement of profit or loss

Japan
Asia
North & South America
EMEA

24,46914,906
3,558
272

23,596
5,400
10,6007,740

48,06520,30614,159
8,012

Total

43,20547,33890,544(Notes) 1. The amounts are net sales after eliminating inter-segment transactions.
2. Net sales are broken down by countries or regions based on the locations of the Company or its consolidated subsidiaries.
EMEA stands for Europe, the Middle East and Africa.
3. Net sales in the United States, which are included in North & South America, are 12,394 million yen. Within this total, net
sales in the Electronics Industry and the General Industry are 3,558 million yen and 8,836 million yen, respectively.
Three months ended June 30, 2024 (April 1, 2024 - June 30, 2024)(Million yen)
Reportable Segments
Electronics Industry

General Industry

Amounts reported on thecondensed quarterly consolidated
statement of profit or loss

Japan
Asia
North & South America
EMEA

18,577
19,9354,850
243

23,817
5,137
12,3489,070

42,39525,073
17,198
9,313

Total

43,60650,374

93,980(Notes) 1. The amounts are net sales after eliminating inter-segment transactions.
2. Net sales are broken down by countries or regions based on the locations of the Company or its consolidated subsidiaries.
EMEA stands for Europe, the Middle East and Africa.
3. Net sales in the United States, which are included in North & South America, are 15,226 million yen. Within this total, net
sales in the Electronics Industry and the General Industry are 4,850 million yen and 10,376 million yen, respectively.

13

(Business Combination)(Transaction under common control)(KURITA HANSU Water Industries Ltd.)On April 1, 2024, Hansu Co., Ltd., which primarily engages in the manufacture and sale of water treatment chemicals in South Korea,
was absorbed into Hansu Technical Service Ltd., which primarily engages in the manufacture and sale of water treatment facilities
and maintenance services in South Korea. Following the merger, Hansu Technical Services Ltd. was renamed KURITA HANSU
Water Industries Ltd.
(1) Outline of the transaction(i) Company names and businesses at the time of integrationi) Surviving company
Name: Hansu Technical Service Ltd.
Business description: Manufacturing and sales of water treatment facilities, maintenance servicesii) Merged companies
Name: Hansu Co., Ltd.
Business description: Manufacture and sale of water treatment chemicals(ii) Date of business combination
April 1, 2024(iii) Legal form of business combination
An absorption-type merger in which Hansu Technical Service Ltd. is the surviving company. Hansu Co., Ltd. has been dissolved.
(iv) Name of the company after business combination
KURITA HANSU Water Industries Ltd.
(v) Main reason of integration
In its medium-term management plan, Pioneering Shared Value 2027 (PSV-27), the Group has determined priority measures
including the upgrade of service businesses such as ultra-pure water supply to the electronics industry which requires advanced
water treatment technologies, and the expansion of the CSV business, which seeks to create shared value with society throughbusiness targeting diverse industries.
The announced merger will integrate the technologies that the two companies have long cultivate and their abundance ofknowledge accumulated at points of contact with sites. It will thus reinforce the foundation for quickly providing solutions forthe diverse needs and issues of customers in South Korea. In particular, the Group will increase its ability to propose and provide
services, etc., for the electronics industry and accelerate the creation and provision of solutions that will create shared value
together with society in the CSV business for a wide variety of industries and in other businesses.
(2) Outline of accounting
The business combination under common control is a business combination in which all companies or businesses involved areultimately controlled by the same company before and after the business combination. The control is not temporary. The Group
continues to perform accounting treatment for all business combination transactions under common control based on carrying
amount14

(Kurita East Japan Co., Ltd. and Kurita West Japan Co., Ltd.)On April 1, 2024, the Company reorganized eleven domestic sales companies etc. which primarily sell water treatment chemicals
and provide maintenance services for water treatment facilities in Japan. Two of the 11 domestic sales companies Kurita Kanto Ltd.
and Kurita Kansai Ltd. will implement absorption-type mergers in which they are the surviving companies and the other ninecompanies are dissolved. Following the mergers, Kurita Kanto Ltd. and Kurita Kansai Ltd. were renamed Kurita East Japan Co.,
Ltd. and Kurita West Japan Co., Ltd., respectively.
(1) Outline of the transaction(i) Companies involved in mergers, their businesses, their names after mergers
Surviving company
Kurita Kanto Ltd.

Kurita Kansai Ltd.

Merged companies

Kurita BMS Co., Ltd.
Kurita Hokkaido Ltd.
Kurita Kitakantou Co., Ltd.
Kurita Buil-Tech Co., Ltd.

Kurita Tokai Ltd.
Kurita Hokuriku Ltd.
Kurita Meiki Ltd.
Kurita Sanyo Ltd.
Kurita Kyushu Ltd.

Business description

Sale of water treatment chemicals andmaintenance services for facilities

Sale of water treatment chemicals andmaintenance services for facilities

Name of the company after businesscombination

Kurita East Japan Co., Ltd.

Kurita West Japan Co., Ltd.

(ii) Date of business combination
April 1, 2024(iii) Legal form of business combination
Absorption-type mergers in which Kurita Kanto Ltd. and Kurita Kansai Ltd. are surviving companies. Kurita BMS Co., Ltd.,
Kurita Hokkaido Ltd., Kurita Kitakantou Co., Ltd., Kurita Buil-Tech Co., Ltd., Kurita Tokai Ltd., Kurita Hokuriku Ltd., Kurita
Meiki Ltd., Kurita Sanyo Ltd., and Kurita Kyushu Ltd. have been dissolved.
(iv) Main reason of integration
Under the medium-term management plan, Pioneering Shared Value 2027 (PSV-27), the Group aims to strengthen the creationof shared value with society through business targeting diverse industries, and global expansion of CSV business is positioned
as a priority measure. This reorganization is intended to speed up implementation of this measure and aims to achieve further
expansion of CSV business in Japan’s general water treatment market by seeking to strengthen contact points with customer sites
through the provision of water treatment chemicals and maintenance services on a one-stop basis and by breaking downboundaries between domestic sales companies and building a framework for quickly and efficiently sharing successful models.
Partnering closely with its customers to solve their business challenges, the Group contributes to saving water, reducing GHG
emissions, recycling waste and reducing resource inputs and aims to realize a sustainable society through the creation andprovision of solutions including CSV business.
(2) Outline of accounting
The business combination under common control is a business combination in which all companies or businesses involved areultimately controlled by the same company before and after the business combination. The control is not temporary. The Group
continues to perform accounting treatment for all business combination transactions under common control based on carrying
amount.
Disclaimer- This document is an English translation of the Earnings Report for the Three Months Ended June 30, 2024 as reference information
primarily for overseas investors. If there are any discrepancies between the Japanese version and the English version, the Japaneseversion shall take precedence in all cases.
- This document is not subject to audit.
- The forward-looking statements such as performance forecasts contained in this document are based on information currently
available to the Company and certain assumptions deemed to be reasonable, and are not intended to be a commitment by the Company.
Actual performance, etc. may differ due to a variety of factors. See “Forecasts for the Fiscal Year Ending March 31, 2025” on page 3of this document for the conditions assumed in the performance forecasts and the precautions concerning the use of performance
forecasts.

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