Kurita Water Industries Ltd.

Kurita Group Medium-Term Management Plan

PSV-27
Pioneering Shared Value 2027
(Securities code: 6370)

May 12, 2023

Contents

I

Review of MVP-22

3- 8

II

The Kurita Group’s Vision

9 - 12

III

PSV-27 (Pioneering Shared Value 2027)

13 - 34

IV

Reference

35 - 39

2

I

Review of MVP-22

3

Outline of MVP-22
Aiming to establish a rock-solid earnings base, we took on the challenge of transforming our business model and reforming
business processes.

Basic Policy

Priority measures⚫ Development of CSV businessMaximize customer intimacy by dismantling preconceived ideas
and dramatically raising the quality and speed of our work.

⚫ Rebuilding of manufacturing system
for water treatment facilities⚫ Strengthening the foundation andpromotion of research anddevelopment

Financial Management Targets⚫ Creation of new business and thepromotion of innovation⚫ Establishment of the Group governancesystemNon-Financial Indicators

Kurita Group Business Policy
Net sales organic growth rate

⚫ Enhancement of total solutions

3% or more

Solving issues related to water resources(water savings)

240 million m

10 thousand tons
450 thousand tons

Business profit margin on sales

15%

Realizing sustainable energy use(reduction of CO2 emissions)

Return on Equity (ROE)

10% or more

Waste reduction

Adoption of business segment management using return on invested capital(ROIC)

3* Amount of the reduction in environmental impact of customers the amount of the Kurita Group’s own environmental impact

4Changes in Business Environment
The COVID-19 pandemic became an opportunity to significantly change the values and structure of society and industry.

Changing population dynamics(decline and increasingly uneven
distribution of the working population)

Status of the semiconductor
industry as social infrastructure

Requirements for decarbonization and thedevelopment of a recycling-based society

Rising geopolitical risks
Acceleration of digitalization5

Change in Consolidated Financial Results During MVP-22
Although net sales grew 1.5-fold and business profit margin improved, we fell short of management targets.

◼ Net sales

Net sales(Billions of yen)

⚫ Business profit margin

600.0

14

11.0

9.5

10.0

11.4

⚫ ROE

Business profit margin ROE(%)(%)⚫ Equity ratio

20

100

11.2
73.9

10.1

66.0

62.5

344.6
300.0

236.8

257.3

264.8

267.7

Equity ratio
(%)

288.2

7

59.6

57.9

58.6

10

50

7.7

7.6

7.7

FY2020

FY2021

7.0

7.1

FY2022

FY20235.1
0.0

FY2018FY2019FY2020

FY2021

FY2022MVP-22

FY202300

FY2018FY20190

MVP-22⚫ Net sales organic growth rate: 3.7%
* Japanese GAAP is applied for FY2018, and IFRS for FY2019 onwards

6

Promotion of Management Placing CSR at its Core
The creation of shared value with society advanced due to the CSV business
Expansion of the CSV business

Progress on materiality items

CSV businesses refer to products, technologies, and business models that contributeto saving water and reducing CO2 emissions and waste more greatly thanconventional ones (as of May 2023: 53 types)* CSV: Creating Shared Value[Change in Reduction of Environmental Impact Among Customers](Million m3)(Thousand tons)

150

500
◼ Water Savings (Million m3)◼ Waste reduction amount (Thousand tons)

75

250

2018

2019

2020

2021

2022
(FY)

* Actual results from FY2022 are currently being compiled

I. Provide highly safe services and products(1) Rate of product safety evaluations for newly
developed products(2) Rate of front-line employee participation in regularsafety training directly related to products andservices
II. Conduct fair business activities
Rate of participation in compliance-related training
among officers and employees
III. Respect human rights(1) Rate of training conducted in relation to humanrights among officers and employees(2) Rate of participation in safety training related tosite operations◼ CO2 Emissions Reduction (Thousand tons)

0Year ended March 31, 2023
Index

0

IV. Solve issues related to water resources
Water savings at customers –Amount of water intake used in our business activities

TargetForecast*

Evaluation(expected)

100%

100%

Achieved

100%

100%

Achieved

100%

100%

Achieved

100%

100%

Achieved

100%

100%

Achieved

240 million m3

118 million m3 Unachieved

V. Realize sustainable energy use
CO2 emissions reduction at customers –CO2 emissions from our business activities

10 thousand
tons

172 thousand
tons

VI. Reduce waste
Waste reduction at customers –Waste generated from our business activities

450 thousand
tons

415 thousand
tons UnachievedVII. Advance industrial production technologies
Proportion of themes falling into “Contribution to
improvement of production process”
to product development themes* Actual results from FY2023 are currently being compiled

35%

37%

Achieved

Achieved

7

MVP-22 Achievements and Issues
We made progress securing an operating base and making the shift to a service business, but need to make further
changes that will lead to revenue growth
Key Achievements

Main Issues

Established a global four-region structure

Business expansion tailored to the characteristics
of industries and customers

Advanced global projects, demonstrated synergy

Break away from the uniform rollout of specific models

Created and rolled out value-driven
high value-added models
CSV business and contract-based services
other than ultra-pure water supply

Creation of new businesses
Towards establishing the pillars of future business

Human resource development
As a driving force for creating innovationand making solution-based proposals

Began DX and innovation promotion
Meta-Aqua Project, establishment of the Kurita Innovation HubStrengthened governanceUtilizing DX and the global business base,strengthening oversight and business execution

8

II

The Kurita Group’s Vision9

Corporate Philosophy and Philosophy System

Study the properties of water, master them, and we will create
an environment in which nature and humanity are in harmony

Pioneering “new value for water” to contribute to the realization ofa sustainable society⚫ Deepen understanding of frontline sites⚫ Elevate and connect expertise⚫ Exceed expectations⚫ Maintain unwavering integrity

10Flow of the Philosophy System and Value Creation
Aim for sustainable growth which is influenced by the interactions of corporate activities, the natural environment and social
systemMateriality at the Kurita Group (Shared Value Themes, Basic Themes)
Kurita’s Value Creation Story

Water
knowledge
Operation ofWide-Ranging
Businesses

DiverseSolutions

Changing
society andindustries withwater knowledge

Maximizing
customer value

DiverseBusiness
ModelsWinning the trust of customers
and society and building
a sustainable societyHighprofitability andsustainablegrowthCorporate Philosophy

Diverse Pointsof Contact
with Sites

VisionThe Mega Trends the Kurita Group Faces

Technology
Development
Capability

Identifying
True
IssuesValues11

Materiality of the Kurita Group
With the aim of expanding the core of management strategy from CSR to sustainability and synchronizing Kurita’s
earnings capacity with the realization of a sustainable society, we have identified materiality along two tracks:the impact onsociety and the environment, and the impact on the corporate value of the Kurita Group.
Theme

Materiarity

Contributions to the SDGs

Solve issues related to water resources

Shared Value Themes

Contribute to the realization of a decarbonized society
Contribute to building a circular economy society
Develop and disseminate innovative products, technologies,
and business models
Strategic development and utilization of human resources

Basic Themes

Provide highly safe and quality products and services
Conduct business activities respecting human rights
Conduct fair business activities

12

III

PSV-27 (Pioneering Shared Value 2027)

13

The Positioning of PSV-27
We will make full use of what we achieved in MVP-22 and accelerate revenue growth globally

PSV-27

VisionMVP-22⚫ Shift to a service business⚫ Strengthening a business base(overseas, DX, development sites)⚫ Creation of high value-added models⚫ Fostering an awareness of change

Proactive investment

Basic Direction⚫ Increasingly diversified and in-depth service
businesses⚫ Accelerated rollout of products and services
suited to regional and market characteristics⚫ Enhanced capacity for social value-driven
business⚫ Reinforced base to drive implementation of theabove (human resources, technology,
governance)

Proactive and effective investment

Value-driven transformation of business models and reform ofbusiness processes

Pioneering new value for water tocontribute to the realization of asustainable societyupSocial Valueup

Customer Valueup

Economic Value

14

Overview of PSV-27
Refine human resources, technologies and business processes to create value that exceeds expectations fromstakeholders through overwhelming speed and problem-solving ability.
I. Growth Strategy

Measures for Growth

Developing Markets

Increasingly diversified and in-depth service businesses

Electronics industry market with high growth potential

Strengthening the creation of shared value with society
through our business activities

General water treatment market featuring points of contact withvarious industries and customers

Acceleration of DX and use of digital technology

II. Strengthening Management foundations
Bolstering human capital

Promoting innovation

Enhancing governanceIII. Financial Strategy
Making strategic investments and managing return on investment

Enhanced shareholder returns
15

PSV-27 Management Targets(Targets to be Achieved by the Fiscal Year Ending March 31, 2028)

Financial Indicators

Net sales

Business profit margin on sales

Return on Equity (ROE)

Main Non-Financial Indicators

450.0 billion yen

Amount of water savings through CSV
business

300 million m

16%

Avoided GHG emissions through CSV
business

1,500 thousand tons

12% or more

Rate of increase in resource recovery or
reduction of resource input through CSV
business (compared to FY2022)

300% increase3* See page 37 for an overview of non-financial indicators

Return on Invested Capital (ROIC)

10% or more
16

Electronics

Business Environment and Recognition of Current Conditions

Market growth up to 2027 is expected to exceed a CAGR of 6%, with trends spurring large-scale investment set tocontinue

Semiconductor Support Trends
by Country/Region

Worldwide Semiconductor Sales(US$B)
1,000

Countries
and Regions

Major Trends of Industry Support Measures

President Biden signed the CHIPS Act,
which included 50 billion dollars (approx.
United States
6.5 trillion yen) of investments in thesemiconductor industry
500

EuropeDevelopment of a structure to invest 43
billion euros (approx. 6.3 trillion yen) insemiconductor-related technologies in the
public and private sectors (expected to be
officially enacted following approval from theEuropean Parliament and other bodies)

Forecast
China
0

2010

2015

2020

* Source: Created by Kurita Water Industries based on Omdia data

2022

2030

1 trillion yuan (approx. 19 trillion yen) in
Chinese semiconductors and supply
networks, resisting the US by augmenting
manufacturing equipment, materials andproduction systems as a unified effort by
the public and private sectors* Source: Compiled by Kurita Water Industries from various press reports

17

Electronics

Business Strategy for the Electronics Industries

Securing points of contact with a wide range of customers globally through various services and DX

Net sales

Key Measures• Expansion of diverse value-driven service businesses• Evolution of the water supply business210.0 billion yen◼ Facilities◼ Service* Including the precision tool cleaning business• Strengthened foundations of the precision tool cleaning
business• Development of business foundation in North America
and Europe• Production process reform and supply chain
strengthening

Changing into an organization that specializes
in the electronics Industries and integrally
supports the value chain including sales,planning, production and procurement

FY ended
March 31, 2023

FY endingMarch 31, 2024
(Forecast)

FY endingMarch 31, 2028
(Target)

15%

11%

20%
Business profit
margin18

Electronics

Expansion of Diverse Value-Driven Service Businesses

Expanding the customer base and operating areas due to the diversification of services

Customer BaseFunction-Specific andStandardized Services(Reclaimed water supply, purewater supply)Servicescorresponding toplant size
(small and medium-sized facilities,
use of existing facilities)

Newly Targeted Domains
Proposals to
reduce total costs
including utilities

Existing Domains

Area water supply(resource recycling)
Precision tool cleaning(Expanding thebusiness area)

Resin and Membrane
Recycling Service

Maintenance

Facilities Business inNorth America andEuropeUltrapure Water Supply
Business
EPC
Precision Tool Cleaning
Business

New Area

19

Electronics

Evolution of the Water Supply Business

Developing and rolling out new a water supply business model with a value-driven approach
Area Water Supply Business in Newly
Targeted Domains (Conceptual Image)

Conventional Water Supply(Ultrapure Water Supply Business)(Reclaimed water supply, pure water supply)Services corresponding to plant size
(small and medium-sized facilities, use of existing
facilities)

Proposals to Reduce Total Costs including
Utilities

Strengthening Competitiveness

Service Diversification

Function-Specific and Standardized Services

Recycled water supply services provided tomultiple customers in the same region

Expanding
the Customer
Base

Kurita Purification andRecycling Center

Customer A• Supply of recycled
water• Solid and liquid waste
resource recycling

Customer B
Minimize sewage release

Release into rivers
Customer C

Streamlining of Operation and Management Through theUse of Digital Technology

Coexistence with Local Communities

20Electronics

Strengthened Foundations of the Precision Tool Cleaning
Business

We will translate market growth into business opportunities, aiming to achieve stable growth through businessdiversification

Direction of Initiatives

Net sales

Adopt an integrated operating structure for the precision
tool cleaning business within the Group to strengthen
the creation of synergy

45.0 billion yen• Expand the scope ofbusiness• Boost productivity• Develop new customers

Aim to shift to a precision tool cleaning businessthat is less affected by silicon cycle effects

FY ended
March 31, 2023

FY endingMarch 31, 2024
(Forecast)

FY endingMarch 31, 2028
(Target)21

Electronics

Building New Business Foundations in North America andEuropeAim to launch facilities businesses in Europe and the US in light of market characteristics and the existing business base
North America
Take on the challenge of establishing the facilities business for cutting-edge semiconductors by utilizing the resources of local site

2022

2023
Feasibility studies
Approach to customers

2024
Building of a business structure
EP + Modularization*

2025Launch of thebusiness

Maintenance(New business model)

Establishmentof a businessfoundation* EP (Engineering & Procurement) + Modularization: A construction method to modularize completed water treatment facilities and assemble them within a customer factory, instead of building equipmentfrom scratch within the factory

EuropeAcquire a local business base through M&A activities and demonstrate synergy with the Kurita Group
2022

2023
Feasibility studies

2024
Acquisition
of Business
Base

2025-

Business expansion that demonstrates synergy

22Electronics

Production Process Reform and Supply Chain Strengthening

Improve competitiveness through stronger coordination in the value chain and DX

BeforeAfter

DesignDemandForecasting

DesignImproved coordination of
information with sales

Shortened production person-hours

Procurement

Procurement

Adoption of DX-based automateddesign and expanded scope

Manufacturing to Construction Work

Manufacturing to Construction Work• Sharing of materials• Logistics rationalization

Cost reductions

Post-Handover Follow-Ups(New Value)• Shift to in-house production• Modularization

Quality improvements (stabilization of supply)
23

General water
treatment

Business Environment and Recognition of Current Conditions

The diversification of industries and regions contributes to business stability but also results in increasingly diverse needs
Extensive points of contact with various industries

Regional diveristy
Composition of Sales by Region

Points of contact with sites expanding globally
Space station
Geothermal
power plant
Mine and smelter

Solar power

AirportSugar
production plant9%
Hot spring
inflow river(purification)

Forestry

3% 1 %

Livestock
Sewagetreatment plant

Soil and groundwater
remediation

17%

15%

Culture farm
Urban methane
fermentation

Year ended
March 31, 2023
Consolidated net sales

Plant factory
Crop production and processing plantYear ended
March 31, 2014*
Consolidated net sales

Housing178.1 billion yen

Water purification plant
Dredging work (lake)
Waterside park
Office building
Production plantHotel
Hospital

Refrigerated
warehouse

Aquarium

Incineration facility
Biomass boiler

344.6 billion yen

Electric vehicle

81%

Paper mill
Water recovery plant

Shopping center

Civil engineering
work

23%
51%

Water park
Iron steel mill

Restaurant
Fishing port

Sewage treatment plant
Thermal power
plant

Petrochemical complex

Shield method█ Japan█ Asia█ North & South America█ EMEA

Ship
Dredging work (port)
Seawater desalination plant* Composition of net sales before the acquisition of the European business base in 2015.

24

General water
treatment

Business Strategy for the General Industries

Accelerate the rollout of high value-added models through business expansion tailored to the characteristics of specificregions and markets

Net sales

Key Measures

240.0 billion yen• Building a business structure in light of regional
characteristics• Further expansion of CSV business• Use of digital infrastructure to accelerate expansion• Challenges for new businesses that contribute to a
recycling-oriented economy and society

Developing an organizational structure
combining regional functions with supervisory
functions, in pursuit of business promotion andregional collaboration tailored to regional
characteristics

FY ended
March 31, 2023

FY endingMarch 31, 2024
(Forecast)

FY endingMarch 31, 2028
(Target)

9%

10%

13%
Business profit
margin25

General water
treatment

Building a Business Structure in light of Regional Characteristics

In the four regions, we will create shared value together with the customers of each region, with regional management
promoting collaboration⚫ Early profitability of Kurita America based on experiencesin Europe⚫ Expansion of CSV business to mainland China

Customers

EMEA
andAmericas

China⚫ Interregional human resource devleopment
program

Regional
Management

Customers⚫ Accumulation of a track record in the adoption of diverse
models that cover production processes from utilities

Japan

Customers⚫ Building a shared data infrastructure aroundthe world

ASEAN

Customers⚫ Integrated CSV business expansion in ASEAN
region, promotion of streamlining

26

General water
treatment

Further Expansion of CSV Business

Share information globally and promote an expansion with optimum models and sales methods for each industry and region
For utility equipment

For production and manufacturing processes(applied to boilers and cooling systems, etc.)(applied to production and manufacturing processes, etc.)

Applied to a wide range of industries

Characteristics

Varies by industry and customer

Share successful models and adoption results between regions to
expand efficiently

Direction of
Expansion

Build optimum models for customers through adjustment andcombination

Removal of scales attachedto the inside of boilers[ Various Industries ]Optimization of wastewater
treatment chemical dosage[ Various Industries ]Use of unburned carbon
content as a sintering fuel[ Steel Production ]Improving the efficiency ofheat transfer in dryers[ Paper and Pulp ]DReeM Polymer compound

Coagulation sensor-based
wastewater treatment
3S solutions

Blast furnace dust reforming
technology

Kurita Dropwise Technology

CO2 emission
reduction

CO2 emission
reduction

Water saving

CO2 emission
reduction

Waste
reduction

Examples ofIntroduction27

General water
treatment

Utilize Digital Infrastructure to Accelerate Expansion

Share and utilize information on contact points with customer around the world to create value globally
EMEA
Customersales
representative

Japan
sales
representative

AmericasCustomersales
representative

Customer

ASEAN
Encourage
utilization throughsoftware andapplications

sales
representative

Customer

Accumulate and share information
developed as formalized knowledge
Kurita Group data infrastructure28General water
treatment

New Businesses Contributing to a Recycling-Oriented Society

Cultivation of new businesses that will be future revenue pillars utilizing water knowledge, including the water treatment andpurification technologies cultivated through diverse contact points with customers
Example of a Challenge : Used Diaper Recycling Business* Recycling Technologies : Technologies for reusing impurities as valuable resources by developing
technologies for removing impurities from water and reusing waterSocial Issue: Amount of waste from adult diapers has
increased due to the aging population
Rising disposal andprocessing costs

Increased incinerationand processing costs(Elderly care facilities)(Local governments)

Commercialization

Separation

Combination ofSocial Issues andResource Recycling
Technologies

Expanding a resource
recycling businessthrough corporate
collaboration

Used
diapers

Recycled plastics
superabsorbent
polymer
Pulps

Recycling technologies
Waste liquid andother waste(W)

to

Valuables(X)

Separation and Treatment System(Kurita SAMS System)

Supporting resource
recycling through theprovision of systems

Valuable resources (x) =water, methane, electricity, fuel, NH3, P,
rare metals, plastics, fertilizer, feed, etc.

29II. Strengthening
the Business
Foundation

Strengthening of Human Capital(Strategic Cultivation and Utilization of Human Resources)

Acquire and cultivate human resources that are the key to the creation of innovation and strengthen mechanisms to ensure
their success
Main Initiatives

Enhance employee job fulfillment

Cohesion ofhuman resources

Active participation ofindividuals who
possess a highdegree of expertise

Revisions to personnel systems

Utilize diversity

Diverse expertiseand experience

Globalization

Systematic enhancement ofdevelopment opportunities

Secure and cultivate key humanresources that will support Kurita
as a technology-driven company
Developmentsavvy humanresources

Digitally-mindedhumanresources

Intellectual
propertyoriented humanresources

Hiring of experienced talent30

II. Strengthening
the Business
Foundation

Promoting Innovation (Technological Capital, Intellectual Capital)

Leverage the strengths of the Kurita Group’s technologies, infrastructure, networks and intellectual property to facilitate
innovation

Offense(Analysis and utilization of intellectual
property data)＋
DefenseIntellectual
property

Technologies

In-depth pursuit of basetechnologies+
In-depth customer analysis

Base to Drive
Implementation

Utilization of
Kurita Innovation Hub＋Open innovation promotion(Strategic patent acquisitions)

Information sharing andutilization of Group R&D overall+
Enhanced function to searchand catch information

GlobalNetworkCreate new solutions and businesses to provide new value to customers and society31II. Strengthening
the Business
Foundation

Enhancing GovernanceTransition to a company with a Nominating Committee, etc. to further enhance governance⚫ Through a system that clearly separates management supervision and execution, focus on management supervision with the perspectives ofvarious stakeholders
Objectives⚫ In management execution, utilize knowledge and appropriate monitoring functions on the supervisory side and adopt a structure for decisivedecision-making on business execution* The transition will take place following approval by the ordinary general meeting of shareholders to be held in large June 2023

Supervision
FemaleExecution
NonJapanese

FemaleSeparation
External Directors

Internal Directors

Independent external
directors account for half

President andRepresentative
Executive Officer(Internal Director)

Senior Managing
Executive Officer

Composition of each committee

Managing Executive
Officer(Internal Director)

Diversity
Composition of the Board of Directors
Ratio of external directors

Nominating
Committee

Remuneration
Committee

Audit & Supervisory
Committee

Executive Officers

40%

50%

Ratio of female directors

20%

25%

Composition of
Executive Officers
Ratio of non-Japanese
executive officers

0%

17%
32

III. Financial
Strategy

Growth Investment and Cash Allocation

Prioritize use for growth investment under well-disciplined investment decision-making and financial management

Cash Allocation

Debt utilization
50 billion yen

Dividends
40 billion yen

Asset reduction
60 billion yen

M&A
80 billion yen

Operating CF
200 billion yen

Priority of the Use of Funds

Shareholder
Return1

Growth investment (water supply, asset ownership-based
services, regional complement, new business, etc.)
Strengthened investment management through ROIC management andwell-disciplined investment decision-making criteria

2

Operating CF
Growthinvestment
Facility
upgradesCapitalinvestment
190 billion yen

Facility upgrades (IT investment, reorganization of
production sites, etc.)
Continue to make investments that help develop the foundations of growth3

Continuation of increased dividends
Over the past five years, we maintain our financial rating with a dividend
payout ratio in the 30-50% range, and followed a policy of systematicallyincreasing dividends over the long term

Generationof cashUses of cash

MVP-22

Generationof cashUses of cash

PSV-27

4Purchase of treasury shares
Consider flexible purchase of treasury shares, considering fundingneeds, stock price, capital structure and other circumstances33

III. Financial
Strategy

Initiatives to Enhance Corporate Value

Maximize corporate value of the Company through expanded equity spread and steady shareholder returns

Profit growth
Expanded equity
spread✓ ROE at least 12%✓ Expand ROE - cost ofshareholders’ equity

Improved asset
efficiency

Maximizationof Corporate
Value
Optimization of thecost of capital✓ Net sales 450.0 billion yen✓ Business profit margin 16%✓ Stable generation of operating CF✓ ROIC* at least 10%* ROIC =Business profit - corporate tax
Interest-bearing debt + shareholders’ equity✓ Long-term risk mitigation through the promotion ofsustainability management✓ Ongoing pursuit of optimum capital structure

Shareholder return✓ Continued dividend increases✓ Consideration of treasury share purchases
Note: Figures are target figures to be met by March 31, 2028

34

IV Reference35

PSV-27: Targets and Exchange Rate Assumptions
Financial Status

Profit/Loss Situation

FY2023(Results)

FY2023(Results)

FY2024(Forecast)

FY2028(Target)Net sales

344.6 billion yen

375.0 billion yen

450.0 billion yen

Electronics
industries

149.3 billion yen

162.5 billion yen

210.0 billion yen

Generalindustries

195.3 billion yen

212.5 billion yen

240.0 billion yen

Business profit

38.6 billion yen

40.0 billion yen

72.0 billion yen

FY2024(forecast)

FY2028(Target)

ROE

7.1%

ー

12% or more

ROIC

8.0%

ー

10% or more

PSV-27 exchange rate assumptions
FY2023(Results)

Business profit
margin

11.2%

10.7%

16.0%

Electronics
industries

14.6%

11.1%

20.0%

Generalindustries

8.7%

10.3%

13.0%

Operating profit

29.1 billion yen

39.0 billion yen

Profit attributable toowners of parent

20.1 billion yen

CSV business net
sales

ー

FY2024(forecast)

FY2028(Target)

United States (USD)

135.5 yen

135.0 yen

135.0 yen

Europe (EUR)

141.0 yen

138.5 yen

138.5 yenー

Korea (KRW)

0.104 yen0.102 yen0.102 yen

27.0 billion yenーChina (CNY)19.8 yen

19.7 yen

19.7 yen50.0 billion yen

100.0 billion yen

36Materiality Indicators (Targets to be achieved by March 31, 2028)
Shared Value Themes

Basic Themes
Develop and disseminate innovative products, technologies, and business models

Solve issues related to water resources
Total number of basins where collective actions are implemented and total
population in the basins

5 basins,
600 million people

Investment rate in innovation areas

30%

Rate of the number of themes in innovation areas30%

Number of stakeholder engagements related to innovation areas
Amount of water savings through CSV business

300 million m3

Continuous increase
every year

Strategic development and utilization of human resources

Rate of reduction of GHG emissions and amount of water saving throughCSV business (compared to FY2023)

50%

Engagement Score(a. rate of companies above the average of all industries, b. Score of eachcompany surveyed)

Rate of reduction of water intake intensity (compared to FY2023, excluding
the ultrapure water supply business)

20%

Rate of women, foreigners, and experienced personnel among executives of KWI

40%

Fill rate of human resources for development, digital, and intellectual property

80%

Number of individuals, organizations and groups we engage with to raiseawareness on water resources

Continuous increase
every year

Contribute to the realization of a decarbonized society
Rate of reduction in Scope 1+2 emissions (compared to FY2020)

Provide highly safe and quality products and services
Reduction rate in the recurrence rate of accidents that affect customers and society

73%

Avoided GHG emissions through CSV business

22%
1,500 thousand tons

Rate of increase in resource recovery or reduction of resource input throughCSV business (compared to FY2023)
In-house waste recycling rate

Accident Severity Rate (KWI, and group companies in Japan)
Rate of participation in human rights-related training

Establishment of a liaison for remedies from human rights violations (grievancemechanism)

Contribute to building a circular economy society

20% year on year

Conduct business activities respecting human rights
Conducting human rights due diligence on suppliers

Rate of reduction in Scope 3 emissions (compared to FY2020)

a: 75%
b: Continuous increase

Continuous implementation

0.005 or less100%
Completed

Conduct fair business activities
300%
Continuous increase
every year

Rate of participation in whistle-blowing system related training

100%

Rate of participation in training related to laws and internal rules for anti-bribery andantitrust, etc.

100%

Number of violations of anti-bribery and antitrust laws

037

Segment Changes
Up to Fiscal Year Ended
March 31, 2023

From Fiscal Year Ending
March 31, 2024

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

Electronics industries(breakdown)

Facilities

Chemicals

Maintenance

Facilities

Ultrapure water supply business

MaintenancePrecision tool cleaning

Precision tool cleaning

Japan
Asia
North & South America
EMEA

Recurring contract-based services*
Water Treatment Facilities (overseas)(including ultrapure water supply business)

Facilities
MaintenanceUltrapure water supply business
Precision tool cleaning

General industries(breakdown)

Chemicals
Japan

Facilities
Asia

Maintenance
Water Treatment Facilities business(for domestic general industries)
Energy and infrastructure

Other services(Including soil remediation, Recurring
contract-based services, etc)

North & South America
EMEA

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

38

Major External Recognitions During the Term of MVP-22
Recognition from ESG
rating organizations

Inclusion in ESG indices
FTSE4Good
Index Series

FTSE Blossom
Japan Index

FTSE Blossom
Japan Sector
Relative Index

MSCI ACWIESG Leaders Index

ISS-ESG

Recognition from supplierrating organizations
MSCI JapanESG Select Leaders Index

MSCIJapan Empowering Women(WIN) Select Index

SOMPO
Sustainability Index

EcoVadis* The inclusion of Kurita Water Industries Ltd. in the MSCI Index and the use of the MSCI logo, trademarks, service markets or index names on this page does not constitute support for, endorsement or promotion of Kurita Water Industries Ltd. on thepart of MSCI or its affiliates.
Exclusive ownership of MSCI: MSCI, the MSCI index names and logos are the trademarks or service marks of MSCI or its affiliates.

39

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 the Company or other companies.