(Translated)

February 06, 2024

Consolidated Financial Results
for the Nine Months Ended December 31, 2023 (Q3 FY2023)(Japanese Accounting Standards)
Company name:
Stock exchange listing:Stock code:
URL:
Representative:
Contact:

Itoham Yonekyu Holdings Inc.
Tokyo Stock Exchange2296

https://www.itoham-yonekyu-holdings.com

Isao Miyashita, President and Chief Executive Officer
Masaru Kato, General Manager, Public &Investor Relations OfficeTel. +81-3-5723-6889
February 14, 2024
Scheduled date for filing of securities report:
Scheduled date of commencement of dividend payment: －Supplementary documents for financial results:
Yes
Quarterly results briefing:
No(Amounts of less than one million yen are truncated)

1. Consolidated Financial Results for the Nine Months Ended December 31, 2023 (April 1, 2023–December 31, 2023)(1) Consolidated Results of Operations(% figures show year-on-year change)
Profit attributable toowners of parent
Million Yen% Million Yen% Million Yen% Million Yen%
728,220
20,727 (13.3)
23,401 (10.0)
15,366 (13.4)
3.8
701,596
23,91726,011
17,7547.0
3.4(2.9)(4.5)
20,126 million Yen
Nine months ended December 31, 2023
19,917 million Yen
Nine months ended December 31, 2022
ProfitDiluted profit
per shareper share
Yen
Yen
269.80269.71306.49306.37
Net sales

Nine months ended
December 31, 2023
December 31, 2022
(Note) Comprehensive income:Nine months ended
December 31, 2023
December 31, 2022

Operating profit

Ordinary profit

1.1 %
6.9 %

(Note) As the effective date on October 1 2023, we have completed a share consolidation (combining 5 shares of common stock into 1 share).
In regard to above Profit per share and Diluted profit per share, it shows on the assumption of the share consolidation be carried out
at the beginning of previous fiscal year.

(2) Consolidated financial position
Total assets
Net assets
Million Yen
Million Yen
483,761
282,516
436,763
269,261
As of December 31, 2023
As of March 31, 2023

As of December 31, 2023
As of March 31, 2023
(Reference) Shareholders’ equity:

Equity ratio%
58.3
61.5
281,828 million Yen
268,608 million Yen

2. Dividends
Dividend per shareFirst
quarter-end

Secondquarter-endYenYen
0.00
0.00

For the fiscal year ended
March 31, 2023
March 31, 2024
For the fiscal year ending
March 31, 2024
(Forecast)――Thirdquarter-end
Yen――

Fiscalyear-end

Total

Yen
24.00

Yen
24.00

―

125.00(Note) Changes to most recent dividend forecast : None
(Note) As the effective date on October 1 2023, we have completed a share consolidation (combining 5 shares of common stock into 1 share).
The forecast for the Total annual divident is shown as "－ en dush " because simple sum is not appropriate.

3. Forecast of Consolidated Financial Results for the Fiscal Year Ending March 31, 2024
(April 1, 2023 to March 31, 2024)
Net Sales
Full year

Million Yen
930,000%0.8(Note) Changes to most recent financial results forecast : None(% figures show year-on-year change)
Profit attributable toProfit per shareowners of parent% Million Yen%
Yen
15,000 (11.6)
263.41(4.0)

Operating profit

Ordinary profit

Million Yen
23,000Million Yen
25,000%0.0

(Translated)* Notes(1) Changes in significant subsidiaries during the term (changes in specific subsidiaries accompanied by a change in thescope of consolidation):
None
(2)

Application of special accounting treatment in the preparation of the quterly consolidation financial atatements:
None

(3)

Changes in accounting policies, changes of accounting estimates and restatement(i)
Changes in accounting policies due to amendments to accounting standards:(ii) Other Changes in accounting policies:(iii) Changes in accounting estimates:(iv) Restatement:

None
None
None
None

(4) Numbers of shares outstanding (common stock)(i)
Numbers of issued shares at end of period:
57,471,011 shares
As of December 31, 2023 :
57,471,011 shares
As of March 30, 2023 :(ii) Numbers of treasury shares at end of period:
526,473 shares
As of December 31, 2023 :
526,552 shares
As of March 30, 2023 :(iii) Average number of shares outstanding during period:
56,955,917 shares
As of December 31, 2023 :
57,928,432 shares
As of December 31, 2022 :(Note) As the effective date on October 1 2023, we have completed a share consolidation (combining 5 shares of common stock into 1 share).
In regard to above (i) to (iii), it shows on the assumption of the share consolidation be carried out at the beginning ofthe previous fiscal year.

* This Summary of Consolidated Financial Results is outside the scope of the external audit.
* Explanation for using the forecasted information and the other special notes(Notes concerning forward-looking statements, etc.)
This summary financial report contains forward-looking statements and forecasts are made based on information available to thecompany at the time of preparation and certain assumption deemed to reasonable and actual result may significantly due tovarious factors.
For assumptions used for earnings forecasts and notes on the use of earnings forecasts, please refer to “(3) Outlook”
under “1. Overview of Operating Results and Financial Position” on page “3”.
(Access to Supplementary Explanations)
Explanatory materials for quarterly financial results will be published on TD-net for viewing in Japan and on our website.

(Translated)

Itoham Yonekyu Holdings Inc.

Contents

1. Overview of Operating Results and Financial Position ………………………………………………………………………………………………………
2(1) Overview of operating results ………………………………………………………………………………………………………………………
2(2) Overview of financial positions ………………………………………………………………………………………………………………………
3(3) Outlook …………………………………………………………………………………………………………………………………………………
3

2. Consolidated Financial Statements and Key Notes …………………………………………………………………………………………………………
4(1) Consolidated balance sheets ……………………………………………………………………………………………………………………………
4(2) Consolidated statements of income and comprehensive income …………………………………………………………………………………………
6(3) Notes on the consolidated financial statements …………………………………………………………………………………………………………
8(Notes on going concern assumptions) ……………………………………………………………………………………………………………………
8(Notes in the case of significant changes in shareholders' equity) ………………………………………………………………………………………
8(Segment information) ……………………………………………………………………………………………………………………………………
81

(Translated)

Itoham Yonekyu Holdings Inc.

1. Overview of Operating Results and Financial Position(1) Overview of operating results〇Domestic economic situation
The Japanese economic activities show slow recovery trend due to improvements of employment income enviroment and recoveryof personal consumption.
On the other hand, changing in resource prices and trends of financials/ foreign exchange markets affect domestic economy andprices as a background of global uncertainties.
〇Our industry situation (Meat Processing industry)
The business environment remained difficult condition due to rising raw material prices and logistics costs on top of persistently
high utility and packaging along with weakening yen. In addition, although consumer purchasing intentions temporarily improved
due to the normalization of economic activities. However, consumer confidence has began to stagnate and save the cost, because
incresing the overall living cost gradually. In these circumstances, the Group should respond to consumer needs and values that arerapidly changing and diversifying, such as shift in consumer behavior, accelerated digitalization, and growing interest insustainability.
〇Our operating results and overview◇Consolidated operating results
Net sales

Operating profit

Million Yen%

Million Yen%

728,220

3.8

20,727(13.3)(% figures show year-on-year change)
Profit attributable toOrdinary profit
owners of parent
Million Yen%
Million Yen%

23,401(10.0)

15,366(13.4)

We implement the following measures based on the four priority policies and financial strategies of the Medium-Term
Management Plan 2023.
Priority policies

Main measures

Strengthen management
base

Strategic-based reorganization , Promotion of digital strategy

Strengthen earnings baseReorganization of production and logistics bases, Enhancement of WAGYU exports

Initiatives for new
businesses and markets

Strengthen Frozen foods, Expanding rage of Non-meat products, Strengthening Healthcare
business

Initiatives forsustainability

Reducing greenhouse gas emissions, Conducting human rights due diligence, Considering
Animal welfare

In terms of financial strategy, we aim to enhance return on invested capital (ROIC) and increase dividends steadily around the payout
ratio 40% to maximize shareholder value, by carrying out shareholder return policies while ensuring financial soundness and capitalefficiency. Then we have set 2 billion yen limit for the acquisition of treasury stock for this fiscal year.
(% figures show year-on-year change)◇Operating results by reportable segment
Net Sales
Ordinary profit
Million Yen%
Million Yen%
Processed Food Division

301,725

4.2

8,557

12.0

Meat Division

426,482

3.5

15,811(17.7)<Processed Food Division>
・ Regarding Hams and Sausages, net sales increased driven by TV commercials and consumer campaigns to expand sales of the main
products for consumer products such as “The Grand Alt Bayern”, “Asano Fresh Series”, and “Gotenba Kogen Arabiki Pork”, on top of
stable sales of business-use products.
・ Regarding Cooked foods, net sales increased driven by expanded product range to accommodate more diversified consumer needs suchas pizza products of “La Pizza” and “Pizza Garden”, “Salad Chicken”, and soy-meat products of “Marude Oniku! Series”, on top ofincreased sales of business-use products.
・ Net sales and ordinary profit of the Processed food division increased due to the price revisions and cost reduction efforts.
<Meat Division>・ In domestic business, net sales amount increased driven by increasing sales volume due to strengthening domestic meat production
equipment and recovering foodservice demand. The profits increased as a result of value chain management connected with imported
beef and imported chicken mainly, despite the impact of remaining high compound feed prices and rising logistics costs including
storage fees.
・ In overseas business, under the situation of the global beef demand dropped comparison with previous year, therefore ANZCO Foods
decreased the sales prices of beef products.
・ Net sales of Meat Division increased, but ordinary profit declined due to the impact of the decrease in overseas business profit.

2

(Translated)

Itoham Yonekyu Holdings Inc.

(2) Overview of financial positions(Assets, liabilities and net assets)
・ Total assets was 483,761 million yen, an increase of 46,998 million yen from the end of the previous consolidated fiscal year.
Increase factors: Increase in Accounts receivable-trade
・ Liabilities was 201,245 million yen, an increase of 33,743 million yen from the end of the previous consolidated fiscal year.
Increase factors: Increase in Accounts payable - trade, and Short-term borrowings
・ Net assets was 282,516 million yen, an increase of 13,254 million yen from the end of the previous consolidated fiscal year.
Increase factors: Increase in Retained earnings and Foreign currency translation adjustment(3) Outlook
There are no changes to the consolidated results forecasts for the full year of the fiscal year ending March 31, 2024 that were announced onMay 9, 2023.

3

(Tranlated)

Itoham Yonekyu Holdings Inc.

Consolidated Financial Statements and Key Notes(1) Consolidated balance sheets(Million Yen)
As of March 31, 2023
ASSETS
Current assets
Cash and deposits
Notes and accounts receivable-trade
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
Tools, furniture & fixtures, net
Land
Leased assets, net
Others, net
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Retirement benefit asset
Other
Allowance for doubtful accounts
Investments and other assets
Total non-current assets
Total Assets

4

As of December 31, 2023

22,736
95,32397,801
2,020
22,92015,681(20)
256,463

23,150138,444
96,567
1,459
26,376
10,364(22)
296,340

36,93529,091
1,454
26,368
2,797
4,825
101,472

36,89728,728
1,398
26,7982,897
8,232
104,953

18,286
8,555
26,842

17,186
9,421
26,60730,302
15,3076,462(88)
51,984
180,299
436,763

31,867
17,533
6,636(178)
55,858
187,420
483,761(Tranlated)

Itoham Yonekyu Holdings Inc.

(Million Yen)

Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Short-term borrowings
Current portion of Long-term borrowings
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (and other officers)
Provision for loss on disaster
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Retirement benefit liability
Asset retirement obligations
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

5As of March 31, 2023

As of December 31, 2023

66,978
1,991
32,06210,126
5,024
6,163
161
329
30,103
152,941

74,768
1,595
54,735
10,112
2,992
3,462
132
－
37,607
185,406

446
1,653
1,469
10,991
14,560167,501

365
1,641
1,464
12,367
15,838201,245

30,00389,427140,066(1,841)
257,655

30,00389,430148,599(1,848)266,184

6,708
(828)
2,237
2,835
10,952
77
576
269,261436,7637,430(1,005)
5,735
3,483
15,64377
610
282,516
483,761(Tranlated)

Itoham Yonekyu Holdings Inc.

(2) Consolidated statements of income and comprehensive incomeConsolidated statements of income(Million Yen)
Nine Months Ended
Nine Months Ended
December 31, 2022
December 31, 2023
(Apr 1, 2022 - Dec 31, 2022） (Apr 1, 2023 - Dec 31, 2023）

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating Income
Interest income
Dividend income
Rental income
Subsidy income
Share of profit of entities accounted for using eqity method
OtherTotal non-operating income
Non-operating expenses
Interest expenses
Rental expenses on real estate
OtherTotal non-operating expensesOrdinary profit
Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities
Gain on reversal of provision incurred from businesscombination
Total extraordinary income
Extraordinary losses
Loss on retirement of non-current assets
Loss on disaster
Loss on closing plants
OthersTotal extraordinary losses
Profit before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

6

701,596596,433
105,163
81,24623,917728,220
623,353
104,86684,138
20,727

59
375
343
994
308
850
2,931

183
374
359
2,166
351
699
4,134

529
108
199
837
26,011

1,286
103
70
1,460
23,401

61
0

1
188－

550

61

740

242－
－
12
254
25,818
6,987
1,037
8,024
17,79338
17,754

158
248
823
51
1,282
22,859
6,421
1,029
7,451
15,40841
15,366

(Tranlated)

Itoham Yonekyu Holdings Inc.

Consolidated statements of comprehensive income(Million Yen)
Nine Months Ended
December 31, 2022
(Apr 1, 2022 - Dec 31,2022）

ProfitOther comprehensive income
Valuation difference on available-for- sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Share of other comprehensive income of entities accounted forusing equity method
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners of parent
Comprehensive income attributable to non-controlling interests

7

Nine Months Ended
December 31, 2023
(Apr 1, 2023 - Dec 31,2023）

17,793

15,408187(1,464)
2,824
(274)

827
(177)
2,903
616

851

546

2,124
19,917

4,718
20,126

19,83780

20,05768

(Tranlated)

Itoham Yonekyu Holdings Inc.

(4) Notes on the consolidated financial statements(Notes on going concern assumptions)Not applicable.

(Notes in the case of significant changes in shareholders' equity)
Not applicable.

(Segment information)
I. Nine Months Ended December 31, 2022 (from April 1, 2022 to December 31, 2022)
1. Information on net sales and profit and loss for each reportable segment
Reportable segments
OthersProcessed Food
Meat Division
Division(Note 1)

Total

Adjustments(Note 2)

Total

(Million Yen)
Amountrecorded on
consolidated
quarterlystatements ofincome(Note 3)

Net sales
289,645
411,941
701,58610
701,596－
Net sales to customers
Intersegment net sales
20,32062,44982,769615
83,385(83,385)or transfers
309,965474,390784,355626
784,981(83,385)
Total
7,638
19,21026,84855
26,903(891)
Segment profit (loss)(Note)
1. "Others" segment which is not included in the reportable segments such as human resource and payroll related services.
2. The main content of adjustment of segment profit (loss) is the amortization of goodwill of (1,041) million yen.
3. Segment profit (loss) is adjusted to ordinary profit in the quarterly consolidated statements of income.

701,596－701,596
26,011

II. Nine Months Ended December 31, 2023 (from April 1, 2023 to December 31, 2023)
1. Information on net sales and profit or loss for each reportable segment
Reportable segments
OthersProcessed Food
Meat Division
Division(Note 1)

Total

Adjustments(Note 2)

Total(Million Yen)
Amountrecorded on
consolidated
quarterlystatements ofincome(Note 3)

Net sales
301,725
426,482
728,208
12728,220－Net sales to customers
Intersegment net sales
29,21954,47883,697672
84,369(84,369)or transfers
330,944480,960
811,905
684
812,589(84,369)
Total
8,557
15,811
24,368(181)
24,186(784)
Segment profit (loss)(Note)
1. "Others" segment which is not included in the reportable segments such as human resource and payroll related services.
2. The main content of adjustment of segment profit (loss) is the amortization of goodwill of (1,041) million yen.
3. Segment profit (loss) is adjusted to ordinary profit in the quarterly consolidated statements of income.

728,220－728,220
23,401

2. Note for changes in reportable segments, etc.
From this first quarter, the segment of logistics business have changed from "Other" to "Processed Food Division" and "Meat Division"according to Group's organizational changes.
Previous year segment information show by after changing of logistics business.

8