Part 1

VALUE CREATION BY THE YAMATO GROUPVALUE CREATION BY THE YAMATO GROUP

Part 1

Value Creation Process

Business Environment / Social Issues

Our Vision• Diversification of customer expectations and needs • Rapid progress of EC adoption in various industries• Declining population and rural depopulation • Declining working population• Climate change and resource scarcity• Management Philosophy:
Contribute to the creation of an enriched society

Rising costs due to changes in the external environment• Environmental Vision: Connect. Deliver the future via greenlogistics• Now: Impact on infrastructure following uncertain international circumstances• Social Vision: Through co-creation and fair businessactivities, help create a society that “leaves no one behind”

Sustainablecorporate value
improvement• Future: Labor shortage (2024 problem and 2030 problem)

Management Resources / Strengths (As of March 31, 2023)

CustomerFoundation

CorporateclientsY amato Business Members :Approx. 1.60 million

ConsumersK uroneko Members :Approx. 56 million

×HumanResources

Employees

Approx. 210,000

Sales
drivers

Approx. 60,000

Value Creation Strategies

Logistics
NetworkTransportationand deliverynetworkDataMarch 31, 2027)

Medium- to long-term viewpoint targets
Greenhouse gas (GHG) emissions*2:

Environmental

Structural Reform of Network Operations

Virtually zero by 2050
48% reduction by 2030*

3*2 In-house emissions of consolidated companies
in Japan and Swan Co., Ltd. (Scope 1 & Scope 2)*3 Compared to fiscal year ended March 31, 2021

T A-Q-BIN network

Promotion of fundamental strategies that support structural reforms

Designated networks (EC logistics, refrigerated and frozen, and corporate)

Medium- to long-term viewpoint*1
HumanResource
Strategy

Human productivity*4:Digital
Strategy+15% compared with the fiscal

Environmental
Strategyyear ended March 31, 2023

Enhancementof non-financial
value(fiscal year ending March 31, 2027)
Improvement of engagement:
Level that exceeds record-high ales drivers / sales representatives / guest
Soperators / call center operators / Kuroneko
Members / Yamato Business Members , etc.

figures in employee awarenessApprox. 2.33 billion parcels a year

Credit rating (R&I): AA–March 31, 2027)
ROE: Over 13% (fiscal year endingSales offices (TA-Q-BIN ): 3,331

×Soundness

Financial

Expansion of Corporate Business Domain

 orporate operation facilities:
CApprox. 400

The Yamato Digital Platform (YDP)

Financial
Foundation

Enhancementof financialvalue

Enhancement of profitability and growth potential through business structurereform to integrate sales and operations

×
Information

Consolidated operating profit

margin: Over 7% (fiscal year ending

International transport (forwarding andcross-border land transportation in Asia)

Physical anddigital customer
contact points

Medium- to long-term viewpoint*1

Expanding value provision to the “End to End” of supply chains×
Base network

OutputSocial

Reinforcement of foundation to improve sustainable corporate value
Strengtheningof sustainable
management

Energy &Climate

Atmosphere

ResourceConservation &Waste

Resilience ofCompanies &SocietyLabor

Human Rights &Diversity

Safety &Security

Data Utilization& Security

Supply Chain
Management

Community

surveys*5 (fiscal year ending March31, 2027
*4 (Consolidated operating revenues – consolidated
subcontracting expenses) ÷ consolidated
personnel expenses*5 For consolidated companies in Japan and
Swan Co., Ltd.

Medium- to long-term viewpoint targets

Strengthening of corporate governance

Serious traffic accidents*6: zero

Serious occupational diseases*7: zero
*6 Fatal accidents for which the Company is responsible*7 Incident involving a fatality*1 Expectation for beginning of fiscal year ending March 31, 2024

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YAMATO HOLDINGS CO., LTD.
Integrated Report 2023

YAMATO HOLDINGS CO., LTD.
Integrated Report 2023

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