FYE2022 First half
Earnings Presentation（Six months ended September, 2021）

November 11, 2021
Tokyo （Japan）

Important Notice
For the purpose of this notice, “presentation” means this document, any oral presentation, any question and answer session and any written or oral material discussed or distributed by
NIPPON SANSO Holdings Corporation (“NSHD”) regarding this presentation. This presentation (including any oral briefing and any question-and-answer in connection with it) is notintended to, and does not constitute, represent or form part of any offer, invitation or solicitation of any offer to purchase, otherwise acquire, subscribe for, exchange, sell or otherwise
dispose of, any securities or the solicitation of any vote or approval in any jurisdiction. No shares or other securities are being offered to the public by means of this presentation. This
presentation is being given (together with any further information which may be provided to the recipient) on the condition that it is for use by the recipient) on the condition that it is for use
be the recipient for information purposes only (and not for the evaluation of any investment, acquisition, disposal or any other transaction). Any failure to comply with these restriction may
constitute a violation of applicable securities laws. The companies in which NSHD directly and indirectly owns investments are separate entities. In this presentation, “NSHD” is sometimes
used for convenience where references are made to NSHD and its subsidiaries in general. Likewise, the words “the Company”, “we”, ”us” and “our” are also used to refer to subsidiaries ingeneral or to those who work for them. These expressions are also used where no useful purpose is served by identifying the particular company or companies.
●Forward-Looking Statements
This presentation and any materials distributed in connection with this presentation may contain forward-looking statements, beliefs or opinions regarding NSHD’s future business, future
position and results of operations, including estimates, forecasts, targets and plans for NSHD. Without limitation, forward-looking statements often include words such as “targets”, “plans”,“believes”, “hopes”, “continues”, “expects”, “aims”, “intends”, “ensures”, “will”, “may”, “should”, “would”, “could”, “anticipates”, “estimates”, “projects” or similar expressions or the negative
thereof. These forward-looking statements are based on assumptions about many important factors, including the following, which could cause actual results to differ materially from thoseexpressed or implied by the forward-looking statements: the economic circumstances surrounding NSHD’s global business, including general economic conditions here and abroad;competitive pressures and developments; changes to applicable laws and regulations; the success of or failure of product development programs; decisions of regulatory authorities and thetiming thereof; fluctuations in interest and currency exchanges rates; claims or concerns regarding the safety or efficacy of marketed products or product candidates; the impact of healthcrises, like the novel COVID-19 pandemic, on NSHD and its customers and suppliers, including foreign governments in countries in which NSHD operates, or on other facets of its business;
the timing and impact of PMI (post-merger integration) efforts with acquired companies; the ability to divest assets that are not core to NSHD’s operations and the timing of any suchdivestment(s); and other factors identified in NSHD’s most recent annual Consolidated Financial Statements on Japanese Securities relevant acts and exchange commission, available on
NSHD’s website. NSHD dose not undertake to update any of the forward-looking statements contained in this presentation or any other forward-looking statements it may make, except as
required by law or stock exchange rule. Past performance is not an indicator of future results and the results or statements of NSHD in this presentation may not be indicative of, and are notan estimate, forecast, guarantee or projection of NSHD’s future results.
● Certain Non-IFRS Financial Measures
This presentation and materials distributed in connection with this presentation include certain financial measures not presented in accordance with International Financial ReportingStandards (“IFRS”), such as Core Operating Income, EPS (Earnings per share), Debt, Net Debt, Adjusted net D/E ratio and Free Cash Flow. NSHD’s management and executive officers
evaluates results and makes operating and investment decisions using both IFRS and non-IFRS measures included in this presentation. These non-IFRS measures exclude certain income,cost and cash flow items which are included in, or are calculated differently from, the most closely comparable measures presented in accordance with IFRS. By including these non-IFRS
measures, management and executive officers intends to provide investors with additional information to further analyze NSHD’s performance, core results and underlying trends. NSHD’s
non-IFRS measures are not prepared in accordance with IFRS and such non-IFRS measures should be considered a supplement to, and not a substitute for, measures prepared inaccordance with IFRS. Investors are encouraged to review the reconciliation of non-IFRS financial measures to their most directly comparable IFRS measure, which are on the part of ourslide deck.
● Financial information
NSHD’s financial statements are prepared in accordance with international Financial Reporting Standards (“IFRS”).

2

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

1.

FYE2022 First half
Overview

2.

FYE2022
Business Outlook

3.

Financial Profile

AgendaRepresentative Director,
President CEO

Toshihiko Hamada

Executive Officer,
Group Finance &Accounting Office, and CFO
Alan Draper

4.

3

Q&A Session

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

1. FYE2022 First half
Overview

2. FYE2022
Business Outlook

3. Financial Profile

4. Q&A Session

1. FYE2022 First half
Overview
Representative Director,
President CEO
Toshihiko Hamada

4

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

1. FYE2022 First half Overview

Summary: Progress toward Financial targets
Economic
environmentis recoveringfrom COVID-19
pandemic

Rising energy and electricity prices; Europe is experiencing the most severe impact
Economic recovery rates vary by country and are dependent on vaccine progress
and the level of government restrictions

Sales volumes improved as current year performance lapped easier COVID-19 comparisons
Quickly adapt
to the businessenvironment

Enhancementof HD system*
operation

Essential products supporting resilient markets
Responding to rising costs with productivity improvement, cost reduction, and priceStrong and effective group governance between the NSHD and each operating company

Promote and prioritize cross-regional efforts (Electronics, Carbon neutrality, Productivity, etc.)
including resources to achieve sustainable growth in the medium and long term

* HD (Holdings: Holding company structure operation) : The Company transitioned to a pure holding company on October 1, 2020. The Gas business in Japan has transferred to the newly established operating company, which will operate under the "Taiyo Nippon Sanso" brand.

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November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

1. FYE2022 First half Overview

Summary of Consolidated financial results (FYE2022 1H)（Unit: ￥ bn.）

YoY

FYE2021
1st Half

FYE2022
1st Half（Apr.-Sep.）（Apr.-Sep.）

Difference％ Change

FYE2022Full-term budget（Announced on May 10）

Revenue

384.5

447.3

+62.8

+16.4%

865.0

Core operating income

36.7

49.8

+13.1

+35.7%

96.0

9.6%

11.1%

Non-recurring profit and loss

-0.0

-0.0

+0.0

Operating income（IFRS）

36.6

49.7

+13.1

9.5%

11.1%

Income before income taxes

30.8

45.0

+14.2

+46.1%

86.0

Net incom e attributable to ow ners of the parent

21.0

34.2

+13.2

+63.3%

58.2

NI margin

5.5%

7.7%

EPS（Unit: JPY）

48.53

79.24

Core OI margin

OI margin

11.1%

0.5

+35.8%

96.5
11.2%

6.7%
+30.71134.49Forex （Unit: JPY）

USD

106.32110.10105(average rate during the period)

EUR

121.66131.16

125

・Total Forex impact for First half FYE2021 : Positive impacts of ¥13.3bn. on revenue and Positive impacts of ¥1.6 bn. on core operating income.

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November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

1. FYE2022 First half Overview

Segment Revenue (FYE2022 1H)
FYE2022

FYE2021（Unit: ￥ bn.）

1st Half 1*

1st Half（Apr.-Sep.）（Apr.-Sep.）

YoY

Composition
ratio

Difference

FYE2022% Change

Forex impact

Full-term budget（ Announced on May 10）

Gas business in Japan

158.9

173.2

38.7%

+14.3

+9.0%

+0.1

360.0

Gas business in the U.S.

91.2

107.3

24.0%

+16.1

+17.7%

+3.2

198.0

Gas business in Europe

74.8

94.9

21.2%

+20.1

+26.8%

+5.8

173.0

Gas business in A&O *

48.3

58.9

13.2%

+10.6

+21.8%

+4.0

106.0

Thermos business

11.0

12.8

2.9%

+1.8

+16.6%+0.0

28.0

Adjustment

0.1

0.1

0.0%

+0.0

+0.1%

384.5

447.3

100.0%+62.8+16.4%*A&O: Asia and Oceania.

Consolidated total*1

Reclassified：As a result of the reclassification of segment classifications in FYE2022, figure for FYE2021 has been restated based on the new segment classifications.

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November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

－

+13.3

865.0

1. FYE2022 First half Overview

Segment Income*2 (FYE2022 1H)
FYE2022

FYE2021（Unit: ￥ bn.）

Gas business in Japan*

1st Half（Apr.-Sep.）（Apr.-Sep.）

Composition
ratio

Difference% Change

7.3%

8.1%

9.5

14.1

10.5%

13.1%

8.6

12.7

11.5%

13.4%

5.2

6.6

11.0%

11.3%

2.0

2.9

19.0%

23.2%

Adjustment

-0.5

-0.5

-1.2%

+0.0

―

Consolidated total

36.7

49.8

100.0%+13.1+35.7%

9.6%

11.1%

Segment OI margin

Gas business in Europe
Segment OI margin

Gas business in A&O
Segment OI margin

Thermos business
Segment OI margin

Core OI margin

Forex impact

Full-term budget（ Announced on May 10）

13.9

Gas business in the U.S.

+2.3

28.1%

+20.4%

+0.0

31.1
8.6%

+4.6

28.3%

+46.9%

+0.3

23.6
11.9%

+4.1

25.5%

+47.4%

+0.6

24.8
14.3%

+1.4

13.3%

+25.4%

+0.5

10.2
9.6%

+0.9

6.0%

+42.1%

+0.0

7.4
26.4%

Reclassified：As a result of the reclassification of segment classifications in FYE2022, figure for FYE2021 has been restated based on the new segment classifications.
Segment Income：Represents core operating income, which is calculated as operating income excluding certain gains or losses attributable to non-recurring factors (non-recurring items).

8

FYE2022

11.6

Segment OI margin*1*2

1st Half 1

YoY

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

-1.1
+1.6

96.0
11.1%

1. FYE2022 First half Overview

To always be the customer’s preferred selection
Elements to provide to customers
Examples of elements assumed by our group

Reliability,
quality,safetyCommon regional issues

Sophisticatedproducts &services

Quick
response

Unique regional issues

Propose solutions to problems and issues
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November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

1. FYE2022 First half Overview

Building a foundation to support sustainable growth
Efficiency improvement activities

As an industrial gas supplier trusted by our customers, we are “The Gas Professionals”
who thoroughly carry out the basic activities for producing, delivering, and safely using gases.

【Gas business in Japan】【Gas business in A&O】

Taiyo Nippon Sanso Group

Asia and Oceania Region
Group companies【Gas business in the U.S. 】【Gas business in Europe 】

Matheson Tri-Gas Group

Nippon Gases
Euro-Holding Group

Profitability Program

Productivity Shiba Program

The Right Way Program
Productivity Program

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November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

1. FYE2022 First half Overview

Making the leap to Operational Excellence【 Gas business in Europe 】

Sharing proven and successful programs,
knowledge, and structure across the Group【Gas business in A&O】

Productivity Program
FYE2021 Advanced introduction

Key Results
1

Improves Safety

4

PHL

IND

AUS

Reduces Costs
FYE2021 Introduction

2

Increases Reliability

3

Enhances Quality

5

Raises Productivity
VNM

THA

Program will be implemented acrossall A&O group companies by end of FYE2023

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November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

1. FYE2022 First half
Overview

2. FYE2022
Business Outlook

3. Financial Profile

4. Q&A Session

2. FYE2022
Business Outlook
Representative Director,
President CEO
Toshihiko Hamada

12

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

2. FYE2022 Business Outlook

Summary: Business environment awareness (Assumptions for forecast)
We maintain our full-term business performance budget announced on May 10, 2021.

Changing
Business
Environment

Energy prices, global supply chain disruption, and labor and material shortages
The new COVID-19 normal by region; flexible, adapt, and perform

Power costs expected to remain high through end of year; focus on cost recovery

FYE2022
2nd Half View

Steady progress
towardachieving
Our forecast

13

JPY remains weak
Economies will continue to recovery and results for the first half of the fiscal year weregenerally within our expectations; we expect the same for the second half
Build a trusted manufacturer position by addressing the challenges of each customer.
Create new value together with customers
Contributing to improve the sustainability in society
and Supporting our customers' environmental impact reduction goals

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

2. FYE2022 Business Outlook

Summary of Consolidated financial forecast
FYE2021Full-term

Full-term fcst (No Change)% Change

Full-term budget（Announced on May 10）

Revenue

818.2

865.0

+46.8

+5.7%

865.0

Core Operating Income
Core OI margin

87.2
10.7%

96.0
11.1%

+8.8

+10.0%

96.0
11.1%

Non-recurring profit and loss

1.5

0.5

-1.0

Operating Income（ IFRS）
OI margin

88.8
10.9%

96.5
11.2%

+7.7

+8.6%

96.5
11.2%

Income before income taxes

77.7

86.0

+8.3

+10.7%

86.0

Net income attributableto owners of the parent
NI margin

55.2
6.7%

58.2
6.7%

+3.0

+5.4%

58.2
6.7%

127.59134.49

+6.90

ROCE

6.1%

6.7%

6.7%

Adjusted net D/E ratio

1.15

1.01

1.01

105.94124.07

105
125

105
125

EPS（Unit: JPY）

Forex（Unit: JPY）
(average rate during the period)

14

Difference

FYE2022（Announced on Nov. 1）（Unit：￥ bn.）•

YoY

FYE2022

USD
EUR

Total Forex impact for FYE2022 full-term : Negative impacts of ¥0.4 bn. on revenue and Positive impacts of ¥0.0 bn. on core operating income.

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

0.5

134.49

2. FYE2022 Business Outlook

Results forecast by segment
FYE2022 forecast

FYE2021Full-term*

Full-term fcst (No Change)（Unit: ￥ bn.）

Segment OI
Segment OI margin
Revenue

Gas business in the U.S.

Segment OI
Segment OI margin
Revenue

Gas business in Europe

Segment OI
Segment OI margin
Revenue

Gas business in A&O

Segment OI
Segment OI margin
Revenue

Thermos business

Segment OI
Segment OI margin
Revenue

Adjustment

Segment OI
Revenue

Consolidated total*

Difference% Change

Forex impact

Segment OICore OI margin

341.9
29.8

360.0
31.1

8.7%

8.6%

189.9
23.1

198.0
23.6

12.2%

11.9%

160.0
21.0

173.0
24.8

13.1%

14.3%

102.0
8.9

106.0
10.2

8.7%

9.6%

23.9
5.1

28.0
7.4

21.6%

26.4%

0.2
-0.8

―
-1.1

818.2
87.2

865.0
96.0

10.7%

11.1%

Full-term budget（Announced on May 10）
41.6%
32.4%

+18.1
+1.3

+5.3%
+4.1%

―
―

360.0
31.1
8.6%

22.9%
24.6%

+8.1
+0.5

+4.2%
+2.0%

-1.6
-0.2

198.0
23.6
11.9%

20.0%
25.8%

+13.0
+3.8

+8.1%
+18.0%

+1.1
+0.1

173.0
24.8
14.3%

12.3%
10.6%

+4.0
+1.3

+3.9%
+14.3%

―
―

106.0
10.2
9.6%

3.2%
7.7%

+4.1
+2.3

+16.8%+43.2%

―
―

28.0
7.4
26.4%

―
-1.1%
100.0%
100.0%

Reclassified：As a result of the reclassification of segment classifications in FYE2022, figure for FYE2021 has been restated based on the new segment classifications.

15

FYE2022（Announced on Nov. 1）

Revenue

Gas business in Japan

YoY

Composition
ratio

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

―
-0.3

―
―

+0
―

―
-1.1

+46.8
+8.8

+5.7%
+10.0%

-0.4
+0.0

865.0
96.0
11.1%

2. FYE2022 Business Outlook

Growth Engine: Electronics Business
In East Asia, we import and sell a variety of electronic material gases procured from each business area.
Expanding logistics to support reliable operations for customers.
Business Development in East Asia
Regions

16

Features

South Korea

・State-of-the-art line analysis facilities. Automation of analysis and publicationof analysis tables to improve data utilization and reliability.
・Supply products throughout Asian and the U.S.

China

・Operation of dedicated warehouses located adjacent to customers,delivery services, inventory management at customer sites, and site services
such as container exchange, gas and chemical management.
・ From 2019, we will establish a plant that introduces manufacturing andquality control technologies from our group companies (Japan, the U.S., andSouth Korea), and start a manufacturing business for electronic material gases.

Taiwan・Manufacture of equipment such as refiners and supply equipment for electronics
・We have the capability to provide advanced plumbing and comprehensive services.
・Inventory management of various electronic material gases

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

2. FYE2022 Business Outlook

A Growth strategy：Total Electronics● Perfectly meet the sophisticated and stringent specifications of global semiconductor manufacturers.
Beyond Strategy Execution● Achieve a high level of global customer satisfaction.

Approaches to early realization【Gas business in Japan】
Taiyo Nippon Sanso Group1

Sharing and utilization of data on production and supply ofelectronic material gases

2

Integrated management of accumulated CoA (Certificate ofAnalysis) information by customer on a global basis

3

Supporting global customers' stable operations with efficientand stable supply by DX【Gas business in the U.S. 】
Matheson Tri-Gas Group

Nippon Sanso HD
Total Electronics
Strategy divisioncollaboration

Close group collaboration【Gas business in Europe 】
Nippon Gases Euro-Holding Group【Gas business in A&O】
Asia and Oceania Region Group companies
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November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

As The Gas Professionals, we help our customers
innovate for the next generation of semiconductors.

2. FYE2022 Business Outlook

Responding to strong global demand for Electronic material gases
Execution of
growthinvestment

18● Enhance production and supply capacity for electronic material gases
to meet increasing global demand● Strengthen the global supply chain and improve reliability of the entire supply network

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

2. FYE2022 Business Outlook

Opportunities：Contribution for Carbon neutral
Our Group's
Aspirations（Toward CY2030）

Solution provider considered indispensable for realizing a Carbon-neutral society
Effective use of energy by improving combustion efficiency, hydrogen supply by HyCO project, blue hydrogen and carbon fixation by CO2 capture

Realization of
a Carbon-neutral society

Establish a cross-regional response project organization.

Initial focus is on Europe to acquire projects.

Step by step, concentrate management resources
on selected regions, customers, and technologies,
and steadily build up the Group's track record.
(Aim to achieve Quick WIN)

Strategic allianceswith other companies(e.g., in the area of large-scale CO2 capture)

Next Mid-term management plan
CY202119

CY2025

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

CY2030CY20502. FYE2022 Business Outlook

Green Combustion technologies
Contributing to energy conservation in the manufacturing industry for 50yrs- Energy saving electric furnace- PCB(Polychlorinated biphenyl) decomposition- Aluminum smelting and lead smelting- Glass melting(Metals Field)
Flame spraying
Oxygen lance for aluminum refining
Oxygen lance for new zinc smelting
Lead smelter OFB
Fe₋Ni oxygen lance
Innova-Jet
Pulverized coal burner
Innova-Jet Swing
Metal melting system (NSR)
Cast iron melting rotary furnace
SCOPE-Jet
Ultra-fine metal particle production technology(Glass Field)
Glass melting burner
Air melting method
Silica spheronization

Fuel

Atmosphere gas
in burn

CxHy

Air

Emission gases
CO2

NOx

Air combustion emits a large amount of low-concentration CO2 → High capture cost

CxHy

O2

NH3

O2

H2

O2

CO2

NOx

Carbon Free

Oxygen-enriched combustion emits a small amount of high concentration CO 2
→ Low capture cost

1. Air combustion to oxygen-enriched combustion

Electric furnace dust treatment burner(Energy field)
Synthesis gas generation technology
Ammonia combustion technology

20(Waste field)
Fly ash melting burner
Waste melting and solidification burner
Glass wool recycling

2. Applying oxygen-enriched combustion technology
to carbon-free fuels such as hydrogen and ammonia.

⇒ Contributing to the realization of a Carbon-neutral society

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

1. FYE2022 First half
Overview

2. FYE2022
Business Outlook

3. Financial Profile

4. Q&A Session

3. Financial Profile
Executive Officer,
Group Finance &Accounting Office, and CFO
Alan Draper

21

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

3. Financial Profile

Financial management● Ensure the appropriate allocation of resources across the business in the short, medium, and long term.
● Provide quick decision-making in order to respond to market trends.

Basic Concept● Enable a flexible decentralized structure to understand and react to local conditions.

Management Flow1

Develop and share tools, levers, andbest practices to enhance profitability

Implement optimal resource allocation to

2 enable sustainable growth for the Group

Market Trends

Improving the capital employed structure
GrowthFinancial Stability

Economies of scale / improve density

Pursue group synergies

Business
Profitability

Liquidity

Prioritize and invest in projects with solid earnings andprofitability potential

Productivity

22

Efficiency

Respond to opportunities and changes (including M&A)

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

3

Profitable and sustainable growth3. Financial Profile

Debt/Equity Performance
Net D/E ratio

Adjusted
net D/E ratio（Our indicators that have been disclosed）（General net D/E ratio）

Financial management
net D/E ratio（Our internal financial discipline indicator）

Q2 End of FYE2022
Q2 End of FYE2022

1.53

Q2 End of FYE2022

1.06

1.01

Budget at the End of FYE2022（March 31, 2022）

1.01

Net interest-bearing debt

Net interest-bearing debt ― Equity-type debt*

Total equity attributable to owners of parent

Total equity attributable to owners of parent + Equity-type debt** Equity-type debt：Our internal name of amount which is 50% of the amount raised through hybrid financing (¥250 bn.) is accepted as "capital" by rating agencies.

23

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

Net interest-bearing debt
― Lease obligations ― Equity-type debt*
Total equity attributable to owners of parent― Other components of equity + Equity-type debt*

3. Financial Profile

Resource Allocation
Execute capital and resource allocation to ensure a sustainable future.
Cash Generation
Financialsoundness

BudgetAdjusted net D/E Ratio(End of FYE2022)

Leverage Reduction― Reduction of financial expenses

Operating
Cash
Activities

1.01
BudgetCAPEX and investment

Corporate
Cash Conversion
Cycle

Growthinvestment(Cash basis: ¥ bn.)
Approx.

Investment for Growth driver― Achieve growth, profitability, and efficiency

80

Financial
Cash
Activities

Shareholder
Returns
Movement
in the income statement

Movements
in the statement offinancial position

Stable & business performance-linked― Fulfillment of shareholders' and investors' expectations: Movement of cash
24

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

Budgetannual dividend(¥)

32

3. Financial Profile

Cash flow (FYE2022 1H)
The company generated sufficient free cash flow to distribute dividends and ensure debt reduction.
Free cash flow*1
36.7（Unit：¥ bn.）

66.6

4.6
34.4
5.2

91.0

84.1

36.4

End of FYE2021
Beginning cash

Operatingcash flow

CAPEX &
Investments
and loansLong-term
Other
Debt repayment*2
regardinginvesting activities*1

Free cash flow：Items reconstructed from consolidated statements of cash flows prepared in accordance with IFRS. Please refer to Appendix_P.31.

*2

Long-term Debt and Short-term Debt raising/repayment：Represents cash incomed/paid.

*3

Other：Indicates items such as cash lease obligations, acquisition of investments.

25

Short-term
Debt raising/
repayment*2

6.9

4.8

0.6

DividendPaidduring term

Other*3
regardingfinancing activities

Others(Forex etc.)

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

Q2 End of
FYE2022End cashClosing remarks

Representative Director,
President CEO
Toshihiko Hamada

26

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

Q&A Session

Representative Director,
President CEO
Toshihiko Hamada

Member of the Board,
Representative Director
and President of Taiyo
Nippon Sanso Corporation

Representative Director
and President of Thermos K.K.
Yuji Kataoka

Senior Executive Officer,
Group Corporate Planning
OfficeTsutomu Moroishi

Senior Executive Officer,
Group Sustainability
Management Office,and CSO

Executive Officer,
Group Finance &Accounting Office,and CFO（Chief Sustainability Officer）（Chief Financial Officer）

Takeshi Miki

Alan Draper

Kenji Nagata

27

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

Appendix

29

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

NIPPON SANSO Holdings Group Summary

https://www.nipponsanso-hd.co.jp/en/ir/

Published on November 1, 2021

Corporate Philosophy

Corporate Information（As of March 31. 2021）

Company Name

Nippon Sanso Holdings Corporation

Founded

October 30, 1910

Headquarters

1-3-26 Koyama Shinagawa-ku, Tokyo 142-0062, JapanTEL

81-3-5788-8500

Group Philosophy
Proactive. Innovative. Collaborative.

Representative Director, President CEO
Representative

Toshihiko Hamada

Common stock

37.3 billion yen

Stock information（As of March 31. 2021）

Number of sharesGroup Vision
We aim to create social value through innovative gas solutions that increase industrial productivity,
enhance human well-being and contribute to a more sustainable future.

433,092,837

Number of shareholders

Main Core business

16,205

Listed stock exchanges

Tokyo Stock Exchange First section

TickerIndustrial Gas businessElectronics business

Thermos business4091.T

Distribution by share holders (%)
Mitsubishi Chemical Holdings0%

Making life better through gas technology.

10%

50.59

20%

Japanese Indivisuals and others

Foreign Institutions and Individuals

30%

40%

Other Japanese Corporations

50%

10.40

14.89

60%

70%

80%

90%

Japanese Financial Institutions

5.86

100%

18.26

Revenue / Employee personnel by Segment （As of Match 31, 2021）
3%

7%

2%

13%

31%
41%

20%

FYE2022 Financial Forecast（IFRS)

22%

19,357¥818.2bn.

people

15%

23%

23%

Japan

US

EuropeAsia & Oceania

Thermos

Corporate

Revenue¥865.0 bn.

Operating income¥96.5 bn.

Net income attributable toowners of the parent

EPS¥58.2 bn.
¥134.49

Free cash flow and Debt situation（Unit：￥ bn.）

FYE2020

FYE2021full-termfull-term

YoY

FYE2022

Budget's YoY

Difference% change

full-term budget

Difference% change

Income before income taxes
Depreciation and amortization
Changes in working capital
Others

79.1
83.7
3.1
-16.0

77.7
86.3
0.5
-15.3

-1.4
+2.6
-2.6
+0.7

-1.8%

86.0
87.0
-4.8
-14.3

+8.3
+0.7
-5.3
+1.0

+10.7%Cash flows from operating activities

150.0

149.2

-0.8

-0.6%

153.8

+4.6

+3.1%

Capital expenditures
Investments and loans
Others (asset sales, etc.)

-72.8
-0.5
10.7

-60.0
-0.7
1.1

+12.8
-0.2
-9.6

-77.3
-3.0

-17.3
-4.1

Cash flows from investing activities

-62.6

-59.6

+3.0

-4.7%

-80.4

-20.8

+34.7%

Free cash flow

87.4

89.5

+2.1

+2.4%

73.4

-16.1

-18.0%Net interest-bearing liabilities

898.3

858.1

-40.2

785.8

-72.3 *（Of which, hybrid financing amount）

250.0

250.0

+0.0

250.0

+0.0

Adjusted net D/E ratio

1.45

1.15

-0.30

1.01

-0.14

(Debt situation）* This amount includes a decrease of ¥17.5 bn. due to the effect of foreign currency translation.

31

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

Business performance over the past five years
Revenue（¥ bn.）
850.2

818.2

740.3
581.5

Operating income（IFRS）
11.0%

OI margin

9.2%

9.3%

（¥ bn.）
10.9%

9.0%

93.9
59.8

NI margin

66.8

2018.32019.32020.3

Net interest-bearing debts

2021.3（¥ bn.）

2017.32018.32019.32020.3

Capital expenditures

5.6%

6.3%

6.7%

88.8
34.7

2017.3（¥ bn.）

7.6%

6.0%

646.2

53.6

Profit attributableto owners of the parent

2021.3（¥ bn.）

2017.3

48.9

2018.3

41.2

2019.3

53.3

55.2

2020.32021.3

Depreciation
and amortization（¥ bn.）

Hybrid Finance (HBF)Net debt excluding HBF

Adjusted net D/E ratio*

1.54

83.7

1.45

76.6

1.15

72.8

62.5
695.7

648.3

608.1

304.3

274.9

250.0

250.0

250.0

2017.32018.32019.32020.32021.3*Adjusted Net D/E Ratio: an indicator of safety (financial soundness) calculated in consideration of this partdue to 50% of the amount raised by HBF is permitted as “Equity" by rating agencies.

32

2017.32018.3

56.1

60.0

43.7

2019.32020.32021.3*It’s recorded on a construction basis until FYE2019 and on a cash basis from FYE2020 onwards.

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

86.3

40.0

43.2

2017.32018.32019.32020.32021.3

Industrial gas supply system
Air Separation Gases

Other Gases

Air Separation Unit

On-siteAir

Major supply destination（Sector）

Storage tank for liquid gases
Petrochemical

Steel
Oxygen Nitrogen
N2
O2

RefineryWe’ve established production plants in the vicinity of the customer.
A form of direct connection and constant supply of pipes.

（Large-scale supply）

Supply via pipeline

Refining by-product gas from chemical factories and gas transported overseas

Oxygen
O2

Bulk
CO2

Major supply destination（Sector）

NitrogenN2

Tank truck
Argon
Ar

Automobile

Shipbuilding

Construction
machinery

Pharmaceutical
MedicalManufacturing
Glass/Paper
Food/
beverage

LCP

Solar cell

Semiconductor

H2

He

Tank truck

We’ve installed a storage tank for liquefied gas in the customer's
premises. A form of supply according to the method of use of gas.

Supply via Liquid gases form

（ Medium-scale supply）

Supply via Liquid gases form

Packaged
Filling station

Major supply destination（Sector）

Filling station
Flatbed truck

Advanced
medicine

HomecareEngineeringdevelopment

R&D

Sanitation

Flatbed truck

Construction/
Installation

We deliver filling containers (cylinders) to customers.
A form of supply according to the method of use of gas.

Supply via Cylinder

33（ Small-scale supply）

Supply via Cylinder

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

LP
Gas

Thermos products deliver what matters every time.
As the leading manufacturer of convenient insulated product for over 100 years,
Thermos is trusted by consumers to provide innovative portable containers that
promote a safe and healthy lifestyle.
Thermos delivers when it matters.
At Thermos, We carefully choose the best available materials,
and produce products with consistent quality and reliable performance.
We ensure the excellence of our products by testing for quality.

34

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results

For further information, please contact:
Public Relations for media

Investor Relations for investors

Public Relations,Group Human Resources & Corporate Secretariat Office

Investor Relations,Group Finance & Accounting Office

Tel：+81 (0)3-5788-8513
E-mail：Nshd.info@nipponsanso-hd.co.jp

Tel: +81 (0)3-5788-8512
E-mail：Nshd.ir@nipponsanso-hd.co.jp

Upcoming IR events
Q3 FYE2022 Earnings Call
Next Mid-term management plan
IR presentation

February 2, 2022
From March to May, 2022

www.nipponsanso-hd.co.jp/en/
NIPPON SANSO Holdings Corporation(Ticker:4091.T)
Headquarters：1-3-26 Koyama Shinagawa-ku, Tokyo 142-0062, Japan
35

November 11, 2021 | NIPPON SANSO Holdings Analyst Conference presentation 1st Half FYE2022 results© 2021 NIPPON SANSO Holdings Corporation All rights reserved