Itoham Yonekyu Holdings Inc.
Financial Results for Q1 of FY2022(Ending March 31, 2023)

2. Business description

August 03, 2022
ITOHAM YONEKYU HOLDINGS INC. 2022

Table of Contents

2-01 Business Summary
2-02 Business Strategy
2-03 Sustainability

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ITOHAM YONEKYU HOLDINGS INC. 2022

2-01 Business Summary : Portfolio
 The Processed Food Division accounts for 35% of sales, and the Meat Divisionaccounts for 64%.
 The Overseas ratio accounts for 12.7%, and is led by ANZCO Foods.
Oceania,

Processed Food Division,Others, 0.5%

Europe,North America,

35%

3%

Asia,By segment

3%

1%

Others, 0.3%

5%
Sales by Market

FY2021 Sales

FY2021 Sales

8,543

Overseas ratio

12.7%

100 million yen
Meat Division,64%2Japan,87%

ITOHAM YONEKYU HOLDINGS INC. 2022

2-01 Business Summary : Processed Foods Business We have developed the some of new products as never before in the world.
 We have focused on new business like as non-meat, it based on the product development
capabilities from both entities.
ITOHAM FOODS INC.

1928 Denzo Ito founded Ito Shokuhin Kakougyou in Osaka.

1934

First in the industry!
Launched "Cellophane Wiener“(Current "Paul Wiener“)

1983

1928

1965 Kiyokazu Shoji founded Yonekyu Shokuhin in Numazu.

1934
1965

First in the industry!

Chilled pizza "Fresh Pizza“ new release.

The first in the world!
Baby size wiener, "Pork Bits"

1977

1981
1981

First in the industry!

Built up “The Gotemba Factory"(currently Fujiyama
Factory), it was special factory for prociutto

1988
1995

Industry pioneer!
0Started production of roast beef manufactured
by vacuum cooking

1977

1983

1988

Yonekyu Corp.

1995

Unique product!

Launched "Bandit spare ribs" (Spare ribs with bone)2016 Established Itoham Yonekyu Holdings Inc.
2020

Non-meatnew release.

The 2021 sales 50% up year-on-year.

2020
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ITOHAM YONEKYU HOLDINGS INC. 2022

2-01 Business Summary : Processed Foods Business It has various categories such as Ham/Sausage( share 21%), Cooked Foods (16%),and Pizza/Snacks (32%).

Ham/Sausage

Cooked Foods

Pizza/Snacks

April 1,2021-March 31,2022
Ham/sausage
market share

April 1,2021-March 31,2022
Processed Foods
market share

April 1,2021-March 31,2022
Pizza/Snacks
market share

Date：QPR™

Date：QPR™

Date：QPR™

Noodles

Cheese4

ITOHAM YONEKYU HOLDINGS INC. 2022

2-01 Business Summary : Domestic Meat Business It has full meat categories which account for over 10 % share of domestic market.
 We have created the strong supply chains from productions to sales. It has worked
to stabilize the business and make the value added productions.
Share in Japan※our reseach

Beef

Pork

Chicken

Production flow

breeding /rearing

production / processing base

supplyslaughter / cutprocessing

distribution

Export ofWagyu

Brandmeat

Variousproducts

By-productsale5

ITOHAM YONEKYU HOLDINGS INC. 2022

2-01 Business Summary : Overseas Business Operate on a global scale at 11 bases in 9 countries and regions.
ANZCO FOODS UK
ITOHAM AMERICA INC.

ANZCO FOODS EU
ITOHAM FOODS TRADING(SHANGHAI) CO., LTD
Asian Best Chicken
Co., Ltd.

INDIANA PACKERS CORP.

ITOHAM YONEKYUHOLDINGS INC.
ANZCO FOODS TAIWAN《 Sales by Market 》

ITOHAM BETAGROFOODS CO.LTD.

ANZCO FOODS AUSTRALIAFY2021
Sales

1,085

100 million yen

ANZCO FOODS LTD.

Pick Up!!

Anzco Foods supplies products to more than80countries and territories.

16ITOHAM YONEKYU HOLDINGS INC. 2022

Table of Contents

2-01 Business Summary
2-02 Business Strategy
2-03 Sustainability

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ITOHAM YONEKYU HOLDINGS INC. 2022

2-02 Business Strategy
 We focus on the strengthen core business and allocate the management resources to meat
related area where expected the growable business at the same time. It will work to raise ourgrowth potential.
actionImproved profitability and capturing a growth markets

Processed FoodsBusiness Strengthening the core brand Strengthening cooked foods→ Expansion of normal temperature and frozen foodsStrengthen business based on investment in upstream supply chain

Meat Business Strengthening Wagyu export business Strengthening brand meat sales
 Entering into the meat extract business
Healthcare business in areas with high affinity

Healthcare Field

 Acquisition of Moregate Biotech, animal-derived
blood products business Strengthening non-meat business Promotion of protein intake
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ITOHAM YONEKYU HOLDINGS INC. 2022

2-02 Business Strategy : Processed Foods Business We will focus on strengthen the core brand and it works to achieve the stable profit in a strict environment.
 In terms of the cooked foods, we will strengthen the normal temperature products and frozen products aswell as chilled products.
current status◆Strengthening the core brandfuture action
FY2022 1Q YoY

・ The GRAND Alt Bayern▲3.0％

・ Asano Fresh Series＋7.9％

・ Pork Bits / Cheese In+10.0％・ La Pizza / Pizza Garden▲8.3%

・ Osama no Roast Beef

+44.0%

Strengthening pillow products
Promotion targeting to 30-40s
Launch health appeal items and promotion
Promotions such as campaigns “Supporting

parent and child time happily”

Improved profitability by product revisions and renewals
Strengthen sales forside dish menu and bowl menu

◆Strengthening cooked foods → Expansion of normal temperature and frozen products+19%

Make it more delicious《 processed foods sales》

1,500

sales, 100 million yen

FY2021 processed foods
FY2016 comparison

Expansion of normal temperature and1,400frozen products

1,300
1,200
1,100

1,000

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ITOHAM YONEKYU HOLDINGS INC. 2022

2-02 Business Strategy : Meat Business It will be strengthened the growable business of Wagyu exportation, original brand meat sales andmeat-bone extraction which were based on the investment to upstream supply chain.
current status

future action◆Strengthening Wagyu export business

Strengthening brandmeat sales《 Recent capital investment 》

2017 "Yoneku oishii tori" production farm established2019 "Sankyo Meat“ established a new beef cutting
plant and built pig production system.
2022 "Towada Meat Plant“ new cattle processing plantLeading to improved gross profit.

◆Strengthening brand meat sales
FY2021 Wagyu export
FY2016 comparison

By increasing the number of facilities authorized for export,

Promote Wagyu exports《 Wagyu export 》+77%※Sales Sankyo Meat is the largest export
processing facility in the country and has

export approvals to 48 countries

and regions.
◆Entering the meat extract businessMeeting growing

Started new business area initiatives

the meat extract businessdemand for extract
seasonings used in the Scheduled to start operation in 2022

ready-to-eat and restaurantmarkets.
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ITOHAM YONEKYU HOLDINGS INC. 2022

2-02 Business Strategy : Healthcare Field
 We will focus on growth the Health care category to use by-product effectively and applying theexist technology, so will allocate the management resources to that area as having a high affinity.
current status

future action◆Acquisition of Moregate Biotech, animal-derived blood products business
Global share ofbovine bloodproducts

2ndStrengthen ANZCO's
base earning power
through initiatives in the Animal-derived blood products are expected togrow for vaccines, regenerative medicine, andclinical diagnosis.

healthcare field◆Strengthening non-meat business
FY2021 YoY

Expansion of product category+50％

Active collaboration with other companies
Development of products closer to meat Has been activity collaborating with other companies.

◆Promotion of protein intake
With Meiji Co., Ltd. , Maruha Nichiro Corporation“TANPACT series” FY2021 YoY『Go for 80g per day! Protein
Enlightenment Project.』+30%

Established a protein consortium《 Participating companies 》
Meiji Co., Ltd. ／Maruha Nichiro Corporation／ITOHAM YONEKYU HOLDINGS INC.

 Agree with 「Collaboration between companies by brand」 promoted by
Meiji Co., Ltd., development and sales of “TANPACT series”

 We carry out the enlightenment activities for protein value.

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ITOHAM YONEKYU HOLDINGS INC. 2022

Table of Contents

2-01 Business Summary
2-02 Business Strategy
2-03 Sustainability

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ITOHAM YONEKYU HOLDINGS INC. 2022

2-03 Sustainability
 Established a Sustainability Committee chaired by the executive officer in charge as an advisory body to the Board ofdirectors.
 In April 2022, established the Sustainability Management Office who lead to perform the specific initiatives for materiality.
Sustainability ManagementStructure

Materiality

The seven materiality identified important social issues from the viewpoint ofpriority for stakeholders and ItohamYonekyu Group.

Materiality

Board of Directors
Recommendations
and Proposals

Sustainability
Committee
Sustainability
Management Members
Cooperation

RelatedDivsions

BusinessDivisions•

Supply of safe and reliable foods
Supply of high quality protein
Product development and supply of health value inresponse to diverse lifestyles
Product expansion leading to reduction in food loss

Considering the environment

••
•
•
•

Reducing greenhouse gas emissions
Reducing of the consumption of energy and water
Reducing waste emissions
Preserving biodiversity
Reducing the amount of plastic usage

Creating a workplace where eachemployee can be active••••Personnel development and training
Respecting diversity
Promoting a healthy work-life balance
Occupational health and safety, health management,
and the respect of human rights

Promoting sustainable procurement
and stable supply•••

Contributing towards a sustainable livestock industry
Promoting procurement that respects human rights
Animal welfare considerations••

Observing and promoting compliance
Risk management

Realizing healthy affluent eatinghabits•••

Contributing to local communities
Strengthening corporate governancePreference for uncompromising
good taste and high quality
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ITOHAM YONEKYU HOLDINGS INC. 20222-03 Sustainability : Action example
 Materiality 【Considering the environment】 We have worked on as following,◆Cooperation with project for construction greenhouse gas reduction visualization system in beef
cattle production

For a sustainable Wagyu production business
Verification of feed effect of cashew nut shellliquid feed (Rumeup® *) derived from natural
materials that it works to suppress methane incow burp.

“Rumeup® *”*Rumeup® is a registeredtrademark of SDS Biotech K.K.

Cooperating farm "Mirai Farm"◆Upgrade to energy efficient equipment

Introduced waste oil boilers
Heavy oil usage

waste oil boiler《 Heavy oil reduction effect》

20% reduction

We will continue to introduce energy-efficient equipment.

Beforewaste oil boiler◆Switch to eco-friendly packaging from drawstring bag
the amount of plastic
usage in the entire
product
Delivery loading
efficiency

30% reduce
1.2 times

Example：The GRAND Alt Bayern※expected value

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ITOHAM YONEKYU HOLDINGS INC. 2022

2-03 Sustainability : Action example
 Materiality 【Promoting sustainable procurement and stable supply】 We have workedon as following,◆Joint venture 「Kyusyu Extract, Inc. 」 was established by Itoham Foods,Inc. and Mitsubishi
Corporation Life Sciences Limited.

Effective use of by-products such as bones

produced in the process of meat processing
Started working on meat extract seasoning as a new business area
By using fresh raw materials, we can manufacture high-quality, "safe and secure" products.

◆Acquisition Moregate biotech animal-derived blood products business.

Effective use of by-products such as blood and pericardium
produced in the process of meat processing

ANZCO's healthcare business

Manufactures and supplies products used in the fields ofpharmaceuticals, diagnostics, veterinary medicine,vaccines, biotechnology, research, etc. all over the world.

Based in New Zealand, an environmentally advanced country, Anzuco is actively committed to climate change and sustainability.
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ITOHAM YONEKYU HOLDINGS INC. 2022

Contact Information
ALT ITO Bldg. 1-6-21, MITA, MEGURO-KU, TOKYO , 1538587, JAPANITOHAM YONEKYU HOLDINGS INC.
Public & Investor Relations Office
TEL : +81-3-5723-6889

You can also contact us from the company website.
https://www.itoham-yonekyu-holdings.com

The current plans, forecasts, strategies and other items contained in this presentation include our forecasts for business results.
These forecasts are not historical facts; they are our judgment based on currently available information.
We do not guarantee these forecast business results, and they contain elements of risk and uncertainty.
The purpose of this presentation is not to solicit investment, but to give all investors a deeper understanding of Itoham Yonekyu Holdings.
We have taken care over the content of this presentation, but we do not accept any responsibility for errors in the content, tampering by
third parties, or errors that may occur during downloading.

ITOHAM YONEKYU HOLDINGS INC. 2022