Status of Dialogue

with Share Holders
and Investors

F e b r ua r y 1 4 , 2 0 2 4

Enhancing Corporate Value

Management Policy

Drive management to enhance corporate value
Challenge

Our Price/Book value ratio is well over 1,
but there is a gap between the corporate value we are aiming for

Enforce Initiatives to Enhance Corporate Value
Food & Beverages Domain
Improve profitability bypromoting the premium strategy
and increasing productivity

Pharmaceuticals Domain

Health Science Domain
Focus on business expansion
and profitability in Japan andAsia-PacificExpand the next- generation
pipeline

Business Portfolio
Evolve constantly to the optimal state

Contributions from growing domains in addition to existing domains are
essential for improving corporate value in the medium to long term
© Kirin Holdings Company, Limited*Reprinted from Q2 FY2023 presentation materials

3Business Portfolio

Achieve improvement in shareholder value by continuing to evolve into an optimalbusiness portfolio
Image of contribution to Normalized EPS

Normalized
EPS
growthKyowa
Kirin
Kirin Beverage

CokeNortheast

Kyowa Kirin
Kirin Beverage

Kirin
BreweryCoke
NortheastKirin
BreweryKirin
Brewery
Lion

Lion
OthersLion
Four Roses

Four Roses

San Miguel
Brewery

San Miguel
Brewery

As isTo be*© Kirin Holdings Company, Limited

Alcoholic beverages

Kirin Beverage

Grow the global
strategic brands andexpand the nextgeneration pipeline
Promote the premium
strategy and increase
productivity

Grow steadily witheconomic growth* Assumes that each company's
shareholding ratio will remain the same

Initiatives for Improvement to achieve the goal

Kyowa
Kirin

Expand the businessand generate profit

As isHealth Science

Non-alcoholic
beverages

Normalized
operatingprofitcompositionratio⚫ Health Science domain requires advanced

investment and is not contributing toNormalized EPS⚫ Share of profit/loss of equity-accounted investees
and the US business, which contributesignificantly to the Normalized EPS, are unlikely to
be factored into the corporate value assessment

1

Achieve and visualize theNormalized EPS contribution ofHealth Science Domain

Generate profit fromthe current businessand explore further
strategic investments

2

Continuous reviewof the businessportfolio

Create and visualize synergy
between business domains

Demonstrate a clearer purpose of the current
business portfolio*Reprinted from Q2 FY2023 presentation materials

4

To Achieve Management with Cost of Capital Consciousness

Current Status｜Policies and Objectives

Pursue a management that focuses on capital efficiency and shareholder value as before

Current Status

Adopted ROIC as an indicator for financial targets from the 2019 Medium-Term Business Plan, along with theNormalized EPS growth rate.
In the 2023 results, return on capital (ROIC: 8.0%) exceeded the cost of capital (Group WACC: approx. 6%)
Analyzed and Evaluated of stock price and market capitalization during business portfolio discussions at board
meetings multiple times a year
Operated a remuneration system for executive officers linked to the medium-term financial targets

Policies and Objectives

Normalized EPS

Optimize the Group’smanagement
resources

Strengthen cash
generation capabilities
and improve efficiency
in each business

ROIC

Corporate’s RoleBusiness’s Role

Increase the excess of ROIC over the cost of capital(ROIC spread) and continue to aim above 10%
Set medium- to long-term ROIC targets for each
operating company in accordance with its
business stage, and work to improve them.

Maximize Corporate Value

Achieve profitable growth by promoting strategies ineach business domain and creating synergies amongbusiness domains© Kirin Holdings Company, Limited*Updated version of Q2 FY2023 presentation materials

6Implementation of Initiatives

Set targets for each business stage and promote improvement measures tocontinuously improve ROIC
Aimed direction of ROIC and growth potential
for each business domain

Future initiatives to improve ROIC
Optimize of the Group’s management resources

ROIC Target

⚫

10%

⚫

Capital efficiency (ROIC)

⚫
Group
WACC

Pharmaceuticals
DomainApprox.

6%

Food &Beverages
DomainHealth Science
DomainGrowth potential (Revenue)© Kirin Holdings Company, Limited

Continuous review of the business portfolio
Disciplined investment decisions based on ROIC
Improve capital efficiency by global CMS, etc.

Strengthen cash generation capabilities and improve
efficiency in each business
Improve profitability by promoting a premium strategy andproductivity improvement, and pursue management thatemphasizes capital efficiency through adequate capital
investment, etc.
Expand revenue through growth of global strategic brands,
and accelerate strategic investments* and development toenhance the development pipeline
Earn profit quickly through creating added value withBlackmores and Kyowa Hakko Bio's structural reforms, andexplore strategic investment* opportunities* Temporary decline in ROIC is permissible when strategic investments occur*Reprinted from Q2 FY2023 presentation materials
7

FY 2023
Status of Dialogue with Capital Markets

Status of Dialogue with Shareholders and Investors FY2023 -1Demographic of Dialogue Counterparts / Kirin’s Representative

Domestic / Overseas

Active / Passive
Passive
3%

Domestic
36% 659
In Total

Buy-side Areas of Responsibility

Sell-side, etc.
6%Overseas
64%

ESG, etc.
18%
Analyst40%

Active91%

Kirin’s representative
CEO10%CFO
IR Team
24%
66%

Portfolio
Manager
42%

Presentations to Institutional Investors
PeriodEventDetail

Main Speakers

Financial results presentation
May, November

Financial results presentation (1Q and 3Q)

First and third quarter results

General Manager of Corporate Strategy, General Manager ofFinancial Strategy

August, February

Financial results presentation (2Q and full-year)

Full-year forecast and initiatives to enhance corporate value

CEO, CFOIR events such as strategy presentations, etc.
March

CEO sell-side small meeting

Strategic dialogue between sell-side analysts and the CEOCEO, CFO, General Manager of Corporate Strategy, General
Manager of Financial Strategy

JuneInvestor Day

Growth strategies in the Food & Beverages domain (Kirin
Brewery and Lion)

CEO, President of operating companies

September

CEO sell-side small meeting

Strategic dialogue between sell-side analysts and the CEO

September

Health Science Day

Health Science domain and Blackmore’s growth strategy

December

CSV Day

CSV strategy update, human rights initiatives, and containerand packaging initiatives© Kirin Holdings Company, Limited

CEO, CFO, General Manager of Corporate Strategy, General
Manager of Financial Strategy
Director of the Board and Senior Executive Officer of Health
Science Strategy, President of operating companies
Senior Executive Officer of CSV, representatives from thedepartment*Results from January to December 2023

9

Status of Dialogue with Shareholders and Investors FY2023 -2Dialogue Topics with Shareholders and Investors
Examples of dialogue topics withshareholders and investors

Our initiatives (including items incorporated in response to the dialogues)⚫ Delivered a presentation on "Enhancing Corporate Value" at the 2Q financial results announcement.
⚫ Presented and reported on the progress of each business and its growth strategy at "Investor Day," an IR event.

Enhancement of corporate value, growthstrategies for each business domain and theGroup's business portfolio⚫ Apart from the above, in 2023, we held the first IR event "Health Science Day" focusing on the health science business.
⚫ Created and posted on our website an "Investor's Guide," to provide a reference to an overview of the Group for ourshareholders and investors.
⚫ Achieved the disclosure of the Health Science segment by revising the disclosure segments in accordance with thechange in the business portfolio.
⚫ Conducted a panel discussion on governance with non-executive directors at "Investor Day," an IR event.

Effectiveness of corporate governance⚫ Conducted a dialogue with non-executive directors on the topic of "Is our governance system 'functioning’?, " and postedon the "Integrated Report. "Progress on ESG and the relevance of nonfinancial indicators to corporate value⚫ Presented and reported on the progress of CSV management (including ESG) and the economic value created by each
initiative at "CSV Day," an IR event.

Feedback System to Management
Information is shared in a timely manner with the Board of Directors, members of the management meeting, presidents of affiliated operating companies, and generalmanagers of each division, etc., and reflected in the management strategy.
Contents

Frequency

Reporting Method

Feedback from investors/analysts (requires immediate attention)

Whenever necessary

Directly or by e-mail, etc.

Feedback from investors/analysts (reaction and evaluation of financial results)

Same day of the announcement

E-mailFeedback from investors/analysts (comments made during dialogue)

Monthly and quarterlyMonthly by e-mail, quarterly in the board meeting

Report on IR strategy, annual plan and progress

Quarterly

Board meeting© Kirin Holdings Company, Limited*Results from January to December 2023

10

This material is intended for informational purposes only and is not a solicitation or offer to buy or sell
securities or related financial instruments.