Supplementary Material to Financial Results
First Quarter of the Fiscal Year Ending December 2023

Nishimoto Co., Ltd.
May 12, 2023
2023 Nishimoto Wismettac Group All rights reserved.

Contents•

Summary•

Summary of Financial Results for the First Quarter of

P. 2

the Fiscal Year Ending December 2023

P. 3

•

Policy of Returning Profits to Shareholders

P. 11

•

Wismettac Group Profile

P. 132023 Nishimoto Wismettac Group All rights reserved.

1

Summary
Q1 2023 Financial Results◆

p. 4, 5Strong performance of the Asian Food Global Business and the impact of foreign currency exchange rates led
to year-on-year increase in both sales and profits. The Company has made solid progress towards achieving
its interim and full-year forecasts.
Same period last year Net sales: 59.0 billion yen
Current period

Operating income:2.9 billion yen

Ordinary income:3.2 billion yen Net profit:

2.2 billion yen*

Net sales: 69.8 billion yen Operating income: 3.2 billion yen Ordinary income: 3.4 billion yen Net profit: 2.3 billion yen*(*) Net income attributable to owners of parent◆◆

The Asian Food Global Business attained year-on-year sales and profit growth on the back of solid overallsales, despite the impact of lower profit margins in North America.
The Agricultural & Seafood Products Trading Business posted higher sales year-on-year, but profits declined
year-on-year due to delays in price adjustments in response to rising procurement costs. The Company seeks
to improve profitability from the previous fiscal year by expanding the market share of mainstay products.

FYE 12/2023 Earnings and Dividends Forecasts
◆

p. 12

There are no changes from the initial forecast (announced in February 2023) for both earnings and dividends.
Earnings Forecast for the Fiscal Year Ending December 2023
Interim

Net sales: 149.0 billion yen Operating income 5.2 billion yen

Full YearNet sales: 304.0 billion yen Operating income 11.0 billion yen Ordinary income: 11.0 billion yen Net profit: 7.3 billion yen*

Ordinary income: 5.2 billion yen

Net profit: 3.6 billion yen*(*) Net income attributable to owners of parent

Dividends Forecast for the Fiscal Year Ending December 2023
Interim dividend: 70 yen

Year-end dividend: 80 yen

2023 Nishimoto Wismettac Group All rights reserved.

Total: 150 yen
2Summary of Financial Results for the First Quarter of
the Fiscal Year Ending December 2023

2023 Nishimoto Wismettac Group All rights reserved.

Summary of Financial Results for the First Quarter of the Fiscal Year Ending
December 2023
◆ Results of the quarter surpassed strong performance of the same period last year, and we aremaking solid progress towards achieving the interim and full-year forecasts◆ The Company achieved significant increases year-on-year in both net sales and profits.
➢ Net sales increased 18% year-on-year.
✓ Strong sales continued in the Asian Food Global Business segment.
✓ During the same period of the previous fiscal year, sales were sluggish in the domestic market
due to remaining restrictions to prevent the spread of COVID-19.

➢ Operating income increased 9% year-on-year.
✓ While ocean freight rates declined as global logistics moved to regain stability, expenses
increased mainly in logistics costs (such as energy costs) and labor costs.
FY ended
FY ending
December 2022
December 2023
First quarter results First quarter results.

(Unit: billions of yen)

Year-on-year[Reference]
Earnings forecast
Midterm

Full year

149.0

304.0

Net sales

59.0

69.8

+10.8

+18.2%

Gross profit

12.5

14.6

+2.0

+16.3%

Operating income or loss(△)

2.9

3.2

+0.3

+9.1%

5.2

11.0

Ordinary income or loss(△)

3.2

3.4

+0.2

+5.4%

5.2

11.0

Net income or loss(△) attributable toowners of parent

2.2

2.3

+0.1

+6.8%

3.6

7.3

Yen/Dollar exchange rate
(Average rate during the period)

116.20 yen

132.34 yen+16.14 yen

Quarterly net income or loss(△) per share

150.77 yen

161.01 yen+6.8%

Operatingresults2023 Nishimoto Wismettac Group All rights reserved.

4

Operating Results by Segment for the First Quarter of the Fiscal Year Ending
December 2023
Asian Food Global Business (hereinafter referred to as "AFB")◆◆

Net sales increased by 20% year-on-year. (+21% YoY in North America and +17% YoY in regions outside North America)➢

In North America, both restaurant and grocery sales grew amid firm sales conditions.

➢

In Europe, sales to wholesalers were partially affected by inventory adjustment trends, but the decline in consumption due to
inflation and other factors was within the Company's initial expectations.

Profits increased compared with the same period of the previous fiscal year, which was strong mainly in North America, despite thesignificant impact of foreign exchange rate fluctuations.
➢

Profit margin in North America has leveled off from the same period of the previous fiscal year, when it was higher than in the past,
due to the supply-demand situation associated with stabilized logistics, increase in expenses mainly in labor costs, and inventory
valuation losses. The Company will seek to maintain its profit margin by continuing to make appropriate price adjustments andsecuring market share.

Agricultural & Seafood Products Trading Business◆ Net sales increased both domestically and overseas year-on-year due to the stabilization of the logistics situation and the recovery of
demand for commercial use.

◆ Due to the continued challenging business environment caused by the weak yen and other factors, delays in price adjustments, andunfavorable weather in production regions, the Company struggled to secure earnings mainly from its mainstay products, resulting inlower income year-on-year. The Company will strive to recover sales and improve profitability toward the latter half of the fiscal year.
(Unit: billions of yen)

Business segments

FY ended December 2022 FY ending December 2023

[Less impact of foreign
currency translation]
Year-on-year

Year-on-year

First quarter results

First quarter results

46.4

55.5

+9.2

+19.8%

+3.3

+7.1%

Operating income or loss(△)

3.0

3.5

+0.5

+17.6%

+0.1

+4.8%

Agricultural &Net sales
Seafood Products
Trading Business Operating income or loss(△)

11.5

12.9

+1.4

+12.5%

+1.1

+9.7%

0.0

▲ 0.0

▲0.0

-

▲0.0

-

Net sales

1.1

1.3

+0.1

+12.1%+0.1+12.1%

Operating income or loss(△)

0.1

0.1

+0.0

+13.7%+0.0+13.7%

-

-

-

-

-

-

Operating income or loss(△)

▲0.1

▲ 0.4

▲0.2

-

▲0.2

-

Net sales

59.0

69.8

+10.8

+18.2%

+4.6

+7.7%

2.9

3.2

+0.3

+9.1%

▲0.1

▲4.0%

AFB

Other
Adjustment
Total

Net sales

Net sales

Operating income or loss(△)

2023 Nishimoto Wismettac Group All rights reserved.

5

Major Factors Affecting Year-on-Year Changes in Operating Income(Unit: billions of yen)

3.2

▲0.0

0.0

▲0.0

0.2
2.9

FY2022 1Q

0.4
▲0.2

[AFB]
Change innet sales[AFB][Agricultural &[Agricultural &Other
Change in Seafood Products] Seafood Products] adjustments,
profit margin
Change inChange inetc.
net sales
profit margin
2023 Nishimoto Wismettac Group All rights reserved.

Impact offoreign currencytranslation

FY2023 1Q

6

Consolidated Balance Sheet (Summary)◆ No significant change from the end of the previous fiscal year, and a stablefinancial base, including liquidity on hand, is maintained(Unit: billions of yen)

Main reasons forchanges

End of 12/2022

End of 03/2023

151.0

153.7

+2.7 Cash and deposits +5.3, Inventories ▲1.3

28.2

27.8

▲0.4

179.2

181.6

+2.3

Current liabilities

33.6

34.6

+1.0 ▲0.7

Non-current liabilities

73.5

73.1

▲0.4

Total liabilities

107.2

107.7

+0.5

Total net assets

72.1

73.9

+1.8 translation adjustment +0.5

179.2

181.6

+2.3

132.70 yen

133.53 yen+0.83 yen

Shareholders' equity ratio

40%

40%

+0pt

Current ratio

449%

445%

▲5pt

Current assets
Non-current assets
Total assets

Total liabilities and assets

Yen/Dollar exchange rate (Year-end rate)

Changes

Trade payables +1.3, Short-term loans payable

Retained earnings +1.2, Foreign currency➢ Retrospective application of changes in tax effect accounting standards for certain foreign subsidiaries for the previous fiscal year end (December 31, 2022)➢ Insignificant impact on retrospective application on total assets and profit attributable to owners of parent

2023 Nishimoto Wismettac Group All rights reserved.

7

(Ref.) Sales Composition Ratio by Region*Sales to external customers●Consolidated sales (Entire Group)

Unit: billions of yen

3,040
2,752
2,132
1,583
3.7%
2.0%

1,721

5.3%
3.1%

1,822

1,826

5.3%
3.4%

4.6%
3.7%

1,684

5.2%
8.8%

5.3%
14.5%

8.4%

8.6%
Asia/Australia

14.2%

14.4%
EU

59.0%

58.9%

58.5%

60.0%

53.9%
54.4%

57.0%

56.4%

NA

Japan

35.4%

FYE 12/2016

32.7%

FYE 12/2017

32.7%

FYE 12/2018

2023 Nishimoto Wismettac Group All rights reserved.

31.6%

FYE 12/2019

32.2%

FYE 12/2020

25.8%

FYE 12/2021

SSP (Germany 2020/2),
C3C (France 2020/7)
joined the WMCGroup as consolidated
subsidiaries

20.4%

20.7%

FYE 12/2022

FYE 12/2023(Forecasts)

Sco-Fro Group(Scotland 2021/2)
joined the WMC Group
as a consolidated
subsidiary

BCM (Singapore
2022/1) joined the
WMC Group as aconsolidated subsidiary8

Progress of Business Performance of Fiscal Year Ending December 2023 (by Existing and
New Business)

Planning
assumption

The yen/dollar exchange rate in the forecast is assumed to be 1$=130 yen

Unit: billions of yen

FY2023
Forecasts

FY2023
1Q

Sales

275.2

304.0

69.8

Profit

10.5

11.0

3.2

Sales

261.3

286.0

65.7

Profit

12.5

13.2

3.6

Sales

212.9

232.1

54.5

Profit

13.0

13.1

3.5

Sales

44.6

49.4

10.0

Profit

▲0.5

0.1

▲0.0

Sales

3.8

4.6

1.3

Profit

0.0

0.0

0.1

Sales

13.9

18.0

4.0

Profit

▲2.0

▲2.2

▲0.4

(USD exchange rate)(131.43)(130.00)(132.34)

Entirecompany

Existing

AFB

Agricultural& Seafood
Products

Domestic
BtoC

New

FY2022
Results2023 Nishimoto Wismettac Group All rights reserved.

FY2023 Policies
Despite the headwinds caused by lower profit margins dueto the normalization of the supply-demand balance andhigher SG&A expenses due to accelerating inflation, theentire Group aims to increase sales and profits.
While AFB will maintain operating income due to sales
increases, we expect improved profits in the Agricultural &Seafood Products Trading Business.

Lower profit margins due to the normalization of the
supply-demand balance and higher SG&A expenses due to
inflation will be offset by increased sales resulting from sales
channel expansion and improved operational efficiency.

The accuracy of purchase and sales plans and profitability
will be improved by enhancing information-gathering
capabilities particularly in the wholesale market.

We aim to increase sales by expanding the product lineupand sales channels.

While continuing to invest in creating new businesses, focus
will be maintained on expanding sales through enhanced
sales channels (mainstream, etc.).

9

(Ref.) Breakdown of Strategic Investment◆

Continues to implement initiatives and investments to strengthen the foundations of existing businesses andevolve into new business models.

AmountAims
1Expansion
Business Fields

2

Sales Channel
Development andSystem Enhancement(Strengthening Interregional
Cooperation)

3◆ Building business strategies forstrengthening mainstream sales channel,
etc., and building business strategies fordeepening transactions◆ Strengthening management andoperational capabilities in each region◆ Further expansion of the private brandproduct lineup◆ Development of health-conscious products

Strengthening
Profitability of
Existing Businesses

4◆ Diversification of the business portfolio

Development of
New Businesses
Derived from
Existing
Businesses◆ Improve operational efficiency andinformation security◆ Improve accuracy of SCM operations

Measures◆ Creation of new businesses that
integrate food, healthcare, etc. (newsolution development business)◆ Product development and mainstream
sales channel development in Europe
and China(including expenses/billions of yen)

2022

2023

Results

Forecasts

1Q

0.8

0.9

0.2

1.1

1.1

0.2

0.1

0.2

0.0

0.2

0.6

0.0

◆ Strengthening of overseas regional
management systems◆ Enhancement of the productdevelopment divisions◆ SCM and IT infrastructure
investments◆ Build a more customer-orientedorganization◆ Strengthen in-house collaboration acrossdivisions and departments◆ Organizational
revitalization/streamlining

0.1

0.1

0.0

◆ Capturing growth in overseas markets◆ Construction of a mechanism foroverseas export of Japanese
agricultural products

0.3

0.3

0.1

◆ Capturing food service businesses
responding to the New Normal lifestyle◆ Development of new services to therestaurant industry (New Normal
eating habits)

0.1

0.3

0.0

2.7

3.5

0.6

2023 Nishimoto Wismettac Group All rights reserved.

10

Policy of Returning Profits to Shareholders

2023 Nishimoto Wismettac Group All rights reserved.

Policy of Returning Profits to Shareholders
Basic Policy

FY2023
Dividends
Forecast(Reference)

FY2022

No change from policy announced
at beginning of the period◆ The company will continue to pay stable dividends while securing internal reserves for future businessdevelopment and strengthening the financial structure.
◆ The company considers the dividend payout ratio as an important indicator and aims for a
consolidated dividend payout ratio of approximately 30% for the full year.
◆ Dividend per share: The annual dividend will be 150 yen(interim dividend: 70 yen, year-end dividend: 80 yen)
◆ Dividends will be determined in consideration of the above basic policy, the Group's businessenvironment, and the future business outlook.
◆ The annual dividend will be 145 yen per share, the highest dividend for the second consecutive year
since the Company was listed.
◆ The full-year dividend payout ratio is 30.5%.

Dividend per share(yen)

Year-end
dividend

Year-end
dividend

Year-end
dividend

Interim dividend
Not paid

FY ended December
2020 (Results)
2023 Nishimoto Wismettac Group All rights reserved.

Interimdividend

FY ended December
2021 (Results)

Interimdividend

FY ended December
2022 (Results)

Interimdividend

FY ending
December 2023
(Forecasts)

12

Corporate Profile◆ Two spheres symbolizing the Earth and Globalism⚫ Red is used to show Innovation, green represents Nature⚫ Expresses the Company's "lasting commitment to creating
healthier and richer lives through food"◆ Incorporates the letters "W" "M" and "C" fromthe Company name2023 Nishimoto Wismettac Group All rights reserved.

< Wisdom > (Western knowledge)< Metta >(Eastern knowledge)(Metta means kindness or empathy in Pali,an ancient Indian language)< Creativity > (Ability to create value)Wismettac's "Purpose" and "Mission"

PurposeStatement
Contribution to society as acompany in the food industry

MissionStatement
Our business model to bring our
Purpose a reality

Contribute to the well-being of humanity throughproviding the most cutting-edge and powerfulsolutions to customers and the food industry aroundthe world
To bring our Purpose a reality, we actively search global
best-in-class solutions for unmet needs and issues
which shall be brought to our attention through our
day-to-day close interactions with customers and thefood industry around the world.
In other words, we will be the link between the most
cutting-edge and best fit solutions and the issues orunmet needs identified through our global network.
To accomplish our mission,
we will commit ourselves to evolving our cross-border supply
chain into the "Silk Road in Food Industry."
Providing Japanese food, fruit andvegetables, and imported processed foods→

Providing every type of solutions
from food to technology and services"From Japan to the World" &"From the World to Japan"→"World-to-World"- Interactive business in five regions

2023 Nishimoto Wismettac Group All rights reserved.

14

The Mission of Wismettac
We will ➀ strengthen further the supply chain functions we have cultivated to date, ② develop "service and technology"
solutions for needs identified through our network within the food industry in the 5Rs (five regions around the world), ➂ open
up our "Silk Road" for external research institutes and start-up companies, and ④ expand products and services around the 5Rs
through our Silk Road

Suppliers"Become the link between the most cutting-edge and best fit
solutions and the issues or unmet needs for the food industry
across the regions"
Development and Expansionof Solution

5R
3

North
America

Needs
identification

Start-ups
Solution identificationand development

2

Europe

China

1

5R
North
America3

Technology & Services"Silk Road"

4Southeast
Asia

Research
institutes,
IP owners

Food products
Expanded Supply Chain Function

Customers

Europe4

China

Southeast
Asia

Product development/PB label

Japan

Logistics
Trade management and food safety

Japan

Sourcing , contract packing arrangements and in-house production

2023 Nishimoto Wismettac Group All rights reserved.

*Excerpt from Mid-Term Business Plan materials announced in May 2022

15

Nishimoto Wismettac: Corporate Profile
Founded in 1912, Nishimoto Wismettac has grown into a global company supplying food ingredientsand food products to markets worldwide.
Company nameNishimoto Co., Ltd. (TSE Prime 9260)

Head office

15th Floor, Nihonbashi Muromachi Mitsui Tower, 3-2-1, Nihonbashi Muromachi, Chuo-ku, Tokyo

EstablishedMay 1912

Representative directors

Yoshiro Susaki, Chairman & CEO

Number of employees

2,004 (including 1,541 in the Asian Food Global Business) [As of December 31, 2022]◆ Development and sales of Asian food worldwide

Business◆ Imports and sales of fruit, vegetables and related processed products, and supply offood ingredients to food manufacturers and the restaurant sector◆ Other domestic sales activities (amenity products, supplements, medical food, etc.)

Subsidiaries and affiliates
Business sites

24 subsidiaries, 1 affiliate [As of March 31, 2023]
45 worldwide (including 24 in North America)
Locations in Japan, the U.S., Canada, Singapore, Australia, Netherlands, U.K., Germany,
France, China, Hong Kong, Thailand, Vietnam and South Korea

Consolidated net sales

275.2 billion yen (FY ended December 2022)

Consolidated ordinary
income10.8 billion yen (FY ended December 2022)

Shareholders' equity ratio*Overseas sales ratio 79.6%

39.9% (FY ended December 2022)

2023 Nishimoto Wismettac Group All rights reserved.

16

Wismettac Group in Japan and Abroad
The Company Group maintains 45 locations around the world in North America, Europe, Australia, and Asia and isdeveloping business globally. Among these, North America (the US and Canada) has 24 locations, which account forthe majority of sales.

・COMPTOIRS DES 3 CAPS・COMPTOIRS OCEANIQUES・TROPIC FISH
SSP Konsumgüter TRADE & CONSULT GmbH
Berlin Office

Calgary Office

Wismettac EMEA Holdings Limited

Denver Office(Established in January 2023)

Wismettac Asian Foods,
Inc. (Canada)

Wismettac Harro Foods Limited
WF Seoul Representative Office

NTC Wismettac Europe B.V.
Sco-Fro Group Limited

Nishimoto Co., Ltd.

Wismettac Foods, Inc.
Privateport Co., Ltd.

Las Vegas Office
Seattle Office
Sacramento Office

Wismettac Foods Shanghai Co., Ltd.

San Francisco Office

Shanghai IPM Co., Ltd.

Wismettac Asian Foods,
Inc.

Nippon Foods Co., Ltd.
SIM BA TRADING JTC
WF Ho Chi Minh Representative Office

WF Bangkok Representative Office

NTC Wismettac Singapore Pte. Ltd.
Ban Choon Marketing Pte. Ltd.

Hawaii Office

Chicago Office
Toronto OfficeMontreal Office
Boston Office
New York Office
Washington, DC OfficeRaleigh Office
Ohio Office

WF Kobe Branch

San Diego OfficeMiami Office

Arizona OfficeOrlando Office

Houston OfficeAtlanta Office

Dallas Office
NTC Wismettac Australia Brisbane Office
NTC Wismettac Australia Pty Ltd.

NTC Wismettac Australia Perth Office

NTC Wismettac Australia Melbourne Office"WF" shown in the figure is an abbreviation for "Wismettac Foods"

2023 Nishimoto Wismettac Group All rights reserved.

17

(Reference) Progress Based On the Plan for Conforming to the Criteriafor Maintaining TSE Prime Listing◆ Challenge: Achieving "ratio of shares in circulation 35% or more"◆ Details of Initiatives and Planned Timeframe➢ With the aim to increase the ratio of shares in circulation, the Company willconsider offering to sell a portion of its shares to major corporate and individual
shareholders and public offering of new shares, based on a phased approach while
taking into account the business environment, stock market trends, etc.

Plan
(Submitted in
December 2021)➢ Planned timeframe of four years (by December 2025)

Implementation
Status of Initiatives
Future Challenges(As of end of December 2022,
announced on March 30)◆ Implementation Status and Evaluation of Initiatives
Number of shareholders, market capitalization of shares in circulation, and average
daily trading value increased, but the ratio of shares in circulation fell short of thetarget.
➢ Achieved record profits in fiscal year ended December 2022.
➢ The Company will advance investor relations activities, such as investor meetings,
and enhance corporate governance systems.
◆ The Company will seek to increase corporate value over the medium to long term
and meet the criteria for maintaining listing within the timeframe specified in the plan.
Number of shareholders

Number ofshares incirculation

Marketcapitalization ofshares incirculation

Ratio ofshares incirculation

Daily average
trading value

As of June 30, 2021
(Transition reference date)*1

4,907

38,488 units

10.76B yen

26.8％

28.0M yen

December 31, 2022*1, 2

8,268

37,877 units

14.47B yen

26.3％

133.0M yen

Listing maintenance criteria

800

20,000 units

10.0B yen35％

20.0M yen

Planned period

-

-

-

End of Dec.
2025-

Conformance status

〇

〇

〇

×

〇

Conformancestatus andprogress*1 The conformance status as of each reference date is calculated based on the distribution of the Company's shares as of the reference date as ascertained by the TSE.
*2 The daily average trading value is based on the "Conformance Status with Listing Maintenance Criteria (Trading Value Criteria)" notified by the TSE on January 11, 2023.

2023 Nishimoto Wismettac Group All rights reserved.

18

Disclaimer
These materials are intended to provide financial information, management information, etc. of Nishimoto Co.,
Ltd. and its affiliated companies (hereinafter collectively referred to as "the Company"), but the Company makes
no representation or warranty regarding the content of these materials.

The plans, strategies, operating results forecasts, etc. of the Company in these materials may include information
on forward-looking statements, which are based on information currently available to the Company, and include
risks and uncertain elements in relation to economic trends, competition in the industry, market demand,
foreign exchange rates, taxation system, various systems, etc. Therefore, actual operating results that will be
published in the future may differ due to these elements, and the Company does not assume any liability for any
damage arising from the use of information in these materials. Furthermore, the Company is under noobligation to revise and publish future forecasts in these materials based on new information or future events.
The Company pays close attention when preparing these materials; however, please note:• The Company does not assume any liability for any damage arising from any causes including, but not limited
to, any errors in the information presented, falsification of data by a third party, and any failure arising fromdownload of data; and• If there is a discrepancy between the Japanese version and the English version (if any) of published materials,
the Japanese version shall take precedence, and the Company does not assume any liability for any damage
arising from misunderstanding due to translation.
The information in these materials is not intended to solicit investments. When any investment is actually made,please refrain from completely relying on the information in these materials to make an investment decision,and make the decision based on your own judgment.

[Contact]

Nishimoto Co., Ltd.
Corporate Management Office
TEL: 03-6870-2015

2023 Nishimoto Wismettac Group All rights reserved.