Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy
between this translated document and the Japanese original, the original shall prevail.

March 22,2024

Notice of Formulation of the "Medium-Term Management Plan 2026
- 1st STAGE for NEXT 10 YEARS -"Company name: FEED ONE CO., LTD.
Listing:
Tokyo
Securities code: 2060
URL:
https://www.feed-one.co.jp/english/
Representative: REPRESENTATIVE DIRECTOR,PRESIDENT
Inquiries:
SENIOR EXECUTIVE OFFICER,CORPORATE PLANNING & STRATEGYDIVISION
Telephone:+81-45-311-2300

HIDEHIRO SHOJIYUTAKA NAGOYAFEED ONE CO., LTD. announced that it has formulated the "Medium-Term Management Plan 2026 - 1stSTAGE for NEXT 10 YEARS -" covering the period from the fiscal year ending March 2025 to the fiscalyear ending March 2027.
Please refer to the attached document for details.

1. Background and objectives of formulation
The "Medium-Term Management Plan 2026 - 1st STAGE for NEXT 10 YEARS -" positions itself as aperiod aimed at laying the foundation for realizing the newly established Purpose: "Feed the world for thefuture, live and smiles", looking ahead to the next ten years.
Our basic policy is to enhance the foundational earning power to undertake approximately 80 billion yen inlarge-scale investments over the next ten years and aim to build a strong and sustainable managementfoundation and profitability commensurate with a true leading company.
2. Consolidated Management Indicators
ROE

the fiscal year ending March 2027
8％

ROIC
EBITDA
Sale Volume

6％
11.5 Bln Yen
3.90 Mln tons

3. Guidelines of return to shareholders
We place importance on dividends as a means of returning profits to shareholders.
Based on a stable dividend, we will aggressively invest in capital investment, R&D, and human resource
development to enable sustainable growth, while targeting a consolidated dividend payout ratio of 25% ormore.

1Medium-Term Management Plan

Copyright © FEED ONE CO., LTD. All rights reserved.

1st STAGE for NEXT 10 YEARSMedium-Term Management Plan

Purpose“Feed the world for the future, lives and smiles”

Feed
The term ‘Feed’ is ourcompany’s greatest asset, which
has been incorporated into ourcompany name since before
integration, and we cherish thesentiments from our founding.

Copyright © FEED ONE CO., LTD. All rights reserved.

Creating the Futureof Food
Our business scope
encompasses the entire realm of‘food’, and we pursue newchallenges and innovations,envisioning the ‘future’.

Sustaining Life

Delivering Smiles

We consistently face the lives oflivestock and farmed fish withsincerity, shouldering the crucial
responsibility of supporting not
only their lives but also those ofhuman beings.

We aim not only to fill dining
tables with smiles but also toconsider the sustained
happiness of all stakeholders,
including producers, partners,shareholders, and employees ofour group.

2Medium-Term Management Plan

Updating MVV (Mission, Vision, and Values) in line with Purpose Setting

ission

一粒万倍A single seed can eventually
produce a great harvest

ision
Committed to ‘ONE’,
striving to be thecompany of choice

Amidst the rapidly changing environment of the

By emphasizing ‘ONE’ in our company name, welivestock and fisheries industry, we consider it ourstrive to become a true leading company

mission as a leading company to earnestly strive

committed to ‘Safety First,‘ aiming to be thefor stable feed supply, carrying the sentiment‘Number One’ in the industry. We aim to be a

expressed in this “mission” and understanding thecompany where all stakeholders, including

invisible efforts of various individuals entrusted in

producers, partners, shareholders, andthe production of each feed particle, all dedicatedemployees of our group, can trust that ‘Choosing

towards the peace of mind and safety of those

Feed One is the right choice’.

who utilize our feed and our consumers.

Copyright © FEED ONE CO., LTD. All rights reserved.

alues
We constantly strive to provide
solutions that address the needs andissues of customers and consumers.
To supply our customers with safe andreliable foods in a stable manner, we
conduct thorough compliance withregulations.
We develop highly specialized
personnel who can grasp changing
trends and constantly tackle challenges.
We sincerely strive to build trust withsociety through thoughtfulness,fairness, and humility.

3Medium-Term Management Plan

Vision for NEXT 10 YEARS
Purpose
VisionFeed the world for the future, lives and smiles.
Committed to ‘ONE’, striving
Period of Enhancing
to be the company of choice
Fundamental Profitability
2023 *EBITDAManagementobjectives

10.9Bln Yen

EBITDA

2026

EBITDA

11.5Bln Yen

ROE

10.2%

ROE

8%

ROIC

6.7%

ROIC

6%

Operating Profit

7.5Bln Yen

Sales Volume

3.79Mln tons

2033

（Objectives）

Sales Volume

ROE
ROIC
Sales Volume

3.90Mln tons

Over 16.0Bln Yen
Over 10%
Over 8%4.80Mln tons

* The forecast for fiscal 2023 is calculated from the consolidated performance
forecast announced on February 2, 2024.

Phase-2

Phase-1
2015〜2023"Unifying as One, Towards theFuture - Establishment of Business
Foundation through Integration"

1st STAGE 2024〜2026
Total Investment in Phase-22024〜2033
2nd STAGE 2027~2029
Approx. 80 Bln Yen

3rd STAGE 2030~2032

Achievement of Large-Scale Investments

Execution of Approx. 60 Bln Yen by the 2nd Stage

Growth Story

Manufacturing Facilities Rebuilding Production Infrastructure and Initiatives for CO2 Emissions Reduction
Human Capital

Investment for Talent Development and Employee Engagement Improvement

DX

Enhancing Productivity and Strengthening Sales Operations through DX

R&D

Development of Environmentally Conscious Feeds

Overseas

Copyright © FEED ONE CO., LTD. All rights reserved.

Domestic Introduction of Advanced Technologies from Overseas, and Expansionof Overseas Business

Key Non-Financial KPI
CO2 Emissions

Reduce by 50% compared to 2020 levelsby the fiscal year 2030

Diversity in Management Ratio

15% in 2030

Percentage of men taking parental leave

80% in 2026

4

Medium-Term Management Plan

Initiatives to Enhance Corporate ValueTo accelerate growthand improvementin profitability●Investment for growth●Improvement in investment
efficiency●Review of business portfolio〜Toward Improvement of PBR〜

Implementationof capital costmanagement
objectives
Cost of equity
WACC

8 %*
6% *

Optimal capital
structure●Appropriate debt to equity ratio●Enhancement of shareholder
returns

Strengtheningmanagement base●Promotion of human capital investment●Improvement in corporate governance●Sustainability initiatives

Strengthening of IR●Expansion of opportunities for dialogue between management and investors●Expansion of ﬁnancial presentation materials, Securities Report, Integrated report●Enhancement of English disclosures* Our assumed capital cost is calculated using the CAPM-based formula, taking into account the beta value and D/E ratio of similar listed companies.
Copyright © FEED ONE CO., LTD. All rights reserved.

5Medium-Term Management Plan

Cash Flow Allocation
Source（1stSTAGE & 2ndSTAGE）

Allocation

New Cash Generated Overthe 6-Year Period from
Fiscal Year 2024"

Return toShareholders

Operating CF

Over 60 Bln YenDividend

Our basic principle is to provide stable
and continuous dividends, with a target
consolidated payout ratio of over 25%

Feed Manufacturing Facilities

Capital & GrowthInvestment

60-70 Bln Yen

Food Manufacturing Facilities
R&D Facilities

Large-scale renewal

Optimization of Assets
External Liabilities
Based on cash-ins through operating cash flow
and financial cash flow, we will maintainfinancial discipline by considering the Debt-toEquity ratio when dealing with external liabilities.

Copyright © FEED ONE CO., LTD. All rights reserved.

Human Capital

R&DDX

Overseas Realizing Sustainable Growth through Investment
To support Japan's food safety as a leading company in the feed industry, we will implement
significant investments in feed manufacturing facilities. Despite a significant increase in investments,
our consolidated dividend payout ratio aims to remain at 25% or higher, ensuring stable dividends
and considering gradual increases

6