Slide 1: Outline of Financial Results for the Nine Months ended December 31, 2024
Outline of Financial Results for the Nine Months ended December 31, 2024 February 2025 HANWA CO., LTD. Copyright© 2025 Hanwa Co., Ltd. All Rights Reserved
Slide 2: 1. Summary of Financial Results for the Nine Months of FY2024 2. Progress on
1. Summary of Financial Results for the Nine Months of FY2024 2. Progress on Medium-Term Business Plan 2025 3. Details by Business Segment Copyright© 2025 Hanwa Co., Ltd. All Rights Reserved 1
Slide 3: 1. Summary of Financial Results for the Nine Months of FY2024
1. Summary of Financial Results for the Nine Months of FY2024 Copyright© 2025 Hanwa Co., Ltd. All Rights Reserved 2
Slide 4: Summary of Consolidated Financial Results
Summary of Consolidated Financial Results ◼ Amid increasing uncertainty and stagnation in the business environment, we achieved increased sales and profits, by improving profitability mainly in the steel and food businesses. ◼ Ordinary income for the nine months ended December 31, 2024 was 43.2 bil.
Slide 5: Segment Information (Consolidated)
Segment Information (Consolidated) （billions of yen） FY2023 FY2024 Y on Y Change Ordinary Income by Segment Business Segment Main Factors Q1-Q3 Q3 YTD (Y on Y Rate) 43.2 42.9 +1.5 Despite a decrease in transaction volume, profits increased due to 1.5 Steel 22.1 23.6 steady performance in the domesti
Slide 6: Quarterly Ordinary Income by Segment
Quarterly Ordinary Income by Segment （billions of yen） FY2023 FY2024 Business Segment Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 YTD Steel 8.2 4.7 9.0 2.3 24.5 7.7 6.4 9.4 23.6 Primary Metal 4.0 2.6 -0.2 2.0 8.4 1.1 2.2 -0.4 2.9 Metal Recycling 1.1 0.1 0.3 0.4 2.1 0.7 0.7 1.4 2.9 Foods 0.4 -0.6 1.2 0.2 1.3 0.3 0
Slide 7: Quarterly Ordinary Income by Segment: Actual Results and Full-Year Forecast
Quarterly Ordinary Income by Segment: Actual Results and Full-Year Forecast （billions of yen） FY2024 Forecast FY2024 Results FY2024 Changes Business Announced from Initial Key Factors behind Forecast Revisions Segment Initial YTD Progress Forecast in Feb. '25 1Q 2Q 3Q a c c/b b-a b Upward revision b
Slide 8: Impacts of Market Value Accounting & One-Time Factors On Profits/Losses
Impacts of Market Value Accounting & One-Time Factors On Profits/Losses ◼ Actual ordinary income* was 43.3 bil. yen, while accounting ordinary income was 43.2 bil. yen. *The effects of inventory, derivative valuation, foreign exchange valuation at the end of the period, and one-time factors are dedu
Slide 9: Financial Position (Consolidated)
Financial Position (Consolidated) （billions of yen） Change Mar. 2024 Dec. 2024 Main Factors （Rate） +0.1 Total Assets 1,166.9 1,167.1 Remained flat (+0%) +21.7 Shareholder's Equity 304.2 326.0 (+7%) Increased due to factors such as accumulation of +17.1 Owner's Equity 351.2 368.3 retained earnings an
Slide 10: 2. Progress on Medium-Term Business Plan 2025
2. Progress on Medium-Term Business Plan 2025 Copyright© 2025 Hanwa Co., Ltd. All Rights Reserved 9
Slide 11: Reducing Strategic Shareholdings
Reducing Strategic Shareholdings ◼ Sold shares in 12 companies for a total of 3.14 billion yen through Q1-Q3 FY2024. ◼ Continues to sell shares to achieve further reduction, improve capital efficiency, and promote asset restructuring. Mar. 2024 Dec. 2024 Ratio of Strategic Shareholdings to the net a
Slide 12: Investments Updates Q3 FY2024
Investments Updates Q3 FY2024 Segments Amount Major Projects Mid-Term Business Plan 2025 Q3 FY2024 YTD （Target: Total of 80bil. Yen) Steel 4.3bil. yen Establishment of new factories at overseas coil center subsidiaries etc. 14.6bil. yen Primary Metal 1.9bil. yen Investment in PMB TECHNOLOGY BERHAD e
Slide 13: Major Disclosed Investments and Asset Replacements 1/3
Major Disclosed Investments and Asset Replacements 1/3 Investment in an EF Steelmaker in Indonesia Investment in GREEN ESTEEL PTE. LTD. (PT GARUDA YAMATO STEEL) Hanwa Singapore has subscribed for new shares issued by GREEN ESTEEL PTE (ESTEEL). ESTEEL has announced the construction of a PT Hanwa Indo
Slide 14: Major Disclosed Investments and Asset Replacements 2/3
Major Disclosed Investments and Asset Replacements 2/3 Investment in Incorporation of PMB TECHNOLOGY BERHAD Marugo Fukuyama Suisan Co., Ltd. into the Group Hanwa acquired 24 million shares in PMB Technology Berhad (PMB), Hanwa has acquired 80% of the shares in Marugo Fukuyama Suisan listed on the Ma
Slide 15: Major Disclosed Investments and Asset Replacements 3/3
Major Disclosed Investments and Asset Replacements 3/3 Acquisition of 100% of Shares in SHINX Corporation Transfer of All Shares in Halos Corporation Hanwa has acquired 100% of the shares in SHINX Corporation We continue to strengthen our corporate value through strategic (SHINX), a company headquar
Slide 16: Transition to a Company with an Audit and Supervisory Committee
Transition to a Company with an Audit and Supervisory Committee ◼ At the Board of Directors meeting held on 28th January 2025, a resolution was passed to transition from a "Company with a Board of Corporate Auditors" to a "Company with an Audit and Supervisory Committee". ◼ The transition is schedul
Slide 17: 3. Details by Business Segment
3. Details by Business Segment Copyright© 2025 Hanwa Co., Ltd. All Rights Reserved 16
Slide 18: Steel Business Segment
Steel Business Segment ◼ Decreased transaction volumes of various steel products pushed down Sales. ◼ Steady performance in the domestic construction sector, increased transaction of high value-added products, and improved profitability at some overseas subsidiaries pushed up profits. FY2023 FY2024
Slide 19: Steel Business Segment
Steel Business Segment （thousand tons） Trend of Transaction Volume* (Consolidated) Quarterly Changes Q1-Q3 Total 6,962 2,318 2,306 2,337 6,383 2,257 2,181 2,154 283 871 307 280 2,047 244 51 279 240 141 733 45 44 38 212 45 139 46 47 1,019 952 3,132 1,045 1,068 949 2,869 960 959 919 912 983 1,021 919
Slide 20: Primary Metal Business Segment
Primary Metal Business Segment ◼ Despite expansion in overseas transactions, profits were pushed down by declining market conditions for various commodities and negative equity in earnings from SAMANCOR. FY2023 FY2024 (billions of yen) Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 YTD Net Sales 53.8 43.3 43.9 46.3
Slide 21: Primary Metal Business Segment
Primary Metal Business Segment （thousand tons） Trend of Transaction Volume (Unconsolidated) Q1-Q3 Total 1,045 Quarterly Changes 2,501 943 2,428 219 797 804 542 732 723 Others(*) 680 1,054 427 117 Iron scrap 285 401 205 349 Manganese 278 1,167 Sillicone 401 Chromium 364 321 335 926 168 Stainless 306
Slide 22: Metal Recycling Business Segment
Metal Recycling Business Segment ◼ Increased transaction volumes of precious metal bullion and aluminum scrap pushed up sales. ◼ Despite the impact of lower nickel prices compared to the same period last year, steady copper and aluminum market prices pushed up profits. FY2023 FY2024 (billions of yen
Slide 23: Metal Recycling Business Segment
Metal Recycling Business Segment （thousand tons） Trend of Transaction Volume (Unconsolidated) 87 Others Q1-Q3 Total Quarterly Changes 212 8 207 74 24 68 32 66 64 14 61 59 8 11 37 7 65 40 7 7 12 13 15 14 15 13 15 14 5 5 22 4 5 3 4 1 7 22 7 7 7 7 8 8 79 25 26 26 70 24 24 24 21 4 4 5 4 5 5 6 15 17 Q1 Q
Slide 24: Foods Business Segment
Foods Business Segment ◼ Despite flat transaction volumes, stable sales to mass retailers and higher food prices, particularly for crab, compared to the same period last year pushed up both sales and profits. FY2023 FY2024 (billions of yen) Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 YTD Net Sales 28.7 32.5 36.8
Slide 25: Foods Business Segment
Foods Business Segment （thousand tons） Trend of Transaction Volume (Unconsolidated) Quarterly Changes Others Q1-Q3 Total Chicken 80 76 26 Bottom fish 9 27 26 6 26 26 Mackerel & Horse 4 2 23 3 1 1 mackerel 14 Salmon & Trout 17 20 1 5 4 Crab 5 6 6 2 4 Prawns & Shrimp 11 14 2 4 5 3 5 4 4 11 10 4 2 3 4
Slide 26: Energy & Living Materials Business Segment
Energy & Living Materials Business Segment ◼ Significantly increased handling volumes in marine petroleum products pushed up sales. ◼ Increased transaction volumes and higher unit prices in chemical products pushed up both sales and profits. FY2023 FY2024 (billions of yen) Q1 Q2 Q3 Q4 Total Q1 Q2 Q3
Slide 27: Energy & Living Materials Business Segment
Energy & Living Materials Business Segment （thousand tons） Trend of Transaction Volume (Unconsolidated) Quarterly Changes Q1-Q3 Total （千t） 3,613 1,433 329 3,297 1,298 1,309 165 1,225 165 1,185 111 167 706 58 657 282 55 1,005 273 218 196 283 50 886 213 51 1,017 817 295 371 290 178 297 436 81 244 285
Slide 28: Overseas Sales Subsidiaries Segment
Overseas Sales Subsidiaries Segment ◼ Newly consolidated subsidiaries in the steel sector contributed to increase sales. ◼ While steel product prices, particularly in Asian regions, trended lower compared to the same period last year, increased transaction volumes of steel in Mexico and non-ferrous
Slide 29: Overseas Sales Subsidiaries Segment
Overseas Sales Subsidiaries Segment （thousand tons） Trend of Steel Transaction Volume (Sum of Overseas Sales Subsidiaries) Quarterly Changes Q1-Q3 Total 1,000 947 2,378 900 140 272 779 800 30 1,859 700 662 651 598 598 603 268 600 101 1,011 136 41 348 435 74 56 500 615 196 165 221 227 400 228 300 893
Slide 30: Other Segment
Other Segment ◼ Housing Materials : Despite expanded transactions with housing manufacturers, the impact of falling lumber prices resulted in increased sales but decreased profits. ◼ Machineries : Due to fewer large projects in leisure facility sectors compared to the same period last year, both sal
Slide 31: Actual Ordinary Income by Segment
Actual Ordinary Income by Segment Note: Our analysis of foreign exchange valuations has been improved due to upgrades of our core system. Consequently, we have adjusted the scope of foreign exchange valuations from the second quarter. （billions of yen） Forecast for Valuation and Temporary Items Acco
Slide 32: Run Up to HANWA 2030
Run Up to HANWA 2030 HANWA CO., LTD. This presentation contains forward-looking statements concerning future results, performance and achievements that are subject to risk and uncertainties and reflect management’s views and assumptions formed by available information. Consequently, due to a range o