Ajinomoto: Financial Statements for the First Quarter Ended June 30, 2025

August 4, 2025

(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated Financial Results for the Three Months Ended June 30, 2025
   1. Consolidated Operating Results (Percentages indicate year-on-year changes.)

      	Sales		Business profit		Profit before income taxes		Profit
      Three months ended	Million yen	%	Million yen	%	Million yen	%	Million yen	%
      June 30, 2025	364,008	(0.4)	47,236	9.7	48,072	20.7	34,926	30.4
      June 30, 2024	365,508	7.7	43,073	0.5	39,825	0.6	26,778	(9.6)

      	Profit attributable to owners of the parent company		Total comprehensive income		Basic earnings per share	Diluted earnings per share
      Three months ended	Million yen	%	Million yen	%	Yen	Yen
      June 30, 2025	32,218	34.4	24,664	(65.7)	32.62	32.62
      June 30, 2024	23,967	(12.0)	71,940	(18.1)	23.49	23.49

      1. Upon the adoption of IFRS, the Ajinomoto Group has introduced "business profit" as a new profit level that will better enable investors, the Board of Directors, and the Management Committee to grasp the core business results and future outlook of each business while also facilitating continual evaluation of the Group's business portfolio by the Board of Directors and the Management Committee. "Business profit" is defined as sales and share of profit of associates and joint ventures minus cost of sales, selling expenses, research and development expenses, and general and administrative expenses. Business profit does not include other operating income or other operating expenses.

      2. With a 2-for-1 stock split of the Company's ordinary shares effective April 1, 2025, basic earnings per share and diluted earnings per share were calculated based on the assumption that the stock split was conducted at the beginning of the previous fiscal year ended March 31, 2025.

   2. Consolidated Financial Position

      	Total assets	Total equity	Equity attributable to owners of the parent company	Ownership ratio attributable to owners of the parent company
      As of	Million yen	Million yen	Million yen	%
      June 30, 2025	1,747,492	768,478	702,123	40.2
      March 31, 2025	1,721,131	813,273	746,804	43.4

   3. Consolidated Cash Flows

      	Net cash provided by operating activities	Net cash used in investing activities	Net cash provided by (used in) financing activities	Cash and cash equivalents at end of period
      Three months ended	Million yen	Million yen	Million yen	Million yen
      June 30, 2025	30,419	(28,983)	34,010	197,921
      June 30, 2024	38,111	(14,633)	(8,818)	191,267

2. Cash Dividends

1. Revisions from the last forecast released: None

2. With a 2-for-1 stock split of the Company's ordinary shares effective April 1, 2025, the actual dividend amount before the stock split is stated for the fiscal year ended March 31, 2025.

3. Forecast for the Fiscal Year Ending March 31, 2026 (Percentages indicate year-on-year changes.)

Note: Revisions from the last forecast released: None

1. Changes in significant subsidiaries during the period: None

2. Changes in accounting policies and accounting estimates

   1. Changes in accounting policies as required by IFRS: None

   2. Other changes in accounting policies: None

   3. Changes in accounting estimates: None

3. Number of shares outstanding (ordinary shares)

   1. Number of shares outstanding at end of period (including treasury stock)

      As of June 30, 2025	1,005,637,616
      As of March 31, 2025	1,005,637,616

   2. Number of shares in treasury stock at end of period

      As of June 30, 2025	25,888,558
      As of March 31, 2025	11,237,848

   3. Average number of shares during period

      Three months ended June 30, 2025	987,719,450
      Three months ended June 30, 2024	1,020,279,772

      1. With a stock split of the Company's ordinary shares effective April 1, 2025, number of shares outstanding (ordinary shares) was calculated based on the assumption that the stock split was conducted at the beginning of the fiscal year ended March 31, 2025.

      2. The number of shares in treasury stock at the end of the period includes the Company's shares held by the director's remuneration BIP trust (As of June 30, 2025: 801,600 shares. As of March 31, 2025: 811,200 shares), which was adopted along with the introduction of stock-based remuneration of executive officers based on the Company's medium-term earnings performance for the directors and others. In addition, these Company's shares are included in the treasury stock which is deducted from the number of shares outstanding at the end of the period when calculating the average number of shares during the period.

Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: None

Appropriate use of forecasts and other notes

Disclaimer regarding forward-looking statements and other information

Forward-looking statements, such as business forecasts, included in this document are based on management's estimates, assumptions, and projections at the time of release. These statements do not promise nor represent a commitment by the Company to achieve these forecasts. Actual operating results may differ significantly due to various factors. For more information regarding our earnings forecasts, see page 5, "1. Qualitative Information on the Three-month Consolidated Results, (1) Overview of Operating Results."

Where to obtain supplementary materials

Supplementary materials will be posted on the Company's website on Monday, August 4, 2025.

Table of contents

1. Qualitative Information on the Three-month Consolidated Results

   Upon the adoption of IFRS, the Ajinomoto Group has introduced "business profit" as a new profit level that will better enable investors, the Board of Directors, and the Management Committee to grasp the core business results and future outlook of each business while also facilitating continual evaluation of the Group's business portfolio by the Board of Directors and the Management Committee. "Business profit" is defined as sales and share of profit of associates and joint ventures minus cost of sales, selling expenses, research and development expenses, and general and administrative expenses. Business profit does not include other

   operating income or other operating expenses.

   1. Overview of Operating Results

      In the three months ended June 30, 2025, the Company's consolidated sales decreased 0.4% year on year, or

      ¥1.5 billion, to ¥364.0 billion. This was mainly due to the effect of currency translation, despite increase in sales in the Healthcare and Others segment and other factors. Business profit increased 9.7% year on year, or ¥4.1 billion, to ¥47.2 billion primarily due to the effect of higher revenue in the Healthcare and Others segment. Profit attributable to owners of the parent company totaled ¥32.2 billion, up 34.4% year on year, or ¥8.2 billion, primarily due to the realization of exchange differences on translation of foreign operations resulting from the sale of Ajinomoto Althea, Inc. The Company has not revised the financial results forecast announced on May 8, 2025.

      Overview by segment

      Sales and business profit by segment are summarized below.

      Versus previous year results					(Billions of yen)
      		Sales		Business Profit
      FY2025 Q1		YoY change	% change	FY2025 Q1	YoY change	% change
      Seasonings and Foods	213.3	(0.9)	(0.5)%	36.3	1.2	3.6%
      Frozen Foods	68.7	(1.4)	(2.0)%	2.8	(1.1)	(28.4)%
      Healthcare and Others	78.9	0.8	1.1%	15.4	3.8	33.8%
      Other	2.8	0.0	2.4%	1.9	0.0	0.2%
      Shared companywide expenses*	-	-	-	(9.2)	0.1	(1.3)%
      Total	364.0	(1.5)	(0.4)%	47.2	4.1	9.7%

      Versus the forecast					(Billions of yen)
      		Sales		Business Profit
      	FY2025 Q1	Forecast for the year	YTD progress	FY2025 Q1	Forecast for the year	YTD progress
      Seasonings and Foods	213.3	959.2	22.2%	36.3	139.1	26.1%
      Frozen Foods	68.7	304.0	22.6%	2.8	15.0	18.7%
      Healthcare and Others	78.9	339.0	23.3%	15.4	62.6	24.6%
      Other	2.8	15.6	18.4%	1.9	6.3	30.1%
      Shared companywide expenses*	-	-	-	(9.2)	(43.2)	21.4%
      Total	364.0	1,618.0	22.5%	47.2	180.0	26.2%

      *Shared companywide expenses are expenses not attributable to specific reportable segments and used to be allocated to each reportable segment based on certain criteria according to the management approach. However, in order to more appropriately evaluate the performance of each reportable segment, the Company has decided not to allocate shared companywide expenses to reportable segments beginning this current fiscal year. This change has been applied retroactively to the segment figures for the previous fiscal year. As a result of this change, in the first quarter of the previous fiscal year, segment business profit increased ¥4.6 billion in Seasonings and Foods, ¥1.0 billion in Frozen Foods,

      ¥3.4 billion in Healthcare and Others, and ¥0.1 billion in Other, while shared companywide expenses decreased ¥9.3 billion. Shared companywide expenses mainly relate to the parent company's administrative divisions.

      1. Seasonings and Foods

         	Main factors affecting segment sales
         	Sauce & Seasonings: Overall revenue was level with the previous year. Japan: Increase in revenue primarily due to the effect of increased unit sales prices. Overseas: Decrease in revenue due to the impact of currency translation, despite increased sales. Quick Nourishment: Overall increase in revenue. Japan: Increase in revenue primarily due to the effect of increased unit sales prices. Overseas: Despite the effect of increased unit sales prices, revenue was leve with the previous year due to a decline in sales volume.
         Solution & Ingredients: Decrease in revenue due to decreased sales and the impact of currency translation.
         	Main factors affecting segment profits
         	Sauce & Seasonings: Overall increase in profit. Japan: Decrease in profit primarily due to cost increase for raw materials, despite increase in revenue. Overseas: Increase in profit primarily due to increased sales and improved product mix, despite the impact of currency translation. Quick Nourishment: Overall large increase in profit. Japan: Increase in profit primarily due to the effect of increased revenue. Overseas: Increase in profit primarily due to the effect of increased unit sales prices.
         Solution & Ingredients: Overall decrease in profit accompanying decrease in revenue.

         In the Seasonings and Foods segment, sales decreased 0.5% year on year, or ¥0.9 billion, to ¥213.3 billion, mainly because of the effect of currency translation. Segment business profit increased 3.6% year on year, or ¥1.2 billion, to ¥36.3 billion, due primarily to the impact of higher unit prices, despite the effect of currency translation.

         l

      2. Frozen Foods

         Frozen Foods segment sales decreased 2.0% year on year, or ¥1.4 billion, to ¥68.7 billion, primarily owing to the effect of currency translation. Segment business profit decreased 28.4% year on year, or

         ¥1.1 billion, to ¥2.8 billion, mainly because of lower revenue among other factors.

         	Main factors affecting segment sales
         	Overall decrease in revenue. Japan: Overall decrease in revenue due to decreased sales of home-use products. Overseas: Decrease in revenue due to the impact of currency translation, despite increased sales.
         	Main factors affecting segment profits
         	Overall large decrease in profit. Japan: Decrease in profit accompanying decrease in revenue. Overseas: Decrease in profit primarily due to increased strategic expenses and the impact of currency translation.

      3. Healthcare and Others
         
         
         

         	Main factors affecting segment sales
         	Bio-Pharma Services & Ingredients: Overall increase in revenue due to increased sales of amino acids for pharmaceuticals and foods and Bio-Phar Services (CDMO services), despite the impacts of selling Ajinomoto Althea, Inc. and of currency translation. Functional Materials (electronic materials and others): Large increase in revenue due to strong sales of electronic materials. Others: Overall large decrease in revenue.
         	Main factors affecting segment profits
         	Bio-Pharma Services & Ingredients: Overall large increase in profit primarily due to the effect of increased revenue from both amino acids for pharmaceuticals and foods and Bio-Pharma Services (CDMO services). Functional Materials (electronic materials and others): Large increase in profit accompanying large increase in revenue. Others: Overall large decrease in profit primarily due to strategic expenses.

         Healthcare and Others segment sales increased 1.1% year on year, or ¥0.8 billion, to ¥78.9 billion, owing to strong sales of electronic materials and other factors. Segment business profit increased 33.8% year on year, or ¥3.8 billion, to ¥15.4 billion mainly due to an increase in profit for Bio-Pharma Services & Ingredients and the effect of higher revenue for electronic materials.

         ma

      4. Other

         In the Other segment, sales increased 2.4% year on year to ¥2.8 billion. Segment business profit totaled

         ¥1.9 billion, up 0.2%, year on year.

   2. Overview of Financial Position

      As of June 30, 2025, the Company's consolidated total assets stood at ¥1,747.4 billion, an increase of ¥26.3 billion from ¥1,721.1 billion at the end of the previous fiscal year on March 31, 2025. The main reasons for this were increases in cash and cash equivalents and inventories.

      Total liabilities came to ¥979.0 billion, ¥71.1 billion more than the ¥907.8 billion at the end of the previous fiscal year, mainly due to an increase in interest bearing debt. Interest bearing debt totaled ¥598.7 billion, an increase of ¥102.6 billion from the end of the previous fiscal year, mainly due to the issuance of commercial papers.

      Total equity as of June 30, 2025 was ¥44.7 billion less than at the end of the previous fiscal year, mainly due to purchase of treasury stock. Equity attributable to owners of the parent company, which is total equity minus non-controlling interests, totaled ¥702.1 billion, and the equity ratio attributable to owners of the parent company was 40.2%.

   3. Overview of Cash Flows

      The overview of cash flows for the three months ended June 30, 2025 is as follows:

      Net cash provided by operating activities totaled ¥30.4 billion during the three months ended June 30, 2025, compared with ¥38.1 billion during the three months ended June 30, 2024. The main factors included

      ¥48.0 billion in profit before income taxes and ¥21.0 billion in depreciation and amortization, offset by a ¥18.4 billion increase in inventories, and ¥10.4 billion in income taxes paid.

      Net cash used in investing activities came to ¥28.9 billion during the three months ended June 30, 2025, compared with ¥14.6 billion during the three months ended June 30, 2024. The main factors included ¥30.3 billion in purchase of property, plant and equipment, and intangible assets.

      Net cash provided by financing activities was ¥34.0 billion during the three months ended June 30, 2025, compared with net cash used in financing activities of ¥8.8 billion during the three months ended June 30, 2024. The main factors included ¥110.0 billion in net proceeds from issuance of commercial papers, which

      offset ¥46.6 billion in purchase of treasury stock, ¥18.8 billion in dividends paid, and ¥7.8 billion in repayments of long-term borrowings.

      As a result of the foregoing, cash and cash equivalents as of June 30, 2025 totaled ¥197.9 billion.

   4. Analysis of Capital Resources and Liquidity
      1. Liquidity

         During the three months ended June 30, 2025, the Company ensured adequate short-term liquidity on hand through funding methods that mainly consisted of committed credit lines, overdraft facilities, and commercial paper issuance facilities.

         Moreover, in addition to maintaining an adequate ratio of liquidity on hand, the Company ensured funding security through committed credit lines concluded with its main banks. As of June 30, 2025, the unused amount of committed credit lines was ¥190.0 billion in Japanese yen and US$100 million in foreign currency. Furthermore, the Company provides an emergency loan facility to respond to temporary cash shortages at overseas consolidated subsidiaries with a high possibility of liquidity risks.

      2. Fund Procurement

         In the three months ended June 30, 2025, the Company raised funds mainly through the issuance of commercial papers in order to fund its operations, taking into consideration the balance between direct and indirect finance from the perspective of funding costs and risk diversification, and the balance between longterm and short-term funding.

      3. Use of Funds

During the three months ended June 30, 2025, funds were primarily used to finance business operations.

1. Notes to Condensed Consolidated Financial Statements

Not applicable

Not applicable

1. Overview of reportable segments

   The Group's reportable segments are categorized primarily by product lines. There are three reportable segments: Seasonings and Foods, Frozen Foods, and Healthcare and Others.

   Each reportable segment is a component of the Group for which separate financial information is available and evaluated regularly by the Management Committee in determining the allocation of management resources and in assessing performance.

   Shared companywide expenses are expenses not attributable to specific reportable segments and used to be allocated to each reportable segment based on certain criteria according to the management approach. However, in order to more appropriately evaluate the performance of each reportable segment, the Company has decided not to allocate shared companywide expenses to reportable segments beginning this current fiscal year. This change has been applied retroactively to the segment figures for the previous fiscal year. As a result of this change, in the three months ended June 30, 2024, segment business profit increased ¥4,638 million in Seasonings and Foods, ¥1,056 million in Frozen Foods, ¥3,482 million in Healthcare and Others, and ¥187 million in Other, while shared companywide expenses decreased ¥9,365 million. Shared companywide expenses mainly relate to the parent company's administrative divisions.

   The product categories belonging to each reportable segment are as follows:

   Reportable Segments	Details	Main Products
   Seasonings and Foods	Sauce and Seasonings	Umami seasoning AJI-NO-MOTO®, HON-DASHI®, Cook Do®, Ajinomoto KK Consommé, Pure Select® Mayonnaise, Ros Dee® (flavor seasoning), Masako® (flavor seasoning), Aji-ngon® (flavor seasoning), Sazón® (flavor seasoning), Sajiku® (menu-specific seasoning), CRISPY FRY® (menu-specific seasoning), etc.
   	Quick Nourishment	Knorr® Cup Soup, Yum-Yum® (instant noodles), Birdy® (coffee beverage), Birdy® 3in1 (powdered drink), Blendy® brand products (CAFÉ LATORY®, stick coffee, etc.), MAXIM® brand products, Chotto Zeitakuna Kohiten® brand products, various gift sets, office supplies (coffee vending machines, tea servers), etc.
   	Solution and Ingredients	Umami seasoning AJI-NO-MOTO® for foodservice and processed food manufacturers in Japan, Seasonings and processed foods for foodservice, Seasonings for processed foods (savory seasonings, enzyme ACTIVA®), Delicatessen products, Bakery products, Nucleotides, Sweeteners (aspartame for industrial use, etc.), and others
   Frozen Foods	Frozen Foods	Chinese dumplings (Gyoza, POT STICKERS, etc.), Cooked rice (THE CHA-HAN, CHICKEN FRIED RICE, etc.), Noodles (YAKISOBA, RAMEN, etc.), Sweets (cakes for restaurant and industrial-use, MACARON, etc.), Shumai (THE SHUMAI, Ebi shumai (shrimp dumpling), etc.), Processed chicken (Yawaraka Wakadori Kara-Age (fried chicken), THE KARAAGE, etc.), and others
   Healthcare and Others	Amino Acids for Pharmaceuticals and Foods	Amino acids, culture media
   	Bio-Pharma Services (CDMO services)	Contract development and manufacturing services of pharmaceutical intermediates and active ingredients and others
   	Functional Materials (electronic materials and others)	Electronic materials (Ajinomoto Build-up Film® (ABF) interlayer insulating material for semiconductor packages, etc.), Functional materials (adhesive PLENSET®, magnetic materials AFTINNOVA® Magnetic Film, etc.), activated carbon, release paper, etc.
   	Others	Feed-use amino acids, Sports nutrition (Supplement (amino VITAL®), etc.), Personal care ingredients (an amino acid-based surfactant (Amisoft®), and amino acid-based oil and powder for use in makeup (Eldew® and Amihope®, respectively), etc.), Medical foods, Crop services, etc.

2. Sales and profits by segment

The Group's sales and profits by reportable segment are as follows:

Inter-segment sales and transfers are primarily based on transaction prices with third parties.

Three months ended June 30, 2025 (April 1, 2025 to June 30, 2025)

(Millions of yen)

1. Other includes the tie-up and other service-related businesses.

2. Adjustments of segment profit or loss are shared companywide expenses, which are expenses not attributable to specific reportable segments. Shared companywide expenses mainly relate to the parent company's administrative divisions.

Three months ended June 30, 2024 (April 1, 2024 to June 30, 2024)

(Millions of yen)

1. Other includes the tie-up and other service-related businesses.

2. Adjustments of segment profit or loss are shared companywide expenses, which are expenses not attributable to specific reportable segments. Shared companywide expenses mainly relate to the parent company's administrative divisions.

Not applicable