Kewpie : Annual Report 2025（7,035KB）

Published May 7, 2026 at 6:32 a.m. UTC

Source: MarketScreener

Annual Report2025

December 1, 2024 to November 30, 2025

Kewpie Corporation

The information contained in this report is derived from Kewpie Corporationʹs (the ʺCompanyʺ) Annual Securities Report in Japanese filed with the Commissioner of the Financial Services Agency on February 24, 2026 in accordance with the Financial Instruments and Exchange Law, and has been translated into English for the convenience of readers outside Japan.

Cover Page

Document Title: Annual Securities Report

Clause of Stipulation: Article 24, paragraph (1) of the Financial Instruments and

Exchange Law

Place of Filing: Director-General of the Kanto Local Finance Bureau

Filing Date: February 24, 2026

Fiscal Year: 113th Fiscal Year (from December 1, 2024 to November 30, 2025)

Corporate Name: KEWPIE KABUSHIKI-KAISHA

English Corporate Name: Kewpie Corporation Name and Title of Representative: Mitsuru Takamiya

Representative Director

President and Chief Executive Corporate Officer

Location of Head Office: 4-13, Shibuya 1-chome, Shibuya-ku,

Tokyo 150-0002, Japan

Telephone: +81-3-3486-3331

Contact: Takumi Tomita

Corporate Officer

In Charge of Accounting and Finance

Nearest Place of Contact: 4-13, Shibuya 1-chome, Shibuya-ku,

Tokyo 150-0002, Japan

Telephone: +81-3-3486-3331

Contact: Takumi Tomita

Corporate Officer

In Charge of Accounting and Finance

Place for Public Inspection: Tokyo Stock Exchange, Inc.

(2-1 Nihonbashi kabuto-cho, Chuo-ku, Tokyo)

Table of Contents

Page Part 1 Company Information 1

Outline of the Company 1
1. Principal Management Indexes 1
2. History 3
3. Nature of Business 5
4. Outline of Associated Companies 7
5. Employees 11
Business Operations 15
1. Management Policy, Business Environment, Tasks Ahead, Etc 15
2. Sustainability Approach and Initiatives 18
3. Operational Risks 45
4. Management Analysis of Financial Position, Operating Results and Cash Flows 52
5. Material Contracts 59
6. Research and Development 59
Facilities and Equipment 63
1. Investments in Facilities and Equipment 63
2. Principal Facilities and Equipment 64
3. Planned Addition, Retirement, and Other Changes of Facilities 67
The Company 68
1. Shares 68
  1. Number of authorized and issued shares 68
  2. Stock acquisition rights 68
  3. Exercise of bonds with stock acquisition rights containing a clause for exercise price revision 68
  4. Changes in total number of issued shares, paid-in capital and legal capital surplus 68
  5. Shareholding by shareholder category 69
  6. Principal shareholders 70
  7. Voting rights 72
2. Acquisition of the Company's Treasury Stock 73
3. Dividend Policy 74
4. Corporate Governance 75
Financial Information 131
1. Consolidated Financial Statements 132
  1. Consolidated financial statements 132
  2. Other 189
2. Non-consolidated Financial Statements 190
  1. Non-consolidated financial statements 190
  2. Components of major assets and liabilities 205
  3. Other 205
Stock Information of Reporting Company 206
Reference Information of Reporting Company 208
1. Information about parent of reporting company 208
2. Other reference information 208

Part 2 Information About Reporting Company's Guarantor, Etc 209

Independent Auditors' Audit Report and Internal Control Audit Report 210

Independent Auditors' Audit Report 214

Part 1 Company Information

Outline of the Company

Principal Management Indexes

Consolidated principal management indexes for the five years ended November 30, 2025

Period ended		Nov. 2021	Nov. 2022	Nov. 2023	Nov. 2024	Nov. 2025
Net sales	(millions of yen)	407,039	430,304	455,086	483,985	513,417
Ordinary income	(millions of yen)	29,698	27,249	20,490	36,874	37,389
Profit attributable to owners of parent (millions of yen)		18,014	16,033	13,174	21,419	30,506
Comprehensive income	(millions of yen)	24,546	32,635	23,989	30,933	43,819
Total net assets	(millions of yen)	269,301	294,623	311,303	331,638	347,600
Total assets	(millions of yen)	381,003	403,384	426,006	462,372	480,531
Net assets per share	(yen)	1,767.14	1,925.54	2,027.90	2,174.74	2,328.49
Earnings per share	(yen)	128.17	115.34	94.78	154.10	220.63
Earnings per share – diluted	(yen)	—	—	—	—	—
Equity ratio	(%)	64.5	66.4	66.2	65.4	67.4
Return on equity	(%)	7.4	6.2	4.8	7.3	9.7
Price earnings ratio	(times)	18.0	21.2	27.2	22.3	20.0
Cash flows from operating activities (millions of yen)		38,533	27,199	23,725	63,126	31,802
Cash flows from investing activities (millions of yen)		(20,277)	(15,947)	(17,721)	(23,893)	(16,905)
Cash flows from financing activities (millions of yen)		(18,701)	(16,812)	(9,514)	(21,126)	(30,102)
Cash and cash equivalents at the end of the fiscal year (millions of yen)		66,703	65,335	62,433	80,512	65,849
Number of regular full-time employees, and average number of temporary employees in brackets (persons)		10,719 [5,166]	10,696 [5,089]	10,642 [4,811]	10,517 [4,313]	10,773 [4,208]

(Notes) 1. Earnings per share – diluted is not presented because of no issue of potential shares.

In the fiscal year ended November 30, 2021, K.R.S. Corporation (ʺKRSʺ) and its subsidiaries have changed from being consolidated subsidiaries to being affiliated companies accounted for by the equity method, as the Company sold part of the shares of KRS.
The Company has adopted the ʺAccounting Standard for Revenue Recognitionʺ (ASBJ Statement No. 29, March 31, 2020) and relevant guidance effective as of the beginning of the fiscal year ended November 30, 2022. Accordingly, the principal management indexes pertaining to the fiscal year ended November 30, 2022 onward have been adjusted to reflect the adoption of said accounting standard and relevant guidance.

Non-consolidated principal management indexes for the five years ended November 30, 2025

Period ended	Nov. 2021	Nov. 2022	Nov. 2023	Nov. 2024	Nov. 2025
Net sales (millions of yen)	178,513	184,084	192,867	205,599	211,682
Ordinary income (millions of yen)	15,518	15,110	9,496	18,330	21,409
Profit (millions of yen)	11,009	12,644	9,776	13,380	25,244
Paid-in capital (millions of yen)	24,104	24,104	24,104	24,104	24,104
Total number of issued shares	141,500,000	141,500,000	141,500,000	141,500,000	141,500,000
Total net assets (millions of yen)	151,519	158,264	163,565	171,445	191,529
Total assets (millions of yen)	254,560	252,832	257,028	282,839	298,875
Net assets per share (yen)	1,090.03	1,138.56	1,176.71	1,233.40	1,376.19
Annual dividends per share, and interim dividends per share in brackets (yen)	47.0 [20.0]	47.0 [20.0]	50.0 [23.0]	54.0 [23.0]	64.0 [32.0]
Earnings per share (yen)	78.33	90.96	70.33	96.26	182.58
Earnings per share – diluted (yen)	—	—	—	—	—
Equity ratio (%)	59.5	62.6	63.6	60.6	64.1
Return on equity (%)	7.2	8.2	6.1	8.0	13.9
Price earnings ratio (times)	29.5	26.9	36.7	35.7	24.1
Dividend payout ratio (%)	60.0	51.7	71.1	56.1	35.1
Number of regular full-time employees, and average number of temporary employees in brackets (persons)	2,394 [537]	2,408 [538]	2,332 [499]	2,327 [439]	2,388 [427]
Total shareholder return (Comparative index: Dividend-included TOPIX) (%)	108.4 [112.2]	116.9 [118.7]	125.3 [145.6]	167.3 [168.2]	214.7 [217.2]
Highest stock price (yen)	2,813	2,558	2,648	3,896	4,455
Lowest stock price (yen)	2,123	2,083	2,116	2,414.5	2,778.5

(Notes) 1. Earnings per share – diluted is not presented because of no issue of potential shares.

The highest and lowest stock prices are those of the Prime Market of the Tokyo Stock Exchange from April 4, 2022, and of the First Section of the Tokyo Stock Exchange before that date.
The Company has adopted the ʺAccounting Standard for Revenue Recognitionʺ (ASBJ Statement No. 29, March 31, 2020) and relevant guidance effective as of the beginning of the fiscal year ended November 30, 2022. Accordingly, the principal management indexes pertaining to the fiscal year ended November 30, 2022 onward have been adjusted to reflect the adoption of said accounting standard and relevant guidance.

History
Nov. 1919 The Company was established in Kotaki-cho, Nakano-ku, Tokyo, as Shokuhin Kogyo Co., Ltd. for the purpose of manufacturing various sauces and processed food products.
Mar. 1925 Manufacturing of KEWPIE Mayonnaise began.
Mar. 1938 The Inano Factory (former Itami Factory) was established in Inano-mura, Kawabe-gun, Hyogo (currently Itami-shi), where mayonnaise and canned fruit products were manufactured.
Mar. 1948 Production of mayonnaise, which had been temporarily suspended due to difficulties in procuring raw materials, was resumed.
Oct. 1951 The Tokyo Factory (former Sengawa Factory) was established in Jindai-mura, Kitatama-gun, Tokyo (currently Chofu-shi), and mayonnaise production began.
Sep. 1957 Shokuhin Kogyo Co., Ltd. was renamed Kewpie Corporation. Feb. 1960 The head office was relocated to Sengawa-cho, Chofu-shi, Tokyo.
Aug. 1962 Nishifu Industries Co., Ltd. (currently Kewpie Jyozo Co., Ltd.) was established for the purpose of manufacturing and selling vinegar, the main ingredient of mayonnaise.
Feb. 1964 The Tosu Factory was established in Tosu-shi, Saga.
Feb. 1966 The warehousing division was spun off, and Kewpie Warehouse Transport Co., Ltd. (currently K.R.S. Corporation) was established.
Feb. 1969 The head office was relocated to 4-13, Shibuya 1-chome, Shibuya-ku, Tokyo.
Jul. 1970 The Companyʹs shares were listed on the Tokyo Stock Exchange Second Section.
Mar. 1972 The Goka Factory was established in Goka-mura, Sashima-gun, Ibaraki (currently Goka-machi).
Dec. 1972 The Company took over the customer sales network of NAKASHIMATO CO., LTD., which had previously been the sole distributor of its products, and shifted to in-house sales, establishing 20 sales offices.
Apr. 1973 The Companyʹs shares were designated as First Section issues of the Tokyo Stock Exchange.
Sep. 1973 Kewpie Frozen Co., Ltd. (currently Deria Foods Co., Ltd.) was established for the purpose of selling frozen and chilled foods.
May 1977 The egg ingredient products sales division was spun off and established as Kewpie Egg Corporation.
Dec. 1977 A branch factory of the former Sengawa Factory located in Fuchu-shi, Tokyo, was separated and established as the Nakagawara Factory.
Dec. 1981 The Company entered the Fine Chemicals market and began manufacturing products such as egg yolk lecithin.
Mar. 1982 Q&B FOODS, INC. was established in the State of California for the purpose of manufacturing and selling mayonnaise and dressings in the USA.
May 1982 The Izumisano Branch Factory (currently Izumisano Factory) was established in Izumisano-shi, Osaka, as a branch factory of the former Itami Factory.
Dec. 1988 The Hashikami Factory was established in Hashikami-cho, Sannohe-gun, Aomori, as a branch factory of the Nakagawara Factory.
Dec. 1993 BEIJING KEWPIE CO., LTD. was established for the purpose of manufacturing and selling condiments in China.
Apr. 1994 AKESAOVAROS CO., LTD. (currently KEWPIE (THAILAND) CO., LTD.) was established jointly with Saha Pathana Inter-Holding Public Company Limited, a partner in Thailand.
Apr. 2002 Hangzhou Kewpie Corporation was established to expand manufacturing capacity in China.
Jun. 2009 KEWPIE MALAYSIA SDN. BHD. was established for the purpose of manufacturing and selling condiments and other products in Malaysia.
Nov. 2010 KEWPIE VIETNAM CO., LTD. was established for the purpose of manufacturing and selling condiments and other products in Vietnam.
Feb. 2013 PT KEWPIE INDONESIA was established for the purpose of manufacturing and selling condiments and other products in Indonesia.
Oct. 2013 Sengawa Kewport, a facility combining research and development functions with group office functions, was opened on the former site of the Sengawa Factory.
Dec. 2014 The bread-related product sales business was split off and transferred to Aohata Corporation, making it a consolidated subsidiary.
Aug. 2015 Nantong Kewpie Corporation was established for the purpose of supplying raw materials and producing new categories in China.
Aug. 2016 The Kobe Factory was established in Kobe-shi, Hyogo.
Sep. 2016 Kewpie Poland Sp. z o.o. (currently Mosso Kewpie Poland Sp. z o.o.) was established for the purpose of manufacturing and selling condiments and other products in Poland.
Dec. 2017 Kewpie China Corporation was established as a China holding company to strengthen management control functions over the Companyʹs overall operations in China.
Feb. 2018 Guangzhou Kewpie Corporation was established to expand manufacturing capacity in China.
Jun. 2018 Kewpie Philippines, Inc. was established for the purpose of importing and selling condiments and other products in the Philippines.
Feb. 2020 Kansai Kewport, an integrated production and sales base, was opened on the former site of the Itami Factory.
Oct. 2020 The shares of MINATO SINGAPORE PTE. LTD. were acquired for the purpose of importing and selling condiments and other products in Singapore, and its name was changed to KEWPIE SINGAPORE PTE. LTD.
Jan. 2021 A portion of the shares of K.R.S. Corporation, a consolidated subsidiary, was transferred, and the company and its 14 subsidiaries were changed from consolidated subsidiaries to equity-method affiliates.
Apr. 2022 Fukaya Vegetable Communication Co., Ltd. was established for the purpose of operating ʺFukaya Terrace Vegetable Friendsʹ Farmʺ, a complex facility where visitors can experience the appeal of vegetables.
Apr. 2022 Following the reorganization of market segments of the Tokyo Stock Exchange, the Company transitioned to the Prime Market of the Tokyo Stock Exchange.
Jan. 2024 KEWPIE AUSTRALIA PTY. LTD. was established for the purpose of importing and selling condiments and other products in Australia.
Nov. 2025 A share exchange was conducted with Aohata Corporation, a consolidated subsidiary, making it a wholly owned subsidiary.

Nature of Business

The Kewpie Group (the ʺGroupʺ) consists of the Company, fifty-four (54) consolidated subsidiaries, twenty-six (26) affiliated companies, and one other associated company. The Groupʹs principal businesses are manufacturing and wholesaling of food products.

The business categories of the Group and the position of the Company and these principal associated companies in the relevant businesses are summarized below.

The business categories shown below are the same categories as the reporting segments.

(As of November 30, 2025)

Business category	The Company and principal associated companies	Major handling items / services
Retail Market	Kewpie Corporation Kpack Co., Ltd. Dispen Pak Japan Co., Inc.	Mayonnaise and dressings
	Deria Foods Co., Ltd. Shunsai Deli Co., Ltd.	Salads, delicatessen foods and others
	Salad Club, Inc.	Packaged salads and others
Food Service	Kewpie Corporation	Mayonnaise and dressings
	Kewpie Egg Corporation	Liquid egg, egg products and others
	Kewpie Jyozo Co., Ltd.	Vinegar and others
	Co-op Foods Co., Ltd.	Prepared foods
Overseas	Kewpie Corporation Hangzhou Kewpie Corporation BEIJING KEWPIE CO., LTD. Q&B FOODS, INC. KEWPIE (THAILAND) CO., LTD.	Mayonnaise and dressings
Fruit Solutions	Aohata Corporation	Jams, fruit processed foods and others
Fine Chemicals	Kewpie Corporation	Hyaluronic acid and others
Common Business	Shiba Seisakusyo Co., Ltd.	Sale of food production equipment

The Group Business Network chart on the next page shows the relationships of the business activities of Group companies.

(Note) As a result of the share exchange on November 1, 2025, Aohata Corporation (a consolidated subsidiary) became a wholly owned subsidiary of the Company. Accordingly, Aohata Corporationʹs shares were delisted from the Tokyo Stock Exchange Standard Market.

(Group Business Network)

As of November 30, 2025

Business partners

Kewp

Common Business

Fine Chemicals

Fruit Solutions

Overseas

Food Service

Retail Market

(Note) To Solutions Co., Ltd. changed its company name to KEWPIE DIGITAL INNOVATION CO., LTD., effective December 1, 2025.

Outline of Associated Companies

Parent company Not applicable.

Consolidated subsidiaries

Trade name	Address	Paid-in capital/ equity investment	Business lines	Percentage of our voting rights (%)	Relationship with the Company
Trade name	Address	Paid-in capital/ equity investment	Business lines	Percentage of our voting rights (%)	Interlocking directors (D) or corporate auditors (A)		Finance from the Company	Operating transactions	Lease transactions
Kewpie Egg Corporation (Notes 1 & 4)	Chofu-shi, Tokyo	350 million yen	Production and sale of liquid, frozen and processed egg	100.0	D or A Employees	1 9	None	Purchase of products and raw materials, etc.	Leases of offices and factories
Deria Foods Co., Ltd. (Note 4)	Chofu-shi, Tokyo	50 million yen	Sale of salads and delicatessen foods	100.0	D or A Employees	3 6	None	Sale of goods and products	Leases of offices
Kewpie Jyozo Co., Ltd.	Chofu-shi, Tokyo	100 million yen	Production and sale of vinegar	100.0	D or A Employees	1 4	None	Purchase of products and raw materials	Leases of offices
San-ei Provisions Co., Ltd.	Chofu-shi, Tokyo	57 million yen	Sale of products for food service use	66.2	Employees	3	None	Sale of products and purchase of raw materials	Leases of offices
Co-op Foods Co., Ltd.	Chofu-shi, Tokyo	50 million yen	Production and sale of bottled, canned and retort pouch foods	100.0	Employees	3	None	Purchase of products	Leases of offices
Q&B FOODS, INC.	California, USA	4,800 thousand U.S. dollars	Production and sale of condiments	100.0 (100.0)	Employees	5	None	None	None
KEWPIE AMERICAS, INC.	Delaware, USA	7.17 U.S. dollars	Management of U.S. operations, sale of condiments	100.0	Employees	5	None	Purchase of products	None
Hashikami Kewpie Co., Ltd.	Hashikami-cho, Sannohe-gun, Aomori	10 million yen	Production and processing of foods; outsourced work	100.0	Employees	2	None	Consignment of production	Leases of factories
Dispen Pak Japan Co., Inc.	Minami-Ashigara-shi, Kanagawa	140 million yen	Production and sale of foods, subdividing and packing work	51.0	D or A Employees	1 3	None	Purchase of products	Leases of offices and factories
Shiba Seisakusyo Co., Ltd.	Kawasaki-ku, Kawasaki-shi, Kanagawa	20 million yen	Production of machinery and equipment	100.0	D or A Employees	1 3	167 million yen	Purchase of machinery and equipment	None
Potato Delica Co., Ltd.	Azumino-shi, Nagano	50 million yen	Production of frozen and chilled foods	100.0 (0.9)	Employees	6	1,235 million yen	Purchase of products	Leases of factories
Deft Co., Ltd.	Shibuya-ku, Tokyo	10 million yen	Sale of condiments, frozen and processed foods	100.0	Employees	4	None	Sale of goods and products	Leases of offices
K.System Co., Ltd.	Chofu-shi, Tokyo	50 million yen	Consigned clerical work	80.0	Employees	4	None	Consignment of clerical work	Leases of offices
Kpack Co., Ltd.	Goka-machi, Sashima-gun, Ibaraki	30 million yen	Production and sale of condiments	100.0	D or A Employees	2 5	None	Purchase of products	Leases of offices
Tosu Kewpie Co., Ltd.	Tosu-shi, Saga	10 million yen	Production and processing of foods; outsourced work	100.0	Employees	2	None	Consignment of production	Leases of factories

Trade name	Address	Paid-in capital/ equity investment	Business lines	Percentage of our voting rights (%)	Relationship with the Company
Trade name	Address	Paid-in capital/ equity investment	Business lines	Percentage of our voting rights (%)	Interlocking directors (D) or corporate auditors (A)		Finance from the Company	Operating transactions	Lease transactions
Hangzhou Kewpie Corporation	Zhejiang Province, China	140 million yuan	Production and sale of condiments	72.0 (72.0)	Employees	6	None	None	None
Seto Delica Co., Ltd.	Seto-shi, Aichi	30 million yen	Production and sale of delicatessen foods	100.0 (100.0)	Employees	4	536 million yen	Sale of goods and products	None
Ishikari Delica Co., Ltd.	Teine-ku, Sapporo-shi, Hokkaido	30 million yen	Production and sale of delicatessen foods	100.0 (100.0)	Employees	5	None	Sale of goods and products	None
Hanshin Delica Co., Ltd.	Itami-shi, Hyogo	10 million yen	Production and sale of delicatessen foods	100.0 (100.0)	Employees	4	None	Sale of goods and products	Leases of factories
Salad Club, Inc.	Chofu-shi, Tokyo	300 million yen	Processing and sale of fresh vegetables	51.0	D or A Employees	2 1	None	Sale of goods and products	Leases of offices and factories
BEIJING KEWPIE CO., LTD. (Note 1)	Beijing, China	211 million yuan	Production and sale of condiments	72.0 (72.0)	Employees	6	None	None	None
Tosu Delica Co., Ltd.	Tosu-shi, Saga	10 million yen	Production and sale of delicatessen foods	100.0 (100.0)	Employees	4	None	Sale of goods and products	Leases of factories
Kewpie Ai Co., Ltd.	Chofu-shi, Tokyo	30 million yen	Consigned clerical work	100.0	Employees	5	None	Consignment of clerical work	Leases of offices
Kitakami Delica Co., Ltd.	Kitakami-shi, Iwate	20 million yen	Production and sale of delicatessen foods	100.0 (100.0)	Employees	5	None	Sale of goods and products	None
K.SS Co., Ltd.	Shibuya-ku, Tokyo	10 million yen	Planning, production and services for sales promotion	100.0	Employees	3	None	Consignment of sales	Leases of offices
KEWPIE (THAILAND) CO., LTD. (Note 1)	Bangkok, Thailand	1,010 million baht	Production and sale of condiments, vinegar, salads and processed foods	56.9	D or A Employees	2 4	None	None	None
Shunsai Deli Co., Ltd.	Akishima-shi, Tokyo	20 million yen	Production and sale of delicatessen foods	100.0 (100.0)	Employees	7	None	Sale of goods and products	Leases of factories
KEWPIE MALAYSIA SDN.BHD.	Malacca, Malaysia	57 million ringgit	Production and sale of condiments	70.0	Employees	4	None	None	None
KEWPIE VIETNAM CO., LTD.	Binh Duong, Vietnam	256.4 billion dong	Production and sale of condiments	80.0	Employees	4	None	Sale of goods and products	None
PT KEWPIE INDONESIA (Note 1)	West Java, Indonesia	532.9 billion rupiah	Production and sale of condiments	60.0 (1.7)	Employees	3	None	None	None
Kewpie-Egg World Trading Co., Ltd.	Chofu-shi, Tokyo	100 million yen	Sale of egg and processed egg	100.0 (51.0)	Employees	4	None	Purchase of raw materials	Leases of offices
Green Message Co., Ltd.	Yamato-shi, Kanagawa	100 million yen	Processing and sale of fresh vegetables	51.0	D or A Employees	1 4	542 million yen	Sale of products	None
Tou Kewpie Co., Ltd.	Shibuya-ku, Tokyo	10 million yen	Mail-order business	70.0	Employees	4	None	Sale of goods and products	None
Aohata Corporation	Takehara-shi, Hiroshima	915 million yen	Production and sale of jams and fruit processed foods	100.0	None		None	Purchase of products	Leases of offices

Trade name	Address	Paid-in capital/ equity investment	Business lines	Percentage of our voting rights (%)	Relationship with the Company
Trade name	Address	Paid-in capital/ equity investment	Business lines	Percentage of our voting rights (%)	Interlocking directors (D) or corporate auditors (A)		Finance from the Company	Operating transactions	Lease transactions
Nantong Kewpie Corporation (Note 1)	Jiangsu Province, China	184 million yuan	Production and sale of vinegar, processed egg and salads	72.0 (72.0)	Employees	6	None	None	None
Mosso Kewpie Poland Sp. z o.o. (Note 1)	Puchały, Poland	160,300 thousand Polish zloty	Production and sale of condiments	100.0	Employees	4	Liabilities for guarantee 644 million yen	None	None
TO AD KEWPIE CO., LTD. (Note 5)	Shibuya-ku, Tokyo	4 million yen	Agency service for advertising, publicity, and exhibitions	50.0	Employees	3	None	Advertising agency services	Leases of offices
Kewpie China Corporation (Note 1)	Beijing, China	723 million yuan	Financial management and business management of the Companyʹs local subsidiaries in China	100.0	Employees	6	None	None	None
Guangzhou Kewpie Corporation (Note 1)	Guangdong Province, China	270 million yuan	Production and sale of condiments	72.0 (72.0)	Employees	6	None	None	None
Kewpie Philippines, Inc.	Manila, Philippines	50 million peso	Sale of condiments	100.0	Employees	3	Liabilities for guarantee 156 million yen	None	None
Tsukuba Egg Processing Corporation	Tsukuba-shi, Ibaraki	100 million yen	Production and sale of processed egg	51.0 (51.0)	Employees	2	None	None	None
KEWPIE SINGAPORE PTE. LTD.	Singapore, Singapore	1 million Singapore dollars	Sale of condiments	80.0	Employees	3	None	Sale of goods and products	None
Kewpie Trading Europe B.V.	Amsterdam, the Netherlands	181 thousand Euro	Sale of condiments	100.0	Employees	3	None	Sale of products	None
KEWPIE AUSTRALIA PTY. LTD.	New South Wales, Australia	1,500 thousand Australian dollars	Sale of condiments	100.0	Employees	2	None	None	None
To Solutions Co., Ltd. (Note 7)	Chofu-shi, Tokyo	90 million yen	Plan, development, sale, maintenance and operations support of computer systems	80.0	Employees	3	30 million yen	Consignment of calculation work, etc.	Leases of offices and rental of office equipment
TO SOLUTIONS VIETNAM CO., LTD.	Ho Chi Minh, Vietnam	6.3 billion dong	Plan, development, sale, maintenance and operations support of computer systems	80.0 (80.0)	None		None	None	None
Shandong Aohata Jilong Food Co., Ltd.	Shandong Province, China	78 million yuan	Manufacture of processed fruit products, etc.	71.3 (71.3)	None		None	None	None

Equity-method affiliates

Trade name	Address	Paid-in capital/ equity investment	Business lines	Percentage of our voting rights (%)	Relationship with the Company
Trade name	Address	Paid-in capital/ equity investment	Business lines	Percentage of our voting rights (%)	Interlocking directors (D) or corporate auditors (A)	Finance from the Company	Operating transactions	Lease transactions
Summit Oil Mill Co., Ltd.	Mihama-ku, Chiba-shi, Chiba	97 million yen	Production of vegetable oil	49.0	Employees 2	None	Sale of products and purchase of raw materials	None
Kunimi Nosankako Co., Ltd.	Kunisaki-shi, Oita	80 million yen	Production and sale of frozen and chilled foods	20.6	Employees 2	5 million yen	Purchase of products	None
K.R.S. Corporation (Note 3)	Chofu-shi, Tokyo	4,063 million yen	Warehousing and transportation	43.6 (0.3)	D or A 1	None	Consignment of storage and transportation of products and raw materials of Group companies	Leases of offices, land and warehouses
S.Y. PROMOTION Co., Ltd. (Note 6)	Koto-ku, Tokyo	200 million yen	Transportation	37.4	Employees 1	None	Consignment of transportation services	None
K. Tis Corporation (Note 6)	Chofu-shi, Tokyo	82 million yen	Warehousing and transportation	—	None	None	None	None
Kewso Services Corporation (Note 6)	Chofu-shi, Tokyo	30 million yen	Sale of equipment for cars	—	None	None	Rental of cars for factories	Rental of cars for factories
San-ei Logistics Corporation (Note 6)	Akishima-shi, Tokyo	38 million yen	Transportation	—	None	None	None	None
AXIA-Logi Corporation (Note 6)	Hirakata-shi, Osaka	66 million yen	Transportation	—	None	None	None	None
San Family Corporation (Note 6)	Misato-shi, Saitama	99 million yen	Transportation	—	None	None	None	None
KAT Corporation (Note 6)	Hirakata-shi, Osaka	20 million yen	Transportation	—	None	None	None	None
Fresh Delica Network Corporation (Note 6)	Fuchu-shi, Tokyo	20 million yen	Transportation	49.0 (49.0)	Employees 2	None	None	Leases of parking lots
KSK Corporation (Note 6)	Utazu-cho, Ayauta-gun, Kagawa	20 million yen	Transportation	—	None	None	None	None
PT Kiat Ananda Cold Storage (Note 6)	West Java, Indonesia	21.4 billion rupiah	Warehousing	—	None	None	None	None
PT Ananda Solusindo (Note 6)	West Java, Indonesia	185.7 billion rupiah	Warehousing	—	None	None	None	None
PT Manggala Kiat Ananda (Note 6)	Jakarta, Indonesia	98.8 billion rupiah	Transportation	—	None	None	None	None
PT Trans Kontainer Solusindo (Note 6)	West Java, Indonesia	15 billion rupiah	Ship transportation	—	None	None	None	None

(Notes) 1. Kewpie Egg Corporation, BEIJING KEWPIE CO., LTD., KEWPIE (THAILAND) CO., LTD., PT KEWPIE INDONESIA, Nantong Kewpie

Corporation, Mosso Kewpie Poland Sp. z o.o., Kewpie China Corporation, and Guangzhou Kewpie Corporation are classified under Japanese tax law as tokutei kogaisha, a special category of subsidiary.

The figures in parentheses under ʺPercentage of our voting rightsʺ indicate the proportion of indirect ownership and are included in the respective figures above.
The companies file their own annual securities report to the Commissioner of the Financial Services Agency.
Net sales of Kewpie Egg Corporation (excluding sales from intra-group transactions) exceed 10% of the Companyʹs consolidated net sales.
Major profit/loss information: (1) Net sales ¥128,750 million
1. Ordinary income ¥4,721 million
2. Profit ¥2,957 million
3. Total net assets ¥41,486 million
4. Total assets ¥57,568 million
  Net sales of Deria Foods Co., Ltd. (excluding sales from intra-group transactions) exceed 10% of the Companyʹs consolidated net sales.
  Major profit/loss information:
  (1)
  Net sales
  ¥64,949 million
  (2)
  Ordinary income
  ¥2,626 million
  (3)
  Profit
  ¥2,058 million
  (4)
  Total net assets
  ¥7,860 million
  (5)
  Total assets
  ¥20,165 million
TO AD KEWPIE CO., LTD. is treated as a subsidiary, even though the voting rights held by the Company as a percentage of total voting rights are 50% or less, in view of the substantial control exerted over its management.
The companies are consolidated subsidiaries of KRS.
To Solutions Co., Ltd. changed its company name to KEWPIE DIGITAL INNOVATION CO., LTD., effective December 1, 2025.

Other associated company

Trade name

Address

Paid-in capital/ equity investment

Business lines

Percentage of their voting rights

(%)

(Note)

Relationship with the Company

Interlocking directors

(D) or corporate auditors (A)

Finance from the Company

Operating transactions

Lease transactions

NAKASHIMATO CO., LTD.

Shibuya-ku, Tokyo

million yen

Sale of various processed foods

16.3

(8.0)

D or A 2

None

Purchase of products, etc.

Leases of offices

(Note) The figure in parentheses under ʺPercentage of their voting rightsʺ indicates the proportion of indirect ownership and is included in the respective figure above.

Employees

The Company and its consolidated subsidiaries

(As of November 30, 2025)

Segment	Number of employees (persons)
Retail Market	2,448	(2,711)
Food Service	3,247	(1,062)
Overseas	3,645	(103)
Fruit Solutions	427	(182)
Fine Chemicals	284	(54)
Common Business	460	(77)
Company-wide	262	(19)
Total	10,773	(4,208)

(Notes) 1. The employee figure indicates registered regular employees and long-term special contract employees, excluding the Group employees seconded outside the Group but including employees from outside employed within the Group on secondment. The figure in parentheses indicates the annual average number of short-term contract non-regular employees and employees hired on a daily, weekly or seasonal basis, and is excluded from the figure above.

The Company-wide employee figure indicates the number of the employees belonging to administration divisions of the Company that cannot be categorized by specific segments.

The Company
(As of November 30, 2025)
Number of employees (persons)
Average age
Average length of service (Years)
Average annual salary (Yen)
2,388 (427)
42.1
16.1
6,888,822
Segment
Number of employees (persons)
Retail Market
900
(149)
Food Service
879
(199)
Overseas
85
(7)
Fruit Solutions
—
(—)
Fine Chemicals
261
(53)
Common Business
—
(—)
Company-wide
263
(19)
Total
2,388
(427)
(Notes) 1. The employee figure indicates registered regular employees and long-term special contract employees, excluding the Company employees seconded outside the Company but including employees from outside employed within the Company on secondment. The figure in parentheses indicates the annual average number of short-term contract non-regular employees and workers hired on a daily, weekly or seasonal basis (part-time employees, temporary staff, and seasonal employees), and is excluded from the figure above.
1. The average annual salary is based on gross actual results and includes non-standard wages and bonuses.
2. The Company-wide employee figure indicates the number of the employees belonging to administration divisions that cannot be categorized by specific segments.
The labor union
Formed on July 14, 1962, the Kewpie labor union is the main labor union of the Group. The labor-management relations are stable and there are no matters that should be reported.

Proportions of female employees in management positions, percentages of male employees taking childcare leave, and differences in wages between male and female employees

Proportions of female employees in management positions

(As of November 30, 2025)

Trade name	Proportions of female employees in management positions (%)
Kewpie Corporation (the Company)	19.9%
Kewpie Egg Corporation	3.7%
Hashikami Kewpie Co., Ltd.	8.3%
Hanshin Delica Co., Ltd.	6.7%
Salad Club, Inc.	4.8%
Shunsai Deli Co., Ltd.	3.1%
Aohata Corporation	7.6%

(Notes) 1. The aggregation includes employees in each company, and employees seconded to other companies were included as employees of the company to which they were seconded.

2. The figures were calculated in accordance with the provisions of the ʺAct on the Promotion of Womenʹs Active Engagement in Professional Lifeʺ (Act No. 64 of 2015).

Percentages of male employees taking childcare leave

(Current fiscal year)

Trade name	Percentages of male employees taking childcare leave (%)	Number of employees who took leave (number of employees who took leave / number of eligible employees) (persons)
Kewpie Corporation (the Company)	102.4	43/42
Kewpie Egg Corporation	100.0	6/6
Hashikami Kewpie Co., Ltd.	100.0	1/1
Hanshin Delica Co., Ltd.	0.0	0/1
Salad Club, Inc.	100.0	7/7
Shunsai Deli Co., Ltd.	100.0	2/2
Aohata Corporation	100.0	4/4

(Notes) 1. The aggregation includes employees in each company, and employees seconded to other companies were included as employees of the company to which they were seconded.

The figures were proportions of employees taking child care leave, etc. in the Article 71-6 Item 1 of the ʺOrdinance for Enforcement of the Act on Childcare Leave, Caregiver Leave, and Other Measures for the Welfare of Workers Caring for Children or Other Family Membersʺ (Ordinance of the Ministry of Labor No. 25 of 1991) calculated in accordance with the provisions of the ʺAct on Childcare Leave, Caregiver Leave, and Other Measures for the Welfare of Workers Caring for Children or Other Family Membersʺ (Act No. 76 of 1991).
The percentages of employees taking childcare leave may exceed 100% due to the gap between the fiscal year of a childʹs birth and the fiscal year in which childcare leave, etc. for that child began.

Differences in wages between male and female employees

(Current fiscal year)

Trade name	Differences in wages between male and female employees (%)

	All employees	Permanent employees	Non-permanent employees
Kewpie Corporation (the Company)	60.3	62.6	72.8
Kewpie Egg Corporation	66.9	70.8	78.7
Hashikami Kewpie Co., Ltd.	69.8	85.4	87.4
Hanshin Delica Co., Ltd.	63.2	83.2	82.0
Salad Club, Inc.	74.1	76.1	86.8
Shunsai Deli Co., Ltd.	59.5	75.8	80.4
Aohata Corporation	54.9	62.6	70.3

(Notes) 1. The aggregation includes those who belong to each company, and employees seconded to other companies were included as employees of the company from which they were seconded.

2. The figures were calculated in accordance with the provisions of the ʺAct on the Promotion of Womenʹs Active Engagement in Professional Lifeʺ (Act No. 64 of 2015).

The differences in wages between male and female employees at the Company are mainly attributable to structural factors in the workforce composition and actual working styles. The Company has introduced a grading system and wage structure based on roles and responsibility, and the same wage structure is applied regardless of gender for the same grade or position; therefore, there is no gender-based wage disparity within the personnel system itself. The main factors causing differences in average wages and initiatives to eliminate these differences are as follows.

Differences in grade and management composition
The largest factor contributing to differences in average wages is the higher proportion of men in management positions and higher-grade roles, which have higher wage levels. At present, the Company has positioned increasing the ratio of female managers as one of its priority issues and is actively working toward this goal. As a result, this ratio increased by 4 percentage points year on year (see Reference Material (1) below).
In addition, in the recruitment of career-track employees who are expected to become future core personnel, the Company hires approximately equal numbers of men and women, thereby accelerating the development of next-generation leader candidates. Going forward, the Company will continue to promote further increases in the ratio of female managers and work toward eliminating the wage gap between men and women.
Differences in working hours and work styles

Another factor contributing to differences in average wages is the difference in actual working hours between men and women. Even when compared by grade and position, wage gaps exist. This is attributable to factors such as the tendency for men to work more overtime hours than women and gender differences in the utilization of short-time working arrangements (see Reference Material (2) below).

To address these disparities, the Company is promoting the reduction of overtime work, aiming to establish work styles for both men and women that do not presuppose long working hours. Through company-wide efforts to improve operational efficiency, the Company aims to narrow differences in working hours between men and women and eliminate wage gaps arising from differences in work styles.

Reference Material (1) Ratio of Female Managers: Targets and Results (Note 1, 2)

FY2022

Result

FY2023

Result

FY2024

Result

FY2025

Result

FY2030

Target

Ratio of female managers

(%)

(The Company)

12.5

14.5

15.9

19.9

30.0

Note 1 The aggregation includes employees of the Company, and employees seconded to other companies were included as employees of the company to which they were seconded.

Note 2 The figures were calculated in accordance with the provisions of the ʺAct on the Promotion of Womenʹs Active Engagement in Professional Lifeʺ (Act No. 64 of 2015).

Reference Material (2) Average overtime working hours and utilization rate for short-time work system (Note 3)

(Current fiscal year)

Average overtime hours

22.1h

12.7h

Male

Female

(As of November 30, 2025)

Note 3 The aggregation includes employees of the Company who are subject to time-based management. Employees seconded to other companies were included as employees of the company to which they were seconded.

Business Operations

Management Policy, Business Environment, Tasks Ahead, Etc.
The following outlines the Groupʹs management policy, business environment, tasks ahead, etc.
Forward-looking statements included in this section are based on the Groupʹs judgment of information available as of the end of the current fiscal year.
1. Basic policy of Company management
  The Group is a corporate group that focuses on the field of food, which is essential to peopleʹs lives. While cherishing the corporate motto and principles that have been passed down since our establishment, we aim to contribute to the food culture and health of the world through ʺgreat taste, empathy, and uniquenessʺ.
  Based on our 2030 Vision, which outlines our ideals for 2030, and our Medium-term Business Plan, which details our growth and development strategies, we will continue to expand our wide range of business activities. We will deliver unique products and services that are characteristic of the Group, and actively work to resolve social issues.
2. Medium- to long-term business strategies, business environment, tasks ahead, etc. [Medium-Term Business Plan]
  The Group aims to contribute to the food culture and health of the world through ʺgreat taste,
  empathy, and uniquenessʺ and has established the ʺKewpie Group 2030 Visionʺ as its long-term vision.
  Under our FY2025–FY2028 Medium-term Business Plan, we will work on the theme of ʺ—Change & Challenge—Improving management efficiency in mature markets and accelerating investment in growth areasʺ. Along with ʺStructural reform of domestic businessʺ and ʺAcceleration of global expansionʺ, the Group will promote ʺContributing to food culture and healthʺ, ʺConsideration for the environmentʺ, and ʺEnhancing the value of human capitalʺ, thereby creating both social and economic value and contributing to customers around the world.
  [FY2025–FY2028 Medium-Term Business Plan — Key Indicators]
  In the FY2025–FY2028 Medium-term Business Plan, the Group selected ʺROEʺ, ʺDomestic business income ratioʺ, and ʺOverseas sales CAGRʺ as its key indicators of economic value, and while focusing on capital efficiency, the Group will enhance earning power for both the domestic and global businesses. The Group will also strive to achieve the management targets of ʺNumber of salads eatenʺ, ʺPlastic reductionʺ, ʺReduction of food lossʺ and ʺEmployee engagementʺ, treating these as indicators of social value.
  [FY2025–FY2028 Medium-Term Business Plan — Cash Allocation]
  As for cash allocation, the Group is targeting a cumulative amount of approximately ¥170.0 billion in operating cash flow for the four-year period. The Group also plans to conduct asset sales and fundraising during this period and aggressively allocate such funds to investments. The Group plans to allocate approximately ¥100.0 billion for capital investments. Moreover, as part of our targets for shareholder returns, the Group has set a minimum dividend payment of ¥54 and will gradually increase the amount during the planʹs period. Also, the Group has set ʺat least 50%ʺ as a standard for the cumulative four-year total return ratio. Furthermore, the Group plans to strengthen shareholder returns by including flexible share buybacks to achieve further growth investment and improve capital efficiency.

Sustainability Approach and Initiatives

The following outlines the Groupʹs sustainability approach and initiatives.

Forward-looking statements included in this section are based on the Groupʹs judgment of information available as of the end of the current fiscal year.

Sustainability in general

The Group aims to continue helping create a better society by contributing to food culture and health of the world through great taste, empathy, and uniqueness. We recognize sustainability initiatives as important activities and help realize a sustainable society through the practice of our Corporate Philosophy and Group Policies, and implement our initiatives as a foundation for the sustainable growth of the Group, based on the ʺKewpie Group Basic Policy on Sustainabilityʺ.

Basic Policy on Sustainability

With an emphasis on the aspiration for ʺlove around the kitchen tableʺ, we aim to address and resolve various issues through ʺgreat taste, empathy and uniquenessʺ. We will create a future full of smiles by caring for people and the environment throughout the value chain, from product design and raw material procurement, to production, sales and consumption.

Contributing to Food Culture and Health

Focusing on salads and eggs as key components of dietary habits, we contribute to extending the healthy life expectancy of people around the world through the pursuit and global promotion of nutrition and health benefits.
Through food, we support the mental and physical health of children who will create the future.
Effective Use and Recycling of Resources
As the only manufacturer in the world that makes effective use of the entire egg, we will continue to refine our technologies and create value.
In proposing ways of eating and utilizing uneaten portions, we aim to become a globally unique
ʺvegetable utilization manufacturerʺ.
To realize a recycling-oriented society in plastics, we will promote environmentally friendly product design and collaboration with external parties.
Recognizing that water is a limited and precious resource, we will use it efficiently and reduce the environmental impact of water intake and discharge.
We will develop extensive technologies matching demand information with production, transportation and delivery data information to eliminate food loss.
Deal with Climate Change
We aim to reduce CO2 emissions throughout the value chain, from the procurement of raw materials to product consumption.
Conservation of Biodiversity
We will strive to minimize negative impacts on biodiversity and restore and regenerate ecosystems.
Sustainable Procurement
In addition to safety, we will collaborate with business partners to promote stable procurement that takes into consideration environmental impacts and human rights.
Respect for Human Rights

We promote employee diversity and inclusion, protecting the human rights of everyone involved in our business.

Governance

The Sustainability Committee formulates policies and plans to achieve targets, as well as identifies important matters and promotes initiatives to address material issues, with authority delegated by the Management Committee (an advisory body to the Representative Director, President and Chief Executive Corporate Officer). The Sustainability Committee submits reports to the Board of Directors, and the Board of Directors discusses on the content of the Sustainability Committeeʹs deliberations as appropriate, thereby ensuring supervision by the Board of Directors. During the current fiscal year, progress of our decarbonization and food and health efforts was reported at the meetings of the Board of Directors, and opinions were exchanged about future initiatives. In addition, the Sustainability Committee had four meetings to discuss the formulation of sustainability-related policies and plans including climate change initiatives, identification of important matters, and promotion of initiatives on material issues.

Sustainability Promotion System

	Board of Directors	Sustainability Committee
Members
Number of meetings	At least twice per year	Four times per year
Roles	Supervision of sustainability-related matters	Formulation of sustainability-related policies and plans, identification of important matters and promotion of initiatives on material issues
Remarks

Composed of five internal members and four outside members
Chaired by the chairman of the board

Composed of 17 internal members
Chaired by the director and executive corporate officer in charge of corporate affairs

The Board of Directors includes directors with management-level experience in environmental issues.
We regularly collaborate with outside special interest parties and experts regarding environmental issues.

Results of the Committee are reported to the Board of Directors and are subject to its supervision.

Strategy

Using backcasting from 2030 and considering our aims to realize the ʺKewpie Group 2030 Visionʺ and contribute to SDGs, the Group has identified the following material issues for sustainability.

Contributing to food culture and health
Effective use and recycling of resources
Deal with climate change
Conservation of biodiversity
Sustainable procurement

Respect for human rights

We believe that these issues are important to both contribute to the realization of a sustainable society and achieve sustainable growth for the Group. We will periodically review our material issues in response to changes in the social and global environment.

We have also established sustainability targets that align with index material issues in accordance with the Kewpie Group Basic Policy on Sustainability, and we are actively carrying out efforts to achieve them.

Contributing to food culture and health
In light of recent social changes, there is a growing awareness of health issues around the world. We believe that we can respond to this shift in awareness and create opportunities by promoting ʺContribution to extending healthy life expectancyʺ and ʺMental and physical health support for childrenʺ.
To maintain healthy food lifestyles throughout life, it is essential to integrate three key aspects in a well-balanced manner: nutrition, physical activity, and social participation. In particular, regarding nutrition, we are promoting a Group-wide initiative called ʺSalad Firstʺ, which makes it natural to incorporate vegetables into daily meals, and is working to increase
opportunities for salad consumption. Through initiatives to enhance the added value of eggs, we also support a balanced diet.
We also conduct various food educational activities such as lecture events, Mayonnaise Classes, Open Kitchen factory tours, and website content. We also launched a website, Food & Life Academy, with the purpose of helping children develop skills to learn, think, and make decisions independently about their food lifestyles.
Effective use and recycling of resources
In these days of food crisis and other risks, we believe that it is our crucial responsibility as a food manufacturer to make effective use of limited food resources and natural energy and avoid waste. In particular, we are actively engaged in initiatives such as elimination and effective utilization of food loss, reduction and reuse of plastic emissions, and sustainable use of water resources.
To ensure elimination and effective utilization of food loss, eggs are utilized 100% effectively. Egg yolks and egg whites serve as raw materials for products and food ingredients. Eggshells are also put to effective use in soil improvement agents and additives for calcium-enriched foods, while eggshell membranes find application in cosmetic products.
We successfully convert unused portions of leafy vegetables (such as cabbage and lettuce residues) into stock feed for dairy cattle. In a joint research project between Kewpie Corporation and Tokyo University of Agriculture and Technology, it was reported that dairy cattle that were fed this feed produced greater yields of milk. Meanwhile, Salad Club Co., Ltd., a subsidiary that manufactures and sells packaged salads, also takes the unused parts of vegetables such as outer leaves and cores generated when producing packaged salads at its seven directly operated plants and turns them into feed and compost to be utilized by contracted farms and other customers. This approach ensures that all residues are reconverted into resources.
In terms of plastics used in our products, as part of our initiative to reduce and reuse plastic emissions, we are advancing efforts to decrease the use of petroleum-derived plastics by reducing container weight and using recycled plastics. We are also working with other companies to establish a recycling system for PET bottles with oil on them and mayonnaise bottles. Continuing on from the previous fiscal year, we conducted a bottle collection pilot test in collaboration with major retailers to establish and verify the technology.
With regard to sustainable use of water resources, we consider water a vital and limited resource that is indispensable to the continuation of our business, so we ensure its effective use and reduce the environmental impact when collecting and discarding water.
Deal with climate change
The Group discloses risks and opportunities related to climate change in accordance with the framework of the TCFD*1 (Task Force on Climate-related Financial Disclosures; hereinafter referred to as ʺTCFDʺ), as described below in ʺInitiatives for dealing with climate change and conservation of biodiversityʺ. We believe it is critical to actively work for energy conservation and a shift to renewable energy sources across the entire value chain from procurement of raw materials to consumption, in order to reduce CO2 emissions, a cause of climate change.
The Group is steadily installing renewable energy sources at its locations in Japan and abroad. We are also promoting the ʺvisualization of energy useʺ by installing energy measurement devices in all processes at production sites, improving facility operation and thorough maintenance, and introducing energy-saving equipment to promote energy conservation. In addition, we are working to improve efficiency by shortening transportation and delivery distances and by improving load efficiency. We also implement eco-friendly driving, which consumes less fuel and offers greater safety. Furthermore, we are promoting a modal shift from long-distance truck transportation to rail and ship to reduce CO2 emissions.
TCFD Report
URL https://www.kewpie.com/en/sustainability/climate-change/co2/
Conservation of biodiversity
The business operations of the Group are closely tied to an abundant natural environment. Upholding the spirit of ʺgood products begin with good ingredientsʺ, we are thankful for natureʹs blessings, and we endeavor to preserve a natural environment that is bountiful and biologically diverse based on the Biodiversity Policy.
In April 2024, the Group endorsed the TNFD*2 (Taskforce on Nature-related Financial Disclosures; hereinafter referred to as ʺTNFDʺ) and joined the TNFD Forum. While working to address issues, we have also launched a project to discover new opportunities and embed them into our corporate strategies. Applying the LEAP approach of the TNFD framework, we will analyze the major raw materials needed by the Group as well as direct operations (production sites).
TNFD Report
URL https://www.kewpie.com/en/sustainability/nature/biodiversity/
Sustainable procurement
We recognize the need to consider the impact of our products on the environment and human rights not only in the Company but also throughout our supply chain. Efforts to
minimize the impact in procurement are particularly important. Since the establishment of the Kewpie Group Fundamental Policy for Sustainable Procurement in 2018, we have been promoting procurement practices that take into account environmental and human rights considerations. Having established the Supplier Guidelines, we collaborate with our suppliers to ensure stable procurement. This involves addressing supply chain issues related to safety, environmental concerns, and human rights based on mutual understanding. We also conducted a questionnaire survey of our main business partners to make sure that they are acting in accordance with the Supplier Guidelines. We are strengthening our cooperation with suppliers by holding individual interviews to understand more details as necessary based on the survey responses.
Respect for human rights

We recognize that all aspects of our business activities may, directly or indirectly, affect human rights, and we are committed to respecting the human rights of all the people involved in our business. To respect the human rights of all the people involved in our business, we have established the Kewpie Group Human Rights Policy. We have also identified risks that have been determined to be particularly material by external experts based on international standards on human rights and information obtained through interviews. The human rights risks identified are addressed by the Sustainability Committee, and actions are planned and implemented in cooperation with the relevant committees and departments. We have also established a helpline for reporting and consultation within our internal control system to detect violations and take corrective actions. If there is a violation, we implement remediation to prevent recurrence after consultation with the department concerned.

*1 TCFD

Established in 2015 by the Financial Stability Board (FSB) at the request of the G20. It recommends evaluating the financial impact of risks and opportunities arising from climate change on management and disclosing governance, strategy, risk management, and metrics and targets.

*2 TNFD

A taskforce that evaluates risks and opportunities related to natural capital and biodiversity. It promotes disclosure by financial institutions and companies and aims to redirect financial flows toward nature-positive outcomes by developing a disclosure framework for nature-related risks.

The Groupʹs critical human rights risks that require particular attention and measures to prevent and mitigate them

Risks	Scope				The Groupʹs response & relevant URL
Risks	Our own employees	Tier 1 suppliers	Raw material producers	Customers & consumers	The Groupʹs response & relevant URL
Occupational Health and Safety	○	○			https://www.kewpie.com/en/sus tainability/human-rights/healthcare-management/
Forced or Compulsory Labor	○	○	○		https://www.kewpie.com/en/sus tainability/human-rights/initiatives/
Child Labor	○	○	○		Same as above
Harassment	○	○			Same as above
Long Working Hours and Overwork	○				Routine time management Awareness raising and education
Infringement of Health and Safety Due to Product Defects				○	https://www.kewpie.com/en/qs/ manufacture/

Risk management
We identify potential risks and opportunities by broadly examining changes in the internal or external business environment and assess them to determine material risks and opportunities. Risk assessment is common to climate change and natural capital and is conducted along two axes: degree of effect on management and degree of management control. With respect to the degree of effect on management, risks that affect the entire Group and have a significant impact on the achievement of medium- to long-term strategies are set at level 5 on a five-level scale. With respect to the degree of management control, the indicator is whether the Company can control the risk. Situations in which there is no mechanism to address the risk, or where mechanisms exist but are not functioning, are set at level 5 on a five-level scale.
Risks to be addressed are selected and prioritized based on the risk assessment. We endeavor to mitigate risks over which management control is insufficient despite having a significant effect on management, which are designated as main company-wide risks, through company-wide projects implemented on a priority basis. When the effect on management remains high despite countermeasures having an effect and the degree of management control increasing through our activities, we confirm the status of subsequent countermeasures through audits and other means.
Even for risks that have a small effect on management and are not considered to be management issues, we collect external information with high sensitivity and endeavor to monitor the situation. In doing so, we monitor risks from both internal and external aspects, assess the severity of risks in response to changing conditions in a timely fashion, and strive to face risks in an agile manner.
The Group recognizes events with the potential to affect the continued and stable development of management as risks, and strives to enhance internal controls through the practice of risk management. Each department in charge continuously monitors individual risks, while the Risk Management Committee shares information related to risk factors that affect the Company as a whole to comprehensively manage the evaluation and prioritization of such risks, and formulate countermeasures. Specifically, we have positioned the following eight items as major risks and are working to manage and avoid them.
Eight Major Risks
(i) Market trend (ii) Product liability (iii) System fault (iv) Overseas expansion
(v) Procurement of principal ingredients (vi) Natural disasters and other such contingencies
(vii) Human resources and labor-related (viii) Global environmental issues, climate change The director in charge of risk management regularly reports Company-wide risk assessments
and risk response policies and status to the Board of Directors.
Market trend
Procurement of principal ingredients
Product liability Natural disasters and other such contingencies
System fault Human resources and labor-related
Overseas expansion Global environmental issues, climate changes
Indicators and targets

The Group has established sustainability targets for each theme of focus that the Group as a whole will address, tied to material issues for sustainability. All our employees are committed to achieving our goals by maintaining an awareness of sustainability, practicing Group Philosophy, and enacting Group Policies.

Sustainability targets

For details of the targets and the current progress, please refer to ʺII. Business Operations, 1. Management Policy, Business Environment, Tasks Ahead, Etc., ʺ and our website.

URL https://www.kewpie.com/en/sustainability/management/materiality/#sec05

Initiatives for dealing with climate change and conservation of biodiversity

The Groupʹs Basic Policy on Sustainability outlines its approach to dealing with climate change, biodiversity conservation, and sustainable procurement. We consider it important to understand the relationships between our business activities and climate change and natural capital (dependencies and impacts, risks and opportunities), and to disclose this information to a wide range of stakeholders. Based on this recognition, we are addressing climate change in line with the disclosure recommendations of the TCFD and biodiversity conservation in line with the TNFDʹs disclosure recommendations. In the current fiscal year, as a new initiative, we prepared an integrated report combining the TCFD and TNFD frameworks. Going forward, by advancing analysis of risks and opportunities that account for the interrelationship between climate change and natural capital, we will adopt an integrated approach and connect it to the enhancement of the Groupʹs sustainability and the realization of a sustainable society.

As a result of comprehensively evaluating each of the Groupʹs businesses in terms of the scale of each business and their dependence and impact on nature across the value chain from upstream to downstream, the scope is as shown in the table below. We plan to gradually expand the scope of the analysis in the Medium-term Business Plan.

With respect to TCFD, in FY2024, we analyzed the climate change risks and opportunities in delicatessen foods (principal ingredients: potatoes, carrots, and onions). Most notably, in addition to agricultural crops such as grains used in the main raw materials of cooking oil, eggs, and vinegar, we recognized that agricultural crops such as cabbage, lettuce, potatoes, carrots, and onions are also affected by climate change. Thus, we are considering a strategy to reduce dependence on specific crops over the medium to long term.

With respect to TNFD, in FY2024, the first year of disclosure, we focused on direct operations within the Group and on the mayonnaise and dressings (particularly sesame dressing) business, a major business of the Company, and paid attention to upstream raw material production regions in the value chain. As targets for analysis, we identified soybeans, rapeseed, palm oil, corn, sesame, apples, and eggs as principal ingredients for sesame dressing.

	Scope of disclosure (TCFD)
FY2021	Mayonnaise, sesame dressing
FY2022	Mayonnaise, dressings, eggs (liquid eggs, processed products)
FY2023	Mayonnaise, dressings, eggs, packaged salads (cabbage, lettuce)
FY2024	Mayonnaise, dressings, eggs, packaged salads, delicatessen foods (potato, carrot, onion)

	Scope of disclosure (TNFD)
FY2024	Mayonnaise, sesame dressing

Governance
Governance for climate change is in accordance with 1) Governance. As an additional note, we have introduced internal carbon pricing (ICP) to strengthen the assessment and management of climate change-related risks and opportunities. The Sustainability Committee examines and approves the settings and revisions of ICP. The details are reported to the Board of Directors as appropriate and are deliberated as necessary, to ensure proper supervision by the Board of Directors.
Strategy
- TCFD

The Group identifies the various risks and opportunities associated with climate change in a short-, medium-, and long-term perspectives, according to their significance. We also periodically review our analysis and evaluation in light of changes in the external environment. For our analysis, we have identified two key scenarios in line with the scenarios published by Intergovernmental Panel on Climate Change (IPCC)*1 and International Energy Agency (IEA)*2. In the first scenario, the temperature will rise 1.5–2 degrees Celsius above pre-industrial levels by 2100, and environmental policies are developed (hereinafter referred to as the ʺEnvironmental Policy Progress Scenarioʺ). In the second scenario, the temperature will rise 2.7–4 degrees Celsius above pre-industrial levels by 2100 and no additional measures are taken to address climate change (hereinafter referred to as the ʺBAU Scenarioʺ). In the Contingency Scenario, the impact of climate change on our business in 2030 is calculated. We consider measures to deal with the risks and opportunities identified, incorporate them into our single-year plans and Medium-term Business Plans, and promote them.

Scenario

Description

Environmental Policy Progress Scenario (used to identify transition risks and opportunities)

Strict environmental regulations and high carbon taxes will be introduced, and the world will achieve carbon neutrality. The agriculture, forestry, and fishery sectors will achieve zero CO2 emissions, while suppliersʹ environmental response costs will rise. Consumers will become more health-conscious and will thus increase their intake of salads and other vegetables. In addition, the demand for more sustainable products will increase due to heightened environmental awareness.

BAU Scenario (used to identify physical risks and opportunities)

Despite the progress of low-carbonization initiatives, carbon neutrality will not be achieved by 2050 and temperature rise will increase the frequency and severity of natural disasters.

Consequently, the frequency of flooding damage at suppliersʹ and companiesʹ production sites will increase. Lower crop yields caused by heat stress will also lead to a rise in the cost of procuring raw materials. On the other hand, the demand for immune-related businesses and other services will grow with increasing temperatures.

Major profit/loss information:	(1)	Net sales	¥64,949 million
	(2)	Ordinary income	¥2,626 million
	(3)	Profit	¥2,058 million
	(4)	Total net assets	¥7,860 million
	(5)	Total assets	¥20,165 million

Number of employees (persons)	Average age	Average length of service (Years)	Average annual salary (Yen)
2,388 (427)	42.1	16.1	6,888,822