Suntory Beverage & Food : Notification Concerning Content of Parent Company Financial as of December 31 2020

Suntory Holdings Limited

SUMMARY OF CONSOLIDATED FINANCIAL STATEMENTS AS OF DECEMBER 31, 2020 [IFRS] (English Translation, UNAUDITED)

1. Consolidated operating results and financial positions for the fiscal year (January 1, 2020 - December 31, 2020)

(1) Operating resultsFebruary 12, 2021

(Fractions of millions have been truncated)

(% figures represent change from the same period of the previous fiscal year)

Adjusted operating income was calculated as operating income excluding non-recurring items.

3. Consolidated earnings forecast for the fiscal year ending December 31, 2021 (January 1, 2021 - December 31, 2021)

Adjusted operating incomefor the fiscal year ending December 31, 2021

224,000million 2.8

SUMMARY OF NON-CONSOLIDATED FINANCIAL STATEMENTS AS OF DECEMBER 31, 2020 (English Translation, UNAUDITED)

(1) Operating results

(% figures represent change from the same period of the previous fiscal year)

Operating Results

1. Overview of the Twelve-Month Period Ended December 31, 2020

The Suntory Group has actively expanded business in each of three segments, "Non-Alcoholic Beverages and Foods," "Alcoholic Beverages," and "Others," both in Japan and overseas. The fiscal year under review was affected by factors such as self-restraint in going out following the spread of novel coronavirus infectious disease (COVID-19). Revenue (excluding excise taxes) fell by 8.1% year on year to 2.1083 trillion yen, while revenue

(including excise taxes) came to 2.3676 trillion yen, a decrease of 7.8% year on year.

Operating income fell by 16.4% to 217 billion yen, and profit attributable to owners of the Company was 100.4 billion yen, down 28.8% year on year.

Suntory Beverage & Food Limited focused on strengthening brands and creating new demand with the aim of proposing unique, high-quality products that capture the customer's tastes and needs to further enrich customer lifestyles, as well as on improving product quality. The company also took steps to enhance profitability in each area. However, the business environment in major countries has been changed significantly by the impact of the

COVID-19 pandemic, and this has had a considerable effect on the business both in Japan and overseas.

In Japan, the company focused on strengthening core brands, mainly in the categories of water, coffee, and sugar-free tea, but although sales volume outperformed the soft drinks market as a whole, it fell compared to the previous year. In the Suntory Tennensui brand, due to factors such as an increase in demand for large volumes and the renewal of Suntory

Tennensui Sparkling Lemon, sales volume for the brand as a whole was flat year on year. In the BOSS brand, it launched the new BOSS Cafe Base and Craft BOSS Lemon Tea

products with the aim of stimulating the market, but sales volume for the brand as a whole recorded a year-on-year decline. In the Iyemon brand, the company carried out the most significant renewal since its launch, with the aim of creating a bottled green tea beverage that allows customers to enjoy "a green tea that tastes freshly brewed." As a result, sales volume for the brand as a whole increased considerably year on year. In the GREEN DAKARA brand, GREEN DAKARA Yasashii Mugicha maintained its favorable performance, and sales volume for the brand as a whole was the same as the previous year.

In Europe, sales volumes for core brands Orangina and Oasis fell below the previous year in France. In the United Kingdom, sales volume for the Lucozade brand declined year on year. Although the Lucozade Energy brand recorded a strong performance, self-restraint in

This is an excerpt of the original content. To continue reading it, access the original document here.