First Quarter of Fiscal Year Ending December 31, 2024

(Jan 1, 2024 to Mar 31, 2024）

Unicharm Investor Meeting Presentation Materials

May 7, 2024

Unicharm Corporation

First Quarter of Fiscal Year Ending December 31, 2024 (January 1 to March 31)

Financial Performance Summary

Projections stated in these materials include those based on the Company's currently

obtained assumptions, forecasts and plans regarding the future. Therefore, actual results may differ significantly from projections due to risks and uncertainties associated with market competition, foreign exchange rates, etc.

Copyright (c) Unicharm Corporation. All rights reserved.

First Quarter of Fiscal Year Ending December 31, 2024 (January 1 to March 31)

Financial Results Summary

Consolidated

Sales 236.3 billion JPY (YoY +7.0%)

Core operating income

37.5 billion JPY (YoY +32.1%)

  • All-timehigh for sales, core operating income and profit before tax.
  • Operating margin was improved highly with the effect of continued value-shifting and cost reductions.

Japan

9.6％ sales increase, 31.9％ profit increase

  • Sales and profit growth was achieved higher than expected by penetrating and expanding value-shifting in all businesses.
  • Wellness Care Business led performance in Japan through further value-shifting.
  • High growth continued in Pet Care Business, which promoted value-shifting ahead of other businesses, despite a lapse in effect.

Overseas

5.8％ sales increase, 34.4％ profit increase

  • Sales and profit increased in Asia. Increased sales was resulted by continued strong performance in India offsetting under-recovery in China. Profit increase was because of improved profitability in India and gradual improvement in China and Thailand.
  • Sales and profit increased in other regions. Performance expanded in Middle East. Profitability improved in North America. Profitability was established in Brazil.

Shareholder

Yearly dividend 44 yen per share

Return

Increased dividend for 23 consecutive years

⚫ Purchase of own shares: purchased approx. 5.9 billion yen as of the end of April. (1,289 thousand shares)

Copyright (c) Unicharm Corporation. All rights reserved.

3

Sales hit a record high for 3 consecutive years

Core operating income also hit a record high through value-shifting and cost reductions, etc.

⚫ Consolidated account highlights

1Q of

(from Jan. to Mar.)

2023

FY Ended Dec.31,

1Q of FY Ending

Dec. 31, 2024

（Unit: 100 millions of yen）

（Forecast）

Gap(yen)Gap(%) FY ending Dec. 31, Achievement

2024(%)

Net sales

2,208

2,363

+154

+7.0%

10,060

23.5%

Core operating income

284

375

+91

+32.1%

1,440

26.1%

(15.9%)

(margin-%)

(12.9%)

(+3.0P)

(14.3%)

Profit before tax

282

347

+65

+23.0%

1,440

24.1%

(margin-%)

(12.8%)

(14.7%)

(+1.9P)

(14.3%)

Profit attributable to owners of

165

178

+13

+7.9%

900

19.8%

(7.5%)

Parent company (margin-%)

(7.5%)

(±0P)

(8.9%)

EBITDA

385

458

+73

+18.9%

1,860

24.6%

(profit before tax + depreciation/amortization)

Base earnings per share (JPY)

27.84

30.21

+2.37

+8.5%

152.49

19.8%

USD Rate (JPY)

132.34

148.61

+16.27

+12.3%

143.00

―

CNY Rate (JPY)

19.34

20.63

+1.29

+6.7%

19.90

―

Copyright (c) Unicharm Corporation. All rights reserved.

4

Quarterly core operating income reached a new high with stable sales growth and profitability improvement through continuous value-shifting in the first quarter of FY 2024 (Jan-Mar)

  • Sales trend (quarterly)

（Unit: 100 millions of yen）

2,208

2,363

2,044

1,838

1,820

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2020

2021

2022

2023

2024

Copyright (c) Unicharm Corporation. All rights reserved.

  • Core operating income trend

(quarterly)

（Unit: 100 millions of yen）

375

303

314

299

284

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2020

2021

2022

2023

2024

5

Core operating income increased by 9.1 billion JPY as a result of absorbing marketing investments, etc. through continuous value-shifting and business mix improvement

（Unit: 100 millions of yen）

  • Core operating income fluctuation (from Jan. to Mar.)

375

284

-7

-11

-7

-30

+25

+67

+54

Sales

Advertising

Logistics

Other

Materials,

Productivity

Increased

promotion

expenses

costs

improvement,

sales

etc.

expenses

etc.

effect

1Q of FY

Ended Dec.

31, 2023

Copyright (c) Unicharm Corporation. All rights reserved.

Sales and administrative

Gross profit rate

expense rate

3.9P improvement

0.9P deterioration

1Q of FY

Ending Dec.

31, 2024

6

Sales and profit increased in all businesses with penetration and expansion of value-shifting in Japan. In Asia, India sustained strong performance, China showed recovery trend and profit increased, Thailand improved business mix and profit increased. In other areas, the performance was led by increased business in Middle East, improved profitability in North America and sustained growth in Brazil.

（Unit: 100 millions of yen）

  • Geographical segment information

(from Jan. to Mar.)

FY Ended Dec.31,

Ending Dec. 31,

Gap(yen)

Gap (%)

Actual *1

1Q of

1Q of FY

(Ref.)

2023

2024

gap rate

Net sales

711

780

+68

+9.6%

―

Japan

134

177

+43

+31.9%

―

Core operating income

(margin-%)

(18.8%)

(22.6%)

(+3.8P)

Net sales

1,087

1,093

+6

+0.5%

-7.1%

Asia

112

131

+19

+17.2%

+8.6%

Core operating income

(margin-%)

(10.3%)

(12.0%)

(+1.7P)

*2

Net sales

410

490

+81

+19.7%

+6.9%

67

Others

Core operating income

36

+32

+88.0%

+66.4%

(margin-%)

(8.7%)

(13.7%)

(+5.0P)

Net sales

2,208

2,363

+154

+7.0%

+0.9%

Consolidation

284

375

+91

+32.1%

+26.0%

Core operating income

(margin-%)

(12.9%)

(15.9%)

(+3.0P)

【Actual gap rate of sales in main countries】 *management accounting base

China -4% Indonesia -9% Thailand -12% India +8%

Vietnam -27% Middle East +14% North America +3% Brazil +3%

*1 Actual gap rate excluding foreign exchange effects

*2 Others: main regions are North America, Saudi Arabia, Brazil and Netherlands

Copyright (c) Unicharm Corporation. All rights reserved.

7

Highly profitable foundation was built by continued penetration and expansion of valued-added products

⚫Core operating income margin by geographical segment (from Jan. to Mar.)

Japan

Asia

Others *1

Consolidation

22.6%

20.6%

20.5%

19.5%

18.8%

18.8%

15.4%

13.6%

17.0%

17.2%

14.7%

12.9%

15.9%

12.4%

16.9%

16.5%

13.7%

14.6%

11.9%

13.1%

10.3%

12.0%

10.1%

9.0%

9.6%

8.7%

4.0%

5.0%

'18/1Q

'19/1Q

'20/1Q

'21/1Q

'22/1Q

'23/1Q

'24/1Q

*Others: Main regions are North America, Saudi Arabia, Brazil and the Netherlands

Copyright (c) Unicharm Corporation. All rights reserved.

8

Overseas and Asian markets keep overwhelming sales ratio

⚫Sales ratio of

⚫Sales ratio of

overseas markets

Asian markets

67.4％ 46.2％

Copyright (c) Unicharm Corporation. All rights reserved.

9

Profitability improved in all businesses of Personal Care mainly in Japan, and business mix improved. Increased sales and profit in Pet Care Business was driven by sustained effect of penetrated and expanded value-shifting in Japan and North America.

（Unit: 100 millions of yen）

  • Business Segment Information (from Jan. to Mar.)

1Q of FY Ended

1Q of FY ending

Gap(yen)

Gap(%)

Dec. 31, 2023

Dec. 31, 2024

Net sales

1,858

1,985

+127

+6.8%

Personal Care

231

303

+73

+31.6%

Core operating income

(margin-%)

(12.4%)

(15.3%)

(+2.9P)

Net sales

309

343

+33

+10.7%

Pet Care

55

73

+18

+32.1%

Core operating income

(margin-%)

(17.8%)

(21.2%)

(+3.4P)

Net sales

41

35

-6

-14.1%

Others *1

-1

-1

1

―

Core operating income

(margin-%)

(-3.5%)

(-2.2%)

(+2.3P)

Net sales

2,208

2,363

+154

+7.0%

Consolidation

284

375

+91

+32.1%

Core operating income

(margin-%)

(12.9%)

(15.9%)

(+3.0P)

* Other products refer to those related to industrial materials, etc.

Copyright (c) Unicharm Corporation. All rights reserved.

10

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Unicharm Corporation published this content on 07 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 07 May 2024 06:40:08 UTC.