Nisshin Seifun : Supplementary Materials Second Quarter of Fiscal 2024

Disclaimer: This document is a translation of the Japanese original. The Japanese original has been disclosed in Japan in accordance with Japanese accounting standards and the Financial Instruments and Exchange Act. This document does not contain or constitute any guarantee and the Company will not compensate any losses and/or damage stemming from actions taken based on this document. In the case that there is any discrepancy between the Japanese original and this document, the Japanese original is assumed to be correct.

Supplementary Materials

Second Quarter of Fiscal 2024

I. Consolidated Performance Highlights …………… P. 1

II. Consolidated Statements of Income …………… P. 2-6

1. Currency Exchange Rates
2. Consolidated Statements of Income
3. Net Sales and Operating Profit by Segment [FY2024 Performance]
4. Net Sales and Operating Profit by Segment [Performance Forecast]

III. Consolidated Balance Sheets

……………… P. 7

IV.	Consolidated Statements of Cash Flows ………… P. 8

October 27, 2023

Nisshin Seifun Group Inc.

The statements contained in this document are based on various assumptions and do not constitute any guarantee or definite promise that projections of future performance or related business policies will actually be realized.

I. Consolidated Performance Highlights

		FY2021	FY2022	FY2023	FY2024
		1H	1H	1H	1H
Net sales *1	(Billions of yen)	335.9	325.7	388.7	426.9
Operating profit *1	(Billions of yen)	12.4	15.6	15.9	25.5
Operating profit ratio	(%)	3.7	4.8	4.1	6.0
Ordinary profit *1	(Billions of yen)	13.7	17.4	17.2	26.5
Ordinary profit ratio	(%)	4.1	5.3	4.4	6.2
Profit attributable to owners of parent *1	(Billions of yen)	9.1	10.0	(37.8)	18.4
Profit attributable to owners of parent ratio	(%)	2.7	3.1	(9.7)	4.3

*1 The Company applied the "Accounting Standard for Revenue Recognition" (ASBJ No. 29) from the start of FY2022.

Overseas sales	(Billions of yen)	76.1	86.4	126.8	132.4
Overseas sales ratio	(%)	22.6	26.5	32.6	31.0
Overseas operating profit	(Billions of yen)	1.0	2.5	4.0	7.8
Overseas operating profit ratio	(%)	7.8	15.8	25.1	30.7
Capital expenditures (construction base)	(Billions of yen)	7.5	8.2	8.3	12.1
Depreciation and amortization	(Billions of yen)	10.8	11.2	11.5	11.1
Operating profit before amortization of goodwill,	(Billions of yen)	16.3	20.0	20.4	27.1
others *2
Amortization of goodwill, others *2	(Billions of yen)	4.0	4.4	4.5	1.6

*2 "Amortization of goodwill, others" refers to amortization of goodwill and intangible assets (customer-related assets).

Net cash provided by (used in) operating activities	(Billions of yen)	25.4	29.4	(1.8)	33.8
Net cash provided by (used in) investing activities	(Billions of yen)	(8.2)	(8.5)	(6.7)	(13.8)
Net cash provided by (used in) financing activities	(Billions of yen)	(9.7)	(10.6)	(1.3)	(15.0)
Cash and cash equivalents at end of period	(Billions of yen)	64.3	68.9	60.7	89.7
Earnings per share *3	(Yen)	30.47	33.49	(127.11)	62.04
Interim (annual) dividend per share	(Yen)	17.00	19.00	19.00	21.00
Total interim dividends	(Billions of yen)	5.1	5.7	5.7	6.2

FY2024

Forecast

850.0

46.0

5.4

47.0

5.5

30.0

3.5

267.1

31.4

13.7

29.8

26.0

24.0

49.2

3.2

-

-

-

-

100.89

42.00

-

Total assets

Equity capital

Equity ratio

Total net assets

	FY2021	FY2022	FY2023	FY2024
	1H
(Billions of yen)	687.4	723.1	713.9	766.4
(Billions of yen)	433.1	449.2	423.8	469.3
(%)	63.0	62.1	59.4	61.2
(Billions of yen)	444.8	460.6	438.5	484.7

-

-

-

-

Net assets per share *3	(Yen)	1,456.37	1,510.35	1,425.24	1,578.39		-
Share price at end of period	(Yen)	1,850	1,706	1,551	1,905		-
Total market value of shares	(Billions of yen)	550.3	507.5	461.2	566.4	-

*3 When calculating earnings per share and net assets per share, Company shares held by The Master Trust Bank of Japan, Ltd. as trust assets for the stock- based remuneration plan are included in the treasury shares (listed under shareholders' equity) excluded from calculation of the number of shares of common stock.

1

1. Consolidated Statements of Income
   1. Currency Exchange Rates (Average rate during the period)

(Yen)

	FY2023	FY2024
	1H	1H
USD	131.3	139.2
CAD	102.5	103.5
AUD	93.1	92.3
NZD	84.6	85.4
THB	3.8	4.0
INR	1.7	1.7

2. Consolidated Statements of Income

FY2023	FY2024
Forecast

134.8 143.0

1. 106.0

1. 93.0

84.5 86.0

3.8 4.1

1.7 1.7

(Billions of yen)

FY2023	FY2024	Difference	YoY
1H	1H	from	Remarks
		previous	Change
		year

Net sales	388.7	426.9	38.1	109.8%
Cost of sales	308.6	335.8	27.2
	Gross profit	80.1	91.1	11.0	113.7%
Selling, general and administrative expenses
	Selling expenses	22.6	23.8	1.2
	Personnel expenses	20.2	21.8	1.6
	Non-personnel expenses	21.4	20.0	(1.4)
	Total	64.2	65.6	1.4
	Operating profit	15.9	25.5	9.6	160.3%
Non-operating income (losses)
	Net financial income	(0.0)	(0.4)	(0.4)
	Equity in earnings (losses) of affiliates	0.6	0.7	0.1
	Other	0.7	0.7	0.0
	Total	1.3	1.0	(0.3)
	Ordinary profit	17.2	26.5	9.3	153.9%
Extraordinary income (losses)
	Gain on sale of investment securities	0.2	0.3	0.1
					(FY23) Australia flour milling
	Impairment loss	(55.8)	(1.3)	54.6	business
	(FY24) Yeast and
					biotechnology business
	Expenses related to change of the	(0.2)	-	0.2	(FY23) Nisshin Seifun Welna
	company name	Inc.
	Other	(0.2)	(0.2)	(0.0)
	Total	(56.0)	(1.1)	54.9
	Profit (loss) before income taxes	(38.8)	25.4	64.1	-
Total income taxes	(1.6)	6.1	7.8
Profit attributable to non-controlling interests	0.7	0.8	0.1
	Profit (loss) attributable to owners of	(37.8)	18.4	56.2	-
	parent

FY2024	Difference	YoY
from
Forecast
previous	Change
	year
850.0	51.3	106.4%

46.0	13.2	140.1%
(0.8)	(0.7)

0.6 0.9

1.2 0.5

1. 0.8

1. 13.9 142.2%

30.0	40.4	-

2

3. Net Sales and Operating Profit by Segment [FY2024 Performance] Net Sales [FY2024 Performance]

(Billions of yen)

		FY2023		FY2024		Difference	[Impact of		YoY
		1H	Composition	1H	Composition	from	currency
			ratio		ratio	previous	exchange rate		Change
						year	fluctuations]
	Domestic	87.0	22.4%	109.3	25.6%	22.2			125.5%
Flour Milling	Overseas	114.8	29.5%	118.5	27.8%	3.7	[3.3]		103.2%
	Total	201.9	51.9%	227.8	53.4%	25.9			112.8%
	Domestic	83.8	21.6%	89.3	20.9%	5.5			106.5%
Processed Food	Overseas	8.7	2.2%	9.9	2.3%	1.2	[0.3]		113.8%
	Total	92.5	23.8%	99.2	23.2%	6.7			107.2%
Prepared Dishes and	Domestic	73.3	18.9%	78.1	18.3%	4.8			106.5%
Other Prepared	Overseas	-	-	-	-	-	-		-
Foods	Total	73.3	18.9%	78.1	18.3%	4.8			106.5%
	Domestic	17.8	4.6%	17.8	4.2%	(0.0)			99.9%
Others	Overseas	3.2	0.8%	4.1	1.0%	0.8	[0.0]		125.7%
	Total	21.1	5.4%	21.9	5.1%	0.8			103.9%
	Domestic	262.0	67.4%	294.4	69.0%	32.5			112.4%
Total	Overseas	126.8	32.6%	132.4	31.0%	5.7	[3.7]		104.5%
	Total	388.7	100.0%	426.9	100.0%	38.1			109.8%

• Analysis of Net Sales Difference from Previous Year

				(Billions of yen)
	Flour Milling	+25.9	 Domestic wheat flour shipments (0.0% YoY)	(0.3)
			 Flour price revisions accompanying revised wheat prices, others	+21.3
			(incl. effect of new consolidation)
			 Bran prices	+1.2
			 Overseas sales	+3.7
	Processed Food	+6.7	 Processed Food sales	+4.6
			Household-use flour sales	(0.0)
			Prepared mix product sales	+1.2
			Pasta-related sales	+1.0
			Frozen food sales	+2.1
			Overseas processed food sales	+0.4
			Other	(0.1)
			 Oriental Yeast sales	+2.3
			 Nisshin Pharma sales	(0.2)
	Prepared Dishes and Other Prepared Foods	+4.8	 Prepared dishes and other prepared foods sales	+4.8
	Others	+0.8	 NBC Meshtec sales	+0.8
			 Facility construction sales, others (Nisshin Engineering, others)	+0.0
	Total	+38.1

3

Operating Profit [FY2024 Performance]

(Billions of yen)

		FY2023	Composition	FY2024	Composition	Difference	[Impact of	YoY
		1H	1H	from	currency
		ratio	ratio	previous	exchange rate	Change
						year	fluctuations]
	Domestic	3.8	23.9%	7.4	28.9%	3.6		193.4%
Flour Milling	Overseas	3.3	20.8%	7.4	28.9%	4.1	[0.3]	222.6%
	Total	7.1	44.7%	14.7	57.7%	7.6		207.0%
	Domestic	3.7	23.4%	4.8	18.6%	1.0		127.4%
Processed Food	Overseas	0.3	2.1%	(0.1)	(0.2)%	(0.4)	[0.0]	-
	Total	4.1	25.5%	4.7	18.4%	0.6		115.4%
Prepared Dishes	Domestic	1.6	10.3%	3.4	13.3%	1.8		207.3%
and Other Prepared	Overseas	-	-	-	-	-	-	-
Foods
Total	1.6	10.3%	3.4	13.3%	1.8		207.3%
	Domestic	2.7	17.0%	2.0	8.0%	(0.7)		75.5%
Others	Overseas	0.3	2.2%	0.5	2.1%	0.2	[0.0]	155.2%
	Total	3.1	19.2%	2.6	10.1%	(0.5)		84.6%
	Domestic	0.0	0.3%	0.1	0.4%	0.1		-
Adjustments	Overseas	-	-	-	-	-	-	-
	Total	0.0	0.3%	0.1	0.4%	0.1		-
	Domestic	11.9	74.9%	17.7	69.3%	5.7		148.1%
Total	Overseas	4.0	25.1%	7.8	30.7%	3.8	[0.3]	196.5%
	Total	15.9	100.0%	25.5	100.0%	9.6		160.3%

Amortization of goodwill, others (After deduction from above)

FY2023	FY2024
Difference from
1H	1H
previous year

Flour Milling	3.7	0.8	(2.9)
Processed Food	0.0	0.0	-
Prepared Dishes and Other Prepared Foods	0.8	0.8	-
Total	4.5	1.6	(2.9)

• Analysis of Operating Profit Difference from Previous Year

				(Billions of yen)
	Flour Milling	+7.6	 Domestic wheat flour shipment volume	(0.0)
			 Sales expansion costs	+0.7
			 Bran prices	+1.2
			・Cost related, others (incl. effect of new consolidation)	+1.6
			 Overseas operating profit	+4.1
	Processed Food	+0.6	 Shipment volume	(0.4)
			 Sales expansion costs	+0.4
			 Cost related, others	+1.0
			 Overseas operating profit	(0.4)
			(incl. Oriental Yeast, Nisshin Pharma exports)
	Prepared Dishes and Other Prepared Foods	+1.8	 Sales	+1.2
			 Cost related, others	+0.6
	Others	(0.5)	 Sales	+0.1
			 Cost related, others	(0.6)
	Adjustments	+0.1	 Intersegment transaction eliminations	+0.1
	Total	+9.6

4

4. Net Sales and Operating Profit by Segment [Performance Forecast] Net Sales [Performance Forecast]

(Billions of yen)

				FY2024		Difference				Initial
		FY2023			[Impact of	YoY		forecast	Difference
		Composition	Forecast	Composition	from	currency		(announced
				from initial
			ratio		ratio	previous	exchange rate	Change		in May)	forecast
						year	fluctuations]
	Domestic	181.5	22.7%	217.1	25.5%	35.6		119.6%		217.1	-
Flour Milling	Overseas	238.3	29.8%	239.9	28.2%	1.6	[8.3]	100.7%		209.9	30.0
	Total	419.8	52.6%	457.0	53.8%	37.2		108.9%		427.0	30.0
	Domestic	171.0	21.4%	179.6	21.1%	8.6		105.0%		179.6	-
Processed Food	Overseas	17.0	2.1%	20.4	2.4%	3.4	[0.8]	120.0%		20.4	-
	Total	188.0	23.5%	200.0	23.5%	12.0		106.4%		200.0	-
Prepared Dishes	Domestic	147.5	18.5%	153.0	18.0%	5.5		103.7%		153.0	-
and Other	Overseas	-	-	-	-	-	-	-		-	-
Prepared Foods
Total	147.5	18.5%	153.0	18.0%	5.5		103.7%		153.0	-
	Domestic	37.0	4.6%	33.2	3.9%	(3.8)		89.6%		33.2	-
Others	Overseas	6.4	0.8%	6.8	0.8%	0.4	[0.1]	106.6%		6.8	-
	Total	43.4	5.4%	40.0	4.7%	(3.4)		92.1%		40.0	-
	Domestic	537.0	67.2%	582.9	68.6%	45.9		108.6%		582.9	-
Total	Overseas	261.7	32.8%	267.1	31.4%	5.4	[9.2]	102.1%		237.1	30.0
	Total	798.7	100.0%	850.0	100.0%	51.3		106.4%		820.0	30.0

• Analysis of Net Sales Difference from Previous Year

				(Billions of yen)
	Flour Milling	+37.2	 Domestic wheat flour shipments (0.0% YoY)	+0.0
			 Flour price revisions accompanying revised wheat prices, others	+34.6
			(incl. effect of new consolidation)
			 Bran prices	+1.0
			 Overseas sales	+1.6
	Processed Food	+12.0	 Domestic processed food sales	+5.8
			 Overseas processed food sales	+1.7
			 Oriental Yeast sales	+3.3
			 Nisshin Pharma sales	+1.2
	Prepared Dishes and Other Prepared Foods	+5.5	 Prepared dishes and other prepared foods sales	+5.5
	Others	(3.4)	 NBC Meshtec sales	+1.4
			 Facility construction sales, others (Nisshin Engineering, others)	(4.8)
	Total	+51.3

5

Operating Profit [Performance Forecast]

		FY2023		FY2024		Difference	[Impact of	YoY
		Composition	Forecast	Composition	from	currency
			ratio		ratio	previous	exchange rate	Change
						year	fluctuations]
	Domestic	8.0	24.5%	13.0	28.3%	5.0		161.5%
Flour Milling	Overseas	9.6	29.2%	13.2	28.7%	3.6	[0.5]	137.9%
	Total	17.6	53.7%	26.2	57.0%	8.6		148.7%
	Domestic	6.5	19.7%	9.4	20.4%	2.9		145.0%
Processed Food	Overseas	(0.4)	(1.4)%	0.0	0.0%	0.4	[0.1]	-
	Total	6.0	18.4%	9.4	20.4%	3.4		155.7%
Prepared Dishes	Domestic	3.3	10.0%	5.0	10.9%	1.7		152.2%
and Other	Overseas	-	-	-	-	-	-	-
Prepared Foods
Total	3.3	10.0%	5.0	10.9%	1.7		152.2%
	Domestic	5.1	15.5%	4.8	10.4%	(0.3)		94.4%
Others	Overseas	0.7	2.0%	0.5	1.1%	(0.2)	[0.0]	75.5%
	Total	5.7	17.5%	5.3	11.5%	(0.4)		92.2%
	Domestic	0.1	0.4%	0.1	0.2%	(0.0)		-
Adjustments	Overseas	-	-	-	-	-	-	-
	Total	0.1	0.4%	0.1	0.2%	(0.0)		69.1%
	Domestic	23.0	70.2%	32.3	70.2%	9.3		140.2%
Total	Overseas	9.8	29.8%	13.7	29.8%	3.9	[0.6]	140.0%
	Total	32.8	100.0%	46.0	100.0%	13.2		140.1%

(Billions of yen)

Initial
forecast	Difference
(announced
from initial
in May)	forecast

9.3 3.7

10.3 2.9

1. 6.6

1. (0.8)

1. (0.5)

1. (1.3)

1. 1.7

• -

1. 1.7

4.8 -

0.5 -

5.3 -

0.1 -

• -

0.1 -

27.7 4.6

11.3 2.4

39.0 7.0

Amortization of goodwill, others (After deduction from above)

FY2023	FY2024	Difference from
Forecast
	previous year

Flour Milling	4.5	1.6	(3.0)
Processed Food	0.1	0.0	(0.0)
Prepared Dishes and Other Prepared Foods	1.6	1.6	-
Total	6.2	3.2	(3.0)

Initial

forecast Difference (announced in from initial

May) forecast

1.5 0.1

1. -

1. -

3.1 0.1

• Analysis of Operating Profit Difference from Previous Year

				(Billions of yen)
	Flour Milling	+8.6	 Domestic wheat flour shipment volume	+0.0
			 Sales expansion costs	+1.1
			 Bran prices	+1.0
			・Cost related, others (incl. effect of new consolidation)	+2.9
			 Overseas operating profit	+3.6
	Processed Food	+3.4	 Shipment volume	+0.8
			 Sales expansion costs	+0.7
			 Cost related, others	+1.5
			 Overseas operating profit	+0.4
			(incl. Oriental Yeast, Nisshin Pharma exports)
	Prepared Dishes and Other Prepared Foods	+1.7	 Sales	+1.2
			 Cost related, others	+0.5
	Others	(0.4)	 Sales	(0.1)
			 Cost related, others	(0.3)
	Adjustments	(0.0)	 Intersegment transaction eliminations	(0.0)
	Total	+13.2

6

III. Consolidated Balance Sheets

(Billions of yen)

	As of	As of	Difference	Details of difference from March
	March 31,	September	from March
	31, 2023
	2023	30, 2023	31, 2023
Cash and deposits	83.0	89.5	6.5
Notes and accounts receivable - trade, and	107.9	116.6	8.8
contract assets
Inventories	128.8	121.0	(7.8)
Other	10.4	16.5	6.1
Current assets	330.1	343.7	13.6
Buildings and structures, net	71.1	72.7	1.6
Machinery, equipment and vehicles, net	60.2	63.7	3.5
Land	52.6	53.3	0.6
Other, net	33.5	37.1	3.5
Property, plant and equipment	217.5	226.7	9.2
Goodwill	7.5	6.8	(0.7)
Other	16.2	15.8	(0.3)
Intangible assets	23.7	22.7	(1.0)
Investment securities	124.7	154.1	29.4	Increase due to changes in
market value
Other	18.0	19.3	1.3
Investments and other assets	142.6	173.4	30.7
Non-current assets	383.8	422.7	38.9
Total assets	713.9	766.4	52.6
Notes and accounts payable - trade	74.6	72.8	(1.8)
Short-term loans payable	14.4	9.9	(4.4)
Other	61.3	64.1	2.8
Current liabilities	150.3	146.8	(3.4)
Bonds / Long-term loans payable	33.4	32.7	(0.7)
Lease obligations	37.3	39.1	1.8
Deferred tax liabilities	22.1	30.8	8.7
Other	32.3	32.4	0.1
Non-current liabilities	125.1	134.9	9.8
Total liabilities	275.4	281.7	6.4
Shareholders' equity	344.0	356.2	12.1	Profit 18.4, dividends (6.2)
Valuation difference on available-for-sale	52.0	72.2	20.2	Increase due to changes in
securities	market value
Foreign currency translation adjustment	28.4	41.1	12.7	Increase due to weaker yen in
currency exchange
Other	14.1	15.2	1.2
Total net assets	438.5	484.7	46.2
Total liabilities and net assets	713.9	766.4	52.6

7

IV. Consolidated Statements of Cash Flows

				(Billions of yen)
		FY2023	FY2024	Difference from
		1H	1H	previous year
Profit (loss) before income taxes	(38.8)	25.4	64.1
Depreciation and amortization / Amortization of goodwill	14.7	11.8	(2.9)
Impairment loss	55.8	1.3	(54.6)
Loss (gain) on sale of investment securities	(0.2)	(0.3)	(0.1)
Change in working capital	(25.0)	3.0	28.0
Income taxes paid	(7.4)	(13.0)	(5.6)
Other, net	(1.1)	5.7	6.7
Cash flows from operating activities	(1.8)	33.8	35.6
Purchase of property, plant, and equipment and intangible assets	(8.9)	(13.4)	(4.5)
Proceeds from sale of investment securities	0.4	1.0	0.6
Purchase of shares of subsidiaries resulting in change in scope of consolidation	-	(0.9)	(0.9)
Other, net	1.8	(0.5)	(2.3)
Cash flows from investing activities	(6.7)	(13.8)	(7.1)
Proceeds from/repayment of loans payable	7.8	(6.1)	(13.8)
Cash dividends paid	(6.0)	(6.2)	(0.3)
Other, net	(3.1)	(2.6)	0.4
Cash flows from financing activities	(1.3)	(15.0)	(13.7)
Effect of exchange rate changes on cash and cash equivalents	1.8	1.7	(0.0)
Net increase (decrease) in cash and cash equivalents	(8.0)	6.7	14.8
Cash and cash equivalents	at beginning of period	68.7	83.0	14.2
at end of period	60.7	89.7	29.0

8