Medium-Term Business Plan (1)

Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

November 4, 2021

For Immediate Release

Company Name: YUKIGUNI MAITAKE CO., LTD.

Representative: Iwao Ashikaga, President and CEO,

Representative Director

(Tokyo Stock Exchange, First Section:1375)

Inquiries: Takenori Sakurai, Executive Officer

(Chief Financial Officer)

Tel: [phone]

Medium-Term Business Plan for FYE March 2022 to FYE March 2026

Yukiguni Maitake Co., Ltd. (the "Company") has formulated its medium-term business plan for the period from

fiscal year ending March 31, 2022 to fiscal year ending March 31, 2026, as outlined below.

1. Outline of the Medium-Term Business Plan (FYE March 2022 to FYE March 2026)

We have formulated this medium-term business plan with the aim of continuing to grow globally as a

comprehensive manufacturer of premium mushrooms, while appropriately responding to changes in the

business environment and creating demand in the domestic market.

2. Background and Reasons for Brushing Up the Current Medium-Term Business Plan (FYE March 2020 to FYE March 2023)

• In the fiscal year ended March 2021, we achieved the numerical targets of the current medium-term business plan (annual average growth rate of around 7%).
• In order to appropriately respond to changes in the business environment and evolve into a comprehensive manufacturer of premium mushrooms with global operations, we will brush up our strategies and concentrate resources on priority fields.
• In order to capture the relatively high growth of the overseas mushroom market and raise the Company's medium- to long-term growth, we will begin full-scale global expansion, but a medium- to long-term time frame is necessary to achieve certain results.

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3. Basic Policies for the Medium-Term Business Plan (FYE March 2022 to FYE March2026) Create Further Demand in the Domestic Mushroom Market and Evolve into a Comprehensive Premium Mushroom Manufacturer with Global Operations

A. Domestic Mushroom Market: New Value Creation

• The regional and age gaps in the consumption of Maitake will be seen as new sales opportunities. And, by actively disseminating information and improving the convenience of cooking, we aim to raise the level of domestic consumption.
• Strengthen the Button Mushroom business, which is a global standard and for which demand is expected to grow further, and move on to a new stage as a comprehensive manufacturer of premium mushrooms.

B. Technological Development: Cost Reduction through Innovative Production Technology

• Improve profitability by evolving into a highly efficient factory using the latest factory automation technology.
• Strive to maximize energy efficiency and reduce environmental impact.

1. Global Expansion: Build an In-House Foundation for Production and Sales, and Explore Business Opportunities in Mushroom-Related Fields

• Expand the consumption of mushrooms, a natural foodstuff, to meet the global health consciousness.
• Build an in-house production and sales infrastructure overseas.
• Search for business opportunities in the area surrounding mushrooms (upstream to downstream).

4. Quantitative Targets (Consolidated Basis)

Item	Target for FYE March 31, 2026
Revenue	Around ¥60.0 billion
Overseas Revenue Ratio	Around 30%
Core EBITDA Margin 1	Around 20%
ROIC	Around 10%

1 Core EBITDA Margin = Core EBITDA / Revenue

Core EBITDA: IFRS operating income excluding the effect of applying IAS 41 "Agriculture", other income and expenses, and one-time income and expenses, plus depreciation and amortization

For details, please refer to the explanatory materials for the medium-term business plan for FYE March 2022 to FYE March 2026.

The quantitative targets of the Group are as shown above, but each figure is based on reasonable judgments based on currently predictable information, etc., and is not a guarantee of achievement.

(end)

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