Kuraray Full-Year Report 2022

Overview of Consolidated Business Results

In the fiscal year ended December 31, 2022 (“fiscal 2022”), the world economy continued to gradually recover as restrictions on economic activities were eased. However, the future remained unforeseeable as signs of economic deceleration appeared in the latter half of the year due in part to a rise in interest rates in various countries amid rapid inflation and the prolonged Russia-Ukraine crisis.

Amid these circumstances, the Group worked to tackle the three challenges outlined in the medium- term management plan “PASSION 2026,” which was launched at the beginning of the year: 1) Sustainability as an opportunity, 2) Innovations starting from networking, and 3) Transformation of people and organization. In addition, we revised the prices of products that were affected by soaring raw material and fuel costs while focusing on ensuring a steady supply of high value-added products by levering the global network we have constructed.

Consequently, consolidated operating results for fiscal 2022 are as follows: net sales were ¥756,376 million (¥629,370 million in the previous fiscal year); operating income was ¥87,139 million (¥72,256 million in the previous fiscal year); ordinary income was ¥84,060 million (¥68,756 million in the previous fiscal year); and net income attributable to owners of the parent was ¥54,307 million (¥37,262 million in the previous fiscal year). Furthermore, we recorded an extraordinary loss of ¥5,785 million as costs related to the suspension of operations due mainly to the suspension of some production facilities at a U.S. subsidiary.