ESG Information Masao Okawa - Managing Director HORIBA, Ltd - SMBC Nikko - Japan Series ESG Conference London

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ESG Information Masao Okawa - Managing Director HORIBA, Ltd - SMBC Nikko - Japan Series ESG Conference London
SMBC Nikko – Japan Series ESG Conference London

ESG Information
Masao Okawa
Managing Director
HORIBA, Ltd.
                                                                                    October, 2021
      © 2021 HORIBA, Ltd. All rights reserved.
ESG Information Masao Okawa - Managing Director HORIBA, Ltd - SMBC Nikko - Japan Series ESG Conference London
Corporate Motto “Joy and Fun”

                                                 If we take on new challenges and have
                                                 pride in the work that occupies most of
                                                 the active time in our lives, in the place
                                                 where we spend a large part of each
                                                 day, then the result will be a more
                                                 fulfilling life, and we will be able to
                                                 enjoy our lives even more. Taking on
                                                 new challenges and having pride in our
                                                 work leads us to “Joy and Fun.”
 The founder
 Dr. Masao Horiba

      © 2021 HORIBA, Ltd. All rights reserved.                                                2
ESG Information Masao Okawa - Managing Director HORIBA, Ltd - SMBC Nikko - Japan Series ESG Conference London
HORIBA’s Management Policy
                                                  Corporate Motto
                                                   “Joy and Fun”
     HORIBA Corporate Philosophy                                             Code of Ethics

       HORIBA’s mission in society                              Guide to conduct business honestly
                                                                           with integrity
                                            
 ✓Business operations                                          ✓Good corporate citizen
 ✓Customer responsiveness                                      ✓Excellent products and services
                                                               ✓Sound and normal relationships with governments
 ✓Responsibility to shareholders and investors
                                                               ✓Rewarding and comfortable workplace
 ✓Employees                                                    ✓Respect for human rights
                                                               ✓Disclose information appropriately
                                                               ✓Environmental issues
                                                               ✓Enforce crisis control
       © 2021 HORIBA, Ltd. All rights reserved.                                                                   3
ESG Information Masao Okawa - Managing Director HORIBA, Ltd - SMBC Nikko - Japan Series ESG Conference London
Omoi: Five Pillars to Phrase the HORIBA Way
✓ We encourage our employees to have the following “Omoi,” which is the essence
  of acting on “Joy and Fun” through their work

  • To be a part of a collaborative community, at the
    forefront of new ideas and creations.
  • To achieve goals and make life memorable by
    fostering the highest intellectual potential.
  • To reach across the globe to expand learning that
    captures key business developments, wherever they
    occur.
  • To be proud of sharing what I do and what HORIBA    The Japanese word “omoi” is
    delivers.                                            used to share HORIBA way
  • To be helpful to the world and its people.            among global employees.

       © 2021 HORIBA, Ltd. All rights reserved.                                       4
ESG Information Masao Okawa - Managing Director HORIBA, Ltd - SMBC Nikko - Japan Series ESG Conference London
Governance Structure
  ✓ HORIBA has adopted the governance structure
    “Corporation with Audit and Supervisory Board”

                             Corporation with Audit and Supervisory Board

   ✓ Japanese unique governance structure which consists of Shareholders
     Meeting, Board of Directors and Audit and Supervisory Board
   ✓ Audit and Supervisory Board audits Board of Directors
   ✓ Audit and Supervisory Board members are appointed at a General
     Shareholders Meeting and their term of office is four years
   ✓ More than half of its members must be from outside the company

     © 2021 HORIBA, Ltd. All rights reserved.                               5
ESG Information Masao Okawa - Managing Director HORIBA, Ltd - SMBC Nikko - Japan Series ESG Conference London
Management Members
 Board of
 Directors

                                            Juichi Saito      Atsushi Horiba           Masayuki Adachi              Non-executive and
                                          Executive Vice       Chairman &              (Doctor of Engineering)    Independent Directors
                                      Chairman & Group COO     Group CEO                    President

  Masao Okawa                           Takashi Nagano       Sawako Takeuchi           Haruyuki Toyama              Fumihiko Matsuda
                                                             (Doctor of Engineering,                                 (Doctor of Medicine)
 Managing Director                         Director           Doctor of Economics)

   Audit &
 Supervisory
   Board                                                                                                         Outside and Independent
                                                                                                                         Auditors

                                      Atsushi Nakamine         Keiji Yamada              Tomoko Tanabe
        © 2021 HORIBA, Ltd. All rights reserved.                                                                                            6
                                       Standing Auditor
ESG Information Masao Okawa - Managing Director HORIBA, Ltd - SMBC Nikko - Japan Series ESG Conference London
HORIBA’s Contribution to Social and Environmental Issues
◼ Utilizing our analytical and
  measurement technology,
  we contribute to solving issues
  to maintain the environment
  and society healthy

        © 2021 HORIBA, Ltd. All rights reserved.           7
ESG Information Masao Okawa - Managing Director HORIBA, Ltd - SMBC Nikko - Japan Series ESG Conference London
MLMAP2023 - HORIBA’s Contribution to Social Issues
                                                   Mid-Long Term Management Plan ”MLMAP2023”
                                                         1. Market Oriented Business
✓ To develop analysis and measurement solutions, utilizing HORIBA’s
  core technologies, in the leading three business fields of the mega trend
          Energy &                                      Bio &         Materials &
         Environment                                  Healthcare     Semiconductor
                                                      Three Fields

                           2. Solution Provider Beyond Life Cycle Management
✓ To support customers’ core businesses from all aspects – from product
  introduction to replacement

          3. HORIBA Core Values “The Next Stage of Super Dream Team”
✓ To enhance the organizational structure that fosters resilient human
  resources, which are the driving force of all business operations
        © 2021 HORIBA, Ltd. All rights reserved.                                               8
ESG Information Masao Okawa - Managing Director HORIBA, Ltd - SMBC Nikko - Japan Series ESG Conference London
MLMAP2023
Vehicle Electrification and HORIBA                                                                                        Market Oriented Business
                                                                                                                                   Energy & Environment

Provide Total Solution for the Vehicle Development – from Internal Combustion Engine to Electrification
                                                                                                      R&D Technology requirement
                                           Vehicle type                  Powertrain
                                                                                        Vehicle       Drivetrain        Engine          Batty/Fuel cell
                 (ICE)      Internal Combustion Engine Vehicle   Engine                     ✔              ✔               ✔
                 (HEV) Hybrid Electric Vehicle                   Engine + Motor             ✔              ✔               ✔                  ✔
                 (PHEV) Plug-in Hybrid Electric Vehicle          Motor + Engine             ✔              ✔               ✔                  ✔
Electrified
 Vehicle         (FCEV) Fuel Cell Electric Vehicle               Motor                      ✔              ✔                                  ✔
                 (BEV) Battery Electric vehicle                  Motor                      ✔              ✔                                  ✔

                                         Vehicle                    Drivetrain                    Engine                       Battery/Fuel Cell

Measurement
  Analyzer

   Testing
 Procedures

 Engineering

                                                                    HORIBA's Technologies
               © 2021 HORIBA, Ltd. All rights reserved.                                                                                                   9
ESG Information Masao Okawa - Managing Director HORIBA, Ltd - SMBC Nikko - Japan Series ESG Conference London
MLMAP2023
Hydrogen Energy Society and HORIBA                                                                                                     Market Oriented Business
                                                                                                                                                 Energy & Environment

  Hydrogen Energy: "Clean," "Storable and Transportable," and "Inexhaustible"
                                                             Hydrogen Smartly
        ✓ Production                                              ✓ Storage                                                       ✓ Use

   Water Electrolysis Cell                                   Hydrogen Embrittlement                                Evaluation of performance
  Performance Evaluation                                           Evaluation                                 efficiency of water electrolysis cell

   A wide range of coverage                                           Please see the link to the website for other products (Japanese only).
   from demonstration experiments to practical use                    https://www.horiba.com/jp/corporate-news/events/horiba-showcase/wsew/2020/corner/fc-expo/

                                                 Established the Hydrogen Energy Project
      © 2021 HORIBA, Ltd. All rights reserved.                                                                                                                    10
Business Expansion                                                                                                                             MLMAP2023
                                                                                                                                  Market Oriented Business
in the Pharmaceutical Industry                                                                                                                  Bio & Healthcare

               Contribution in a Wide Range, from R&D to Production Processes
                                                                                                                           Highly-sensitive and rapid microbial
               Pharmaceutical process evaluation                               Analysis of exosomes1 in blood
                                                                                                                                contamination inspection

                                                                                Nanoparticle Measurement                           Microbial Rapid
                          Process Raman System                                        Instrument                                  Inspection Device

                                                    Analytical Probe &
                                                    Microscopic Raman
                                                                                                            ViewsizerTM
                                                                                                            3000

                                                                                                                                                         Rapica
                                                                               1: Exosomes: Granular materials, diameter
 Probe                                                                             50-150nm, secreted by various cells

                                                                                                                            Quantitative analysis of medicinal
                                                                               Inspection for vaccine shipping                   ingredients in tablets

                                                                                                                                Transmission Raman
                                   Probe                                           Fluorescence Analyzer
                                                                                                                                   Spectrometer
 Probe
                                                     ✓ Reactor monitoring in
                                                       the pharmaceutical
                                                       manufacturing process
         Bioreactor
                                                                                                               Aqualog

         © 2021 HORIBA, Ltd. All rights reserved.                                                                                                             11
High value-added solutions for                                                                                                   MLMAP2023
                                                                                                                    Market Oriented Business
semiconductor manufacturing processes                                                                                     Materials & Semiconductor

          Various applications that contribute to semiconductor manufacturing

 Driving Growth in the Semi Market                                                    Development of Sensing Technologies
      Mass Flow Controllers                                                          Optical Smart Sensing Technology (OSS)

                      ✓ Perform precise control                                                                  Particle detection systems
                        of gas and liquid supply
                                                                                                     PR-PD3EP
                        lines in semiconductor                          Creating a                   High-accuracy detection of
                        manufacturing processes
                                                                           third                     foreign substances on EUV-
   60% of Global Market share*                                                                       process pellicles
                                                                       cornerstone
 Chemical Concentration Monitors                                          of the       Process gas
                                                                                                     End-point monitors
                                                                                                                              X-ray Fluorescence
                                                                                        monitors                                   Analyzers
                      ✓ Measure concentrations of                       business
                        chemicals used in
                        processes and in cleaning
                        in semiconductor
                        manufacturing
   80% of Global Market share*
       © 2021 HORIBA, Ltd. All rights reserved.   *HORIBA’s estimate                                                                           12
Participation in the HAYABUSA2                                                                                                                                         MLMAP2023
                                                                                                                                                           Solution Provider Beyond
 Sample Analysis Project                                                                                                                                     Life Cycle Management

                                                               HORIBA's core technology for the future

                                                                     ✓ Implemented non-destructive, non-                          Analytical Solution Plaza has been
                                                                       contact analysis of elements contained                  established to broaden service business
                                                                       in samples of asteroid Ryugu
                                                                     ✓ HORIBA Techno Service, which
                                                                       specializes in high-precision
                                                                       microanalysis, participates
(Illustrated by Akihiro
Ikeshita)

                                                                          Analyzing the sample with our X-ray fluorescence
                                                                          analyzer

                                                                                                                                                                 Established in a new
 Development of
                                                                                                                                                                 building of HORIBA
   a container
                                                                                                                                                                 Techno Service
 (cell) dedicated
  to samples of
    Ryugu to
     perform
    advanced
                                                                                                                             ✓ A new "place" for exchange analysis
      sample                                                                                                                 ✓ Providing analytical technology through contracted
     handling                                                                                                                  analysis and joint research by analytical engineers

                                                Results of the analysis to be announced by JAXA in December 2021. Check it up!
                          © 2021 HORIBA, Ltd. All rights reserved.                                                                                                                      13
MLMAP2023

Variety of People-Oriented Measures                                                                      HORIBA Core Values
                                                                                       “The Next Stage of Super Dream Team”

               BlackJack Project                             HORIBA Stained Glass Project

 • Original business improvement activities aimed at         • Started with the mission to create new value on an
   changing employee awareness and actions.                    ongoing basis by allowing various personalities and
                                                               talents to shine.
 • An internal world cup competition is held every year to
   select the grand prize from the themes represented by     • HORIBA is awarded Nadeshiko Brands Stock Selection
   region.                                                     Program by METI and Tokyo Stock Exchange

        © 2021 HORIBA, Ltd. All rights reserved.                                                                       14
Published “HORIBA Report 2020-2021” (Eng. ver.)
   An Integrated Report that conveys HORIBA's "diversity" and “uniqueness"!

                                                https://static.horiba.com/fileadmin/Horiba/Company/Investor_Relations/IR_Library
                                                /HORIBA_Report/20210812_HR_en_01.pdf
     © 2021 HORIBA, Ltd. All rights reserved.                                                                                 15
© 2021 HORIBA, Ltd. All rights reserved.   16
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