1H2016

Financial Results

Presentation

This presentation has been reviewed by the Company’s sponsor, CIMB Bank Berhad,

Singapore Branch (“Sponsor”) for compliance with the Singapore Exchange Securities

Trading Limited (“SGX-ST”) Listing Manual Section B: Rules of Catalist. The Sponsor has

not independently verified the contents of this presentation. This presentation has not

been examined or approved by the SGX-ST. The Sponsor and the SGX-ST assume no

responsibility for the contents of this presentation, including the correctness of any of the

statements or opinions made or reports contained in this presentation. The contact person

for the Sponsor is Ms Tan Cher Ting, Director, Investment Banking, CIMB Bank Berhad,

Singapore Branch, at 50 Raffles Place, #09-01 Singapore Land Tower, Singapore 048623,

Telephone: +65 6337 5115.

Important Notice

2

DISCLAIMER

This presentation is prepared for information purposes only, without regard to the objectives, financial situation nor needs of any

specific person. This presentation does not constitute, or form any part of any offer for sale or subscription of, or solicitation of any

offer to buy or subscribe for, any securities nor shall it or any part of it form the basis of, or be relied on in connection with, any

contract or commitment whatsoever.

This presentation was prepared exclusively for the parties presently being invited for the purposes of discussion. Neither this

presentation nor any of its content may be distributed, reproduced, or used without the prior written consent of Japan Foods

Holding Ltd. (“Japan Foods” or the “Company”). The Company does not make any representation or warranty, expressed or

implied, as to the accuracy of the information contained herein, and expressly disclaims any and all liability based, in whole or in

part, on such information, errors therein or omissions therefrom.

FORWARD-LOOKING STATEMENTS

This presentation contains certain forward-looking statements with respect to the financial condition, results of operations and

business of the Company and its subsidiaries and certain of the plans and objectives of the management of the Company and its

subsidiaries. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause

the actual results or performance of the Company and its subsidiaries to be materially different from any future results or

performance expressed or implied by such forward-looking statements. Such forward-looking statements were made based on

assumptions regarding the present and future business strategies of the Company and its subsidiaries and the political and

economic environment in which the Company and its subsidiaries will operate in the future. Reliance should not be placed on

these forward-looking statements, which reflect the view of the management of the Company and its subsidiaries as of the date of

this presentation only.

CONFIDENTIALITY

This presentation is given to you on a confidential basis and solely for your information and must not be reproduced, disclosed,

distributed or passed to any other person. No copy of this presentation shall be taken or transmitted to any country where

distribution or dissemination of this presentation is prohibited. By accepting this presentation, you agree to be bound by the

limitations and restrictions set out herein.

Overview of 1H2016

1H2016 Highlights

4

Revenue

S$31.7 million

Gross Profit

S$26.6 million

Net Profit

S$2.4 million

Interim Dividend

0.75 cents per ordinary

share

Optimising resources to drive

sales performanceExpanded overseas network

Key Developments in 1H2016

5

Continued to look for opportunities to expand our

new brands “Osaka Ohsho¹” and “Kazokutei”

Opened 1 more “Osaka Ohsho” restaurant

and 1 more “Kazokutei” restaurant bringing

the total outlets under these brands to 7 and

3 outlets respectively

¹includes two brand extensions – 1 “Gyoza Bo” branded

restaurant and 1 “Kotsujiru Nabe” branded restaurant

“Hanamidori” - In May 2015, the Group launched

“Hanamidori” with the first restaurant in Plaza

Singapura

Brand is renowned in Hakata, Kyushu for

serving an all-chicken menu and Mizutaki – a

specialty chicken broth hot pot

Recent franchised brands

24 restaurants as at 30 September 2015 from 19

restaurants as at 30 September 2014. Increase

driven by the Group’s:

Associated companies opening 4

restaurants under the “Menya Musashi”

brand in Hong Kong and China

Sub-franchisee opening 1 restaurant under

the “Ajisen Ramen” brand in Vietnam

Employed strategy of good restaurant portfolio

management by swapping under-performing

brands for more popular ones in order to drive

higher sales across all locations

Continued efforts to control raw materials costs

and usage as well as engage in strategic menu

pricing

Increased central kitchen capacity

Newer brands continue to

gain momentum

Our Brand Portfolio

6

Fruit Paradise

HanamidoriAjisen Ramen Boteyju Boteyju San Keika Ramen

Kazokutei Menzo ButaoMenya Musashi Osaka Ohsho Yonehachi

10 Franchise Brands from Japan

3 Self-Developed Brands

7

Our Network As at 30 September 2015

The Group, together with its sub-

franchisees, operates a total of 54

restaurants and food court outlet

under various brands in Singapore,

Malaysia and Vietnam. It also has

interests in 15 restaurants in Hong

Kong and China through

associated companies.

Singapore

Malaysia

Hong Kong

Vietnam

China

45 Self-operated restaurants

& food court outlet

9 Restaurants operated by

sub-franchisees

15 Restaurants through

associated companies

Updates on our Singapore Network

8

Self-Operated

Restaurants

Updates No. of

Restaurants

As at 30 Sep 2015

No. of

Restaurants

As at 30 Sep 2014

Ajisen Ramen • Closed Jurong Point restaurant in November 2014

• Closed Compass Point restaurant in September 2015

16 18

Botejyu San • Unchanged 1 1

Fruit Paradise • Closed Raffles City restaurant in August 2015 4 5

Hanamidori • Opened Plaza Singapura restaurant in May 2015 1 -

Japanese

Gourmet Town

• Unchanged 1 1

Kazokutei • Opened Plaza Singapura restaurant in May 2015 3 2

Keika Ramen • Opened Hougang Mall restaurant in February 2015 1 -

Menya Musashi • Closed Ion Orchard restaurant in August 2015 8 9

Menzo Butao • Unchanged 1 1

Osaka Ohsho • Opened East Point Mall restaurant in December 2014 7 6

Yonehachi • Unchanged 1 1

TOTAL 44 44

Food Court

Outlets

Updates No. of Outlets

As at 30 Sep 2015

No. of Outlets

As at 30 Sep 2014

Ajisen Ramen • Unchanged 1 1

Updates on our Overseas Network

9

Restaurants Updates No. of Outlets

As at 30

September 2015

No. of Outlets

As at 30

September 2014

Ajisen Ramen1 Unchanged

Opened 1 restaurant in Ho Chi Minh City, Vietnam

6 in Malaysia

3 in Vietnam

6 in Malaysia

2 in Vietnam

Menya Musashi2 Opened 2 restaurants in various locations in Hong

Kong

Opened 2 restaurants in China – 1 in Shanghai

and 1 in Beijing

10 in Hong Kong

5 in China

8 in Hong Kong

3 in China

TOTAL 24 19

1 operated by sub-franchisees2 interests in restaurants through associated companies

1H2016

Financial Highlights

Financial Highlights

11

S$’ m (6 months ended 30 September) 1H2016 1H2015 Change (%)

Revenue 31.7 31.2 1.6

Gross Profit 26.6 25.7 3.5

Gross Profit Margin (%) 83.9 82.4 1.5 pts

EBIT 2.6 1.9 35.5

EBIT margin (%) 8.2 6.1 2.1 pts

EBITDA 5.3 4.2 26.2

EBITDA margin (%) 16.7 13.5 3.2 pts

Net Profit After Tax (NPAT) 2.4 1.8 33.1

NPAT Margin (%) 7.6 5.8 1.8 pts

Earnings Per Share (S’pore cents) 1.38 1.04 32.7

Return on Equity (%) 7.7 6.2 1.5 pts

Revenue

12

S$’ mCAGR : 5.6% YoY : 1.6%

50.4

56.1

61.362.8 62.7

31.2 31.7

0

10

20

30

40

50

60

70

FY2011 FY2012 FY2013 FY2014 FY2015 1H2015 1H2016

14.1

6.4

1.5

2.2

1.0 0.2

3.7

2.0

0.1

13.6

6.2

1.8 1.71.4

0.4

4.2

2.3 *

0.10.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

Ajisen Ramen Menya Musashi Kazokutei Fruit Paradise JapaneseGourmet Town

Botejyu Osaka Ohsho Others Sub Franchise

1H2015 1H2016

Revenue Mix by Brands

13

S$’ m

* Includes revenue contribution by Keika Ramen and Hanamidori, which opened in February 2015 and May 2015 respectively.

Revenue Breakdown

14

* Includes revenue contribution by Keika Ramen and Hanamidori,

which opened in February 2015 and May 2015 respectively.

Ajisen Ramen, 42.9%

Kazokutei, 5.7%

Menya Musashi, 19.7%

Boteyju, 1.2%

Osaka Ohsho, 13.4%

Others*, 7.3%

Japanese Gourmet Town,

4.4%

Fruit Paradise, 5.3%

Sub-Franchise, 0.1%

1H2016

Ajisen Ramen, 45.2%

Kazokutei, 4.9%

Menya Musashi, 20.4%

Boteyju, 0.8%

Osaka Ohsho, 11.9%

Others, 6.0%

Japanese Gourmet Town,

3.3%

Fruit Paradise, 7.1%

Sub-Franchise, 0.4%

1H2015

39.1 43.9

49.1 51.2 52.3

25.7 26.6

77.5% 78.3%80.1% 81.6%

83.4% 82.4%83.9%

0%

50%

100%

0

20

40

60

FY2011 FY2012 FY2013 FY2014 FY2015 1H2015 1H2016

Gross Profit and Gross Profit Margin

15

S$’ m

CAGR : 7.5% YoY : 3.5%

Net Profit

16

S$’ m

2.5

3.7

6.4

7.3

4.7

1.82.4

0

1

2

3

4

5

6

7

FY2011 FY2012 FY2013 FY2014 FY2015 1H2015 1H2016

CAGR : 17.1% YoY : 33.1%

Cash Flow

S$ ’m

Six months

ended 30 Sep

2015

Six months

ended 30 Sep

2014

Change (%)

Net cash provided by operating activities 5.5 4.3 27.9

Net cash used in investing activities (1.4) (5.0) 72.0

Net cash used in financing activities (2.3) (2.7) 14.8

Net increase in cash and cash equivalents 1.8 (3.3) NM

Cash and cash equivalents at beginning of

financial year14.2 16.8 15.5

Cash and cash equivalents at end of financial year 16.0 13.4 19.4

17

Key Financial Ratios

18

As at 30 Sep

2015

As at 31 Mar

2015Change (%)

Cash and cash equivalents (S$’m) 17.8 15.9 11.9

Total assets (S$’m) 39.3 38.2 2.9

Total equity (S$’m) 31.0 30.6 1.3

Net cash ratio (%) 57.4 52.0 5.4pts

Net asset value per share (S’pore cents) (1) 17.76 17.57 1.08

Net cash per share (S’pore cents) (1) 10.1 9.1 11.0

(1) Computed based on 174,436,000 shares as at 30 September 2015 and 174,006,000 shares as at 31 March 2015.

Interim Dividend

19

Name of dividend Interim

Dividend type Cash

Dividend amount per share (Singapore

cents)

0.75 cents per ordinary share

Tax rate Tax exempt (one-tier)

Date payable 9 December 2015

Investment

Highlights

Four-Pronged Strategy

21

Development of New Concepts

Launch new franchised and self-developed brands

Overseas Expansion

Via strategic investments such as

acquisitions, joint ventures or through a

franchise / sub-franchise model

Cost & Quality Control

Via central kitchen, bulk purchase and economies of scale

Network Expansion &

Consolidation

Grow network prudently and close/convert

underperforming outlets

Four-Pronged Strategy

Investment Highlights

22

Established market presence and brand recognition

Continuously innovating and introducing new quality cuisine

Scalable business model in Singapore. Intends to seek opportunities to expand its presence in the ASEAN region

Target annual dividend payout ratio of not less than 40%

5-Year Dividend History & Current

23

0.40 0.35

0.901.10

0.73 0.75 0.73

0.400.70

1.001.00

1.27

0.600.50

30.0% 31.0%

45.0%53.2%

73.5%

54.6%

70.0%

0%

20%

40%

60%

80%

0.00

0.50

1.00

1.50

2.00

2.50

3.00

FY2011 FY2012 FY2013 FY2014 FY2015 1H2016 1H2015

Interim Final Special Payout Ratio

Dividend Per Share

(Singapore cents)Dividend Payout

Ratio (%)

Exploring Regional Opportunities

24

The Group will also seek opportunities to

expand its presence in the ASEAN region

by way of joint ventures, acquisitions

and/or sub-franchising of its brands.

Thank You