Ajinomoto (2802) Investor update summary

Strategic vision and growth roadmap

• Plans to double medical food business sales by FY2030 compared to FY2024, targeting a CAGR of 20% or higher, with a focus on high-growth, high-margin segments leveraging amino science expertise.

• Integrates food and bio-pharmaceutical businesses to maximize synergies in taste, nutrition, and technology, emphasizing "AminoScience".

• Expands into new regions (e.g., Vietnam, EU) and therapeutic areas (e.g., pediatric, oncology nutrition), while enhancing product quality and market penetration.

• Pursues sustainable growth through innovative product development, global network expansion, and capital investments in automation and marketing.

• Maintains a selective approach, targeting winnable areas and leveraging group companies and M&A for international integration.

Business model, competitive strengths, and market positioning

• Medical foods are prescription-based, often reimbursed by insurance, addressing specific diseases or nutritional conditions, with strong positions in North America and Europe.

• Cambrooke leads in ketogenic and low-protein foods, leveraging deep patient community ties, flexible manufacturing, and product innovation.

• Nualtra is the fastest-growing medical nutrition company in the UK and Ireland, driven by innovation, customer intimacy, and a unique sample service.

• Both subsidiaries emphasize strong relationships with healthcare professionals and patient communities, which are difficult for competitors to replicate.

• High barriers to entry exist due to regulatory frameworks, clinical trial requirements, and established practitioner relationships.

Innovation, product development, and synergies

• High-speed development system enables rapid response to market needs, with simultaneous regulatory, marketing, and product design for accelerated commercialization.

• Collaboration between subsidiaries and Ajinomoto enhances R&D, taste technology, and clinical trial execution, supporting new product launches and proprietary amino acid blends.

• Continuous product improvement and expansion into new disease areas and plant-based formulas are central to the growth strategy.

• Synergies include shared best practices, joint market entry, leveraging Ajinomoto’s global resources, and back-office integration for efficiency.

• Focus on direct-to-consumer channels, digital engagement, and education to drive patient acquisition and compliance.