Results Presentationfor the Year Ended March 31, 2014

Kurita Water Industries Ltd.

May 2, 2014

(Stock code: 6370)

I

II

III

Consolidated Financial Results for the Fiscal Year Ended March 31, 2014

Consolidated Business Plan for the Fiscal Year Ending March 31, 2015

Key Initiatives

Reference Material

I. Consolidated Financial Results for the Fiscal Year Ended March 31, 2014

1.

2.

3.

4.

5.

6.

Financial Highlights

Orders, Sales, Operating Income, and Operating Income Margin

Water Treatment Chemicals

Water Treatment Facilities (for the electronics industry)

Water Treatment Facilities (for general industries)

Financial Condition

1

Fiscal Year toMarch 2013

Actual

Fiscal Year toMarch 2014

ActualYear-on-Year

ChangeRevised

ProjectionsInitial

Projections

Orders 186.7 173.5 - 7.1% 181.0 197.0

Net Sales 180.1 178.1 - 1.1% 176.0 191.0

Operating Income 21.0 14.9 - 29.1% 15.0 23.5

Ordinary Income 22.0 16.1 - 27.1% 15.8 24.0

Net Income 11.5 9.4 - 18.5% 9.0 14.0

(Billions of Yen)

2

130.7 114.0

56.0 59.4

186.7 173.5

0

100

200

03/2013 03/2014

(Billions of Yen)

14.9 13.5

10.2

5.8

11.7

8.4

4

10

16

03/2013 03/2014

(%)

181.0

122.5

58.5

124.1 119.3

56.1 58.8

180.1 178.1

0

100

200

03/2013 03/2014

(Billions of Yen)

176.0

118.0

58.0

12.6 6.9

8.3

8.0

21.0

14.9

0

11

22

03/2013 03/2014

(Billions of Yen)

15.0

6.7

8.3

5.7

8.5

Operating Income MarginOperating Income

SalesOrders

Water treatment chemicals Water treatment facilities Total * denotes revised projections

14.3

3

8.3 8.0

14.9 13.5

0

9

18

0

5

10

03/2013 03/2014

(Billions of Yen) (%)

8.356.0 59.4

0

30

60

03/2013 03/2014

(Billions of Yen)

58.5

* denotes revised projections

14.3

Orders Sales Operating Income andOperating Income Margin

[Major areas of change in Orders / Sales] Japan: Delayed recovery in customers’ capacity utilization in the first half (-) Overseas: Growth primarily in Asia (+)

[Major determinants of change] Impact of increase in revenue (+) Increase in SG&A expenses (-)

56.1 58.8

0

30

60

03/2013 03/2014

(Billions of Yen)

58.0

Operating incomeOperating income margin

* denotes revised projections

* denotes revised projections

4

11.5 7.8

15.7

10.9

0

10

20

0

7

14

03/2013 03/2014

7.4

75.4 65.2

0

40

80

03/2013 03/2014

70.8

10.6

[Major determinants of change] Deterioration of cost of sales ratio (-) Impact of decline in revenue (-) Increase in SG&A expenses (-)

73.3 71.0

0

40

80

03/2013 03/2014

70.2

[Major areas of change in Orders / Sales] Decline in hardware overseas (-) Decrease in ultrapure water supply business (-) Increase in maintenance services overseas (+)

Orders Sales Operating Income andOperating Income Margin

* denotes revised projections * denotes revised projections Operating incomeOperating income margin

* denotes revised projections

(Billions of Yen) (%)(Billions of Yen) (Billions of Yen)

5

1.1

-0.8

2.2

-1.7 -3

0

3

-1.2

0

1.2

03/2013 03/2014

-0.755.3 48.9

0

30

60

03/2013 03/2014

51.7

1.6

50.7 48.3

0

30

60

03/2013 03/2014

47.8

[Major determinants of change] Deterioration of cost of sales ratio (-) Impact of decline in revenue (-)

[Major areas of change] Decrease in hardware for general

industries (-) Decrease in maintenance

services for general industries (-)

Operating incomeOperating income margin

* denotes revised projections

[Major areas of change] Decrease in hardware for

electric power industry (-)

(Billions of Yen) (%)(Billions of Yen) (Billions of Yen)

* denotes revised projections

Orders Sales Operating Income andOperating Income Margin

* denotes revised projections

Cash, deposits and

marketable securities

Other current assets

Tangible fixed assets

Other fixed assets

Liabilities

Net assets

6

29.9 34.6

86.8 77.9

69.8 67.2

77.0 95.3

263.6 274.9

209.1 219.2

54.5 55.8

263.6 274.9

(+ 4.7)

(- 9.0)

(- 2.7)

(+ 18.3)

(+ 10.0)

(+ 1.3)

Mar. 31, 2013 Mar. 31, 2014 Mar. 31, 2013 Mar. 31, 2014

Liabilities and Net AssetsAssets

(Billions of Yen) (Billions of Yen)

II. Consolidated Business Plan for the Fiscal Year Ending March 31, 2015

1.2.3.4.5.6.7.8.9.

10.11.

Business Environment and Key AssumptionsOverviewOrders, Sales, Operating Income, and Operating Income MarginWater Treatment ChemicalsWater Treatment Facilities (for the electronics industry)Water Treatment Facilities (for general industries)Service Business RevenueOverseas Businesses (sales by region and business)Ultrapure Water Supply BusinessCapital Expenditures, Depreciation, and R&D ExpensesDividend Policy

Capacity utilization at customers is on a recovery trend.

Recovery in capital expenditure is slow.7

-10

5

20

60

80

100

03/2012 03/2013 03/2014

(%)

Index of industrial production

Domestic sales of chemicals

(Year-on-year change)

Index of industrial production

(Year-on-year change)

(Seasonally adjusted index; 2010 = 100)

Japan Overseas

Demand for water treatment for reuse of wastewater and other uses is increasing

against a backdrop of water shortages and the tightening of regulations worldwide.

Capital expenditure in the electronics industry in East Asia varies depending on products

and customers.

Despite concern over a slowdown in economic growth in Southeast Asia and other emerging economies, demand for energy and food will continue to increase due to rises in

population, and the construction of auto parts, steel sheet, and chemical plants will continue

as GDP grows.

8

Fiscal Year toMarch 2014

Actual

Fiscal Year toMarch 2015Projection

Year-on-Year Change

Orders 173.5 189.0 + 9.0%

Net Sales 178.1 185.0 + 3.9%

Operating Income 14.9 17.0 + 14.2%

Ordinary Income 16.1 17.8 + 10.8%

Net Income 9.4 11.0 + 17.6%

(Billions of Yen)

9

114.0 128.0

59.4 61.0 173.5 189.0

0

100

200(Billions of Yen)

13.5 14.4

5.8 6.6 8.4 9.2

4

10

16

03/2014Actual

03/2015Projection

(%)

119.3 124.1

58.8 60.9

178.1 185.0

0

100

200(Billions of Yen)

6.9 8.2

8.0 8.8

14.9 17.0

0

10

20

03/2014Actual

03/2015Projection

(Billions of Yen)Operating Income

SalesOrders

Water treatment chemicals Water treatment facilities Total

03/2014 03/2015Actual Projection

03/2014 03/2015Actual Projection

Operating Income Margin

10

8.0 8.8

13.5 14.4

0

9

18

0

5

10

03/2014 Actual

03/2015 Projection

59.4 61.0

0

35

70

03/2014 Actual

03/2015 Projection

[Major determinants of change] Impact of increase in revenue (+) Improvement in cost of sales ratio (+) Increase in SG&A expenses (-)

58.8 60.9

0

35

70

03/2014 Actual

03/2015 Projection

[Major areas of change in Orders / Sales] Japan: Recovery primarily in core products (+) Overseas: Continued growth particularly in Asia (+)

(Billions of Yen) (%)(Billions of Yen)

Orders Sales Operating Income andOperating Income Margin

(Billions of Yen)

Operating incomeOperating income margin

11

7.8 8.2

10.9 11.2

0

7

14

0

5

10

03/2014 Actual

03/2015 Projection

65.2 72.9

0

40

80

03/2014 Actual

03/2015 Projection

[Major determinants of change] Impact of increase in revenue (+) Improvement in cost of sales ratio (+)

71.0 73.1

0

40

80

03/2014 Actual

03/2015 Projection

[Major areas of change] Increase in hardware overseas (+) Decrease in hardware in Japan (-)

[Major areas of change] Increase in hardware overseas (+) Increase in maintenance services

overseas (+) Decrease in hardware in Japan (-)

(Billions of Yen) (%)(Billions of Yen)

Orders Sales Operating Income andOperating Income Margin

(Billions of Yen)

Operating incomeOperating income margin

12

-0.8 0.0

-1.7

0.1

-2

0

2

-0.8

0

0.8

03/2014 Actual

03/2015 Projection

48.9 55.1

0

30

60

03/2014 Actual

03/2015 Projection

48.3 51.0

0

30

60

03/2014 Actual

03/2015 Projection

[Major determinants of change] Impact of increase in revenue (+) Improvement in cost of sales ratio (+) Increase in SG&A expenses (-)

[Major areas of change] Increase in general industries hardware (+) Increase in maintenance services (+)

[Major areas of change] Increase for electric power industry (+) Increase in general industries hardware (+) Increase in maintenance services (+)

(Billions of Yen) (%)(Billions of Yen)

Orders Sales Operating Income andOperating Income Margin

(Billions of Yen)

Operating incomeOperating income margin

Maintenance, etc.

Tool cleaning

Ultrapure water supply

business

51.3 56.4 49.4 51.8 53.7

9.7 9.3

8.5 8.1 8.2

35.1 34.8

32.4 31.6 31.5

96.1 100.5

90.3 91.5 93.4

0

50

100

03/2011 03/2012 03/2013 03/2014 03/2015Projection

28.4 36.7 33.6 27.7 30.7

96.1 100.5

90.3 91.5 93.4

56.7 56.4

56.1 58.8 60.9

181.2 193.8

180.1 178.1 185.0

0

100

200

03/2011 03/2012 03/2013 03/2014 03/2015Projection

13

Service Business Revenuein the Water Treatment Facilities SegmentWater treatment chemicals

Water treatment facilities (services)

Water treatment facilities (hardware)(Billions of Yen)

(Billions of Yen)

Service business revenue

150.4152.8157.0

146.4 154.3

14

19.222.5 23.9

27.232.0

2.82.3 2.3

1.8

1.4

1.31.4 1.2

1.3

1.2

3.13.0 3.0

3.3

3.6

26.429.3 30.5

33.6

38.2

0

20

40(Billions of Yen)

15.5 17.8 18.5 17.721.0

10.911.5 12.0 15.9

17.226.429.3 30.5

33.6

38.2

0

20

40(Billions of Yen)

Sales by Region Sales by Overseas Business Segment

Asia N. America Europe Other

Water treatment chemicals

Water treatment facilities

03/2011 03/2012 03/2013 03/2014 03/2015Projection

03/2011 03/2012 03/2013 03/2014 03/2015Projection

15

35.1 34.8 32.4 31.6 31.5

0

20

40

03/2011 03/2012 03/2013 03/2014 03/2015Projection

(Billions of Yen)

Sales

3.9

5.3

3.22.8

4.8

0

3

6

03/2011 03/2012 03/2013 03/2014 03/2015Projection

(Billions of Yen)

Capital Expenditures

16

4.4 4.5 4.8

2.4 2.5 2.6

0

1.5

3

0

3

5

03/2013 03/2014 03/2015Projection

(%)(Billions of Yen)

R&D ExpensesCapital Expenditures and Depreciation

Capital expenditures(ultrapure watersupply business)

Capital expenditures (excl. ultrapure water

supply business)

Depreciation

2.9 2.5 2.5

3.22.8

4.8

6.1 5.3

7.3 14.5 14.3 14.5

0

8

15

03/2013 03/2014 03/2015Projection

(Billions of Yen)

R&D expenses Percentage of net sales

17

Basic Dividend PolicyKurita’s basic policy is to maintain stable dividends, and the company will work to increase dividends while giving due consideration to trends in results and investments in its businesses.

1822

2832 34 36 38 40 42 44 46

0

25

50

03/2005 03/2006 03/2007 03/2008 03/2009 03/2010 03/2011 03/2012 03/2013 03/2014 03/2015Projection

+ 6+ 6+ 4+ 4

+ 2+ 2

(Yen)

+ 4+ 4

+ 2+ 2 + 2+ 2+ 2+ 2 + 2+ 2

+ 2+ 2+ 2+ 2

+ 2+ 2

III. Key Initiatives

1.

2.

3.

4.

Direction of Management

Restore Earnings Power

Overseas Business Growth

Improve Capital Efficiency

18

Completion of the Medium-Term Management Plan,Take Action 2014 (TA-14)

Enhance the quality of the solutionsthat we propose to customers

Make Group-wide effortsMake Group-wide efforts

Restore earnings power

Restore earnings power

Expand overseas operations

steadily

Expand overseas operations

steadily

Improve capital efficiency

Improve capital efficiency

Initiative 3Enhancing the added value of solutions to be proposed

Maintaining prices at thetime of receipt of orders

19

Initiative 1Promoting cooperation between the sales division and production division

Lowering the cost of sales ratio at the time of receipt of orders and preventing the occurrence of additional costs

Initiative 2Standardizing designs, expanding global sourcing, and building an optimum production system

Increasing cost competitiveness

(Example) S.sensingIn the Water Treatment Chemicals business, we have started a water treatment management system for optimum real-time water treatment using sensing technologies.

Guangzhou

ShanghaiSuzhou

South KoreaDalian

Tianjin

Thailand

MalaysiaSingapore

Indonesia

Taiwan

[China / South Korea]Expanding

maintenance services

[Taiwan]Cost cutting

[US] M&As[Europe] M&As

20

Water treatment chemicals locationsWater treatment facilities locations

Europe

US

Products having halal certificates

Chemicals for automobiles

Chemicals composed of food additives

Reverse osmosis membrane treatment chemicals

Cooling water treatment chemicals

Standardized water treatment facilities

2.6 2.6 2.73.3 3.5

5.2

Overseas maintenance sales

(Billions of Yen)

[Southeast Asia]Development as one area Dispatching engineers and

utilizing employees assigned fromJapan and local staff within the area

Bolstering systems Supplying strategic products to each other

03/ 03/ 03/ 03/ 03/ 03/2009 2010 2011 2012 2013 2014

21

キャッシュの創出 キャッシュの使いみち

Capital Expenditures

M&As

Dividends

Share buybacks

Operating cash flow

(For three years from the fiscal year ended March 31, 2013 to the fiscal year ending March 31, 2015 (forecast))

¥83 billion ¥83 billion

Planning a dividend increase for the 11th consecutive fiscal year

New and additional investments in the ultrapure water supply business

Investments in research and testing equipment overseas

November 1 to November 29, 2012Repurchased shares (7,493,665 shares).

August 6, 2013Cancelled all treasury stock (13,635,662 shares).

The targets are companies in North America and Europe.

Companies having a sales network and unique technologies

We will prioritize investment in businesses for growth, including investment in M&A, and will seek to increase returns to shareholders at the same time.

Uses of Cash

Generation of cash Uses of cash

22

21.0

14.9

03/2013 03/2014

- 3.8

- 0.2Increase in

SG&A expenses

Effect of raw materials

prices

Effect of change in cost of sales ratio*

+ 0.2Other

(Billions of yen)

- 2.3

* The effect of change in the cost of sales ratio is calculated using the gross profit margin.

Forward-looking StatementsThis presentation contains forward-looking statements, business plan projections, and judgments based on information available to management at the time of writing. Due to the existence of a variety of risk factors and uncertainties, actual results may differ from those specified or implied by these forward-looking statements and projections.

Kurita Water Industries Ltd.■URL■

■MAIL■

http://ir.kurita.co.jp/

ir@kurita.co.jp