Presentation of Financial Results for FY2021

AC Business - China FY2021 Results Despite strong personal consumption, the economy slowed in the second half, and we conducted sales activities combining offline and online, and promoted sales of an expanded lineup of high value-added products corresponding to IAQ / ventilation products and environmental policies. This resulted in sales greatly exceeding the previous fiscal year. Despite soaring prices for raw materials and semiconductor shortages, we maintained a high profit margin by cost reductions and curtailing fixed costs. ✓ In the Residential Air Conditioning market, we promoted sales activities combining online sales with conventional sales at our PROSHOP specialty stores and focused on identifying new customers and capturing replacement demand. System proposals that combine products, such as heat pump hot water heaters, were strengthened, and sales of residential multi-split air conditioners greatly expanded. ✓ In the Commercial Air Conditioning market, customer contact points were expanded by leveraging interest at stores and offices in ventilation and air purification. We incorporated demand for equipment replacements and additional purchases. For large projects, such as factories, we reinforced sales through Solutions proposals. Against the backdrop of environmental regulations, we capitalized on replacement demand that is expanding for energy-saving equipment. ✓ In the Applied market, in addition to shifting resources to growth fields that include infrastructure and semiconductors, we strengthened our maintenance and servicing business. FY2022 Forecast While being significantly impacted by the lockdown in Shanghai, we have performed agile production and shipping along with dealer support and are preparing sales expansion measures ahead of the lifting of lockdown restrictions. Together with accelerating user-direct proposal sales, we are expanding our product and after sales service lineup in response to the growing interest in improving ventilation, IAQ, and energy savings. In Residential Use, we will accelerate sales using online tools and focus on expanding sales of residential multi-split air conditioners. In Commercial Use, we will aim to expand sales by providing full total solutions for each market and customer. FY2021 FY2022 Y/Y change (Local currency basis) Daikin Market Daikin Residential 117% 102% 104% Commercial 108% 103% 105% Applied 104% 101% 101% 16

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