Canon : Overall Strategy

Canon Inc.

2023 Corporate Strategy Conference

Canon Overall Strategy

March 6, 2023

Fujio Mitarai

Chairman & CEO

This presentation contains forward-looking statements with respect to future results, performance and achievements that are subject to risk and uncertainties and reflect management's views and assumptions formed by available information. All statements other than statements of historical fact are statements that could be considered forward-looking statements. When used in this document, words such as "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "project" or "should" and similar expressions, as they relate to Canon, are intended to identify forward-looking statements. Many factors could cause the actual results, performance or achievements of Canon to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including, among others, changes in general economic and business conditions, changes in currency exchange rates and interest rates, introduction of competing products by other companies, lack of acceptance of new products or services by Canon's targeted customers, inability to meet efficiency and cost reduction objectives, changes in business strategy and various other factors, both referenced and not referenced in this presentation. A detailed description of these and other risk factors is included in Canon's annual report on Form 20-F, which is on file with the United States Securities and Exchange Commission. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described herein. Canon does not intend or assume any obligation to update these forward-looking statements.

Agenda

Excellent Global Corporation Plan Phase VI

■ Review of Results Over Past Two Years P 1-2

■ Future Strategy

P 3-6

■ Financial Strategy

P 7

■ Summary

P 8

Review of Results Over Past Two Years

Reorganize into 4 industry-oriented groups

Existing businesses	Overlap	New businesses
Office MFDs	Cameras	• Business area	Commercial	Medical
Laser printers		printing
	• Function	Industrial
Inkjet	Lithography		Network cameras	equipment
	equipment
	Streamline organization, demonstrate synergy effects
Printing	Imaging		Medical	Industrial

Establishing a structure that facilitates the creation of new products and services	1

Review of Results Over Past Two Years

Effective in transforming business portfolio amid challenging external environment

Parts shortage:

Chg. design, Develop new suppliers

Logistical constraints:

Secure alternative transportation routes

Strong product competitiveness

• Reflect cost increase in selling price
• Expand sales volume

(Trillion yen)		Net Sales
				Phase VI
5								2 Consecutive years of sales and
								profit growth
4,080.0
3,513.4	4,031.4
4			Billion yen					Billion yen		Billion yen
			3,160.2
						Billion yen		Existing
3											Businesses

2

1			New
22%			Businesses
		27%
0
2017	2020	2021	2022

2

Future Strategy

(Basic Policy)

Market returns to normal in 2023

Accelerate strategy execution to achieve 2025 targets

Basic policy

Portfolio transformation through productivity

improvement and new business creation

Strategy

1. Strengthen and expand industry-oriented groups
2. Develop new products and services based on own technology
3. Re-structureglobal production system

3