Ladies and gentlemen, I am Won Song, Head of IR Team at Finance Strategy. We'll now begin the Q3 2023 business results report for CJ CheilJedang. Today's session will be interpreted simultaneously into English for foreign investors. Let me first introduce the CJ Team. We have Mr. Kang Gyung Seok, CFO and Head of Finance Strategy, Mr. Jung Kyun Young, Head of Food Korea Business Management, Mr. Jo Jae Bum, Head of Food Business Management, Mr. Kim Jong Hyun, Head of Bio Business Management, Mr. Choi Jong Ha at F&T, and Mr. Hwang Yun Jo, Head of Feed and Care Business Management. Mr. Kang, the CFO, will first walk you through the business results, followed by progress on key strategy execution and outlook by respective presenters. We will then move on to a Q&A session. Ladies and gentlemen, I am Kang Gyung Seok, CFO of CJ CheilJedang. Today's agenda includes Q3 highlights, earnings analysis by business unit, key indicator analysis, and progress on key strategy execution, followed by Q4 outlook. Let's flip to page five. First, Food's operating profit has turned to an increase in three quarters. Thanks to recovery in Korea sales and reduction in SG&A, Food's operating profit grew 12% year-over-year. Furthermore, in global or overseas, we have seen continued leadership in market share of core products, mandu and pizza, with continuous foray into new overseas markets such as Europe and Oceania. In Bio, high-margin products such as tryptophan and specialty amino acid have been showing continuous growth as well. Finally, for Financial Soundness, through active management of working capital and investment, net debt is down about KRW 340 billion from the previous quarter. Next page, please. Let's now look at Q3 corporate results, excluding CJ Logistics. Sales declined due to high base from last year and unfavorable business environments, resulting in total sales of KRW 4.6734 trillion. We recorded OP of KRW 275.3 billion, despite base effect from last year and volatility in external environments that have been partially offset by increase in Foods OP. For net profit, despite decline in OP, improvement in all operating items enabled an increase to KRW 178.1 billion. When including CJ Logistics, sales in Q3 declined 0.77% year-over-year to KRW 7.4434 trillion, and OP declined 18% to KRW 396 billion. Next to page eight, please. Let's look at performance by business unit. First up, Food. Amid persistent global uncertainties, we have focused on nurturing strategic products and growth channels and streamlining SG&A for improvement in margin. First, sales declined 2% year-over-year. For Korea, despite some pressure from raw material costs, thanks to sales strategies responding to a gradual recovery in demand, continued improvement in sales of Processed Food resulted in sales of KRW 1.6708 trillion. For overseas sales, despite high base in the U.S., we have seen an increase in market share of key products, mandu and pizza, and despite continued economic down in China and slow sales of Micho in Japan, acceleration of Bibigo in new territories such as Europe and Australia, resulted in overseas sales of KRW 1.3351 trillion. For OP, despite continued volatility in foreign exchange rate and high raw sugar prices and slowdown in China and Japan, improvement in sales volume in Korea and the U.S. and reduction in SG&A resulted in OP improvement of 12% year-over-year to KRW 234.1 billion. If you go on to the next page, OP margin in Q3 of 2023 was 8%, excluding Schwan's PPA, and 7.8% when including the PPA. Next is more details on Food sales in Korea on page 10. Amid economic slowdown and slow demand in Korea, we targeted at-home demand with core products and optimized strategy by channel. For Processed Food, with product differentiation strategy by channel, we focused on expanding sales, resulting in a volume turnaround. For Food Ingredients, or FI, amid persisting base effect from last year, decline in sales of cooking oil had been offset by increase in sugar and flour sales. On to the next page, let's look into the details of overseas sales. In the U.S., despite high base impact from the previous year, mandu and Red Baron Pizza solidified their market leadership and share, continuing their growth trend. As a result, sales grew 1%, with quarterly sales standing at KRW 1.0917 trillion. In Asia Pacific and Europe, despite continuously slow demand in China and Japan, there has been successful entry into mainstream in Europe and Australia, indicating good progress for K-Food expansion into new territories. Next is Bio and F&T. First up, Bio. Increase in tryptophan demand and marketing on functionality of specialty amino acid led to growth, but there has been added pressure from last year's high base for bulky amino acids and slowdown in selective business environment. As a result, sales declined 17% year-over-year to KRW 898.7 billion. OP declined 90% year-over-year to KRW 10.2 billion. Strong performance of tryptophan and specialty amino acid offset the decline in bulky amino acids, but OP declined nevertheless due to slowdown in selective performance. For F&T, pressure from high base from last year and continued global inflation resulted in weak sales across the board. And sales came in at KRW 159.5 billion, down 30% year-over-year. OP came in as KRW 36.9 billion, down 40% year-over-year. Despite improvement in the cost competitiveness of nucleotides, OP declined due to weak demand in North America and Europe, the key markets of specialty products and nutrition. If you see the next page, share of specialty products has been on the rise, currently standing at 19% as of Q3 of 2023. Next, on to Feed and Care. Despite efforts to improve OP, FNC turned to deficit due to unfavorable business environment. Sales stood at KRW 609.2 billion, down 21% year-over-year, and OP recorded KRW -5.9 billion. For Feed, government policy to control supply and declining demand due to price increase and demarketing of low-margin customers led to fall in sales of feed in Indonesia. For Livestock, cost pressure in feed rose in Vietnam, and pork demand slowed down against weak pork price increase compared to the previous quarter, resulting in lower profitability. In Indonesia, reduction in poultry supply led to higher prices versus pre-previous year, resulting in OP increase. Now on to page 16, performance of CJ Logistics. Although sales declined due to a decrease in global trade, improvement in profit structure resulted in significant growth in OP. Q3 sales is down 6% year-over-year at KRW 2.9371 trillion, but OP is up 16% year-over-year at KRW 124.8 billion. Jumping to page 19, you can see SG&A non-operating items excluding CJ Logistics. For SG&A, labor costs declined by KRW 47.3 billion, and transportation costs increased by KRW 36.6 billion. Transportation costs rose year-over-year as part of transportation costs previously classified SG&A was reclassified as costs in Q3 of 2022. Consequently, SG&A to sales ratio rose 1.4 percentage points, but we have been able to keep it at 22% range throughout the year. Non-operating expenses stood at KRW -44.4 billion, an improvement of KRW 45 billion from Q3 of 2022. When including CJ Logistics, SG&A and OP non-operating expenses items are largely affected by CJ Feed's performance, so I'll skip the details. Next is update on key strategies and outlook. First up is key trend in the Korean Food Market. If we look at non-gift set processed food monthly sales trend, we see that the decrease continued to diminish month-on-month, and starting from July to August, it turned to positive growth, and in September, we achieved meaningful year-over-year improvement, thanks to the momentum. Domestic Food, if you look at the non-gift set, we see growth, in, and plus growth starting from September. If you look at the consumption-related statistics, the quarterly retail sales trend published by Statistics Korea show that since Q4 of 2021, the numbers for restaurant and bars that used to be higher than that of Food and Beverage, turned to negative in the third quarter of 2023, falling below the increase of Food and Beverage consumption. This is due to weakening endemic impact and revenge spending and increasing inflation, leading to slumping demands for eating out. In addition, the recent new products and categories launched by CJ CJ is recording high growth from first to third quarter. We anticipate sales for Food to rebound with the ongoing trend and by reinforcing sales strategies based on ongoing partnership with retailers. Let's go on to Overseas Food Business update. Our key products are continuously gaining share in the market. Red Baron Pizza became number one last quarter, and the gap with the second player is widening in Q3, recording 20.6% in shares. Mandu also gained three percentage points quarter-over-quarter to 52.5%, which is double that of the runner-up player, building stronger presence in the market, not only in the U.S., but in Europe and Oceania, where we are tapping new markets, we're seeing significant growth. In the U.K., we have expanded to Ocado and Asda, the mainstream channels. Ocado, U.K.'s representative online retailer, we've newly listed frozen rice, K-sauce, seaweed snack, and kimchi. At Asda, the leading offline retailer, we've newly listed our seaweed snack from September. In Australia, we've listed three SKUs of mandu in May, May and July, respectively, across all 1,000 stores of Woolworths, the local supermarket. The mandu SKUs are selling well, bringing sales of Oceania region to KRW 10 billion in Q3. Thanks to these efforts, accumulated sales growth from Q1 to Q3 is 32% for Europe and 24% for Oceania. Last is update on globalization of K-Street Food. We've selected tteokbokki, gimbap, Gimmari, bungeo-ppang, corn dog, and hotteok as our 6 strategic K-Street Food products. We will be focusing our commercialization and overseas sales efforts for these six products. We launched frozen gimbap in Japan in March and sold 800,000 products. 25,000 sets were sold out during the Asian fair at Costco in September. We're seeing great results and listed in 2,000 outlets, including the Aeon Mall. Ambient Tteokbokki was launched in June, sold across 39 countries, including the U.S. and Japan. We launched three flavors of Bungeo-ppang in July, preparing to enter global markets in the future. We've recently launched frozen tteokbokki and fried calamari, building up our K-Street Food lineup. Next is F&T, TNR Nutrition update. TasteNr ich saw a decrease in sales due to slumping downstream, like premium segments and alternative meat, from inflation and economic recession during the first half of 2023. However, we're seeing signs of rebound in the third quarter, forecasting sales to increase 49% in the second half. This is because we are seeing expanded application of TasteNr ich, and thanks to the increase in sales accounts, and we believe this is going to continue in the second half. Let's go on to the nutrition update. Daily health management and wellness trend is ongoing. After the endemic, global health food market is shrinking. Despite that, we're seeing opportunities for specialty solutions as preference for scientifically proven ingredients grow. In response to that, we secured efficacy results of ActivNr ich, a glutathione-based, naturally fermented antioxidant solution, to enter major downstream industry worth KRW 1 trillion, including antioxidant synergy and sports nutrition, and to create new demands. Based on this, we will expand sales by sequentially entering regions in 2024. WellNrich ich is a natural enzyme-based fermented mineral solution with zinc and iron, targeting essential nutrition markets forecasted to record double-digit growth until 2027. We plan to develop an essential solution portfolio which caters to healthy aging, life cycle-based health management. Next is update on sustainability initiatives. CJ CheilJedang published its sustainability report in July, and for the first time, we measured greenhouse gas emissions, not only in our manufacturing sites, but for scope three as well. That includes all value chains. We built greenhouse gas inventory at 6 global sites, including Indonesia, China, Vietnam, and the U.S. Thanks to increase in renewable energy usage, purchasing of REC, the Renewable Energy Certificate, and introduction of solar energy, we were able to curb emissions in 2022 by 6% versus 2021. Moreover, CJ CheilJedang has been safely managing and preventing quality issues across all value chains, from R&D to manufacturing and sales. Compared to standards of food safety management certification or Global Food Safety Initiative, we built a robust and differentiated global quality and safety process just for CJ CheilJedang, and rolling it out systematically across the globe, including Korea. To provide safer food, we are expanding the food safety system certificate from GFSI continuously. 90% of all our 58 global sites have been certified. Next is on Q4 outlook. Korea Food may see sales reduction due to timing difference of Lunar New Year, but non-gift set sales is forecasted to see volume increase as year-over-year base burden ease, processed food consumption rise to replace dining out due to economic recession and inflation, stronger partnership with offline retailers, and as we develop online DTC and strategic platform partnerships. There are foreign exchange rate and raw sugar price pressures, but this is expected to be offset by stable grain and food raw material prices. We expect margin to improve versus last year with tighter management of SG&A. Global Food Business is expected to recover growth, thanks to Q3 advertising effect, peak season sales increase, and increase in GSP sales, such as mandu and rice, with new product launches and increased promotions. China will tightly manage its cost and SG&A in a response to prolonged economic recession, and focus on profitability improvement and qualitative growth by expanding in high-margin channels. Japan will work to boost GSP, like mandu and kimchi, and expand sales of small bottle Micho and new RTD drinks to respond to inflation, to minimize influence of shrinking consumption. Bio, thanks to fundamental growth of tryptophan and specialty amino acids, the performance for amino acids will recover, but there will be pressures from weakening outlook for key selected products and soaring raw sugar price. For F&T, with demands for TNR and nutrition in North America and Europe recover, sales is forecasted to pick up. With profit maximization strategies and higher sales during peak season, leveraging market leadership in nucleotide market, F&T is forecasted to see higher profit versus previous quarter. For Feed and Care, we expect to see easing cost pressures and decreasing supply in the Vietnamese hog market, but prolonged consumption shrink will also exist. Considering all this, CJ corporate performance has pressures arising from increasing raw sugar price and stagnant SPC and Soybean Oil Business. However, considering improving sales volume in Korea, recovering foods growth in the U.S., and continuing growth of tryptophan and specialty amino acids for Bio and peak season for F&T nucleotide and rebounding TNR, we forecast operating profit increase versus last year. 2023 Q4 corporate sales is forecasted to fall by low single-digit% and OP margin around 4%-5%. That is all we have prepared for today. We will now begin our Q&A session. One announcement before we go on, simultaneous interpretation will be provided for Korean questions, but questions in English will be consecutively translated. Please speak slowly for the interpreters. Let us begin Q&A. For those with a question, please press star and the number one. If you want to cancel, press star and the number two. First question is from Park Sang Jun from Kiwoom Securities. Hello, I am Park Sang Jun from Kiwoom Securities. I have three questions. Number one, if you look at the Processed Food in Korea, we see that the sales is rebounding. So how do you foresee the Q4 in 2024? How do you see the volume increase? How far do you think the volume increase, and, and what will be the main driver of growth other than the macroeconomic factors, such as new products or category-wise, what do you see the main driver for the growth? And second question, if you look at Bio, Q3 the OP margin, you know, Selecta is in the deficit, but taking that out, I think the profitability is very low. Is it, I see an increase in the spot price for lysine. So if you take out Selecta, how do you see the Q4 numbers? Do you think it will be in terms of profit and margin? Do you think it will improve in Q4 versus Q3? Last question is on the U.S. market. If you see the sales growth rate, we see that it has become stagnant somewhat or something. It's slowing down. So if you see pizza and mandu, the growth rate, we see that this is going to pick up again, but it's only 3%-4%. So what were the factors that have played in curbing the growth rate? First, I will answer about the growth rate in the U.S. So if you look from the dollar point- of- view, it is higher. So just, I just wanted to point that out. And actually, in Q3 last year, we had high growth rate because we took pricing actions. We took some pricing increase, and above all, the GSP, like mandu, we had the MVM promotions in Q3, and that led to the increase in volume last year. But this year, in Q3, we did not have same events, so we see that comparatively it seems lower. But of course, the market share and the market position of CJ CheilJedang products, we are growing continuously. And just to add, in Q3, it may seem slowing down from a short term, but you, we did grow 3% in U.S. dollars, but we believe in Q4, we will see growth and great promotion with Red Baron and bibigo mandu. And we see, we have the MVM promotions for mandu and p- rice with Costco planned in Q4. So we believe we will grow in the high single-digit percentage in Q4. If we look at the recent trends, we believe it's quite probable. To answer your first question, I will cover the main drivers of growth. We do have some macroeconomic factors in play, but there is the price gap with the restaurants versus processed foods. So the consumers are turning to dining in because it's much more convenient. If you look at the sauces they use to cook and Dasida, which are food ingredients they use for scratch cooking, we see that the consumption for these products are ongoing, then this is going to continue in the near future. As we see slumping growth for other products, we believe the value for brand and reliable brand is increasing. So we see volume increasing for our products with long-lasting history and heritage. From processed meat, the Yukgongyuk brand and white meat, they are seeing rapid growth, and from frozen HMR, the Sobaba chicken, where we have applied our new Onlyone Technology, are selling well. In addition, with Hetbahn, we see that Sotban or konjac rice, these products that are targeting wellness trend, we see increase in volume for them as well. So in Q4, the Amino Acid Business, we expect a significant growth versus Q3. The fierce competition will be easing in Q4, and we believe the business is stabilizing, and the scale-up and restructuring is happening in the Chinese players. CJ CheilJedang, we are developing the market and creating the market with differentiated technology. So we expect significant growth for specialty amino acids and tryptophan. Our next question, please. Then is from Mr. Kim Jung Wook of Meritz Securities. Mr. Kim? Thank you for the opportunity. My first question is for Food. I mean, there has been significant profitability improvements. So can you break it down between Korea and overseas and how they respectively contributed to such improvement? And my second question, if you think about, you know, our growth in the U.S., you have an outlook of high single digits. I'd like to know about your product and channel strategy for the U.S. And as for K-Street Food that you mentioned earlier, we want to know how much sales you're planning from K-Street Food. And my final question is on feed. For feeding, for feed, there has been some spread between performance and price, so we, we would want more visibility on Q4 outlook. So on your questions for Food Business Unit, you have been asking for more breakdown between Korea and overseas. In the third quarter, if you think about the improvement from the previous quarter, I mean, from the quarter last year, there had been improvement in Korea and Processed Food. And in particular, rather than, instead of looking into costs, we would have to say that there has been improvement in our SG&A reduction efforts, such as advertising and promotions. So there has been much improvement there. That's one factor. And of course, you know, we would be continuing those efforts into the fourth quarter as well. In terms of commodity costs, of course, there has been some pressure from rising raw sugar prices, but for other, you know, commodities or grains, they have been returning to normal rates. So based on that, we would be seeing improvement in input costs as well. So we would be able to see additional impact from that as well. As for our outlook for the U.S. next year, we may not be able to give flesh it out too much at this point in time, but if we think about it, in the U.S., if we think about GSP growth, next year, we would be launching more new products, and we would like to use that as a driver for growth. Especially for mandu, we are considering diversification of formats, where we can provide more crispy products. For steamed dumplings, they're actually doing well, so we would be looking into expanding that or accelerating their entry into mainstream. Of course, accordingly, we would be expanding capacity as well, and especially along GSP products. When we look into chicken in Korea, the new product had been, new product, Sobawa, had been doing well in Korea, so we would be launching that product in the U.S. as well next year. Additionally, for K-Street Food, I mean, that you just mentioned, when we look into K-Street Food for this year, the volume may not be very big, but next year we are planning to strengthen K-Street Food in ethnic, in both ethnic and mainstream. So that's our plan for next year. And to JB's point, in terms of profitability of Food, other than Processed Food in Korea and overseas, in the U.S., it may not be as high as the first half of the year, but there has been some improvement in margin as well in the second half of the year. So I just like, I just wanted to add that to the previous comments. And as for the question on feed and care, in the third quarter, for livestock, our manufacturing cost is the highest. So when we think about the input cost, for example, for pork, there is some lagging factor there. So there has been declining commodity prices in the second and third quarters. But in terms of costs, the impact has not been materialized yet, so it would be the highest in the third quarter. And in the fourth quarter, there would be continuous and gradual improvement in those factors. And at the end of the year, in Southeast Asia, there would not be dramatic improvement in consumption, but there is, you know, strong demand, likely to be strong demand at the end of the year. That could, you know, be helpful to us. Compared to the third quarter, we are expecting some improvement in profitability in Q4. Next up is Park Sang Jun from Kiwoom Securities. Mr. Park? Yes, thank you for the second opportunity. I have one more question. If you look at F&T Business Unit, if we see from the first quarter, it has been recently created. But at the top of the year, we see the rebounding expectations and the reopening of China, and we believe the profitability will increase. But if you look at the quarter-over-quarter trend, from quarter one to quarter three, it has been decreasing and being bearish. So compared to Q3, do you, a nd you wrote down the Q4 forecast, it will be expanding from Q3. So could you add more color to that? And if you see in F&T, what would be some ways to increase the margins? I don't think that could just be done with new products. Maybe you have, might have to increase the price for the nucleotides or pivot your strategy for the cash cow products. To answer your question regarding nucleotide, we see uncertainty ongoing in China. So in Q3, the flow has not been good, but the Chinese government is planning on implementing economic boost measures, and we are on the brink of peak season, and we see the stocking up season upcoming. So we believe Q4 will be better than Q3 because of those factors. And other than nucleotides for TNR, every quarter, starting from the first quarter to the third quarter, we see inflation and economic recession playing in, but we see easing the excessive inventory, and we see improving demand from our clients. Next year, we believe major CPGs or the Chinese or major Chinese players, we do have some strategies planned for the key accounts, and if they go well as planned, we believe we'll be able to improve our profitability versus this year. We will take one more question before we close. The final question is from Kim Jung Wook of Meritz Securities Team. Thank you for the opportunity for additional questions. So in Processed Food, you mentioned that there has been a reduction in SG&A, so can you be more specific about where the reduction has been made? And as for the impact of the reduction, let's say, when demand goes down or when there is some pressure in volume, would you be picking up in terms of marketing spend? So that's my first question. And my second question is, you know, as we enter 2023, there has been the Jixiangju and Selecta sales. So we'd like to know about your plans to, as to how you're going to leverage those proceeds. As for SG&A reduction in Korea Processed Food Business, there would be fixed and variable costs, and we had been continuing efforts to reduce both prongs, and especially for labor costs and advertising costs. These were areas of focus, and of course, there's also the expenses not relevant to volume expansion. There had been improvement there, and we're seeing that impact being materialized. So when demand, even when demand goes down, we would be focusing on our brand and products and play out in the market. And if right now the market is pretty much slow and all manufacturers are trying to refrain from using excessive. T here's not going to be excessive promotion-based competition. So marketing costs could be directed to building brands. We would be continuing efforts to strengthen our brand and products, but we are not anticipating excessive promotion-based competition, so we would not be spending excessively on promotion as we move forward. Before I go on to your next question, just to add on to what I previously mentioned, as for the U.S. growth outlook, I mentioned that there's going to be high single digits, but this is not for next year, but this is for the fourth quarter of this year. In terms of dollars, we're expecting a recovery to high single digits in the fourth quarter. And on to your next question regarding Jiseongji and Selecta. So we've had the announcement of the divestiture of these two subsidiaries, and the meaning of these divestitures is that in Food and Bio, we want to go for more selective focus in terms of our business portfolio. As for the proceeds from the divestiture, for Jiseongji, we would be, leveraging that for our existing business or improving our financial structure. So that's one plan. And for Selecta, the deal has not been closed yet, and we cannot determine the specific timeline yet, so everything is up subject to change. But as of now, that would be used for strengthening competitiveness in our Bio Business Unit.