CEO Message
5yrs Growth
Strategy in a Tenyear Perspective

1CEO Message

Yutaro Shintaku
President and CEO

Five-year Growth Strategy
with a Ten-year Perspective© Terumo Corporation

Achieved “Profitable and Sustainable Growth” over The Past 10 Yrs
Sales: x2.1

Net income*: x2.1

Dividend per share: x3.3

+8% p.a.

+8% p.a.

+13% p.a.

525 B JPY

71 B JPY

39 Yen34 B JPY

247 B JPY

12 Yen

FY05

FY15

FY05

FY15

FY05

FY15

*Before goodwill amortization© Terumo Corporation

Dec 12, 2016

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Growth Drivers: Transform the Portfolio and Globalization
Business Sales Breakdown
7％

Blood Management
20%

Cardiac and Vascular

36％

49%

General Hospital

57％

31%

Regional Sales Breakdown
Japan

40%

36%

60%

OutsideJapan64%

FY15FY05© Terumo Corporation

Dec 12, 2016

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Develop Infrastructure for Further Growth

1

2

3

Globalized,
business-led
management

Globalized profit
management
systemGlobalized
innovation
platform© Terumo Corporation

Dec 12, 2016

3/7

1

Shift to Globalized Business-led Management•Four out of eight business HQs located in overseas and led by local manager•Corporate-wide optimization led by global headquarter and CXOs
HQ location and leaders
JapanOversea

Cardiac and Vascular
TIS (Intervention Systems)
Neurovascular
CV

GlobalHeadquarter6 CXOs

Vascular

General Hospital
General Hospital Products
D&D
DM and Consumer Healthcare

Blood Management© Terumo Corporation

Dec 12, 2016

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2

Establish a Globalized Profit Management System

Profit management with autonomy for continuous improvement

Visualization of consolidated
profit by region and product

Incentive system based on
consolidated profit

Global profit
optimization

Realign portfolios byregion and products© Terumo Corporation

Dec 12, 2016

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3Four Core Initiatives for Accelerating Innovation
Collaborativeinnovation
between Japanand US R&D

Innovation at theproduction site

Strengthen thecollaboration
between internaland external
opportunities
Ashitaka Innovation
Center (tentative)
Open in 2017

Open Innovation HubOpen in 2017

New Facilityat California (MV)
Open in 2017

© Terumo Corporation

Contribute tofuture ofhealthcare withsignificant social
impactR&D Center
Medical Pranex

Dec 12, 2016

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Keynote Messages“Contributing to Society through Healthcare” is our unchanged
mission, even amid drastic changes to our business and regional
portfolio
Distinguish our strategies inside and outside Japan to accelerate
growth as a Global Corporation with Japanese Origins

Strengthen organic growth engines and pursue M&As that enable“Profitable and Sustainable Growth”© Terumo Corporation

Dec 12, 20167/7

© Terumo Corporation

Disclaimer
The information that Terumo discloses and the forward-looking statements
including financial projections are based upon our assumptions using
information available to us at the time and are not intended to be guarantees offuture events or performance. Accordingly, it should be noted that actual
results may differ from those forecasts on projections due to various factors.
Factors affecting actual results include, but are not limited to, changes in
economic conditions surrounding Terumo, fluctuations of foreign exchange
rates, and state of the competition.
The market share information in this presentation is partly derived from ourown independent research.

© Terumo Corporation