Consolidated Financial Results for the Third Quarter of the Fiscal Year Ending February 28, 2023
[Japanese GAAP]
January 12, 2023
Company name:

Hisamitsu Pharmaceutical Co., Inc.

Stock exchange listing:Tokyo, Nagoya, Fukuoka

Securities code:

4530

URL:

https://global.hisamitsu/

Representative:

NAKATOMI Kazuhide, President & CEO

Contact

MAEGAWA Yoshihiro, Department General Manager of Corporate Strategy Planning and Business
Development

TEL:+81-3-5293-1704

Scheduled date of filing quarterly securities report:
Scheduled date of dividend payment:―Jan. 13, 2023

Preparation of supplementary materials for quarterly financial results:

Yes

Holding of quarterly financial results meeting:Yes (for institutional investors and analysts, etc)
(Amounts are rounded down to the nearest millions of yen)

1. Consolidated Financial Results for the Third Quarter of the Fiscal Year Ending February 28, 2023
(March 1, 2022 to November 30, 2022)(1) Consolidated Operating Results(Percentages represent year-on-year changes)
Net sales

Operating profit

Profit attributable toowners of parent

Ordinary profit

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Nine months ended Nov. 30, 2022

91,881

6.0

8,506

22.0

13,003

50.1

9,522

53.1

Nine months ended Nov. 30, 2021

86,663

7.2

6,973

△14.2

8,665

9.3

6,218

8.7

(Note) Comprehensive income:Nine months ended Nov. 30, 2022

30,499 millions of yen (226.2%)

Nine months ended Nov. 30, 2021

9,349 millions of yen (36.2%)

Diluted profit pershare

Profit per share
yenyenNine months ended Nov. 30, 2022

119.46119.36Nine months ended Nov. 30, 2021

76.1476.09(Note) Beginning with the first quarter of the fiscal year ending on February 28, 2023, the Company has applied Accounting Standard for Revenue
Recognition (ASBJ Statement No. 29, March 31, 2020). All figures for the third quarter incorporate this accounting standard.

(2) Consolidated Financial Position
Total assets

Shareholders’equity ratio

Millions of yen

Millions of yen%

336,880

271,82980.0

302,858

254,885

83.5

As of Nov. 30, 2022
As of Feb. 28, 2022
(Reference) Shareholders’ equity:

Net assets

As of Nov. 30, 2022

269,504 millions of yen

As of Feb. 28, 2022

252,914 millions of yen(Note) Beginning with the first quarter of the fiscal year ending on February 28, 2023, the Company has applied Accounting Standard for Revenue
Recognition (ASBJ Statement No. 29, March 31, 2020). All figures for the third quarter incorporate this accounting standard.

2. Dividends
Annual dividends
First quarter

Second quarter

Third quarter

Fiscal year end

Totalyenyenyenyenyen

Year ended Feb. 28, 2022

―

42.00

―

42.00

84.00

Year ending Feb. 28, 2023
Year ending Feb. 28, 2023
(Forecast)

―

42.25

―
42.25

84.50

(Note) 1.Revisions to the most recently announced dividends forecast:No

2. Breakdown of annual dividend forecast for the fiscal year 2023
Ordinary dividend

84.00 yen

Commemorative dividend

0.50 yen (A commemorative dividend for the 175th anniversary)

3. Consolidated Earnings Forecast for the Fiscal Year Ending February 28, 2023(March 1, 2022 to February 28, 2023)(Percentages represent year-on-year changes)

Net sales
Full year

Operating profit

Profit attributable toowners of parent

Ordinary profit

Profit per share

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%yen

123,000

2.311,10018.9

12,7000.5

9,7000.4

121.68(Note) 1.Revisions to the most recently announced consolidated forecast:No2. Beginning with the first quarter of the fiscal year ending on February 28, 2023, the Company has applied Accounting Standard for
Revenue Recognition (ASBJ Statement No. 29, March 31, 2020). The above consolidated earnings forecast is prepared based on suchaccounting standards.

*Notes(1) Changes in significant subsidiaries during the period(Chages in specified subsidiaries resulting in changes in scope of consolidation): None(2) Apprication of special accounting methods for preparation of quarterly consolidated financial statements: Yes(3) Changes in accounting policies, changes in accounting estimates, and restatement
1) Changes in accounting policies due to revision of accounting standards
2) Changes in accounting policies other than 1) above
3) Changes in accounting estimates
4) Restatement: Yes: None: None: None(4) The number of shares outstanding (common stock)1) Total number of shares outstanding at the end of the period (including treasury stock)
As of Nov. 30, 2022
: 85,164,895 shares
As of Feb. 28, 2022
: 85,164,895 shares2) Total number of treasury stock at the end of the period
As of Nov. 30, 2022
: 5,665,543 shares
As of Feb. 28, 2022
: 5,427,284 shares
3) Average number of shares outstanding during the period
Nine months ended Nov. 30, 2022
: 79,715,046 shares
Nine months ended Nov. 30, 2021
: 81,670,294 shares*Quarterly financial results reports are not subjected to quarterly review.
*Explanation for appropriate use of financial forecasts and other special notes
Among this document, the forecasts based on the plan may changes due to uncertain factors. Therefore, the actual
operating results may differ from the company's view.
Financial settlement briefings for institutional investors and analysts will be held on January 12, 2023. Presentationmaterials of financial results will be posted promptly on the company’s website after the financial settlement briefings.

Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance sheets(Millions of yen)

Prior Fiscal Year End(As of Feb. 28, 2022)

Current Third Quarter(As of Nov. 30, 2022)

AssetsCurrent assetsCash and deposits

129,290

Notes and accounts receivable - trade

38,505――37,775

Securities

13,141

15,501

Merchandise and finished goods

8,919

11,480438

670

Notes and accounts receivable - trade, and contract assets

Work in process

133,994

Raw materials and supplies

7,055

8,156

Other

3,219

11,870Allowance for doubtful accounts
Total current assets

△393

△297

200,176

219,150

Non-current assets
Property, plant and equipment
Buildings and structures, net

13,905

14,179Other, net

25,16330,273

Total property, plant and equipment

39,06944,453442406

Intangible assets
Sales rights
Other883

729

1,326

1,136

52,51961,728

Other

9,980

10,619Allowance for doubtful accounts

△214

△207

Total investments and other assets

62,286

72,141

Total intangible assets
Investments and other assets
Investment securities

Total non-current assets
Total assets

102,681

117,730

302,858

336,880

(Millions of yen)

Prior Fiscal Year End(As of Feb. 28, 2022)

Current Third Quarter(As of Nov. 30, 2022)

Liabilities
Current liabilities
Notes and accounts payable - trade

7,533

10,334

Electronically recorded obligations - operating

5,692

6,369

Short-term loans payable

1,071

1,071

Income taxes payable

2,938

2,073

Provision for sales returns
Provision for bonuses

135

―

1,363

530

Other

13,424

31,105

Total current liabilities

32,16051,485Long-term loans payable

219

166

Net defined benefit liability

8,216

8,508

Non-current liabilities

Other

7,376

4,891

Total non-current liabilities

15,812

13,56647,97265,051

8,473

8,473

Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus

2,356

2,361

Retained earnings

236,192

233,111

Treasury shares△19,527△20,419

Total shareholders' equity

227,495

223,527

Valuation difference on available-for-sale securities

15,07017,953

Revaluation reserve for land

3,641

3,616

Accumulated other comprehensive income

Foreign currency translation adjustment

5,633

23,558Remeasurements of defined benefit plans

1,073

847

Total accumulated other comprehensive income

25,41945,976

Share acquisition rights

254

250

Non-controlling interests

1,717

2,074

254,885

271,829

302,858

336,880

Total net assets
Total liabilities and net assets

(2) Quarterly Consolidated Statements of Income and Comprehensive Income
Quarterly Consolidated Statements of Income(Millions of yen)

Prior Fiscal Year
(Mar. 1, 2021 – Nov. 30, 2021)

Current Fiscal Year
(Mar. 1, 2022 – Nov. 30, 2022)

86,66391,881

Cost of sales

34,884

39,100Gross profit

51,77952,781

Selling, general and administrative expenses

44,80544,274

Operating profit

6,973

8,506

Interest income

110

398

Dividend income

595

626

Foreign exchange gains

891

3,210

Other329

452

1,927

4,687

Net sales

Non-operating income

Total non-operating income
Non-operating expenses
Interest expenses

1112

Share of loss of entities accounted for using equity method

74

35

Cost for idle operation

77

95

Other

72

46

Total non-operating expenses

235

189

8,665

13,003Gain on disposal of non-current assets

6142

Gain on sales of investment securities

652―

Total extraordinary income

659

142

Loss on disposal of non-current assets

53

116

Loss on discontinuation of sale279―

Total extraordinary losses

333

116

Ordinary profit
Extraordinary income

Extraordinary losses

Profit before income taxes

8,992

13,029

Income taxes

2,564

3,208

Profit

6,427

9,821

209

299

6,218

9,522

Profit attributable to non-controlling interests
Profit attributable to owners of parent

Quarterly Consolidated Statements of comprehensive income(Millions of yen)

ProfitPrior Fiscal Year
(Mar. 1, 2021 – Nov. 30, 2021)

Current Fiscal Year
(Mar. 1, 2022 – Nov. 30, 2022)

6,427

9,821

△1,855

2,928

Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment

5,013

18,021Remeasurements of defined benefit plans, net of tax

△193

△240

Share of other comprehensive income of entities accounted forusing equity method△42△31

Total other comprehensive income

2,922

20,6789,349

30,4999,161

30,104187395Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controlling interests