Financial Results for the Fiscal Year
Ended March 31, 2022
May 20, 2022

This presentation contains forward-looking statements relating to expected
future performance as of May 20, 2022. Such statements are based on theviews and assumptions of company management and involve risks anduncertainties such as changes in the business environment that may cause
the actual results to differ materially from expectations.

Copyright © 2022 Harmonic Drive Systems Inc.

Performance Summary
for FY 2022/3

1
Copyright © 2022 Harmonic Drive Systems Inc.

Consolidated results for FY 2022/3 (versus original forecasts)(millions of yen)

Forecast(announced Nov 12, 2021)
AmountPercent (%)

Vs. original forecasts

FY2022/3 (actual)
AmountPercent (%)

ChangeRate (%)

Net sales

56,500100.0

57,087

100.0

587

1.0

Operatingincome

8,200

14.5

8,739

15.3

539

6.6

Ordinary
income

8,200

14.5

9,108

16.0

908

11.1

Net income

5,500

9.7

6,643

11.6

1,143

20.8

EPS (yen)

57.14

－

69.02

－

11.88

20.8

Net income refers to net income attributable to owners of parent.

2
Copyright © 2022 Harmonic Drive Systems Inc.

Consolidated results for FY 2022/3 (year-on-year change)(millions of yen)

FY2021/3
AmountNet sales

FY2022/3

Percent (%)

AmountYear-on-year change

Percent (%)

ChangeRate (%)

37,034100.0

57,087100.0

20,053

54.1

OperatingincomeOrdinary
income

865

2.3

8,739

15.3

7,873

909.3

1,366

3.7

9,108

16.0

7,741

566.4

Net income

662

1.8

6,643

11.6

5,981

902.9

EPS (yen)

6.88

－

69.02

－

62.14

902.9

Capitalinvestment

1,959

－

5,690

－

3,730

190.4

Depreciation
costs

7,389

－

8,254

－

865

11.7

R&D costs

2,444

－

3,012

－

568

23.3

Net income refers to net income attributable to owners of parent.
Depreciation costs include depreciation cost of tangible assets and amortization cost of intangible assets and goodwill.

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Copyright © 2022 Harmonic Drive Systems Inc.

Performance of main group companies in FY 2022/3(millions of yen)

Equitystake

Net sales
Amountc

Net income

Year-on-yearchange (%)

Amountc

Year-on-yearchange (%)－

41,120

69.5

8,358

224.7

HD Systems, Inc.
(Harmonic Drive L.L.C.)(U.S.A)100%（100%）

6,660

29.3

762

136.0

Harmonic AD, Inc.

100%

2,765

62.0

365

2,463.8*3

Harmonic Drive Systems(Shanghai) Co., Ltd.

100%

4,039

69.3

265

80.5

*4

Harmonic Drive SE(Germany)

100%

13,293

35.4

1,532

216.3

Harmonic Drive Systems Inc.
*2

*1 For overseas subsidiaries, the fiscal year ends December 31.
*2 Exchange rates: FY 20/12 1USD = 106.82 yen, FY 21/12 1USD = 109.80 yen*3 Exchange rates: FY 20/12 1CNY = 15.48 yen, FY 21/12 1CNY = 17.03 yen*4 Exchange rates: FY 20/12 1EUR = 121.81 yen, FY 21/12 1EUR = 129.89 yen

4
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Non-consolidated results for FY 2022/3(year-on-year change)(millions of yen)

FY2021/3
AmountNet sales

Year-on-year change

FY2022/3

Percent (%)

AmountPercent (%)

ChangeRate (%)

24,264100.0

41,120100.0

16,855

69.5

2,573

10.6

8,358

20.3

5,784

224.7

2,764

11.4

8,702

21.2

5,938

214.8

Net income

1,868

7.7

6,545

15.9

4,677

250.4

EPS （yen）

19.41

－

68.00

－

48.59

250.4

Capitalinvestment
Depreciation
costs

545

－

4,589

－

4,043

741.3

2,872

－

3,502

－

630

22.0

R&D costs

1,807

－

2,251

－

443

24.5

OperatingincomeOrdinary
income5
Copyright © 2022 Harmonic Drive Systems Inc.

Non-consolidated bookings by application (half-yearly)(millions of yen)
25,00022,09422,50019,02520,00015,00010,000
7,500
5,000
2,500
0

1,044

1,909

17,50012,5002,190

10,527
1,362
838

739
488

9,260
1,201
613

522
635

10,041
1,268
321
487
618

14,222

1,611

1,390

723
1,012

659

866
1,188

675
702

11,657
9,584

8,070

5,040

4,926

3,960

200
1,163

440
1,055

376
1,161

394
1,616

2,804

3,348

上期
FY20/3
1st half

下期half2nd

上期
FY21/3
1st half

下期
2nd
half

上期
FY22/3
1st half

下期
2nd
half

Semiconductor Equipment
Machine Tools
Measuring Machines
VehicleFlat Panel Display Equipment
Printing Machine
Excavation System for the Oil
OthersRobotics
Optical Devices
Medical Equipment

730

467

Gear box Motor Manufactures
Transporter
Aerospaces

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Non-consolidated bookings by application (quarterly)(millions of yen)

21,51522,50020,00018,357

17,500

1,108
831

15,000619
959

12,943

12,50010,000
7,500
5,000
2,500
0

7,586
4,984

5,131

489
318

517

712
332
413
399

213

2,764

2,765

4,279

172
649
20_1Q

Semiconductor Equipment
Printing Machine
Medical Equipment

1,364
330
415
614

1,790

19,208

1,222

1,679
458
583
757

730
665

11,808
10,84010,744

7,377
505
2,640
21_1Q

162
575

20_2Q

20_3Q

20_4Q

Flat Panel Display Equipment
Optical Devices
Aerospaces

Robotics
Transporter
Vehicle

1,552
712
483
630

6,729

298
2,006

224
834

13,072

614

751

3,689

3,623

501
1,943

21_2Q

21_3Q

21_4Q

Gear box Motor Manufactures
Measuring Machines
Others

Machine Tools
Excavation System for the Oil

7

Copyright © 2022 Harmonic Drive Systems Inc.

Factors in year-on-year change in non-consolidated operating income (FY 2022/3)(millions of yen)

Higher income+9,234Highermarginal profit
ratio, etc.

+342

Higher fixedmanufacturingcosts, etc.

▲2,3498,358
Higher SG&A
costs

▲1,442
2,573

FY 2021/3

FY 2022/3

8
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Status of consolidated assets(millions of yen)

160,000
140,000
120,000
100,000
80,000140,028

143,289

21,16319,928Cash & bank deposits andsecurities

15,584

Trade receivables

9,404

Inventories

9,791
5,846
1,315

41,991

954

Other current assets

43,967

Tangible fixed assets

40,435Intangible fixed assets

18,91513,013

Investments and otherassets

FY2021/3

FY2022/3

60,00040,00041,00320,0000

9Copyright © 2022 Harmonic Drive Systems Inc.

Status of consolidated liabilities and net assets(millions of yen)

160,000

140,028

143,289

140,000

2,412

3,856

Trades payable

8,000

Other current liabilities

16,887Long- and short-term borrowings

15,688Other fixed liabilities

120,000
100,000

4,433

6,328

16,793
7,170‐

Non-controlling interests

80,00060,00040,000102,888
Equity ratio
73.5%

20,000098,856FY2021/3

Owned capital

Equity ratio
69.0%

FY2022/3

10
Copyright © 2022 Harmonic Drive Systems Inc.

Status of consolidated cash flows(millions of yen)

FY 2021/3

FY 2022/3

Cash flow from operating activities

9,555

9,881

Cash flow from investing activities▲4,180▲19,490

Cash flow from financing activities▲3,6118,123

Effect of exchange rate changes on cash and cash equivalents

▲108

256

Net increase (decrease) in cash and cash equivalents

1,654▲1,229Cash and cash equivalents at end of year

19,996

18,767
11
Copyright © 2022 Harmonic Drive Systems Inc.

Performance Forecasts
for FY 2023/3

12
Copyright © 2022 Harmonic Drive Systems Inc.

Consolidated performance forecast for fiscal year ending March 31, 2023
(millions of yen)

FY2022/3
AmountNet sales
OperatingincomeOrdinary
incomeNet
incomeEPS (yen)
Capitalinvestment
Depreciation
costs
R&D costs

FY2023/3 forecasts
Percent (%)

AmountYear-on-year change

Percent (%)

ChangeRate (%)

57,087100.0

75,000100.0

17,912

31.4

8,739

15.3

13,000

17.3

4,260

48.7

9,108

16.0

13,000

17.3

3,891

42.7

6,643

11.6

9,000

12.0

2,356

35.5

69.02

－

93.49

－

24.48

35.5

5,690
8,254
3,012

－

14,500
9,500
3,800

－

8,809
1,245
787

154.8

－
－

－
－

15.1
26.1

※ Assumed exchange rate for FY23/3 forecasts 1USD ＝ ¥123.00 1EUR ＝ ¥133.00 1CNY ＝ ¥19.00※Net income refers to net income attributable to owners of parent.
※Depreciation costs include depreciation cost of tangible assets and amortization cost of intangible assets and goodwill.

13
Copyright © 2022 Harmonic Drive Systems Inc.

Forecasts of main group companies for fiscal year ending March 31, 2023
(millions of yen)

Equitystake

Harmonic Drive
Systems Inc.

－

Operating income

Net sales
AmountYear-on-yearchange (%)

AmountYear-on-yearchange (%)

55,00033.8

11,000

31.6

HD Systems, Inc.
(Harmonic Drive L.L.C)(U.S.A)100%（100%）

10,000

50.1

1,200

57.4

Harmonic AD, Inc.

100%

3,000

8.5

400

9.4

*3

Harmonic Drive Systems(Shanghai) Co., Ltd.

100%

5,000

23.8

200

▲24.7

*4

Harmonic Drive SE(Germany)

100%

15,000

12.8

2,500

63.2

*2

*1 For overseas subsidiaries and affiliates, the fiscal year ends December 31.
*2 Exchange rates: Jan. – Dec., 2021 1USD = 109.80 yen, Jan. – Dec., 2022 forecast 1USD = 123.00 yen*3 Exchange rates: Jan. – Dec., 2021 1CNY = 17.03 yen, Jan. – Dec., 2022 forecast 1CNY = 19.00 yen*4 Exchange rates: Jan. – Dec., 2021 1EUR = 129.89 yen, Jan. – Dec., 2022 forecast 1EUR = 133.00 yen

14
Copyright © 2022 Harmonic Drive Systems Inc.

Non-Consolidated performance forecast for fiscal year ending March 31, 2023
(millions of yen)AmountNet sales
OperatingincomeOrdinary
incomeNet
incomeEPS (yen)
Capitalinvestment
Depreciation
costs
R&D costs

FY2023/3 forecasts

FY2022/3
Percent (%)

AmountYear-on-year change

Percent (%)

ChangeRate (%)

41,120100.0

55,000100.0

13,879

33.8

8,358

20.3

11,000

20.0

2,641

31.6

8,702

21.2

11,200

20.4

2,497

28.7

6,545

15.9

7,500

13.6

954

14.6

68.00

－

77.91

－

9.91

14.6

4,589

－

11,500

－

6,910

150.6

3,502

－

4,500

－

997

28.2

2,251

－

2,500

－

248

11.1

※ Assumed exchange rate for FY23/3 forecasts 1USD ＝ ¥123.00 1EUR ＝ ¥133.00 1CNY ＝ ¥19.00※Depreciation costs include depreciation cost of tangible assets and amortization cost of intangible assets and goodwill.

15
Copyright © 2022 Harmonic Drive Systems Inc.

Factors in year-on-year change in non-consolidated operating income(fiscal year ending March 31, 2023 forecast)(millions of yen)

Higher income+7,719Lower marginal
profit ratio, etc.

8,358

▲1,824Higher fixedmanufacturingcosts, etc.

▲2,195FY 2022/3

11,000Higher SG&A
costs

▲1,058FY 2023/3(forcast)

16
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Future Outlook

17
Copyright © 2022 Harmonic Drive Systems Inc.

1. Our operating environment

18
Copyright © 2022 Harmonic Drive Systems Inc.

1-1. Demand for HDSI’s products
Robust investments in automation and enhancements
Customers’ production and scale continue to expandOutlookConcernsShortages in components, rapid increasein raw material prices
Delays and slowdown in capital investments

Consolidated order trend(millions of yen)
30,000Asia

25,000EuropeFY03/22

North America
2,572
3,303

20,00015,00010,000
5,000
0

Asia

1,867
4,695
9,526
2018/1Q

2,247
4,088
6,449
2018/2Q

1,478
3,016
3,181

746
2,202
2,629

1,242
2,398
4,268

1,509
2,446

1,854
3,065

3,901

1,030
3,029
3,117

4,913

4,861

1,049
1,997
4,574

2018/3Q

2018/4Q

2019/1Q

2019/2Q

2019/3Q

2019/4Q

2020/1Q

2020/2Q

1,562
3,994

1,093
1,894
6,797
2020/3Q

1,309
2,746

2,551
3,915

4,064
4,658

4,110
4,408

17,046

18,6012021/1Q

2021/2Q

18,008

11,587

10,3862020/4Q

2021/3Q

2021/4Q

Capital investments in EV and semiconductors are growing, while overheated capital investment
demand in China subsides

Europe Orders recovered in line with normalization of market conditions, especially for industrial robots
North
Orders were strong for semiconductor and medical applications, and recovery in amusement applications
America19
Copyright © 2022 Harmonic Drive Systems Inc.

2.Trends in Main Fields of Application

20
Copyright © 2022 Harmonic Drive Systems Inc.

2-1. Factory automation robot market forecast
Automation demand

Infection
prevention

Labor shortage
Labor management
measuresMarketexpansion

Labor-saving demand

Annual installations of industrial robots 2015 -2020 and 2021* - 2024*
600‘000 of units

500 Growth rates in the robot market: compact > medium/large Growth rate of precision control speed reducer for compact robots
is expected to exceed 6%

400

400

300
200

254

422

382

384

+6%/on average per year

435

304

2015

2016

518

Growth rate of compact
robots

100
0

453

486

2017

2018

2019

2020

2021*

2022*

2023*

2024*

Source: compiled by the Company based on IFR World Robotics 2021

21

Copyright © 2022 Harmonic Drive Systems Inc.

2-2. Collaborative robot market forecast Demand is accelerating for co-bots as a solution for non-contact demand and labor management Growth in applications as key robot manufacturers make a full-scale entry into the field Market expansion isaccelerating
Collaborative robot global market size(forecast)
150

Courtesy of YASKAWA Electric Corporation

Could humanoid co-bots be on the horizon?

‘000 of units+22%/ on average
per year

124

100

107
87

50

45
0

2021

54

2022*

67

2023*

2024*

2025*

2026*

Note: Figures for 2021 are estimates, figures for 2022 and beyond are forecasts, based on the number of units shipped by manufacturers
Source: Compiled by the Company based on "Survey on the Global Market for Collaborative Robots (2021)" published by Yano Research Institute Ltd. on March 28,
2022

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Copyright © 2022 Harmonic Drive Systems Inc.

2-3. Semiconductor manufacturing equipment and Vehicle
Semiconductor manufacturing equipment
 Global shortage of semiconductors driven by the surge in data demand
Large-scale investment by major semiconductor companies to continue beyond 2023
Governments to support the semiconductor industries of their respective countries

 Foundries set to accelerate investment in cutting edge technologies
 Domestic semiconductor production will accelerate in China.
Production capacity expansion will lead to higher sales of semiconductor
manufacturing equipment.

Vehicle: Used in variable compression ratio (VCR) engines
 Achieved improvements in ease of installation, fuel economy, and quietness athigh speeds
 This will become the center of Nissan's next-generation engines
 Also used for e-POWER in exclusive power generator engines
 Production down due to semiconductor shortage
No change in total demand

Courtesy of
Nissan Motor Co., Ltd.

23

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3. New Applications

24
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3-1. Medical care and health care
Surgical robots
 Diverse manufacturers in Japan, the US, and Europe use our products
 Providing total motion control with highly integrated Harmonic Drive®,planetary gear speed reducers, and mechatronics products
 Treatment fields expanding
More companies joining the field
Full-scale adoption

Examples of healthcare applications
Medical equipment ・ Specimen analysis/test equipment/PCR test applications
Assisted suits

・ Moving into a phase of practical adoption withexpanded insurance coverage and subsidies

Electric wheelchairs ・Autonomous driving enhances convenience25
Copyright © 2022 Harmonic Drive Systems Inc.

3-2. Amusement
Animatronics
 Harmonic Drive® helps to realistically replicate themovements of people, animals, and fictional creatures
 Major amusement companies are restarting investmentswith a view toward society “With COVID” and “Post-COVID”
 Animatronics products for attractions and shows areactively developed and invested
Source: Harmonic Drive SE website

26
Copyright © 2022 Harmonic Drive Systems Inc.

3-3. Aviation and SpaceeVTOL (flying car)
 Electrification of aircraft
CO2 emission reduction, quieter operations
 Our compact and lightweight products are suited to these needs
 Top players in eVTOL have entered the commercialization stage
 What about large aircraft?

Space industries
 Commercial opportunities expand as private companies enter the space field Harmonic Drive®, which has a proven track record in space applications, will expand its areas of business HDSI’s activities were introduced on BS TV Tokyo’s “Japan Takes on the Challenge! New Space Business” (December 2021)

James Webb Space Telescope Successor to the Hubble Space Telescope (scheduled for launch this December) One NIRCam (infrared camera) unit and two antenna units use Harmonic Drive®
Credit:NASA GSFC/CIL/Adriana Manrique Gutierrez

27
Copyright © 2022 Harmonic Drive Systems Inc.

3-4. Barrier-free
Step/gap eliminators between train
platforms and cars

(West Japan Railway Company / Komatsu Seisakusho Co., LTD. (Matsumoto City)

 Several HDSI planetary gear reducers are being used in each unit
 Adopted in prototypes based on recognition of outstanding
safety, performance, and unique suitability in outdoor
applications
 Enables wheelchair users to board and disembark trains without
assistanceContributes to a barrier-free society
Source: Komatsu Seisakusho Co., LTD.

28
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4. Progress of Mid-term Management Plan
(FY2021 ～ FY2023)

29
Copyright © 2022 Harmonic Drive Systems Inc.

4-1. Mission, Long-term vision and Basic policies of Mid-term management plan

MissionContributing to the Innovation in our Industry and Society with our Motion Control Technology-In pursuit of Total Motion Control-

Long-term vision
Take on the challenge of developing newtechnologies and skills that capture changes
in the environment
Basic policies of Mid-term management plan

Achieve QCDS that goes beyond
customer expectations

Contribute to creating asustainable society throughcorporate activities-Toward the Next 50 Years: Moving to a Solid Growth StageAchieve QCDS that meets customer expectations

Expand RD, AD, and MT
businesses by developing
valuable products andenhancing services
Management
Principles

Build a businessfoundation that meets thedemands of the times

Respect for the Individual

Strengthen coordination andmaximize synergies withoverseas group companies andinstitutions

Coexistence and Co-prosperity

Contribution to Society

Create new standards thatdefine the next 50 years
through outside-the-box
thinking
A Meaningful Company

30
Copyright © 2022 Harmonic Drive Systems Inc.

4-2. Consolidated sales and Operating income of Mid-term management plan (FY03/22 - FY03/24)
Mid-term(100 mill. yen)management plan

800
700
600
500
400

Net sales forecast in mid-term plan is expected to be achieved one year early
Europ

North America

Operating income

Operating income margin

520

55
120

570
66

12.7%

132

15.3%

75

17.3%

20.0%

150

10.0%

372

345
66
Net sale

21.4%

15.0%

500

100
0

700

100
150

300
200

25.0%

750

Asia

(Operating
Income margin)

OperatingincomeFY03/22(Mid-term
management plan)

Net sale

130

87
OperatingincomeFY03/22(Actual result)

Net saleOperatingincomeFY03/23(Forcast)

475

Net sale

150

OperatingincomeFY03/24(Mid-term
management plan)

5.0%

0.0%

31

Copyright © 2022 Harmonic Drive Systems Inc.

4-3. Increasing Production Capacity ①The Ariake Plant
Basic
Policies

１ Achieve QCDS that meets customer expectations
 Established a production system with capacity of total 200,000 units/month at the Hotaka
Plant and the Ariake Plant, as laid out in the previous mid-term plan (2018–2020)
 Construction of a highly automated production line
 Delivery and installation from March to August 2022
 Digitize various data and promote introduction of IoT
 Delivery and installation scheduled from March to August 2022

Increased production
capacity
Additional 70,000 units

Increased productivity(Industrial: 40.000 units;
Automotive: 30,000 units)

Improve automationand save labor

Improve stable supply capacity

Increase cost performance
32
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4-3. Increasing Production Capacity ②Production capacity of Group companies
Basic
Policies

１

Achieve QCDS that meets customer expectations
Mar. 2018

Basic
Policies

Mid-term Management Plan (FY03/19 - FY03/21)

4

Strengthen coordination and maximize synergies with overseas group companies
and institutions

Mar. 2022

Sep. 2022

Mar. 2023

90,00090,00090,00040,00060,00040,00030,00060,00090,00027,00027,00027,000

8,000

8,000

8,000

【Japan】
Head office
Hotoka Plant

56,000
New Plant

Ariake Plant

VehicleTotal fortwo Plants:
130,000【Germany】
Harmonic Drive SE
Limburg Plant

10,000【US】
Harmonic Drive LLC

Beverly Plant

Peabody Plant

3,000

Total: 79,000

3,000台5,500台Total(excl. automotive): 125,000
Total: 185,000

165,000 32.0%UP
255,000 37.8%UP

33

Copyright © 2022 Harmonic Drive Systems Inc.

4-4. Contributing to energy conservation
Basic
Policies

2 Expand RD, AD, and MT businesses by developing valuable products and enhancing services

Contributing to energy conservation by further reducing size and weight

Creating value withcompact, light-weight
products
Compact equipment
reduces installation space
Compact

Lighter weight increases speedof movable parts Shorter takt
time Higher productivity

Smaller motors with higher
reduction ratios reduce energy
consumption
Low energy consumption

Fast

34
Copyright © 2022 Harmonic Drive Systems Inc.

4-4. Contributing to energy conservation ①Development of MINI-MICRO products
2 Expand RD, AD, and MT businesses by developing valuable products and enhancing services

Advanced medicine,amusement

Palm sized robots
www.mecademic.com

Basic
Policies

Courtesy of Mecademic Inc.

Industry’s smallest
Φ5mm

CSF micro series
Starting from Φ10mm

CSF mini series
Starting from □ 20mm

Small collaborative robots,
semiconductor manufacturing
equipment

Courtesy of Techman Robot Inc.

CSF-2UP series
Starting from □ 50mm

CSF-ULW series
Starting from Φ54mm

 Highly-competitive and unmatched products made possible through our Group’s unique strengths
 Secure a position as the industry standard in a rapidly growing market

35
Copyright © 2022 Harmonic Drive Systems Inc.

4-4. Contributing to energy conservation
Basic
Policies②Pursuit of light weight and flatness

2 Expand RD, AD, and MT businesses by developing valuable products and enhancing services

Small-size four-point contact ball bearing

Drones (with cameras)

ＣＳＦ-ULW
SeriesAvatar robots

Reducer contained in a single housing structure

55% lighter thanpast models*Power-assist suits

24% flatter thanpast models*Same allowable torque as pastmodels

Semiconductor
production*Compared to Model 8 (Φ54mm) 2UP type (Unit type) equipment 36
Copyright © 2022 Harmonic Drie Systems Inc.

4-4. Contributing to energy conservation ③Introducing MINI-MICRO Micromotion GmbH
Basic
Policies

2 Expand RD, AD, and MT businesses by developing valuable products and enhancing services

Micromotion GmbH・ Sub-subsidiary of HDSI・ Development, manufacture, and sales of ultra-compact gearboxes
and actuators using the LIGA process**A micro-processing technology using chemical treatment(German acronym for lithography, electroplating, and molding) About Products

Space

TypicalApplications
Semiconductor

Medicine

Opticalinstrument

・ Ultra-compact wave gears
・ Ultra-compact planetary gear speed reducer
・ Outer diameter: 6mm or more・ Reduction ratio: 1/40 to 1/1000
・ Zero backlash

Testingequipment

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Copyright © 2022 Harmonic Drive Systems Inc.

4-5. Next 50 years
Basic
Policies

5 Create new standards that define the next 50 years through outside-the-box thinking

R&D

Production

Sales

Joint research with SRI andothers(new principles andperipheral technologies)

Acquire technologies fromother industries

Seek out partnerships thatlead to meaningful
collaborations

Joint research withJapanese and overseas
venture companies (newmaterials and technologies)

Implement low-cost
operation and horizontal
rollout

Work with overseas
partners to cultivate Asianmarkets

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Copyright © 2022 Harmonic Drive Systems Inc.

4-6. Our sustainability initiatives
We will continue to develop and advance Strain
Wave Gearing, which is a unique and awesome
invention

Our mission
Light
Compact

Hollow

High torqueHigh strength

DevelopHigh accuracy
positioning
New production
methods

Basic Policy of Sustainability (approved on March 25, 2022.）

As a technology and skills-based organization in pursuit of Total
Motion Control, the HDS Group aims to enhance corporate
value and realize a sustainable society by contributing totechnological innovation for the betterment of society. We
intend to achieve these goals based on our management
philosophy comprising four pillars: Respect for individuals, be ameaningful company, coexistence and co-prosperity, andcontribution to society.

Contributeto theAdvance
Efficiency
improvement
Newmaterials

of industrial
society39
Copyright © 2022 Harmonic Drive Systems Inc.

4-7. Our path to sustainability
1970

1980

1990

2000

2020

2010

What should we do based on the ESG activities wehave implemented so far?

2050

・ Construction ofenergy-saving ・ Introduction ofcarbon-free power
factories
・ Solar panels
・ Adoption of LED lighting
in factories
・ Installation of energy-saving
air-conditioning

Activities targeting

・Obtained ISO 14001 certification
・Age ofretirement:
60 years old

・Decided on basic policy for“Green Factories”
・IIDA-KAN museum opens

・65
years
old

・70
years
old

Establishment

・Started Harmonic Lecture Series
・ Equal pay system for direct
and indirect employees
・Started International Symposium・ Internal Control System established・Started Harmonic Concert Series
・IPO
・ Full implementation of・Obtained ISO 9001 ・ Introduction of outside director system
・ Introduction of executive officer system
two days off per week
certification
・Established an Audit & ・ Introduction of Board of Directors
・Started quality-oriented
advisory committee system
Supervisory Board
management

Charter of Corporate Behavior
Management Philosophy

to increase
corporate value
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Copyright © 2022 Harmonic Drive Systems Inc.

4-8. Activities borne from strong employee awareness
Basic
Policies

3

Build a business foundation that meets the demands of the times

Each division undertakes “grass-roots” activities with an awareness of ESG×SDGs

FY2021: Outcomes in ESG×SDGs
Gen. Affairs

Ariake Plant: Complete transition to CO2-free electricity generated
by using water from Azumino City (from April 1, 2022)
Sales

Formed a partnership with DOYA INC., which supports employment
and education in Africa. We wore the company’s shirts at trade shows.
Accounting

Capital investments in Ariake Factory certified under METI’s tax
incentive system for investments in carbon neutrality.
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Copyright © 2022 Harmonic Drive Systems Inc.

Copyright © 2022 Harmonic Drive Systems Inc.

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