The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)

Consolidated Financial Statements for the Second Quarter Ended September 30, 2021
FY2022 (April 1, 2021 – March 31, 2022) [UNAUDITED]
November 9, 2021
Takara Bio Inc.
Tokyo Stock Exchange (1st section)4974
https://www.takara-bio.co.jp
Koichi Nakao, President & CEO
Takuya Kakemi, Executive Officer, Head of Corporate
Management Division
Tel. (077) 565-6970
Scheduled date of quarterly statement filing:
November 12, 2021
Scheduled date of starting delivery of dividends:
Supplementary documents of the financial results:
Yes
Financial results information meeting:Yes
Notes: 1. The accompanying financial statements have been prepared in accordance with accounting principles andpractices generally accepted in Japan.
2. Amounts are rounded down to the nearest million yen.

Company name:
Stock exchange listings:
Code number:
URL:
Company representative:
Contact:

1. Results for the six months ended September 30, 2021 (Apr. 1, 2021 – Sep. 30, 2021)(1) Consolidated operating results(Percentages indicate changes from the same period of the previous fiscal year.)Six months ended
Sep. 30, 2021
Net sales
Operating profit
Ordinary profit
Net income (loss) attributable to owners ofparent
Net income per share (in yen)
Fully diluted net income per share (in yen)
(Note) Comprehensive income(Millions of yen)
31,551
14,105
14,241
10,00983.12
12,390Six months ended
Sep. 30, 2020
(%)

(%)

81.4
277.5
272.8
340.1

(Millions of yen)
17,393
3,736
3,820
2,274

5.7
23.1
29.0
9.6

670.4

18.89
1,608

36.0

(2) Consolidated financial position

Total assets
Net assets
Equity ratio (%)
Net assets per share (in yen)
(Reference) Equity

As of Sep. 30, 2021
(Millions of yen)

As of Mar 31, 2021
(Millions of yen)

104,777
84,76680.7
702.51
84,59289,75074,30282.7
616.0574,181

2. Dividends
Year ended
Mar. 31, 2021

Year ended
Mar. 31, 2022

Annual dividends per share in yen
Year ending
Mar. 31, 2022 (Forecast)First quarter end－－
Second quarter end
0.00
0.00
Third quarter end－
Year end
16.00
Annual16.00(Note) Revision of dividend payment forecast since the most recently announced payment forecast: Yes

－

24.00
24.00

The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)
3. Forecast for the year ending March 31, 2022 (Apr. 1, 2021 – Mar. 31, 2022)(Percentages indicated changes from the same period of the previous fiscal year.)Year ending Mar. 31, 2022
(Millions of yen)

Net sales
59,300Operating profit
20,000Ordinary profit
20,200Net income attributable to owners of the parent
14,100Net income per share (in yen)
117.09[Note] Revision of financial forecast since the most recently announced payment forecast: Yes
※

(%)
28.7
43.3
42.7
47.7

Others(1) Changes in subsidiaries during the six months ended September 30, 2021
(Changes in specified subsidiaries resulting in change of scope) ： No
Newly included: － (Name)
Excluded: － (Name)(2) Application of special accounting methods to the consolidated quarterly financial statements: No(3) Changes in accounting policies, changes in accounting estimates, and retrospective restatement
1) Changes based on revisions of accounting standard： Yes
2) Changes in accounting policies other than 1)： No
3) Changes in accounting estimates： No4) Restatement： No
NOTE: For details, please refer to "(4) Notes to Consolidated Quarterly Financial Statements (Changes in
Accounting Policies)" of "2. Consolidated Quarterly Financial Statements and Primary Notes" on page 9 of theattached material.
(4) Number of outstanding shares (Common stock)1) Number of outstanding shares at year end (Treasury stocks are included)
120,415,600
As of September 30, 2021
As of March 31, 2021
120,415,600
2) Number of treasury stocks at year end
As of September 30, 2021
As of March 31, 2021
3) Average number of outstanding shares
120,415,600
As of September 30, 2021
120,415,600
As of September 30, 2020※

These quarterly financial statements are not subject to auditing.

※Comment regarding appropriate use of earnings forecasts and other special notes
Forward-looking statements contained in this document are determined by the Takara Bio Company based on information
currently available to the Company and include a number of uncertainties. Actual results could differ from these forecasts
due to changes in conditions that occur in the future. For information regarding the above, please refer to “1. Qualitative
Information for the six months ended September 30, 2021 (4) Qualitative Information Regarding Consolidated Forecasts”,
on page 2 of the attached document.

The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)
Contents of the attached document
1. Overview of Financial Results for the six months ended September 30, 2021……………………………………………....
(1) Overview of Financial Results……………………………………………………….………….………….………….....
(2) Overview of Financial Position………………………………………………...…………………………...…….............
(3) Overview of Cash Flows…………………………………………………………….…………………………….……...
(4) Qualitative Information Regarding Consolidated Forecasts..…………………………………………………………….
2. Consolidated Quarterly Financial Statements and Primary Notes...........................................................................................
(1) Consolidated Quarterly Balance Sheets………………………………………………………………………..................
(2) Consolidated Quarterly Statements of Profit or Loss and Consolidated Quarterly Statements of Comprehensive Income.........
(Consolidated Quarterly Statements of Profit or Loss)(For the six months Ended September 30, 2021)…………………………………………………………………......
(Consolidated Quarterly Statements of Comprehensive Income)(For the six months Ended September 30, 2021)……………………………………………………………………..
(3) Consolidated Quarterly Statements of Cash Flows ……………………………………………………………………….
(4) Notes to Consolidated Quarterly Financial Statements…………………………………………………………………...
(Notes on Premise of Going Concern) ………………………………………………………………………………….
(Notes in case of Changes in Marked Amount of Shareholders’ Equity)……………………………………………….
(Changes in Subsidiaries during the six months ended September 30, 2021) ………………………………………….
(Changes in Accounting Policies) ………………………………………………..…………..…………..………….….
(Additional Information)………………………………………………..…………..…………..…………..…………...
(Segment Information)……………………………………………………………………………..……………….…...
(Significant Subsequent Events) ………………………………………………………………………………………..
3. Supplementary Information…………………………………………………………………………………………………..
(1) Trends in Key Indicators for Business Management……………………………………………………………………..
(2) Comparative Consolidated Statement of Income ………………………………………………………………………..
(3) Comparative Statement of Income Relating to Consolidated Financial Forecasts……………………………………….

- 1 -

2
2
2
2
2
4
4
6
6
7
8
9
9
9
9
9
9
9
9
11
11
12
13

The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)
1. Overview of Financial Results for the six months ended September 30, 2021
(1) Overview of Financial Results
The outlook for the global economy in the second quarter of the current fiscal year is uncertain due to the prolonged trade friction
between the U.S. and China and the impact of the new Coronavirus disease (COVID-19).
Against these circumstances, Takara Bio (the Group) is promoting initiatives to advance the development of fundamental biologics
development technologies and become a biologis development company that continuously creates new modalities through theReagents and Instruments and CDMO business under the six-year Long-Term Management Plan FY2026, which ends in fiscal
2026, and the three-year Medium-Term Management Plan FY2023, which ends in fiscal 20231.
In the second quarter of the fiscal year under review, although sales of Gene Therapy decreased year on year, sales of Reagents,
Instruments, and CDMO increased year on year. Especially in Reagents, in addition to PCR test-related products for the newCoronavirus, sales of reagents for general research, which are on a recovery trend, increased. Net sales increased to ¥31,551 million(up 81.4% year on year). Cost of sales increased to ¥8,056 million (up 44.7% year on year) due to an improvement in the cost of
sales ratio in CDMO, and gross profit increased to ¥23,495 million (up 98.6% year on year). Selling, general and administrative(SG&A) expenses were ¥9,389 million (up 16.1% year on year), mainly due to an increase in personnel expenses and R&D
expenses. Operating income was ¥14,105 million (up 277.5% year on year).
As a result of the increase in operating income, ordinary income increased to ¥14,241 million (up 272.8% year on year), income
before income taxes and others increased to ¥14,203 million (up 332.8% year on year), and net income attributable to owners of theparent increased to ¥10,009 million (up 340.1% year on year).
Since our group is a single segment, the disclosure by segment is omitted.

(2) Overview of Financial Position
Total assets at the end of the second quarter under review were ¥104,777 million, an increase of ¥15,027 million from the end of
the previous fiscal year. This was mainly due to an increase of ¥6,596 million in cash and deposits and an increase of ¥5,702
million in property, plant and equipment resulting from interior finishing work for a new office building of Takara Bio USA, Inc.
and our acquisition of manufacturing facilities.
Total liabilities at the end of the second quarter under review were ¥20,011 million, an increase of ¥4,563 million from the endof the previous fiscal year. This was mainly due to an increase of ¥4,345 million in other current liabilities.
Total net assets at the end of the second quarter under review were ¥84,766 million, an increase of ¥10,464 million from the endof the previous fiscal year. This was mainly due to an increase of ¥8,082 million in retained earnings and an increase of ¥2,304
million in foreign currency translation adjustments due to the yen's depreciation.

(3) Overview of Cash FlowsNet cash provided by operating activities amounted to ¥9,914 million, an increase of ¥4,360 million from the same period of theprevious fiscal year. This was mainly due to attributable to income before income taxes and others of ¥14,203 million, cash
inflow from depreciation and amortization of ¥1,670 million, income taxes paid of ¥3,854 million, and cash outflow from anincrease in inventories of ¥1,076 million.
Net cash used in investing activities amounted to ¥10,686 million, an increase of ¥8,268 million from the same period of theprevious fiscal year. This was mainly due to payments into time deposits of ¥10,340 million, purchase of tangible and intangible
fixed assets of ¥5,367 million, and proceeds from subsidies received of ¥3,349 million and withdrawal of time deposits of ¥1,702
million.
Net cash used in financing activities amounted to ¥1,992 million, an increase of ¥962 million from the same period of theprevious fiscal year, mainly due to cash dividends paid of ¥1,922 million.
As a result of the above, the balance of cash and cash equivalents at the end of the second quarter of the current fiscal year,
including the effect of exchange rate changes on cash and cash equivalents, decreased by ¥2,195 million from the end of theprevious fiscal year to ¥21,113 million.

(4) Qualitative Information Regarding Consolidated Forecasts
The financial forecast and dividend forecast announced in the first quarter financial results report on August 3, 2021 have been

1

FY2026 and FY2023 refer to the fiscal year ending March 2026 and 2023, respectively.
- 2 -The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)
revised. For details, please refer to "Notice of Revision of Financial Forecast and Dividend Forecast (Dividend Increase)"announced today (November 9, 2021).
For comparison of the revised consolidated financial forecasts with the previous fiscal year's results and the previous financial
forecasts, please refer to the "Comparative Statement of Income Relating to Consolidated Financial Forecasts" on page 13.

- 3 -The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)
2. Consolidated Quarterly Financial Statements and Primary Notes(1) Consolidated Quarterly Balance Sheets(Millions of yen)
As of Mar. 31, 2021
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
LandConstruction in progress
Others
Accumulated depreciation
Others, net
Total Property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investments and other assets
Total investments and other assets
Total non-current assets
Total assets- 4 -As of Sep. 30, 2021

25,993
12,626
4,966
1,316
2,901
1,352
(41)
49,11532,58913,640
5,520
1,643
3,526
1,225
(39)
58,107

15,670(5,147)
10,522
7,058(3,760)3,297
7,673(5,141)
2,531
8,143
3,756
1,796
(282)
1,514
29,766

16,966(5,681)
11,285
7,991(4,223)
3,767
8,717(5,584)
3,132
8,310
7,482
1,858
(367)
1,491
35,469

6,149
3,224
9,373

6,319
3,128
9,447

1,495
1,495
40,63589,7501,753
1,753
46,670104,777

The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)(Millions of yen)
As of Sep. 30, 2021

As of Mar. 31, 2021
Liabilities
Current liabilities
Notes and accounts payable-trade
Accrued income taxes
Provision
Other
Total current liabilities
Non-current liabilities
Retirement benefit liabilities
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Share capital
Capital surplus
Retained earnings
Total shareholders' equity
Accumulated other comprehensive income
Foreign currency translation adjustment
Cumulative remeasurements of retirement
benefit
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

- 5 -

2,077
3,146
739
7,228
13,191

1,639
3,720
834
11,574
17,768

800
1,456
2,256
15,448

793
1,448
2,242
20,011

14,96532,89327,08574,945

14,96532,89335,16883,027

(529)

1,775

(234)

(210)

(763)
120
74,30289,7501,565
173
84,766
104,777

The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)(2) Consolidated Quarterly Statements of Profit or Loss and Consolidated Quarterly Statements of Comprehensive Income(Consolidated Quarterly Statements of Profit or Loss)(For the six months ended September 30, 2021)(Millions of yen)Six months ended
Sep. 30, 2021

Six months ended
Sep. 30, 2020
Net sales
Cost of sales
Gross profit
SG&A expenses
Employees' salaries and bonuses
Retirement benefit expenses
R&D expenses
Provision for doubtful accounts
Other
Total SG&A expenses
Operating profit
Non-operating profit
Interest income
Foreign exchange gains
Rent income from real estate
Other
Total non-operating profit
Non-operating expenses
Interest expenses
Rent expenses on real estate
Other
Total non-operating expenses
Ordinary profit
Extraordinary profit
Gain on sale of fixed assets
National subsidies
Total extraordinary profit
Extraordinary losses
Loss on disposal of fixed assets
Asset shrinkage losses
Loss on liquidation of business
OthersTotal extraordinary losses
Income before income taxes and others
Income taxes-current
Income taxes-deferred
Total income taxes
Net income
Net income attributable to non-controlling interest
Net income attributable to owners of the parent- 6 -17,393
5,565
11,82731,551
8,056
23,495

2,082
98
2,403
291
3,214
8,090
3,736

2,411
115
2,659
451
3,752
9,389
14,105

60
2
61
18
143

65
36
65
11
179

12
24
22
59
3,820

11
29
1
43
14,241

1
1

0
1,188
1,188

25
464
49
539
3,281
1,203
(212)
990
2,291
16
2,274

38
1,188
1,227
14,203
4,401
(253)
4,148
10,05445
10,009

The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)(Consolidated Quarterly Statements of Comprehensive Income)(For the six months ended September 30, 2021)(Millions of yen)Six months ended
Sep. 30, 2021

Six months ended
Sep. 30, 2020
Net income
Other comprehensive income
Foreign currency translation adjustment
Remeasurements of retirement benefit
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to:
Owners of the parent
Non-controlling interest

- 7 -

2,291

10,054

(699)
16
(683)
1,608

2,312
23
2,335
12,3901,598
912,337
53

The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)(3) Consolidated Quarterly Statements of Cash Flows(Millions of yen)Six months ended
Sep. 30, 2020
Net cash provided by (used in) operating activities
Income before income taxes and others
Depreciation and amortization
Depreciation and amortization on other
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in other provision
Increase (decrease) in retirement benefit liabilities
Interest income
Interest expenses
Loss (gain) on sale and retirement of fixed assets
Loss on liquidation of business
Decrease (increase) in trade receivables-trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable-trade
Increase (decrease) in other current liabilities
OthersSubtotalInterest and dividend income received
Income expenses paid
Income taxes paid
Subsidies received
Net cash provided by (used in) operating activities
Net cash provided by (used in) investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Proceeds from sales and redemption of securities
Purchase of property, plant and equipment andintangible assets
Proceeds from sales of property, plant and equipment
and intangible assets
Purchase of other depreciable assets
Subsidies received
OthersNet cash provided by (used in) investing activities
Net cash provided by (used in) financing activities
Dividends paid
Repayments of lease obligations
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period- 8 -Six months ended
Sep. 30, 2021

3,281
1,631
42
246
1
52
(7)
(60)
12
24
464
572
(1,481)
374
1,178
(14)
6,318
70
(12)
(822)
5,553

14,203
1,670
46
245
(3)
72
(7)
(65)
11
38
(766)
(1,076)
(621)
(834)
119
13,03376(11)(3,854)671
9,914(1,657)
3,122
2,000

(10,340)
1,702-(5,750)(5,367)

14

0

(141)
(4)
(2,417)

(28)
3,349
(1)
(10,686)

(961)
(68)
(1,030)(209)
1,897
14,462
16,360(1,922)(69)(1,992)568(2,195)23,308
21,113

The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)(4) Notes to Consolidated Quarterly Financial Statements(Notes on Premise of Going Concern)
No items to report.
(Notes in case of Changes in Marked Amount of Shareholders’ Equity)
No item to report.
(Changes in Subsidiaries during the six months ended September 30, 2021)
From the first quarter of the current fiscal year, Takara Bio UK Ltd, newly established as a 100% subsidiary of Takara Bio Europe
S.A.S. has been included in the scope of consolidation.
(Changes in Accounting Policies)(Application of Accounting Standard for Revenue Recognition)
The Company adopted the "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020, hereinafterreferred to as the "Accounting Standard for Revenue Recognition") from the beginning of the first quarter of the current fiscal year
and recognized revenue when control of promised goods or services is transferred to customers in an amount that is expected to bereceived in exchange for those goods or services.
With regard to the application of the Accounting Standard for Revenue Recognition, in accordance with the transitional treatment
stipulated in the provisions of paragraph 84 of the Accounting Standard for Revenue Recognition, the cumulative effect ofretrospectively applying the new accounting policy prior to the beginning of the first quarter of the current fiscal year was added toor deducted from retained earnings at the beginning of the first quarter of the current fiscal year, and a new accounting policy wasapplied from the beginning balance of the current fiscal year.
As a result, there was no impact on the Company's profit and loss for the second quarter of the current fiscal year. In addition,
there is no impact on the balance of retained earnings at the beginning of the fiscal year.
(Additional Information)(Accounting Estimates for the Impact of the COVID-19)
No material changes have been made to the assumptions used in the previous fiscal year, including the future spread and timing of
convergence of the COVID-19.
(Segment Information)[Segment Information]
Since our group is a single segment, this information is omitted.
(Significant Subsequent Events)[Significant termination of the agreement]
At a meeting of the Board of Directions held on November 9, 2021, the Company resolved to terminate the license agreements
below with Otsuka Pharmaceutical Co. Ltd. (Otsuka) and terminated the agreement on the same day by mutual consent with Otsuka;
these are, “License agreement for development and commercialization of an Oncolytic Virus, HF10” and “License agreement for
co-development and exclusive sales of CD19 CAR gene therapy product.
(1) Reason for the agreement termination
1) Oncolytic Virus, HF10*
Based on the results of a Phase I clinical trial for pancreatic cancer, the Company and Otsuka examined the development planfor pancreatic cancer and other types of cancer, and decided to terminate the agreement by considering the time required for
future development and other factors.
2) CD19 CAR gene therapy productBecause of the prolonged Phase I/II trial for adult acute lymphoblastic leukemia and the developing status of other related
investigational products, we decided to terminate the agreement.
(2) Name of the counterparty to the agreement
Otsuka Pharmaceutical Co., Ltd.
- 9 -The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)(3) Date of the agreement termination
November 9, 2021
(4) Details of the agreement
1) Oncolytic Virus, HF10*
The Company and Otsuka co-develop the gene therapy product by using HF10 hereinafter the product in Japan. The Company
grant Otsuka exclusive rights to market the product for all indications in Japan, and receive an upfront payment, milestone
payments based on the progress of development and lump-sum payment based on the achievement of net sales targets. In
addition, the Company retain the rights to manufacture the product for clinical trials and the further commercialization andsupply Otsuka on a chargeable basis.
2) CD19 CAR gene therapy
The Company and Otsuka co-develop the CD19 CAR gene therapy product in Japan. The Company grants Otsuka exclusive
rights to market the product for all indications in Japan and the first refusal right for nine Asian countries outside Japan. The
Company receive an upfront payment, milestone payments based on the progress of development. In addition, the Company
retain the rights to manufacture the product for clinical trials and the further commercialization and supply Otsuka on achargeable basis.
(5) Significant impact of termination of agreement on business activities, etc.
The technical, intellectual property and other rights of the Oncolytic Virus and the CD19 CAR gene therapy product licensed to
Otsuka under the agreements are returned to the Company with the termination. The milestone payments, lump-sum payments
and the sales revenues on the further commercial supply will not occur.
* Generic name at the time of agreement, canerpaturev (abbreviation C-REV)- 10 -

The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)
3. Supplementary Information(1)Trends in Key Indicators for Business Management
1) Cash Flows(Millions of yen)Six months ended
Six months ended
Year ended
Sep. 30, 2020
Sep 30, 2021
Mar. 31, 2021
(Apr. 1, 2020 – Sep. 30, 2020) (Apr. 1, 2021 – Sep. 30, 2021) (Apr. 1, 2020 – Mar. 31, 2021)
Cash flow from operating
activities
Cash flow from investing
activities
Cash flow from financing
activities

5,553

9,914

13,943(2,417)(10,686)(3,778)(1,030)(1,992)(1,103)2) Sales Breakdown by Region(Millions of yen)Six months ended
Six months ended
Year ended
Sep. 30, 2020
Sep 30, 2021
Mar. 31, 2021
(Apr. 1, 2020 – Sep. 30, 2020) (Apr. 1, 2021 – Sep. 30, 2021) (Apr. 1, 2020 – Mar. 31, 2021)
6,906
15,43920,475

Japan
United States

3,634

4,548

7,862

China
Asia excluding Japan and
China
Europe

3,449

5,472

8,415

1,394

3,450

4,917

1,678

2,526

3,743

330

113

671

17,39331,551

46,086

OthersTotal- 11 -

The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)(2) Comparative Consolidated Statement of Income(Rounded down to one million yen)Six months
ended
Sep. 30, 2020

Six months
ended
Sep. 30, 2021

13,33625,966

Y/YchangeY/Y
Ratio(Net sales)
Reagents
Instruments
CDMO

12,629

94.7%

466

712

245

52.6%

3,373

4,732

1,358

40.3%

Gene therapy

215

140

(75)

(35.0%)

Total net sales

17,39331,551

14,15881.4%

Net sales

17,39331,551

14,158

81.4%

Cost of sales

5,565

8,056

2,490

44.7%

Gross profit

11,82723,495

11,667

98.6%

SG & A expenses

8,090

9,389

1,298

16.1%

336

406

69

20.8%

(Operating profit and Loss)

Transportation expenses
Advertising expenses

31

28

(2)

(8.4%)

Promotion expenses

276

305

29

10.8%

R&D expenses

2,403

2,659

255

10.6%

Administrative expense, other

4,883

5,714

831

17.0%

160

275

114

71.2%

3,736

14,105

10,368277.5%

143

179

36

25.3%

Enterprise taxes (external standards taxation)
Operating profit(Non-operating income and Expenses)
Non-operating income

59

43

ሺ16ሻ

(27.7%)

3,820

14,241

10,421272.8%

Extraordinary income

1

1,188

1,187

-

Extraordinary losses

539

1,227

687

127.6%

3,281

14,203

10,921332.8%

Non-operating expenses
Ordinary profit(Extraordinary income & Losses)

Profit before income taxes and others
Income taxes

990

4,148

3,157

318.8%Net income

2,291

10,054

7,763

338.8%Net income (loss) attributable to non-controllinginterests

16

45

28

170.1%Net income attributable to owners of the parent

2,274

10,0097,734

340.1%

Depreciation and amortization(Property, plant and equipment and intangible assets)

1,631

1,670

38

2.4%

Amortization of goodwill
246
245
(0)
(0.4%)※ From the first quarter of the current fiscal year, the names of the categories of net sales have been changed from "Research reagents","Scientific instruments" and "Contract services" to "Reagents", "Instruments" and "CDMO".

- 12 -

The original disclosure in Japanese was released on November 9, 2021 at 15:00 (GMT+8)(3) Comparative Statement of Income Relating to Consolidated Financial Forecasts(Rounded down to one million yen)
Year
ended
Mar. 31,2021
ActualYear
endingMar. 31,2021
Previous
forecast

Year
endingMar. 31,2021
Current
forecast

Reagents

35,18940,594

46,375

11,186

31.8%

5,781

14.2%

Instruments

1,726

1,542

1,388

(337)

(19.6%)(153)(9.9%)CDMO

Y/Y
ChangeY/Y
Ratio

Previous
forecast
ChangePrevious
forecast
Ratio(Net sales)

8,901

11,346

11,388

2,486

27.9%

41

0.4%

Gene therapy

268

716

146

(121)

(45.4%)(569)(79.5%)

Total Net Sales

46,08654,20059,30013,213

28.7%

5,100

9.4%

46,08654,20059,30013,213

28.7%

5,100

9.4%

(Operating profit and Loss)
Net sales
Cost of sales

14,214

16,932

18,797

4,582

32.2%

1,864

11.0%

Gross profit

31,87237,26740,502

8,630

27.1%

3,235

8.7%

SG & A expenses

17,91920,267

20,502

2,583

14.4%

235

1.2%

Transportation expenses

742

831

865

123

16.6%

34

4.1%

Advertising expenses

57

62

63

6

10.5%

0

1.3%

Promotion expenses
R&D expenses
Administrative expenses, other
Enterprise taxes(external standards taxation)
Operating profit(Non-operating income andExpenses)Non-operating income
Non-operating expenses
Ordinary profit

676

810

759

82

12.3%

(51)

(6.3%)

5,545

6,003

5,974

429

7.7%

(28)

(0.5%)

10,496

12,12812,346

1,850

17.6%

217

1.8%

401

430

493

91

22.9%

63

14.8%

13,952

17,00020,000

6,047

43.3%

3,000

17.6%

308

258

317

8

2.9%

58

22.6%

101

158

117

15

15.8%

(41)

(26.2%)

14,15917,10020,200

6,040

42.7%

3,100

18.1%

518

4,780

4,934

4,415

851.6%

154

3.2%

1,125

4,849

4,999

3,873

344.2%

149

3.1%

13,552

17,03020,135

6,582

48.6%

3,104

18.2%

3,971

5,082

5,979

2,008

50.6%

897

17.7%

9,581

11,94814,155

4,573

47.7%

2,206

18.5%

34

48

55

20

61.0%

6

13.8%

9,547

11,90014,100

4,552

47.7%

2,200

18.5%

3,220

3,687

3,623

403

12.5%

(64)

(1.7%)

486

473

496

10

2.2%

23

4.9%

(Extraordinary income & Losses)
Extraordinary income
Extraordinary losses
Income before income taxes
and others
Income taxes
Net income
Net income (loss) attributable
to non-controlling interests
Net income attributable toowners of parent
Depreciation and amortization(Property, plant andequipment and intangible
assets)Amortization of goodwill※1 From the first quarter of the current fiscal year, the names of the categories of net sales have been changed from "Research reagents","Scientific instruments" and "Contract services" to "Reagents", "Instruments" and "CDMO".

- 13 -