2nd Quarter Financial Results for FYE Mar. 2009 (Consolidated)
October 30, 2008
Exchange where listed: TSE

Name of listed company: TERUMO CORPORATION(URL http://www.terumo.com/)
Company code number: 4543
Representative:: Akira Takahashi, President
Please address all communications to: Shouji Hatano, General Manager, Corporate Communication Dept.
Phone: +81 / 3-3217 -6550
2nd Qtr. financial statement will be submitted on : November 13, 2008
: December 8, 2008
Dividends will be paid from
1. Consolidated financial highlights for the interim period ended September 2008
(From April 1, 2008 to September 30, 2008)(1) Consolidated financial results
Net sales

Operating income

Ordinary income

Net income(Millions of yen)%

(Millions of yen)%

(Millions of yen)%

(Millions of yen)%

157,011150,835

13.7

31,45733,531

17.1

32,83733,95316.9

22,991
22,931

24.4

Six months ended September,2008
Six months ended September,2007

Net income per share

Net income per share,
fully diluted(Yen)(Yen)

118.56Six months ended September,2008
115.85Six months ended September,2007(Note) Percentage represent increase (decrease) from the corresponding period in the prior fiscal year.
The amounts shown above ignore values of less than a million yen.
(2) Consolidated financial position
Total assets

Capital asset ratio

Net assets

Net assets per share(Millions of yen)

(Millions of yen)%(Yen)

384,704
410,918

303,933
288,86779.0
70.3

1,566.77
1,489.10

September 30, 2008
March 31, 2008

(Note) Shareholders' equity : September 30, 2008: 303,833 million yen, March 31, 2008: 288,780 million yen.
The amounts shown above ignore values of less than a million yen.

2. Dividends
Ｄividends per share
1st quarter 2nd quarter 3rd quarter 4th quarter

Fiscal year ended March 31,2008
Fiscal year ending March 31,2009
Fiscal year ending March 31,2009 (forecast)

total

(Yen)

(Yen)

(Yen)

(Yen)

(Yen)

-

14.00
16.00
--

18.00
16.00

32.00
32.00

(Note) Revise of dividends forecast : None

3. Consolidated forecast for the year ending March 2009 (From April 1, 2008 to March 31, 2009)
Net sales
Fiscal year ending March, 2009

Operating income

Dividendsper share

Net income

Ordinary income(Millions of yen)%

(Millions of yen)%

(Millions of yen)%

(Millions of yen)

%

(Yen)

310,000

1.2

62,000(7.4)

61,000(5.0)

40,000(7.8)

206.26(Note) Revise of consolidated forecast : Yes(Assumed exchange rate in 2nd half of FY2008: 1US$=95yen, 1Euro=125yen)
Percentages represent increase (decrease) from the corresponding period in the prior fiscal year.

14. Consolidated Financial Statements(1) Consolidated Balance Sheets(Millions of yen)
As of September 30,
2008
Amount(Assets)
I Current Assets

185,620%
48.3%

As of March 31, 2008Amount
218,072

Cash on hand and in banks

49,02687,343

Trade notes/accounts receivable

70,23569,048Merchandise and finished goods

32,02829,647Work in process

6,417

5,735

Raw material and supplies

15,303

13,356

Deferred income taxes - current

7,531

8,998

Other current assets

5,863

4,744

Allowance for doubtful accounts

(785)

(801)

%
53.1%

II Fixed Assets

199,083

51.7%

192,846

46.9%

1. Tangible fixed assets

115,02229.9%

112,744

27.4%

Buildings and structures

43,562

44,121

Machinery and transportation equipment

34,32235,602

Land

20,374

20,404

Construction in progress

9,909

6,412

Other tangible fixed assets

6,854

6,202

2. Intangible fixed assets

33,9678.8%

35,125

Goodwill

29,01530,202Other intangible fixed assets

4,951

4,922

3. Investments and other fixed assets

50,09313.0%

44,976

Investments in securities

36,16740,527

Deferred income taxes - noncurrent

6,809

1,878

Other assets

7,115

2,570

Total Assets

384,7042

100.0%

410,918

8.6%

10.9%

100.0%

(Millions of yen)
As of September 30,2008
Amount(Liabilities)
I Current Liabilities

73,026

Trade notes/accounts payable%
19.0%

As of March 31, 2008
Amount114,457

27,87327,245

Short-term bank loans

240

35,000Accrued income taxes

10,33017,802

Reserve for employees bonuses

4,619

4,782

Reserve for directors bonuses

94

189

Deferred income taxes - current

197

197

Notes and accounts payable on equipment

6,865

5,646

Other current liabilities

22,80523,593

II Long-term Liabilities

7,744

Deferred income taxes - noncurrent

7,593

1036

Reserve for retirement allowance
Reserve for retirement benefits for directorsand corporate auditors

4,177

4,263

659728Other long-term liabilities

2,895

2,565

Total Liabilities(Net Assets)
I Shareholders' Equity

II

2.0%

122,051

29.7%

310,457

80.7%

291,62471.0%

38,716

Capital surplus

59,03059,030Retained earnings

271,536

252,667

Treasury stock(58,826)(58,790)(6,623)Foreign currency translation adjustments

III Minority Interests
Total Net Assets
Total Liabilities and Net Assets

31.8%

21.0%

38,716

Evaluation difference of investment
securities

27.9%

80,770Capital stock

Evaluation Difference and Foreign
Currency Exchange Adjustments%(1.7%)(2,843)(0.7%)

2,786

5,026

(9,410)99

0.0%(7,869)87

0.0%

303,933

79.0%

288,86770.3%

384,704

100.0%

410,918

100.0%

(2) Consolidated Statements of Income(Millions of yen)Six months ended
September 30, 2008
AmountI Net Sales
II Cost of Sales
Gross Profit on Sales
Selling, General and
III Administrative Expenses

Operating Profit
IV Non-operating Income
Interest income

689

Dividend income

251

Royalty income

62

Exchange gain615

Equity in profit of affiliated companies

29

Other non-operating income617%

157,011100.0%

72,72946.3%

84,282

53.7%

52,82433.7%

31,457

20.0%

2,265

1.4%

885

0.5%

32,837

20.9%

V Non-operating Expenses
Interest expenses

125

Sales discount271

Loss on disposal of inventories

151

Other non-operating expenses

336

Ordinary Profit
VI Extraordinary Profit
Gain on sales of fixed assets

3Gain on sales of securities

80

83

0.1%

134

134

0.1%

32,787

20.9%

9,777

6.3%

18
22,9910.0%
14.6%

VII Extraordinary Losses
Loss on disposal of fixed assets

Income Before Taxes
Corporate, Inhabitant and Enterprise Taxes
Deferred Taxes (reduction)
Minority Interest Income (loss) ofconsolidated companies

10,202(424)

Net Income for the Period4(3) Consolidated Statements of Cash Flows(Millions of yen)Six months ended
September 30, 2008
AmountI

Cash Flows from Operating Activities
Income Before Taxes
Depreciation and amortization
Amortization of goodwill
Equity in profit of affiliated companies
Increase(decrease) in reserve for retirement allowance
Increase(decrease) in reserve for retirement benefits for directors
and corporate auditors
Increase(decrease) in allowance for doubtful accountsIncrease(decrease) in reserve for directors bonuses
Interest and dividend income
Interest expenses
Exchange gain (loss)
Loss on disposal of fixed assets
Gain on sales of fixed assets
Gain on sales of securities
Decrease(increase) in trade receivables
Decrease(increase) in inventories
Increase(decrease) in trade payables
OthersSub-totalInterest and dividends received
Interest paid
Income taxes paid

Cash Flows from Operating Activities

32,787
8,534
980
(29)
(114)
(68)
15(94)(941)
125(83)
134
(3)
(80)
(1,234)(5,005)
1,329(6,555)29,696
1,092(200)(17,422)
13,165

II Cash Flows from Investing Activities
Payments for time deposits with maturities
exceeding 3 months
refund of cash in bank
Capital expenditure
Proceeds from sales of tangible fixed assets
Payments for acquisition of intangible fixed assets
Acquisition of investment in securities
Proceeds from sale of marketable securities
Expense relating to acquisition of newly
consolidated subsidiary

Cash Flows from Investing Activities(1,973)
1,831(8,548)3(463)(1)580(3,286)(11,857)

III Cash Flows from financing Activities
Increase(decrease) in short-term bank loan
Buyback of treasury stock
Dividends paid

(35,040)(35)(3,490)(38,566)

Cash Flows from Financing Activities
IV Effect of Exchange Rate Changes on Cash andCash Equivalents
V Change in Cash and Cash Equivalents
VI Cash and Cash Equivalents at Beginning of Period
VII Cash and Cash Equivalents at End of Period

5(1,117)(38,375)
85,37747,001

5. Segment Information(1) Business Segments(Millions of yen)Six months ended
September 30, 2008
AmountOperatingincomeSales
General hospital products
Cardiac & Vascular products
Blood transfusion products
Consumer Home Health Care products
Corporate expenses
Total

75,21966,611
12,586
2,593
157,011

16,115
19,1572,125
143(6,085)31,457(Note) Main products belonging to each product segment

Product segments

Main products

General hospital products
Disposable medical devices
and Medical electronics

Syringes, Needles, Solution Administrative sets, I.V.catheters, Blood collection tubes,
Electronic medical equipments, etc.

Pharmaceuticals

I.V.solutions, Prefilled syringes, Nutritional products, etc.

CAPD products

Dialysis solutions, etc.

Diabetes care products (Hospital)

Blood glucose monitors, etc.

Home parenteral nutrition and oxygen

Home infusion systems, Home oxygen systems, etc.

Cardiac and Vascular productsInterventional systems

Angiographic catheters, PTCA catheters, Coronary stents, Cerebral aneurysm coils,etc.

Cardiovascular systems

Oxygenarators, Roller pumps, Blood tubing sets, etc.

Vascular grafts

Artificial vascular grafts

Blood transfusion products

Blood bags, Medical electronic equipments for blood collection, etc.

Consumer Health Care Products

Digital Thermometers, Blood pressure monitors, Blood glucose monitors (OTC), etc.

(2) Geographic segments(Millions of yen)Six months ended
September 30, 2008
AmountSales to customer

JapanEurope
Americas
Asia and others
Corporate expenses
Total

81,35530,73628,941
15,977
157,011

Internal sales

24,643
1,814
3,394
7,237
(37,090)-(3) Sales results by regions(Millions of yen)Six months ended
September 30, 2008
Amount%Japan
81,33051.8%
Europe30,736
19.6%
Americas28,941
18.4%
Asia and others
16,002
10.2%
Total
157,011100.0%(Note) Sales in 'Asia and others' includes direct sales from Japan.
6Operatingincome

28,225
4,271
1,521
4,102(6,663)
31,457Reference information :Consolidated Financial Statements of the previous year
1. Consolidated Statements of Income(Millions of yen)Six months ended
September 30, 2007%

AmountNet sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income / expenses

150,835

100.0%

67,98145.1%

82,85454.9%

49,322

32.7%

33,531

22.2%

421

Ordinary income

33,953Extraordinary income / expenses

22.5%

941

Income before taxes

34,895

Corporate, inhabitant and enterprise taxes

23.1%

11,945

Minority interests

18

Net income for the period

22,931

15.2%

2. Consolidated Statements of Cash Flows(Millions of yen)Six months ended
September 30, 2007
Cash flows from operating activities

33,454

Cash flows from investing activities(13,867)

Cash flows from financing activities

19,191

Effect of exchange rate changes on cash and cash equivalents

409

Change in cash and cash equivalents

39,187

Cash and cash equivalents at beginning of period

43,049Cash and cash equivalents at end of period

82,236

7

3. Segment Information(1) Sales results by product segments(Millions of yen)Six months ended
September 30, 2007
Amount%Disposable medical equipments

42,03027.9%

Pharmaceuticals

20,559

13.6%

Blood transfusion systems

11,460

7.6%

General hospital products

74,05049.1%

Catheter systems

37,62924.9%

Cardiovascular systems

19,014

12.6%

Vascular grafts

4,950

3.3%

Cardiac & vascular products

61,595

40.8%

CAPD systems

3,609

2.4%

Diabetes care products

6,977

4.6%

Other products

4,602

3.1%

Home health care products

15,189

10.1%

Total

150,835

100.0%(Note) Main products belonging to each product segment
Product segments
Disposable medical equipmentPharmaceuticals
Blood transfusion systems

Main products
Syringes, Needles, Solution Administrative sets, I.V.catheters,
Blood collection tubes, Electronic medical devices, etc.
I.V.solutions, Prefilled syringes, Nutritional products, etc.

Cardiovascular systems

Blood bags, Blood transfusion administrative sets, Medical
electronic devices for blood collection, etc.
PTCA dilation catheters, Coronary stents, Guide wires,
Angiographic catheters, Cerebral aneurysm coils, etc.
Roller pumps, Hollow fiber oxygenators, Blood circuits, etc.

Vascular grafts

Artificial vascular grafts

CAPD systems

Dialysis solutions, etc.

Diabetes care products

Blood glucose monitors, etc.

Other productsHome oxygen systems, Digital Thermometers, Electronic
sphygmomanometers, etc.

Catheter systems(2) Sales results by regions(Millions of yen)Six months ended
September, 2007
Amount%Japan

79,517

52.7%

Europe27,31018.1%

America

28,85919.1%

Asia and Others

15,148

10.1%

Total

150,835

100.0%

8