Financial Results for FYE/Mar 2009

Terumo Corporation
May 13, 20091

Financial Results(Unit: Billion yen)

Net Sales

Rate of change

FYE/Mar.2008

FYE/Mar.2009

306.4

302.7

-1%

Gross profit(%)

168.2（54.9%）

158.2（52.3%）-6%

S.G.A Expenses(%)

101.3（33.1%）

104.2（34.5%）

3%

Operating Income (%)

66.9（21.8%）

54.0（17.8%） -19%

Ordinary Income (%)

64.2（21.0%）

52.6（17.4%） -18%

Net Income

43.4

36.9

Average exchange rate

1 US$ 114 yen
1EUR 162 yen

101 yen
144 yen-15%

12.0% yen appreciation
10.8% yen appreciation2

Net Sales (by Region)(Unit: Billion yen)Japan・Outside Japan total : -1% (+ 5% Excluding impact of foreign exchange)
FYE Mar.
2008

Ratio of sales outside Japan to total sales : 47%Æ46%

FYE Mar.
2009( ) :Excluding the impact offoreign exchange

Japan 0%Outside Japan total : -2% (+ 12% Excluding impact of foreign exchange)
162.5 162.1- 2%- 4%0%（＋12%）（＋10%）（＋17%）

56.8

55.7

58.8

56.5
28.4

JapanEuropeAmericas

28.4

Asia3

Net Sales (by Product Group)(Unit: Billion yen)- 4%
（ - 1%）＋2%

FYE Mar.
2008（＋11%）

FYE Mar.
2009( ) :Excluding the impact offoreign exchange＋1%152.0 146.5

124.8

127.0

（＋10%）- 12%（ - 11%）

23.5

23.9
6.1

GeneralHospital

Cardiac & Vascular

Blood
Transfusion

5.3

Consumer
Health-care

4

S.G.A Expenses(Unit: Billion yen)

101.3

104.2

33.1
％

34.5
％

FYE Mar. 2008

FYE Mar. 2009

PersonalLogistics
Sales Promotion
R&D
Depreciation Goodwill

OthersFYEMar. 2008

FYE
Mar. 2009

Change%

36.7
9
10.5
15.8
1.3
28

37.4
9.1
10.9
17.2
2.2
27.4

+0.7
+0.1
+0.4
+1.4
+0.9-0.62%1%5%
9%68%-2%5Net Sales & Operating Income Trends(Unit: Billion yen)

[Net Sales][Operating Income]

Foreign Exchange▲19.0
Revised NHI price ▲ 4.7▲ 2.5
Hepaflush
OthersForeign Exchange
Revised NHI price
Changing the accounting& tax system

▲6.5
▲4.7
▲2.0
Others

306.4

302.7

66.9
54.0

FYE Mar.
2008

FYE Mar.
2009

FYE Mar.
2008

FYE Mar.
2009
6Strategyfor This Fiscal Year7

Projected Results
Substantial Double Digit Growthin Rising Income and Profits Growth Rate (Same Rate)(Unit: Billion yen)

FYE/Mar 2009FYE/Mar. 2010

Results

Forecast

302.7

315.0%(same rate)

4%

10%

Operating Income (%) 54.0（17.8%） 56.0（17.8%） 4%
Ordinary Income (%) 52.6（17.4%） 56.0（17.8%） 6%

16%

Net Sales

36.9

Net Income
Average exchange rate

1 US$
1EUR

101 yen
144 yen37.5
95 yen125 yen

2%

19%
14%
101 yen
144 yen8

Growth in Both Japan and Outside of Japan<Anticipated rising income this fiscal year>

Japan ＋14.3 Billion yen

Out of Japan ＋14.9 Billon yen
Excluding the impact of foreign exchange＋1.9General
Hospital＋6.8＋11.8
BloodTransfusion＋0.5Consumer
Health-care＋0.7

Cardiac & Vascular＋6.3＋1.1＋0.1
9JapanJointly Developed with Kyowa Hakko Kirin
New Prefilled Syringe, “NESP”, to be Launched May 14.
‐Remedy for renal anemia to be administered at the timeof artificial dialysis for renal failure patients‐Development of special syringes based on the needs of
medical practice‐Improved safety and efficiency with unique shape of tip

Mobilelure lock

When dialysis circuit
is connectedWith an ordinary
intravenous injection
10Japan

New Business of “Prefilled Syringes” is Expanding＜Sales＞
Remedyfor renal anemia(Unit: Billion yen)
14

Parasympathomimetics
Voluntary recallof Hepaflush

12

Radiocontrast

10

Hepatoprotective agent
8Heparin6

preparation
4

Vitamins
Electrolyte

20
FYE Mar.2000

FYE Mar.2002

FYE Mar.2004

FYE Mar.2006

FYE Mar.2008

FYE Mar.2010 Forecast※Prefilled syringe: syringes prefilled with appropriate medicine※Voluntary recall of Hepaflush : Preventive voluntary recall resulting
from quality issues of overseas active pharmaceutical ingredients manufacturers

11

JapanCardiac & Vascular Products Showing Double Digit Growth◆Direct sales of vascular grafts began‐Directly sell vascular grafts from Vascutek (Terumo's subsidiary in UK)‐Expanding sales of Triplex aortic conduit
Vascular Graft◆Preparing to be No.1 in interventional businessin Japan‐To launch PTCA balloon catheter this fiscal year
‐To expand the share of Intravascular ultrasound catheter◆Synergy with Terumo Clinical Supply
Training at Pranex

12GlobalThe Interventional Business is
Enjoying High Growth for All Products

New factory at Ashitaka will support increasing production
in 2009 (To be completed fall in 2009)
・Nuero coils・Misago(Unit: Billion yen)10025%(CAGR)
22%

・Nobori・Hiryu・Runthrough NS

14%・Diagnostic guide wires

8060

NeuroPTCA Balloon catheters, Stents
40

・Introducer sheath20

Basic commodity

・Angiographic catheters

0FYE Mar.2007

FYE Mar.2008* Compared with the same rate as FY 2009

FYE Mar.2009

FYE Mar.2010 Forecast

13

GlobalDevelopment Strategies
EuropeJapan・Clinical trials
・Launch initial sales

・Production technologies
・Upgrades and improvements

Misago（ Stent for femoral andpopliteal artery disease ）The United States・New technologies

Preparing for simultaneous clinical tests
in Japan and US◆Mutually utilize clinical data in Japan and US◆Market growth of more than 15% per year
◆Global market will be 100 billion yen in scale in five years time14

Emerging Countries

Big Focus on The Chinese Market＜Terumo’s Share＞

70%◆China: Strengthen sales structure ofinterventional systems

Diagnostic guide wire
3 billion yen Market（US $ M）

20%

60

＜ Sales transition in China＞

40Others

200

PTCA balloon catheter
7 billion yen Market

Interventional products
Mar. 2005

Mar. 2007※ Diagnostic guide wire and PTCA balloon catheter（Terumo estimate） 15

Mar. 2009 Mar. 2010 forecast

Blood Transfusion Products

Business Development of TACSI Accelerating in Europe(TACSI: Automated blood centrifuge and separation system)◆Promote efficiency of preparation process◆Developing it into a major product with 20 billion yen sales＜Preparation process image＞

Leuko Reduction

Centrifugal

Separation

TACSI

Preparations

16

Recovering Trend
Net Sales

Operating Income(Unit: Billion yen)170160
150

50

164.0
151.0

157.0

145.7
31.5

30.0

40

26.0

140

30

22.6

130120

20110
100

10
1st halh

2nd half

FYE Mar.2009

1st halh

2nd half

FYE Mar.2010 Fcst.
US$1=95yen , Euro1=125yen
17

Impact of Foreign Exchange（yen）

1st half ▲6 Billion yen

2nd half ▲0.6 Billion yen

170(* Including other local currencies)

160

EUR

150
140

FYE Mar.2010 EUR

130(Projected Rates)120

US$110FYE Mar.2010 US$(Projected Rates)

100
90
Apr.

2008

May.

Jun.

Jul.

Aug

Sep.

Oct.

Nov.

Dec.

Jan.

2009

Feb.

Mar.

Summary◆Anticipate to rise income and profits◆New pillars for growth◆Improving global clinical development

19

IR Contact
TERUMO Corporation
Corporate Communication (IR) Dept.
E-mail: kouhou_terumo01@terumo.co.jp

Among the information that Terumo discloses, forecasts of financial
performance on future projections contain potential risks and uncertainty
since these are forecasts on projections made by Terumo based on limited
information available at the moment of disclosure. Accordingly, it should be
noted that actual results may differ from those forecasts on projections due
to various factors. Factors affecting to actual results include, but are notlimited to, changes in economic conditions surrounding Terumo, fluctuationsof foreign exchange rates, and state of competition.

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