Among the information that Terumo discloses, the forward-looking statements including financial projections arebased upon our assumptions using information available to us at the time and are not intended to be guarantees offuture events or performance. Accordingly, it should be noted that actual results may differ from those forecasts orprojections due to various factors. Factors affecting to actual results include, but are not limited to, changes ineconomic conditions surrounding Terumo, fluctuations of foreign exchange rates, and state of competition. The
market share information in this presentation is partly derived from our own independent research. Information
about products (including products currently in development) which is included in this material is not intended toconstitute an advertisement or medical advice.

Terumo Corporation
November 14, 2022

Q&A Session at the Financial Results Briefingfor the First Half of FY22
Outlined below are the Q&As from the financial results briefing on November 10, 2022.

Ken Hata, IR Terumo: Mr. Kohtani, please go ahead. One or even two is fine.
Motoya Kohtani: The first thing is, I’m looking at pages five and six right now, and to behonest, I’m a little dissatisfied because the gross margin effect is exactly the same in Q1
and Q2. To put it in a nasty way, it looks like you’re not doing anything, so I would like
you to break this down and explain it.
As I recall, there is no longer an inflation impact, new business investment, and also theproduction adjustment that was there last year, so please break this down in more detailand explain. For example, inflation probably worsened in Q2 as well, but theimprovement in the mix actually contributed. It would be helpful if you could tell us
something like that. This is the first point.
Hata: Thank you.
First of all, that is true. It looks exactly the same at JPY 3.5 billion in Q1 and Q2. Inflation
actually worsened from Q1 to Q2, thereby worsening by just under JPY1 billion. Actually,
offsetting that is the improvement in the company mix, and if you remember, in Q2 lastyear, there was a Delta variant of COVID-19, and the percentage of the Cardiac andVascular Company as a whole was down. They are offset and just equal. First of all,that’s the big structure.
Also, we are trying to control the start-up costs of source plasma collection business from
Q1 to Q2 so that they do not increase. In other words, the increase in inflation was offset
by the positive company mix, resulting in the same amount.
Kohtani: Does the cost of source plasma eventually become inventory or somethingelse, or does this remain an expense all the time?
Hata: No. Since this has begun mass production, the items made are recorded ininventory. However, since this is set at standard cost for the full year, the production

Among the information that Terumo discloses, the forward-looking statements including financial projections are
based upon our assumptions using information available to us at the time and are not intended to be guarantees offuture events or performance. Accordingly, it should be noted that actual results may differ from those forecasts orprojections due to various factors. Factors affecting to actual results include, but are not limited to, changes ineconomic conditions surrounding Terumo, fluctuations of foreign exchange rates, and state of competition. Themarket share information in this presentation is partly derived from our own independent research. Information
about products (including products currently in development) which is included in this material is not intended toconstitute an advertisement or medical advice.

ramp-up has not yet started up at all, so there will be unfavorable variances in H1 of theyear. We are at that stage now.
Kohtani: Do you envision this shrinking gradually?
Hata: Yes, that’s right. We are currently working on a plan to open our first center inAugust, and to open 300 centers across the US in one year. I think the number of centerswill increase quite a bit in H2 of the year. We are just getting started.
Kohtani: I understand.
Now, with your permission, this is the second and final point. I am concerned that on
page three it says that medical demand, including the number of procedures, isrecovering. I am thinking that maybe the growth rate in Q2 in local currency for C&V inthe Americas is around 8% to 9%. This is a bit higher than I thought, compared to about
2% in Q1. Is my thinking correct?
Also, I think that in the end, the effect of the contrast agent shortage is gone, and thenumber of surgeries is back, but according to the reports from hospitals in the US, it
seems that the number is not recovering very well, and also there seem to be no referrals
from clinics due to the shortage of healthcare professionals and the low number of visits.
As far as interventional procedures are concerned, is it correct to say that the effects ofthe shortage of healthcare professionals, clinic visits, et cetera, have already been
resolved in the US?
Hata: As for Q2 in the US, we have not recovered at all yet. If we look at Americas total,
it appears to be recovering, but in fact, Latin America is supporting, albeit on a smallerscale. North America is still weak. According to the information from there, there are still
effects of the contrast agent. Toward the latter half of this Q3, that will finally recover, so
North America, the largest market, will grow in H2.
Also, the hospital staff shortage is not expected to recover in the short term, according
to the feedback from the local staff, and I think the competitors probably say the samething. Rather than this starting due to COVID-19, it was originally there before andsurfaced in the COVID-19 era. We have heard that the shortage is now about 500,000
people, so rather than waiting and hoping for an early resolution, we are going to provide
solutions that will enable us to solve the issues on the frontlines, assuming that staff
shortages will become the norm.

Among the information that Terumo discloses, the forward-looking statements including financial projections arebased upon our assumptions using information available to us at the time and are not intended to be guarantees offuture events or performance. Accordingly, it should be noted that actual results may differ from those forecasts orprojections due to various factors. Factors affecting to actual results include, but are not limited to, changes in
economic conditions surrounding Terumo, fluctuations of foreign exchange rates, and state of competition. The
market share information in this presentation is partly derived from our own independent research. Information
about products (including products currently in development) which is included in this material is not intended toconstitute an advertisement or medical advice.

As you know, in the Cardiac and Vascular Company, TRI and vascular closure devices
can be solutions for staff shortages. In addition, the Neurovascular’s WEB device canstreamline skills of case procedures. We are going to provide solutions to the problems
that currently plague the medical community, so please look forward to the growth of ourbusiness down the road.
Kohtani: I understand. Thank you very much.
Hata: Mr. Yamazaki, please go ahead.
Yuki Yamazaki: I am Yamazaki from Daiwa Securities. Thank you. I would like to ask
one question about the Relay series.
You say that H1 of the year saw a strong performance in Japan, but is this due to thefact that you obtained approval for dissection indication, plus the fact that you expanded
your promotional activities accordingly? Also, are you able to obtain more approval in
the US in H2 of the year as you plan? Let me confirm that the reinforcement of the sales
promotion system is making steady progress in order to achieve that.
Hata: Thank you.
In the Cardiac and Vascular Company, TA (Terumo Aortic) and stent grafts are growing
along with Neurovascular. As you mentioned, we are obtaining more indication approvalfor RelayPro in the US and increasing the number of facilities in Japan now. The numberof accounts we have been able to open has not yet met even 1/2 of our goals. This isalso true in the US.
Additional dissection indication in the US has been applied for, but the approval will comelater. In that context, there is still room for growth. Since we have hybrid now, and sincethat will grow from now in the US, if we open accounts and increase the number ofdoctors who can use them, that will bring us more growth.
First, I would like to call those who are present in the venue, so Mr. Akahane, please go
ahead with your question.
Takashi Akahane: Let me ask one question about performance. May I ask one question
about the President’s part as well?
Shinjiro Sato, Terumo: Okay.
Akahane: Thank you.

Among the information that Terumo discloses, the forward-looking statements including financial projections arebased upon our assumptions using information available to us at the time and are not intended to be guarantees offuture events or performance. Accordingly, it should be noted that actual results may differ from those forecasts or
projections due to various factors. Factors affecting to actual results include, but are not limited to, changes ineconomic conditions surrounding Terumo, fluctuations of foreign exchange rates, and state of competition. The
market share information in this presentation is partly derived from our own independent research. Information
about products (including products currently in development) which is included in this material is not intended toconstitute an advertisement or medical advice.

First, regarding business performance, I am comparing pages five and six with theprevious Q1 documents. As you said, if you look at pages five and six, they are indeed
the same as Q1, but you explained that a considerable increase in raw materials wasoffset, and the exchange rate differed in that flows exceeded stocks in Q1. In short, theelimination of unrealized profit was erased by the actual benefit of the exchange rate,
but is it correct to say that Q2 really saw the benefit of the weaker yen?
Hata: The yen weakened from Q4 to Q1 and from Q1 to Q2. In Q2 alone, the impact
from flow exceeded the impact from stock.
However, the page you are looking at now says JPY 3.1 billion, but as Muto explained,
the margin will inevitably decline because sales will be inflated by the yen’s depreciation
to a much greater extent. Stock is affected by the rate at the end of each quarter. It isdifficult to foresee what will happen in the future. I can say that in H1 of the year, we are
finally seeing positive results.
Akahane: The exchange rate at the end of the period has quite an impact on theaverages alone?
Hata: That’s true of flow, with averages. For stock, the rate of the snapshot at the end of
the period is affected.
Akahane: I understand very well.
Let me ask the President. Regarding manufacturing operations, in the past you naturally
expanded into China to increase cost competitiveness, but now it is more of Buy China,
or local production for local consumption. Then logistics costs have gone up andcontainer prices have gone down a bit again. Is this what you are taking into account?
Europe and the US account for 50% of your sales, right? Do your current operations takeinto account the total risk in that area?
Sato: Yes, that’s right. In the past, the mainstream concept was to assume a truly
borderless world, with production at the world’s optimum location and transport to allparts of the world at the lowest cost. However, in today’s world, there are also geopoliticalrisks and COVID-19 has created regional supply risks, so as far as major markets areconcerned, we must ship from places which are close to the center of the target markets.
In China, in particular, we should increase intra-regional production within China becauseof further geopolitical risks.

Among the information that Terumo discloses, the forward-looking statements including financial projections arebased upon our assumptions using information available to us at the time and are not intended to be guarantees of
future events or performance. Accordingly, it should be noted that actual results may differ from those forecasts orprojections due to various factors. Factors affecting to actual results include, but are not limited to, changes ineconomic conditions surrounding Terumo, fluctuations of foreign exchange rates, and state of competition. Themarket share information in this presentation is partly derived from our own independent research. Information
about products (including products currently in development) which is included in this material is not intended toconstitute an advertisement or medical advice.

Costa Rica guarantees supply capacity at a lower price to the US market. As youmentioned, Costa Rica can ship to Japan and China, and, of course, is very close toEurope. I believe that Costa Rica, Japan, and Asia will form a tri-polar system.
Akahane: With other equipment, they inevitably have to buy Chinese goods due to theBuy China policy. We don’t know what will happen in the US if Mr. Trump becomespresident. This is also the case in Italy. Are you responding to such risks?
Sato: Yes, that’s right. We have quite many bases in the US now, and in the event thatMr. Trump really does become President and some policy comes out, we are able torespond with speed to the distribution between Costa Rica and the US. The US andCosta Rica are very close, and we can shift based on US policy. We can be flexible inthis regard.
In China, of course, there is a clear move toward a Buy China policy. We are consideringtaking the lead by acquiring a company called ESSEN to build a very strong production
base there and respond to the new era.
Akahane: I understand very well. Thank you very much.
Hata: Next, Mr. Yamaguchi from Citigroup Global Markets, who is joining us online.
Please go ahead.
Hidemaru Yamaguchi: Question for Mr. Sato. You have discussed themes one throughfour in the GS26 production strategy, but please explain the most difficult and the mostunique of these themes.
Sato: Yes. The one that will take the longest to realize is still China. ESSEN is all set,but the Hangzhou Factory is still practically producing for Japan. We have various ideas
now, but one major critical theme is to switch to a new type of portfolio within a shortperiod of time, and we would like to do so with acceleration. It is difficult, but we will tackle
it as a serious issue.
Then what is unique is the third theme. Since that issue in FY2018, we have made it alarge project, connecting all the factories in the world, all the factories in TIS, and wehave included people from all companies in the project, not only procurement, HR, andproduction, but also the supply chain, and I’m doing it with commitment.
The project has been going on for three or four years now, generating not merely ideas
from the frontlines, but managerial decisions to make it effective. This is an attempt toAmong the information that Terumo discloses, the forward-looking statements including financial projections arebased upon our assumptions using information available to us at the time and are not intended to be guarantees of
future events or performance. Accordingly, it should be noted that actual results may differ from those forecasts orprojections due to various factors. Factors affecting to actual results include, but are not limited to, changes in
economic conditions surrounding Terumo, fluctuations of foreign exchange rates, and state of competition. The
market share information in this presentation is partly derived from our own independent research. Information
about products (including products currently in development) which is included in this material is not intended toconstitute an advertisement or medical advice.

produce companywide output that has never been done before. This is unique and isstarting to produce solid results. I think this is turning out to be a very interesting project.
Hata: Next questioner, Credit Suisse Securities, Mr. Sakai, please go ahead.
Fumiyoshi Sakai: Please tell us about specific, noticeable price increases measures inH2 of the year.
Naoki Muto, Terumo: Thank you.
Regarding the price increase, first of all, in Japan, we have revised prices as ofNovember 1. I believe the effect of this will be immediate.
Overseas, in the US and Europe, we are continuing to raise prices, especially for Cardiac& Vascular products, so the effects of Q1 will continue to be felt in Q2 and beyond. Inaddition to this, we are expecting to see effects in Japan.
In Japan, TMCS products will be the main targets. In the US and overseas, the TIS
products will be the main target.
Hata: Mizuho Securities, Mr. Mori.
Takahiro Mori: Briefly, I understand that you are selling off your autologous biologics
business and nutrition business. Do you plan to continue to actively sell your businesses
and continue to transform your portfolio in the future? That is all.
Sato: I, Sato, would like to answer this question.
We have been reviewing our entire portfolio in preparation for the launch of GS26. We
are really trying to identify products that have stable and unshakable winning potential
and products that have challenges. For those that have challenges and also have suchexternal opportunities, I think we will continue to move forward with divesting them fromour portfolio or switching to partnerships.
It may not be frequent, but we will continue to manage our portfolio quantitatively at alltimes, and we will keep you informed of any changes.
Hata: This concludes the financial results briefing of Terumo Corporation.
Thank you for your participation.

Among the information that Terumo discloses, the forward-looking statements including financial projections are
based upon our assumptions using information available to us at the time and are not intended to be guarantees offuture events or performance. Accordingly, it should be noted that actual results may differ from those forecasts orprojections due to various factors. Factors affecting to actual results include, but are not limited to, changes ineconomic conditions surrounding Terumo, fluctuations of foreign exchange rates, and state of competition. The
market share information in this presentation is partly derived from our own independent research. Information
about products (including products currently in development) which is included in this material is not intended toconstitute an advertisement or medical advice.

[END]