February 9, 2023

Consolidated Financial Results
for the Third Quarter Ended December 31, 2022
Terumo Corporation〔IFRS〕

Company name: TERUMO CORPORATION
Listing:
Tokyo Stock Exchange
Securities code:
4543
URL:
https://www.terumo.com/
Representative:
Shinjiro Sato, President and CEO
Inquiries:
Kenichi Hata, General Manager, Investor Relations Dept.
Telephone:+81-3-6742-8550
Scheduled date to file quarterly securities report:
February 13, 2023
Scheduled date to commence dividend payments:－
Preparation of supplementary material on quarterly financial results: Yes
Holding of quarterly financial results briefing:
Yes (for Securities analysts, Institutional
investors)(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the nine months ended December 31, 2022 (from April 1, 2022 to
December 31, 2022)(1) Consolidated operating results (cumulative)
Revenue
Nine months
ended
December 31,
2022
December 31,
2021

Operating profit

Profit before tax

Profit attributableto owners of theparentProfit for theperiodTotal
comprehensive
incomeMillions ofyen%Millions ofyen%Millions ofyen%Millions ofyen%Millions ofyen%Millions ofyen%

617,99318.1

93,514(1.0)

92,100(1.0)

70,180(2.1)

70,180(2.1)

139,14436.4

523,482

16.7

94,45525.5

93,04424.2

71,69622.6

71,69622.3

102,045182.9

Basic earnings
per share
Nine months
ended
December 31,
2022
December 31,
2021(Percentages indicate year-on-year changes.)

Diluted earnings
per share
Yen

Yen

93.25

93.21

94.82

94.76

(Note) Adjusted operating profit December 2022: 109,607 million yen

December 2021: 107,157 million yen(2) Consolidated financial position
Total assets
As ofTotal equity

Equity attributable toowners of the parent

Ratio of equity
attributable to owners of
the parent to total assets

Millions of yen

Millions of yen

Millions of yen

December 31, 2022

1,543,470

1,073,711

1,073,711

69.6%

March 31, 2022

1,473,693

1,012,313

1,012,313

68.7

2. Cash dividends
Annual dividends per shareFirst quarter-end

Second quarter-end

Third quarter-end

Yen

Yen

Yen

Fiscal year ended
March 31, 2022
Fiscal year ending
March 31, 2023

－

16.00

－

－

19.00

－

Fiscal year-end

Fiscal year ending
March 31, 2023
(Forecast)

Total

Yen

Yen

18.00

34.00

21.00

40.00

(Note) Revision from the dividend forecast, which is published in the most recent: Yes
The company revises fiscal year-end dividends per share for the fiscal year ending March 2023 from 19yen
to 21yen.
Please refer to the February 9, 2023 press release, “Notice Concerning Revision of the Year-end Dividend
Forecast for Fiscal Year Ending March 31, 2023 (Dividend Increase).”3. Consolidated Forecast for the Fiscal Year Ending March, 2023 (From April 1, 2022 to March 31, 2023)(Percentages indicate year-on-year changes.)
Adjusted operating
profitRevenue
Fiscal year ending
March, 2023

Profit for the year
attributable to ownersof the parent

Operating profit

Earnings per share

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

815,000

15.9

143,000

6.4

122,000

5.2

91,5003.0

121.90(Note) Revision of forecast for the fiscal year ending March, 2023: Yes
Regarding the forecast for cumulative consolidated earnings for the fiscal year, please refer to the February
9th, 2023 press release “Notice Concerning Revision of the Full-Year Financial Guidance for Fiscal YearEnding March 31, 2023 (FY2022)”.
•Assumed exchange rate for fiscal year ending March, 2023: USD1=JPY135, EUR1=JPY140•Assumed exchange rate for fourth quarter of fiscal year ending March, 2023: USD1=JPY130, EUR1=JPY140

*Notes(1) Changes in significant subsidiaries during the current quarterly consolidated cumulative period (changes in
specified subsidiaries resulting in changes in the scope of consolidation): Yes
New － Company (Company Name) －, Excluded 1 Company (Company Name) Terumo Yamaguchi
D&D Corporation
As of October 1, 2022, Terumo Yamaguchi D&D Corporation is excluded from the scope of consolidation due
to its extinguishment following the exclusion of an absorption-type merger in which Terumo Yamaguchi
Corporation, the Company’s subsidiary, was the surviving company and Terumo Yamaguchi D&D
Corporation was the extinguished company.
(2) Changes in accounting policies and changes in accounting estimates(i) Changes in accounting policies required by IFRS: None(ii) Changes in accounting policies other than (i): None(iii) Changes in accounting estimates: None
(3) Number of shares outstanding (common stock)(i) Number of outstanding shares at the end of
the period (including treasury shares)

As of December 31,
2022

759,521,040 shares As of March 31, 2022

759,521,040 shares(ii) Treasury shares at the end of the period

As of December 31,
2022

14,926,739 shares As of March 31, 2022

3,194,976 shares(iii) Average number of shares during theperiod (cumulative quarterly)

Nine months ended
December 31, 2022

752,618,446 shares

Nine months ended
December 31, 2021

756,170,427 shares* Quarterly financial statements are not subject to quarterly reviews by certified accountants or audit firms.
* Explanation on appropriate use of financial results forecasts and other special notes
1. Forward-looking statements, including earnings forecasts, contained in these disclosure materials are based on
currently available information and assumptions believed to be reasonable by management. This is not apromise or guarantee by Terumo that it will achieve these goals. In addition, actual results may differ
significantly due to several factors. For the assumptions that are the premise of the earnings forecast and theprecautions for using the earnings forecast, refer to [Attachment], page 5, “1. Overview of Financial Results
for the First Nine Months of the Fiscal Year Ending March 31, 2023 (3) Forecasts, including the Consolidated
Financial Results for the Fiscal Year Ending March 31, 2023”.
2. Adjusted operating profit factors out amortization expense for intangible assets obtained during acquisitions
and one-off income and expenses from operating profit. In addition, adjusted operating profit is consistent
with segment profit. We are disclosing adjusted operating profit as we are using it as a performance indicator.

[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

 Table of contents of attached materials
1. Overview of Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2023 ................. 2(1) Overview of Consolidated Business Results ..................................................................................................... 2(2) Overview of Consolidated Statement of Financial Position .............................................................................. 5(3) Forecasts, including the Consolidated Financial Results for the Fiscal Year Ending March 31, 2023 ............. 5
2. Condensed Consolidated Financial Statements ..................................................................................................... 6(1) Condensed Consolidated Statement of Financial Position ................................................................................ 6(2) Condensed Consolidated Statement of Profit or Loss and Condensed Consolidated Statement ofComprehensive Income .................................................................................................................................. 8(3) Condensed Consolidated Statement of Changes in Equity.............................................................................. 10(4) Notes Pertaining to Condensed Consolidated Financial Statements ................................................................ 11(i) Going Concern Assumption ........................................................................................................................... 11(ii) Segment Information .................................................................................................................................... 11(iii) Impairment of Non-Financial Assets .......................................................................................................... 14(ⅳ) Subsequent Events ...................................................................................................................................... 14－ 1 －[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

1. Overview of Financial Results for the First Nine Months of the Fiscal Year Ending March 31, 2023
(1) Overview of Consolidated Business Results
In the first nine months of the current fiscal year (from April 1, 2022 to December 31, 2022), the Group’s sales
trended strongly in general amid the recovery in medical demand which had declined in the previous fiscal
year due to the COVID-19 pandemic, as well as due to the positive impact by yen depreciation.
Adjusted operating profit rose as higher revenue, hikes to selling prices, and stricter measures to control costs
partially offset increases in manufacturing costs caused by inflation.
Financial results for the first nine months are as follows:(Unit: Millions of yen)
For the ninemonths ended
December31, 2021

For the ninemonths ended
December31, 2022

Growthexcluding impactof FX
translations (%)

Revenue523,482

617,993

18.1

5.6

Gross profit

278,841

318,347

14.2

3.2

Adjusted operating profit

107,157

109,607

2.3

(5.5)

Operating profit

94,45593,514

(1.0)

(6.0)

Profit before tax

93,044

92,100(1.0)－

Profit for the period

71,69670,180(2.1)－

Profit for the period
attributable to owners of theparent71,69670,180(2.1)－

Growth (%)

Revenue by geographic areas for the first nine months is as follows:(Unit: Millions of yen)

Geographic areas

For the ninemonths ended
December31, 2021

For the ninemonths ended
December31, 2022

Growth (%)

Growthexcluding
impact of FX
translations
(%)

Japan

155,034

157,044

1.3

1.3

Europe103,997

118,615

14.1

4.6

Americas161,219

212,363

31.7

8.1

China

44,60556,62827.0

8.6

Asia and others

58,62573,341

25.1

10.2

Overseas total

368,447

460,948

25.1

7.5

Total

523,482

617,993

18.1

5.6

－ 2 －

[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

Revenue
Revenue totaled ¥618.0 billion, an increase of 18.1% versus the same period in the previous fiscal year.
In Japan, overall revenue increased by 1.3% year on year, amid strong revenue from Pharmaceutical Solutions
division, which pursues alliance business with pharmaceutical companies, and Hospital Care Solutions divisionin the surgical field, despite a delayed recovery in medical demand due to the eighth wave of the COVID-19
pandemic.
Revenue overseas increased by 25.1% year on year owing to double digit growth across all companies centered
on TIS (catheter) division because of the steady recovery in medical demand.
ProfitGross profit totaled ¥318.3 billion, an increase of 14.2% versus the same period in the previous fiscal year,
because the effects of higher revenue and hikes to selling prices partially offset increases in manufacturing costs
caused by inflation.
Adjusted operating profit was ¥109.6 billion, an increase of 2.3% versus the same period in the previous fiscal
year. This was attributed to stricter measures to control costs which partially offset the increase in selling, generaland administrative expenses resulting from yen weakness.
Operating profit, profit before tax, and profit for the period attributable to owners of the parent each declined due
to such impacts as increased amortization expense for acquired intangible assets, an adjustment item, caused by
yen weakness.
Adjusted operating profit is a non-IFRS performance indicator that we disclose. Adjusted operating profit factors
out amortization expense for intangible assets obtained during acquisitions and one-off income and expenses
from operating profit. In addition, adjusted operating profit is consistent with segment profit.
Adjusted operating profit is being used as an indicator for corporate management to grasp earnings performancein each business as a part of our goal to achieve sustainable growth in the mid- to long-term. We believe this isalso effective data for individuals using our financial statements to assess the Terumo Group’s earnings.

－ 3 －[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

Revenue results of the reportable segments are as follows:
The reportable segment which was previously named “General Hospital Company” was changed to “Medical
Care Solutions Company” from the previous fiscal year. This change in name does not affect the segment
information. In accordance with this change, the name of the reportable segment for the nine months ended
December 31, 2021 was also changed to “Medical Care Solutions Company”.
(Unit: Millions of yen)

Revenue

294,403358,90721.9

Growthexcluding
impact of FX
translations(%)
6.2(Japan)38,47838,379

(0.3)

(0.3)

(Overseas)

255,924

320,528

25.2

7.2

Revenue

138,733

145,5114.9

1.7(Japan)107,664

110,149

2.3

2.3(Overseas)

31,06935,361

13.8

(0.4)

Revenue

90,154

113,388

25.8

10.0

(Japan)

8,700

8,329

(4.3)

(4.3)

(Overseas)

81,453105,058

29.0

11.5

For the ninemonths ended
December31, 2021

Segment

Cardiac and
VascularCompany
Medical Care
SolutionsCompany
Blood and Cell
Technologies
Company

For the ninemonths ended
December31, 2022

Growth (%)

Cardiac and Vascular Company
In Japan, overall revenue declined slightly year on year as the recovery in medical demand lagged due to theimpacts of the eighth wave of COVID-19. Despite this, Vascular Graft division posted a substantial increase inrevenue from the launch of new products. Overseas, revenue increased 25.2% year on year amid the recovery
and growth of medical demand as well as strong sales across all divisions underpinned by the new products of
Vascular Graft division. Global revenue increased 21.9% over the same period of the previous fiscal year to¥358.9 billion.
Medical Care Solutions Company
In Japan, revenue increased by 2.3% year on year due to the solid sales of Pharmaceutical Solutions division andadhesion barrier product in Hospital Care Solutions division, despite the lagging recovery in medical demand.
Overseas, revenue was strong, up 13.8% year on year. Global revenue increased 4.9% over the same period of
the previous fiscal year to ¥145.5 billion.
Blood and Cell Technologies Company
In Japan, sales declined year on year, impacted by the lagging recovery in medical demand. Overseas, revenue
increased substantially by 29.0% year on year, driven by the recovery in blood transfusion demand in Asia andother regions as well as strong demand for blood component collection systems in North America. Global
revenue increased 25.8% over the same period of the previous fiscal year to ¥113.4 billion.

－ 4 －[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

(2) Overview of Consolidated Statement of Financial Position
Total assets stood at ¥1,543.5 billion, an increase of ¥69.8 billion. This was mainly owing to an increase ininventories of ¥38.5 billion due to the impacts of yen weakness in foreign exchange rates, as well as property,
plant and equipment of ¥22.9 billion and goodwill and intangible assets of ¥21.7 billion due to theaforementioned foreign exchange rates impact and investment in manufacturing facility and new IT systems,
which offset the decrease in cash and cash equivalents of ¥42.9 billion from acquisition of treasury share.
Total liabilities came to ¥469.8 billion, an increase of ¥8.4 billion. This was mainly attributed to the increasein bonds and borrowings of ¥5.7 billion due to the aforementioned foreign exchange rates impact.
Total equity was ¥1,073.7 billion, an increase of ¥61.4 billion. This mainly reflects an increase from posting
profit for the period of ¥70.2 billion, while the booking of other comprehensive income associated with theaforementioned foreign exchange rates impact resulted in a ¥69.0 billion increase, which offset the decrease of¥50.1 billion from the acquisition of treasury shares and the decrease of ¥27.9 billion from dividends fromretained earnings.
(3) Forecasts, including the Consolidated Financial Results for the Fiscal Year Ending March 31, 2023
At present, we must continue to monitor risks such as uncertainty about subsequent waves of COVID-19
infections and other impacts caused by the infections, such as a drop in demand, supply chain disruptions,rising manufacturing costs, and reduced operation levels at the plants, etc. Nevertheless, we plan to focus ondevelopment, launch, and expansion of highly value-added products and solutions that will boost the quality
and efficiency of healthcare, along with further improvement to manufacturing costs, and effective use of
selling, general and administrative expenses.

－ 5 －[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

2. Condensed Consolidated Financial Statements(1) Condensed Consolidated Statement of Financial Position（Unit: Millions of yen）
As of
December 31, 2022

As ofMarch 31, 2022
AssetsCurrent assets
Cash and cash equivalents

205,251

162,388

Trade and other receivables

135,998

154,063

Other current financial assets

63

240

198,536

237,071

Current tax assets

778

2,536

Other current assets

18,086

18,490Total current assets

558,713574,791

Property, plant and equipment

333,864

356,716

Goodwill and intangible assets
Investments accounted for using
the equity method
Other non-current financial assets

514,801

536,502

4,133

3,644

25,937

34,627

Deferred tax assets

20,19821,589Other non-current assets

16,043

15,597

Total non-current assets

914,979

968,678

1,473,693

1,543,470

Inventories

Non-current assets

Total assets－ 6 －[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

（Unit: Millions of yen）
As of
December 31, 2022

As ofMarch 31, 2022
Liabilities and Equity
Liabilities
Current liabilities
Trade and other payables

81,54583,787

Bonds and borrowings

1,121

11,214

Other current financial liabilities

7,228

7,262

Current tax liabilities

14,104

18,362499

354

Other current liabilities

73,222

74,713

Total current liabilities

177,721

195,695

Bonds and borrowings

224,875

220,492

Other non-current financial liabilities

30,297

29,175

Deferred tax liabilities

12,746

10,160Retirement benefit liabilities

5,811

5,171

113

125

Other non-current liabilities

9,813

8,937

Total non-current liabilities

283,658

274,063

461,379

469,758

Share capital

38,716

38,716

Capital surplus

51,921

51,937

Treasury shares(6,229)(56,020)

Retained earnings

846,978

891,992

Other components of equity
Total equity attributable to owners of
the parent
Total equity

80,926

147,085

1,012,313

1,073,711

1,012,313

1,073,711

1,473,693

1,543,470

Provisions

Non-current liabilities

Provisions

Total liabilities
EquityTotal liabilities and equity－ 7 －[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

(2) Condensed Consolidated Statement of Profit or Loss and Condensed Consolidated Statement ofComprehensive Income(Condensed Consolidated Statement of Profit or Loss)（Unit: Millions of yen）
For the nine months ended
For the nine months ended
December 31, 2021
December 31, 2022
Revenue523,482
617,993
Cost of sales
244,641
299,646
Gross profit
278,841
318,347
Selling, general and administrative expenses
183,738
224,136
Other income
1,814
8,226
Other expenses
2,461
8,922
Operating profit
94,45593,514
Finance income
759
1,915
Finance costs
2,603
3,466
Share of profit/(loss) of investments
433
136
accounted for using the equity method
Profit before tax
93,044
92,100
Income tax expenses
21,34821,920
Profit for the period
71,69670,180Attributable to:
Owners of the parent
Total profit for the period

71,696
71,69670,18070,180Earnings per share
Basic earnings per share (yen)Diluted earnings per share (yen)

94.82
94.76

93.25
93.21

－ 8 －

[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

(Condensed Consolidated Statement of Comprehensive Income)

Profit for the period

For the nine months ended
December 31, 2021
71,696（Unit: Millions of yen）
For the nine months ended
December 31, 2022
70,180

106

1,982

15

864

121

2,847

30,01865,723

228

734

(20)

(341)

30,227

66,11730,34868,964

102,045

139,144

102,045

139,144

102,045

139,144

Other comprehensive income
Items that will not be reclassified to profit orloss
Changes in financial assets measured at fairvalue through other comprehensive income
Remeasurements of defined benefit plans
Total items that will not be reclassified to
profit or loss
Items that are or may be reclassified
subsequently to profit or loss
Exchange differences on translation offoreign operations
Cash flow hedges
Cost of hedging
Total items that are or may be reclassified
subsequently to profit or loss
Total other comprehensive income/(loss)
for the period
Total comprehensive income for the period
Attributable to:
Owners of the parent
Total comprehensive income for the period(Note) Items in the above statement are net of tax.

－ 9 －[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

(3) Condensed Consolidated Statement of Changes in Equity

Share
capitalBalance as of April 1, 2021
Profit for the period
Other comprehensive income
Total comprehensive income
Acquisition of treasury shares
Disposal of treasury shares
Dividends
Transfer from othercomponents of equity toretained earnings
Share-based payments
Conversion of convertible
bonds
Total transactions with owners of
the parent
Balance as of December 31,
2021（Unit: Millions of yen）
Total

(2,123) 856,662
71,696－30,34830,34830,348 102,045
(2)
－
(27)
0
－ (23,440)

Total equity

38,716－－－－－－

51,829
－
－
－
－
(5)
－

(6,838)
－
－
－
(2)
33
－

775,078
71,696－
71,696－－(23,440)

－

－

－

(156)

156

－

－

－

62

91

－

26

180

180

－

(11)

470

－

－

459

459

－

45

592

(23,597)156 (22,803)(22,803)38,71651,874(6,245)823,177

SharecapitalBalance as of April 1, 2022
Profit for the period
Other comprehensive income
Total comprehensive income
Acquisition of treasury shares
Disposal of treasury shares
Dividends
Transfer from othercomponents of equity toretained earnings
Share-based payments
Total transactions with owners of
the parent
Balance as of December 31,
2022

Equity attributable to owners of the parent
Other
Capital Treasury Retained
components
surplussharesearnings
of equity

28,381Equity attributable to owners of the parent
Other
Capital Treasury Retained
components
surplussharesearnings
of equity

935,904

856,662
71,69630,348102,045(2)
0(23,440)

935,904（Unit: Millions of yen）
Total

Total equity

38,716－－－－－－51,921
－
－
－
(56)
17
－

(6,229)－－－(50,002)87－

846,978
70,180－70,180－－(27,924)

－

－

－

2,758

(2,758)

－

－

－

54

123

－

57

235

235

－

15

(49,791)(25,165)(2,805) (77,747)(77,747)

38,716

51,937(56,020)

891,992

147,085 1,073,711

1,073,711－ 10 －

80,926 1,012,313－
70,18068,964
68,964
68,964 139,144－ (50,058)(105)
0－ (27,924)

1,012,313
70,18068,964
139,144(50,058)
0(27,924)

[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

(4) Notes Pertaining to Condensed Consolidated Financial Statements(i) Going concern assumption
Not applicable(ii) Segment information(1) General information on reportable segments
The reportable segments of the Group represent business units for which separate financial information isavailable, and are reviewed regularly at the Board of Directors meeting to make decisions about allocation ofmanagement resources and assess the performance of the business.
The Group applies an in-house company system classified by product groups. The headquarter of each in-housecompany plans their own comprehensive domestic and international strategies and conducts their own businessactivities.
The three segments are Cardiac and Vascular Company, Medical Care Solutions Company, and Blood and Cell
Technologies Company.
The segment which was previously stated as “General Hospital Company” has been changed to “Medical Care
Solutions Company” from the fiscal year ended March 31, 2022. This change in name does not affect thesegment information. In accordance with this change, the name of the reportable segment for the nine months
ended December 31,2021 was also changed to “Medical Care Solutions Company”.

－ 11 －

[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

(2) Reportable segment information
Revenue and operating results of the reporting segments of the Group are described below.
For the nine months ended December 31, 2021

Reportable Segments

Revenue
Revenue from sales
to externalcustomers
Segment profit(Adjusted
operatingprofit)(Adjustment item)
Amortization of
intangible assets
acquired throughbusiness
combinations
Non-recurring profit orloss(Note 2)(Unit: Millions of yen)Amountrecorded on
Adjustments
condensed(Note 1)
consolidated
financialstatements

Cardiac and
VascularCompany

MedicalCare
SolutionsCompany

Blood and
Cell
Technologies
Company

294,403138,733

90,154523,291190

523,482

72,326

19,345

17,191

108,862(1,705)

107,157(5,496)－(6,294)(11,791)(50)(11,841)

Total

(860)

Operating profit

94,455

Finance income

759

Finance costs
Share of profit/(loss) ofinvestment accounted
for using the equity
methodProfit before tax(2,603)433
93,044(Note 1) Amounts in “Adjustments” are as follows:(1) ¥190 million adjustment to Revenue from sales to external customers is mainly proceeds fromoutward temporary staffing that is not attributable to reportable segments.
(2) ¥(1,705) million adjustment to Segment profit consists of ¥(85) million for inventories and ¥(1,962)
million for preparation expenses to comply with Medical Device Regulation in EU.
(Note 2) ¥(860) million Non-recurring profit or loss mainly includes ¥(213) million for the change in fairvalue of contingent consideration and ¥(645) million for business reorganization expenses.

－ 12 －

[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023

For the nine months ended December 31, 2022

Reportable Segments

Revenue
Revenue from sales
to externalcustomers
Segment profit(Adjusted
operatingprofit)(Adjustment item)
Amortization of
intangible assets
acquired throughbusiness
combinations
Non-recurring profit orloss(Note 2)(Unit: Millions of yen)Amountrecorded on
Adjustments
condensed(Note 1)
consolidated
financialstatements

Cardiac and
VascularCompany

MedicalCare
SolutionsCompany

Blood and
Cell
Technologies
Company

358,907

145,511

113,388617,807186

617,993

83,59812,605

12,924

109,127479

109,607(6,770)－(7,633)(14,403)4(14,399)

Total(1,694)

Operating profit

93,514

Finance income

1,915

Finance costs
Share of profit/(loss) ofinvestment accounted
for using the equity
methodProfit before tax(3,466)
136
92,100(Note 1) Amounts in “Adjustments” are as follows:(1) ¥186 million adjustment to Revenue from sales to external customers is mainly proceeds fromoutward temporary staffing that is not attributable to reportable segments.
(2) ¥479 million adjustment to Segment profit consists of ¥(2,511) million for preparation expenses
to comply with Medical Device Regulation in EU and ¥(359) million for inventories.
(Note 2) ¥(1,694) million Non-recurring profit or loss mainly includes ¥(1,788) million for impairment lossof technologies, ¥(3,589) million for impairment loss of goodwill, ¥(1,564) million for businessreorganization expenses, ¥1,357 million for the change in fair value of contingent considerationand ¥3,891 million for gain on business transfer and other.

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[Terumo Corporation] Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2023(iii) Impairment of non-financial assets
In the nine months ended December 31, 2022, impairment losses of ¥5,377 million recorded are as follows.
(1) Impairment loss of the Autologous Biologics business unit in Blood and Cell Technologies Company
Autologous Biologics business unit was classified as assets held for sale and directly related liabilities in thenine months ended December 31, 2022, based on the transfer agreement with Globus Medical, Inc. As thedisposal group classified as assets held for sale is measured at fair value less cost to sell, an impairment loss of¥3,589 million was recorded.
The fair value was determined based on the expected selling price in the transfer agreement with Globus
Medical, Inc. and this fair value has been classified as Level 3 in the hierarchy.
The impairment loss recognized on “Goodwill and intangible assets” is included in "Other expenses" in theCondensed Consolidated Statement of Profit or Loss. The transfer of the business was completed on October
11, 2022.
(2) Impairment loss of certain technologies in intangible assets in Cardiac and Vascular Company
In the nine months ended December 31, 2022, ¥1,788 million for an impairment loss of certain technologies inintangible assets was recorded with the decision for discontinuing a portion of product.
The recoverable amount was measured based on the value in use, and the value was determined to be zero. The
impairment loss is included in “Other expenses” in the Condensed Consolidated Statement of Profit or Loss.
(iv) Subsequent events
Cancellation of treasury shares
The Company resolved to cancel treasury shares at the Board of Directors meeting held on May 12, 2022
pursuant to the provisions of Article 178 of the Companies Act. The treasury shares were canceled on January
13, 2023.
1. Class of stock canceled: the Company’s common stock
2. Number of shares canceled: 11,838,500 shares
3. Total number of outstanding shares after cancellation: 747,682,540 shares
4. Date of cancellation: January 13, 2023

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