October 24, 2017
Company name:

Mitsubishi Tanabe Pharma Corporation

Representative:

Masayuki Mitsuka
President and Representative Director

Code number:

4508, First Section, Tokyo Stock Exchange

Contact:

Yoshifumi Mifune, General Manager,Corporate Communications Department
TEL: +81-6-6205-5211

Revision to Consolidated Financial Forecasts for Fiscal Year Ending March 31, 2018
Mitsubishi Tanabe Pharma Corporation announced today a revision to its 2Q and full-year
consolidated financial forecasts for fiscal year 2017 ending March 31, 2018, which wereannounced on May 10, 2017, in view of recent developments in business performance.

1. Revised consolidated financial forecast for 2Q(April 1, 2017 to September 30, 2017)
Revenue(Millions of Yen)

Core operating
profitOperatingprofitProfit beforetax

Net profit forthe period

Net profit attributable toowners of the Company

Previous forecast (A)212,500

41,50040,50041,00031,00032,500

Revised forecast (B)

213,000

39,50036,50037,00028,00029,500Difference (B-A)

500(2,000)(4,000)(4,000)(3,000)(3,000)Percentage change (%)

0.2

(4.8)

(9.9)

(9.8)

(9.7)

(9.2)

(Reference) FY2016 2Q(results, cumulative)

204,115

47,95347,81649,40235,22536,297

・Net profit per share 2Q (cumulative forecast): ¥57.93 (previous) , ¥52.59 (current)

2.
Revised consolidated financial forecast for FY2017(April 1, 2017 to March 31, 2018)
Revenue(Millions of Yen)

Core operating
profitOperatingprofitProfit beforetax

Net profit forthe period

Net profit attributable toowners of the Company

Previous forecast (A)441,000

90,00090,00091,00068,00071,500

Revised forecast (B)433,000

80,00081,00082,00060,00063,500Difference (B-A)(8,000)(10,000)(9,000)(9,000)(8,000)(8,000)Percentage change(%)(1.8)(11.1)(10.0)(9.9)(11.8)(11.2)(Reference) FY2016 4Q(results, cumulative)

423,977

94,51094,08396,05968,922

71,263

・Net profit per share FY2017 (cumulative forecast): ¥127.45 (previous), ¥113.22 (current)* In adopting IFRS, the Group introduced “core operating profit” to indicate the recurring profitability of the Company, andpositions it as an important indicator of business management, etc.
“Core operating profit” is operating profit minus income and loss from non-recurring factors, which are defined by the Group.

1

3.

Reasons for the revision
In cumulative 2Q, we expect revenue to be roughly in line with the previous forecast, due to adrop in overseas royalty income on the back of sales at licensees of INVOKANA falling short ofexpectations, despite an increase in domestic ethical drugs revenue due to robust results of key
products such as Simponi.
Core operating profit and other profits are expected to fall short of the levels of the previous
forecast due to this decrease in overseas royalty income.

For the full year, we expect revenue to fall short of the level of the previous forecast due to thesignificant drop in overseas royalty income continuing from the first half.
Core operating profit and other profits are also expected to fall short of the levels of the previous
forecast due to an increase in R&D expenses following the acquisition of NeuroDerm Ltd. andmaking it a consolidated subsidiary from the second half, in addition to a drop in revenue.

Note: The above results forecasts reflect judgments and assumptions that are based on information
available as of the date of this announcement. For any of number of reasons, actual results might
differ materially from these forecasts.

End2