Consolidated Financial Results
for the Nine Months Ended December 31, 2022 [IFRS]

February 3, 2023
(Abridged)
Listed Company:
M3, Inc.
Listed Stock Exchange: Tokyo
Securities Code:2413
URL: https://corporate.m3.com/en/
Representative:(Title) CEO(Name) Itaru TanimuraContact:(Title) Director (Name) Eiji Tsuchiya
TEL: 03-6229-8900
Submission of quarterly report: February 10, 2023
Dividend payment commencement date: ―Preparation of explanatory materials for quarterly financial result: Yes
Assembly for briefing of quarterly financial results: Yes (for analysts and institutional investors)

1.

(amounts rounded to the nearest million yen)

Consolidated Financial Results for the Nine Months Ended December 31, 2022
(From April 1, 2022 to December 31, 2022)(1) Consolidated Operating Results (Cumulative)
Net sales

Operating profit

Million Yen
Nine months ended
Dec 31, 2022
Nine months ended
Dec 31, 2021%

Million yen

2.

Net profit%

Million Yen%

Million Yen%

13.6

58,734-30.6

60,249-29.3

41,844-28.5

154,169

24.6

84,62799.3

85,177100.5

58,535

98.4

Total
comprehensive
incomeBasic earnings pershare

Diluted earnings pershare

Million Yen%

Million Yen%

Yen

Yen

39,279-30.1

50,272

-15.8

57.86

57.82

56,169110.3

59,737

103.8

82.75

82.68

(2) Consolidated Financial Position

As of Dec 31, 2022
As of March 31, 2022

Pre-tax profit

175,155

Profit attributable toowners of the parent

Nine months ended
Dec 31, 2022
Nine months ended
Dec 31, 2021(% figures show year-on-year change)

Total assets

Total equity

Million Yen
380,726
345,981Million Yen
297,359
263,954

Dividends

Equityattributable toowners of theparent
Million Yen
290,744257,840

Ratio of equity
attributable toowners of theparent%
76.4
74.5

Equity per share
attributable toowners of theparent
Yen
426.79378.75

Annual Dividends per share
SecondThird
Fiscal yearTotal
quarter-end
quarter-end
end
Yen
Yen
Yen
Yen
Fiscal year ended March 31, 2022
0.00
―
16.00
16.00
Fiscal year ending March 31, 2023
0.00―
Fiscal year ending March 31, 2023 (Forecast)――(Note) 1 Amendments to forecasts of dividends recently announced: None
2 Dividend forecast for the fiscal year ending March 31, 2023 is currently undetermined. It is to be
determined after consideration of capital needs and condition of cash flow hereafter.
Firstquarter-end
Yen――－1 －3.

Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2023
(From April 1, 2022 to March 31, 2023)

With regard to the impact of the new coronavirus infection (COVID-19), although the outlook is improving in someareas, the impact itself is prolonged and complicated in others, and remains highly uncertain, making it difficult
to reasonably calculate the impact on the Group's domestic and overseas business environment. Therefore, wehave not disclosed a consolidated earnings forecast for the fiscal year ending March 31, 2023. We will promptly
disclose the consolidated earnings forecast as soon as a reasonable calculation of the forecast becomes possible.
Notes

※

(1) Changes in significant subsidiaries during the period (changes in specific subsidiaries accompanying changes
in scope of consolidation): None

(2) Changes in accounting policies and accounting estimates:(i) Changes in accounting policies required by IFRS: None(ii) Changes in accounting policies other than item (i) above: None(iii) Changes in accounting estimates: None

(3) Number of shares issued (common stock)(i) Number of shares outstanding at the end of the period (including treasury shares)
As of December 31, 2022

678,951,500

shares

As of March 31, 2022

678,904,600

shares(ii) Number of treasury stock at the end of the period
As of December 31, 2022

45,151shares

As of March 31, 2022

45,081shares

As of December 31, 2022

678,882,462

shares

As of December 31, 2021

678,757,781shares(iii) Average number of shares during the period (cumulative)※

This quarterly financial report is outside the scope of the review procedures for quarterly financial statements.

※

Explanation of proper use of financial results forecasts, and other special matters(1) Caution regarding statements concerning the future
The forward-looking statements herein are based on information available to the Company and on certain
assumptions deemed to be reasonable at the date of publication of this document. They are not intended as theCompany’s commitment to achieve such forecasts, and actual results may differ significantly due to variousfactors.
(2) Explanatory materials for quarterly financial results
Explanatory materials for quarterly financial results will be posted on our website on Friday, February 3, 2023.

－2 －4. Qualitative Information on Quarterly Results(1) Explanation of consolidated operating results
In Japan, various services are provided for the 310,000+ physician members via the “m3.com” website designed
for medical professionals.
Medical Platform includes services which allow member physicians to proactively receive continuous andfrequent information via the “m3.com” platform such as the “MR-kun” family services, marketing researchcapabilities paneling the physician members, and “QOL-kun” which provides marketing support for nonhealthcare related corporates desiring to advertise daily life services to doctors, offering a wide menu of services
catering towards various agendas and purposes of our clients. Additionally, provision of next generation sales
reps, or “Medical Marketers,” and healthcare advertisement agency services are also being expanded via groupcompanies.

Evidence Solution includes clinical trial related services centered around “Mr. Finder” which excavates
institutions and patient participants for clinical studies, large-scale clinical study services, assistance withclinical trial operations by CROs, and administrative and operations support across the entire clinical trial
process by SMOs, all provided through various group companies.
Career Solution provides job search and placement services for physicians and pharmacists through M3 Career,Inc.

Site Solution provides services supporting medical institution operations.
Furthermore, consumer facing services such as the “AskDoctors” (https://www.AskDoctors.jp/) website whichconnects public users with “m3.com” member physicians for answers to daily health questions, medical
professional education such as national examination preparatory services provided by M3 Education, Inc.

In Overseas, the U.S. portal website, “MDLinx,” designed for healthcare professionals, continues to expand its

member network-based services catering towards pharmaceutical companies, as well as its career support
services for physicians and clinical trial support services. In Europe, the “Doctors.net.uk” U.K. portal website

is expanding services for pharmaceutical companies, along with pharmaceutical database services offered by theVidal Group in France, Germany, and Spain, and offering iDoctus, a medical practice mobile app for healthcare
professionals through eDoctores Soluciones, S.L., in Spain and Latin America.
Asia as well.

Business expansion continues in

Additionally, membership and panel participation at websites operated by M3 group starting with Japan, U.S.,

Europe, China, and Korea, now totals roughly 6 million physicians, enabling provision of marketing researchservices that span across a global scale.

－3 －Consolidated quarterly results for the Third quarter (cumulative) is as below.
Nine months ended
Nine months ended
Dec 31, 2021
Dec 31, 2022
Third quarter(April 1, 2022 to(April 1, 2021 tocomparison
Dec 31, 2021,
Dec 31, 2022,(Unit: Million Yen)
(Reference)Previous consolidated
fiscal year
(April 1, 2021 toMarch 31, 2022)

cumulative)

cumulative)

Net sales

154,169

175,155+20,986+13.6％

208,159

Operating Profit

84,62758,73485,17760,249-30.6％

95,141

Pre-Tax Profit-25,893

Net Profit

58,53541,844-16,691-28.5％

66,108(Segment results)

Medical Platform
Evidence Solution
Career Solution
Site Solution
Overseas
Other Emerging
Businesses
Adjustment
Total1)

Medical Platform

Nine months ended
Dec 31, 2021
(April 1, 2021 to
Dec 31, 2021,cumulative)-24,928-29.3％

Nine months ended
Dec 31, 2022
(April 1, 2022 to
Dec 31, 2022,cumulative)

96,187(Unit: Million Yen)
Third quartercomparison

Segment Net Sales

64,672

69,763+5,091+7.9％

Segment Profit

30,79532,087+1,293+4.2％

Segment Net Sales

16,18820,601+4,413+27.3％

Segment Profit

3,844

6,048+2,204+57.3％

Segment Net Sales

11,024

11,459+435+3.9％

Segment Profit

4,027

4,199+172+4.3％

Segment Net Sales

25,657

27,530+1,873+7.3％

Segment Profit

4,554

3,229

Segment Net Sales

37,86047,261-1,324+9,402-29.1％+24.8％

Segment Profit

41,473

13,924

Segment Net Sales

2,463

2,435

Segment Profit

1,258366-27,549-66.4％

Segment Net Sales-3,696-3,895-892-70.9％－－

Segment Profit-1,323-1,119-28－-1.1％－Net Sales

154,169

175,155+20,986+13.6％

Operating Profit

84,62758,734-25,893-30.6％In the area of pharmaceutical marketing support, some foreign-affiliated pharmaceutical companies arereducing their budgets, and although digitalization support-related services were affected by this trend in thethird quarter, our analysis indicates that needs still continue to be high. In addition, business other thanpharmaceutical marketing support remained strong, resulting in segment revenue of 69,763 million yen, higher
by 7.9% versus previous year. Upfront investments aimed for future growth have raised SG&A mainly aroundpersonnel costs, however, Medical Platform segment produced profits of 32,087 million yen, higher by 4.2% versus
previous year.
2)

Evidence Solution
The impact of the temporary suspension of several clinical trial projects due to the spread of Covid-19

infection in the fiscal year ended March 31, 2021 has run its course in the previous fiscal year, and the recovery
trend is continuing in the current fiscal year. Due to clinical trial projects related to COVID infection, etc. the－ 4 －Evidence Solution segment produced total sales of 20,601 million yen, higher by 27.3% versus previous year.
Segment profit was 6,048 million yen, higher by 57.3% versus previous year.
3)

Career Solution

Despite the impact of lower contributions from the vaccination support services for COVID compared to thesame period of the previous fiscal year, job search support services for physicians remained strong which resulted
in segment sales of 11,459 million yen, higher by 3.9% versus previous year.
yen, higher by 4.3% versus previous year.
4)

Segment profit was 4,199 million

Site Solution
Despite the impact of lower contributions from the vaccination support services for the COVID compared tothe same period of the previous year, an increase in the number of affiliated medical institutions and services
used, etc., produced segment sales of 27,530 million yen, higher by 7.3% versus previous year. Segment profit

decreased mainly due to a year-on-year decline in the vaccination support services for Covid-19, which resulted
to profit of 3,229 million yen, lower by 29.1% versus previous year.
5)

Overseas
In addition to solid performance in each region, affected by foreign exchange effects due to yen depreciation,

resulted in segment sales of 47,261 million yen, higher by 24.8% versus previous year. Despite the increase insales, due to the absence of a gain recorded in the same period of the previous year from the listing of Medlive(now an equity method affiliate), which is a subsidiary operating in China on the Hong Kong Stock Exchange, thesegment profit was 13,924 million yen, lower by 66.4% versus previous year.
6)

Other Emerging Businesses
In response to changes in market conditions and other factors associated with the continuation of COVID,

segment sales resulted to 2,435 million yen, lower by 1.1% versus previous year. Segment profit, mainly due tounfavorable comparison against capital gain on sales shares of subsidiaries in the same period last year as well aschanges in equity in earnings/losses of affiliates, resulted to 366 million yen, lower by 70.9% versus the previousyear.
Combining all of the above, results for the entire group for the nine months ended December 31, 2022,

amounted to sales of 175,155 million yen, higher by 13.6% versus previous year, and operating profit of 58,734
million yen, lower by 30.6% versus previous year. Pre-tax profit was 60,249 million yen, lower by 29.3% versus
previous year, and net profit was 41,844 million yen, lower by 28.5% versus previous year.

Disclaimer:This document is a translation of the original Japanese version. The original Japanese version was prepared and disclosed by theCompany in accordance with Japanese disclosure format. This document does not contain or constitute any guarantee and theCompany will not compensate for any losses or damages arising from interpretations or actions taken based on this document. In
the case of any discrepancies between the Japanese original and this document, the Japanese original is assumed to be correct.

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