EIKEN ROAD MAP 2030

New Medium-Term
Management Plan
FY2022 to FY2024

Beyondthe Field－ Team × Challenge －Review of the Previous Medium-Term Management Plan (FY2019 to FY2021)
Significant overachievement of targets for net sales and operating income(22nd consecutive year of sales growth and record high income)Net sales
36,585FY201938,66742,996

Unit:
Millions of yen

38,700Comparison
with target
Net sales

FY2020

FY2021

FY2021(target in medium-term
management plan)

Operatingincome

Unit:
Millions of yen

5,320

FY2020

FY2021

FY2021(target in medium-termmanagement plan)2© 2022 EIKEN Chemical Co., Ltd. All Rights Reserved

Result42,996

9,460

8,868

5,320

8,387

13.7%

19.5%

ROE

10%

14.3%

Main factors

8,387

4,622

Target38,700Overseas
net sales
Operatingincome
Operatingincome margin

External• Increase in demand for products related to COVID-19 testing• Increase in royalty income from the LAMP method• Expansion of online and postal health screening using fecal
occult blood tests overseas• Drop in health screening and outpatient visits due to COVID-19Internal• Unused budget for selling, general and administrative
expenses due to COVID-19

6,612

FY2019FY2021

Review of Key Issues in the Previous Medium-Term Management Plan
(FY 2019 to FY 2021)
Eiken Chemical succeeded in growing its business and strengthening its base while responding to changes in thebusiness environment. However, further changes are necessary for the Company to continue to enjoy further growth.

Basicstrategy

Keyresults

Developing foundations
to increase management
efficiency

Promoting global
expansion⚫ Reform and integration of ERP⚫ Securing of screening programs⚫ Launch and deployment of⚫ Development of companionsystems⚫ Reinforcement of network
infrastructure and constructionof the remote-work environment⚫ Establishment of systems forthe stable supply of
COVID-19 detection reagents⚫ Construction of a new researchbuilding

for fecal immunochemical test
reagents for each country andregion⚫ Launch and overseas
deployment of fecal calprotectin
reagents⚫ Increase in overseas sales ofurinalysis test strips incollaboration with Sysmex

Peripheral testing fixtures⚫ Launch of high-sensitivity
immunochromatographic kits
⚫ Entry into the market forcognitive-function screening
tests

diagnostic systems⚫ Development of new products(COVID-19 detection reagents,fecal calprotectin reagents)⚫ Advancement of DX⚫ Reform of the human resource⚫ Improvement of rates of uptake⚫ Improvement of rates of uptake⚫ Improvement of the efficiency

of colorectal cancer screening⚫ Search for demand for online
screening, screening by postand endoscopic triage⚫ Spread and establishment of
testing for tuberculosis andmalariaof health checkups andscreening⚫ Establishment and cultivation of
the market for cognitivefunction screening

and speed of research anddevelopment⚫ Strengthening of coretechnologies and productiontechnologies⚫ Development of nextgeneration colorectal cancer
screening tests

systemKeyissues

3© 2022 EIKEN Chemical Co., Ltd. All Rights Reserved

Maintaining domestic
sales and increasing
market share

Improving research anddevelopment ability

EIKEN ROAD MAP 2030

Changes inthe businessenvironment

Society now
expects
management tobe conscious ofsustainability
4© 2022 EIKEN Chemical Co., Ltd. All Rights Reserved

EIKEN ROAD MAP 2019
redefined as
EIKEN ROAD MAP 2030
Clarified the vision of the Eiken Groupin 2030 as “EIKEN Vision 2030”

Business Fields and Future Prospects of Our GroupContribution to treatment
Advances ofcancer therapy

Spread of
personalized
medicine

CancerDigital shift

Prevention andearly detection

Diversificationof infectious
disease testing

Establishment ofsimpler infectious
disease testing
techniques
5

Diversification ofconsumer needs© 2022 EIKEN Chemical
ChemicalCo.,
Co.,Ltd.
Ltd.All
AllRights
RightsReserved
Reserved

Infectious
diseaseRapid diagnosis
and treatment

Self-managementof health status

Current
business
Healthcare
fields
Improved QOL

Spread of digital
Transformation
in medical andhealthcare

Remoteclinical system
At-homeself-testing
Personal health care

Advancement of Sustainable Management: 11 Materialities⚫ Improving Access to Healthcare⚫ Responding to Climate Change⚫ Solutions to Medical Issues⚫ Contributing to a Recycling-Oriented Society

30% reduction in CO2emissions by 2030

Carbon neutrality
by 2050⚫ Pursuing Quality and Establishing

Sustainable Supply Chains

Environment※Scope1+2 (compared to FY2018)

Medical6⚫ Respecting Human Rights⚫ Achieving Transparent and Soundand Diversity⚫ Employee Engagement andPersonnel Training⚫ Boosting Health and Ensuring
Safety and Hygiene

Governance⚫ Rigorous Compliance and ThoroughCorruption Prevention⚫ Establishing Risk Management© 2022 EIKEN Chemical Co., Ltd. All Rights Reserved

SocialGovernanceAdvancement of Sustainable Management: Action Plan Based on Materialities

MedicalMaterialities

Key Measures2030 targets⚫ Improving Access to Healthcare⚫ Solutions to Medical Issues⚫ Pursuing Quality and Establishing

Global solutions to healthcare issues

Number of countries in which colorectal-cancer
screening tests are deployed 57 countries

Strengthening of supply-chain
management

CSR procurement survey
implementation rate: 100%

Reduction of CO2 emissions (Scope1+ Scope2)

Reduction in CO2 emissions: 30% *compared to FY2018

Reduction of waste volume

Reduction in waste-treatment volume: 15% *compared to FY2018

Use of recyclable materials and reduction of packaging

Setting targets for FY2022

Promotion of diversity and inclusion

Women as share of managers: 30%
Rate of uptake of annual paid leave: 100%Rate of uptake of childcare leave: 100%

Sustainable Supply Chains

Environment⚫ Responding to Climate Change⚫ Contributing to a Recycling-OrientedSociety⚫ Respecting Human Rights andSocialDiversity⚫ Employee Engagement andPersonnel Training⚫ Boosting Health and Ensuring Safetyand Hygiene⚫ Achieving Sound and TransparentGovernance

7Governance⚫ Rigorous Compliance andThorough Corruption Prevention⚫ Establishing Risk Management© 2022 EIKEN Chemical Co., Ltd. All Rights Reserved

Creation of fulfilling and supportive workplaces
and achievement of work-life balanceTraining and monitoring based oncompliance programs
Thorough prevention of corruption

Rate of participation in training: 100%Rate of implementation of due diligence withbusiness partners on corruption prevention: 100％

EIKEN Vision 2030 −Vision of the Eiken Group in 2030−

Beyond the Field ～Team×Challenge～
Business strategy

Management strategy

0201Contribution tocancer prevention
and treatment

Contribution toeradication andcontrol of infectious
diseases
Provision of products
and services usefulfor health care

Management
Philosophy804©️2022 EIKEN
EIKENChemical
ChemicalCo.,
Co.,Ltd.
Ltd.All
AllRights
RightsReserved
Reserved© 2022

03

Business activities
in harmony with theglobal environment

BusinessEnvironment

05
A vibrant corporation
making use ofemployee’s talent

Sustainability
Management

GrowthdriverRoadmap to EIKEN Vision 2030

01

9Contribution tocancer prevention
and treatment

FY2024FY2027Companion diagnosis system

Testing for cancer invarious organs with thesame testing system

FY2030Comprehensive cancer risk
screening test using humangenome analysis,miRNA,etc.

Colorectal cancer screening by mail

Reduction ofcancer mortality

Contribution to eradicationand control of02
infectious diseases

Expanded line up of
infection-control products

Strengthen measuresagainst antimicrobial
resistance

Malaria/NTDs genetic testing system

Portable genetic
testing device

Provision of products
and services
03
useful for health care

Early detection of cognitive
function decline
Remote clinical system /at-home self-testing

Business activities
04 in harmony withthe global environment

Development of environmentallyfriendly products
CO2 reduction on Scope 1 and 2

CO2 reduction
including Scope 3

CO2 30％ reduction(compared to FY2018)

Contribution tointernational goals

A vibrant corporation
making use of05
employee`s talent

Maintenance of humanresources management

Sharing of humanresources inside andoutside EIKENWork fromany time andany place

Employees’ senseof fulfilment© 2022 EIKEN Chemical Co., Ltd. All Rights Reserved

Countermeasuresagainst threatening
infectious diseases
Cognitive function
detection system

Healthcare using
mobile device

Extension of healthy
lifespan expectancy

Overall Image of Operating Strategy
New Medium-TermManagement Plan

Sales targets

Deployment ofnew businesses

Creation of new businesses
Application of core technologies leading toexpansion into peripheral businesses

Growth in existing businesses
Deployment of key measures

Creation of value-added

Product development

Expanding sales into overseas markets

Strengthening of alliances

Opening of new markets

Fiscal year
10M&A© 2022 EIKEN Chemical Co., Ltd. All Rights ReservedKey Fields and Measures in the New Medium -Term Management Plan
FY2022

CancerInfectious
diseases

Contribution tocancer
prevention andtreatment

Contribution to
the eradicationand controlof infectious
diseases

Contribution topersonalized medicine

FY2023⚫ Launch of the companion diagnostic system

Spread of adoption of cancer screening and development of oncogene screening technologies⚫ Improvement of uptake rate of colorectal
Development of tests for cancer genes in stool

Healthcare

11© 2022 EIKEN Chemical Co., Ltd. All Rights Reserved⚫ Global deployment of
ABC Classification

Eradication
Eradication ofof tuberculosis,
tuberculosis, malaria
malaria andand neglected
neglected tropicaltropical diseases
diseases (NTDs)(NTDs)⚫ Spread of use of diagnostic drugs in developing countries, monitoring and rapid response to threatening infectious diseases

Response to a wide variety of infectious diseases⚫ Deployment of highly sensitive immunochromatography systems⚫ Enhancement of infectious-disease items

Support for remote treatment

Provision ofproducts andservices usefulfor health care

FY2024⚫ Spread and expansion of screening by mail, spread of endoscopic triage testingResponse to inflammatory
bowel disease(IBD: from monitoring to screening)⚫ Drug sensitivity testing
systems for large hospitals⚫ Provision of systems for receiving
health checkups online⚫ Deployment of tests for calprotectin in stool

Prevention ⚫ Spread of screening tests for cognitive functionof dementia

Strategies in the Field of Colorectal Cancer Screening
Improvement of rates of uptake of colorectal cancer screening
Improvement of access to screening

Extended Methods

Screening in areas with limitedaccess to health care

Development of next generation FIT
Adaptable to transportconditions in various
countries

Screening by mailOnline screening

Development of application Development of reagentsto recommend colorectal to stabilize substances incancer screening by mailstool

Improvement of accuracy of colorectal cancer screening

Increased value-added

Increased burden on patients andhealthcare providers

Reliable colorectalcancer screening

Capacity shortage of Endoscopein Europe

Development of highly accurate medical laboratory technology
Narrowing down theendoscopy target
persons

Cancer detection atearlier stages
12

Increased accuracy© 2022 EIKEN Chemical Co., Ltd. All Rights ReservedmiRNA
DNA methylation

Enterobacterial
flora

Develop tests to reduce
patients’ physicalburdenComprehensive genetic mutation testing system
Detect multiple cancer gene mutations at once with next-generation sequencers (NGS)
クラスⅢ

Library setting

Base sequence
determination

Analysis

Pretreatment(nucleic acid extraction)

Feature13（Short time to report results）

High sensitive（ No need for many specimens ）Molecular targeted drugs and target
genes to be developed in the future
have been already loaded© 2022 EIKEN Chemical Co., Ltd. All Rights Reserved

Development

Cytopathological specimens areavailable to the testing

Addition of target genes
supporting new molecular targeteddrugs
Expanded applications
for many other cancers
Supporting liquid biopsy

Help decide direction ofcancer treatment (selectionof molecularly targeteddrugs) by blood tests

Strengthening Management Base − Promotion of Digital Transformation −Products and services

R&D⚫ Promoting the spread of medical
examinations using apps
⚫ Adaptation to remote clinical system
and at-home self-testing⚫ Health management service by data analysis⚫ Remote maintenance and failure predictionof medical equipment

Manufacturing⚫ Promotion of data and AI-driven research⚫ Automation of experimental processes
utilizing robots⚫ Molecular Design with AI

Cultivation of digital transformation experts
and Internal dissemination ofdigital transformation⚫ Centralized monitoring ofmanufacturing equipment⚫ Enhancing the precision of demand
forecasting and production planning⚫ Standardizing work using MES/LIMS andimproving processes through data analysis⚫ Automation of manufacturing processes

ERP system
14© 2022 EIKEN Chemical Co., Ltd. All Rights ReservedProduction

All aspects of business process⚫ Realization of work efficiency andwork-style reform by AI/RPASales

Accounting

Personnel affairs

Financial and Capital Strategy▶ Agile and flexible investment to balance a sound financial base with operational expansion▶ Pursuit of stability and continuity in recognition of the importance of the return of earnings toshareholders as a management issue

Strategic investments

Return of earnings to shareholders

Cumulative 3-yeartarget of ¥28.4 billion

Target dividend payout
ratio of 30% or more

⚫ R&D

⚫ DX

⚫ Reinforcement of⚫ Workstyle reform

facilities and equipment⚫ GX

Return of stable earnings uponsecuring the necessary cash to support
sustainable enterprise growth

M&A: Rather than set a specific figure, this matter is considered separately from the above.
15© 2022 EIKEN Chemical Co., Ltd. All Rights ReservedNew Targets for Net Sales and Income
Further growth ofexisting businesses

Net Sales

OperatingIncome+
Challenge to newtechnologies and fields

75,000
Unit:
Millions of yen

Create“the future oftesting”

15,00043,50042,0006,250

40,0005,340

Overseas
net sales ratio

40%4,540

FY2022

FY2023

FY2024

New Medium-Term Management Plan
16

© 2022 EIKEN Chemical Co., Ltd. All Rights Reserved

FY2030New Targets for Finance

Net Sales
Growth17

FY2024FY2030¥43.5 billion¥75 billion

Overseas
net sales ratio

25.8% 40% or more

Profitability

Operatingincome margin14.4% 20% or more

CapitalEfficiency

ROE

9.2% 15% or more

© 2022 EIKEN Chemical Co., Ltd. All Rights Reserved

Saving Your HealthContinuing to protect people's health as a global clinical diagnostics company

Forward-Looking Statements
This material contains forward-looking statements about EIKEN CHEMICAL CO., LTD. (EIKEN). These forward-looking statements arebased on the current judgments and assumptions of EIKEN in light of the information currently available to it.
Uncertainties inherent in such judgments and assumptions, the future course of our business operations and changes in operating
environments both in Japan and overseas may cause our actual results, performance, achievements, or financial position to bematerially different from any future results, performance, achievements or financial position either expressed or implied within theseforward-looking statements.