Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2022
February 8, 2022
Stock Exchange Listings : Tokyo 1st Section

Company nameSecurities code
RepresentativeInquiries
TEL
Quarterly statement filing date (as planned)
Supplemental material of quarterly results
Convening briefing of quarterly results: JMS Co., Ltd.
(URL https://www.jms.cc/): 7702: Hiroaki Okukubo, President and Representative Director: Ryuji Katsura, Executive Director, Head of Corporate Affairs Division: +81-82-243-5844: February 10, 2022
Dividend payable date (as planned): 䠉: None: None
(Note: Amounts below are rounded down to the nearest million yen)

1. Consolidated Financial Highlights for the Interim Period Ended December 2021 (From April 1, 2021 to December 31, 2021)(1) Consolidated operating results(%: change from the same previous period)
Profit attributable toNet sales
Operating profit
Ordinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Nine months ended December 31, 2021
43,769 2.4
1,220 (27.1)
1,233 (21.2)
883 (38.1)
Nine months ended December 31, 2020
42,749 (1.8)
1,673 11.8
1,565 (9.0)
1,427 21.3
(Note) Comprehensive income : Nine months ended December 31, 2021 : 1,596 million yen ʦ(7.5)%ʧ,Nine months ended December 31, 2020 : 1,725 million yen ʦ91.7%ʧ.

Nine months ended December 31, 2021
Nine months ended December 31, 2020

Basic earnings per share
Yen
36.17
58.47

Diluted earnings per share
Yenʷʷ(2) Consolidated financial positions
Total assets
Net assets
Capital adequacy ratio
Millions of yen Millions of yen%
As at December 31, 2021
71,341
36,18250.5
As at March 31, 2021
69,08534,99350.4(Note) Owner's equity : December 31, 2021 : 36,038 million yen, March 31, 2021 : 34,841 million yen.
2. Dividends
Dividend per share
2nd quarter 3rd quarter Year end AnnualYen
Yen
Yen
Yen
Year ended March 31, 2021ʷ
8.50ʷ
8.50
17.00
Year ending March 31, 2022ʷ
8.50ʷ
Year ending March 31, 2022 (forecast)
8.50
17.00
(Note) Correction of dividend forecast from the most recent dividend forecast : None
1st quarterYen

3. Consolidated Forecast for the Year Ending March 2022 (From April 1, 2021 to March 31, 2022)
Profit attributable to Basic earnings
Net sales
Operating profit
Ordinary profit
owners of parentper share
Millions of yen % Millions of yen % Millions of yen % Millions of yen %YenYear ending March 3, 2022
58,000 0.7
1,200 (43.6)
1,200 (40.4)
900 (48.2)
36.84(Note) Correction of financial forecast from the most recent financial forecast. : None
The aforementioned projections are based on the information currently available, and may contain some uncertainties.
The final results might be significantly different from the aforementioned projections due to changes in business conditions.

Page of JMS (7702) Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2021

4. Overview of operating results for the third quarter(1) Overview of consolidated operating results
JMS strives to improve the quality of corporate management and the corporate value, in order ' To be a bridge
for the people who give and seek medical care, and to bring a smile to people by contributing to a healthy andbetter life' under our Founding Spirit of 'For People’s Precious Life'. JMS focused on four fields of businessactivities such as infusion & enteral nutrition, dialysis, cardiovascular and blood transfusion and promotes
product development, production and sales.
During the consolidated cumulative third quarter, our sales in the domestic market increased against a backdropof recovering trend in refraining from doctor visits and postponing non-essential surgeries and procedures. In
particular, sales of medical gloves increased, in addition, sales expanded due to capturing new customers forEnteral Nutrition related products using the opportunity for switching to ISO standards and increasing sales
related to transferring of the blood purification business in April 2021. In overseas markets, although thesituation varies depending on the country and region, sales decreased due to the continued stagnation of demandfor products affected by COVID-19. In particular, sales of Apheresis kits and Blood bags in the bloodtransfusion field decreased, on the other hand, sales of AV fistula needles and Hemodialysis Blood Tubing
Sets increased. As a result of the above, JMS recorded consolidated net sales for the third quarter of 43,769
million yen, up by 2.4% / 1,019 million yen (year-over-year). Impact of higher cost of sales ratio causedby the appreciation of local currencies in overseas production bases, increased cost of raw material, andincreased ocean freight rates due to the global container shortage, resulted in an operating profit of 1,220
million yen, down by 27.1% (year-over-year). The decrease in foreign exchange losses, despite a decrease inequity in earnings of affiliates resulted in an ordinary profit of 1,233 million yen, down by 21.2% (year-overyear). Because subsidy income of extraordinary income was recorded in the same quarter of the previous fiscal
year, the profit attributable to owners of parent totaled 883 million yen, down by 38.1% (year-over-year).
As a manufacturer of medical devices, we are committed to making further contributions to settling
COVID-19 as soon as possible by strengthening our supply system of products to meet market needs.
The application of the accounting standard for revenue recognition, etc. decreased net sales, gross profit, selling,
general and administrative expenses by 200 million yen respectively in this consolidated cumulative thirdquarter, but there is no impact on operating income, ordinary income and Profit before income taxes.
Business performance by geographical segment.
L JapanDue to the recovery trend in refraining from doctor visits and postponing non-essential surgeries and procedures
in medical institutions, the demand is improving. Capturing new customers for Enteral Nutrition related
products using the opportunity for switching to ISO standards and Closed Drug Mixing/Infusion System “NEOSHIELD” whose system was enhanced, expanding its product portfolio for the blood purification business
which was transferred in April 2021 and medical gloves with revised selling prices drove sales growth, while
sales of hemodialysis machines to China were also strong. As a result, net sales were 32,031 million yen up by
6.3% (year-over-year). Despite the increased costs associated with the transfer of the blood purification
business and the gradual increase in selling expenses accompanying the deregulation of visits to medical
facilities, the effect of the increase in sales resulted in a profit of 909 million yen, up by 41.7%(year-overyear), for this geographical segment. The application of the accounting standard for revenue recognition,etc. decreased net sales by 200 million yen in this consolidated cumulative third quarter, but there is no
impact on segment profit.
LL
Singapore
Despite the increased sales of Safety Scalp Vein Needles for the North American market, net sales decreased
due to reduced orders in the products of the blood business, such as Apheresis kits and Blood bags,
influenced by COVID-19. As a result, net sales were 13,020 million yen, down by 14.2% (year-over-year).
Despite the decreased labor costs and selling costs, the influence of decreased sales and the impact of higher
cost of sales ratio caused by increased raw material cost and the appreciation of local currency resulted in a
profit of 41 million yen downE\ 93.5% (year-over-year), for this geographical segment.

Page 2of JMS (7702) Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2021

LLL China
Against the backdrop of an increase in the number of dialysis patients in the Chinese market, sales of AV Fistula
Needle and Hemodialysis Blood Tubing Sets used for hemodialysis treatment continued to grow strongly. As
for products for the Japanese market, Blood Purification Tubing Sets, which is the product of the transferredbusiness contributed to the sales increase. As a result, net sales were 2,544 million yen, up E\14.3% (yearover-year). Despite the effect of increased sales, higher cost of sales ratio caused by increased cost ofrawmaterial, and an increase in labor costs compared to the same quarter of the previous fiscal year when therewasa reduction or exemption of social insurance premiums resulted in a profit of 108 million yen, down by
56.5%(year-over-year), for this geographical segment.
LY Philippines
In the same quarter of the previous year, productions and shipments were sluggish, due to the impact of
implementation of movement and activity restrictions and tightening of regulations by the government as
countermeasures against COVID-19. During the consolidated cumulative third quarter, the sales expanded dueto the improvement of this effect and an increase in orders for AV Fistula Needle for Europe. As a result, netsales were 2,429 million yen, up by 13.3% (year-over-year). The influence of the effect of increased sales and
the impact of soaring raw material prices that was offset by switching raw materials and changing suppliers,
resulted in a profit of 224 million yen, up by 191.3% (year-over-year), for this geographical segment.
Y Germany
Increased market share of AV Fistula Needle resulted in net sales of 2,643 million yen, up by 15.3% (year-overyear). Despite the effect of increased sales, an increase in purchase costs caused by soaring marinetransportation costs resulted in a profit of 129 million yen, down by 18.9% (year-over-year), for thisgeographical segment.
The remaining geographical segments recorded net sales of 3,009 million yen, up by 3.0% (year-over-year), andprofit of 16 million yen, down by 81.5% (year-over-year).
(2)Overview of the financial condition
Total assets as of the end of this WKLUG quarter totaled 71,341 million yen, up by 2,256 million yen from theend of the previous consolidated fiscal year. The details of assets, liabilities and net assets are as shown below.
(Assets)
Current assets increased to 40,292 million yen, up by 138 million yen from the end of the previous consolidated
fiscal year, mainly due to the increase of cash and deposits.
Non-current assets increased to 31,049 million yen, up by 947 million yen from the end of the previous
consolidated fiscal year, mainly due to the increase of plant and equipment.
(Liabilities)
Current liabilities decreased to 22,308 million yen, down by 236 million yen from the end of the previous
consolidated fiscal year, mainly due to the decrease of Short-term loans payable.
Non-current liabilities increased to 12,850 million yen, up by 1,303 million yen from the end of the previous
consolidated fiscal year, mainly due to the increase of long-term loans payable.
(Net assets)
Net assets increased to 36,182 million yen, up by 1,188 million yen from the end of the previous consolidated
fiscal year, mainly due to changes in Foreign currency translation adjustments.
Note that the capital adequacy ratio increased by 0.1 percentage points to 50.5%.
(3)Overview of consolidated business forecast
Consolidated business forecast for the fiscal year ending March 31, 2022 released on November 5, 2021 has notbeen revised, as the overall business environment remained unclear.

Page 3of 5.Consolidated Financial Statements

Consolidated Balance SheetJMS CO., LTD. and Consolidated Subsidiaries(Millions of yen)
As at March 31,2021
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
OtherAllowance for doubtful accountsTotal current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investments and other assets
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

Page 4of 

As at December 31,
2021

5,968
16,415
256
8,872
2,758
4,056
683
(27)
38,983

6,404
16,783
237
9,053
2,716
4,399
703
(6)
40,292

8,329
7,409
8,366
24,105

8,383
7,553
8,867
24,804

―692
692

138
812
951

5,315
(11)
5,304
30,101
69,085

5,304
(11)
5,292
31,04971,341

Consolidated Balance SheetJMS CO., LTD. and Consolidated Subsidiaries(Millions of yen)
As at March 31,
2021
Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term borrowings
Current portion of long-term borrowings
Income taxes payable
Provision for bonuses
OtherTotal current liabilities

As at December 31,2021

8,322
4,304
4,109
339
1,099
4,369
22,545

8,134
3,402
4,987
108
633
5,042
22,308

9,336
128
805
148
1,127
11,54634,091

10,897
129
717
155
950
12,85035,159Net assets
Shareholders' equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity

7,411
10,362
17,241(242)
34,772

7,411
10,362
17,710(233)
35,250

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

401(332)
69
151
34,99369,085

358
429
788
143
36,182
71,341

Non-current liabilities
Long-term borrowings
Provision for retirement benefits for directors (and other officer
Retirement benefit liability
Asset retirement obligations
Other
Total non-current liabilities
Total liabilities

Page 5of Consolidated statements of income
JMS CO., LTD. and Consolidated Subsidiaries(Millions of yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted for using equity method
Subsidy income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities
Subsidy income
Total extraordinary income
Extraordinary losses
Loss on sale of non-current assets
Loss on abandonment of non-current assets
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxesProfitProfit (loss) attributable to non-controlling interests
Profit attributable to owners of parent

Page 6of 

Nine months ended
December 31, 2020

Nine months ended
December 31, 2021

42,74931,428
11,3219,648
1,673

43,76932,752
11,017
9,796
1,220

8
43
182
779
321

4
46
74
64
58
249

133
256
39
429
1,565

122
99
14
236
1,233

2
1305
309

2――
2

1
8
10
1,864
338
98
437
1,427
0
1,427

0
32
32
1,203
177
148
325
877(5)
883

Consolidated statements of comprehensive income
JMS CO., LTD. and Consolidated Subsidiaries(Millions of yen)

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controlling interests

Page 7of 

Nine months ended
December 31, 2020

Nine months ended
December 31, 2021

1,427

877

131
165
297
1,725

(42)
761
718
1,596

1,715
9

1,603
(6)