Financial Results for the Second Quarter of Fiscal Year Ending March 31, 2018
November 9, 2017
Exchange where listed: TSE

Name of listed company: TERUMO CORPORATION(URL http://www.terumo.com/): 4543: Shinjiro Sato, President and CEO: Atsuo Omagari, General Manager, Corporate Communication Dept.
: +81 / 3-6742-8550

Company code number
Representative:
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1. Consolidated Financial Highlights for the Six Months Ended September 30, 2017
(From April 1, 2017 to September 30, 2017)(1) Consolidated operating results(Notes: The amounts shown below ignore values of less than a million yen)

Net sales
Six months ended September, 2017
Six months ended September, 2016(Notes) Comprehensive income:Operating income(Millions of yen)%

(Millions of yen)%

284,610245,110

16.1
(5.4)

47,89939,37021.7
0.7

September 2017: 45,899 million yen (－%)

(Millions of yen)

(Millions of yen)%

46,971 53.5
30,601 (14.4)%

32,967 61.4
20,423 (24.4)

September 2016: (26,328) million yen (－%)

Net income per share,
fully diluted

Net income per share

Six months ended September, 2017
Six months ended September, 2016

Profit attributable toowners of parent

Ordinary income

(Yen)

(Yen)

93.66
56.27

87.17
52.49

(2) Consolidated financial position
Total assets
As of September 30, 2017
As of March 31, 2017
(Notes) Shareholders' equity:

Net assets

Equity ratio

Net assets per share(Millions of yen)

(Millions of yen)

%

(Yen)

1,073,486
1,021,405

527,965
489,55449.1
47.9

1,498.35
1,389.70

September 30, 2017: 527,408 million yen

March 31, 2017: 489,145 million yen

2. Dividends
Cash dividends per share
1st quarter

Year ended March, 2017
Year ended March, 2018Year ending March, 2018 (forecast)(Notes) Revise of dividends forecast : YesTotal

2nd quarter3rd quarter

4th quarter

(Yen)

(Yen)

(Yen)

(Yen)

(Yen)

－－

20.00
23.00

－

22.00

42.00

－

23.00

46.00

For details of the revisions to the projection of cash dividend, please refer to “Terumo Revises Upward Interim Dividends and Year-End Dividends Forecast for the Fiscal YearEnding March 31, 2018” announced today (November 9, 2017).

3. Consolidated Forecast for the Year Ending March, 2018 (From April 1, 2017 to March 31, 2018)
Net sales(Millions of yen)

Operating income%(Millions of yen)

Profit attributable toowners of parent

Ordinary income%(Millions of yen)%

(Millions of yen)

Net income per share%(Yen)

575,000
82,00079,50053,000150.58Year ending March, 2018
11.8
7.1
16.0
(2.3)
(Notes) Forecast for fiscal year ending March, 2018 which was announced on May 10, 2017 has not been revised.
Assumed exchange rate for fiscal year ending March, 2018: USD1=JPY110, EUR1=JPY120
3.
Among the information that Terumo discloses, forecasts of financial performance on future projections contain potential risks and uncertainty since these are forecasts on
projections made by Terumo based on limited information available at the moment of disclosure. Accordingly, it should be noted that actual results may differ from those
forecasts on projections due to various factors. Factors affecting to actual results include, but are not limited to, changes in economic conditions surrounding Terumo,
fluctuations of foreign exchange rates, and state of competition.
3.

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4. Financial Statements(1) Consolidated balance sheets(Millions of yen)
As of March 31, 2017

As of September 30, 2017

AmountAmount(Assets)
I%
349,183

Cash and deposits

105,388

146,261

Notes and accounts receivable-trade109,508

116,117

Merchandise and finished goods

69,76576,646Work in process

9,367

10,055

Raw materials and supplies

27,57929,022

Deferred tax assets

17,501

17,868Other

11,503

11,912

Allowance for doubtful accounts
II(1,430)

Noncurrent assets
1 Property, plant and equipment

406,390(1,494)65.4

663,48361.8

183,12217.9

188,296

17.6

63,31071,647

Machinery, equipment and vehicles

53,35953,922

Land

22,471

22,503

Lease assets

1,780

1,736

Construction in progress

30,44527,025

Other

11,754
454,717

11,461
44.5

444,782

Goodwill

217,334

Customer relationships

85,33882,695Developed Technology

105,581

102,303

Other

46,4633 Investments and other assets

30,21241.4

211,621

48,1613.0

30,404

Investment securities, including investments inunconsolidated subsidiaries and affiliates

12,463

12,523

Deferred tax assets

6,727

5,469

Retirement benefit assets

37.9

668,052

Buildings and structures

2 Intangible assets

III

34.1

%

Current assets

2.8757643

Other

10,263

11,768Deferred assets

4,169

0.5

3,613

0.3

1,021,405

100.0

1,073,486

100.0

Total assets2

(Millions of yen)
As of March 31, 2017

As of September 30, 2017

AmountAmount(Liabilities)
I%

Current liabilities

248,389%
122,827

Notes and accounts payable-trade38,451

Short-term debt

120,000

－

7,853

7,891

Current portion of long-term debt
Lease obligations

231

126

9,688

13,466

Deferred tax liabilities

2364

Provision for bonuses

6,317

6,000

Notes and accounts payable-facilities
Asset retirement obligations

190

95

7,059

6,833

72－Other

58,50251,653

Noncurrent liabilities

283,46227.8

422,693

Bonds payable

30,00050,000Convertible bonds with subscription rights to shares

100,135

100,110Long-term debt

80,578200,489

Lease obligations

230

242

47,501

46,742

Deferred tax liabilities
Provision for directors' retirement benefits
Retirement benefit liabilities
Asset retirement obligations

11.4

36,695

Income taxes payable

Provision for directors' bonuses

II

24.3

143

6,803

6,45939.4

84

86

Other

18,113

18,558

Total liabilities

531,85152.1

545,520

50.8

I

43.2

465,958

43.4

II

Shareholders' equity

440,680

Capital stock

38,716

38,719

Capital surplus

50,92850,930Retained earnings

459,261

484,484

Treasury stock(108,225)(108,172)

Accumulated other comprehensive income

48,464

Unrealized gains (losses) on available-for-sale securities,
net of taxes

1,706

Deferred gains (losses) on hedges, net of taxes

4.7

61,450

5.7

2,010

(560)

(38)

Foreign currency translation adjustments

56,25767,536Accumulated adjustments for retirement benefits, net of taxes(8,938)(8,058)

III

Stock subscription rights

307

0.0379IV

Non-controlling interests

1010.0177

0.0489,55447.9

527,96549.2

1,021,405

100.0

1,073,486

100.0

Total net assets
Total liabilities and net assets

30.1

(2) Consolidated statements of income(Millions of yen)
For the six months ended

For the six months ended

September 30, 2016

September 30, 2017

AmountAmount%%I

Net sales

245,110100.0

284,610100.0II

Cost of sales

110,13544.9

124,897

43.9134,974

55.1

159,713

56.1

Gross profit
IIIIV

Selling, general and administrative expenses

95,60439.0

111,813

39.3

Operating income

39,37016.1

47,89916.8

Non-operating income

1,001

0.4

1,452

0.5

2,381

0.8

Interest income

247

309

Dividends income

151

61

Royalty income

8259

Foreign exchange gains
OtherV－370

519

651

Non-operating expenses

9,770Interest expenses

593

524

Sales discounts

223

216

Foreign exchange losses
Equity in losses of affiliates

6,595－304

293

Loss on disposal of inventories

7014

Amortization of business commencement expenses

555

555

Other797

785

Ordinary incomeVIVII

4.0

Extraordinary income

30,601

12.5

46,971

16.5

25

0.0

720

0.3

203

0.1

47,438

16.7

14,577

5.1

11.6

Gain on sales of property, plant and equipment

2510

Subsidy income－154

Gain on adjustment of accounts payable－

Extraordinary expenses

555
115

Loss on disposal of property, plant and equipment
Restructuring loss

0.0

115

75－

127

Income before income taxes
VIII Income taxes

30,511

12.5

10,135

4.2

Current

9,460

14,934

Deferred675(357)

ProfitLoss attributable to non-controlling interests
Profit attributable to owners of parent

4

20,376

8.3

32,911

(47)

(0.0)

(55)

(0.0)

20,423

8.3

32,967

11.6

(3) Consolidated statements of comprehensive income
For the six months ended
September 30, 2016
AmountIII

ProfitOther comprehensive income
Valuation difference on available-for-sale securities, netof taxes
Deferred gains or losses on hedges, net of taxes
Foreign currency translation adjustments
Adjustments for retirement benefit
Share of other comprehensive income of associates
accounted for using equity method, net of taxesComprehensive income
Comprehensive income attributable to:
Owners of parent
Non-controlling interests(Millions of yen)
For the six months ended
September 30, 2017
Amount20,376(46,704)(3,986)(4)(44,302)
1,593

304
523
11,281880(4)

532,911
12,987(1)(26,328)

45,899(26,276)(51)

45,953(53)

5. Segment Information[Reportable Segments](1) The Second Quarter of Fiscal Year Ended March 31, 2017

(Millions of yen)

Reportable Segments
Cardiac andVascularCompanyGeneral
HospitalCompany

BloodManagement
Company

Adjustment

Total

Subtotal

Sales and operating income:Sales to customer

121,540

78,24245,227245,010－－－－

Sales total

121,540

78,24245,227

245,010100

245,110Segment income (Excl. Amortization)

33,006

11,2296,493

50,729(2,176)48,552

Segment income (loss)

31,856

11,229(1,538)41,547(2,176)39,370

27.2

14.4

14.4

20.7

－

19.8

Internal sales

Segment income(%)(Excl. Amortization)

100

245,110－－Notes: 1. The 100 million yen adjustment to Sales to customer is proceeds from temporary staffing that is not attributable toreportable segments.
2. The (2,176) million yen adjustment to segment income is the sum of 975 million yen for inventories and (3,152) million
yen for others.
3. Segment income is adjusted to be consistent with operating income shown on the quarterly consolidated incomestatement.

(2) The Second Quarter of Fiscal Year Ending March 31, 2018

(Millions of yen)

Reportable Segments
Cardiac andVascularCompanyGeneral
HospitalCompany

BloodManagement
Company

Adjustment

Total

Subtotal

Sales and operating income:Sales to customer

157,572

77,70549,214284,491－－－－

Sales total

157,572

77,70549,214284,491

119

284,610Segment income (Excl. Amortization)

41,03813,524

7,771

62,33435

62,369Segment income (loss)

34,99913,524(658)47,86435

47,899

26.0

17.4

15.8

21.9

Internal sales

Segment income(%)(Excl. Amortization)

119－－284,610－

21.9

Notes: 1. The 119 million yen adjustment to Sales to customer is proceeds from temporary staffing that is not attributable toreportable segments.
2. The 35 million yen adjustment to segment income is the sum of 353 million yen for inventories and (318) million yenfor others.
3. Segment income is adjusted to be consistent with operating income shown on the quarterly consolidated income
statement.

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