Summary Report on Financial Results for the Third Quarter of the Year Ending March 31st, 2022
(Japan GAAP)
January 31st, 2022
Stock Listing: TSE-JASDAQ
Company name:
Fukuda Denshi Co., Ltd.
Code No.:
6960 (https://www.fukuda.co.jp)
Representative:
Daijiro Shirai, President & COO
Inquiries:
Haruhiko Honbu, Senior Manager of Accounting & Finance DepartmentTel:+81-3-5684-1558 (main)
Scheduled date for filing the quarterly report:
February 10th, 2022
Scheduled date for commencement of dividend payment:
Supplementary material development:
None
Financial results meeting:None(Amounts less than one million yen are rounded down)(The number with parenthesis shows negative figure)1. Consolidated financial results for the Third quarter of the year ending March 31st, 2022 (April 1st, 2021 throughDecember 31st, 2021)(1) Consolidated operating results (cumulative)(% represents increases or decreases from the previous year)
Ordinary
Profit attributable to
Net sales
Operating Profit
Profitowners of parent
millionmillionmillionmillion
%
%
%
%
yen
yen
yen
yen
Third quarter of the year
93,06815,86335.9 16,320
36.4
11,57928.6
ending March 31st, 2022
Third quarter of the year
96,752
1.5
11,672
27.4
11,963
27.8
9,000
31.9
ended March 31st, 2021
(Note) Comprehensive income
Third quarter of the year ending March 2022: 11,773 million yen / 22.6 %Third quarter of the year ended March 2021: 9,605 million yen / 28.5 %The “Accounting Standards for Revenue Recognition” (ASBJ Statement No. 29, March 31st, 2020), etc. has
been applied since the beginning of the first quarter of the current consolidated fiscal year. The percentage ofyear-on-year change for “Net sales” is not indicated as the figures for the third quarter are calculated after theapplication of the said Accounting Standard. (The figures for “Operating Profit”, “Ordinary Profit”, and“Profit attributable to owners of parent” have not been affected by the said Accounting Standard.).
The consolidated “Net sales” reaches 99,401 million yen (up 2.7% year-on-year basis) if not applied the said
Accounting Standards.
Earnings
per shareyen

Diluted earnings
per shareyen

765.77―595.31―

Third quarter of the year
ending March 31st, 2022
Third quarter of the year
ended March 31st, 2021

(2) Consolidated financial situation
million yen

million yen

Shareholders'equity ratio％

Third quarter of the year
ending March 31st, 2022

183,202145,19779.3

9,601.44

Year ended March 31st, 2021

191,762

137,98172.0

9,125.88

Total assets

Net assets- 1 -Net assets
per shareyen(Reference) Shareholders' equity:
Third quarter of the year ending March 31st, 2022: 145,197 million yen
Year ended March 31st, 2021
137,981 million yen
2. Dividends
Annual Dividends per share
End of the
End of the
End of the term
second quarter
third quarter
yen
yen
yen

End of thefirst quarteryen

Annualyen
Year ended March
―
75.00
―
200.00275.0031st, 2021
Year ending March―
100.00―31st, 2022
Year ending March
115.00215.0031st, 2022 (forecast)(Note) Revisions to recent dividend forecast: None
The detail of second quarter dividend of Year ended March 31st, 2021; ordinary dividend 55.00 yen, extra
dividend 20.00 yen
The detail of year-end dividend of Year ended March 31st, 2021; ordinary dividend 90.00 yen, extra dividend
110.00 yen
The detail of second quarter dividend of Year ending March 31st, 2022; ordinary dividend 80.00 yen, extra
dividend 20.00 yen
The detail of year-end dividend of Year ending March 31st, 2022 (forecast); ordinary dividend 80.00 yen, extra
dividend 35.00 yen
3. Forecast of consolidated financial results for fiscal year ending March 31st, 2022(% represents increase or decrease from the previous year)

Net sales

Full-year

Operating Profit

Ordinary Profit

millionyen%

millionyen%

millionyen%

125,000-

20,0001.0

20,500

1.2

Profit attributableto owners of parent
million%yen
15,000Earnings
per share

1.9

yen
991.96(Note) Revisions to recent business forecast: Yes
The “Accounting Standards for Revenue Recognition” (ASBJ Statement No. 29, March 31st, 2020), etc. has
been applied since the beginning of the first quarter of the current consolidated fiscal year. The percentage ofyear-on-year change for “Net sales” is not indicated but the figures for “Operating Profit”, “Ordinary Profit”,
and “Profit attributable to owners of parent” have not been affected by the said Accounting Standard.
*Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries involving changes inthe scope of consolidation): None
(2) Application of special accounting methods for the preparation of the consolidated quarterly financial
statements: None
(3) Changes in accounting policies, accounting projections and restatement(i) Changes in accounting policies associated with revision of accounting standards: Yes(ii) Changes other than (i) above: None(iii) Changes in accounting projections: None(iv) Restatement: None
Note: For details, please refer to Changes in Accounting Policy in (3) Notes to consolidated quarterly
financial statement under the “2. Consolidated quarterly financial statements and Notes” section on page 9.

- 2 -(4) Number of outstanding shares (common shares)(i) Number of outstanding shares at the end of the period (including treasury shares)
Third quarter of the year ending March 31st, 2022: 19,588,000 sharesYear ended March 31st, 2021: 19,588,000 shares(ii) Number of shares of treasury shares at the end of the period:
Third quarter of the year ending March 31st, 2022: 4,465,520 sharesYear ended March 31st, 2021: 4,468,250 shares(iii) Average number of shares during the period (accumulated consolidated quarter)
Third quarter of the year ending March 31st, 2022: 15,121,278 shares
Third quarter of the year ended March 31st, 2021: 15,119,385 shares* This summary is not subject to audit procedure.
* Explanation about the appropriate use of the forecasts of financial results, and other noteworthy matters.
The projections and other statements with respect to the future included in this material are based on currently
available information and certain assumptions that are judged reasonable by Fukuda Denshi (hereinafter, “theGroup”). Please be advised that the Group does not guarantee in any way the achievement of the projections
and other goals in this material and that cases may occur where the actual results and other situations differ
materially from the projections due to various factors. With respect to the preconditions for the forecast offinancial results, please refer to “(3) Explanation about consolidated earnings forecast” under the “1.
Qualitative information about consolidated earnings results for the quarter under review" section on page 5.

- 3 -Contents of the Attached Materials
1. Qualitative information about consolidated earnings results for the quarter under review --------

P.05(1) Explanation about consolidated operating results -----------------------------------------------------

P.05(2) Explanation about consolidated financial situation ---------------------------------------------------

P.05(3) Explanation about consolidated earnings forecast ----------------------------------------------------

P.05

2. Consolidated quarterly financial statements and Notes -------------------------------------------------

P.06(1) Consolidated quarterly balance sheets ------------------------------------------------------------------

P.06(2) Consolidated quarterly income statements and consolidated quarterly comprehensive income
statements

P.08

Consolidated quarterly income statements
Third quarter of the consolidated term -------------------------------------------------------------

P.08

Consolidated quarterly comprehensive income statements
Third quarter of the consolidated term -------------------------------------------------------------

P.09(3) Notes to consolidated quarterly financial statement --------------------------------------------------

P.09(Notes regarding the premise for going concern) --------------------------------------------------------

P.09(Notes when there is a significant fluctuation in the amount of shareholders’ equity) -------------

P.09(Changes in Accounting Policy) ---------------------------------------------------------------------------

P.09

- 4 -

1. Qualitative information about consolidated earnings results for the quarter under review(1) Explanation about consolidated operating results
The Japanese economy during the consolidated cumulative third quarter of this fiscal year (April 1st, 2021
through March 31st, 2022) has been in severe conditions due to the continued impact of the COVID-19
pandemic, and the economic prospects remain uncertain for the time being.
In the medical industry, it is now required to strengthen the efforts to the COVID-19 pandemic and toconstruct an efficient framework to provide healthcare services reflecting the regional medical plan throughthe differentiation and strengthening of medical institutions’ functions encouraging the regional healthcare
network.
In such an environment, the Group posted consolidated “Net sales” of 93,068 million yen, “Operating
profit” of 15,863 million yen (up 35.9% year-on-year basis), “Ordinary profit” of 16,320 million yen (up36.4% year-on-year basis), and “Profit attributable to owners of parent” of 11,579 million yen (up 28.6%
year-on-year basis) in the third quarter.
The “Accounting Standards for Revenue Recognition” (ASBJ Statement No. 29, March 31st, 2020), etc.
has been applied since the beginning of the first quarter of the current consolidated fiscal year. The
percentage of year-on-year change for “Net sales” is not indicated as the figures for the third quarter are
calculated after the application of the said Accounting Standard. (The figures for “Operating Profit”,“Ordinary Profit”, and “Profit attributable to owners of parent” have not been affected by the said
Accounting Standard.)
A. Physiological diagnostic equipment segment
While the sales of electrocardiographs increased, the number of large orders decreased. As a result,consolidated “Net sales” were 18,849 million yen.
B. Patient monitoring equipment segment
Consolidated “Net sales” of patient monitoring equipment were 9,250 million yen.
C. Medical treatment equipment segment
While the sales of ventilators decreased, the business of renting medical equipment for hometreatment increased. As a result, consolidated “Net sales” were 40,421 million yen.
D. Consumables and other products segment
In this segment, we mainly handle recording paper, disposable electrodes, and consumables used for
devices handled in the above segments, as well as maintenance and repair services.
Consolidated “Net sales” for this segment were 24,546 million yen.
(2) Explanation about consolidated financial situation“Total assets” decreased 8,560 million yen from the end of previous fiscal year to reach 183,202 million
yen. The main factors are the decrease of 12,846 million yen in “Notes and accounts receivable - trade”
despite the increase of 4,974 million yen in “Property, plant and equipment”.
“Total liabilities” decreased 15,777 million yen from the end of the previous fiscal year to reach 38,004
million yen. The main factor is the decrease of 6,159 million yen in “Notes and accounts payable - trade”
and 4,312 million yen in “Income taxes payable”.
“Net assets” increased 7,216 million yen from the end of the previous fiscal year to reach 145,197
million yen. The main factor is the increase of 7,007 million yen in “Retained earnings”.
(3) Explanation about consolidated earnings forecast
The Group has revised the forecasts of the financial results. For further information, please refer to theannouncement posted on January 31st, 2022 “Notice of Revision of Forecast of the Financial Results for the
Fiscal Year Ending March 2022”.

- 5 -2. Consolidated quarterly financial statements and Notes(1) Consolidated quarterly balance sheets
Previous fiscal year
(as of March 31st, 2021)
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Electronically recorded monetaryclaims - operating
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets
Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations –operating
Short-term borrowings
Income taxes payable
Provision for bonuses
Provision for product warranties
Other provisions
Other
Total current liabilities
Non-current liabilities
Retirement benefit liability
Other provisions
Other
Total non-current liabilities
Total liabilities- 6 -(Millions of yen)
End of the Third quarter
under review(as of December 31st, 2021)

56,59043,16155,54830,315

2,799

2,951

1,483
9,792
123
2,920
1,848
(57)
118,663991
11,500
235
3,905
1,782
(34)
107,196

40,7781,584

45,752
1,434

10,051
20,696(12)
30,73573,099191,762

9,714
19,115(11)
28,81876,005183,202

20,273

14,114

9,166

6,985

1,750
4,887
3,193
70
436
7,321
47,098

1,800
575
1,440
83
327
6,018
31,343

3,193
401
3,088
6,683
53,781

3,274
397
2,988
6,661
38,004

Previous fiscal year
(as of March 31st, 2021)
Net assets
Shareholders' equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive
IncomeValuation difference on
available-for-sale securities
Foreign currency translation
adjustment
Remeasurements of defined benefit
plans
Total accumulated othercomprehensive income
Total net assets
Total liabilities and net assets- 7 -(Millions of yen)
End of the Third quarter
under review(as of December 31st, 2021)

4,621
21,841
130,491(20,378)
136,575

4,621
21,841
137,498(20,363)
143,598

1,805

1,858

(274)

(156)

(125)

(101)

1,405

1,599

137,981
191,762

145,197
183,202(2) Consolidated quarterly income statements and consolidated quarterly comprehensive income statements
Consolidated quarterly income statements(Third quarter of the consolidated term)

Net sales
Cost of sales
Gross profit
Selling, general and administrative
expenses
Operating profit
Non-operating income
Interest income
Dividend income
Foreign exchange gains
Gain on investments in investment
partnerships
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Loss on investments in investment
partnerships
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities
Surrender value of insurance policies
Total extraordinary income
Extraordinary losses
Loss on sale of non-current assets
Impairment loss
Loss on valuation of investment
securities
Office relocation expenses
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to owners of parent

Third quarter of theprevious consolidated term(from April 1st, 2020
to December 31st, 2020)
96,752
55,344
41,407(Millions of yen)
Third quarter of theconsolidated term(from April 1st, 2021
to December 31st, 2021)
93,06845,75247,31529,73531,452

11,672

15,863

47
114
-

51
111
94

58

78

136
357

162
497

29
26

27
-

-

4

11
67
11,9637
40
16,320

37
762
420
1,220

4
60
478
543

1
1

16

399

-

6
408
12,774
3,835
(61)
3,774
9,000
9,000

33
50
16,814
4,845
388
5,234
11,579
11,579- 8 -Consolidated quarterly comprehensive income statements(Third quarter of the consolidated term)

ProfitOther comprehensive income
Valuation difference on
available-for-sale securities
Foreign currency translation
adjustment
Remeasurements of defined benefit
plans, net of tax
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable toowners of parent

Third quarter of theprevious consolidated term(from April 1st, 2020
to December 31st, 2020)
9,000(Millions of yen)
Third quarter of theconsolidated term(from April 1st, 2021
to December 31st, 2021)
11,579

583

52

(49)

117

71

23

605
9,605

194
11,773

9,605

11,773(3) Notes to consolidated quarterly financial statement(Notes regarding the premise for going concern)
Not applicable.
(Notes when there is a significant fluctuation in the amount of shareholders’ equity)
Not applicable.
(Changes in Accounting Policy)
Application of the Accounting Standard for Revenue Recognition, etc.
The “Accounting Standards for Revenue Recognition” (ASBJ Statement No. 29, March 31st, 2020.
Hereinafter, “Accounting Standard for Revenue Recognition”), etc. has been applied since the beginning of
the first quarter of the current consolidated fiscal year. In accordance with this accounting standard, the Group
recognizes revenue as the amount expected to be received in exchange for the promised goods orservices when the control of the goods or services is transferred to the customer.
Revenue Recognition in terms of agent transaction
Since the beginning of the first quarter of the current consolidated fiscal year, the Group recognizes revenue
as the net amount received from the customer after deduction of the payment for the suppliers in terms of theagent transaction.
The application of the Accounting Standard for Revenue Recognition is pursuant to the transitional
treatment stipulated in the proviso of Paragraph 84 of the Accounting Standard for Revenue Recognition.
The cumulative effect when applying the new accounting policy retrospectively from before the beginningof the first quarter of the current consolidated fiscal year is added to or subtracted from the retained
earnings at the beginning of the first quarter of the current consolidated fiscal year before applying the new
accounting policy from the beginning-of-year balance.
As a result, “Net sales” and “Cost of sales” each decreased 6,333 million yen in the third quarter.
Application of Accounting Standard for Fair Value Measurement, etc.
The “Accounting Standard for Fair Value Measurement” (ASBJ Statement No. 30, July 4th, 2019), etc.
have been applied since the beginning of the first quarter of the current consolidated fiscal year. In
accordance with the transitional treatment prescribed in Paragraph 19 of the “Accounting Standard for Fair
Value Measurement” and Paragraph 44–2 of the “Accounting Standard for Financial Instruments” (ASBJ
Statement No. 10, July 4th, 2019), the Group has decided to apply the new accounting policies set forth
by the Accounting Standard for Fair Value Measurement, etc. in the future.
These changes had no impact on the Group’s consolidated financial statements.

- 9 -* This English translation is for reference purposes only. The original Japanese version will prevail as the official
authoritative version.

- 10 -