Summary Report on Financial Results for the Second Quarter of the Year Ending March 31st, 2022
(Japan GAAP)
October 29th, 2021
Stock Listing: TSE-JASDAQ
Company name:
Fukuda Denshi Co., Ltd.
Code No.:
6960 (http://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:
November 12th, 2021
Scheduled date for commencement of dividend payment:
December 6th, 2021
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 Second quarter of the year ending March 31st, 2022 (April 1st, 2021
through September 30th, 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
Second quarter of the year
61,692
10,38048.7
10,650
48.8
7,493
37.1
ending March 31st, 2022
Second quarter of the year
60,670
(9.6)
6,978
(2.5)
7,157
(1.2)
5,464
1.5
ended March 31st, 2021
(Note) Comprehensive income
Second quarter of the year ending March 2022:7,965 million yen / 35.6 %Second quarter of the year ended March 2021: 5,871 million yen / 10.3 %The “Accounting Standards for Revenue Recognition” (ASBJ Statement No. 29, March 31 st, 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 second 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.).
The consolidated “Net sales” reaches 65,793 million yen (up 8.4% year-on-year basis) if not applied the said
Accounting Standards.
Earnings
per share
Second quarter of the year
ending March 31st, 2022
Second quarter of the year
ended March 31st, 2021

yen

Diluted earnings
per shareYen

495.61―361.45―(2) Consolidated financial situation
million yen

million yen

Shareholders'equity ratio％

Second quarter of the year
ending March 31st, 2022

183,147

142,91378.0

9,450.44

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:
Second quarter of the year ending March 31st, 2022:
Fiscal year ended March 31st, 2021:

142,913 million yen
137,981 million yen

2. Dividends
End of thefirst quarteryen

Annual Dividends per share
End of the
End of the
End of the term
second quarter
third quarter
yen
yen
yen

Annualyen
Year ended March
―
75.00
―
200.00275.0031st, 2021
Year ending March―
100.0031st, 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 (April 1st, 2021 throughMarch 31st, 2022)(% represents increase or decrease from the previous year)

Net sales

Full-year

Operating Profit

Ordinary Profit

millionyen%

millionyen%

millionyen%

125,000-

15,000(24.3)

15,000(26.0)

Profit attributableto owners ofparentmillion%yen
11,000Earnings
per share(25.3)

yen
727.44(Note) Revisions to recent business forecast: None
The “Accounting Standards for Revenue Recognition” (ASBJ Statement No. 29, March 31 st, 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 second 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.).
*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)
Second 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:
Second quarter of the year ending March 31st, 2022: 4,465,623 sharesYear ended March 31st, 2021: 4,468,250 shares(iii) Average number of shares during the period (accumulated consolidated quarter)
Second quarter of the year ending March 31st, 2022: 15,120,781 shares
Second quarter of the year ended March 31st, 2021: 15,119,291 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------------------------------------------------------------------

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

P.08(1) Consolidated quarterly balance sheets

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

P.08

Consolidated quarterly comprehensive income statements
Second quarter of the consolidated term-------------------------------------------------------------(3) Notes to consolidated quarterly financial statement(Notes regarding the premise for going concern)--------------------------------------------------

P.09--------------------------------------------------------

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

P.09-------------

P.09---------------------------------------------------------------------------

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 second quarter of this fiscal year (April 1 st,
2021 through March 31st, 2022) has been in severe conditions due to the continued impact of the COVID-19
pandemic. The economic prospects remain uncertain for the time being even though some signs of recovery
have been showed.
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 teamwork throughout
Japan’s medical network.
In such an environment, the Group posted a consolidated “Net sales” of 61,692 million yen, “Operating
profit” of 10,380 million yen (up 48.7% year-on-year basis), “Ordinary profit” of 10,650 million yen (up48.8% year-on-year basis), and “Profit attributable to owners of parent” of 7,493 million yen (up 37.1%
year-on-year basis) in the second quarter.
The “Accounting Standards for Revenue Recognition” (ASBJ Statement No. 29, March 31 st, 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 second 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 has decrease. As aresult, consolidated “Net sales” were 12,268 million yen.
B. Patient monitoring equipment segment
Consolidated “Net sales” of patient monitoring equipment were 6,217 million yen.
C. Medical treatment equipment segment
The sales of pacemakers, ventilators, and the business of renting medical equipment for hometreatment increased. As a result, consolidated “Net sales” were 27,028 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 16,177 million yen.
(2) Explanation about consolidated financial situation“Total assets” decreased 8,615 million yen from the end of previous fiscal year to reach 183,147 million
yen. The main factors are the decrease of 11,197 million yen in “Notes and accounts receivable-trade”
despite the increase of 4,515 million yen in “Property, plant and equipment”.
“Total liabilities” decreased 13,547 million yen from the end of the previous fiscal year to reach 40,234
million yen. The main factors are the decrease of 5,907 million yen in “Notes and accounts payable-trade”
and 2,546 million yen in “Income taxes payable”.
“Net assets” increased 4,932 million yen from the end of the previous fiscal year to reach 142,913
million yen. The main factor is the increase of 4,445 million yen in “Retained earnings”.
(3) Explanation about consolidated earnings forecast
Due to the steady sales achievement until the second quarter, there is no change at this moment in theforecast of the financial results for the full fiscal year announced on July 30th, 2021.
The forecasted financial results described in this material are based on information available at the timeof announcement. Actual results may differ from the results projected and presented hereby for a variety ofreasons.

- 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 -(Million yen)
End of the Second quarter
under review(as of September 30th, 2021)

56,59043,161

55,48731,964

2,799

2,019

1,483
9,792
123
2,920
1,848
(57)
118,663

1,438
10,799
377
3,553
2,146
(37)
107,749

40,7781,584

45,293
1,513

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

10,052
18,549(11)
28,59075,398183,147

20,27314,365

9,166

7,257

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

1,800
2,341
2,736
76
271
4,749
33,597

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

3,225
396
3,015
6,636
40,234

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 -(Million yen)
End of the Second quarter
under review(as of September 30th, 2021)

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

4,621
21,841
134,937(20,363)
141,036

1,805

2,205

(274)

(220)

(125)

(108)

1,405

1,876

137,981
191,762

142,913183,147

(2) Consolidated quarterly income statements and consolidated quarterly comprehensive income statements
Consolidated quarterly income statements(Second 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
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 losses
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

Second quarter of theprevious consolidated term(from April 1st, 2020
to September 30th, 2020)
60,67034,02826,641(Million yen)
Second quarter of theconsolidated term(from April 1st, 2021
to September 30th, 2021)
61,69230,53831,153

19,663

20,773

6,97810,380

29
82
11

32
80
20

-

78

84
207

88
300

19

18

0

4

9
29
7,157

6
29
10,650

37
487
436
961

1
60
469
531

1
0

13

381

153

3
387
7,731
2,290
(23)
2,266
5,464
5,464

33
200
10,980
3,252
234
3,486
7,493
7,493

- 8 -

Consolidated quarterly comprehensive income statements(Second 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

Second quarter of theprevious consolidated term(from April 1st, 2020
to September 30th, 2020)
5,464(Million yen)
Second quarter of theconsolidated term(from April 1st, 2021
to September 30th, 2021)
7,493

403

399

(43)

53

47

17

406
5,871

471
7,965

5,871

7,965

(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 31 st, 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 4,100 million yen in the second quarter.
Application of Accounting Standard for Fair Value Measurement, etc.
The “Accounting Standard for Fair Value Measurement” (ASBJ Statement No. 30, July 4 th, 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 -