42ndBusiness Report
From April 1, 2023 to March 31, 2024

Securities code: 7817 PARAMOUNT BED HOLDINGS CO., LTD.

Top Message

Top Message

We create comfortable
healthcare environments throughcutting-edge technology witha human touch.
We extend our heartfelt thanks to our shareholders for their ongoing support.
The Company hereby provides reports in relation to the overview of business andthe financial results for the 42nd term (from April 1, 2023 to March 31, 2024).

President and Chief Executive Officer

Tomohiko Kimura

Business Results for the Fiscal Year under Review

Future Business Development

With regard to consolidated business results for the fiscal year
under review, costs and various expenses increased, including risingmaterial procurement prices with the depreciating yen. However,as a result of our efforts to implement various measures to respondto increased demand associated with the promotion of work stylereforms for medical and nursing care staff, etc., net sales came to¥106,016 million, reaching a new record high. In terms of profits,
operating profit came to ¥13,818 million (up 2.7% year on year)
and ordinary profit came to ¥15,920 million (up 12.6% year onyear), while profit attributable to owners of parent came to¥10,622 million (up 15.3% year on year), also reaching new record
highs in terms of profits, respectively.
The Company paid a year-end dividend of ¥34 per share, which
is an increase of ¥3 over initial forecasts, for the fiscal year underreview. As a result, in combination with the interim dividend of ¥31
per share, the annual dividend came to ¥65 per share.
The Company also reviewed the dividend policy. While we havepreviously set the dividend on equity ratio (DOE) of 2.7% and thepayout ratio of 30%, we will change to a DOE of 4.0% and a payout
ratio of 50% as the benchmark from the next fiscal year (fiscal year
ending March 31, 2025) and determine the amount based on thedividend policy in which shareholders together can be consciousof the growth. The Company intends to pay interim and yearend dividends of ¥48 and ¥49 per share, respectively, resulting
in an annual dividend of ¥97 per share for the next fiscal year, asignificant increase year on year.

The Group launched Phase II (final year: fiscal year ending March31, 2027) of the medium-term business plan “Paramount Vision2030” from the fiscal year ending March 31, 2025. Upholding“expansion of recurring business,” “evolution of health promotion
business,” and “rapid growth in focused areas in Asia” as key
measures, we will focus on expanding business to enhance
corporate value further.
We also formulated a new brand message, “WELL-BEING forall beings.” As we expand our business beyond the conventionalframework of a medical care and nursing care bed manufacturerwith our diversification of business, and expand and change thebusiness line further for the future, we believe that it is importantto redefine the value the Group provides to stakeholders worldwide.
A QR code is included on the special feature page to view avideo that expresses our thoughts and worldview included in thismessage. The Group as a whole will strive to further contribute tosociety and enhance corporate value by continuously proposing
new solutions to respond to social issues and customer needs thatchange and diversify still more in the future.
Going forward, we humbly ask our shareholders for theirunderstanding and support.

Topics

TopicsFull update of the “INTIME 1000,” electric
beds for general household use
Supported “Parasport Support Project” ofChiba Lotte Marines pro baseball team

“INTIME 1000” wins Good Design
Award
The “INTIME 1000,” our electric bed fully updated
in April, won the Good Design Award 2023.
Features such as the design and the idea of hiding
the structural part of the bed were highly evaluated.

2023

Apr.
MayJun.
Jul.
Aug.

Paramount Care Service established
Funabashi Branch

Paramount Care Service began
rental of “Avance” and “pasola,”original walkers for indoor use
Paramount Care Service began the rental of the“Avance” pickup walker and the “pasola” forearm
support walker as superiorly designed andconvenient original products.

Sep.
Oct.
Nov.
Dec.
2024

Jan.
Feb.

AvancepasolaMar.

Launched “Lifmia,” an electric lift-up
chair
Launched “Metis Series” electric beds for
medical facilities
Launched wide-sized beds “RakushoWing” for home care

Launched provision of “Nemuri
CONNECT” monitoring support system
The “Nemuri CONNECT” monitoring support systemenables management of information detected bythe “Nemuri SCAN” body motion sensor in thecloud. Equipped with a function that centrally
manages various resident information, the system
contributes to the nursing care DX promotion.

Illustration of control
panel of “NemuriCONNECT”

Paramount Care Service relocated Toshima
Branch and established Sakai Branch

Four main companies of the Group
received certification under the Certified
KENKO Investment for Health Outstanding
Organizations Recognition Program
The program certifies enterprises recognized as
particularly excellent in their management andpromotion of the health andproductivity of their employees.
In addition to the Company,
Paramount Bed, Paratechno,
and Paramount Care Service
received the certification.

Special FeatureSpecial Feature

Formulation of a brand message “WELL-BEING for all beings”
We uphold the Paramount Vision 2030, expressed as “Smiles for everyone, from medical careand nursing care to health,” and are expanding the business beyond the conventional frameworkof a medical care and nursing care bed manufacturer. As we continue to expand and change thebusiness line further for the future, we have formulated a brand message, “WELL-BEING for allbeings,” that expresses the value the Group provides to stakeholders worldwide. A video that
expresses our thoughts and worldview included in this brand message is available. Please visit
via the QR code.

[New Product] Full update of the “Active Sleep BED”
In April, we fully updated the “Active Sleep BED” electric bed, which has sleep score assessment and “sleepautomatic operation” functions. Besides adding a new function that allows one to take a more relaxed positionon the bed, the automatic operation function is improved. By also pursuing comfort in various scenes in life,
such as reading, watching television, and eating, we contribute to a comfortable sleeping environment thatsuits each individual’s situation.

Illustration of “Active Sleep BED”

Illustration of screen capture of thesleep score assessment application

Financial Review
Consolidated Financial Statements
Consolidated Balance Sheet (Summary)(Millions of Yen)

Previous
Fiscal Year

Current
Fiscal Year

Item

AmountAmountTotal current assets

97,13595,496

Total non-current assets

75,15884,523

Total assets

172,293

Total liabilities

Consolidated Statement of Income (Summary)(Millions of Yen)

Previous
Fiscal Year

Current
Fiscal Year

(From April 1, 2022
to March 31, 2023)(From April 1, 2023
to March 31, 2024)

Item

AmountAmountNet sales

99,009106,016

180,020

Operating profit

13,452

13,81843,59644,004

128,697

136,016

Ordinary profit

Total net assets

14,13915,920Total liabilities and net assets

172,293

180,020

Profit attributable to ownersof parent

9,215

10,622(As of March 31, 2023) (As of March 31, 2024)

Consolidated Statement of Cash Flows (Summary)(Millions of Yen)

PreviousFiscal Year

Item

Cash and cash equivalents
at beginning of year
Cash flows from operatingactivities
Cash flows from investing
activities
Cash flows from financing
activities
Effect of exchange rate change
on cash and cash equivalents
Increase (decrease) in cash
and cash equivalents
Increase in cash and cash
equivalents resulting from inclusionof subsidiaries in consolidation
Cash and cash equivalents
at end of year

Current
Fiscal Year

(From April 1, 2022
to March 31, 2023)(From April 1, 2023
to March 31, 2024)

AmountAmount45,462

45,663

9,151

7,521

(6,332)(8,163)(3,232)(5,969)419

688

7(5,922)

194－

45,66339,740Website Information
PARAMOUNT BED HOLDINGS IR ENGLISH

SearchFor moredetailed financial
information, pleaserefer to the various
materials madeavailable on theCompany website.

https://www.paramountbed-hd.co.jp/english/ir

Financial Review

Consolidated Net Sales by Business
Medical Care Business

Domestic

Overseas

Nursing Care Business(Millions of Yen)
45,000

Domestic
nursing
homes

Domestic
homecare(Millions of Yen)

70,00040,69035,94630,000Overseas

6,607

60,00037,29133,444
7,675

57,521

9,641

34,23050,48250,000

8,561
7,795

1,018

36,04937,855

12,59314,016

13,442

14,912

38th

39th

40th

41st542
41,89930,000

963

709

416

44,73440,00052,31761,35042,756

31,59815,00029,33925,76926,43528,72931,04820,00010,0000

17,630

0

38th

39th

40th

Health Promotion Business

41st

42nd

Domestic

Overseas(Millions of Yen)

42nd

Main Companies of the Paramount BedHoldings GroupNetwork

3,000● PARAMOUNT BED HOLDINGS CO., LTD.
2,517
0

2,141

2,000

2,210
00

1,584
1,231

2,517

0

2,210

2,141039th● Paramount Bed Co., Ltd.

● KP Service Co., Ltd.

● Paratechno Co., Ltd.

● PARAMOUNT BED Healthcare Fund

● Sadashige Special Plywood Co., Ltd.
<Consolidated subsidiaries
overseas>

1,584
1,231

38th

<Non-consolidated subsidiaries
in Japan>● Paramount Care Service Co., Ltd.

01,000<Consolidated subsidiaries inJapan>

40th

41st

42nd

<Non-consolidated subsidiaries
overseas>● Paramount Bed Asia Pacific Pte. Ltd.

● Paramount Bed (Thailand) Co., Ltd.

● PT. Paramount Bed Indonesia● Paramount Bed India Pvt. Ltd.

● Paramount Bed (China) Co., Ltd.

● Paramount Bed Mexico S.A. de C.V.

● Paramount Bed Vietnam Co., Ltd.

● Paramount Bed USA Corporation

Financial Highlight (Consolidated)

Financial Highlight

Key Points for the Fiscal Year under Review• Net sales increased 7.1% year on year due to steady growth in the recurring business, reaching a new record high.
• Operating profit increased 2.7% year on year as a result of increased demand and price revisions, etc. despite theincreased expenses due to the rising material procurement prices and introduction of a new Enterprise Resource
Planning system.

Net sales

Operating profit

106,016 million

13,818 million¥

99,00990,00010,622 million¥(Millions of Yen)

120,000

Profit attributable to owners of parent(Millions of Yen)

15,00013,81813,452106,016¥(Millions of Yen)

12,00010,6229,215

9,000
10,00060,00046,850

6,000

6,480

6,218

49,720

5,298

41st

42nd

3,000

30,000

00

0

41st

42nd

41st

Basic earnings per share¥

Net assets

180,020 million

136,016 million

¥
(Yen)

(Millions of Yen)

200,000

182.61158.3742nd

Total assets

182.61

200

150

5,044

5,000

172,293¥(Millions of Yen)

150,000

180,020

128,697

136,016150,000
100,000

100

86.73

90.89

100,000
50,00050

50,00000

41st

42nd

0

41st

42nd

41st42nd
Full year

Half year

Share Information

Stock Info

(As of March 31, 2024)

Number of Shares Authorized
Total Number of Shares Issued
Number of Shareholders
Principal Shareholders
Name of shareholders

252,000,000
61,754,974
11,435
Shareholders’ investment in
the Company
Number ofshares held

Shareholding
ratio(Thousands of shares)

The Master Trust Bank of Japan, Ltd. (Trust Account)
CTOK Co., LTD.
LLAGE WOOD Co.
Michihide Kimura
Kyosuke Kimura
Kenji Kimura
Tomohiko Kimura
Custody Bank of Japan, Ltd. (Trust Account)
JPMorgan Chase Bank 385632
Paramount Bed Group employee stock ownership plan

8,620
4,266
4,146
1,822
1,818
1,782
1,769
1,584
1,475
1,394(%)

15.0
7.4
7.2
3.2
3.2
3.1
3.1
2.8
2.6
2.4

* Although the Company holds 4,334,941 shares of treasury stock, the shareholding ratio is
calculated after deducting the shares of treasury stock.

Distribution of Shares
Individuals and others 24.3％
Securities companies 1.3％
Treasury stock 7.0％
Financial institutions 21.7％

Distribution
by Type ofShareholder

Foreign companies, etc. 23.3％
Other domestic companies 22.4％

1.1％
3.4％

50,000 to 99,999

3.0％

100,000 to 499,999 13.1％(As of March 31, 2024)

Company Name
Head Office

Company Info

PARAMOUNT BED HOLDINGS CO., LTD.
14-5, Higashisuna 2-chome, Koto-ku, Tokyo,
Postal code 136-8671, Japan
October 1982
¥4,207 million
4,126 (Consolidated)

Established
Capital
Number of Employees
Business Lines
Control or management of operating companies involved in the manufactureand sale of beds and mattresses, hospital furniture, medical equipment, etc.
for medical and nursing care environments; services such as the inspection,
maintenance, disinfection, and maintenance leases for beds and mattresses;
the rental wholesale business for assistive products; etc. through theownership of shares or through an equity interest.

Shareholder MemoBusiness year
From April 1 of each year to March 31 of the following year
Ordinary general meeting of shareholders
June of each year
Record date of the above
March 31 of each year
When necessary, other record dates will be determined on anextraordinary basis of the prior notification.
Date for determining shareholders entitled to receive dividends
Year-end dividendMarch 31 of each year
Interim dividend
September 30 of each year
Method of public noticeElectronic public notice will be made. However, if it is impossible
to publish public notices electronically because of unavoidable
circumstances, the public notices shall be made by publication in“The Nikkei” newspaper.
The Company’s URL for public noticehttps://www.paramountbed-hd.co.jp
Shareholder register administrator
3-11 Kandanishiki-cho, Chiyoda-ku, Tokyo (NMF Takebashi Building 6F)
Tokyo Securities Transfer Agent Co., Ltd.
Handling office101-0054
3-11 Kandanishiki-cho, Chiyoda-ku, Tokyo (NMF Takebashi Building 6F)
Head Office, Tokyo Securities Transfer Agent Co., Ltd.
(Contact)
0120-49-7009

Handling operation is conducted in main branch and all domestic branches ofSumitomo Mitsui Trust Bank, Limited.

Mailing address (Contact address)
2-8-4 Izumi, Suginami-ku, Tokyo 168-8522
Operations Center, Tokyo Securities Transfer Agent Co., Ltd.
(Contact)
0120-49-7009

500,000 or more 73.4％
Less than 1,000 3.0％
1,000 to 4,999 3.0％
5,000 to 9,999
10,000 to 49,999

Company Information

Distribution
by Number ofShares Held

[Procedures Related to Shares]●Applications for change of address or for purchase demands of shares less than one unit.
Please send such notifications or applications to the securities company whereyour account is held. However, for procedures related to shares registered toa special account, please apply to Tokyo Securities Transfer Agent Co., Ltd.,
which is the administrative organization for special accounts.
●Applications for payment of dividends payable
These are handled by Tokyo Securities Transfer Agent Co., Ltd., which is theshareholder register administrator for shares of the Company.
●Contact
TEL: +81-3-3648-1100 (Main) FAX: +81-3-3648-5781
Business Hours: Monday to Friday, 9:00 a.m. to 5:20 p.m.
* Excludes national holidays, summer holidays, and new year holidays.