These documents have been translated from Japanese originals for reference purposes only. In the eventof any discrepancy between these translated documents and the Japanese originals, the originals shallprevail.

November 8, 2023

[Summary] Consolidated Financial Results for the 2nd Quarter of the Fiscal YearEnding March 31, 2024 (Japan GAAP)NIHON KOHDEN CORPORATION (6849)
Prime Market, Tokyo Stock Exchange
Tokyo
Hirokazu Ogino, Representative Director, President
Fumio Izumida, Operating Officer, General Manager, Corporate Strategy Division
Phone: +81 / 3 - 5996 - 8003
(URL https://www.nihonkohden.co.jp)

Stock Exchange Listing:
Head Office:Representative:
Contact:(Amounts are rounded down to the nearest million yen)

1. Consolidated Financial Highlights for the 2nd Quarter of FY2023 (From April 1, 2023 to September 30, 2023)(1) Consolidated Operating Results
Note: Percentages indicate increase/decrease over the corresponding period in the previous fiscal year.
Net sales

FY2023 2Q (6 months)
FY2022 2Q (6 months)

Operating income

Income attributable toowners of parent

Ordinary income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

103,536
94,3499.7-7.8

7,491
7,217

3.8-58.6

12,546
13,019

-3.6
-27.6

7,997
8,541-6.4-30.5

Note: Comprehensive income:
FY2023 2Q: 10,071 million yen (-8.5%)
Net income per share
Net income per share- Basic- Diluted
Yen

Yen

FY2023 2Q (6 months)

95.05

―

FY2022 2Q (6 months)

101.43―

FY2022 2Q: 11,012 million yen (-15.3%)(2) Consolidated Financial Conditions

As of September 30, 2023
As of March 31, 2023

Total assets

Net assets

Equity ratio

Millions of yenMillions of yen%

Yen

174,30578.9

2,071.45

77.3
FY2022: 167,604 million yen

1,992.30

220,990
216,728

Reference: Equity Capital:

167,604
FY2023 2Q: 174,305 million yen

Net assets per share

2. Dividends
Dividends per share
Interim(Second quarter)

First quarter

Third quarter

Year-end

Full-year

yen

yen

yen

yen

yen

FY2022―

20.00

―

41.00

61.00

FY2023―

30.00
―

31.00

61.00

Income attributableto owners of parent

Net income pershare - Basic

FY2023 (Forecast)
Note: Revise of dividends forecast: None

3. Consolidated forecast for FY2023 (From April 1, 2023 to March 31, 2024)
Operating income Ordinary income

Net sales%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

Full year
221,500
7.2
Note: Revise of consolidated forecast: Yes

22,2005.1

24,000-0.5

15,500-9.4

184.20Millions of yen－1－* Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change
in scope of consolidation): None
Newly included:― companies (―)

Excluded:― companies (―)(2) Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies due to revisions to accounting standards and other regulations: None(ii) Changes in accounting policies due to other reasons: None(iii) Changes in accounting estimates: None(iv) Restatement: None
(3) Number of issued shares (common shares)(i) Total number of issued shares at the end of the period(including treasury shares)(ii) Number of treasury shares at the end of the period(iii) Average number of shares outstanding during the period

FY2023 2Q

88,230,980

shares

FY2022

88,230,980

shares

FY2023 2Q

4,084,068

shares

FY2022

4,104,612

shares

FY2023 2Q

84,135,178

shares

FY2022 2Q

84,209,182

shares* This summary of financial result is not subject to audit procedures.
* In domestic sales of the Nihon Kohden group, sales to public medical institutions (which include national hospitals, nationaluniversities, public agencies, and municipal hospitals) account for a relatively high percentage of total sales. Therefore, the bulk oforders tend to be concentrated in September and March due to these hospitals' budget executions. In particular, sales and income arehighly concentrated in the fourth quarter of the fiscal year.
* Earnings forecasts and other forward-looking statements in this release are based on information currently available and certain
assumptions that the Company believes are reasonable. Therefore, they do not constitute a guarantee that they will be realized. Actual
results may differ from such estimates due to unforeseen circumstances.

－2－4. Review of Operations
During the term under review (April 1, 2023 to September 30, 2023), the global economic outlook remained uncertain due totight monetary policy in the U.S. and Europe, the protracted crisis in Ukraine, and higher prices of components and resources. In
Japan, each prefecture revised its healthcare system, and task shifting and operational efficiency were further required in medical
institutions, because work style reforms for medical staff are scheduled to take effect in 2024. Medical equipment companies
were strongly required to provide solutions which contribute to improving the quality and efficiency of medical care.
Internationally, overall demand for medical equipment which contributes to easing medical staff workloads remained steady,while the negative impact of the shortage of nurses and higher interest rates remained in the U.S. and Europe.
Under these circumstances, Nihon Kohden implemented its Three-year Business Plan, BEACON 2030 Phase I that sets
FY2023 as its final year. The Company formulated the basic policies of the plan as follows: i) Embracing sustainability acrossbusiness and corporate activities, ii) Ensuring strict compliance and strengthening group governance, iii) Improving theprofitability of existing businesses and making strategic upfront investments, and iv) Establishing global SCM and strengthening
core functions of operations.
Japan: Nihon Kohden concentrated on enhancing sales activities which match each market; the acute care hospital market, thesmall and mid-sized hospital market, and the clinic market. The Company also focused on its consumables and services businessas well as strengthening its marketing and service capabilities, creating customer value which contributed to improving medical
safety, patient outcomes, and operating efficiency. As a result of these initiatives, sales in all markets increased. Sales in theuniversity and private hospital markets increased favorably thanks to large orders related to construction of new hospitals. Salesin the public hospital and clinic markets also increased. Sales of Physiological Measuring Equipment, Treatment Equipment, andPatient Monitors increased favorably. Sales of Other Medical Equipment remained flat, as sales of imaging systems decreased,
while sales of maintenance services for medical devices increased favorably. As a result, domestic sales increased 5.0% over thefirst half of FY2022 to ¥65,708 million.
International: Overseas sales showed double-digit growth due to the impact of a change in the fiscal term of Defibtech, LLC
according to the reorganization of subsidiaries in the U.S. Strong sales were also seen in China because patient monitors wereinstalled due to the COVID-19 resurgence. In the Americas, sales in the U.S. showed double-digit growth, especially inTreatment Equipment and Patient Monitors. Sales in Latin America decreased on a comparable basis and increased on a yenbasis. Sales in Brazil decreased, while sales in Mexico increased favorably. Sales in Europe decreased on a comparable basisand increased on a yen basis. Sales in Germany decreased, while sales in the U.K. and the Netherlands showed strong growth.
Sales in Asia & Other achieved double-digit growth, as sales in China increased significantly. Sales in the Middle East andVietnam also increased favorably. Sales of Treatment Equipment showed strong growth, because sales of Defibtech AEDs
increased significantly. Sales of Physiological Measuring Equipment also achieved double-digit growth and sales of Patient
Monitors increased. Sales of Other Medical Equipment remained flat. As a result, international sales increased 19.1% over thefirst half of FY2022 to ¥37,828 million.
As a result of the above, overall sales during the term under review increased 9.7% over the first half of FY2022 to ¥103,536
million. The Company’s efforts to raise selling prices due to higher prices of components also contributed to increased sales.
Operating income increased 3.8% over the first half of FY2022 to ¥7,491 million due to sales increasing, despite an increase in
SG&A expenses resulting from the strengthening of human resources and R&D investment. Ordinary income decreased 3.6% to¥12,546 million, and income attributable to owners of parent decreased 6.4% to ¥7,997 million over the first half of FY2022,
reflecting the decrease in foreign exchange gains.
* Defibtech, LLC changed its fiscal term from end on December 31 to end on March 31, according to Nihon Kohden’sreorganization of its U.S. subsidiaries. In the first half ended September 30, 2023, Nihon Kohden consolidated the 9 months ofDefibtech’s operating results from January 1, 2023 to September 30, 2023.

5. Consolidated Sales Results by Product Category(Millions of yen)Six months ended September 30, 2023

Physiological Measuring Equipment
Patient Monitors
Treatment Equipment
Other Medical Equipment
Total
Products
Consumables and Services

Amount22,32937,98925,367
17,849103,536
52,98950,547Growth rate (%)+ 12.2+ 5.6+ 22.6+ 0.3+ 9.7+ 10.8+ 8.7(Reference) Sales by Region
Domestic Sales
Overseas SalesAmericas
EuropeAsia & Other

65,70837,82819,6406,370
11,817+ 5.0+ 19.1+ 28.9+ 7.9+ 11.2－3－6. Consolidated Forecast for FY2023
Based on the results for the first half of FY2023 and recent performance trends, the Company revised its forecasts for FY2023,
previously announced on May 15, 2023.
As domestic sales in the first half of FY2023 were higher than expected and overseas sales were affected by greater-thanexpected depreciation of the yen in currency translation, the FY2023 full-year forecasts for overall sales, domestic sales, andoverseas sales were revised to ¥221,500 million (up ¥6,500 million from its previous forecast), ¥142,000 million (up ¥2,500
million from its previous forecast), and ¥79,500 million (up ¥4,000 million from its previous forecast), respectively. In Japan,sales of Consumables and Services were higher than expected as the number of testing and surgical procedures increased in thefirst half of FY2023. In the second half of FY2023, the Company will focus on sales activities and receiving orders for medical
devices and IT systems which contribute to improving the quality and efficiency of medical care. Internationally, sales in thefirst half of FY2023 were in line with its expectation on a comparable basis. In the second half of FY2023, overseas sales werebehind its initial expectation on a comparable basis, because a large order of patient monitors in the U.S. is expected to bepostponed to the next fiscal year, and also because of the impact of the anti-corruption campaign in China.
Because sales are expected to be higher than the Company’s previous forecast, operating income, ordinary income, andincome attributable to owners of parent are expected to be ¥22,200 million (up ¥700 million from its previous forecast), ¥24,000million (up ¥2,500 million from its previous forecast), and ¥15,500 million (up ¥1,000 million from its previous forecast),
respectively. As increases in the cost of goods sold are expected, due to higher prices of components and devaluation of
inventories, the Company will focus on improving its profitability through raising selling prices.
The Company’s forecast for the second half of FY2023 is based on an exchange rate of 138 yen to the U.S. dollar and 150
yen to the euro.

(Consolidated Forecast for FY2023 by Product Category)(Millions of yen)
FY2023 (forecast)Physiological Measuring Equipment
Patient Monitors
Treatment Equipment
Other Medical Equipment
TotalProducts
Consumables and Services

Amount46,10085,50050,90039,000221,500
115,500
106,000

Growth rate (%)+ 6.5+ 5.8+ 14.5+ 2.5+ 7.2+ 6.1+ 8.5(Reference) Sales by Region
Domestic Sales
Overseas SalesAmericas
EuropeAsia & Other

142,000
79,50043,40012,60023,500+ 4.6+ 12.2+ 17.9+ 2.0+ 8.3(Reorganization of subisidiaries)
As the Company announced that on September 7, 2023, its Board of Directors passed a resolution to i) change the name ofNihon Kohden OrangeMed, Inc., one of Nihon Kohden’s wholly owned subsidiaries, to “Nihon Kohden North America, Inc.”,and ii) allow Nihon Kohden OrangeMed, Inc. to contribute and assign its ventilator business to Nihon Kohden OrangeMed, LLC,
a wholly owned subsidiary of Nihon Kohden OrangeMed, Inc. These reorganizations are scheduled on January 1, 2024.
After transferring the ventilator business to a spin-off company, Nihon Kohden OrangeMed, LLC, it will become a specified
sub-subsidiary of Nihon Kohden as its capital will be equivalent to 10% or more of Nihon Kohden’s capital.

－4－7. Consolidated Financial Statements(1) Consolidated Balance Sheets(Millions of yen)March 31, 2023
ASSETS
Current assets:
Cash and deposits
Notes and accounts receivable - trade
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Other current assets
Allowance for doubtful accounts
Total current assets
Non-current assets:
Property, plant and equipment
Intangible assets
Goodwill
Other intangible assets
Total intangible assets
Investments and other assets
Investment securities
Other investments and other assetsAllowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets
LIABILITIESCurrent liabilities:
Notes and accounts payable - trade
Short-term loans payable
Accrued income taxes
Provision for bonuses
Provision for product warranties
Other current liabilities
Total current liabilities
Non-current liabilities:
Net defined benefit liability
Other non-current liabilities
Total non-current liabilities
Total liabilities
NET ASSETS
Shareholders’ equity:
Capital stock
Capital surplus
Retained earnings
Treasury sharesTotal shareholders’ equity
Accumulated other comprehensive income:
Valuation difference on available-for-sale securities
Foreign currency translation adjustments
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets-5-

September 30, 2023

33,45965,005
11,00033,337
4,045
21,406
4,424-179
172,500

33,13458,06917,00036,203
3,867
21,7654,700-216
174,522

24,44625,038

1,044
3,177
4,221

1,122
3,395
4,518

6,713
8,977
-129
15,56044,228
216,7287,312
9,732
-133
16,91046,467
220,990

22,940
403
3,178
4,320
1,361
14,363
46,56818,206
317
5,381
3,277
1,556
15,422
44,161

669
1,885
2,555
49,124

460
2,062
2,523
46,684

7,544
9,685
152,525-9,155
160,600

7,544
9,718
157,073-9,109165,227

2,377
4,003
623
7,003
167,604
216,728

2,848
5,721
508
9,078
174,305
220,990

(2) Consolidated Statements of Income(Millions of yen)Six months ended
Six months ended
September 30, 2022 September 30, 2023
94,349103,536

Net sales
Cost of sales

46,752

51,531Gross profit

47,59652,005

Selling, general and administrative expenses

40,37944,514

Operating income

7,217

7,491

Interest income

74

107

Dividend income

64

69

5,531

4,866

Subsidy income

3488

Other, net

202

102

5,907

5,233

Interest expenses

47

Loss on valuation of investment securities

2980

Other, net

7191

Total non-operating expenses

105

179

13,01912,546

Gain on sales of non-current assets

23

Gain on sales of investment securities―

1

Total extraordinary income

25

Loss on sales of non-current assets

00

Loss on retirement of non-current assets

15

Loss on valuation of investment securities

44―

Total extraordinary losses

455

Income before income taxes

12,975

12,545

Income taxes

4,434

4,548

Net income

8,541

7,997

Income attributable to owners of parent

8,541

7,997

Non-operating income

Foreign exchange gains

Total non-operating income
Non-operating expenses

Ordinary income
Extraordinary income

Extraordinary losses-6-(Consolidated Statements of Comprehensive Income)Net income
Other comprehensive income
Valuation difference on available-for-sale securities(Millions of yen)Six months ended
Six months ended
September 30, 2022 September 30, 2023
8,541
7,997
331

471

Foreign currency translation adjustment

2,306

1,718

Remeasurements of defined benefit plans, net of tax

-166

-115

Total other comprehensive income

2,471

2,074

11,012

10,071

11,012

10,071――

Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controlling interests-7-(3) Consolidated Statements of Cash Flows(Millions of yen)Six months ended
Six months ended
September 30, 2022 September 30, 2023
Cash flows from operating activities
Income before income taxes

12,975

12,545

Depreciation and amortization

1,711

1,684

Increase (decrease) in provision-2,218-1,037

Increase (decrease) in net defined benefit liability

-406

-374

Interest and dividend income

-138

-176

4

7-3,781-3,152-42Decrease (increase) in notes and accounts receivable - trade

6,889

9,445

Decrease (increase) in inventories-5,962-412

Increase (decrease) in notes and accounts payable - trade-5,043-6,635

Other, net-2,190253

Subtotal

1,835
168

12,148-1-3

Income taxes paid

-5,518-2,829Net cash flows from operating activities-3,516

9,488

Proceeds from sales of investment securities―

2

Purchase of investment securities

-40

―

24

-2,038-1,844Purchase of intangible assets

-454

-408

Other, net

356

-628

-2,173-2,874―-90

Purchase of treasury shares-1,001-0Cash dividends paid

-4,046-3,445-15-16-5,063-3,553

Effect of exchange rate change on cash and cash equivalents

2,7042,114

Net increase (decrease) in cash and cash equivalents-8,0485,175

Cash and cash equivalents at beginning of period

60,09543,988Cash and cash equivalents at end of period

52,04749,163

Interest expenses
Foreign exchange losses (gains)
Loss (gain) on sales and retirement of property, plant and equipment

Interest and dividend income received
Interest expenses paid

173

Cash flows from investing activities

Proceeds from sales of property, plant and equipment
Purchase of property, plant and equipment

Net cash flows from investing activities
Cash flows from financing activities
Net increase (decrease) in short-term loans payable

Repayments of lease obligations
Net cash flows from financing activities-8-