Results Presentation
2Q FY Ending March 2023
WIN-Partners Co., Ltd. (3183)

2Q results to September 2022

Highlights⚫ Overall sales increased YoY due to an increase in sales
in the CRS division, on which WIN has been focusing,and the Medical Equipment division.
⚫ There was a negative impact from the 7th wave of the
COVID-19 pandemic from late July to August.
⚫ The CRS division became the largest segment in sales.
GPM fell YoY due to a change in the sales mix andlowered profit margins of the Medical Equipment
division.
⚫ OP declined YoY due to lowered GPM and YoY
increase in SG&A expenses.
3

Consolidated results summary（¥ mil.）2Q toSept. 2022

Sept. 2023

YoY (%)

Sales

31, 144+7. 9

Operating profit

1, 175Recurring profit

1, 179－Net profit

799

EPS (yen)

27. 86

33,616
1,107
1,108
741
26.09

BPS (yen)730. 51755.28- 5. 8- 5. 9- 7. 3－4

Sales

+7.9% +0.6%
vs. forecast

YoY(¥ mil.)

31,144

2Q to Sept. 2021

33,616

2Q to Sept. 2022

⚫ Overall sales increased YoY due to higher sales inthe CRS division and large-scale medical
equipment orders.

⚫ TOSAY Medical has been consolidated sinceAugust5

Sales breakdown by segment (YoY)
SegmentSales（¥ mil.）YoY growth (%)
VolumeValue% of sales(%)

Percutaneous coronary intervention (PCI)

7,949+2.8-3.4

23.6

Cardiac rhythm segment (CRS)

8,958+9.8+7.5

26.6

Cardiac vascular segment (CVS)

5,010

+4.6

+8.0

14.9

Percutaneous peripheral intervention (PPI)

1,908+5.8+5.3

5.7

Neurovascular

1,527+10.4+13.0

4.5

Diabetes mellitus segment (DMS)

1,617-+22.8

4.8

Medical equipment

3,859-

+36.1

11.5

Others2,784-+6.3

8.3

33,616-

+7.9

100.0

Total

6

Segment review

PCCP

C I
R SV S
P I- Impact of the reimbursement price revision- Decreased number of cases due to the COVID-19 pandemic- ABL-related sales continued growing on the back of the market expansion- ICD and CRT-D sales increased because elective cases recovered and newcustomers were obtained- Structural heart disease (SHD inc. TAVI) related sales continued increasing- Sales for new customers increased- The number of cases of shunt PTA and occlusive arteriosclerosis increased

N e u r ovascular- Sales of thrombectomy devices for urgent treatment increased- Sales of embolic coil increased because elective cases recovered

D M S- Blood glucose measuring equipment and insulin pump sales increased

Medicalequipment- Large-scale medical equipment sales contributed- Sales of maintenance, inspection and repair increased
7

Sales breakdown by segment (vs forecast)
Segment

SalesForecast

Difference

Rate ofchange (%)

Percutaneous coronary intervention (PCI)

7,949

8,580-630-7.3

Cardiac rhythm segment (CRS)

8,958

8,750+208+2.4

Cardiac vascular segment (CVS)

5,010

5,280-269-5.1

Percutaneous peripheral intervention (PPI)

1,908

1,910

-1

-0.1

Neurovascular

1,527

1,460+67+4.6

Diabetes mellitus segment (DMS)

1,617

1,470+147+10.0

Medical equipment

3,859

3,100+759+24.5

Others2,784

2,850-65-2.3

33,61633,400+216+0.6

Total8Operating profit
YoY-5.8%(¥ mil.)vs. forecast

-8.5%

1,175

1,1072Q to Sept. 2021

2Q to Sept. 2022

⚫ Gross profit margin 12.0% (-0.5 pp YoY)
- Change in the sales mix- Lowered gross profit margins of the Medical Equipment division⚫ SGA +7.5% YoY- Labor costs and other expenses increased YoY (+5.6% and +12.8% respectively)- Number of employees: 551 (Sept. 2021) → 605 (Sept. 2022 －incl. 37 at TOSAY Medical)
9Net profit
YoY

-7.3%

vs. forecast-10.7%(¥ mil.)799

741
2Q to Sept. 2021

2Q to Sept. 2022

⚫ Extraordinary profit: ¥30 mil.
- Profit from marketable securities sale as a result of the cancellationof the capital alliance⚫ Extraordinary loss: ¥50 mil.
- Expenses related to the relocation of the Kanto region business site

CapEx

¥850 mil. vs. ¥60 mil. for 9/2022- building and facilities of the Kanto region business site

Depreciation¥80 mil.

vs. ¥80 mil. for 9/202210

Consolidated income statement
Sept. 2021(¥ mil.)Sales

Sept. 2022(%)(¥ mil.)(%)

31,144100.0

33,616

100.0

Cost of sales

27,251

87.5

29,58988.0

Gross profit

3,892

12.5

4,027

12.0SG&A expenses

2,716

8.7

2,920

8.7

Operating profit

1,175

3.8

1,107

3.3

Non-operating profit

30.0

40.0

Non-operating expenses

00.0

30.0

1,179

3.8

1,108

3.3

Extraordinary profit

00.0

280.1

Extraordinary loss

00.0

50

0.1

1,179

3.8

1,087

3.2

Taxes

379

1.2

345

1.0

Net profit

799

2.6

741

2.2

Recurring profit

Pretax profit

11

Consolidated balance sheet
March 2022(¥ mil.)Sept. 2022(%)(¥ mil.)Change(%)(¥ mil.)Current assets

34,745

83.6

33,12880.5-1,617

Cash and deposits

15,57237.5

14,84136.1-731

Accounts receivable

16,361

39.4

14,40235.0-1,959Inventories

2,066

5.0

2,776

6.7+710

745

1.8

1,107

2.7+362

Other current assets

Fixed assets
Total assets
Current liabilities

6,819

16.4

8,004

19.5

+1,18541,564100.0

41,132

100.0

-432

18,69845.0

18,48044.9-218

Accounts payable

16,97540.8

16,985

41.3

+10

595

1.4

401

1.0

-194

1,127

2.7

1,093

2.7

-34

1,144

2.8

2.9

+43

19,84347.7

1,187
19,66847.8-175

21,721

52.3

21,46452.2-257

41,564100.0

41,132

100.0

-432

Taxes payable
Other current liabilities

Fixed liabilities
Total liabilities
Net assets
Total liabilities,
net assets

12Consolidated cashflow statement(\ mil.)Cash flows from operating activities
Net profit before taxes
Depreciation
Notes and accounts receivable
Inventories
Notes and accounts payable
Tax paid
Other

Cash flows from investing activities
Purchase of shares of subsidiaries resulting in change in scope of consolidation

Purchase of tangible assets
Other

Cash flows from financing activities
Cash dividends paid
Other

Net increase in cash and cash equivalents
Cash and cash equivalents at the beginning of FY

Cash and cash equivalents at the end of 2Q

Sept. 2021

Sept. 2022

828

1,055

1,179
78
1,763
33
-1,646
-275
-302

1,087
75
2,582
-608
-662
-665
-752

-156

-654

-107
-49-505-601
451-976 -1,162-976
--994
-168

-303
-761
12,122 10,572
11,818 9,811

13

Outlook for fiscal year ending March 2023

Business environment⚫ Growing medical care needs due to aging population⚫ Labor shortage at medical institutions⚫ Continued monitoring the impact of the COVID-19
pandemic

WIN will continue providing proposals andsupport for customers to growWIN will establish a strong organization resilientto the COVID-19 pandemic
15

WIN’s main initiatives ①⚫ Customer support- Make proposals to increase the number of patients- Enhance operational efficiency by implementing “Shinzokun”, WIN’s
original medical device management system- Support hospital management through strategic procurement- Collect issues that customers tackle⚫ Investment of management resources in growing
market- Increase CDRs (Cardiac Device Representatives)(March 2022: 95 → September 2022: 116

Target as of March 2023: 130)

- Expand education course for “ablation specialists”⚫ Increase in GPM‐ Intensify price negotiations with suppliers and rebate programs by utilizing
the group dynamics
16

WIN’s main initiatives ➁⚫ Prepare for logistics revolution- Construction of WIN Heart Gate building completed- A test run of WIN Heart Gate is scheduled to startfrom February 2023

⚫ Enhance operation efficiency- Higher operational efficiency by utilizing RPA⚫ Expand business territory‐ Continue gathering information and investigating &considering opportunities for M&As
17

Consolidated earnings forecasts for FY ending March 2023(¥ mil.)YoY (%)

initial E (¥ mil.)Sales

71,000+6.9

68,800Operating profit

2,820

+2.1

2,820

Recurring profit

2,820

+2.0

2,820

Net profit

1,930

+5.4

1,930

EPS (yen)

67.91
36.00

DPS (yen)

67.91
36.00
18

SalesYoY+6.9%(¥ mil.)71,00066,391FY 3/2022

FY 3/2023 RE⚫ Acquire new customers and increase sales to existingcustomers as a result of active customer support⚫ TOSAY Medical is expected to contribute to sales byjust over Y2 bn.

19

Sales forecast by segment(¥ mil.)YoY (%)% of sales% of achievement
rate

Percutaneous coronary intervention (PCI)

18,230

+6.2

25.7

43.6

Cardiac rhythm segment (CRS)

18,730

+10.4

26.4

47.8

Cardiac vascular segment (CVS)

11,210

+14.2

15.8

44.7

Percutaneous peripheral intervension (PPI)

3,980

+4.5

5.6

47.9

Neurovascular

3,310

+17.5

4.7

46.2

Diabetes mellitus segment (DMS)

3,120+9.5

4.4

51.8

Medical equipment

6,550-13.18.2

58.9

Other

5,870+8.0

8.3

47.4

71,000+6.9

100.0

47.3

Total

20

Operating profit
YoY+2.1%(¥ mil.)2,762

FY 3/2022

2,820

FY 3/2023 RE⚫ Forecast of gross profit margin: 12.9% (+0.1 pp YoY)
- Change in the sales mix- Intensify rebate programs and price negotiations with suppliers by utilizing groupdynamics⚫ SG&A ¥6.36 bn. (+10.5% YoY)

- Forecast of the number of group employees: 548 (March 2022) → 641 (March 2023)
21

Net profit
YoY+5.4%(¥ mil.)1,831

FY 3/20221,930

FY 3/2023 RECapEx¥1.9 bn.

vs. ¥1.9 bn. for 3/2022

Depreciation¥170 mil. vs. ¥160 mil. for 3/2022
22

WIN’s initiatives for sustainability
Materiality

Medical service
supply・Support for sustainable medical service system
・Higher penetration and improved accessibility ofminimally invasive medical care・Promotion of DX in the medical industry
・Innovation in the medical industry

Supply chain

・Sustainable medical device supply
・Resilient supply chain

Support foremployee
participation

・Human resource development to support
sustainable corporate activities
・Promotion of diversity to enable employees todemonstrate their skills & talents
・Respect for human rights

Environment

・Contribution to global environment
・Decarbonization

Corporate base・Succession / continuity of business for the mediumlong term
・Information security
・Compliance・Secure resilience for disasters

SDGs

23

Dividends & payout ratio+1 yen from FY ended March 2022

50.0

36

Prospective payout ratio

53yen%

45.0

54.8
50.6

40.0

60.0
53.0

50.0

dividend per share (¥)
memorial dividend per share (¥)
payout ratio (%)

35.0

40.0

34.8

34.9
32.3

30.02.0

27.9

25.0

70.0

63.4

30.0

25.0
27.7
32.0

20.0
1.5

26.0

33.0

34.0

35.0

36.0

27.0

10.0

20.5

15.0
16.0

20.0

17.5

10.0

0.0
'14/3

'15/3

'16/3

'17/3

'18/3

'19/3

'20/3

'21/3

'22/3

'23/3(E)24

References25

Sales impact from the reimbursement
price revision in April 2022
Assumedimpact (%)

Segment
Percutaneous Coronary Intervention (PCI)-7.0

Cardiac Rhythm Segment (CRS)-4.4

Cardiac Vascular Segment (CVS)-0.3

Percutaneous Peripheral Intervension (PPI)-3.9

Brain Surgery-0.7Others-0.3

Total-3.3
Estimated based on the actual sales volume and product mix for FY ended March 2022

26

Reimbursement prices ofmajor products
Segment

PCIItems
PTCA balloon catheter
Drug eluting stent (DES)PPI
Neurovascular

2022

Change (%)

32
136
72

720
2,950
3,990
3,120
124
649
1,320
1,110

593
2,820
3,260
3,120
117
649
1,320
1,110

- 9.9
- 15.5- 9.7- 17.6- 4.4- 18.3
0.0
- 5.6
0.0
0.0
0.0

Hea rt va l ve for tra ns ca theter a orti c va l ve i mpl a nta ti on(TAVI) (ba l l oon-expa nda bl e)

4,510

4,5100.0

Heart valve for TAVI (self-expandable)
PTA balloon catheter
Peripheral vascular stent
Peripheral drug eluting stent (DES)
Embolic coil (electric type)
Thrombectomy catheter (self-expandable)

3,740
55
174
233
118
386

3,740
50
* 171
233
117
386

0.0
- 7.8
- 1.70.0- 0.8
0.0

Pacemaker
Implantable cardioveter defibrillator (ICD)

CVS

2020
35
161
80

Intravascular ultrasound (IVUS) catheterCRS

Reimbursement prices (¥000)

Cardiac resychronization therapy defibrillator (CRTD)

Subcutaneous implantable defibrillator (S-ICD）
Ablation catheter
Cardiac cryoablation catheter
Stent graft (abdomen）
Open stent graft* Transitional period (1/4/2022 to 31/12/2022: ¥171,000 1/1/2023 to 31/3/2023: ¥166,000 1/4/2023 onward: ¥160,000)
27

Disclaimer
This material was prepared based on the information available and the views held at the time it was made. Statements in thismaterial that are not historical facts, including but not limited to plans, forecasts and strategies are “forward-looking statements.”
Forward-looking statements are by their nature subject to various risks and uncertainties, including but not limited to a decline ingeneral economic conditions, general market conditions, technological developments, changes in customer demand for products
and services, increased competition, and other important factors, each of which may cause actual results and future developments
to differ materially from those expressed or implied in any forward-looking statement.
With the passage of time, the information in this material (including but not limited to forward-looking statements) could besuperseded or cease to be accurate. WIN-Partners Co., Ltd. disclaims any obligation or responsibility to update, revise, orsupplement any forward-looking statement or other information in any material or generally to any extent. The utilization of orreliance on the information in this material is at your own risk.

Contact
WIN-Partners Co., Ltd.
Investor Relations
Phone: +81-3-3548-0790
http://www.win-partners.co.jp