Summary of Consolidated Financial Results for the Fiscal Year Ended March2022 [Japanese GAAP]

April 28, 2022
Japan Medical Dynamic Marketing, INC.
Listing
TSE
7600
URL http://www.jmdm.co.jp/(Title) Representative Director and President (Name) Masao Okawa(TEL)(Title) General Manager, Investor Relations
Contact person in charge:(Name) Shinji Munechika
Office+81-3-3341-6705
Scheduled date of commencement
Scheduled date of the ordinary general
June 27, 2022
June 24, 2022
of dividend payment:
meeting of shareholders:
Scheduled date of submission of the annual
June 28, 2022
securities report:
Preparation of supplementary materials forYesfinancial results:
Holding of financial results briefing:
Yes (for institutional investors and analysts)(Amounts of less than one million yen are rounded down)Company name:Securities code:
Representative:

1.
(1)

Consolidated Financial Results for the Fiscal Year Ended March 2022 (from April 1, 2021 to March 31,
2022)
Consolidated Operating Results(Percentages indicate year-on-year changes.)

Net sales

Operating profit

Million yen%

FYE March 2022
19,193FYE March 2021
16,738(Note) Comprehensive income

14.7
(7.4)

Million yen

Net income attributableto owners of parent

Ordinary profit%

Million yen

%

2,661
22.7
2,591
21.9
2,168
(18.0)
2,125(17.7)FYE March 2022
¥3,069 million (54.6%)
FYE March 2021
¥1,984 million (-2.4%)
Diluted net
Ordinary profit to
Return on equity
income per sharetotal assets

Net income per
share
Yen

Yen

%

Million yen

%

2,135
1,664

28.3
(23.1)

Operating profit
margin%%FYE March 2022
80.95
FYE March 2021
63.09
(Reference) Equity in earnings (losses) of affiliates

―
10.7
9.9
13.9
―
9.4
8.5
13.0
FYE March 2022(-¥12 million)FYE March 2021¥- million(Note) From the beginning of the fiscal year ended March 31, 2022, the Company has applied the “Accounting Standard for
Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020), etc., and net sales for the fiscal year under review are
the figures after the application of the accounting standard, etc.

(2)Consolidated Financial Position
Total assets

FYE March 2022
FYE March 2021
(Reference) Shareholders’ equity(3)

Net assets

Net assets per share

Million yen%

Yen27,34225,193

21,491
18,713

78.2
73.9¥21,386 million¥18,628 million

810.59706.07FYE March 2022
FYE March 2021

Consolidated Cash Flows
Cash flows fromoperating activitiesFYE March 2022
FYE March 2021

2.

Capital adequacy ratio

Million yen

Cash flows frominvesting activities

Cash and cash
equivalents at the endof the period

Cash flows fromfinancing activities

Million yen

Million yen

Million yen

Million yen

3,111
2,599

(1,750)(1,345)(1,287)(1,313)

2,590
2,466

Dividends
Annual dividends
End of firstquarter

FYE March 2021
FYE March 2022
FY ending March2023 (Forecast)End of second End of third
quarterquarter

End of period

Total
dividends

Total

Dividend
Dividends on
payout ratio
net assets(consolidated) (consolidated)

Yen

Yen

Yen

Yen

Yen

Million yen

%

%

―
―
―

0.00
0.00
0.00

―
―
―

11.00
12.00
13.00

11.00
12.00
13.00

291
317

17.4
14.8
18.5

1.6
1.6

3.

Consolidated Financial Forecasts for the Fiscal Year Ending March 2023 (from April 1, 2022 to March 31,
2023)(Percentages indicate changes from the previous year for the full year, and from the same quarter of the previous year for the quarter.)

Net sales
Q2 (Cumulative)
Full year

Operating profit

Net income
attributable toowners of parent

Ordinary profit

Million yen%

Million yen%

Million yen%

10,20022,000

15.1
14.6

1,100
2,800

3.9
5.2

1,050
2,700

0.7
4.2

Million yen

Net income per
share
%

Yen

700 (30.2)
1,850 (13.4)

26.53
70.12

*
(1)

(2)

(3)

Notes
Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in changes
in scope of consolidation): NoneNewly included - companies (company name)
Excluded- companies (company name)
Changes in accounting policies, accounting estimates, and retrospective restatement
1)

Changes in accounting policies based on revisions of accounting standard

2)

Changes in accounting policies other than 1)

3)

Changes in accounting estimates: None4)

Retrospective restatement: None: Yes: NoneNumber of shares issued (common stock)
1)
2)
3)

Number of shares issued at the end of theperiod (including treasury shares)
Number of treasury shares at the end of theperiodAverage number of shares outstanding during
the period

FYE March 2022

26,475,880
sharesFYE March 2021

26,475,880
sharesFYE March 2022

92,179 shares

FYE March 2021

91,997 shares

FYE March 2022

26,383,754
sharesFYE March 2021

26,383,942
shares(Reference) Summary of Non-consolidated Financial Results
1. Non-consolidated Financial Results for the Fiscal Year Ended March 2022 (from April 1, 2021 to March
31, 2022)(1) Non-consolidated Operating Results(Percentages indicate year-on-year changes.)
Net salesFYE March 2022
FYE March 2021

Operating profit

Net income

Million yen%

Million yen%

Million yen%

Million yen%

12,122
11,063

9.6
1.3

1,844
1,390

32.6
18.2

1,936
1,479

30.9
16.0

1,281
1,255

2.0
29.5

Diluted net income pershare

Net income per share
FYE March 2022
FYE March 2021

(2)

Ordinary profit

Yen

Yen

48.58
47.60

―
―

Non-consolidated Financial Position
Total assets

FYE March 2022
FYE March 2021
(Reference) Shareholders’ equity

Net assets

Capital adequacy ratio

Net assets per share

Million yen

Million yen%

Yen

20,343
19,443

15,901
14,914

78.2
76.7¥15,901 million¥14,914 million

602.71565.28FYE March 2022
FYE March 2021

* This summary of financial results is not subject to audit by certified public accountants or auditing firms.
* Explanation of appropriate use of earnings forecasts and other special notes• These forward-looking statements such as financial forecasts contained in this report are based on information
currently available to the Company and certain assumptions deemed to be reasonable by the Company, and do notmean that the Company promises to achieve them. Actual results and other future events may differ significantly
due to various factors. Please refer to “1. Overview of Operating Results, etc. (4) Future Outlook” on page 4 of theattached document for the assumptions underlying the forecasts, notes on using the forecasts, etc.
• The Company will hold a financial results briefing for institutional investors and analysts on May 13, 2022. Financial
results briefing materials to be used on the day of the briefing will be posted on the Company’s website as soon as
possible.

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022

○ Table of Contents of Attachment
1.

Overview of Operating Results, etc. ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 2(1) Overview of Operating Results for the Fiscal Year under Review ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 2(2) Financial Position for the Period under Review ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 3(3) Overview of Cash Flows for the Period under Review ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 3(4) Future Outlook ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 4
2.

Basic Approach to the Selection of Accounting Standards ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 5

3.

Consolidated Financial Statements and Major Notesꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 6(1) Consolidated Balance Sheet ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 6(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income ꞏꞏꞏꞏꞏꞏꞏ 8(3) Consolidated Statement of Changes in Equityꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 10(4) Consolidated Statement of Cash Flows ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 12(5) Notes to Consolidated Financial Statements ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 13
(Note on Going Concern Assumption) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 13
(Changes in Accounting Policies) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 13
(Change of Presentation Method) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 13
(Additional Information) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 13
(Segment Information, etc.)ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 14
(Per Share Information) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 16
(Significant Subsequent Events) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 17

-1-

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022

1. Overview of Operating Results, etc.
(1) Overview of Operating Results for the Fiscal Year under Review
During the fiscal year ended March 31, 2022, the business environment surrounding the Company Group improved, despite thecontinued impact from COVID-19, with net sales of ¥19,193 million (up ¥2,454 million, or 14.7% year on year), operating profitof ¥2,661 million (up ¥492 million, or 22.7% year on year), ordinary profit of ¥2,591 million (up ¥465 million, or 21.9% year onyear), and net income attributable to owners of parent of ¥2,135 million (up ¥471 million, or 28.3% year on year).
In Japan, although operating activities were limited by the impact of COVID-19, the number of cases increased due to thegradual recovery of the functions of the medical system and the maintenance of good relationships with existing customers. As aresult, net sales were ¥12,409 million (up ¥1,345 million, or 12.2% year on year). In the United States, planned surgeries were
postponed again due to the re-spread of COVID-19. from the second quarter onward. However, as a result of efforts such as thoseto acquire new customers, net sales (in US dollars) to external customers in the United States increased by 17.2% from the previous
fiscal year, and after conversion to yen increased by 24.6% to ¥7,070 million.
In the artificial joints category, sales of artificial knee joints and other products in the United States recovered, and total net
sales in Japan and the United States increased by 17.0% (7.3% in Japan, and 24.5% in the United States) from the previous fiscal
year to ¥11,764 million.
In the category of osteosynthesis materials, sales in Japan increased by 11.3% year on year to ¥4,115 million, mainly due to
steady sales of ASULOCK and Prima Hip Screw.
In the category of spinal fixation devices, sales of the KMC Kyphoplasty System continued to be steady in Japan, resulting in a
21.4% increase in total net sales in Japan and the United States to ¥3,151 million.
As for cost of sales, the cost of sales ratio was 32.3% (31.8% in the previous fiscal year) mainly due to the effect of exchange
rate fluctuations.
Selling, general, and administrative expenses totaled ¥10,327 million (up 11.7% from the previous fiscal year) due to an increasein commission expenses (commissions and royalties) in the wake of increased sales in the United States and an increase inpersonnel and other expenses as a result of strengthening of the system. However, the ratio of SG&A expenses to net sales declined
to 53.8% (from 55.3% in the previous fiscal year).
Operating profit was ¥2,661 million (up 22.7% from the previous fiscal year), primarily because of the increase in net sales.
Ordinary profit was ¥2,591 million (up 21.9% from the previous fiscal year) as a result of recording non-operating income of¥23 million, including commission income of ¥11 million, and recording non-operating expenses of ¥93 million, including foreignexchange losses of ¥35 million and interest expenses of ¥29 million.
As for extraordinary income and losses, extraordinary income included a ¥310 million gain on forgiveness of debts in the UnitedStates, while extraordinary losses of ¥152 million included a ¥87 million loss on retirement of non-current assets such as medical
tools.
As a result, net income attributable to owners of parent amounted to ¥2,135 million (up 28.3% from the previous fiscal year).
From the beginning of the fiscal year under review, the Company has applied the “Accounting Standard for Revenue
Recognition” (ASBJ Statement No. 29, March 31, 2020), etc. However, the amounts of net sales stated in the above-mentioned
product categories (artificial joints, osteosynthesis materials, and spinal fixation devices) are the figures before the application of
the accounting standard, etc.
(Reference) Consolidated Net Sales by Major Item
Fiscal year under review(From April 1, 2021
to March 31, 2022)
Amount (in thousand yen)
12,409,054
4,719,849
4,115,991
3,125,154
216,168
231,891
7,070,875
7,044,691
26,184
19,479,930(286,832)
19,193,098

Name and item of each segment

Medical devices(Notes) 1
2

Japan
Artificial joints
Osteosynthesis materials
Spinal fixation devices
Artificial bones
Other
United States
Artificial joints
Spinal fixation devices
Subtotal (A)Sales deduction (B)Total (A) + (B)Compared to theprevious fiscal year(%)
112.2%
107.3%
111.3%
121.2%
101.1%
133.0%
124.6%
124.5%
151.9%
116.4%―
114.7%

Inter-segment transactions are offset and eliminated.
As a result of the adoption of the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March
31, 2020) from the beginning of the fiscal year under review, rebates, which were previously included as part ofpromotion expenses in Japan, have been deducted from net sales. As the amount of such deduction cannot bereasonably prorated by item, it is shown in a lump sum as “Sales deduction” in the table above.

-2-

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022

Segment results are as follows.
(Japan)Net sales increased in all categories, particularly in osteosynthesis materials and spinal fixation devices. Selling, general, andadministrative expenses also increased due to the increased payroll and allowances as well as increases in advertising and otherexpenses as operating activities recovered.
As a result, net sales in this segment were ¥12,122 million (up 9.6% year on year) and operating profit was ¥1,844 million (up32.6% year on year).
(United States)
Despite the impact of COVID-19, net sales to external customers in artificial joints started to increase. Selling, general, andadministrative expenses also increased due to increases in commission expenses (mainly commissions) as well as payroll andallowances.
As a result, net sales in this segment, including internal sales, were ¥10,868 million (up 17.4% year on year) and operating profit
was ¥839 million (up 1.4% year on year).

(2)

Financial Position for the Period under Review
1)

AssetsTotal assets at the end of the fiscal year under review increased by ¥2,149 million from the end of the previous fiscal year to¥27,342 million. The main increases were in notes and accounts receivable -trade, and contract assets (notes and accounts
receivable -trade in the previous fiscal year) by ¥734 million, in merchandise and finished goods by ¥619 million, and in tools,
furniture, and fixtures by ¥265 million. The main decrease was in deferred tax assets by ¥115 million.
2)

Liabilities
Total liabilities decreased by ¥628 million from the end of the previous fiscal year to ¥5,851 million. The main increase wasin accounts payable-trade by ¥201 million, and the main decreases were in short-term borrowings by ¥441 million and in longterm borrowings by ¥773 million.
Net interest-bearing debts, which are calculated by deducting cash and deposits from interest-bearing debts (the total amountof short-term borrowings, long-term borrowings, and lease liabilities), amounted to negative ¥742 million at the end of the fiscal
year under review.
3)

Net assets
Total net assets increased by ¥2,777 million from the end of the previous fiscal year to ¥21,491 million. The main increases

were in retained earnings by ¥1,844 million and in foreign currency translation adjustment by ¥876 million.

(3)

Overview of Cash Flows for the Period under Review
Cash and cash equivalents at the end of the fiscal year under review increased by ¥124 million from the end of the previous

fiscal year to ¥2,590 million. Cash flows for the fiscal year under review and their factors are as follows:1)

Cash flows from operating activities
Net cash provided by operating activities was ¥3,111 million, compared with ¥2,599 million in the previous fiscal year. Maincomponents of income were net income before income taxes and others of ¥2,749 million and depreciation of ¥1,420 million.
Main components of the expenditure were an increase in notes and accounts receivable - trade by ¥662 million, gain on
forgiveness of debts of ¥310 million, and income taxes paid of ¥474 million.
2)

Cash flows from investing activities
Net cash used in investing activities was ¥1,750 million, compared with ¥1,345 million in the previous fiscal year. The main

component was an expenditure of ¥1,538 million for the purchase of property, plant, and equipment.
3)

Cash flows from financing activities
Net cash used in financing activities was ¥1,287 million, compared with ¥1,313 million in the previous fiscal year. The main

components of the expenditure were repayments of long-term borrowings of ¥595 million and a net decrease in short-termborrowings by ¥369 million.

-3-

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022

(4)

Future Outlook

On December 15, 2020, the Japanese Cabinet approved the “Policy for Social Security Reform for All Generations.” Under thispolicy, in the area of healthcare, the government aims to construct a social security system where all generations can feel secure
while suppressing the increase in the burden on the working generations, in response to the rapidly aging society with a declining
birthrate. To this end, they will promote initiatives to “reform the healthcare provision system,” “review and consider an appropriate
ratio of out-of-pocket expenses for the elderly aged 75 or older,” and “expand the flat-sum payment system to prevent concentrationof patients in large hospitals and to strengthen the functions of primary care doctors.” According to the “Basic Policy for FY 2022
Medical Fee Revision” announced by the Ministry of Health, Labour and Welfare, while the world's highest level of average life
expectancy has been achieved thanks to Japan’s universal health insurance coverage as well as excellent health and medical systems,
and the 100-year life is about to get fully underway, changes in the population composition indicate that the so-called baby-boom
generation will all become elderly aged 75 or older in 2025, and the so-called baby-boom junior generation will become elderly
aged 65 or older by around 2040 when the elderly population will peak. Meanwhile, the population of the working generations(working-age population), which has already started to decline, is expected to further accelerate its decline after 2025, and thus thebasic policy says that in order to maintain and improve the vitality of society, it is an urgent task to build an “all-generation social
security system” while also realizing a society in which the elderly and other people with high motivation can have a role andflourish by extending healthy life expectancy. In the area of orthopedic treatment, the number of patients is expected to increase
due to the rapidly aging population and the increasing need for quality of life (QOL) improvement. On the other hand, since asignificant increase in tax revenues cannot be expected, the government will promote an initiative to construct an efficient, effective,
and high-quality healthcare provision system, making the curving of social security-related expenses inevitable. Accordingly, we
assume that the tough market environment will continue, such as lower reimbursement prices due to revisions of medical service
fees.
The United States is the largest artificial joint market in the world, and the number of people aged 65 or older who require
artificial joint replacement is expected to reach 70 million in 2030. In addition, the number of patients with obesity-related
osteoarthritis is expected to continue to increase, leading to continued growth in the artificial joint market. With regard to medical
needs, the need for intraoperative digital solutions, such as surgical navigation systems and those related to robotic surgery, isincreasing, and new business opportunities are emerging. On the other hand, in line with the growing need for reducing treatment
costs on the part of patients, the number of joint prosthesis surgeries performed in an Ambulatory Surgical Center (ASC), in whichsuch surgeries are performed in an outpatient setting rather than in a hospital setting, is on the increase. In addition to the need for
procurement of low-cost, efficient implants and medical tools, the need for IT solutions such as using smartphones and smart
watches for postoperative patient care is also on the increase. Therefore, we believe that the role expected of the Company Groupwill also change.
With regard to the impact of COVID-19 on each market, although there is a certain degree of impact on the number of cases due
to behavioral restrictions and increases and decreases in the number of hospitalized patients in Japan, the impact on the number ofcases is considered to be limited due to the growing knowledge about coronavirus countermeasures in medical settings, which
medical professionals used to grope for. In the United States, although the number of patients hospitalized with COVID-19 atexisting client facilities will continue to have an impact on the number of patients undergoing joint prosthesis surgeries, we believethat such impact on the number of joint prosthesis surgeries will become minor because the number of patients hospitalized is
expected to decrease as the rate of severe COVID-19 infections decreases in line with the progress of vaccination.
Moreover, the trend of yen depreciation against the U.S. dollar has been continuing since the tightening of monetary policy in
the United States, and the situation in Ukraine exerts an additional influence on the weaker yen trend. The actual exchange rate
deviates significantly from the assumed exchange rate (108 yen/US dollar) in our medium-term management plan due to the weaker
yen, and we believe that product imports from our U.S. subsidiary will be affected by exchange rate fluctuations (yen depreciation).
The Company has formulated a medium-term management plan, MODE 2023, which shall be implemented over the three years
from the fiscal year ended March 2022 (the 50th term) to the fiscal year ending March 2024 (the 52nd term). The medium-term
management policy states that “in addition to responding to various needs in medical settings, such as improvement of treatment
outcomes, we will provide services (implants, medical tools, surgical support systems, etc.) that contribute to improving the valueof treatment (safety and efficacy, improvement of treatment revenue by shortening hospitalization, etc.) to medical settings in atimely manner with greater expertise, and will thereby contribute to enhancing the QOL of patients.” We are also implementing
four priority measures: “expanding overseas business,” “strengthening development and procurement capabilities,” “strengthening
human resources and organizational expertise,” and “promoting digitalization.”
In order to minimize the impact of the reduction of reimbursement prices in Japan and the impact of the decline in profitability
due to currency fluctuations (yen depreciation), we will increase the sales ratio of our own products mainly by expanding our U.S.
business through the introduction of new products developed in-house. We will also strive to reduce the costs of medical tools by
utilizing a joint venture company established in China in May 2021. In addition, we will also aim to reduce the cost of sales byreviewing our manufacturing processes to further reduce the cost of sales (manufacturing cost) and expanding procurement fromcost-competitive vendors. Furthermore, we will work on streamlining the selling, general, and administrative expenses by using IT
to visualize the status of inventory operations and improving business processes, and will strive to maintain and improve
profitability.

-4-Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022
Based on the above, the Company forecasts net sales of ¥22,000 million, operating profit of ¥2,800 million, ordinary profit of¥2,700 million, and net income attributable to owners of parent of ¥1,850 million for the next fiscal year. For reference, theexchange rate assumed in the consolidated financial forecast is 128 yen per US dollar.

2.

Basic Approach to the Selection of Accounting Standards
The Company Group has fully considered the various impacts of applying the International Financial Reporting Standards(IFRS), including the enhancement of the international comparability of financial information in capital markets, but has decided
to apply the Japanese GAAP for the time being.

-5-Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022

3. Consolidated Financial Statements and Major Notes(1) Consolidated Balance Sheet(In thousand yen)Previous fiscal year
(March 31, 2021)
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Notes and accounts receivable - trade, and contract
assetsMerchandise 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
Buildings and structures (net)
Machinery, equipment, and vehicles (net)
Tools, furniture, and fixtures (net)
Land
Other
Total property, plant, and equipment
Intangible assets
Investments and other assets
Investments in capital of subsidiaries andassociates
Deferred tax assets
Other
Total investments and other assets
Total non-current assets
Total assets-6-

Fiscal year under review(March 31, 2022)

2,466,331
4,477,763

2,590,849――

5,212,555

7,566,961
373,2121,303,175
126,443(1,188)16,312,699

8,186,658
497,823
1,410,927
149,211(1,386)
18,046,638

717,258
350,784
4,426,331
1,950,707
4,919
7,450,002
254,447

728,450
350,978
4,691,605
1,953,479
48,1737,772,687
291,960―

174,887

1,087,377
88,692
1,176,069
8,880,518
25,193,218

971,990
84,5581,231,435
9,296,083
27,342,722

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022
(In thousand yen)Previous fiscal year
(March 31, 2021)
Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term borrowings
Lease liabilities
Income taxes payable
Accrued expenses
Accounts payable - other
Provision for bonuses
Provision for bonuses for directors (and otherofficers)
Provision for loss on business
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Lease liabilities
Retirement benefit liability
Provision for share awards for directors (and otherofficers)
Asset retirement obligations
Long-term deposits received
Deferred tax liabilities
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets-7-

Fiscal year under review(March 31, 2022)

584,621998,061
32,233230,897
380,971
270,246
173,272785,671557,046
33,163
266,440
512,569
189,283
194,015

54,22065,200―109,768
2,834,293

65,000231,291
2,899,680

2,020,713
38,388998,8311,247,662
10,875
1,023,546

71,322

88,322

28,8157,000
480,6213,645,692
6,479,985

29,201
8,000
544,310
2,951,919
5,851,600

3,001,929
2,587,029
12,705,447(111,539)
18,182,866

3,001,929
2,587,029
14,550,073(111,940)
20,027,090

2,788
475,850(32,737)
445,901
84,464
18,713,232
25,193,218―
1,351,922
7,429
1,359,352
104,678
21,491,121
27,342,722

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022(2)

Consolidated Statement of Income and Consolidated Statement of Comprehensive Income

Consolidated Statement of Income

Net sales
Cost of sales
Gross profit
Selling, general, and administrative expenses
Promotion expenses
Freight and packing costs
Advertising expenses
Provision of allowance for doubtful accounts
Salaries and allowances
Retirement benefit expenses
Legal welfare expenses
Welfare expenses
Travel and transportation expenses
Depreciation
Research and development expenses
Taxes and dues
Commission expenses
Other
Total selling, general, and administrative expenses
Operating profit
Non-operating income
Interest income
Commission income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Share of loss of entities accounted for using equity
methodCommission for syndicated loans
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on forgiveness of debts
Total extraordinary income
Extraordinary losses
Loss on retirement of non-current assets
Impairment losses
Transfer to provision for loss on businessTotal extraordinary losses
Net income before income taxes and others
Income taxes - current
Income taxes-deferred
Total income taxes
Net income
Net income attributable to non-controlling interests
Net income attributable to owners of parent-8-

Previous fiscal year
(From April 1, 2020
to March 31, 2021)
16,738,174
5,319,690
11,418,484(In thousand yen)
Fiscal year under review(From April 1, 2021
to March 31, 2022)
19,193,098
6,204,233
12,988,865

281,245277,679
39,092(11,209)2,995,487
129,006
289,108
186,705
91,864
1,213,166
466,685
138,135
1,900,168
1,252,395
9,249,533
2,168,951

145,725
366,12275,549(704)
3,367,594
102,210
303,485
214,373
142,873
1,241,117
485,557
158,617
2,407,474
1,317,337
10,327,335
2,661,529

150
11,376
5,967
17,493

121
11,706
11,40323,23040,813606

29,70035,530―12,704

8,836
10,56260,8182,125,625

7,393
8,140
93,4692,591,291――

310,826
310,826

37,23954,013―
91,252
2,034,373
379,183(25,554)353,628
1,680,744
16,226
1,664,517

87,151
162
65,000152,3132,749,804
497,268
110,827
608,096
2,141,708
6,014
2,135,693

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022
Consolidated Statement of Comprehensive Income

Net income
Other comprehensive income
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests-9-

Previous fiscal year
(From April 1, 2020
to March 31, 2021)
1,680,744(In thousand yen)
Fiscal year under review(From April 1, 2021
to March 31, 2022)
2,141,708(18,753)
153,264
169,555
304,066
1,984,811(2,788)890,271
40,167
927,650
3,069,358

1,965,357

3,049,144

19,453

20,214

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022

(3)

Consolidated Statement of Changes in Equity

Previous Fiscal Year (from April 1, 2020 to March 31, 2021)(In thousand yen)
Shareholders' equity
Share capital
Balance at the beginningof the period

3,001,929

Capital surplus
2,587,029

Retainedearnings
11,305,538

Treasury shares(111,259)

Total
shareholders'equity16,783,237

Changes during period
Dividends of surplus(264,608)(264,608)

Net income attributableto owners of parent

1,664,517

1,664,517

Purchase of treasury
shares

(279)

(279)

Net changes in items
other than shareholders’equityTotal changes during
periodBalance at the end of theperiod――1,399,908(279)

1,399,629

3,001,929

2,587,029

12,705,447(111,539)

18,182,866

Accumulated other comprehensive income

Balance at the beginningof the period

Deferred gains orlosses on hedges

Foreign currencytranslation
adjustment

Remeasurementsof defined benefit
plans

Total
accumulated
othercomprehensive
income21,542

325,813(202,293)

145,062

Non-controllinginterests

Total net assets

65,01016,993,309

Changes during period
Dividends of surplus(264,608)

Net income attributableto owners of parent

1,664,517

Purchase of treasury
sharesNet changes in items
other than shareholders’equityTotal changes during
periodBalance at the end of theperiod(279)(18,753)

150,037

169,555

300,839

19,453

320,293(18,753)

150,037

169,555

300,839

19,453

1,719,922

2,788

475,850(32,737)

445,901

84,464

18,713,232- 10 -

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022
Fiscal Year under Review (from April 1, 2021 to March 31, 2022)(In thousand yen)
Shareholders' equity
Share capital
Balance at the beginningof the period

3,001,929

Capital surplus
2,587,029

Retainedearnings
12,705,447

Treasury shares(111,539)

Total
shareholders'equity18,182,866

Changes during period
Dividends of surplus(291,067)(291,067)

Net income attributableto owners of parent

2,135,693

2,135,693

Purchase of treasury
shares

(401)

(401)

Net changes in items
other than shareholders’equityTotal changes during
periodBalance at the end of theperiod

――1,844,626(401)

1,844,224

3,001,929

2,587,029

14,550,073(111,940)

20,027,090

Accumulated other comprehensive income

Balance at the beginningof the period

Deferred gains orlosses on hedges

Foreign currencytranslation
adjustment

Remeasurementsof defined benefit
plans

Total
accumulated
othercomprehensive
income2,788

475,850(32,737)

445,901

Non-controllinginterests

Total net assets

84,464

18,713,232

Changes during period
Dividends of surplus(291,067)

Net income attributableto owners of parent

2,135,693

Purchase of treasury
sharesNet changes in items
other than shareholders’equityTotal changes during
periodBalance at the end of theperiod(401)(2,788)876,071

40,167

913,450

20,214

933,665(2,788)876,071

40,167

913,450

20,2142,777,889―

1,351,922

7,429

1,359,352

104,678

21,491,121- 11 -

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022

(4)

Consolidated Statement of Cash Flows(In thousand yen)Previous fiscal year
(From April 1, 2020
to March 31, 2021)

Cash flows from operating activities
Net income before income taxes and others
Depreciation
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in retirement benefit liability
Increase (decrease) in remeasurements of defined
benefit plans
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for bonuses for
directors (and other officers)
Increase (decrease) in provision for share awards for
directors (and other officers)
Interest and dividend income
Interest expenses
Commission for syndicated loans
Foreign exchange (gains) losses
Share of (earnings) losses of entities accounted for using
equity method
Gain on forgiveness of debts(Gain) loss on sales and retirement of non-current assets
Impairment losses
Increase (decrease) in provision for loss on business(Increase) decrease in trade receivables(Increase) decrease in inventories
Increase (decrease) in trade payables
Increase (decrease) in consumption taxes
payable/consumption taxes refund receivable
Other
SubtotalInterest and dividends received
Interest paid
Commission for syndicated loans paid
Income taxes (paid) or refunded
Net cash provided by operating activities
Cash flows from investing activities
Purchase of property, plant, and equipment
Proceeds from sales of property, plant, and equipment
Purchase of intangible assets
Payments for investments in capital of subsidiaries andassociates
Other
Net cash used in investing activities
Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Proceeds from long-term borrowings
Repayments of long-term borrowings
Repayments of lease liabilities
Repayments of installment payables
Purchase of treasury shares
Dividends paid
Net cash used in financing activities
Effect of exchange rate change on cash and cash equivalents
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the period
Cash and cash equivalents at the end of the period- 12 -

Fiscal year under review(From April 1, 2021
to March 31, 2022)

2,034,373
1,388,828(11,209)63,8572,749,804
1,420,777
198
59,60238,82023,007(2,060)20,743

3,118

10,98014,482

17,000(150)
40,813
8,836
6,698

(121)
29,7007,393
56,453―

12,704―37,23954,013―(30,897)(411,113)(125,511)(310,826)
87,151
162
65,000(662,063)(224,389)
252,823

5,333

29,739(127,219)
2,988,251150(42,421)(17,263)(328,955)
2,599,761(22,795)
3,623,045
121(34,253)(3,176)(474,070)
3,111,665(1,348,259)
25,556(23,695)(1,538,038)―(46,972)―(165,933)

926(1,345,472)

821(1,750,123)(575,041)
292,350(730,642)(32,139)(3,097)(279)(264,493)(1,313,342)
12,514(46,538)
2,512,870
2,466,331(369,320)―(595,230)(32,592)―(401)(290,201)(1,287,745)
50,721
124,5172,466,331
2,590,849

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022

(5)

Notes to Consolidated Financial Statements(Note on Going Concern Assumption)
Not applicable.
(Changes in Accounting Policies)(Application of Accounting Standards for Revenue Recognition)
The Company has applied the “Accounting Standards for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020;
hereinafter referred to as “Revenue Recognition Accounting Standards”) since the beginning of the fiscal year under review.
Accordingly, we shall recognize each revenue at the amount expected to be received in exchange for the promised good or service
when control of the good or service is transferred to the customer.
As a result, with respect to transactions for which rebates are provided in accordance with the volume of transactions over acertain period of time, etc., the amount of such variable consideration was previously included in part of promotion expenses forselling, general, and administrative expenses, but has been deducted from net sales since the fiscal year under review.
With regard to the application of the Revenue Recognition Accounting Standards, etc., in accordance with the transitional
treatment stipulated in the proviso of Paragraph 84 of the Revenue Recognition Accounting Standards, the cumulative effect ofretroactively applying the new accounting policy prior to the beginning of the fiscal year under review is added to or subtracted
from retained earnings at the beginning of the fiscal year under review, and the new accounting policy has been applied to thebalance since the beginning of said period. However, the new accounting policy has not been applied retroactively to contracts towhich the method set forth in Paragraph 86 of the Revenue Recognition Accounting Standards has been applied and for which
the amount of almost every revenue has been recognized in accordance with the previous treatment prior to the beginning of the
fiscal year under review. In addition, the Company has applied the method set forth in provision (1) of Paragraph 86 of the
Revenue Recognition Accounting Standards, and has accounted for any contractual changes made prior to the beginning of the
fiscal year under review based on the contractual conditions after reflecting all contractual changes, and has added or subtracted
the cumulative effect to or from retained earnings at the beginning of the fiscal year under review.
As a result, net sales, and selling, general, and administrative expenses decreased by ¥286,832 thousand each, but there is no
impact on operating profit, ordinary profit, and net income before income taxes and others. Also there is no impact on the balanceof retained earnings at the beginning of the period.
As a result of the adoption of the Revenue Recognition Accounting Standards, etc., “Notes and accounts receivable- trade”
which was presented under “Current assets” in the consolidated balance sheet for the previous fiscal year, has been included in“Notes and accounts receivable - trade, and contract assets” since the fiscal year under review. In accordance with the transitional
treatment prescribed in Paragraph 89-3 of the Revenue Recognition Accounting Standards, no reclassification using a newpresentation method has been made for the previous fiscal year.
(Change of Presentation Method)(Application of Accounting Standards for Fair Value Measurement, etc.)
The Company has applied the “Accounting Standards for Fair Value Measurement” (ASBJ Statement No. 30, July 4, 2019;
hereinafter referred to as “Fair Value Measurement Accounting Standards”) since the beginning of the fiscal year under review.
In accordance with the transitional treatment set forth in Paragraph 19 of the Fair Value Measurement Accounting Standards andParagraph 44-2 of the “Accounting Standard for Financial Instruments” (ASBJ Statement No. 10, July 4, 2019), the new
accounting policies set forth in the Fair Value Measurement Accounting Standards, etc. shall be applied into the future. Thisapplication has no impact on consolidated financial statements, because the Company does not hold any financial instruments
whose fair value should be stated in the consolidated balance sheet.
(Additional Information)(Impact of COVID-19)
The accounting estimates for the fiscal year under review are reasonably calculated based on the information available at thetime of preparation of the consolidated financial statements. However, there are considerable uncertainties regarding the future
spread of COVID-19 and the timing of its resolution. If the infection status of COVID-19 as well as economic and otherenvironments deviate from the current assumptions, the Company Group's business performance and financial position may beaffected.
For reference, there are no significant changes from the assumptions made as of the end of the previous fiscal year.

- 13 -

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022

(Segment Information, etc.)(Segment Information)
1

Overview of Reportable Segments
The business type in the Company Group is a single segment of the Medical Devices Business. However, the reportable segments,
each of which has separate financial information available, are subject to periodic review by the Board of Directors to determine theallocation of management resources and evaluate business performance.
The Company Group manufactures and sells “medical devices mainly in the field of orthopedics.” Japan Medical Dynamic
Marketing, INC. (hereinafter “the Company”) as the parent company based in Japan, and Ortho Development Corporation(hereinafter “ODEV”) as its overseas subsidiary based in the United States, operate as independent management units.
Accordingly, the Company Group consists of regional (country) segments based on manufacturing and sales, with “Japan” and“the United States” as two reportable segments.
In “Japan” the Company purchases products such as artificial joints, osteosynthesis materials, and spinal fixation devices in thefield of orthopedics mainly from ODEV, as well as from other domestic and overseas manufacturers based on sales allianceagreements, etc., and sells them in Japan. In “the United States” ODEV develops and manufactures artificial joints, osteosynthesis
materials, spinal fixation devices, and other products, and supplies them to the Company. In addition, ODEV independently sells
artificial joints, spinal fixation devices, and other products primarily in the US market.

2

Calculation Method of the Amounts of Net Sales, Profit or Loss, Assets, Liabilities, and Other Items by Reportable Segment
Assets and liabilities of the foreign subsidiary are converted into Japanese yen at the spot exchange rates prevailing at the balance
sheet date, and revenues and expenses are converted into Japanese yen at the average exchange rates prevailing during the period.
Translation differences are included in the foreign currency translation adjustment in net assets.
Reportable segment profit is based on operating profit. Inter-segment revenues and transfers are based on prevailing market prices.
As described in “Changes in Accounting Policies,” as a result of the adoption of the “Accounting Standard for Revenue
Recognition” (ASBJ Statement No. 29, March 31, 2020, etc.) from the beginning of the fiscal year under review, net sales to externalcustomers in “Japan” decreased by ¥286,832 thousand in the fiscal year under review, compared to the previous method, but there
is no impact on segment profit.

3

Information on the Amounts of Net Sales, Profit or Loss, Assets, Liabilities, and Other Items by Reportable Segment, andInformation on the Breakdown of Revenues
Previous Fiscal Year (from April 1, 2020 to March 31, 2021)
Reportable segment

Japan
Net sales
Net sales to externalcustomers
Inter-segment net sales
or transfers
Total
Segment profit
Segment assets
Segment liability
Other Items
Depreciation
Increase in property,
plant, and equipment
and intangible assets

United States

Total(In thousand yen)Amountreported in
Adjustment
consolidated(Notes) 1, 2
financialstatements(Note) 3

11,063,924

5,674,250

16,738,174―

16,738,174―

3,583,937

3,583,937(3,583,937)―

11,063,924
1,390,980
17,292,941
4,529,616

9,258,187
827,411
9,936,227
2,330,284

20,322,111
2,218,392
27,229,169
6,859,900(3,583,937)(49,440)(2,035,950)(379,915)

16,738,174
2,168,951
25,193,218
6,479,985

744,137

699,790

1,443,928(57,356)

1,386,572

797,741

704,824

1,502,566(84,097)

1,418,469(Notes) 1 Adjustments for segment profit, segment assets, segment liabilities, and other items represent the elimination of intersegment transactions.
2 The negative adjustment of ¥2,035,950 thousand to segment assets includes ¥2,151,035 thousand of corporate assets(mainly the Company’s cash and deposits) and the negative adjustment of ¥1,100,527 thousand to inventories.
3 Segment profit is adjusted with operating profit in the consolidated statement of income.

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Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022
Fiscal Year under Review (from April 1, 2021 to March 31, 2022)
Reportable segment

Japan

Net sales
Revenue from contracts withcustomers
Net sales to externalcustomers
Inter-segment net sales
or transfers
Total
Segment profit
Segment assets
Segment liability
Other Items
Depreciation
Increase in property,
plant, and equipment
and intangible assets

United States

Total(In thousand yen)Amountreported in
Adjustment
consolidated(Notes) 1, 2
financialstatements(Note) 3

12,122,222

7,070,875

19,193,098―

19,193,098

12,122,222

7,070,875

19,193,098―

19,193,098―

3,797,478

3,797,478(3,797,478)―

12,122,222
1,844,790
18,243,161
4,441,953

10,868,354
839,061
11,431,188
2,020,302

22,990,577
2,683,851
29,674,350
6,462,255(3,797,478)(22,321)(2,331,628)(610,655)

19,193,098
2,661,529
27,342,722
5,851,600

759,692

729,041

1,488,733(67,956)

1,420,777

1,189,088

616,883

1,805,971(140,303)

1,665,668(Notes) 1 Adjustments for segment profit, segment assets, segment liabilities, and other items represent the elimination of intersegment transactions.
2 The negative adjustment of ¥2,331,628 thousand to segment assets includes ¥2,100,495 thousand of corporate assets(mainly the Company’s cash and deposits) and the negative adjustment of ¥1,784,204 thousand to inventories.
3 Segment profit is adjusted with operating profit in the consolidated statement of income.
[Related Information]
Previous Fiscal Year (from April 1, 2020 to March 31, 2021)
1

Information by Product and Service
The description is omitted, as the type of business in the Company Group is exclusively the Medical Devices Business.

2

Regional Information(1)

Net sales
The description is omitted, as the same information is disclosed in the Segment Information.

(2)

Property, plant, and equipment
The description is omitted, as the same information is disclosed in the Segment Information.

3

Information by Major Customers
The description is omitted, as there are no external customers that account for 10% or more of net sales in the consolidated
statement of income.
Fiscal Year under Review (from April 1, 2021 to March 31, 2022)

1

Information by Product and Service
The description is omitted, as the type of business in the Company Group is exclusively the Medical Devices Business.

2

Regional Information(1)

Net sales
The description is omitted, as the same information is disclosed in the Segment Information.

(2)

Property, plant, and equipment
The description is omitted, as the same information is disclosed in the Segment Information.

- 15 -

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022

3

Information by Major Customers
The description is omitted, as there are no external customers that account for 10% or more of net sales in the consolidated
statement of income.
[Information on Impairment Losses on Non-current Assets by Reportable Segment]
Previous Fiscal Year (from April 1, 2020 to March 31, 2021)(In thousand yen)Amountreported in
Adjustment
consolidated
financialstatements

Reportable segment

Impairment
lossesOther

UnitedStatesJapan
54,013

Total

Total
―

54,013―54,013―54,013Fiscal Year under Review (from April 1, 2021 to March 31, 2022)(In thousand yen)
Reportable segment
UnitedStatesJapan
Impairment
losses

162

Other

Total

―

162

Total

―

162

Adjustment

Amountreported inconsolidated
financialstatements―

162[Amortization of Goodwill and Unamortized Balance by Reportable Segment]
Previous Fiscal Year (from April 1, 2020 to March 31, 2021)
Not applicable.
Fiscal Year under Review (from April 1, 2021 to March 31, 2022)
Not applicable.
[Information on Gain on Bargain Purchase by Reportable Segment]
Previous Fiscal Year (from April 1, 2020 to March 31, 2021)
Not applicable.
Fiscal Year under Review (from April 1, 2021 to March 31, 2022)
Not applicable.

(Per Share Information)
Items

Previous fiscal year
(From April 1, 2020
to March 31, 2021)

Fiscal year under review(From April 1, 2021
to March 31, 2022)

Net assets per share¥706.07¥810.59

Net income per share¥63.09¥80.9

Not listed, because there are no dilutive
shares.

Not listed, because there are no dilutive
shares.

Diluted net income per share- 16 -

Japan Medical Dynamic Marketing, INC (7600) Summary of Financial Results for the Fiscal Year Ended March 2022
(Note) The basis for calculating net income per share is as follows:

Items

Previous fiscal year
(From April 1, 2020
to March 31, 2021)

Fiscal year under review(From April 1, 2021
to March 31, 2022)

Net income attributable to owners of parent(thousand yen)

1,664,517

2,135,693

Amount not attributable to common shareholders(thousand yen)――

Net income attributable to owners of parent
related to common stock (thousand yen)

1,664,517

2,135,693

Average number of shares of common stockduring the period (shares)

26,383,942

26,383,754(Note)

When calculating net income per share, the Company includes its own shares remaining in the trust for the deliveryof shares to directors (and other officers), which are recorded as treasury shares in shareholders' equity, in treasury
shares to be deducted in the calculation of the average number of shares during the period.
The average number of such treasury shares deducted for the calculation of net income per share was 76,827 sharesfor the fiscal year under review and 76,827 shares for the previous fiscal year. The number of such treasury sharesdeducted for the calculation of net assets per share was 76,827 shares for the fiscal year under review and 76,827
shares for the previous fiscal year.

(Significant Subsequent Events)
Not applicable.

- 17 -