The original disclosure in Japanese was released on July 31, 2018 at 15:00 (GMT+8)

Consolidated Financial Statements for the First Quarter Ended June 30, 2018
FY2019 (April 1, 2018 - March 31, 2019) [UNAUDITED]
July 31, 2018
Takara Bio Inc.
Tokyo Stock Exchange (1st section)4974
http://www.takara-bio.co.jp
Koichi Nakao, President
Shuichiro Matsuzaki, Executive Vice President
Tel. (077) 565-6970
Quarterly statement filing date (as planned)
August 10, 2018
Scheduled date of starting delivery of dividends:‐
Supplementary documents of the financial results
Yes
Financial results information meeting:No
Notes: 1. The accompanying financial statements have been prepared in accordance with accounting principles andpractices generally accepted in Japan.
2. Amounts are rounded down to the nearest million yen.
Company name:
Stock exchange listings:
Code number:
URL:
Company representative:
Contact:

1. Results for the three months ended June 30, 2018 (Apr. 1, 2018 – Jun. 31, 2018)(1) Operating results(Percentages indicate changes from the same period of the previous fiscal year.)Three months ended
Jun. 30, 2018
Net sales
Operating income
Ordinary income
Net income (loss) attributable to owners of theparent
Net income per share (in yen)
Fully diluted net income per share (in yen)
Note: Comprehensive income(Millions of yen)
8,847
1,544
1,559
1,032
8.57
(495)

Three months ended
Jun. 30, 2017
(%)

(%)

39.2
487.8
442.0
-

(Millions of yen)
6,355
262
287
22

0.8
(59.2)(56.0)(92.0)

-

0.19
(751)

-

(2) Financial position

Total assets
Net assets
Equity ratio (%)
Net assets per share (in yen)
(Reference) Equity

As of Jun. 30, 2018
(Millions of yen)

As of Mar. 31, 2018
(Millions of yen)

67,64360,92189.9
505.0960,82068,67061,95990.1
513.6661,852

Partial revision of accounting standard related to tax effect accounting (Article 28 on corporate accounting standard, February 16, 2018)has been applied from the period of the three months ended June 30, 2018. Accordingly, financial position for the year ended March 31,2018 indicates the numerical value after retroactive adjustment due to this revision.

2. Dividends
Annual dividends per share in yen
Year ended Mar. 31,
Year ending Mar. 31,
Year ending Mar. 31,
2018
2019
2019 (Forecast)First quarter end
Second quarter end
0.00
0.00
Third quarter end
Year end
4.50
6.00
Annual4.50
6.00
Note: No revision of dividend payment forecast since the most recently announced payment forecast.

- 1 -3. Forecast for the year ending March 31, 2019 (Apr. 1, 2018 – Mar. 31, 2019)(Percentages indicated changes from the same period of the previous fiscal year.)Six months ending
Sep. 30, 2018Year ending Mar. 31, 2019

(Millions of yen)(%)
(Millions of yen)
Net sales
17,75525.7
36,800Operating income
2,500
263.1
5,000
Ordinary income
2,557
233.8
5,200
Net income attributable to owners of the parent
1,646
444.1
3,100
Net income attributable to owners of the parent
13.68
25.74
per share (in yen)
Note: No revision of financial forecast since the most recently announced financial forecast.

(%)
13.9
40.6
34.6
32.8

4. Others(1) Changes in subsidiaries during the three months ended Jun. 30, 2018
(Changes in specified subsidiaries resulting in change of scope) ： No
Newly included: - (Name)
Excluded: - (Name)(2) Application of special accounting methods to the consolidated quarterly financial statements： No(3) Changes in accounting policies, changes in accounting estimates, and retrospective restatement
1) Changes based on revisions of accounting standard： No
2) Changes other than ones based on revisions of accounting standard： No
3) Changes in accounting estimates： No4) Restatement： No(4) Number of outstanding shares (Common stock)1) Number of outstanding shares at year end (Treasury stocks are included)
As of June 30, 2018
120,415,600
As of March 31, 2018
120,415,600
2) Number of treasury stocks at year end
As of June 30, 2018
As of March 31, 2018
3) Average number of outstanding shares (Quarterly total)
As of June 30, 2018
120,415,600
As of June 30, 2017
120,415,600
These quarterly financial statements are not subject to auditing.
Comment regarding appropriate use of earnings forecasts and other special notes
Forward-looking statements contained in this document are determined by the Takara Bio Group based on information
currently available to the Group and include a number of uncertainties. Actual results could differ from these forecasts due tochanges in conditions that occur in the future. For information regarding the above, please refer to 1. Qualitative Information
for the three months ended June 30, 2018 (4) Qualitative Information Regarding Consolidated Forecasts, on page 3 of theattached document.
(Change in calendar indication)
Calendar indication has been changed from Japanese style to western style since Consolidated Financial Statements for the firstquarter ended June 30, 2018.

- 2 -The original disclosure in Japanese was released on July 31, 2018 at 15:00 (GMT+8)
Contents of the attached document
1. Qualitative Information for the three months ended June 30, 2018………………………………………………………......
(1) Consolidated Financial Results……………………………………………………………………………………………
(2) Consolidated Financial Position…………………………………………………………………………………………...
(3) Consolidated Cash Flows………………………………………………………………………………………………….
(4) Qualitative Information Regarding Consolidated Forecasts………………………………………………………………
2. Consolidated Quarterly Financial Statements and Primary Notes…………………………………………………………….
(1) Consolidated Quarterly Balance Sheets…………………………………………………………………………………...
(2) Consolidated Quarterly Statements of Income and Consolidated Quarterly Statements of Comprehensive Income…….
(Consolidated Quarterly Statements of Income) …………………………………………………………………...........
(For the three months ended June 30, 2018)(Consolidated Quarterly Statements of Comprehensive Income) ………………………………………………………
(For the three months ended June 30, 2018)(3) Consolidated Quarterly Statements of Cash Flows………………………………………………………………………..
(4) Notes to Consolidated Quarterly Financial Statements……………………………………………………………………
(Notes on Premise of Going Concern) …………………………………………………………………………………..
(Notes in case of Changes in Marked Amount of Shareholders’ Equity)………………………………………………..
(Additional Information)…………………………………………………………………………………………………
(Segment Information) …………………………………………………………………………………………………..
(Other Notes) ……………………………………………………………………………………………………………
3. Supplementary Information …………………………………………………………………………………………………..
(1) Trends in Key Management Indicators……………………………………………………………………………………
(2) Comparative Consolidated Statement of Income …………………………………………………………………………

- 1 -

2
2
3
3
3
4
4
6
6
7
8
9
9
9
9
9
10
11
11
12

1. Qualitative Information for the three months ended June 30, 2018
(1) Consolidated Financial Results
In the three months ended June 30, 2018, although the Japanese economy continued to maintain a moderate recovery as personal
consumption and corporate earnings improved, the future of the global economy continues to be unpredictable due to the pricehikes of crude oil and raw materials and the U.S. trade friction issue.
Under these circumstances, the three-year Takara Bio’s Medium-Term Management Plan FY2020 started in FY2018 aims tostrengthen the three business segments: the Bioindustry Business, the Gene Therapy Business, and the Agribio Business andbusiness bases which support them to enhance standing of the Takara Bio Group (the Group) as a global and industrial company
for regenerative medical products and, further, to achieve prodigious growth. Under this overall policy, the Group promoted
initiatives to achieve the operating income of ¥6.0 billion as the target for fiscal 2020, final year of the revised Medium-Term
Management Plan.
As a result, overall net sales increased 39.2% year on year to ¥8,847 million, on contributions from sales for research reagentsexceeding those of the same period of the previous fiscal year and receipt of licensing fees for co-development/exclusive sales
related to NY-ESO-1・siTCR® and CD19・CAR gene therapy products. Cost of sales increased 55.5% year on year to ¥3,491
million due to an increase of cost percentage from change of sales composition by item and others, but gross profit increased 30.3%
year on year to ¥5,355 million. Selling, general and administrative (SG&A) expensed decreased 0.9% year on year to ¥3,811 million
due to the decrease in R&D expenses, but the Group recorded operating income up 487.8% year on year to ¥1,544 million.
Accompanied with the increase in operating income, ordinary income increased 442.0% to ¥1,559 million, income before income
taxes and minority interests increased 456.6% year on year to ¥1,548 million, and net income attributable to owners of the parent
increased 4,444.7% year on year to ¥1,032 million.
The statuses of the Group business segments are as follows.
Bioindustry Business
Given the ever-widening activities of biotechnology R&D, the Group has positioned the the Bioindustry Business as its corebusiness, which mainly develops and provides products and services supporting such R&D activities.
In the three months ended June 30, 2018, sales of contracted service was similar at the level of previous fiscal year, but sales ofresearch reagents and scientific instruments increase year on year.
As a result of the above, sales to external customers for this business increased 10.7% year on year to ¥6,516 million, but grossprofit decreased 11.9% year on year to ¥3,539 million due to an increase of cost percentage from change of sales composition byitem and others. Selling, general and administrative (SG&A) expensed were ¥2,850 million (year on year ratio 100.0%), and theGroup recorded operating income down 40.9% year on year to ¥689 million.
Gene Therapy Business
The business focuses on clinical development of gene therapies for diseases such as cancer. These therapies represent
the oncolytic virus therapy utilizing Canerpaturev (Abbreviated to C-REV, Former HF10) and the engineered T celltherapy utilizing the original Takara Bio technologies such as the RetroNectin method for a high efficiency genetransduction; the RetroNectin expansion-culture system for a high efficient expansion for lymphocytes; as well as
siTCR ®.
In the three months ended June 30, 2018, the licensing fees for domestic co-development and exclusive sales related to NYESO-1・siTCR® and CD19・CAR gene therapy products and sales of the therapeutic products based on the agreement was
generated.
As a result, net sales to external customers for this business was ¥1,931 million (No result in the previous fiscal year), and grossprofit were ¥1,744 million (No result in the previous fiscal year). SG&A expenses decreased 28.0% year on year to ¥301 million
due to decrease R&D expenses. Accordingly, operating income has been highly improved ¥1,442 million, compared with ¥419
million in the same period of previous fiscal year.
AgriBio BusinessThis business uses its unique leading-edge biotechnology to identify the scientific basis of foodstuffs. Based on this evidence, it
develops, manufactures, and sells functional food ingredients. The AgriBio Business focuses on rolling out products related to
Gagome kombu (kelp)-derived “Fucoidan,” agar-derived agaro-oligosaccharide, Ashitaba (Angelica herb)-derived “Chalcone,”the herb (Peucedanum japonicum)-derived "Isosamidin," yam, (Dioscorea esculenta)-derived “Yamsgenin”, and mushroom.
In the three months ended June 30, 2018, net sales of mushroom-related products increased year on year, and net sales offunctioinal foods-related products declined year on year.
- 2 -The original disclosure in Japanese was released on July 31, 2018 at 15:00 (GMT+8)
Consequently, net sales to external customers for this business decreased 14.7% year on year to ¥399 million, and gross profit
decreased 23.7% to ¥71 million. SG&A expenses was same level as previous fiscal year, ¥116 million, and the operating loss wasbadly ¥45 million, compared with ¥24 million in the same period of previous fiscal year.
(2) Overview of Financial Position for the three months ended June 30, 2018
In the three months ended June 30, 2018, total assets were ¥67,643 million, a decrease of ¥1,027 million compared with that at
the end of the previous fiscal year. This decrease primarily resulted from a decrease of ¥2,038 million in notes and accounts
receivable-trade.
Total liabilities were ¥6,721 million, an increase of ¥9 million compared with that at the end of the previous fiscal year. This
increase primarily resulted from a decrease of ¥251 million in notes and accounts receivable-trade and a decrease of ¥248 million
in accounts payable-other of current liabilities despite an increase of ¥232 million in accrued income taxes and an increase of¥222 million in allowance.
Total net assets stood at ¥60,921 million, a decrease of ¥1,037 million compared with that at the end of the previous fiscal year.
The main factors were a decrease of ¥1,525 million in foreign currency translation adjustment.
(3) Overview of Cash Flows for the three months ended June 30, 2018
Net cash provided by operating activities was ¥2,954 million, up by ¥3,036 million compared with the previous fiscal year. Thiswas primarily due to an increase of ¥1,270 million in income before taxes and minority interests and a decrease of ¥1,032 million
in current liabilities.
Net cash provided by investing activities was ¥2,531 million, a decrease of ¥9,495 million compared with the previous fiscal
year. This was primarily due to the elimination of ¥12,396 million from purchase of shares of subsidiaries accompanying changes
in the scope of consolidation occurred in the previous fiscal year.
Net cash used in financing activities was ¥508 million, an increase of ¥59 million compared with the previous fiscal year. Thiswas primarily because of a ¥62 million increase in cash dividends paid.
As a result of the above, cash and cash equivalents at the three months ended June 30, 2018, including the effect of exchange
rate change on cash and cash equivalents, stood at ¥9,601 million, down ¥450 million from the previous fiscal year-end.
(4) Overview of Qualitative Information Regarding Consolidated Forecasts
Consolidated results from the three months ended June 30, 2018, were recorded virtually as planned against all such as net sales
and each earning item (operating income, ordinary income and net income attributable to owners of the parent). Accordingly, theGroup is not revising the consolidated forecast released on May 11, 2018 at present.

- 3 -2. Consolidated Quarterly Financial Statements and Primary Notes(1) Consolidated Quarterly Balance Sheets(Millions of yen)
As of Mar. 31, 2018
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Lease assets
Accumulated depreciation
Lease assets, net
Construction in progress
Total Property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investments and other assets
Total investments and other assets
Total noncurrent assets
Total assets- 4 -As of Jun. 30, 201817,537
8,031
2,000
4,484
334
1,192
978
42)
34,516

18,689
5,933
2,000
4,725
670
1,258
1,070
43)
34,364

12,8255,611)
7,214
7,561
5,360)
2,201
7,080
4,613)
2,466
6,588
16
16)
－
63
18,534

12,776
5,664)
7,112
7,495
5,378)
2,116
7,037
4,711)
2,326
6,586
15
15)
－
506
18,6498,259
5,903
14,163

7,643
5,387
13,0301,456
1,456
34,154
68,6701,598
1,598
33,27867,643

The original disclosure in Japanese was released on July 31, 2018 at 15:00 (GMT+8)(Millions of yen)
As of Jun. 30, 2018

As of Mar. 31, 2018
Liabilities
Current liabilities
Notes and accounts payable-trade
Accrued income taxes
Provision
Other
Total current liabilities
Noncurrent liabilities
Net defined benefit liability
Other
Total noncurrent liabilities
Total liabilities
Net assets
Shareholders’ equity
Common stock
Capital surplus
Retained earnings
Total shareholders' equity
Accumulated other comprehensive income
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Noncontrolling interests
Total net assets
Total liabilities and net assets

- 5 -

1,875
431
333
3,104
5,745

1,623
664
556
2,899
5,743

659
307
966
6,711

669
307
977
6,721

14,96532,893
12,28560,144

14,96532,893
12,77560,635

2,042
334)
1,707
106
61,95968,670

516
331)
185
101
60,921
67,643

(2) Consolidated Quarterly Statements of Income and Consolidated Quarterly Statements of Comprehensive Income(Consolidated Quarterly Statements of Income)(For the three months ended June 30, 2018)(Millions of yen)Three months ended
Jun. 30, 2018

Three months ended
Jun. 30, 2017
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Employees' salaries and bonuses
Retirement benefit expenses
R&D expenses
Provision for allowances
Other
Total selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Foreign exchange gains
Rent of Real estate
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Dormant fixed asset cost
Real estate leasing expense
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of noncurrent assets
Total extraordinary income
Extraordinary losses
Loss on sales and retirement of noncurrent assets
Total extraordinary losses
Income before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Net income
Net income (loss) attributable to the noncontrollinginterest
Net income attributable to owners of the parent

- 6 -

6,355
2,245
4,109

8,847
3,491
5,355

898
43
1,103
136
1,664
3,846
262

986
44
1,014
132
1,632
3,811
1,544

19
4
21
7
52

18
－
23
8
49

5
－
14
7
0
27
287

－
23
2
5
2
34
1,559

0
0

－
－

9
9
278
409
155)
253
24

10
10
1,548
702
188)
514
1,034

1

2

22

1,032

The original disclosure in Japanese was released on July 31, 2018 at 15:00 (GMT+8)(Consolidated Quarterly Statements of Comprehensive Income)(For the three months ended June 30, 2018)(Millions of yen)Three months ended
Jun. 30, 2018

Three months ended
Jun. 30, 2017
Net income
Other comprehensive income
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to:
Owners of the parent
Noncontrolling interest

- 7 -

24

1,034

789)
13
775)
751)

1,533)
3
1,530)
495)

753)
2

490)
5)

(3) Consolidated Statements of Cash Flows(Millions of Yen)

Three months ended
Jun. 30, 2017
Net cash provided by (used in) operating activities
Income before income taxes and minority interests
Depreciation and amortization
Depreciation and amortization on other
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in other provision
Increase (decrease) in net defined benefit liability
Interest income
Interest expenses
Loss (gain) on sales and retirement of non-current
assetsDecrease (increase) in notes and accounts receivabletrade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payabletrade
Increase (decrease) in other current liabilities
Other, net
SubtotalInterest and dividend income received
Interest expenses paid
Income taxes paid
Net cash provided by (used in) operating activities
Net cash provided by (used in) investing activities
Payments for time deposits
Proceeds from time deposits
Purchase of property, plant and equipment andintangible assets
Purchase of other depreciable assets
Purchase of shares of subsidiaries accompanying
changes in the scope of consolidation
Other, net
Net cash provided by (used in) investing activities
Net cash provided by (used in) financing activities
Cash dividends paid
Repayments of lease obligations
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period- 8 -Three months ended
Jun. 30, 2018
278
580
32
109
36
26)
12
19)
5

1,548
669
48
123
2
225
11
18)
－

9

10

1,663

1,903

700)

818)

282)

184)

1,054)
498)
147
11
0)
240)
81)

21)
145)
3,353
8
－
407)
2,954

1,082)
1,545

2,000
333

403)

829)

18)

35)

12,396－328
12,027

0)
2,531

445)
3)
449)

508)
－
508

320)

364)

12,87822,2009,321

45010,051
9,601

The original disclosure in Japanese was released on July 31, 2018 at 15:00 (GMT+8)(4) Notes to Consolidated Quarterly Financial Statements(Notes on Premise of Going Concern)
No items to report.
(Notes in case of Changes in Marked Amount of Shareholders’ Equity)
No items to report.
(Additional Information)(Application of partial revision of accounting standard related to tax effect accounting)Partial revision of accounting standard related to tax effect accounting (Article 28 on corporate accounting standard, February
16, 2018) has been applied at the beginning of period for the three months ended June 30, 2018, and category statement toinvestments and other assets for deferred tax assets and to noncurrent liabilities for deferred tax liability has been made.
(Segment Information)
I. Equivalent period of previous fiscal year (From Apr. 1, 2017 to Jun. 30, 2017)
1. Net sales and income (loss) by reportable segment

Net sales
External customers
Corporate
Total(Millions of yen)Amount recognized in
Adjustment consolidated quarterly(Note: 1) statement of income(Note: 2)

Bioindustry

Gene
Therapy

AgriBio

5,886
－

－
－

468
－

6,355
－

－
－

6,355
－

5,886

－

468

6,355

－

6,355

Total

Segment income (loss)
1,165
419)
24)
722
459)
262
Notes: 1. The adjustment for segment income was a loss of ¥459 million comprising of the Company not allocated toreportable segments. Expenses of the Company primarily consist of general and administrative expenses and R&D
expenses not attributed to reportable segments.
2. Segment income (loss) has been adjusted to the operating income of consolidated quarterly financial statements.
2.

Noncurrent asset impairment losses and goodwill, and others of each reportable segment(Significant impairment losses concerning noncurrent asset)
No items to report.
(Significant changes to the amount of goodwill)
In Bioindustry business, the wholly owned subsidiary Takara Bio USA Holdings Inc. acquired shares of WaferGen Biosystems, Inc. and Rubicon Genomics, Inc., and thereby the Group allocated the goodwill. Based on this, the increased amountof goodwill was ¥7,709 million for the three month ended June 30, 2018. This amount is based on tentative calculation due toincompleteness of distribution of acquisition costs.

II. Three months ended June 30, 2018 (From Apr. 1, 2018 to Jun. 30, 2018)
1. Net sales and income (loss) by reportable segment

Net sales
External customers
Corporate
Total(Millions of yen)Amount recognized in
Adjustment consolidated financial(Note: 1)statements(Note: 2)

Bioindustry

Gene
Therapy

AgriBio

6,516
－

1,931
－

399
－

8,847
－

－
－

8,847
－

6,516

1,931

399

8,847

－

8,847

Total

Segment income (loss)
689
1,442
(45)
2,086
(541)
1,544
Notes: 1. The adjustment for segment income was a loss of ¥541 million comprising of the Company not allocated toreportable segments. Expenses of the Company primarily consist of general and administrative expenses and R&D
expenses not attributed to reportable segments.
2. Segment income (loss) has been adjusted to the operating income of consolidated quarterly financial statements.

- 9 -2. Noncurrent asset impairment losses and goodwill , and others of each reportable segment(Significant impairment losses concerning noncurrent asset)
No items to report.
(Significant changes in the amount of goodwill)
No items to report.
(Other notes)(Consolidated Quarterly Statements of Income)For the three months ended June 30, 2018 (From Apr. 1, 2018 to Jun. 30, 2018)
Breakdown of R&D expenses(Millions of yen)
1,014

Total R&D expenses
Main components of which are as follows
Employees’ salaries and bonuses
Retirement benefit expenses
Provision for allowances

312
10
53

(Consolidated Quarterly Statements of Cash Flows)
For the three months ended June 30, 2018 (From Apr. 1, 2018 to Jun. 30, 2018)
Relationship between balance of cash and cash equivalents at June 30, 2018 and amounts stated on the Consolidated Balance
Sheets as of June 30, 2018
(As of June 30, 2018)(Millions of yen)
Cash and deposits
18,689Time deposits with deposit period(9,088)exceeding three months
Cash and cash equivalents

9,601- 10 -

The original disclosure in Japanese was released on July 31, 2018 at 15:00 (GMT+8)

3. Supplementary Information(1) Trends in Key Management Indicators1). Cash Flow

Term

(Millions of yen)

17th Business Year
16th Business Year
Three months ended
Three months ended
17th Business Year
Jun. 30, 2017
Jun. 30, 2018
(Apr. 1, 2017 - Mar. 31, 2018)(Apr. 1, 2017 - Jun. 30, 2017) (Apr. 1, 2018 - Jun. 30, 2018)

Net cash provided by (used in)operating activities

(81)

2,954

3,935

Net cash provided by (used in)investing activities(12,027)(2,531)(14,755)

Net cash provided by (used in)financing activities

(449)

(508)

(1,205)2). Net Sales by Region(Millions of yen)th Business Year

17th Business Year

16
Three months ended
Three months ended
17th Business Year
Jun. 30, 2017
Jun. 30, 2018
(Apr. 1, 2017 - Mar. 31, 2018)(Apr. 1, 2017 - Jun. 30, 2017) (Apr. 1, 2018 - Jun. 30, 2018)
Japan

2,414

4,248

14,266

U.S.

1,776

1,995

7,240

China

1,075

1,307

5,524

Asia excluding China

432

410

1,754

Europe

591

811

3,257

Other

64

73

268

Total

6,355

8,847

32,3123). R&D Expenses by Reportable Segment(Millions of yen)th Business Year

17th Business Year

16
Three months ended
Three months ended
17th Business Year
Jun. 30, 2017
Jun. 30, 2018
(Apr. 1, 2017 - Mar. 31, 2018)(Apr. 1, 2017 - Jun. 30, 2017) (Apr. 1, 2018 - Jun. 30, 2018)
Bioindustry

650

670

2,693

Gene therapy

415

298

1,804
6

AgriBio1－

Corporate

36

45

148

Total

1,103

1,014

4,653

- 11 -

(2) Comparative consolidated statement of income
Three months ended
Jun. 30, 2018

(Rounded down to one million yen)
Year on year
Year on year
Three months ended
Jun. 30, 2019
ChangeRatio（Net Sales）
Research reagents
Scientific instruments
Contracted services
Other
Bioindustry Total
Gene therapy
Functional foods
Mushrooms
AgriBio total

4,660
472
633
119
5,886
－
179
288
468

5,246
517
630
122
6,516
1,931
103
295
399

586
44
(3)
2
629
1,931
(75)
6
(68)

112.6%
109.5%
99.4%
102.0%
110.7%

Total Net Sales

6,355

8,847

2,492

139.2%

6,355

8,847

2,492

139.2%

Cost of sales

2,245

3,491

1,246

155.5%

Gross profits

4,109

5,355

1,245

130.3%

SG&A expenses

3,846

3,811

(35)

99.1%

Transportation expenses
Advertising expenses
Promotion expenses
R&D expenses
Administrative expenses, other
Enterprise taxes (external standards taxation)

143
19
222
1,103
2,304

158
16
164
1,014
2,365

15
(3)
(57)
(89)
61

110.5%
82.8%
73.9%
91.9%
102.7%

53

92

38

171.3%

262

1,544

1,281

587.8%

Non-operating expenses

52
27

49
34

(3)
7

94.2%
126.0%

Ordinary income

287

1,559

1,271

542.0%

0

(0)

－

9

－
10

1

111.3%

Income before income taxes and minority interests

278

1,548

1,270

556.6%

Income taxes

253

514

260

202.4%Net Income
Net income (loss) attributable to noncontrollinginterests
Net income attributable to owners of the parent

24

1,034

1,010

4268.5%(Operating Income and Loss)
Net Sales

Operating income(Non-operating Income and Expenses)
Non-operating income(Extraordinary Income & Losses)
Extraordinary income
Extraordinary losses－
57.7%
102.4%
85.3%

1

2

0

143.2%

22

1,032

1,009

4544.7%

580

669

88

115.2%

109

123

14

112.9%

Three months ended
Jun. 30, 2018
1,165
(419)
(24)
(459)

Three months ended
Jun. 30, 2019
689
1,442
(45)
(541)

Year on year
Change
(476)
1,861
(21)
(82)

Year on year
Ratio
59.1%
－
－
－

262

1,544

1,281

587.8%

Depreciation and amortization (Property, plant andequipment and intangible assets)
Amortization of goodwill
Profit and loss by business segment (Operating income)Bioindustry
Gene therapy
AgriBio
Corporate
Total- 12 -