Note: This document has been translated from the Japanese original for reference purposes only. In the event of any
discrepancy between this translated document and the Japanese original, the original shall prevail.

July 29, 2024

Consolidated Financial Results
for the First Three Months of the Fiscal Year Ending March 31, 2025
(Under Japanese GAAP)
Company name:
Listing:
Securities code:
URL:
Representative:
Contact:

Paramount Bed Holdings Co., Ltd.
Tokyo Stock Exchange
7817
https://www.paramountbed-hd.co.jp
Tomohiko Kimura, President and Chief Executive OfficerYuichi Naguchi, General Manager, Budget Management Dept. and Investor Relations
Dept.
TEL: 03-3648-1100

Scheduled date to commence dividend payments:
Preparation of supplementary material on financial results:
Holding of financial results presentation meeting:–Yes
None(Millions of yen with fractional amounts discarded, unless otherwise noted)

1. Consolidated financial results for the first three months of the fiscal year ending March 31, 2025
(from April 1, 2024 to June 30, 2024)(1) Consolidated operating results (cumulative)
Net sales
Three months ended
June 30, 2024
June 30, 2023

Operating profit

Millions of yen% Millions of yen

23,14524,318

Note: Comprehensive income(Percentages indicate year-on-year changes.)

(4.8)
6.9

% Millions of yen

1,593
3,258

(51.1)
1.5

Three months ended June 30, 2024:
Three months ended June 30, 2023:

Basic earnings
per share
Three months ended

Profit attributable toowners of parent

Ordinary profit

2,136
4,178

% Millions of yen(48.9)
5.4¥2,699 million¥4,216 million

Diluted earnings
per share
Yen

Yen

June 30, 2024

27.28

–

June 30, 2023

49.05

–

(2) Consolidated financial position
Total assetsAs ofJune 30, 2024
March 31, 2024
Reference:

Net assets

Equity-to-asset ratio

Millions of yen

Millions of yen%

177,176
180,020

136,763
136,01677.2
75.6

EquityAs of June 30, 2024:
As of March 31, 2024:¥136,762 million¥136,015 million

1,566
2,859
[(36.0)%][9.0%]%(45.2)6.5

2. Dividends
Dividends per shareFirst quarter-end

Second quarter-end

Third quarter-end

Yen

Yen

Yen

Fiscal year ended
March 31, 2024
Fiscal year ending
March 31, 2025–

Fiscal year-end

Total

Yen

Yen

31.00

–

34.00

65.0048.00–49.00

97.00–

Fiscal year ending
March 31, 2025
(Forecast)

Note: Revisions to the dividends forecasts most recently announced: None

3. Consolidated earnings forecasts for the fiscal year ending March 31, 2025 (from April 1, 2024 toMarch 31, 2025)
Net sales

Six months ending
September 30, 2024
Fiscal year ending
March 31, 2025

(Percentages indicate year-on-year changes.)
Profit attributable to Basic earnings
Ordinary profit
owners of parent
per share

Operating profit

Millions ofyen%

51,0002.6

112,000

5.6

Millions ofyen

Millions ofyen%Millions ofyen%

5,200 (19.8)

5,450 (30.3)

3,850(27.3)

67.05

14,00014,50010,100(4.9)

175.90%1.3

Note: Revisions to the earnings forecasts most recently announced: None

(8.9)

Yen* Notes(1) Significant changes in the scope of consolidation during the period: None
(2) Application of special accounting for preparing quarterly consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies in accordance with changes in accounting standards, etc.: None(ii) Changes in accounting policies due to other reasons: None(iii) Changes in accounting estimates: None(iv) Restatement: None
(4) Number of shares issued (common shares)(i)

Number of shares issued at the end of the period (including treasury shares)
As of June 30, 2024

61,754,974 shares

As of March 31, 2024

61,754,974 shares(ii) Number of treasury shares at the end of the period
As of June 30, 2024

4,336,163 shares

As of March 31, 2024

4,334,941 shares(iii) Average number of shares outstanding during the period (cumulative from the beginning of thefiscal year)
Three months ended June 30, 2024

57,419,385 shares

Three months ended June 30, 2023

58,289,509 shares* Review of the Japanese-language originals of the attached quarterly consolidated financial statements bycertified public accountants or an audit firm: None
* Proper use of earnings forecasts, and other special matters
The forward-looking statements, including earnings forecasts, contained in these materials are based on
information currently available to the Company and on certain assumptions deemed to be reasonable.
Consequently, the statements herein do not constitute assurances regarding the Company’s actual results. Actual
financial and other results may differ substantially from the statements herein due to various factors. Please refer
to “1. Qualitative information regarding financial results for the period under review, (3) Information regarding
consolidated earnings forecasts and other forward-looking statements” on page 4 of the attached materials for thesuppositions that form the assumptions for the earnings forecasts and cautions regarding the use of the earnings
forecasts.

Paramount Bed Holdings Co., Ltd. (7817)Contents of Attached Materials
Index
1. Qualitative information regarding financial results for the period under review ...................................... 2(1) Information regarding operating results ............................................................................................. 2(2) Information regarding financial position ............................................................................................ 3(3) Information regarding consolidated earnings forecasts and other forward-looking statements ......... 4
2. Quarterly consolidated financial statements and significant notes thereto ............................................... 5(1) Quarterly consolidated balance sheet ................................................................................................. 5(2) Quarterly consolidated statement of income and quarterly consolidated statement ofcomprehensive income ....................................................................................................................... 7
Quarterly consolidated statement of income (cumulative) ................................................................. 7
Quarterly consolidated statement of comprehensive income (cumulative) ........................................ 8(3) Notes to quarterly consolidated financial statements ......................................................................... 9
Notes on segment Information, etc. .................................................................................................... 9Notes on significant changes in the amount of shareholders’ equity .................................................. 9Notes on premise of going concern .................................................................................................... 9Notes on quarterly consolidated balance sheet ................................................................................... 9Notes on quarterly consolidated statement of cash flows ................................................................... 9-1-Paramount Bed Holdings Co., Ltd. (7817)

1. Qualitative information regarding financial results for the period under review(1) Information regarding operating results
During the three months ended June 30, 2024, the Japanese economy continued to gradually recover,due to expectations of improvement in the employment and income environment and an increase in
inbound demand. However, the future remains unclear due to factors such as the soaring raw material
prices resulting from the historic depreciation of the yen, stagnant consumer confidence caused byhigher prices exceeding wage increases, and the impact of labor shortages.
The Group launched Phase II of its medium-term management plan based on the “Paramount Vision
2030,” which describes the type of company we aim to be in 2030. Focusing on the priority measuresof “expansion of recurring business,” “evolution of health promotion business,” and “rapid growth infocused areas in Asia,” the Group is moving forward with activities aiming for ¥120,000 million in net
sales and ¥17,000 million in operating profit, etc. for the fiscal year ending March 31, 2027.
The operating results of our three core businesses for the three months ended June 30, 2024 were as
follows. Beginning with the medical care business, in Japan, the environment remained severe forhospital management due to the ongoing labor shortage and soaring heating and lighting expenses andmaterial prices. Meanwhile, the timing of the revision of medical fees for 2024 was pushed back twomonth compared with the previous revision to June, and due to the resulting trend of wait-and-see
attitude toward capital investment, sales of beds and other products was sluggish. On the other hand,demand for products and services that contribute to operational efficiency and task shifting in responseto reforms in work styles of physicians that began in April of this year remained strong, with theintroduction of smart bed systems making progress, and the focused recurring business expanding
steadily. In the overseas market, while sales to private medical institutions expanded in Indonesia, sales
in China declined mainly due to a reactionary drop from the special demand at the dawn of the zeroCOVID policy and postponement of projects caused by the anti-corruption movement. As a result, net
sales in the medical care business decreased by 13.6% year-on-year to ¥7,935 million. In the nursing
care business, net sales increased 2.5% year-on-year to ¥14,300 million, mainly due to steady
performance of sales and rentals for home use. In the health promotion business, net sales decreased
29.5% year-on-year to ¥493 million, mainly due to changes in consumer behavior following thedowngrading of COVID-19 to a Class 5 disease and a slump in consumer confidence caused by higher
prices.
As for topics of the health promotion business, we launched a fully remodeled “Active Sleep BED,” anelectric bed for general household use that supports sleep according to preference and physicalcondition, on April 26, 2024. In addition to improving the sleeping environment, the new product isdesigned to provide comfort in various aspects of daily life, such as reading, watching videos, andeating, by providing a tilt function that allows users to easily assume a more relaxed posture. We will
strengthen promotion through TV commercials and various social networking services to promote newlifestyles using the new products.
The information on disaggregation of net sales for the three months ended June 30, 2024 is as follows.

-2-Paramount Bed Holdings Co., Ltd. (7817)

Net sales by business(Millions of yen)
Sales categories

Three months ended
June 30, 2023

Three months ended
June 30, 2024

ChangeMedical care

9,186

7,935(13.6)%

Nursing care

13,953

14,3002.5%

Health promotion

700493(29.5)%

Others477

415(13.0)%

Total

24,31823,145(4.8)%

Net sales by region(Millions of yen)
Sales categories

Three months ended
June 30, 2023

Three months ended
June 30, 2024

ChangeDomestic

21,791

20,919(4.0)%

Overseas

2,526

2,225(11.9)%

Total

24,31823,145(4.8)%

As a result of the above, net sales for the three months ended June 30, 2024 decreased by ¥1,172
million (down 4.8%) year-on-year to ¥23,145 million. In terms of profits, in addition to the decreased
gross profit resulting from the sales decline and the lower gross profit margin caused by the soaring
price of raw materials and yen depreciation, they were also affected by the recording of investment
related expenses for medium- to long-term growth such as promotional expenses accompanying thelaunch of new products. Mainly due to these factors, operating profit decreased by ¥1,665 million to¥1,593 million (down 51.1%), ordinary profit decreased by ¥2,041 million to ¥2,136 million (down48.9%), and profit attributable to owners of parent decreased by ¥1,293 million to ¥1,566 million(down 45.2%).
As the Group’s business consists of a single segment, segment information has been omitted.
(2) Information regarding financial position
Total assets as of June 30, 2024 stood at ¥177,176 million, a decrease of ¥2,844 million compared withthe end of the previous fiscal year. The main aspects that contributed to this decrease were decreases innotes and accounts receivable - trade.
Total liabilities stood at ¥40,412 million, a decrease of ¥3,591 million compared with the end of theprevious fiscal year. The main aspects that contributed to this decrease were decreases in income taxes
payable and provision for bonuses.
Net assets stood at ¥136,763 million, an increase of ¥747 million compared with the end of theprevious fiscal year. The main aspect that contributed to this increase was an increase in foreign
currency translation adjustment. As a result of the above, equity-to-asset ratio as of June 30, 2024 roseby 1.6 points, compared with the end of the previous fiscal year to 77.2%.

-3-Paramount Bed Holdings Co., Ltd. (7817)(3) Information regarding consolidated earnings forecasts and other forward-looking statements
No revisions have been made to the consolidated earnings forecasts announced on May 13, 2024.
Operating results for the three months ended June 30, 2024 generally progressed as planned at thebeginning of the period. On the other hand, actual results for the six months ending September 30, 2024may vary depending on future trends in the business environment, including a prolonged trend of waitand-see attitude among domestic medical institutions, whose business environment continues to bedifficult, to assess the impact of the revision of medical fees; requests to postpone sales and delivery
activities due to the spread of infection by the new COVID-19 mutant strain “KP. 3”; and higher costs
due to further yen depreciation and other factors.

-4-Paramount Bed Holdings Co., Ltd. (7817)

2. Quarterly consolidated financial statements and significant notes thereto(1) Quarterly consolidated balance sheet(Millions of yen)
As of March 31, 2024
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Lease receivables and investments in leases
Securities
Merchandise and finished goods
Work in process
Raw materials and supplies
OtherAllowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, netLandLeased assets
Accumulated depreciation
Leased assets, net
Assets for rent
Accumulated depreciation
Assets for rent, net
Construction in progress
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Other
Total intangible assets
Investments and other assets
Investment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

*1
*1-5-

As of June 30, 2024

33,82830,382
6,525
12,918
7,069
397
2,729
1,730
(84)
95,49633,077
24,110
6,787
12,930
8,567
452
2,900
2,179(83)90,92333,165(23,401)
9,764
9,716
(8,378)
1,337
8,846
2,680
(1,201)
1,478
57,849(35,998)
21,851
562
11,986(10,156)
1,829
45,67034,017(23,688)
10,3289,864(8,511)
1,352
8,846
2,864
(1,189)1,674
59,454(37,053)
22,400403
12,248(10,388)
1,860
46,867

4,800
4,800

4,645
4,645

23,063
11,621(631)
34,052
84,523
180,020*1*1

23,768
11,635(663)
34,73986,253
177,176

Paramount Bed Holdings Co., Ltd. (7817)(Millions of yen)
As of March 31, 2024
Liabilities
Current liabilities
Notes and accounts payable - trade
Lease liabilities
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (and otherofficers)
Other
Total current liabilities
Non-current liabilities
Lease liabilities
Retirement benefit liability
Other
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
Valuation difference on available-for-sale securities
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-6-

As of June 30, 2024

12,185
1,362
2,678
1,740

11,486
1,400
381
813

24

–

6,905
24,897

6,459
20,542

4,602
7,484
7,020
19,10644,004

4,965
7,536
7,369
19,87040,412

4,207
51,91883,346(9,077)130,394

4,207
51,91882,960(9,077)130,008

1,903
3,894
(177)
5,620
0136,016
180,020

2,010
4,909
(166)
6,754
0136,763
177,176

Paramount Bed Holdings Co., Ltd. (7817)(2) Quarterly consolidated statement of income and quarterly consolidated statement ofcomprehensive income
Quarterly consolidated statement of income (cumulative)(Millions of yen)Three months ended
June 30, 2023
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Foreign exchange gains
Gain on investments in investment partnerships
Gain on investments in silent partnerships
Other
Total non-operating income
Non-operating expenses
Interest expenses
Loss on investments in silent partnerships
Provision of allowance for doubtful accounts
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on redemption of investment securities
Total extraordinary income
Extraordinary losses
Loss on redemption of investment securities
Loss on valuation of investment securities
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent-7-

Three months ended
June 30, 2024

24,31812,396
11,921
8,662
3,258

23,145
11,887
11,257
9,664
1,593

56
53
701
102
56
64
1,036

127
114
169
93
–
146
650

27–
84
5
117
4,178

37
28
32
9
107
2,136

19
19

49
49

–
4
4
4,192
902
431
1,333
2,859
0
2,859

0
3
4
2,181
170
444
615
1,566
0
1,566

Paramount Bed Holdings Co., Ltd. (7817)

Quarterly consolidated statement of comprehensive income (cumulative)(Millions of yen)Three months ended
June 30, 2023
ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests-8-

Three months ended
June 30, 2024

2,859

1,566

459
909
(11)
1,357
4,216

106
1,015
11
1,133
2,699

4,216

2,699

00Paramount Bed Holdings Co., Ltd. (7817)(3) Notes to quarterly consolidated financial statements
Notes on segment Information, etc.
Segment Information
I Three months ended June 30, 2023 (April 1, 2023 to June 30, 2023)
As the Group’s business consists of a single segment of healthcare-related business, segment
information has been omitted.
II Three months ended June 30, 2024 (April 1, 2024 to June 30, 2024)
As the Group’s business consists of a single segment of healthcare-related business, segment
information has been omitted.
Notes on significant changes in the amount of shareholders’ equity
Not applicable.
Notes on premise of going concern
Not applicable.
Notes on quarterly consolidated balance sheet*1. The amounts due to non-consolidated subsidiaries and affiliated companies are as follows(Millions of yen)
As of March 31, 2024

As of June 30, 2024

Investment securities (stocks)

2,582

2,692

Investment securities (other)
Others

1,099
0

1,198
–

2. Contingent liabilities
The Company guarantees the liabilities for borrowings from financial institutions as follows:(Millions of yen)
As of March 31, 2024
Employees (housing loan obligations)

As of June 30, 2024

99Notes on quarterly consolidated statement of cash flows
Quarterly consolidated statement of cash flows has not been prepared for the three months ended June30, 2024. Depreciation (including amortization related to intangible assets) for the three months ended
June 30, 2024 is as follows:(Millions of yen)Three months ended
June 30, 2023

Three months ended
June 30, 2024

2,244

2,580

Depreciation-9-