Released on August 9 , 2024

Consolidated Financial Reportfor the Second Quarter 2024 (Unaudited)(Japan GAAP)
AnGes, Inc.
https://www.anges.co.jp/en/
Listings: Growth of the Tokyo Stock Exchange, Code 4563
Head Office: 7-7-15, Saito-Asagi, Ibaraki, Osaka, 567-0085, Japan(Figures are rounded down to the nearest million yen)
1. Business Results for the Second Quarter 2024 (From Jan. 1, 2024 to Jun. 30, 2024)(1) Results of Operations
2Q 2024
2Q 2023(Percentages indicate changes from the same period of the previous fiscal year)
Revenues
Operating loss
Ordinary loss
Net loss
Million yen%
Million yen%
Million yen%
Million yen%347 578.5(5,107)―(3,190)―(3,500)―51
60.7(5,951)―(4,776)―(4,830)―
2Q 2024 :*Comprehensive Income

Net loss per share
Yen(16.60)(26.09)2Q 2024
2Q 2023(2,533) million yen

Total net assets

Jun. 30, 2024
Dec. 31, 2023

Million yen
27,67528,892*Shareholder's equity

Jun. 30, 2024 :.

(3,635) million yen

Diluted net loss
per shareYen――(2) Financial Position
Total assets

2Q 2023 :Shareholders'equity ratio

Million yen
25,477
26,10325,388 million yen%
91.7
90.0
Dec. 31, 2023 :26,007 million yen

2. Dividend
Dividend per share
1Q
FY 2023
FY 2024 (Forecast)
FY 2024 (Forecast)

Yen
―
―

2Q
Yen
0.00
0.00

3Q
Yen
―

4Q
Full-year
Yen
Yen
0.00
0.00

―

0.00

0.00

3. Earnings Forecast for the Fiscal Year 2024 (From Jan. 1, 2024 to Dec. 31, 2024)
Revenues
Operating loss
Ordinary loss
Net loss
Million yen%
Million yen%
Million yen%
Million yen
600 292.2(8,450)―(8,450)―(8,650)
Full-year*Change of earnings forecast from the most recent release:None-1-%―

Net loss per shareYen(38.58)

Notes:(1) Change of reporting entities (change of condition of significant consolidated subsidiaries)(2) Accounting procedure peculiar to the quarterly consolidated financial statements(3) Change of significant accounting and reporting policies for consolidated financial statements
1) Changes caused by revision of accounting standard: None2) Changes in accounting policies other than 1): None3) Changes in accounting estimates: None4) Restatement: None(4) Number of shares issued and outstanding (common stock)1) Number of shares issued and237,368,550 shares Dec. 31, 2023
Jun. 30, 2024
outstanding (including treasury shares)
2) Number of treasury shares

Jun. 30, 2024

3) Average number of shares issued andoutstanding

2Q 2024143 shares
210,924,458 sharesDec. 31, 2023
2Q 2023: None: None

198,470,300 shares
92 shares
185,101,985 shares*Performance forecasts or any other future events contained in this report are based on currently available information
which are believed to be reasonable at the time of forecasts. Actual results may differ from the forecasts due to variousfactors.
**This financial report has been translated from Japanese original which has been prepared in accordance with generally
accepted accounting principles in Japan, for reference purposes only. Also some changes are added to this report inorder to present in a form more familiar to the readers outside Japan.

-2-AnGes, Inc
Consolidated Balance Sheets(In thousands of yen)
(Unaudited)
December 31,2023
AssetsCurrent assets
Cash and deposits
Accounts receivable - trade
Merchandise
Finished goods
Raw materials and supplies
Advance payments to suppliers
Prepaid expenses
Consumption taxes refund receivable
Other
Total current assets
Non-current assets
Property, plant and equipment
Buildings
Accumulated depreciation
Buildings, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Right of use asset
Total property, plant and equipment
Intangible assets
Goodwill
Total intangible assets
Investments and other assets
Investment securities
Leasehold and guarantee deposits
Deferred tax assets
OtherTotal investments and other assets
Total non-current assets
Total assets-3-June 30,2024

4,160,424
26,53497,655
1,468,481
49,67485,90632,5995,921,276

1,820,743
200,439
213,9660
1,088,779
66,056
82,686102,624
15,8553,591,152

220,842(135,121)
85,721
149,893(80,224)
69,669267,728
423,118

220,888(138,748)
82,140165,756(98,298)
67,457142,049
291,646

21,746,086
21,746,086

22,943,638
22,943,638

355,545
102,056
342,9441,509
802,055
22,971,260
28,892,536

407,392
99,952
340,467
1,228
849,041
24,084,326
27,675,479

AnGes, Inc
Consolidated Balance Sheets(In thousands of yen)
(Unaudited)
December 31,2023
Liabilities
Current liabilities
Accounts payable - trade
Accounts payable - otherAccrued expenses
Provision for business restructuring
Accrued consumption taxes
Income taxes payable
Advances received
Deposits received
Lease liabilities
Total current liabilities
Non-current liabilities
Deferred tax liabilities
Asset retirement obligations
Lease 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
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Share acquisition rights
Total net assets
Total liabilities and net assets-4-June 30,2024

426,447
474,522
36,947558,129
93,258103,147
637,550
15,434
147,726
2,493,163

280,196308,935
45,111
306,013
173,873
638,200
14,685
161,956
1,928,972

16,82764,430214,949
296,2072,789,370

31,07564,487
173,636
269,198
2,198,170

35,053,890
3,423,721(18,385,610)(31)
20,091,969

35,990,100
4,401,780(21,886,081)(33)
18,505,765

24,757
5,891,202
5,915,960
95,236
26,103,166
28,892,536

57,116
6,826,009
6,883,126
88,41725,477,308
27,675,479

AnGes, Inc
Consolidated Statements of Operations(In thousands of yen)
(Unaudited)
The Second Quarter(From Jan. 1 to Jun.30)
2023
2024
Business revenues
Net sales of goods
Net sales of finished goodsCommission income
Research and development revenues
Total business revenues
Business expenses
Cost of sales
Research and development expenses
Selling, general and administrative expenses
Total business expenses
Operating loss
Non-operating income
Interest income
Foreign exchange gains
Subsidy income
Commission income
Gain on investments in investment partnerships
Miscellaneous income
Total non-operating income
Non-operating expenses
Share issuance costs
Loss on investments in investment partnerships
Total non-operating expenses
Ordinary loss
Extraordinary income
Gain on reversal of share acquisition rights
Total extraordinary income
Extraordinary losses
Loss on valuation of investment securities
Business restructuring expenses
Total extraordinary losses
Loss before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Loss
Loss attributable to owners of parent-5-

11,57539,65051,226

151,940
11,623
107,832
76,180347,576

58,333
3,164,114
2,780,025
6,002,473(5,951,247)

199,826
2,245,721
3,009,988
5,455,536(5,107,959)

7,674
1,089,771
74,256
4,175
6,511
0
1,182,390

2,457
1,916,143
27,9163,172
1,949,690

7,770
7,770
(4,776,627)

30,358
1,765
32,124(3,190,393)

-

3,096
3,096

1,117
1,117
(4,777,745)
54,211(1,922)52,289(4,830,034)(4,830,034)

230,711230,711(3,418,009)
43,70938,751
82,461(3,500,471)(3,500,471)

AnGes, Inc
Consolidated Statements of Comprehensive Income(In thousands of yen)
(Unaudited)
The Second Quarter(From Jan. 1 to Jun.30)
2023
2024
(4,830,034)(3,500,471)

Loss
Other comprehensive income
Valuation difference on available-for-sale securitiesForeign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to:owners of parent
non-controlling interests-6-

17,4791,177,403
1,194,883(3,635,151)

32,358934,806
967,165(2,533,305)(3,635,151)－(2,533,305)－

AnGes, Inc
Consolidated Statements of Cash Flows(In thousands of yen)
(Unaudited)
The Second Quarter(From Jan. 1 to Jun.30)
2023
2024
Cash flows from operating activities
Loss before income taxes
Depreciation
Amortization of goodwill
Interest income
Foreign exchange losses (gains)Loss (gain) on investments in investment partnerships
Loss (gain) on valuation of investment securities
Share issuance costs
Share-based payment expenses
Gain on reversal of share acquisition rights
Business restructuring expenses
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Decrease (increase) in advance payments to suppliers
Increase (decrease) in accrued or
accrued consumption taxes
Increase (decrease) in accounts payable - other
Increase (decrease) in accrued expenses
Increase (decrease) in provision for business restructuring
Increase (decrease) in advances received
Decrease (increase) in other current assets
Decrease (increase) in other non-current assets
Increase (decrease) in other current liabilities
Increase (decrease) in other non-current liabilities
SubtotalInterest received
Income taxes paid
Net cash provided by (used in) operating activities-7-(4,777,745)
12,2391,478,485(7,674)(1,046,977)(6,511)
1,117
7,770
33,373(13,260)(537,025)(93,680)
32,210(3,418,009)
23,414
1,668,731(2,457)(1,896,578)
1,765
30,3283,611(3,096)91,997(173,904)
263,389(163,052)(16,381)294,139(195,854)(72,830)
26,751
637,550
23,492(1,548)(87,417)(54,420)(4,151,961)
7,674(54,115)(4,198,402)(194,497)
3,653(310,270)
650
23,67735,701(5,374)(4,232,554)
2,457(21,701)(4,251,798)

AnGes, Inc
Consolidated Statements of Cash Flows(In thousands of yen)
(Unaudited)
The Second Quarter(From Jan. 1 to Jun.30)
2023
2024
Cash flows from investing activitiesPayments into restricted cash
Purchase of property, plant and equipment
Purchase of investment securities
Proceeds from distributions from investment partnerships
Proceeds from refund of leasehold and guarantee deposits
Net cash provided by (used in) investing activities
Cash flows from financing activities
Proceeds from issuance of shares resulting fromexercise of share acquisition rights
Proceeds from exercise of employee share options
Purchase of treasury shares
Proceeds from issuance of share acquisition rights
Proceeds from issuance of convertible bond-type bonds
with subscription rights to shares
Payments for retirement by purchase ofshare acquisition rights
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-(47,189)(275,679)
8,339
122(314,407)(51,232)(16,575)(7,000)3,265(71,541)

1,060,894

533,142-12(2)15,915-1,300,000(5,159)(5,807)

1,055,735
185,703(3,271,370)
10,969,684
7,698,313

1,843,260
79,340(2,400,738)
4,092,160
1,691,421

Main pipeline products
Approval process
ProjectAreaJapan

Partner
Mitsubishi Tanabe
Pharma Corporation(JP)DosageForm

Indication

Development stage

Injection

Chronic arterial occlusive
disease with lower limb ulcer

Preparing for application

Injection

Arteriosclerosis obliteranswith lower limb ulcer

Phase Ⅱb CompletedMarketing Rights

USA
HGF genetherapy productMitsubishi Tanabe
Pharma Corporation(JP)Marketing Rights

IsraelKamada

Injection

Chronic arterial occlusive
disease with lower limb ulcer―Turkey

Er-KimInjection

Chronic arterial occlusive
disease with lower limb ulcer―NF-κB
Decoy
Oligonucleotide

Japan-Injection

Chronic disconegic
lumber back pain

Phase ⅡDNA Vaccine

Australia-

Injection

Hypertension

Phase Ⅰ/Ⅱa
Completed

DNA Vaccine

USA-

Intranasal
formulation

Novel coronavirus(COVID-19)

Pre-clinicalTie2 agonists

USAVasomune(Canada)Injection

Novel coronavirus(COVID-19)/ARDS

Phase ⅡaJapan

Eiger
(USA)

CapsulePremature aging diseases(Hutchinson-Gilford
progeria syndrome/Progeroid laminopathies)

Approved

Zokinvy(Lonafarnib)

EmendoBio's pipeline
Project

Development ofgenome editingIndication

Development stage

Severe Congenital Neutropenia

IND-enabling

Diseases in hematology, ophthalmology, immuno-oncology, etc.

Pre-clinical

AreaUSA* https://www.emendobio.com/our-science/pipeline/-9-