Fiscal Year Ending
March 2022
FINANCIAL RESULTS BRIEFING

2022.5.25

JEOL Ltd.

Becoming a niche top company supporting
science and technology in the world
Company Philosophy
On the basis of "Creativity" and "Research andDevelopment", JEOL positively challenges the world's
highest technology, thus forever contributing to the progressin both Science and Human Society through its products.

Vision“Evolving in the 70th Year”
Accelerate business expansion and achieve evenhigher profitability based on our unique technologies
and human networks which have been developedsince the company's founding.

Mid-Term Management Plan

“Evolving Growth Plan”
We aim to improve customer satisfaction byenhancing our R&D, manufacturing, and service
capabilities.

Promote Innovation by co-creation2

• Expand business scale and achieve higher profitability

Industrial equipment

Medical equipment

Electron beam sources

Clinical Biochemistry
Analyzers
Immuno-assay system

qNMR method

CRYO ARM™

3D printing

Service
Contracted
analysis
Environmental
Engineering
Re-use3

Semiconductor equipment

EB mask writer
EB direct writer
Semiconductor TEM

4

FY2021 Results

Recorded the highest sales and profit
Achieved the targets of mid-term management plan,“Triangle Plan 2022”

Strong SE Business

Sales of EB lithography system continue to increase

FY2022 Forecast

Net sales 152.5 billion yen, operating profit 19.5 billion yen
ordinary profit 18.8 billion yen, net profit 13.7 billion yen

New Mid-Term
Management Plan
Evolving Growth Plan
- Overview

Achieve business scale expansion and even higher profitability
by further advancing our growth vision, “Evolving in the 70th
Year”

New Mid-Term
Management Plan
Evolving Growth Plan
- Initiatives

1. Build barriers to entry and improve profitability
2. Expand business in growing markets such as semiconductors,
drug discovery, batteries, etc.

INDEX
1. FY2021 Result and FY2022 Forecast
2. Overview of New Mid-Term Management Plan
“Evolving Growth Plan"
2-1. Scientific/metrology instruments
2-2 . Industrial equipment

2-3 . Medical equipment

3. Summary51. FY2021 Result and FY2022 Forecast

Consolidated net sales138.4 billion yen, Operating profit 14.1 billion yen,
Ordinary profit 16.3 billion yen, Net profit 12.3 billion yen
Consolidated figures (P/L)

1 Net sales

FY21 FullYear Result (2)Year-on-Year(2)ー(1)

1,104

1,384

280
155

(A) Positive factors-1.2（%)

1. Sales volume increase

125
89

2. Exchange margin

31

Sales cost

675

830

3

(Cost rate)61.2（%）

60.0（%）

4 Gross profit

429

554

125

5

SGA

296

327

31

6

R&D cost

81

85

5

7

SGA total

377

412

36

8 Operating profit

52

141

89

9

Non-operating income

16

24

8

10

Non-operating expenses

3

3

0

11 Ordinary profit

66

163

98

12

Extraordinary income

1

4

3

13

Extraordinary loss

11

1

-10

14 Net profit before tax

56

167

110

15

19

44

25

37

123

85

Exchange rate(1$=)

¥ 106

¥ 113

Exchange rate (1€=)

¥ 124

¥ 131

Corporate taxes

Factors for fluctuating ordinary
profit (year-on-year)

FY20 FullYear Result (1)2

16 Net profit

7(100 million JPY)

(100 million JPY)

(yen depreciation)

3. Improved cost rate, etc.

5(B) Negative factors-36

1. Increased SGA-31

2. Increased R&D cost-5(A)+(B)

89

Achieved all “Triangle Plan 2022" targets;
Consolidated net sales 134 billion yen,
Consolidated ordinary profit 10 billion yen,
ROE10% or higher

Consolidated net sales152.5 billion yen, Operating profit 19.5 billion yen,
Ordinary profit 18.8 billion yen/Net profit 13.7 billion yen
Consolidated figures (P/L)(100 million JPY)

FY20 FullYear Result

1 Net sales

Year-on-Year(2)-(1)

Factors for fluctuating ordinary
profit (year-on-year)(100 million JPY)

1,104

1,384

1,525

141
47

2

Sales cost

675

830

877

3

(Cost rate)61.2（%）

60.0（%）

57.5（%）-2.5（%)

4 Gross profit

429

554

648

95

5

SGA

296

327

345

18

6

R&D costs

81

85

108

23

7

SGA total

377

412

453

41

8 Operating profit

52

141

195

54

9

Non-operating income

16

24

5

-19

10

Non-operating expenses

3

3

12

9

66

163

188

25

12

Extraordinary income

1

4

0

-4

13

Extraordinary losses

11

1

2

1

14 Net profit before taxes

56

167

186

19

Corporate taxes

19

44

49

5

37

123

137

14

Exchange rate(1$=)

¥ 106

¥ 113

¥ 115

Exchange rate(1€=)

¥ 124

¥ 131

¥ 130

11 Ordinary profit

15

16 Net profit

8

FY21 Full
FY22 FullYear Result (1) Year Result (2)(A)Positive factor
1. Sales volume increase

2. Improved cost rate, etc.
3. Exchange margin

95
51

34

(yen depreciation)

10(B)Negative factor-41

1. R&D cost increase-23

2. SGA increase-18(A)+(B)54

Ordinary profit analysis

Improved
cost, etc.

(100 million JPY)

Exchange
margin(weak yen)

+10

+34
Sales
volumeincrease

Exchange
Improved
margincost, etc.
(weak yen)

+31

+51

+5

-23
Increased
R&D cost-18
Increased
SGA

Sales
volumeincrease

+89
-31

-5

Increased
Increased
SGA
R&D cost

FY22
Forecast
FY21
Result141
FY20
Result52

9195

(100 million JPY)

Company Total

10

Net sales
Operating profit
Ordinary profit
Net profit

FY2020

FY2021

FY2022Full-year result

Full-year result

Full-year forecast

1,104

1,384

1,525

52

141

195

66

163

188

37

123

137

Scientific/Metrology
Instruments

Net sales

706

851

902

Operating profit

12

48

56

Industrial
Equipment

Net sales

240

340

442

Operating profit

73

131

180

MedicalEquipment

Net sales

159

193

181

Operating profit

9

11

12

Company Total

Expense

42

49

53

Exchange rate(1$=)

¥ 106

¥ 113

¥ 115

Exchange rate(1€=)

¥ 124

¥ 131

¥ 130

（100 million JPY）

(Consolidated)

FY20

FY21

FY22

Full-year result

Full-year result

Full-year forecast

Transition of Consolidated Orders, Sales and Backlog

1 Inventory
２
3

Interest-bearing debt

Total assets
Net assets

4 (capital-to-asset)

573

591

573

327

166

115

1800
1600

1,464

1,896

1,800

510 (34.8%) 859 (45.3%) 965 (53.6%)

1400
1200

1000

5 Dividend (JPY)

24

50

60

6 Capital investment

76

69

70

800
600
400

36

41

46

8 Consolidated

1,226

1,712

1,750

9 Consolidated

608

936

1,161

7 Depreciation cost
Orders received
Order backlog

10 Overseas sales ratio

11

63.5%

63.4%

200
0

FY16
result

FY17
result

FY18
resultOrder
Received

65.0%

FY19
resultsales

FY20
resultOrderbacklog

FY21
resultOrders continue to be strong, and measures are being taken to minimize the impact of parts and materials shortage
Overview

University andGovernmental
DemandScientific andMetrology
Instruments

Good

Private Demand(Semiconductor)

Very goodPrivate Demand(other industries)

Industrial
Equipment

MedicalEquipment

12

Lithography
System Market
EB Source
MarketGood

ExcellentReceiving inquiries due to stimulus budget in FY22 (Japan)
Demands in Europe & USA have been recovered
Chinese market remains active, but affected by COVID-19 (lockdown in Shanghai)
Movement to strengthen research infrastructure in each countries
Strong inquiries for TEM, especially in Taiwan, Korea and China
Higher demands for electron microscopes (TEM, SEM, EPMA) due tominiaturization and complexity of products
Overall, capital investment is active
R&D investment for next-generation batteries is on the rise
Impact of Ukraine-Russia War has not been seen yet

Demand for multi-beam mask lithography systems increases along with the shift to EUVMarket for spot beam lithography systems for production use (e.g., for DFB lasers) isalso expanding with the spread of 5G

Significant increase in inquiries for deflector e-beam source
Very good

Demand of biochemistry analyzer is recovering

Japan
Fair

Overseas
MarketGood

Orders and sales for Siemens revived
Orders and sales for China increased

2. Overview of New Mid-Term Management Plan
”Evolving Growth Plan”

Accelerate business scale expansion and achieve higher profitability by further implementing the “Evolving in 70thYear”, the basic vision of the previous medium-term management plan, “Triangle Plan 2022”
1.

The concept of Growth Vision, “Evolving in the 70th Year”, remains unchanged
Accelerate business expansion and achieve even higher profitability based on our unique technologies and human
networks which have been developed since the company's founding

2.

Strengthen and develop YOKOGUSHI strategy
Provide higher-added value to our customers by developing our YOKOGUSHI strategy further not only into productdevelopment, but also into business development and data utilization

3.

Approaches for high-profitability
Company-wide efforts to build the barriers to entry, improve profitability, and strengthen business support

4.

Achieve 3 Growths of value for customers, employees & human resources, and sales & profit
Achieve well-balanced growth to expand business scale

5.

Commitment to the SDGs
Engage materiality (important social issues) from two perspectives: business activities and ESG activities

We will achieve sales of 170 billion yen, operating profit of 24 billion yen in FY2024
14

• Expand business scale and achieve higher profitability

Industrial equipment

Medical equipment

Electron beam sources

Clinical Biochemistry
Analyzers
Immuno-assay system

qNMR method

CRYO ARM™

3D printing

Service
Contracted
analysis
Environmental
Engineering
Re-use15

Semiconductor equipment

EB mask writer
EB direct writer
Semiconductor TEM

Promote Innovation by co-creation

Improve and strengthen for higher profitability

GlobalSingle Cell
Environmental
Analysis
Infection
Analysis
Quantum
Nano
ControlTechnology
Material
Measures
5G/6G
Structural
Element
Food
Life Science
Infrastructure
Strategy
AnalysisNEXT
Drug
Sustainable
Generation
Development
Next
Material
Hydrogen- Semiconductor
Generation
Forensic
based
Metabolome
Light-Emitting
Science
Society
Element
GreenTechnology

Innovative
Battery

DX Platform

Solutions
Research
Environment
Development

16

PresalesServices

Subscription
Offering

Aftersales
Services

R＆D
SupportTailoredApplication
Support170 billion yen in sales, 24 billion yen in operating profit, and 14.1% in operating profit margin
ROE of 10% or higher

PL
Items

FY 2021
ResultFY2022Plan

FY2024
TargetNet Sales

138.4 billion yen

152.5 billion yen

170 billion yen

Operating profit(Operating profit margin)

14.1 billion yen(10.2%)

19.5 billion yen

24 billion yen(12.8%)(14.1%)

Ordinary profit(Ordinary profit margin)

16.3 billion yen

18.8 billion yen

24 billion yen(11.8%)(12.3%)(14.1%)Net profit attributable to12.3 billion yen

13.7 billion yen

17.5 billion yen

1＄=113 Yen

1＄=115 Yen

owners of the parent
Exchange rate
assumption17

1＄=115 Yen

Net Sales/Operating Profit Transition(100 million JPY)

Consolidated
net sales

OperatingprofitOperatingprofit margin(Operating profit margin)
40％

2000

Triangle Plan

Triangle Plan 2022

Evolving Growth Plan
1,700

1750

35％

1,525
1500

30%

1,384

1250

1,172

1,113

25%

1,104

1,046

997

20%

1000

750

10.2%

12.8%

14.1% 15%
10%

500

6.0%
250

3.8%
2.1%

67

6.0%

4.7%
141

70

195

240

52

21

39

FY16
Result

FY17
Result

FY18
ResultFY19
Result

FY20
ResultFY21
Result

FY22
Plan

FY24
Target

¥ 111

¥ 111

¥ 109

¥ 106

¥ 113

¥ 115

¥ 115

0%

0

Exchange rate (1$=Yen)

¥ 109
18

5%

(100 million JPY)

FY 2021
ResultScientific andMetrology
Instruments

Net sales
PL Item Operating profit ※(Operating profit margin)

Net sales
Industrial
Equipment

PL Item Operating profit ※(Operating profit margin)

Net sales
MedicalEquipment

PL Item Operating profit ※(Operating profit margin)

FY 2022
Forecast

FY 2024
Target851
48(5.7%)

902
56(6.2%)

992
91(9.2%)

340
131(38.5%)

442
180(40.7%)

515
213(41.3%)

193
11（5.7%)

181
12(6.6%)

193
18(9.5%)

49

53

57※Before allocation of corporate expenses

Corporate Expenses※Separate strategy expense of 2.5 billion yen is expected in FY2024.

19

Scientific and Metrology Instruments◼

Provide highly competitive solutions based on YOKOGUSHI strategy for growing markets(semiconductor, drug discovery, battery, etc.)◼

Increase added value to customers through integrated operation of sales and service

Industrial Equipment◼

Expand business by meeting market demands for mask lithography systems and spot beamlithography systems, which continue to grow along with the growth of the semiconductor industry◼

Continue to provide competitive solutions in cooperation with IMS, our business partner

Medical Equipment

20◼

Continue to expand business by focusing on overseas market development◼

Improve cost ratio by implementing IoT system and through cost reduction activities

2-1.

Scientific and Metrology Instruments

Net Sales/Operating Profit Transition(100 million JPY)
1500

Consolidated
net sales

Operatingprofit(Operating profit margin)

Operating profit
margin30％

Triangle Plan

Triangle Plan 2022

Evolving Growth Plan
25%

1250

992

1000

851
776
750

766
15%

706

685

665

20%

902

9.2%

500

5.7%

5.0%

250

1.9%

3.5%

1.6%
39

27

6.2%
5%

1.7%
12

48

56

91

13

11

FY16
Result

FY17
Result

FY18
ResultFY19
Result

FY20
ResultFY21
Result

FY22
Forecast

FY24
Target

¥ 111

¥ 111

¥ 109

¥ 106

¥ 113

¥ 115

¥ 115

0%

0

Exchange rate (1$= Yen)
¥ 109
22

10%

"Recent progress and future perspective of electron cryomicroscopy for structural life sciences" by Dr. Keiichi Namba, aprofessor at Osaka University was published in ‘Microscopy Volume 71, Issue Supplement (2022),’ which introduced thesignificant improvement in throughput of CryoARM™.
History of improvement in CyroEM data collection throughput

JEOL

23

Thermo Fisher ScientificSource: JEOL news Vol.54 No.1, 2022
https://www.jeol.co.jp/en/download_jeolnews.html

Observation & analysis with electron microscope requires disassembling battery, but they provide more material information.
Batteries using sulfide solid electrolytes contain lithium and sulfur require to handle without air exposure to avoid alteration ofmaterials. JEOL microscopes and sample preparation equipment allow to enable transfer of specimens without air exposure.

Air-isolation transferring

SEM
Observation& Analysis

Lithium Ion Battery Basic Structure

EPMA
Observation& Analysis

AES
Observation& Analysis

XPS
Observation& Analysis

Positive
electrodematerials

Separator

Negative Electrolyte
electrodematerials

Solid-State Battery Basic Structure

Air-isolatedcooling CP

FIB
Thinning

24

Cross Section
Ion Milling

TEM
Observation
Negative
electrodematerials

Solidelectrolyte

ionic
conductor

Positive
electrodematerials

The first unit was installed at Omura Satoshi Memorial Institute, Kitasato University in Japan. Inquiries have been strong.

Successful structural analysis ofIvermectin by using Synergy-ED

25

Direct observation of magnetic field generating around an atom, the origin of magnetism, was extremely difficult.
Direct observation of atomic magnetic fields has been successfully achieved with the newly developed atomicresolution magnetic field-free electron microscope.
This new measuring technology is expected to strongly promote basic research on clarification of magnetism
indicated by substance and research and development of the most advanced materials including magnets, steel,semiconductor devices, and quantum technology.

Joint development by the University of Tokyo and JEOL Ltd. funded by the
JST Development of Advanced Measurement and Analysis Systems
programAppearance of hematite (α-Fe2O3) crystal, and schematic diagramof atomic structure and Fe atom magnetic moment(arrow) at room
temperature.

Newly developed ultra-sensitive, high-speed, split-type detector(left) Atomic resolution magnetic-field-free electron microscope(center) New detector equipped beneath the electron microscope(right) Detected surface divided into 40 detection areas
Atomic structure image and magnetic field image of hematite (α-Fe2O3)26

Received order of 800MHZ NMR with our cryo probe from NJ Biopharmaceuticals LLC (NJ Bio)
NJ Bio is a U.S. contract research organization (CRO) that has earned a strong reputation for its researchservices involving the latest modalities, including winning the Best Contract Research Provider Award at the2021 Annual World ADC Awards. Developing a platform for the optimization of targeted protein degrader (TPD),
particularly using structural information from NMR.

27

2-2. Industrial Equipment

Net Sales/Operating Profit Transition(100 million JPY)
600

Consolidated
Net Sales

Operatingprofit(Operating profit margin)

Operating profit
margin60％

Triangle Plan

Triangle Plan 2022

Evolving Growth Plan
515
50%

500

442
41.3%

38.5%

400

40%

40.7%
28.4%

300

30.0%

238
167

340
30.3%
30%

23.3%
200

30.9%

240

213
180

166

20%

131

116
74

100

48

10%

73

50

27
0%

0

FY16
Result

FY17
Result

FY18
ResultFY19
Result

FY20
ResultFY21
Result

FY22
Plan

FY24
Target

¥ 111

¥ 111

¥ 109

¥ 106

¥ 113

¥ 115

¥ 115

Exchange rate(1$= Yen)
¥ 109
29

First shipment of multi-beam mask writer platform which is manufactured in Musashimurayama Works took place in May

Maximum production capacity of multi-beam mask writer

Up to30 units※(units//year)30

20※ Maximum production capacity of multi-beammask lithography systems (production
capacity differs for single-beam and spot-

10 units※

beam lithography systems)

10

0

Now

From October 2021

Responding to growing demand for multi-beam mask
writerSupport for production of single-beam mask writer andspot beam lithography equipment which demand isstrong as well30

Many inquiries have been received. The first equipment will be installed at the university in Japan.

Our Electron Beam Metal 3D Printer receives the Japan Power Award at the 64th Ten Greatest New Products Awards
Recent modeling results

Heat sink(material: pure copper)

Impeller(Material: Nickel-based superalloy 718)

31

Left: Mr. Haruhiro Imizu,
a president of THE NIKKAN KOGYO SHIMBUN, LTD.
Right: Mr. Izumi Oi, President & COO of JEOL Ltd.
（Photo courtesy of NIKKAN KOGYO SHIMBUN, LTD.）

Impeller with shroud(Material: Nickel-based superalloy 718)）

2-3. Medical Equipment

Net Sales and Operating Profit Transition(100 million JPY)
300

Consolidated
Net Sales

Operating
Profit(Operating profit margin)

Operating Profit
Margin15％

Triangle Plan
11.7%

Triangle Plan 2022

Evolving Growth Plan

11.5%

216
200

194

193

193

10.0%

171

168 8.4%

10%

181
9.5%

159
6.6%
6.0%

5.7%
5%

100

22

23

20

14

9

11

12

18
0%

0

FY16
Result

FY17
Result

FY18
ResultFY19
Result

FY20
ResultFY21
Result

FY22
Plan

FY24
Target

¥ 111

¥ 111

¥ 109

¥ 106

¥ 113

¥ 115

¥ 115

Exchange rate(1$=Yen)
¥ 109
33

Continue to expand into global markets, especially emerging countries

SIEMENS

Fujirebio

HoribaFeatures of JEOL Equipment :SysmexMicro volume sample & reagent/High throughput

DiaSys34

3. Summary

36

Note on document handling
Information provided by this document and presented orally by our representative contains assumptions and beliefs basedon data currently available.
Readers should be aware that actual results could differ materially from this outlook due to various known and unknown
factors that impact our performance such as economic trends, upturn or downturn in the semiconductor industry, andchanges in R&D spending.

Ⓒ 2022 JEOL