Note: This document is a translation of a part of the original Japanese version and provided for reference purposes only. In the event of any discrepancy
between the Japanese original and this English translation, the Japanese original shall prevail.

Consolidated Financial Results
for the Nine Months Ended December 31, 2023
[Japanese GAAP]
January 30, 2024
Company name: EIKEN CHEMICAL CO.,LTD.
Stock exchange listing: Tokyo
Code number: 4549
URL: https://www.eiken.co.jp
Representative: Tsugunori Notomi
President & CEO
Contact: Hajime Watari
Senior Vice President & Executive Officer
Phone: +81-3-5846-3379
Scheduled date of filing quarterly securities report: February 9, 2024
Scheduled date of commencing dividend payments: Availability of supplementary briefing material on quarterly financial results: Yes
Schedule of quarterly financial results briefing session: No(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Nine Months Ended December 31, 2023 (April 1, 2023 to December 31, 2023)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable toNet salesOperating profit
Ordinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Nine months ended
December 31, 2023
30,493(9.9)
3,417(51.2)
3,497(50.8)
2,571(52.0)
December 31, 2022
33,860
6.4
6,999
5.4
7,107
5.4
5,361
6.5
(Note) Comprehensive income:Nine months ended December 31, 2023: ¥2,594 million [(51.3) %]Nine months ended December 31, 2022: ¥5,325 million [4.7%]
Basic earnings
per share
Nine months ended
December 31, 2023December 31, 2022

Diluted earnings pershare
Yen

Yen

69.37
145.0468.79
143.85(2) Consolidated Financial Position
Total assets
Millions of yen
As ofDecember 31, 2023
65,195
March 31, 2023
66,275(Reference) Equity: As of December 31, 2023:
As of March 31, 2023:

Net assets

Capital adequacy ratio

Millions of yen¥¥50,271
49,53549,913 million
49,154 million

Net assets per share%

Yen

76.6
74.2

1,345.44
1,327.47

2. Dividends
Annual dividends
1stquarter-end

2ndquarter-end

3rdquarter-end

Yen

Yen

Yen

Yen

YenFiscal year ended March 31, 2023

-

24.00

-

27.00

51.00

Fiscal year ending March 31, 2024

-

25.00

26.00

51.00

Year-end

Fiscal year ending March 31, 2024
(Forecast)

Total(Note) Revision to the forecast for dividends announced most recently:
No(Note) Breakdown of the 3rd quarter dividend for the fiscal year ending March 31, 2024 :Commemorative dividend- yenSpecial dividend- yen
3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2024(April 1, 2023 to March 31, 2024)(% indicates changes from the previous corresponding period.)
Profit attributable to Basic earnings
Net sales
Operating profit
Ordinary profit
owners of parent
per share
Millions ofyen%Millions ofyen

Full year
40,500(6.4)
4,040 (45.8)(Note) Revision to the financial results forecast announced most recently:

4,130
Yes%

Millions ofyen%Millions ofyen%

Yen(45.4)

3,040(47.0)

82.45* Notes:(1) Changes in significant subsidiaries during the nine months ended December 31, 2023
(changes in specified subsidiaries resulting in changes in scope of consolidation):
NoNew(Company name:(Company name:Exclusion:(2) Accounting policies adopted specially for the preparation of quarterly consolidated financial statements:(3) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards: No
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(4) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):December 31, 2023:
41,041,438 shares
March 31, 2023:
43,541,438 shares
2) Number of treasury shares at the end of the period:
December 31, 2023:
3,943,508 shares
March 31, 2023:
6,512,625 shares
3) Average number of shares outstanding during the period:
Nine months ended December 31, 2023:
Nine months ended December 31, 2022:

37,071,051 shares
36,964,574 shares

)
)
Yes

Table of Contents - Attachments
1. Qualitative Information on the Third Quarter of the Fiscal Year Ending March 31, 2024 ........................2(1) Qualitative Information Regarding Consolidated Operating Results ....................................................2(2) Qualitative Information Regarding Consolidated Financial Position ....................................................2(3) Qualitative Information Regarding Forecasts for Consolidated Business Performance ........................3
2. Quarterly Consolidated Financial Statements and Principal Notes ...........................................................4(1) Quarterly Consolidated Balance Sheets .................................................................................................4(2) Quarterly Consolidated Statements of Income and Comprehensive Income ........................................6
Quarterly Consolidated Statements of IncomeNine months ended December 31, 2023 ........................................................................................6
Quarterly Consolidated Statements of Comprehensive Income
Nine months ended December 31, 2023 ........................................................................................7(3) Notes to Quarterly Consolidated Financial Statements .........................................................................8(Notes on going concern assumption) ................................................................................................8(Notes in case of significant changes in shareholders’ equity) ...........................................................8(Accounting policies adopted particularly for the preparation of quarterly consolidated financialstatements) ..........................................................................................................................................8(Significant subsequent events) ..........................................................................................................8― 1 ―1. Qualitative Information on the Third Quarter of the Fiscal Year Ending March 31, 2024
(1) Qualitative Information Regarding Consolidated Operating Results
During the nine months ended December 31, 2023, the Japanese economy progressed toward normalized
economic activities and gradually recovered owing to the reclassification of COVID-19 to a Class 5 infectious
disease under the Act on the Prevention of Infectious Diseases and Medical Care for Patients with Infectious
Diseases. Meanwhile, overseas economies remained unstable due to surging global resource prices and thecontinued yen depreciation against a backdrop of geopolitical uncertainty, including the protracted situation in
Ukraine as well as growing tensions in the Middle East.
The business environment became increasingly severe in the clinical diagnostics industry due to measures tocap medical expenses and rising costs such as for logistics and raw material procurement, etc., on account of yen
depreciation and high crude oil prices. Corporations are being forced to focus on greater cost competitiveness andto actively expand overseas.
In the context of this business environment, the Eiken Group is implementing key measures focused on thethree key business fields of “Contribution to cancer prevention and treatment,” “Contribution to the eradicationand control of infectious diseases,” and “Provision of products and services useful for health care” and striving toachieve sustainable growth and steadily enhance profitability for the Group as a whole, in accordance with theMedium-term Management Plan established based on the Group’s management framework “EIKEN ROAD MAP
2030.”In addition, as a Group with a mission to protect the health of people worldwide, the Eiken Group isaddressing issues not only in “Medical” but also in the “Environment,” “Society,” and “Governance.” Throughthis, we strive to further enhance our corporate value and achieve a sustainable society.
The net sales for the nine months ended December 31, 2023 declined to 30,493 million yen (down 9.9%year-on-year) due to sales of COVID-19 genetic testing reagents using the LAMP method decreasing significantly
following limited demand for genetic testing in response to the reclassification of COVID-19 under the Act on thePrevention of Infectious Diseases and Medical Care for Patients with Infectious Diseases. For net sales by productclass and type, sales of microbiological testing reagents increased to 3,339 million yen (up 9.6% year-on-year)
due to a substantial recovery of products related to infectious diseases other than COVID-19, particularly rapid
diagnosis kits and drug sensitivity testing reagents. As for urinalysis reagents, sales were 3,222 million yen (up3.9% year-on-year), with the domestic hospital market and the medical examination market having recovered topre-COVID-19 pandemic levels. Sales for immunological and serological reagents were 16,935 million yen (up5.6% year-on-year) due to fecal immunochemical test reagents recovering to pre-COVID-19 pandemic levels inthe domestic market, together with significantly increased sales in overseas markets. Sales for clinical chemistry
reagents were 454 million yen (down 2.3% year-on-year). Sales for the equipment and culture medium for foodand environment related category amounted to 1,489 million yen (down 9.6% year-on-year). Sales in othercategory (medical devices, genetic-related products, etc.) fell to 5,053 million yen (down 47.2% year-on-year)
due to a significant decrease in sales for COVID-19 detection reagents.
Overseas sales were 7,696 million yen (up 16.8% year-on-year) as sales for fecal immunochemical test
reagents increased significantly.
Regarding profit, operating profit was 3,417 million yen (down 51.2% year-on-year) due to decreases in salesof high-profit COVID-19 detection reagent products and income from patent rights for the LAMP method.
Ordinary profit was 3,497 million yen (down 50.8% year-on-year) while profit attributable to owners of parent
was 2,571 million yen (down 52.0% year-on-year).
(2) Qualitative Information Regarding Consolidated Financial Position
The financial position at the end of the third quarter of the consolidated accounting period under review was
as follows.
When compared to the end of the previous consolidated fiscal year, total assets decreased by 1,080 million
yen, liabilities decreased by 1,816 million yen, and net assets increased by 735 million yen.
Major increases and decreases in the category of assets include a decrease of 591 million yen in cash anddeposits and an increase of 1,505 million yen in notes and accounts receivable - trade, and contract assets. Inaddition, long-term time deposits declined by 1,100 million yen.
― 2 ―In the category of liabilities, income taxes payable decreased by 807 million yen and provision for bonuses
decreased by 445 million yen. In addition, other in current liabilities decreased by 803 million yen due toinvestment in facilities, etc.
In the category of net assets, capital surplus decreased by 183 million yen and the deduction of treasury
shares decreased by 1,221 million yen in line with the cancellation of treasury shares. In addition, despite having
recorded profit attributable to owners of parent, retained earnings decreased by 302 million yen due to the payment
of dividends and cancellation of treasury shares.
As a result of the above, the equity ratio increased to 76.6% from 74.2% at the end of the previous
consolidated fiscal year.

(3) Qualitative Information Regarding Forecasts for Consolidated Business Performance
For the consolidated financial results forecasts for the full year ending March 31, 2024, please refer to “Noticeof Revision to Financial Results Forecasts” announced on January 30, 2024.

― 3 ―2. Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheets(Millions of yen)
As of March 31, 2023

As of December 31, 2023

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade, and contract
assetsMerchandise and finished goods
Work in process18,317

17,726

11,122

12,627

4,739
1,940

4,632
1,916

Raw materials and supplies
Other

1,733
1,370

1,893
886

Allowance for doubtful accounts

(6)

(7)

39,21739,67425,36725,564

Accumulated depreciation(13,117)(13,576)

Buildings and structures, net

12,24911,987

Machinery, equipment and vehicles
Accumulated depreciation

7,155(5,765)

7,358(5,971)

1,390

1,386

5,027
(3,950)5,239(4,225)

1,076

1,013

1,928
329

1,928
295

Accumulated depreciation

(154)

(127)

Leased assets, net

174

168Construction in progress

382

426

Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures

Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Leased assets

17,202

16,912Intangible assets

Total property, plant and equipment

1,054

860

Investments and other assets
Long-term time deposits

4,900

3,800

Other
Allowance for doubtful accounts

3,936
(34)

3,971
(23)

Total investments and other assets

8,802

7,748

27,05825,52066,27565,195

Total non-current assets
Total assets― 4 ―(Millions of yen)
As of March 31, 2023

As of December 31, 2023

Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Income taxes payable
Provision for bonuses

4,685
2,933

4,516
3,318

827
766

19321

Other

3,230

2,427

Total current liabilities

12,443

10,603

Non-current liabilities
Bonds payable

3,000

3,000

Asset retirement obligations
Other34
1,261

35
1,285

Total non-current liabilities

4,296

4,321

16,74014,924

Shareholders' equity
Share capital

6,897

6,897

Capital surplus
Retained earnings

8,076
36,865

7,892
36,563

Treasury shares(3,095)(1,874)

Total shareholders' equity

48,74349,478

Total liabilities
Net assets

Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment

28

31

268

298

Remeasurements of defined benefit plans

115

104

Total accumulated other comprehensive income

411

434

Share acquisition rights
Total net assets
Total liabilities and net assets― 5 ―38035849,535

50,271

66,27565,195

(2) Quarterly Consolidated Statements of Income and Comprehensive Income
Quarterly Consolidated Statements of Income
Nine months ended December 31, 2023
(Millions of yen)
For the nine months
ended December 31, 2022

For the nine months
ended December 31, 2023

Net sales
Cost of sales

33,86017,31230,493
17,425Gross profit

16,547

13,068Selling, general and administrative expenses

9,548

9,650

Operating profit

6,999

3,417

Non-operating income
Interest income

136

Dividend income
Rental income

313414Compensation income for damage
Compensation income

3864Outsourcing service income
Subsidy income

9101010Foreign exchange gains
Other

924

1925

Total non-operating income

12895

Non-operating expenses
Interest expenses

1112

Compensation expenses
Other

623

Total non-operating expenses

20

15

7,107

3,497

Gain on sale of non-current assets
Gain on sale of investment securities

56

1-Total extraordinary income

56

1666

Ordinary profit
Extraordinary income

Extraordinary losses
Loss on sale and retirement of non-current assets

666

Profit before income taxes

Total extraordinary losses7,157

3,432

Income taxes

1,795860

Profit

5,361

2,571

Profit attributable to non-controlling interests
Profit attributable to owners of parent― 6 ―--

5,361

2,571

Quarterly Consolidated Statements of Comprehensive Income
Nine months ended December 31, 2023
(Millions of yen)
For the nine months
ended December 31, 2022
ProfitOther comprehensive income

For the nine months
ended December 31, 2023

5,361

2,571

Valuation difference on available-for-sale securities
Foreign currency translation adjustment

(8)
(14)

329

Remeasurements of defined benefit plans, net of tax

(13)

(10)

(36)

22

Comprehensive income

Total other comprehensive income

5,325

2,594

Comprehensive income attributable toComprehensive income attributable to owners ofparent
Comprehensive income attributable to non-controllinginterests

5,325

2,594--― 7 ―(3) Notes to Quarterly Consolidated Financial Statements(Notes on going concern assumption)
Not applicable.
(Notes in case of significant changes in shareholders’ equity)
Not applicable.
(Accounting policies adopted particularly for the preparation of quarterly consolidated financial statements)(Tax expense calculation)
Tax expenses on profit before income taxes are calculated by multiplying profit before income taxes by
the reasonably estimated effective tax rate for the consolidated fiscal year including the third quarter of theconsolidated accounting period under review after applying tax effect accounting.
(Significant subsequent events)(Purchase and retirement of treasury stock)
At a meeting of the Board of Directors held on January 30, 2024, the Company resolved matterspertaining to the purchase of treasury shares in accordance with Article 156 of the Companies Act as applied
pursuant to Article 165, Paragraph 3 of the same act, and also resolved to retire treasury shares in accordancewith Article 178 of the Companies Act.
1. Reasons for the purchase and retirement of treasury stock
We will purchase and retire treasury shares in a flexible manner to improve capital efficiency and tofurther return profits to shareholders, taking into consideration opportunities for investment in growth, capitalconditions, and market environment, including recent stock prices.
2. Details of the Board of Directors’ resolution on the purchase of treasury sharesCommon shares of the Company(1) Type of shares to be purchased
2,700,000 shares (maximum)(2) Total number of shares that may be(Ratio to the total number of issued shares, excluding
purchasedtreasury shares: 7.28%)
5,400,000,000 yen (maximum)(3) Total purchase cost(4) Purchase period(5) Purchase method

January 31, 2024 to June 30, 2024
(a) Purchases through the Tokyo Stock Exchange
Trading Network Off-Auction Own Share
Repurchase Trading System (ToSTNeT-3)(b) Market purchase on the Tokyo Stock Exchange

3. Details of the Board of Directors’ resolution on the retirement of treasury shares
Common shares of the Company(1) Type of shares to be retired
All treasury shares purchased through 2. above(Ratio to the total number of issued shares before(2) Total number of shares to be retired
retirement: 6.58%)
February 9, 2024: 1,000,000 shares; the monthfollowing the month in which the purchase iscompleted for the number of shares obtained by(3) Scheduled date of retirement
deducting 1,000,000 shares from the total number ofshares to be purchased in accordance with 2. above― 8 ―