Kaken Pharmaceutical : Reference Data of Financial Statements Fiscal 2022

Consolidated Financial Results for Fiscal 2022

(Reference Data of Consolidated Financial Results)

May 10, 2023

KAKEN PHARMACEUTICAL CO., LTD.

Corporate Communications

Tel: [phone]

Fax: [phone]

Email: [e-mail]

1. Summary of Consolidated Financial Statements for Fiscal 2022
				(amounts are rounded down to the nearest million Yen)
	FY	FY	FY	Change		Plan	Change
	2020	2021	2022	Yen	%	FY2023	Yen	%
Net sales	74,979	76,034	72,984	(3,049)	96.0%	73,100	116	100.2%
Operating profit	17,788	17,064	7,998	(9,065)	46.9%	7,600	(398)	95.0%
Ratio to net sales	23.7%	22.4%	11.0%			10.4%
Ordinary profit	18,222	17,542	8,727	(8,815)	49.7%	8,000	(727)	91.7%
Ratio to net sales	24.3%	23.1%	12.0%			10.9%
Profit	13,405	9,549	5,440	(4,108)	57.0%	6,700	1,260	123.2%
Ratio to net sales	17.9%	12.6%	7.5%			9.2%
Per share profit (Yen)	347.37	251.43	144.80			178.80
ROE	10.1%	7.0%	4.0%
Comprehensive income	16,532	9,563	5,475	(4,088)	57.3%

Capital expenditures	2,136	3,510	1,968	(1,541)	56.1%	2,100	132	106.7%
R&D expenses	6,736	8,420	15,789	7,369	187.5%	15,100	(689)	95.6%
Depreciation and amortization	2,318	2,481	2,546	65	102.7%	2,700	154	106.0%

Number of employees

1,215

1,164

1,130

(34)

2. Consolidated Net Sales by Segment

(amounts are rounded down to the nearest million Yen)

	FY	FY	FY	Change
	2020	2021	2022
	Yen		%
Pharmaceuticals,
medical devices &	72,614	73,623	70,562	(3,061)		95.8%
agrochemicals
Real estate business	2,365	2,410	2,422	11		100.5%
Total	74,979	76,034	72,984	(3,049)		96.0%

2

KAKEN PHARMACEUTICAL CO., LTD.

3. Summary of Consolidated Balance Sheets

(amounts are rounded down to the nearest million Yen)

	As of		As of		As of		YoY
	March 31,	Ratio	March 31,	Ratio	March 31,	Ratio	Increase
	2021		2022		2023		(Decrease)
Total assets	163,332	100.0%	165,181	100.0%	166,328	100.0%	1,147
Current assets	113,662	69.6%	110,613	67.0%	109,903	66.1%	(710)
Non-current assets	49,669	30.4%	54,567	33.0%	56,425	33.9%	1,857
Total liabilities	27,074	16.6%	26,855	16.3%	29,491	17.7%	2,636
Current liabilities	21,276	13.0%	19,049	11.5%	20,838	12.5%	1,789
Non-current liabilities	5,798	3.6%	7,806	4.7%	8,653	5.2%	846
Total net assets	128,468	78.7%	138,325	83.7%	136,836	82.3%	(1,489)
Capital stock	23,853	14.6%	23,853	14.4%	23,853	14.3%	－
Capital surplus	11,406	7.0%	11,406	6.9%	11,406	6.9%	－
Retained earnings	114,869	70.3%	126,347	76.5%	126,135	75.8%	(211)
Treasury stock	(23,373)	(14.3%)	(28,714)	(17.4%)	(30,026)	(18.1%)	(1,312)
Net unrealized holding	3,116	1.9%	4,551	2.8%	4,724	2.8%	172
gain on securitiess
Remeasurements of	(1,404)	(0.9%)	301	0.2%	165	0.1%	(136)
defined benefit plans
Non-controlling interests	－	－	578	0.4%	578	0.3%	－

4. Summary of Consolidated Statements of Cash Flows

(amounts are rounded down to the nearest million Yen)

	FY	FY	FY	Change
	2020	2021	2022
Net cash provided by (used in) operating activities	14,380	13,336	9,253	(4,083)
Net cash provided by (used in) investing activities	(1,644)	(7,888)	(2,627)	5,261
Net cash provided by (used in) financing activities	(8,752)	(8,129)	(6,990)	1,139
Cash and cash equivalents at end of year	77,305	74,625	74,260	(364)

3

KAKEN PHARMACEUTICAL CO., LTD.

5. Summary of Non-consolidated Financial Statements for Fiscal 2022
				(amounts are rounded down to the nearest million Yen)
	FY	FY	FY	Change		Plan	Change
	2020	2021	2022	Yen	%	FY2023	Yen	%
Net sales	73,929	75,946	72,886	(3,060)	96.0%	73,000	114	100.2%
Operating profit	17,744	17,429	8,365	(9,064)	48.0%	7,900	(465)	94.4%
Ratio to net sales	24.0%	23.0%	11.5%			10.8%
Ordinary profit	18,178	17,866	8,930	(8,935)	50.0%	8,300	(630)	92.9%
Ratio to net sales	24.6%	23.5%	12.3%			11.4%
Profit	13,376	9,897	6,765	(3,131)	68.4%	7,000	235	103.5%
Ratio to net sales	18.1%	13.0%	9.3%			9.6%
Per share profit (Yen)	346.63	260.61	180.07			186.80
Capital expenditures	2,136	3,510	1,968	(1,541)	56.1%	2,100	132	106.7%
R&D expenses	6,736	8,189	15,410	7,221	188.2%	15,100	(310)	98.0%
Depreciation and amortization	2,318	2,480	2,546	65	102.7%	2,700	154	106.0%
Export volume	4,835	6,822	7,115	292	104.3%
Pharmaceuticals	2,832	4,430	4,294	(135)	96.9%
Agrochemicals	2,003	2,392	2,821	428	117.9%
Number of employees	1,207	1,152	1,117	(35)

6. Non-consolidated Net Sales by Segment

(amounts are rounded down to the nearest million Yen)

	FY	FY	FY	Change		Plan	Change
	2020	2021	2022				FY2023
	Yen		%	Yen		%
Pharmaceuticals & medical	66,358	68,030	64,405	(3,625)		94.7%	64,250	(155)		99.8%
devices
Agrochemicals	5,206	5,505	6,058	553		110.1%	6,320	262		104.3%
Real estate business	2,365	2,410	2,422	11		100.5%	2,430	8		100.3%
Total	73,929	75,946	72,886	(3,060)		96.0%	73,000	114		100.2%

4

KAKEN PHARMACEUTICAL CO., LTD.

7. Sales of Main Pharmaceuticals and Medical Devices (Non-consolidated)

(amounts are rounded down to the nearest million Yen)

	FY		FY	Change		Plan	Change
	2021		2022	(%)		FY2023	(%)
Onychomycosis treatment	18,449		17,985	97.5%		17,700	98.4%
Clenafin
Anti-osteoarthritis agent	18,853		17,062	90.5%		18,000	105.5%
Artz
Post-operativeanti-adhesive	8,433		7,790	92.4%		7,300	93.7%
Seprafilm
Wound-healing agent	2,769		2,759	99.6%		2,700	97.9%
Fiblast
Primary axillary
hyperhidrosis treatment	950		1,257	132.4%		1,900	151.2%
Ecclock
Periodontal regenerative agent	860		891	103.6%		900	101.0%
Regroth
Lumbar disc herniation treatment	381		392	102.8%		400	102.0%
Hernicore
Generic products (total)	8,831		8,201	92.9%		7,900	96.3%
8. Products under Development						As of May 10, 2023
Development	Planned	Development		Remarks
Code	Indication	Stage (*)
KAR	Head lice		P III	In-licensed from Arbor Pharmaceuticals, LLC.
	Product name in the US: Sklice®
KP-001	Refractory vascular	P III	Development project succeeded from
(ART-001)	malformations		ARTham Therapeutics Inc.
BBI-4000	Primary palmoplantar	P I		Additional indication of Ecclock, which has been approved for
hyperhidrosis			primary axillary hyperhidrosis treatment
KP-483	Solid tumors		P I		In-house discovered product
(Immuno-oncology)
KM26-2198	Atopic dermatitis	P I		Co-development with Numab Therapeutics AG
KP-910	Peripheral neuropathic	P I		In-house discovered product
pain
Seladelpar	Primary biliary		P I		In-licensed from CymaBay Therapeutics, Inc.
cholangitis
Tildacerfont	Congenital adrenal	P I		In-licensed from Spruce Biosciences, Inc.
hyperplasia

1. The development stage includes the preparation period for clinical trials.
   ART-648: Discontinued development for the planned indication of bullous pemphigoids by the results of P II clinical trial

5

KAKEN PHARMACEUTICAL CO., LTD.