Kaken Pharmaceutical : Reference Data of Financial Statements for the 2Q of Fiscal 2023

Consolidated Financial Results for the Second Quarter of Fiscal 2023

(Reference Data of Consolidated Financial Results)

November 8, 2023

KAKEN PHARMACEUTICAL CO., LTD.

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1. Summary of Consolidated Financial Statements for the Second Quarter of Fiscal 2023
				(amounts are rounded down to the nearest million Yen)
	FY2022	FY2022	FY2023	Change		Plan	Change
	2Q	2Q	Yen	%	FY2023	Yen	%
Net sales	36,819	72,984	36,171	(648)	98.2%	73,100	116	100.2%
Operating profit	8,209	7,998	5,512	(2,696)	67.2%	7,600	(398)	95.0%
Ratio to net sales	22.3%	11.0%	15.2%			10.4%
Ordinary profit	8,555	8,727	5,722	(2,832)	66.9%	8,000	(727)	91.7%
Ratio to net sales	23.2%	12.0%	15.8%			10.9%
Profit	5,964	5,440	4,068	(1,896)	68.2%	6,700	1,260	123.2%
Ratio to net sales	16.2%	7.5%	11.2%			9.2%
Per share profit (Yen)	158.34	144.80	108.18			178.80
Comprehensive income	6,209	5,475	5,814	(395)	93.6%

Capital expenditures	637	1,968	722	84	113.3%	2,100	132	106.7%
R&D expenses	4,330	15,789	5,738	1,407	132.5%	15,100	(689)	95.6%
Depreciation and amortization	1,233	2,546	1,291	58	104.7%	2,700	154	106.0%

Number of employees

1,153

1,130

1,155

2

2. Consolidated Net Sales by Segment

(amounts are rounded down to the nearest million Yen)

	FY2022	FY2022	FY2023	Change
	2Q	2Q
	Yen		%
Pharmaceuticals,
medical devices &	35,600	70,562	34,958	(642)		98.2%
agrochemicals
Real estate business	1,219	2,422	1,212	(6)		99.4%
Total	36,819	72,984	36,171	(648)		98.2%

1	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		Y o Y
	Sept. 30,	Ratio	Mar. 31,	Ratio	Sept. 30,	Ratio	Increase
	2022		2023		2023		(Decrease)
Total assets	167,307	100.0%	166,328	100.0%	171,651	100.0%	5,322
Current assets	113,024	67.6%	109,903	66.1%	112,745	65.7%	2,841
Non-current assets	54,282	32.4%	56,425	33.9%	58,906	34.3%	2,480
Total liabilities	26,922	16.1%	29,491	17.7%	30,922	18.0%	1,430
Current liabilities	19,234	11.5%	20,838	12.5%	22,160	12.9%	1,321
Non-current liabilities	7,688	4.6%	8,653	5.2%	8,762	5.1%	109
Total net assets	140,384	83.9%	136,836	82.3%	140,728	82.0%	3,892
Common stock	23,853	14.3%	23,853	14.3%	23,853	13.9%	－
Capital surplus	11,406	6.8%	11,406	6.9%	11,462	6.7%	－
Retained earnings	129,472	77.4%	126,135	75.8%	127,390	74.2%	1,255
Treasury stock	(30,025)	(17.9%)	(30,026)	(18.1%)	(28,612)	(16.7%)	1,414
Net unrealized holding	4,765	2.8%	4,724	2.8%	6,472	3.8%	1,748
gain on securities
Remeasurements of	333	0.2%	165	0.1%	162	0.1%	(2)
defined benefit plans
Non-controlling interests	578	0.3%	578	0.3%	0	0.0%	(578)

4. Summary of Consolidated Statements of Cash Flows

(amounts are rounded down to the nearest million Yen)

	FY2022		FY2023	Y o Y
	FY2022	Increase
	2Q	2Q
		(Decrease)
Net cash provided by (used in) operating activities	6,427	9,253	(245)	(6,672)
Net cash provided by (used in) investing activities	(1,410)	(2,627)	(1,141)	269
Net cash provided by (used in) financing activities	(4,174)	(6,990)	(2,813)	1,361
Cash and cash equivalents at end of period	75,467	74,260	70,060	(5,407)

2	KAKEN PHARMACEUTICAL CO., LTD.

5. Summary of Non-consolidated Financial Statements for the Second Quarter of Fiscal 2023
				(amounts are rounded down to the nearest million Yen)
	FY2022	FY2022	FY2023	Change		Plan	Change
	2Q	2Q	Yen	%	FY2023	Yen	%
Net sales	36,762	72,886	36,147	(615)	98.3%	73,000	114	100.2%
Operating profit	8,267	8,365	5,725	(2,541)	69.3%	7,900	(465)	94.4%
Ratio to net sales	22.5%	11.5%	15.8%			10.8%
Ordinary profit	8,530	8,930	5,932	(2,598)	69.5%	8,300	(630)	92.9%
Ratio to net sales	23.2%	12.3%	16.4%			11.4%
Profit	5,953	6,765	4,293	(1,660)	72.1%	7,000	235	103.5%
Ratio to net sales	16.2%	9.3%	11.9%			9.6%
Capital expenditures	637	1,968	721	84	113.3%	2,100	132	106.7%
R&D expenses	4,252	15,410	5,622	1,369	132.2%	15,100	(310)	98.0%
Depreciation and amortization	1,232	2,546	1,291	58	104.7%	2,700	154	106.0%
Export volume	3,327	7,115	2,665	(662)	80.1%
Pharmaceuticals	2,365	4,294	1,625	(740)	68.7%
Agrochemicals	961	2,821	1,040	78	108.2%
Number of employees	1,141	1,117	1,146	5

6. Non-consolidated Net Sales by Segment

(amounts are rounded down to the nearest million Yen)

	FY2022	FY2022	FY2023	Change		Plan	Change
	2Q	2Q	Yen		%	FY2023	Yen		%
Pharmaceuticals &	33,636	64,405	32,991	(645)		98.1%	64,250	(155)		99.8%
medical devices
Agrochemicals	1,906	6,058	1,943	36		101.9%	6,320	262		104.3%
Real estate business	1,219	2,422	1,212	(6)		99.4%	2,430	8		100.3%
Total	36,762	72,886	36,147	(615)		98.3%	73,000	114		100.2%

3	KAKEN PHARMACEUTICAL CO., LTD.

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

(amounts are rounded down to the nearest million Yen)

	FY2022		FY2023	Change	Revised	Change	Plan
	FY2022	plan
	2Q	2Q	(%)	(%)	FY2023
		FY2023
Onychomycosis treatment	9,633	17,985	9,199	95.5%	17,700	98.4%	17,700
Clenafin
Anti-osteoarthritis agent	8,673	17,062	8,929	103.0%	18,100	106.1%	18,000
Artz
Post-operativeanti-adhesive	4,014	7,790	3,544	88.3%	7,000	89.9%	7,300
Seprafilm
Wound-healing agent	1,378	2,759	1,321	95.9%	2,700	97.9%	2,700
Fiblast
Primary axillary
hyperhydrosis treatment	823	1,257	1,387	168.4%	2,100	167.1%	1,900
Ecclock
Periodontal regenerative agent	444	891	442	99.6%	900	101.0%	900
Regroth
Lumber disc herniation treatment	209	392	188	89.9%	400	102.0%	400
Hernicore
Generic products (total)	4,190	8,201	4,024	96.0%	7,900	96.3%	7,900

8. Projects under Development

		※The development stage includes the preparatory period for clinical trials.
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 transferred through
malformations	succession from ARTham Therapeutics Inc.
BBI-4000	Primary palmoplantar	P I	Additional indication for Ecclock
hyperhydrosis
KP-483	Solid tumors	P I	Product discovered in-house
(immuno-oncology)
NM26-2198	Atopic dermatitis	P I	Co-development with Numab Therapeutics AG
KP-910	Peripheral neuropathic	P I	Product discovered in-house
pain
Seladelpar	Primary biliary cholangitis	P I	In-licensed from CymaBay Therapeutics, Inc.
Tildacerfont	Congenital adrenal	P I	In-licensed from Spruce Biosciences, Inc.
hyperplasia
KP-001 (USA)	Refractory vascular	P I	Development project transferred through
malformations	succession from ARTham Therapeutics Inc.

4	KAKEN PHARMACEUTICAL CO., LTD.