Tsumura : Third Quarter Business Results for Fiscal Year 2021

Third Quarter Business Results for Fiscal 2021

February 7, 2022

Director, and CFO

Muneki Handa

Third Quarter Business Results for FY 2021

						（ Million yen ）
		FY 2020	FY 2021	YoY	FY 2021
		3Q	3Q			plan
		Amount	Change
Net sales	88,444	98,382	+9,938	+11.2%	127,500
	Domestic	84,579	91,317	+6,737	+8.0%	117,800
	Overseas	3,864	7,065	+3,200	+82.8%	9,700
Operating	17,235	18,829			21,100
profit	+1,593	+9.2%
(Operating profit	(19.5％)	(19.1％)	(16.5％)
margin)
Ordinary	17,811	21,074	+3,262	+18.3%	23,400
profit
Profit	13,226	15,389	+2,162	+16.4%	16,600
attributable
to owners of parent

* The 2020 results have been rearranged to the amount after applying the PPA adjustment and new accounting revenue recognition standards.

Ratio to total sales

Prescription Kampo

Products

88.7%

Other prescription pharmaceuticals 0.4%

Healthcare 2.9%

External sales by consolidated subsidiaries 8.0%

2

Key Points in Performance

Sales and profits increased due to growth in domestic and overseas sales.

Net sales

98,382 million yen

YoY

＋11.2％

• Domestic sales totaled 91,317 million yen, increased 8.0% year-on-year.
• Sales of the 129 prescription Kampo products totaled 87,293 million yen, increased 7.6% year-on-year.
• Sales of healthcare products including OTC Kampo medicines totaled 2,876 million yen ,increased 12.0% year-on-year.
• Overseas sales totaled 7,065 million yen, increased 82.8 % year-on-year.

Operating profit	18,829	million yen	YoY	＋9.1％
Operating	19.1	％	YoY	(0.4)pt
profit margin

• The cost-to-sales ratio was 48.8%, a climb of 1.3pts year-on-year, mainly impact of increased depreciation burden due to operation of Ibaraki 3rd SD building, and external sales in China.
• The SG&A ratio totaled 32.1%, a decline of 1.3pt year-on-year, mainly impact of improvement due to sales growth.

Ordinary profit

21,074 million yen

YoY

＋18.3％

• The impact of the 3Q foreign exchange gain: 1,421 million yen

Previous 3Q foreign exchange loss: 167 million yen, mainly affected by foreign exchange gains and losses.

Profit attributable to owners	15,389	million yen	YoY	＋16.4％
of parent
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Factors Triggering Changes in Operating Profit (YoY)

（ Million yen ）

（1,619）

+5,253 （2,040）

18,829

17,235

3Q FY 2020	Profit impact due	Profit impact due	Profit impact	3Q FY 2021
Operating profit	to changes in	to changes in	from changes in	Operating profit
	sales	cost-to-sales	SG&A expenses

（ Million yen ）

Changes in sales : ＋5,253 Breakdown

Domestic	＋3,561
Overseas	＋1,692

	Changes in cost-to-sales :
	(1,619) Breakdown
	Sales composition		＋215
	（Domestic）
	Crude drug cost（Domestic）		＋234
	Processing cost etc		(1,110)
	（Domestic）
	Outside sales in China		(958)
	（Overseas）
	Changes in SG&A expenses:
	(2,040) Breakdown
	Sales-related expense		(618)
	R&D expense		(306)
	Salary allowance		(170)
	Other		(946)	4

Financial Condition/Cash Flow Position

			（ Million yen ）
	FY 2020	FY 2021	Change
	(March 2021)	3Q
Total assets	319,063	338,432	19,368
Current assets	204,273	221,541	17,268
Non-current assets	114,789	116,890	2,100
Total liabilities	85,894	88,946	3,052
Current liabilities	48,380	41,986	△6,394
Non-current liabilities	37,513	46,960	9,446
Total net assets	233,169	249,485	16,316
Equity ratio	68.3％	68.7%	0.4pt
	FY 2020	FY 2021	Change
	(March 2021)	3Q
Inventories	80,755	87,217	6,462
finished goods	13,939	8,005	△5,934
Merchandise and
Work in process	13,396	14,140	743
supplies	53,419	65,072	11,652
Raw materials and

（ Hundred million yen ）

+178	△75
	△51
	＋22	670
596

at equivalents cash and Cash period of beginning

activities Operating

activities Investing

activities Financing

rate exchange of Impact translations

cash and Cash of end at equivalents period

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