オリンパス（7733） – Consolidated Financial Results for the 3rd Quarter and Full-Year Forecasts for Fiscal 2022

Consolidated Financial Results for the 3rd Quarter and Full-Year Forecasts for Fiscal 2022Olympus Corporation | Executive Officer and Chief Financial Officer | Chikashi Takeda | February 4, 2022Disclaimer This material contains forward-looking statements that reflect management’s current views, plans, and expectations based on information available at the time of preparation. These forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, future business decisions, and other internal and external factors that may cause the Company’s actual results, performance, achievements, or financial position to be materially different from any future results expressed or implied by these forward-looking statements. Additionally, this information is subject to change without notice. Accordingly, other information should be used in addition to this material when making investment decisions. Products or devices presented include future technology which may be pending regional regulatory approval and are not available for sale in all regions. This information is not intended for promotional or medical advice use. Rather, it is provided to give examples of technology development by Olympus and no guarantees are made about the future sale of such products. Olympus Corporation assumes no responsibility for any damage resulting from the use of this material.Page 2No data copy / No data transfer permittedHighlights3Q and 9M Consolidated Financial ResultsRevenue: Growth of +23% YoY in 9 months, led by Medical. Double-digit growth vs FY2020, well above pre-pandemic levelOperating profit: Record highs for both amount and ratio in 9 months, driven by sales recovery and SG&A efficiency*Full-year Performance ForecastsRevenue: Expected to exceed pre-pandemic level with Medical reaching a record highOperating profit: Expected to achieve ¥144 billion with OPM of about 17%, both record highsProfit**: Expected to reach a record high of ¥109 billionShareholder returns: Annual dividend plan to increase by ¥2/share YoY to ¥14/share with share repurchase of approximately ¥30 billion expected*From FY2009, when Olympus began disclosing the quarterly report.**Profit attributable to owners of parent. Figures through FY2016 are based on Japanese GAAP (JGAAP) and figures from FY2017 onward are based on IFRS.Page 3No data copy / No data transfer permittedConsolidated Financial Results and Business Review for the 3Q of Fiscal 2022 (FY Ending March 31, 2022)013Q of Fiscal 2022 (1) Consolidated Financial Results12Revenue: +23% growth, led by Medical. Significant growth even compared to FY2020 (pre-pandemic)Operating profit: Record highs in terms of both amount and ratio in 9M, driven by sales recovery and SG&A efficiency*9 Months (Apr. to Dec.)3Q (Oct. to Dec.)(Billions of yen)FY2020FY2021FY2022YoYvs FY2020FY2020FY2021FY2022YoYvs FY2020YoY(After FXadjustment)vs FY2020(After FXadjustment)YoY(After FXadjustment)vs FY2020(After FXadjustment)561.3513.61629.8+23% +16% +12%+8%192.9197.1216.7+10% +3% +12% +6%RevenueGross profit(% of revenue)367.6(65.5%)323.5(63.0%)411.8(65.4%)Selling, general and administrative expenses(% of revenue)278.2(49.6%)250.2(48.7%)293.6(46.6%)Other income and expensesOperating profit(% of revenue)Adjusted operatingprofit(% of revenue)Profit before tax(% of revenue)Profit(loss)**(% of revenue)-4.7-8.6-9.384.7(15.1%)89.7(16.0%)80.5(14.3%)59.1(10.5%)64.7(12.6%)108.92(17.3%)73.5(14.3%)61.9(12.1%)1.6(0.3%)118.8(18.9%)103.6(16.5%)87.7(13.9%)EPS¥45¥1¥68Page 5No data copy / No data transfer permitted+68% +58% +29% +26%-5% -13% +13% +6%+27% +22% +12%+9%+11% +5% +13% +9%+17% +13%+6%+2%+15% +10% +10% +5%124.8(64.7%)93.2(48.3%)127.5(64.7%)88.7(45.0%)141.6(65.3%)102.2(47.1%)-2.8-4.4-6.828.9(15.0%)31.8(16.5%)27.1(14.0%)23.1(12.0%)34.4(17.5%)38.9(19.8%)33.6(17.0%)24.3(12.3%)32.7(15.1%)39.6(18.3%)29.8(13.7%)25.3(11.7%)——11%+4%——*From FY2009, when Olympus began disclosing the quarterly report. **Profit(loss) attributable to owners of parent——–+67%+5,298%3Q of Fiscal 2022 (2) Endoscopic Solutions Division (ESD)30%*55%*FY2022¥333.7 billionRevenue (9M)ESD TotalFY20211Q74.312.4-0.42Q97.029.9-0.2(Billions of yen)RevenueOperating profitOther income and expensesOperating margin(After FXadjustment)3Q9M4QFull-year1Q2Q3Q9M105.4276.7117.0393.7100.0120.6113.1333.731.6-0.873.9-1.324.9-4.698.8-5.922.7-2.239.0-1.030.0-0.991.6-4.010%*16.7%30.8%30.0%26.7%21.2%25.1%22.7%(23.7%)32.3%(31.9%)26.5%(27.0%)27.4%(27.8%)*Approx. Due to rounding, the total may not add up to 100%.FY2022 3Q (Oct-Dec)Growth Rate vs FY2021 3Qvs FY2021 3Qvs FY2021 3Q(after FX adjustment)**From FY2022, bronchoscopes, which were classified in the gastrointestinal endoscope segment of ESD, have been transferred into the respiratory segment of TSD. FY2021 actuals have also been restated in the same manner. Gastrointestinal endoscope Surgical endoscope Medical serviceTotal4%17%10%7%Page 6No data copy / No data transfer permitted-3%9%2% Strong performance in Japan and APAC including Australia and S. Korea. In addition to steady sales of EVIS X1 series, old generation scopes also contributed to sales growth. In the meantime, sales declined in China and Europe. In China, stagnation of budget execution etc. and advance delivery in 2Q made an impact. In Europe, sales declined due to impact of large-scale tender projects in UK and other countries in previous year. Sales declined in China due to tough competitive environment etc., while strong performance in Europe, North America and Japan. In Europe, there were large-scale tender projects in Russia. In North America, we are promoting switch to VISERA ELITE II. Steady growth, centered in China and Europe, due to stable revenue stream based on service contracts including maintenance service, an increase in new accounts and market recovery.0% +5% vs FY2020 (Reference: Managerial Basis) 3Q of FY2022 (3) Therapeutic Solutions Division (TSD)25%*30%*TSD TotalFY2021¥203.7 billionRevenue (9M)(Billions of yen)RevenueOperating profitOther income and expensesOperating margin(After FXadjustment)1Q43.03.7-0.32Q58.76.3-0.13Q62.313.2-0.39M4QFull-year164.067.9231.823.2-0.77.4-2.230.6-3.0FY20221Q63.614.12.52Q69.516.2-0.43Q70.613.6-0.89M203.743.81.38.5%10.7%21.3%14.1%10.9%13.2%22.1%(23.1%)23.3%(23.0%)19.2%(19.5%)21.5%(21.8%)**From FY2022, bronchoscopes, which were classified in the gastrointestinal endoscope segment of ESD, have been transferred into the respiratory segment of TSD. FY2021 actuals have also been restated in the same manner.15%*30%**Approx. Due to rounding, the total may not add up to 100%.FY2022 3Q (Oct-Dec)Growth Rate vs FY2021 3Qvs FY2021 3Qvs FY2021 3Q(after FX adjustment) GI-endotherapy Urology Respiratory11%20%13%9%13% Other theapeutic areas3% Strong performance in ENT, led by ENT endoscopes. Total6% +8% vs FY2020 (Reference: Managerial Basis) Page 7No data copy / No data transfer permitted6%11%4% Strong performance in Europe and North America with the number of procedures recovering. Notable momentum in ERCP, Sampling (biopsy forceps, etc) and ESD/EMR products. The number of procedures is recovering. Strong performance in North America, led by resection electrodes for BPH and “SOLTIVE SuperPulsed Laser System” for stone lithotripsy. Also, strong performance in Europe, partially supported by large-scale projects in Russia. Significant growth in North America due to market recovery, Veran Medical Technologies, and strong performance in respiratory-endotherapy products for EBUS-TBNA (Endobronchial ultrasound-guided transbronchial needle aspiration) and bronchoscopes including new EBUS bronchoscopes. Sales in China declined due to stagnation of budget execution etc.3Q of FY2022 (4) Scientific Solutions Division (SSD)60%*40%*SSD TotalFY2021¥82.9 billionRevenue (9M)(Billions of yen)RevenueOperating profitOther income and expensesOperating margin(After FXadjustment)1Q17.8-1.6-0.32Q22.61.80.33Q26.62.709M66.93.004QFull-year28.92.0-1.395.94.9-1.2FY20221Q24.81.9-0.22Q28.34.6-0.13Q29.74.9-0.29M82.911.4-0.5-8.1%10.3%4.4%6.9%5.2%7.5%(8.1%)16.3%(15.4%)16.4%(15.6%)13.7%(13.3%)*Approx. Due to rounding, the total may not add up to 100%.FY2022 3Q (Oct-Dec)Growth Rate vs FY2021 3Qvs FY2021 3Qvs FY2021 3Q(after FX adjustment) Life science IndustrialTotal7%15%12%0%7% Sales were flat due in part to strong performance in China in previous year, despite market recovery and improved budget execution at research institutions and universities. CAPEX sentiment continued to improve, driven by overall market recovery. Notable strength in industrial microscopes, driven by 5G-related electronic components and semiconductor markets. Industrial videoscopes and non-destructive testing equipment also contributed to sales growth, showing a sign of market recovery.4% +6% vs FY2020 (Reference: Managerial Basis) Page 8No data copy / No data transfer permittedStatement of Financial PositionCash and deposits increased due to an increase in Operating CFGoodwill and intangible assets, etc. increased due to acquisition of Medi-Tate, etc.Approx. 72 million treasury shares (¥82.3 billion) were cancelled in June 2021USD corporate bond (USD500M) was issued in December 2021End of Mar.* 2021End of Dec. 2021ChangeEnd of Mar.* 2021End of Dec. 2021(Billions of yen)Current assetsInventoriesNon-current assetsProperty, plant and equipmentIntangible assets and othersGoodwill580.1158.9603.4239.2236.8127.4657.3167.0635.6238.2242.8154.6+77.3Current liabilities+8.1Bonds/loans payable+32.3Non current liabilities-1.0Bonds/loans payable328.431.5459.6323.7333.351.6479.4341.5+6.0Equity395.5480.3+84.8+27.3(Equity ratio)33.3%37.1%+3.8ptChange+4.9+20.1+19.8+17.8Total assets1,183.51,293.0+109.51,183.51,293.0+109.5Total liabilities and equity*Regarding acquisitions with Veran Medical Technologies and Quest Photonic Devices B.V. that occurred in FY2021, there were temporary revisions in amounts during 1Q, 2Q and 3Q of FY2022. In line with this, FY2021 figures have been retroactively revised.Page 9No data copy / No data transfer permittedInterest-bearing debt: Cash and cash equivalents: Net debt: 393.1 (+37.8 from March 2021)275.1 (+57.6 from March 2021)118.0Consolidated Cash FlowsFCF: Positive ¥58.1 billion. Considering expenditures for acquisition of Medi-Tate (¥21.6 billion) and for reversal of provision for career support for external opportunity program (¥11.2 billion), FCF was positive ¥90.9 billion Financing CF: Minus ¥9.3 billion due to debt repayments and dividend payments, while financing through issuance of USD corporate bond9 Months (Apr. to Dec.)FY2021FY2022Change(Billions of yen)Profit before taxCF from operating activitiesCF from investing activitiesFree cash flowCF from financing activitiesCash and cash equivalents at end of periodPage 10No data copy / No data transfer permitted61.989.0-115.0-26.052.0187.7103.6115.3-57.158.1-9.3275.1+41.7+26.2+57.9+84.1-61.3+87.4Major one-off items for FY2022 9M (Apr. to Dec.)Operating CF: Outflow of reversal of provision for career support for external opportunity program¥11.2 billionInvesting CF: Outflow of acquisition of businesses and subsidiaries¥21.6 billion02 Forecasts for Fiscal 2022Fiscal 2022 Consolidated Forecasts123Revenue: Expected to exceed pre-pandemic level with Medical reaching a record highOperating profit: Expected to achieve ¥144 billion with OPM of about 17%, both record highsProfit*: Expected to reach a record high of ¥109 billion(Billions of yen)RevenueGross profit(% of revenue)Selling, general and administrative expenses*(% of revenue)Other income and expensesOperating profitAdjusted operating profitProfit before tax(% of revenue)(% of revenue)(% of revenue)Profit attributable to owners of parent(% of revenue)EPSFY2022Forecasts as of Nov 5FY2022Latest ForecastsChangevs Nov 5vs FY2021vs FY2020vs Nov 5 (After FXadjustment)856.01862.0+6.0+1%+6.0+1%0%0%+18%+23%+14%+17%561.0(65.5%)400.0(46.7%)-17.0144.0(16.8%)161.5(18.9%)139.0(16.2%)109.0(12.7%)¥85567.0(65.8%)405.0(47.0%)-18.0144.0(16.7%)162.5(18.9%)139.0(16.1%)109.0(12.6%)¥8523+5.0+1%+1%+13%+6%-0—0%-3%+76%+56%——Dividend forecast for FY2022Year-end dividend of ¥14 per share*Profit attributable to owners of parent. Figures through FY2016 are based on Japanese GAAP (JGAAP) and figures from FY2017 onward are based on IFRS.**From “revenue” to “profit” in the table are amounts related to continuing operation only.FY2021**(Actual)730.5FY2020** (Actual)755.2459.5(62.9%)357.0(48.9%)-20.582.0(11.2%)102.1(13.5%)76.8(10.5%)65.7(9.0%)482.8(63.9%)381.2(50.5%)-9.492.2(12.2%)103.1(14.1%)86.6(11.5%)60.6(8.0%)¥10¥39Page 12No data copy / No data transfer permittedFiscal 2022 Forecasts by Business Segment12ESD and TSD: Medical revenue and operating profit expected to reach record highs, exceeding pre-pandemic levelsElimination and Corporate: Revised to strengthen operational infrastructure such as QA/RA and IT and to implement measures to improve operational efficiency(Billions of yen)Changevs Nov 5vs FY2021ESDTSDSSDOthersRevenueOperating profitRevenueOperating profitRevenueOperating profitRevenueOperating profitElimination and corporateConsolidated TotalRevenueOperating profitFY2022Forecasts as of Nov 5FY2022Latest Forecasts1453.0127.0276.055.0114.015.513.0-2.5856.0144.0459.0131.0277.057.0114.015.512.0-2.5862.0144.0Page 13No data copy / No data transfer permittedvs Nov 5 (After FXadjustment)0%+1%-1%2%-1%-4%-8%+17%+33%+19%+87%+19%+213%+31%¥0 billion-¥1.8 billion0%-3%+18%+76%+1%+3%0%+4%0%0%-8%0%1%0%+6.0+4.0+1.0+2.0000-1.0-6.06.00FY2021(Actual)393.798.8231.830.695.94.99.2-0.7-51.6730.582.0Operating profit-51.02-57.0-¥6 billion-¥5.8 billion-¥5.4 billion03 Transforming into a Truly Global Medtech CompanyKey Product Catalysts: Endoscopic Solutions Division (As of Feb 4, 2022)Corporate Strategy of ESD : Further strengthen leadership in endoscopyMaintain leadership in conventional endoscopythrough continued innovation and commercial excellenceComplement our portfolio with single-use endoscopes to provide a comprehensive set of product offeringsGrowth driver nowJust launched / Coming soonBeyondGI endoscopy EVIS X1 (EU, Japan) TJF-Q190V, duodenoscope (US) ENDO-AID, endoscopy CAD platformGI endoscopy EVIS X1 (US, China) 3D function for EVIS X1 Single-use duodenoscopefor EVIS X1 (EU)Surgical endoscopy VISERA ELITE II 3D/IR (US) VISERA ELITE II 2D/3D/IR (China)Surgical endoscopy New generation surgical endoscopysystem (EU, Japan)GI endoscopy EVIS LUCERA ELITE (Japan, China) EVIS EXERA III (US, EU)Surgical endoscopy VISERA ELITE II 2D/3D/IR (EU, VISERA ELITE II 2D (US) VISERA ELITE (China) VISERA 4K UHD (US, EU, Japan, Japan)China)*CAGR for FY2021 to FY2023, starting from FY2020 Page 15No data copy / No data transfer permitted~6%RevenuegrowthCAGR in ESD*Key Product Catalysts: Therapeutic Solutions Division (As of Feb 4, 2022)Corporate Strategy of TSD : Focus and scale our TSD businessGI endotherapyExpand and accelerate portfolio in existing product categories and explore growth opportunities in adjacent areasUrologyEstablish leadership in BPH and enhance position in stone management through portfolio expansion RespiratoryStrengthen leadership and expansion of lung cancer portfolio by executing Olympus/Veran synergies while also expanding the BLVR* marketGrowth driver nowJust launched / Coming soon BeyondGI endotherapy Visiglide series ESD Knife EZ Clip / QuickClip Pro EndoJawUrology Resection electrode SOLTIVE SuperPulsed Laser System for stone + soft tissue (US, EU)Respiratory*** Bronchoscope, EBUS scope ViziShot series Spiration Valve SystemGI endotherapy 5 products (US) 5 products (EU) 6 products (Japan) 3 products (China)GI endotherapy Single-use cholangioscopeUrology Single-use ureteroscopeUrology iTind, non-surgical device for Benign Prostatic Hyperplasia (US, EU)Respiratory*** Veran Electromagnetic Navigation system (EU)Respiratory*** Veran Electromagnetic Navigation system EVIS X1 bronchoscope (US) Single-use bronchoscope(US) Single-use bronchoscope (US) EBUS scope (US)*Bronchoscopic Lung Volume Reduction**CAGR for FY2021 to FY2023, starting from FY2020***From FY2022, bronchoscopes, which were classified in the gastrointestinal endoscope segment of ESD, have been transferred into the respiratory segment of TSD. Page 16No data copy / No data transfer permitted~8%RevenuegrowthCAGR in TSD**TSD: Growth drivers in UrologySOLTIVE™ SuperPulsed Laser System1Innovative laser platform for treatment of kidney stonesPLASMA+™ Advanced Energy System1Advanced bipolar platform for treatment of BPHProcedure:Market:Product:Laser lithotripsy for kidney stone patientsOverall Urology Stone Management ¥180B (4% CAGR) 2 Olympus pioneered the use of Thulium Fiber Laser (TFL) technology for kidney stone treatment through the Soltivelaunch. Clinical research indicates that Soltive may offer the potential for shorter procedure times, better patient outcomes and lower procedure costs than those performed with Ho:YAG lasers.3 Driving strong above-market revenue growth with FY22 Revenue ahead of plan by almost 20%. We expect double-digit growth over next 3 years driven by continued market share capture, increased utilization in existing accounts, and continued portfolio enhancements.Procedure:Market:Product:Soft tissue resection for BPHOverall BPH ¥95B (12% CAGR) 2 Olympus has a long history of leadership with differentiated PLASMA technology in Urology, offering an integrated platform of resectoscopes, electrodes and energy generators. As a product leader, we differentiate with our complete suite of procedural solutions and electrodes designed to treat BPH, a platform which can also be used to treat bladder cancer patients. We expect mid single-digit growth over next 3 years driven by population/procedure growth and launch of 3rd-generation PLASMA+ system.Already launched in the US, Canada, Europe, and AsiaAlready launched in Europe, Australia. US and Asia to follow in FY20221 Note: Products or devices presented include future technology which may be pending regional regulatory approval and are not available for sale in all regions.2 Overall Stone Management & BPH market size & growth include procedures and product categories beyond those specifically applicable to Soltive & PLASMA+ (such as minimally invasive BPH treatment).3 Ryan, JR; Nguyen, MH; Linscott, JA; Nowicki, SW; Jumper, BM; Ingimarsson, JP; “PD54-07: Thulium Fiber Laser Results in Shorter Operating Times During Ureteroscopy and Laser Lithotripsy;” The Journal of Urology, September 2021; accessed Nov. 2, 2021.3 Disclaimer: These abstract study findings are early analysis and may change with further, more complete analysis. Generalizability of economic impact to other institutions is not specific and is limited.Page 17No data copy / No data transfer permittedFY2022 Key InitiativesFY2022Further strengthen our position as a global medtech companyDeepening profitable growth strategy in Medical businessFurther improvement of efficiency and effectiveness through Transform OlympusContinued steady investment in product development for future growthESG initiatives that contribute to a sustainable societyPromoting Global Business ServicesCompleted share transfer of Olympus Systems Corporation to AccentureEstablished Olympus Innovation Ventures, a corporate venture capital fundSelected as “Dow Jones Sustainability World Index (DJSI World)”Formulated strategic initiatives for Medical business (Olympus Investor Day 2021)Officially decided to split Scientific Solutions Division, and proceeding with examination regarding a possible transfer of all shares in new company to a third partyPage 18No data copy / No data transfer permittedProgress of Reorganization of Scientific Solutions DivisionInked absorption-type company split contract on Jan 14, 2022, to transfer Scientific Solutions Business to Evident Corporation, which is newly established wholly owned subsidiary of Olympus, effective April 1, 2022 (planned)Proceeding with examination regarding a possible transfer of all shares in Evident to a third party after splitBiological microscopesIndustrial microscopesIndustrial videoscopes X-ray fluorescence (XRF) Non-destructive testing instrumentsanalyzersEstablishment of a management structure suited to respective business characteristics of medical and scientific business will accelerate our efforts to achieve sustainable growth and improve profitability, and will contribute to enhancement of corporate value of our entire groupPage 19Appendix3Q of Fiscal 2022 Factors that Affected Consolidated Operating Profit9 Months (Apr. to Dec.)Change in sales+50.3Sales increased in all divisionsChange in cost of sales+19.4 Factory operation rate improved due mainly to increased sales volume Decrease in voluntary recall costs associated with endoscopeand endotherapyproducts incurred in previous fiscal yearChange in SG&A expenses -31.8 Increase in expensesdue to relaxation of restrictions on sales activities Investments to strengthen operationalinfrastructure and improve profitabilityOther-0.6 Gain on phased acquisition of Medi-Tate Gain on sales of fixed assets Transform Olympus related expenses Expenses for reorganization of SSDImpact of foreign exchange+6.8108.9FY2022Operating profit64.7FY2021Operating profitPage 22No data copy / No data transfer permitted3Q of Fiscal 2022 Factors that Affected Consolidated Operating ProfitChange in sales+3.2Sales increased in TSD and SSD3Q (Oct. to Dec.)Change in cost of sales+3.5 Factory operation rate improved due mainly to increased sales volume Decrease in voluntary recall costs associated with endotherapyproducts incurred in previous fiscal yearChange in SG&A expenses -8.7 Increase in expenses due to relaxation of restrictions on sales activities Investments to strengthen operationalinfrastructure and improve profitability34.4FY2021Operating profitPage 23No data copy / No data transfer permittedOther-2.4Expenses for reorganization of SSDImpact of foreign exchange+2.632.7FY2022Operating profit3Q of Fiscal 2022 by Segment9 Months (Apr. to Dec.)3Q (Oct. to Dec.)FY2021FY2022YoYFY2021FY2022YoYAfter FX adjustment+14%+18%+17%+82%+17%+21%+24%+24%+89%+24%+284%+252%+58%+54%276.773.9164.023.266.93.06.0-1.5333.791.6203.743.882.911.49.5-1.5105.4113.130.070.613.629.74.93.331.662.313.226.62.72.8-0.6After FX adjustment0%-10%+6%-2%+4%+58%+15%+7%-5%+13%+3%+12%+78%+17%¥0+¥0.1 billion-0.3+¥0.2 billion+¥0.2 billionElimination and CorporateConsolidated TotalRevenue-33.8-36.4- ¥2.6 billion- ¥2.5 billion-12.5-15.4- ¥2.9 billion- ¥2.7 billion513.664.7629.8108.9+23%+68%+16%+58%197.134.4216.732.7+10%-5%+3%-13%*From FY2022, bronchoscopes, which were classified in the gastrointestinal endoscope segment of ESD, have been transferred into the respiratory segment of TSD. FY2021 actuals have also been restated in the same manner.Page 24No data copy / No data transfer permittedESDTSDSSDOthersRevenueOperating profitRevenueOperating profitRevenueOperating profitRevenueOperating profit(loss)Operating profit(loss)Operating profitExpenditures, etc.9 Months (Apr. to Dec.) and Full-year Forecasts(Billions of yen)FY2021 9M85.0FY2022 9MFY2022 (Forecasts)78.062.558.656.154.562.048.044.1(Billions of yen)FY2021FY2022R&D expenditures* (a)Capitalization of R&D expenditures (b)R&D expenses in P/L(a-b)58.611.647.062.512.450.2(Billions of yen)FY2021FY2022Amortization6.46.8End of Sep. 2021End of Dec. 2021R&D assets59.960.1R&D expenditures*Capital expenditures**Depreciation andamortization*Capitalization of R&D expenditures (b) is included in R&D expenditures.**Capitalization of R&D expenditures (b) is included in capital expenditures.In addition, the Olympus Group has adopted IFRS #16 “Leases” from FY2020, and right-of useassets below are included in capital expenditures.(FY2021 9M: ¥17.8 billion, FY2022 9M: ¥11.3 billion, FY2022 Full-year Forecast: ¥13.0 billion)Page 25No data copy / No data transfer permittedForeign Exchange and SensitivityForeign exchange rate(Yen)FY2020 3QFY2020 9MFY2021 3QFY2021 9MFY2022 3QFY2022 9MYen/U.S. dollarYen/U.S. EuroYen/CNY109120151091211610512516106122151141301811113117FY2022Annual Forecasts11213017Forex sensitivity (annual)(Billions of yen)U.S. dollars (per yen)Euro (per yen)CNY (per yen)Page 26No data copy / No data transfer permittedRevenueOperating profit2.31.66.81.00.74.5