Notice of Revision to Earnings Guidance for the Fiscal Year Ending September 2026

Summary of Revision to Earnings Guidance

MEDINET Co., Ltd. has revised downward its full-year earnings guidance for the fiscal year ending September 2026. Revenue has been revised down by 121 million yen to 821 million yen from the previous forecast. The main factors include that, although the number of S-DSC-related specific cell processed product manufacturing cases exceeded the prior year, a decrease in overseas patient numbers in the immune cell field and delays in menu provision had an adverse impact. In the CDMO business, while technology transfer for manufacturing of clinical trial products was completed, some projects experienced delayed start times, resulting in postponed revenue recognition. On the profit side, despite reductions in general and administrative expenses, profit deterioration due to lower revenue and increased development expenses related to Stempeucel have combined, leading to revisions to operating income of -1,520 million yen, ordinary income of -1,360 million yen, and net income of -1,426 million yen.

Outlook and Impact

Revenue declines and increased development expenses are expected to continue to suppress profits, and depending on project progress there is a possibility that project starts may be pushed into the fiscal year ending September 2027. Recovery of certain long-term loans and improvements in related operations are, however, expected to be modest positive factors for ordinary income.