A Unique & Global Healthcare Testing Company

FY2007 3Q Business Results

February, 5 2008SYSMEX CORPORATION

2

Topics - 1

Affiliates and officesEstablished Sysmex Canada Inc.

From January 2008, the newly established Sysmex Canada will provide direct sales and support of Sysmex products

Outline of 3Q 2007 Results (ending in March 2008)

AlliancesAlliance Formed with IDEXX; World’s Largest Animal Diagnostic Testing Company

IDEXX to place Sysmex products into its reference laboratoriesThe two companies to explore some ways to leverage their strengths

Announcement of Sysmex and bioMérieux Form a Commercial Joint Venture for the Japanese In Vitro Diagnostics Market(Sysmex will take a 34% equity stake in bioMérieux Japan, Ltd.

From April 2008, the sales and customer service activities will be contracted out from the JV to Sysmex.

Distribution agreement with McKesson Medical-Surgical(US)Setup for sales in the US Physicians Office Laboratories market

>About bioMérieuxAdvancing Diagnostics to Improve Public Health A world leader in the field of in vitro diagnostics for over 40 years, bioMérieux is present in more than 150 countries through 36 subsidiaries and a large network of distributors. In 2006, revenues reached €1.037 billion with 83% of sales outside of France. bioMérieux provides diagnostic solutions (reagents, instruments, software) which determine the source of disease and contamination to improve patient health and ensure consumer safety. Our products are used for diagnosing infectious diseases and providing high medical value results for cardiovascular emergencies and cancer screening and monitoring. They are also used for detecting microorganisms in agri-food, pharmaceutical and cosmetic products. bioMérieux is listed on Euronext Paris.

>About IDEXX Laboratories, Inc.IDEXX Laboratories, Inc. is a worldwide leader in the development and commercialization of innovative technology-based products and services for veterinary, food and water applications. Headquartered in southern Maine, IDEXX conducts operations through more than 60 locations around the world, and employs over 4,500 people in full-and part-time positions.

3

Topics - 2Outline of 3Q 2007 Results (ending in March 2008)

New products/TechnologiesReleased HISCL-2000i, a fully automated immunoassay analyzer enabling highly sensitive and high-speed assay

Examine the presence or absence of infectious diseases, cancer, heart ailments, and autoimmune diseasesWidening product line-up of reagents

Received FDA Approval for Automated hematology analyzer XE-5000Startup of marketing for the automated hematology analyzer XE-5000

Won Awards in 2007 Kinki Local Commendation for InventionShibucho-award for one invention and Invention Incentive Awards for two other inventions

Automated hematology analyzer HISCL-2000i

High sensitivity・Speedy・Minimal sample volume

Other developmentsReceived two awards including "Special prize" in the Nikkei Annual Report Award 2007

Mizuki Noguchi won the Tokyo International Women's Marathon

（She belongs to Sysmex Women's truck & Field Team）

Annual Report

Automated hematology analyzer XE-5000

4

Financial Highlights

78.3

54.1

70.7

62.9

47.7

1.7

6.1

7.2

3.9

8.5

9.8

3.3

6.8

8.3

9.3

10.4

3.8

4.8

5.6

6.6

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

2004.3 2005.3 2006.3 2007.3 2008.3Sales

0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

Income

Sales Operating Income

Ordinary Income Income

Outline of 3Q 2007 Results (ending in March 2008)

112.1%10.49.3Ordinary Income

116.8%6.65.6Income

114.6%9.88.5Operating Income110.7%78.370.7Sales

As percentage of the 2007.3 3Q2008.3 3Q2007.3 3Q

3Q statement showed increases in sales and income for the 4th consecutive year, respectively.

Increase in the overseas sales share(63.7%→69.9%)Increase in the reagent sales share(43.4%→44.5%)

Public consensus figures from Japan not exceededIncrease in sales and improvement of income in the hematology segment in the USDirect-sales impact in Europe (Sales↑, SG&A Expenses↑)Impact of exchange rates (weak yen)

３Ｑ３Ｑ ３Ｑ３Ｑ３Ｑ

Exchange rate in the preceding 3Q report：1US$=¥116.2, 1EUR=¥148.0

Exchange rate in this 3Q report：1US$=¥117.3, 1EUR=¥162.8

(in billions of JPY)

(in billions of JPY)

5

Americas

11.1

13.715.0

0.66

0.09

0.29

0

3

6

9

12

15

18

2006.3 2007.3 2008.30.0

0.3

0.6

0.9

1.2

1.5

Geographic Segment Information (Americas & Europe)【 Americas 】

Favorable trend in sales to blood centersExtensive orders from integrated healthcare networks Slow sales of urinalysis analyzers and coagulation analyzersEstablished Sysmex Canada Inc.Distribution agreement with McKesson Medical-SurgicalReceive FDA approval for the automated hematology analyzer XE-5000Startup of the reagent production plant in Chicago

【 Europe 】Adverse market condition due to the impact of medical service reform in advanced areaSales increase in Central Europe due to direct-sales impact

SG&A increase (labor cost, goodwill depreciation and so on)

Brisk sales of hematology analyzers in the Mideast and AfricaSuccessful bids for big contracts under the government initiative

Slow sales of coagulation analyzersBrisk sales of urinalysis analyzers

Outline of 3Q 2007 Results (ending in March 2008)

３Ｑ３Ｑ３Ｑ

Europe

22.419.1

29.0

2.32.6

3.4

0

5

10

15

20

25

30

2006.3 2007.3 2008.30

2

4

6

３Ｑ３Ｑ３Ｑ

*POL ; Physicians Office Laboratories

(in billions of JPY)

(Net Sales to Outside customers)

(Operating Income)

(Net Sales to Outside customers)

(Operating Income)

6

Geographic Segment Information (China & AP)【China】

Extensive orders for systems in the hematology segmentCost pressure due to reduction of test expenses (insurance points)Increase bids of middle and low-end hematology analyzers under the

government initiative analyzersDecrease in the rate of successful bidding in tenders along with rise of indigenous manufacturers

Increase in highly-functional hematology analyzersBrisk sales of high unit-cost reagent sales

Increase in contracts for replacement/upgrading in the coagulation segmentIncrease in reagents

Brisk sales of urinalysis analyzers

【AP】Launch of sales activities in Menggu

Startup of sales activities by distributorSuccessful bids for big contracts under Malaysia's government initiativeBeginning of direct sales and support in Thailand Influence by delayed marketing of new products

In the segments of coagulation and clinical chemistryStartup of the reagent production plant in Baddi (India)

Outline of 3Q 2007 Results (ending in March 2008)

China

4.94.5

6.0

0.440.49

0.62

0

1

2

3

4

5

6

7

2006.3 2007.3 2008.30.0

0.2

0.4

0.6

0.8

1.0

３Ｑ３Ｑ３Ｑ

ＡＰ

2.92.6

3.5

0.370.45

0.32

0

1

2

3

4

2006.3 2007.3 2008.30.0

0.2

0.4

0.6

0.8

３Ｑ３Ｑ３Ｑ

(Net Sales to Outside customers)

(Operating Income)

(in billions of JPY)

(Net Sales to Outside customers)

(Operating Income)

7

Japan

25.326.7

24.7

16.217.7

21.1

3.8

4.5

5.3

0

5

10

15

20

25

30

2006.3 2007.3 2008.30.0

2.0

4.0

6.0

8.0

10.0

Sales to customers Intra-area Transfer

Operating Income

(Sales) (income)

Geographic Segment Information (Japan)【Japan】

Cost pressures from medical institutions whose management faces harsh circumstancesAccelerated reorganization of the industry including manufacturers, distributors, and commercial labsDeployment of low-price strategies by competitors

Successful bids for big contracts of university hospitalsInfluence by delayed marketing of new products

Delayed debut of new products in the segments of immunochemistry and coagulation

Startup of marketing of the automated hematology analyzer XE-5000Favorable trend of sales of the UF-1000i series of urinalysis analyzers

Increased recognition of utility based on the guidelines for thediagnosis of hematuria

Slow sales of influenza testing kitsReinforcement of sales promotion activities for influenza testing kits for the flu season

Outline of 3Q 2007 Results (ending in March 2008)

45.9

41.744.4

３Ｑ３Ｑ３Ｑ

Urine cell analyzer UF-1000i influenza testing kitsPOCTEM S Influenza

(in billions of JPY)

8

112.0

65.9

87.8

101.0

76.9 15.0

12.7

6.6

10.7

9.1

15.3

13.511.9

9.8

5.6

9.09.8

3.1

5.7

7.4

0

20

40

60

80

100

120

2004.3 2005.3 2006.3 2007.3 2008.3

Sale

s

0

5

10

15

20

Incom

e

Sales Operating Income Ordinary Income Income

Investment planInvestment plan

FY2007 Consolidated Earnings ForecastFY2007 Consolidated Earnings Forecast (Announced in May 2007)

FY2007 Consolidated Earnings Forecast

Sales: ¥112 billion Ordinary Income: ¥15.3 billion Ordinary Income ratio: ¥13.7%

Income:¥ 9.8 billionIncome ratio:8.8%

Equipment: ¥8.3 billion R&D: 9.8 billion

(in billions of JPY)

+10.8％

+8.8％

+18.0％

+12.7％

(Planned exchange rate : US$1= ¥115, EUR1= ¥150)

9

Projected Dividend for FY2007

¥¥ ３６

¥¥ ４０４０

Total

２０．０％

２０．８％２０．８％

Dividends ratio

(Consolidate)

¥¥ ２０¥¥ １６FY2006FY2006

¥¥ ２０２０¥¥ ２０２０FY2007FY2007

Year-end dividend

Interim dividend

FY2007 Consolidated Earnings Forecast

(Announced in May 2007)

A Unique & Global Healthcare Testing CompanyEND

IR & Corporate Communication Div.Phone: 81-078-265-0500Email: info@sysmex.co.jpURL: www.sysmex.co.jp

Challenging the Frontiers of Healthcare Testing

SYSMEX CORPORATION

PAC_E_0803_３Ｑ_01

Forward-looking StatementsThis material contains forward-looking statements about Sysmex Corporation and its group companies (the SysmexGroup). These forward-looking statements are based on the current judgments and assumptions of the SysmexGroup in light of the information currently available to it, and involve both known and unknown risks, uncertainties and other factors, including but not limited to: global economic conditions, competitive situations, and changes in exchange rates. Such risks, uncertainties, and other factors may cause the actual results, performance, achievements, or financial position to be materially different from any future results, performance, achievements, or financial position expressed or implied within these forward-looking statements.

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