On October 28, 2019 JSR reported that Consolidated Financial Results for the First Six Months of the Fiscal Year Ending March 31, 2020 (Press release, JSR, OCT 28, 2019, View Source net/doc/4185/ir_material_for_fiscal_ym3/72729/00.pdf [SID1234610438])

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1. Consolidated financial results for the first six months of the fiscal year ending March 31, 2020 (from April 1, 2019 to September 30, 2019)
(1) Consolidated operating results (Cumulative)
(2) Consolidated financial position

2. Cash dividends
3. Consolidated earnings forecasts for the fiscal year ending March 31, 2020 (from April 1, 2019 to March 31, 2020)

* Notes
(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change in scope of consolidation): None
(2) Changes in accounting policies and changes in accounting estimates a. Changes in accounting policies required by IFRS: Yes b. Changes in accounting policies due to other reasons: None c. Changes in accounting estimates: None (3) Number of issued shares (ordinary shares) a. Total number of issued shares at the end of the period (including treasury shares)

* Quarterly financial results reports are not required to be subjected to quarterly reviews.
* Proper use of earnings forecasts, and other special matters Caution regarding forward-looking statements The forward-looking statements, including earnings forecasts, contained in these materials are based on information currently available to the Company and on certain assumptions deemed to be reasonable by the Company. These statements do not purport that the Company pledges to realize such statements. Actual business and other results may differ substantially due to various factors. How to obtain supplementary material on quarterly financial results The material on quarterly financial results is available on the Company’s website on Monday, October 28, 2019.

1. Qualitative Information on Quarterly Results
(1) Explanation of Business Results

Overview of the First Half of FY ending March 2020 (April 1, 2019 to September 30, 2019) JSR Group’s main customer industries have continued to face tough conditions since the second half of the previous fiscal year, given the U.S.-China trade conflict, the confusion surrounding the negotiations of the U.K.’s exit from the EU, and other factors, which are exacerbated by the growing economic slowdown in East Asia countries.

Under these circumstances, JSR Group has focused in the Elastomers Business on expanding global sales of products with advantages in technological competitiveness. In the Plastics Business, Techno-UMG Co., Ltd.

— in its second year since its merger — has aimed to realize synergy benefits through business consolidations and continued with integration of sales, development, and manufacturing. In the Digital Solutions Business, the Group has promoted expanded sales of semiconductor products applicable to cutting-edge technologies as well as greater sales of display materials in the Chinese market where strong growth is expected. In the Life Sciences Business, the Group has concentrated on enhancing consolidation of the structures undertaking endto-end biomedical drug discovery, production process development, and contract manufacturing obtained through active business acquisitions, in addition to enlarged sales of highly functional products, a company strength.

In the First Half of FY ending March 2020, the Company reported revenue of 240,149 million yen (down 2.3% year-on-year), operating profit of 18,999 million yen (down 15.2% year-on-year), and profit attributable to owners of parent of 13,472 million yen (down 19.4% year-on-year).

(i) Elastomers Business Segment Overall sales volume in the Elastomers Business segment decreased from the same period of the previous year and revenue was also down, despite satisfactory growth in SSBR sales volume. Operating profit dropped considerably, impacted by a contraction in price spreads due to lower sales prices caused primarily by lower raw material prices. Consequently, the Elastomers Business segment posted an operating loss of 278 million yen, down from an operating profit of 4,715 million yen in the same period of the previous year, on revenue of 91,007 million yen (down 8.4% year-on-year) in the First Half of FY ending March 2020.

(ii) Plastics Business Segment Sales volume, especially sales to overseas destinations, in the Plastics Business segment slipped from the same period of the previous year and revenue also fell. Despite better price spreads supported by lower cost prices on declining raw material prices, operating profit declined due to the significant impact of the sales volume slump. Consequently, the Plastics Business segment posted an operating profit of 3,635 million yen (down 7.9% year-on-year) on revenue of 48,962 million yen (down 6.9% year-on-year) in the First Half of FY ending March 2020.

(iii) Digital Solutions Business Segment Revenue improved in the Digital Solutions Business segment from the same period of the previous year, on the back of sales volume growth in edge computing materials and a good showing by semiconductors in spite of tough conditions in customer markets. Operating profit also rose slightly, driven by revenue growth. Consequently, the Digital Solutions Business segment posted an operating profit of 17,048 million yen (up 2.6% year-on-year) on revenue of 73,731 million yen (up 3.0% year-on-year) in the First Half of FY ending March 2020.

(iv) Life Sciences Business Segment The Life Sciences Business segment saw a sizable jump in revenue from the same period of the previous year, supported by expanded sales in biomedical drug discovery, production process development, and contract manufacturing as well as in diagnostic reagents. The segment’s operating profit increased due to a rise in profits concurrent with expanded revenue. Consequently, the Life Sciences Business segment posted an operating profit of 1,992 million yen (up 376.0% year-on-year) on revenue of 25,080 million yen (up 30.2% year-on-year) in the First Half of FY ending March 2020.

(2) Explanation of Future Forecast Information, such as Forecast of Consolidated Business Results JSR Group revised its forecast of consolidated business results for the full-year of FY ending March 2020 from those announced on July 29, 2019. While the Life Sciences Business has been going strong, sales volume declines and sluggish market conditions in the Elastomers and Plastics Businesses, and the slowdown in customer demand for display materials in the Digital Solutions Business depress the forecast and it is expected to fall below the previous forecast. For detailed numerical information, please refer to "Supplemental Data" published on October 28,2019.