Promoting the adoption of alternatives to animal testing using cultured human tissues for research

「In Europe, strong interest in EpiSensA drove revenue growth, with the number of regular customers reaching 8. We are preparing to establish a subsidiary in Germany for a full-scale rollout. In India, interest in the corneal model is also growing in addition to the epidermal model, and we are actively conducting sales activities in line with local needs.」

「Revenue from the LabCyte business for the six-month period was ¥137.835 million, up 26.3% year on year, due to increased overseas sales. In Europe, interest in EpiSensA was high, the number of customers steadily expanded, and we are strengthening our workforce for a full-scale rollout. In India, interest in the corneal model is also growing in addition to the epidermal model, and we are actively conducting sales activities in line with local needs. In Japan, orders increased as we strengthened our capabilities through technical training on EpiSensA procedures and collaboration with the Teijin Structural Analysis Center, in addition to providing technical guidance. Furthermore, a skin irritation test method for medical devices using Epi-Model 24 was included in international standard ISO10993-23.」

「In Japan, we began contract testing services using EpiSensA. We are working with the Teijin Structural Analysis Center as an external contract testing organisation and seeking to expand LabCyte sales by expanding capacity to meet growing demand for EpiSensA. Overseas, we signed a distribution agreement with Siben Biotech in India and began sales promotion activities. We also began sales through several companies in Europe.」

「At the end of June 2024, EpiSensA, a skin sensitisation test method developed by Kao Corporation using Epi-Model 24, our core product, was included in OECD Test Guideline 442D as a new standard method. This was the world's first inclusion in a test guideline for a skin sensitisation test using a human three-dimensional reconstructed epidermis model. Using this inclusion as a springboard, we have begun activities aimed at expanding sales in Japan and overseas, and are steadily building recognition, as demonstrated by the high level of interest in Epi-Model 24. In Japan, we are also strengthening detailed follow-up for existing customers and promotional activities to acquire new customers.」

「Revenue from the research and development support business for the fiscal year was ¥242.042 million, up 17.0% year on year. The LabCyte series of human tissue cultures for research underwent a price revision in April 2023 due to higher raw material prices and logistics costs resulting from the yen's depreciation. Although there were concerns that the price revision would lead users to leave, revenue increased from the same period of the previous year as a result of detailed explanations through online meetings on how to use the products and answers to questions, as well as webinars on new applications.」

「Revenue from the research and development support business for the cumulative third quarter was ¥177.121 million, up 20.9% year on year. The LabCyte series of human tissue cultures for research underwent a price revision in April due to higher raw material prices and logistics costs resulting from the yen's depreciation. Although there were concerns that the price revision would lead users to leave, revenue increased from the same period of the previous year as a result of detailed explanations through online meetings on how to use the products and answers to questions, as well as webinars on new applications.」

「Revenue from the research and development support business for the cumulative second quarter was ¥115.602 million, up 22.7% year on year. The LabCyte series of human tissue cultures for research underwent a price revision in April due to higher raw material prices and logistics costs resulting from the yen's depreciation. Although there were concerns that the price revision would lead users to leave, revenue increased from the same period of the previous year as a result of detailed explanations through online meetings on how to use the products and answers to questions, as well as webinars on new applications. In addition, in April this year, we established the Research and Development Support Division, consolidating the manufacturing, sales, and development functions for the LabCyte series, with the aim of expanding business profit through agile product development and a compact organisational structure.」

「The LabCyte series of human tissue cultures for research underwent a price revision in April due to higher raw material prices and logistics costs resulting from the yen's depreciation. Revenue increased from the same period of the previous year despite the headwind of reduced research and development spending amid worsening economic conditions, supported by stronger sales activities through online meetings.」

「Revenue from the research and development support business for the cumulative third quarter was ¥146.445 million, down 16.6% year on year. The LabCyte series of human tissue cultures for research secured orders by strengthening sales activities through online meetings, despite customers reducing research and development spending amid the COVID-19 pandemic. However, this was insufficient to offset the decline in revenue resulting from the discontinuation of sales of F-hiSIEC, human intestinal epithelial cells derived from human iPS cells, and revenue declined from the same period of the previous year.」

「The results of joint research with customers were also presented at the 49th Annual Meeting of the Japanese Society of Toxicology, and a news release was issued. The company also worked to promote the value of the LabCyte series, including by using the results of joint research as promotional tools.」

「For the LabCyte series of human tissue cultures for research, orders increased as we actively approached existing and new customers by continuing to use online meetings, as in the previous fiscal year. We also worked to promote the value of the LabCyte series, including by using the results of joint research with customers as promotional tools.」

「To achieve further growth, we will pursue the development of an OECD guideline for the skin sensitisation test method, which has a large market, while also actively expanding overseas in Asia.」

「Revenue from the research and development support business for the cumulative third quarter was ¥175.583 million, up 28.3% year on year. For the LabCyte series of human tissue cultures for research, we continued to make maximum use of online tools and provide prompt, attentive follow-up tailored to each customer's needs. As a result, revenue increased substantially from the same period of the previous year. In December, we held an online seminar for customers in Taiwan and expanded our sales activities overseas. In addition, the OECD Test Guidelines include an eye irritation test method using Cornea Model 24, as well as skin irritation and skin corrosion test methods using Epi-Model 24, as standard methods. Inquiries from overseas have also been increasing.」

「Revenue from the research and development support business for the cumulative second quarter was ¥114.957 million, up 40.2% year on year. For the LabCyte series of human tissue cultures for research, we made maximum use of online tools and provided prompt, attentive follow-up tailored to each customer's needs as the impact of COVID-19 continued. As a result, revenue increased substantially from the same period of the previous year. In September 2021, we held the Skin Basic Research Cluster Forum, a nationwide forum for researchers involved in basic skin research, online for the first time. We were able to attract a record number of researchers and provide them with the latest information. In addition, the OECD Test Guidelines include an eye irritation test method using Cornea Model 24, as well as skin irritation and skin corrosion test methods using Epi-Model 24, as standard methods. Inquiries from overseas have also been increasing.」

「Revenue from the research and development support business during the cumulative first-quarter period was ¥50.777 million, up 57.6% year on year. For the LabCyte series of human cultured tissues for research, the Company made maximum use of online tools amid the continuing impact of COVID-19 and provided prompt and thorough follow-up support tailored to each customer’s needs. As a result, revenue increased substantially year on year.」

「Revenue from the research and development support business during the cumulative third-quarter period was ¥136.85 million, up 41.4% year on year. The spread of COVID-19 resulted in experiments at customer research institutes being suspended or cancelled, as well as the loss of public-relations opportunities because conferences and other events were cancelled. Under these circumstances, the Company made maximum use of online tools in selling the LabCyte series of human cultured tissues for research and provided existing customers with prompt and detailed follow-up support. It also strengthened its approach to new users, including overseas customers, resulting in a substantial year-on-year increase in revenue.」

「Revenue from the research and development support business during the cumulative second-quarter period was ¥81.972 million, up 27.6% year on year. The spread of COVID-19 resulted in experiments at customer research institutes being suspended or cancelled, as well as the loss of public-relations opportunities because conferences and other events were cancelled. Under these circumstances, the Company made maximum use of web meetings to strengthen follow-up support for existing customers and actively held online product briefings for new customers, enabling revenue to increase substantially year on year.」

「Revenue from the research and development support business during the cumulative first-quarter period was ¥32.209 million, up 6.6% year on year. The spread of COVID-19 affected the business as experiments at customer research institutes were suspended or cancelled and opportunities for public relations were lost because conferences and other events were cancelled. Under these circumstances, the Company made maximum use of web meetings to gather information from existing customers and actively held online product briefings for new customers. As a result of these sales activities targeting domestic and overseas cosmetics and chemical manufacturers, among others, revenue increased year on year.」

「Revenue from the research and development support business during the fiscal year was ¥140.33 million, up 18.7% year on year. Revenue increased year on year as a result of sales activities targeting domestic and overseas cosmetics and chemical manufacturers, among others.」

「Revenue from the research and development support business was ¥96.753 million, up 12.9% year on year. Revenue increased year on year as a result of sales activities targeting domestic and overseas cosmetics and chemical manufacturers, among others. OECD Test Guidelines include the eye irritation test method using LabCyte Cornea-Model 24 and the skin irritation and skin corrosion test methods using Epi-Model 24 as standard methods. Leveraging these achievements, the Company will continue promoting the LabCyte series as a more reliable alternative material for animal testing, with the aim of further expanding revenue.」

「Revenue from the research and development support business during the cumulative second-quarter period was ¥64.255 million, up 15.5% year on year. Revenue increased year on year as a result of sales activities targeting domestic and overseas cosmetics and chemical manufacturers, among others. OECD Test Guidelines include the eye irritation test method using LabCyte Cornea-Model 24 and the skin irritation test method using Epi-Model 24 as standard methods, and in June 2019 the skin corrosion test method using Epi-Model 24 was newly included. Leveraging these achievements, the Company aims to further expand revenue by promoting the LabCyte series as a more reliable alternative material for animal testing.」

「The eye irritation test method using Cornea-Model 24 was included in OECD Test Guideline 492 (TG492) in June 2018, followed by the inclusion of the skin corrosion test method including Epi-Model 24 in OECD Test Guideline 431 (TG431) in June 2019.」

「The eye irritation test method using Cornea-Model 24 was included in OECD Test Guideline 492 (TG492) in June, and in November a draft of the guideline for skin corrosion testing, including Epi-Model 24, TG431, was published on the OECD website.」

「The Company also pursued overseas promotional activities, including holding LabCyte handling training seminars for Asian markets such as Malaysia in September.」

「In June 2018, the eye irritation test method using LabCyte Cornea-Model 24 was included in Test Guideline 492 of the Organisation for Economic Co-operation and Development (OECD), OECD TG492.」

「The Company completed validation research aimed at having the skin corrosion test method using Epi-Model 24 included in OECD TG431 and proceeded with preparations for submission to the OECD.」

「At the Japanese Society for Alternatives to Animal Experiments held in November 2017, the Company exhibited jointly with Cellular Dynamics International Japan Inc., another company in the FUJIFILM Group, and held a luncheon seminar as part of efforts to expand sales of human cultured tissues.」

「Sales increased year on year, partly because of the effect of a uniform ¥10,000 price increase for the main products implemented in April 2017. For the corneal model, a revised draft of OECD TG492 was posted on the OECD website in August 2017 to solicit comments ahead of its inclusion as an eye irritation test guideline.」

「The LabCyte series of human cultured tissues for research, part of the research and development support business, comprises reagents that replace animal testing. In July 2013, the test method for skin irritation using LabCyte Epi-Model 24 was included as one of the standard methods in the OECD Test Guideline TG439. The Company is also conducting joint research on the LabCyte Cornea-Model with the aim of standardising eye irritation testing promoted by the OECD.」

「Based on advanced cell-culture technology accumulated through research and development in its regenerative medicine products business, the Company launched the LabCyte Epi-Model human cultured epidermal tissue for research in 2005, the LabCyte Melano-Model human cultured epidermal tissue containing melanocytes in 2006, the LabCyte Cornea-Model human cultured corneal epithelial tissue in 2010, and the LabCyte Epi-Kit cultured epidermal tissue kit.」