Hitachi Healthcare Company - Our Strategy and Opportunities -
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1 Innovative collaboration for better healthcare [Session III: Some tools for the future healthcare system] Hitachi Healthcare Company - Our Strategy and Opportunities - Masahiro Kitano Senior Vice President and Executive Officer President CEO of Healthcare Group and Healthcare Company Hitachi, Ltd Overview of Hitachi Business Segments Financial Services Others (Logistics and Other services) 13% 3% 18% Information Telecommunication Systems Smart Life Ecofriendly Systems Automotive Systems 7% 8% Revenues 9,616 billion yen 7% 14% Power Systems Social Infrastructure Industrial Systems High Functional Materials Components 13% 7% 10% Electronic Systems Equipment * The percentages are based on the new segment classifications effective from FY2014 Construction Machinery 2 1
2 1-2. Overview of Hitachi - Global Expansion Europe Sales:812 billion yen Number of companies:146 Number of employees:10.3 thousand China Sales:1,073 billion yen Number of companies:177 Number of employees:46.4 thousand Asia(incl. China) Sales:2,063 billion yen Number of companies:363 Number of employees:88.8 thousand Japan North America Sales:910 billion yen Number of companies:84 Number of employees:15.5 thousand Sales:5,303 billion yen Number of companies:284 Number of employees:196.2 thousand Other Regions Sales:526 billion yen Number of companies:71 Number of employees:9.9 thousand Japan Outside Japan Total Sales:5,303 billion yen/number of companies:283/number of employees:196.2 thousand Sales:4,312 billion yen/number of companies:664/number of employees:124.5 thousand Sales:9,616 billion yen/number of companies:948/number of employees:320.7 thousand * Sales: FY2013 Companies, Employees: As of end of FY Overview of Hitachi Social Innovation Hitachi contributing the world by Social Innovation Business (SOCIAL INNOVATION IT S OUR FUTURE) [IT] [Social Infrastructure] Energy City management Transport Healthcare Water Logistics Big data(it) Finance 4 2
3 2. Healthcare Related Solutions Diagnostic Equipment Healthcare IT Research institutes Hospitals Ultrasound MRI CT X-ray Optical topography 77% Diagnostic equipment 17% Healthcare IT FY2013 Revenues billion yen 6,000 employees 6% Therapy equipment Data platform services Preventive services Solutions for hospitals and community healthcare Clinic Clinic Clinic Therapy Equipment Blood analyzer Particle beam therapy (PBT) X-ray therapy 5 3. Healthcare Business Strategy Current Future Target diseases Cancers Diabetes( Heart, Brain diseases) Psychiatry Objective Technologies (Diagnosis) Diagnostic imaging PET X-ray CT Improve quality of life(qol) Healthcare expenditures reduction Non-invasive Ultrasound MRI Technologies (Therapy) HCR Technologies EHR (Big data analysis) PACS Surgery Chemotherapy Surgery Non-invasive Radiation therapy(x-ray, PBT) Chemotherapy Immunotherapy Gene therapy Medical IT Prognosis management and Preventive medicine Population healthcare management Patient vital data monitoring 6 3
4 4-1. Particle Beam Therapy - Facilities around the world (Including Facilities in Operation, under construction and in planning stage) Total System supplied by Hitachi Partial System supplied by Hitachi Others 87% (75) Heidelberg lon Therapy Center World 86 sites Pie charts show Hitachi s market share(%) in number of units Hitachi 13% (11) The Wakasa-bay Energy Research Center Nagoya Proton Therapy Center Hokkaido University Proton Therapy Center Hitachi 35% (6) Japan Others 17 sites 65% (11) A Famous Hospital (Arizona) National Institute of Radiological Sciences A Famous Hospital (Minnesota) Hitachi 16% (4) USA 25 sites Others 84% (21) A Famous Hospital (Tennessee) MD Anderson Cancer Center Tsukuba University Proton Medical Research Center National Cancer Center Hospital East Customers activities are significantly increasing Hong Kong, Taiwan, Germany, Singapore, UK, Japan and USA Particle Beam Therapy - Our Unique Features 1) Proven Spot Scanning Technology Restrained radiation dose to areas other than the cancer tumor through pinpoint irradiation according to tumor shape 2) Compact Synchrotron Design Conventional Circumference:23m New Design Circumference:18m 3) Treatment Planning System Software 4) Proven High System Availability Hitachi has developed its Treatment Planning System highly optimized for PBT. 100% 80% 98% 97% 97% 96% 98% 99% 99% 97.5% Availability 60% 40% 20% 0% Year 8 4
5 5. Prognosis control and Daily monitoring Integrate split data in each period of prevention, screening, diagnosis, therapy and prognosis into one healthcare cycle under secure storage technology to provide various services. Virtual file storage Ultrasound (M$*) MRI EHR Administratio n document X-ray CT Vender Neutral Archive Data Center Secure data aggregation and management Feed back Sophisticated data analysis in cloud database Population Health Management Prognosis control (including 24-hours vital data monitoring) Minimum invasive diagnosis - Ultrasound scanner Ultrasound scanners No radiation Small/Movable units Elastography technology for Cancer diagnosis Cancer imaging(by Elastography) Vessel imaging (M$*) 10 5
6 6-2. Minimum invasive diagnosis - MRI Magnetic Resonance Imaging (MRI) No radiation Vessel imaging without contrast agent High contrast resolution Cancer screening Vessel imaging without using contrast agent 1.5Tesla MRI DWIBS Life Tapestry Regular life Irregular life Active life Oversea trip 12 6
7 8. Future image of Hitachi s Healthcare Business Supporting various needs of care cycles by Healthcare IT Medical Technology Care Cycle Prevention Checkup Screening Diagnosis Therapy Treatment Prognosis Elderly care IT Medical Technology Logistics Water Energy Hospital Finance Healthcare Infrastructure Insurer Air condition Facilities 13 7
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