Medinet Co. Ltd. announced consolidated earnings results for the six months ended March 31, 2012. For the period, the company reported net sales of JPY 1,114,640,000 against JPY 1,442,361,000 for the same period a year ago. This result was influenced by 1) a decrease in the number of patients who receive immuno-cell therapy and 2) a decrease in the revenue from marketing activities targeting cancer patients and patients' families for contracted medical institutions. Operating loss was JPY 319,798,000 against operating profit of JPY 6,479,000 for the same period a year ago. This result was influenced by the increase in selling, general and administrative expenses (a year-on-year increase of JPY 32,976,000, by 3.7%), which is resulted from mainly an increase in the expense of R&D (an increase by 22.7%, a year-on-year) and expense of general and administrative expenses related to the implementation of enterprise resource planning system in October 2011 (an increase by 6.0%, a year-on-year). Ordinary loss was JPY 311,620,000 against JPY 15,805,000 for the same period a year ago. Loss before income taxes was JPY 331,820,000 against JPY 37,635,000 for the same period a year ago. Net loss was JPY 335,926,000 against JPY 101,485,000 for the same period a year ago. Net cash used in operating activities was JPY 81,148,000 against JPY 57,808,000 for the same period a year ago. Cash outflow from purchase of property, plant and equipment was JPY 108,909,000 against JPY 15,487,000 for the same period a year ago. Cash outflow from purchase of intangible assets was JPY 70,858,000 against JPY 43,227,000 for the same period a year ago. Net loss per share was JPY 458.44 against JPY 145.82 for the same period a year ago. The company provided consolidated earnings guidance for the fiscal year ending September 2012. For the year, the company expects net sales of JPY 2,650 million, operating loss of JPY 400 million, ordinary loss of JPY 400 million, net loss of JPY 410 million and net loss per share of JPY 559.53.