Message from the President

Thank you for your continued support of Japan Tissue Engineering.

We have been committed consistently to the regenerative medicine business model focused on the use of patients' own cells. As a result, we have brought to market five products, including autologous cultured epidermis JACE and autologous cultured cartilage JACC, and provided them to over 3,000 patients. JACE is not only used for patients with severe burn injuries that were previously difficult to treat, but it offers new treatment options to patients suffering from giant congenital melanocytic nevi or epidermolysis bullosa.
Autologous cultured cartilage is used to treat difficult-to-cure knee joint cartilage problems. The post marketing surveillance we carried out has confirmed its safety and efficacy. Its efficacy has also been proven by a long period of follow-up as well. Moreover, we have conducted a clinical trial on knee osteoarthritis afflicting more patients, with very positive results. We are deeply grateful to the doctors who participated in the trial and the patients who cooperated. We will continue our effort to deliver this product to as many patients as possible.

We receive various requests from many stakeholders through our custom development & manufacturing business for regenerative medical products. As is well known, securing a stable supply of regenerative medical products is not easy. These products are based on living cells, and the properties of the individual cells are not necessarily uniform. Enabling more stable cell culture requires selecting appropriate medical agents, establishing appropriate testing methods, and considering appropriate ways of product packaging and transportation. It is also necessary to document all these details through negotiations with the regulatory authorities. Based on the track record of marketing regenerative medical products that we have built so far, we support the development of products that can be implemented widely in society. These custom development & manufacturing business projects also play a key role in the spread of regenerative medicine that we seek to achieve.

By leveraging the technologies that we have gained in the field of regenerative medicine, we engage in R&D support business, which involves toxicity testing for chemical substances among other things. The LabCyte series products are capable of evaluating the properties of cosmetics and other chemical substances that are applied to the human body, such as irritation to the skin and corrosiveness. There are growing expectations for alternatives to animal testing in the U.S. as well. We will see living cell-based assay systems grow in importance going forward. Our R&D support business began with the development of regenerative medical products. We intend to turn this business into a growth market on the basis of our superb quality assurance system.

Last fiscal year was a very important one in which we needed to accomplish our major mission of "achieving profitability." While securing enough money for the necessary R&D investments, we computerized and streamlined our production processes and promoted our sales activities, carrying forward management rationalization as well. Moreover, our custom development & manufacturing business and R&D support business grew steadily. Making robust efforts to build an entirely new business model for regenerative medicine focused on the use of patients' own cells, we have come a step closer to our goal of "Creating a Future for Regenerative Medicine." All these experiences are extremely precious to us. There is now an even higher possibility that we will be able to provide regenerative medicine to a broader range of patients in the near future.
As mentioned earlier, dramatic growth is expected in all the three areas, each involving elements of innovation. We are going to keep working closely not just with shareholders and doctors and patients of medical institutions but also with all other stakeholders including the staff of our business partners, members from academia, and officials of government agencies.
Your continued support will be very much appreciated.

June 19, 2024