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upfront investments in the oncology business. 

Compared with the start point of fiscal 2010, we have been able to steer the Company towards growth during the period covered so far by the 2014 Mid-Term Management Plan. I am confident that our application of growth and efficiency strategies has produced significant results. 

## Fiscal 2013 Performance 

Effective the fiscal 2013, we have adopted International Financial Reporting Standards (IFRS) to help improve the international comparability of our financial information. This move reflects our current global business development and shareholder composition. 

In line with the change to IFRS, we disclose financial results on a core basis as an indicator of our recurring profitability. 

In fiscal 2013, we reported steady overall growth in results, with increases in sales, core operating profit and core profit for the year. 

As our business continues to develop steadily, to realize sustainable growth while responding flexibly to a rapidly changing business environment, we are focusing on three strategic initiatives: maximize value of new products, enhance innovation and pursue operational excellence. 

## Maximize the value of new products 

In the therapeutic area of urology, on top of our mainstay product Vesicare, we have now launched mirabegron which has a different mechanism of action, in many countries. Due to steady growth of both products, our overactive bladder (OAB) treatment sales increased by 40% year on year in fiscal 2013, and we reinforced our position as No. 1 in this market. 

In oncology, we launched XTANDI in Europe in July 2013, following its launch in the U.S. In Japan, we received approval in March 2014, and launched it in May 2014. Our oncology sales rose 87% year on year in fiscal 

## Review of the 2014 Mid-Term Management plan (numerical Aspects) J-GAAp 

<img src='content_image/270485.jpg'>

*1 Announced in November 2010 

*2 The Company does not disclose forecasts for fiscal 2014 under J-GAAP. Figures represent forecasts on an IFRS core basis calculated under J-GAAP. 

2013 driven by the growth of XTANDI. 

In May 2013, we entered into a strategic alliance in Japan with Amgen Inc. to expand our product pipeline. Under this alliance, we will co-develop and co-commercialize five of Amgen’s pipeline medicines. 

(For more details on maximizing the value of new products, please refer to pages 24–25.) 

## Enhance innovation 

In May 2013, to enhance our ability to generate innovative drugs, we decided to reshape our research framework and introduce a new system for R&D. Along with strengthening of our own research capability, the aim of these moves is to achieve more flexibility in our research system and related resource allocation so that we can benefit from incorporating external innovation and making forays into new disease areas and try new technologies. 

Specifically, our R&D reforms are centered on four themes: integrating and reinforcing our drug discovery research functions, expanding our use of external cutting- edge science; targeting new therapeutic areas and drug discovery platform technologies; and accelerating drug discovery. 

The establishment of Astellas Innovation Management (AIM) in October 2013 was a related move to enable more systematic and wide-ranging capture of opportunities to develop innovative drugs from external bio-ventures and academia. This initiative has already generated some achievements. 

(For more details on enhancing innovation, please refer to pages 26–28.) 

## pursue Operational Excellence 

To support our continued investment in high-value-added areas, we are targeting optimized allocation of resources and pursuing operational excellence by building an optimal manufacturing framework and boosting operational 

