Daiichi Sankyo Company (4568) Q3 2026 earnings summary

Executive summary

• Revenue grew 12.1% year-on-year to JPY 1,533.5 billion, led by strong sales of ENHERTU and DATROWAY, with significant contributions from oncology and international markets, despite negative FX impacts.

• Core operating profit rose 8.8% year-on-year to JPY 249.2 billion, while operating profit declined 5.9% due to higher temporary expenses and absence of prior year’s one-time gains.

• Profit attributable to owners increased 4.2% year-on-year to JPY 217.4 billion, aided by lower income taxes.

• No changes to the full-year consolidated earnings forecast; product-level sales forecasts updated but total revenue guidance unchanged.

• Total comprehensive income rose 11.7% to JPY 267.3 billion, supported by favorable currency translation differences.

Financial highlights

• Revenue up JPY 165.9 billion year-on-year, with oncology business contributing JPY 113.3 billion, and ASCA region up JPY 35 billion.

• SG&A expenses increased by JPY 93.7 billion, mainly due to profit sharing with AstraZeneca.

• R&D expenses rose by JPY 38.1 billion, reflecting increased investment in ADC development and 5DXd ADCs.

• Operating profit impacted by JPY 34.7 billion in CMO compensation and inventory write-downs.

• Basic EPS for the period was JPY 117.34, up from JPY 109.65 year-over-year.

Outlook and guidance

• No revision to FY2025 consolidated earnings forecast; full-year DATROWAY sales forecast raised by JPY 9.2 billion to JPY 47 billion.

• Full-year revenue forecast is JPY 2,100.0 billion (+11.3%), with core operating profit of JPY 350.0 billion (+11.9%).

• Profit attributable to owners is projected at JPY 288.0 billion (-2.6%), with basic EPS of JPY 155.59.

• Five-year business plan update scheduled for April, with further details on growth drivers and profit outlook.

• Annual dividend for FY2025 planned at JPY 78 per share, up JPY 18 from FY2024.