Daiichi Sankyo Company (4568) Q4 2026 earnings summary

Executive summary

• FY 2025 revenue rose 12.6% year-on-year to JPY 2,123 billion, driven by oncology growth, especially ENHERTU/Enhertu and Datroway, and favorable foreign exchange effects.

• Core operating profit increased 15.1% to JPY 360 billion, but operating profit fell 31% due to significant one-time/temporary expenses, including CMO compensation and plant/site-related costs.

• Profit attributable to owners decreased 12.1% to JPY 259.9 billion.

• The sixth five-year business plan (FY 2026–2030) targets revenue over JPY 3 trillion and operating profit above JPY 600 billion by FY 2030, focusing on oncology and breakthrough technologies.

• Major R&D progress in ADCs, with multiple regulatory approvals and clinical milestones for ENHERTU/Enhertu and Datroway.

Financial highlights

• Revenue up JPY 236.8 billion year-on-year (+12.6%), with strong contributions from ENHERTU/Enhertu (+JPY 145.5 billion) and Datroway (+JPY 46.2 billion).

• SG&A expenses rose JPY 134.8 billion, R&D up JPY 29.3 billion, and cost of sales up JPY 25.6 billion.

• Operating profit impacted by JPY 149.9–153.0 billion in one-time/temporary expenses, mainly from CMO compensation, site investment cancellations, and inventory write-downs.

• Dividend per share increased to JPY 78 for FY 2025, with a forecast of JPY 100 for FY 2026.

• Share repurchase of JPY 91.8 billion completed, with all shares to be canceled.

Outlook and guidance

• FY 2026 revenue forecast to rise 7.4% to JPY 2.28 trillion, driven by further ENHERTU/Enhertu and Datroway growth.

• Core operating profit expected to increase 27.5% to JPY 360 billion; operating profit to rise 37.5% to JPY 315 billion.

• Dividend per share planned at JPY 100, marking five consecutive years of increases and targeting DOE above 10%.

• Oncology revenue projected to exceed JPY 2.3 trillion by 2030, with continued leadership in breast and lung cancer.

• FY 2030 targets: revenue >JPY 3 trillion, operating profit >JPY 600 billion, EPS >JPY 260.