Kissei Pharmaceutical (4547) Q1 2025 earnings summary

Executive summary

• Net sales rose 9.6% year-over-year to ¥21,164 million for the three months ended June 30, 2024, driven by strong pharmaceutical sales and increased technical fees.

• Operating profit increased 32.2% year-over-year to ¥2,158 million, with ordinary profit up 6.0% and profit attributable to owners of parent up 25.8%.

• Gains were supported by higher sales, improved cost of sales ratio, and extraordinary income from the sale of investment securities.

• Pharmaceutical segment growth was led by Beova® Tablets and four other key products, while Information Services and Construction segments saw declines.

• R&D progress included successful Phase III results for Linzagolix and new licensing agreements for overseas markets.

Financial highlights

• Net sales: ¥21,164 million (+9.6% YoY); Operating profit: ¥2,158 million (+32.2% YoY); Ordinary profit: ¥2,876 million (+6.0% YoY); Profit attributable to owners of parent: ¥4,106 million (+25.8% YoY).

• Basic EPS: ¥92.89, up from ¥70.95 YoY.

• Gross profit margin improved, with gross profit at ¥10,881 million.

• Extraordinary income included ¥2,812 million from sale of investment securities.

• Comprehensive income declined to ¥1,594 million due to negative valuation differences on securities.

Outlook and guidance

• Full-year net sales forecast at ¥83,000 million (+9.8% YoY), with operating profit projected at ¥4,200 million (+4.6% YoY).

• Profit attributable to owners of parent expected at ¥5,400 million (+1.2% YoY); basic EPS forecast at ¥255.62.

• Dividend forecast raised to ¥90.00 per share for FY2025.