Kissei Pharmaceutical (4547) Q1 2026 earnings summary

Executive summary

• Net sales rose 4.9% year-over-year to ¥22,191 million for the three months ended June 30, 2025, driven by growth in key pharmaceutical products and strong performance in non-pharma segments.

• Operating profit declined 2.3% year-over-year to ¥2,108 million due to higher cost of sales ratio and increased SG&A expenses, despite higher sales.

• Ordinary profit and profit attributable to owners of parent increased by 1.4% and 10.1% year-over-year, respectively, supported by extraordinary income from gain on sale of investment securities.

• Comprehensive income surged 256.0% year-over-year to ¥5,677 million, reflecting improved valuation of available-for-sale securities.

Financial highlights

• Gross profit increased to ¥11,079 million from ¥10,881 million year-over-year.

• Basic earnings per share rose to ¥107.88 from ¥92.89 year-over-year.

• Total assets stood at ¥243,668 million, with net assets at ¥208,232 million as of June 30, 2025.

• Equity ratio was 85.0%, slightly down from 85.6% at the previous fiscal year-end.

Outlook and guidance

• Full-year net sales forecast for FY2026 is ¥91,500 million, up 3.6% year-over-year.

• Operating and ordinary profit for FY2026 revised to losses of ¥4,000 million and ¥2,600 million, respectively, due to increased R&D expenses from a new technology licensing agreement.

• Profit attributable to owners of parent for FY2026 maintained at ¥12,300 million, up 2.8% year-over-year, supported by expected extraordinary gains.

• Interim and year-end dividends forecast at ¥60.00 per share each, totaling ¥120.00 for the year.