Kissei Pharmaceutical (4547) Q4 2025 earnings summary

Executive summary

• Net sales for fiscal 2024 reached ¥88,330 million, up 16.9% year-over-year, with operating profit at ¥5,773 million, up 43.7% year-over-year, and profit attributable to owners of parent at ¥11,961 million, up 7.2%.

• Growth was driven by strong pharmaceutical sales, especially new product launches and increased overseas licensing revenue.

• R&D expenses rose 36.0% year-over-year to ¥12,889 million, reflecting in-licensing and clinical trial preparations.

• The company recorded extraordinary income from the sale of investment securities and extraordinary losses from impairment related to terminated co-promotion agreements.

• Record highs achieved in both pharmaceutical and other business segments.

Financial highlights

• Gross profit increased 18.0% year-over-year to ¥44,065 million.

• Operating profit margin improved to 6.5% of net sales, up from 5.3% year-over-year.

• Basic earnings per share rose to ¥274.21.

• Overseas licensing revenue surged 74.1% year-over-year to ¥7,770 million.

• Cash and cash equivalents at year-end were ¥48,158 million, up 5.0% from the previous year.

Outlook and guidance

• Fiscal 2025 net sales forecasted at ¥91,500 million (+3.6% YoY), with operating profit of ¥6,000 million (+3.9% YoY), and profit attributable to owners of parent up 2.8%.

• Pharmaceutical business sales expected to rise 0.3% year-over-year, with other businesses projected to grow 22.8%.

• R&D expenses to remain high at ¥13,000 million (+0.9% YoY), supporting late-stage clinical development.

• Overseas licensing revenue expected to decline 21.5% year-over-year due to prior period technical fees.

• Full-year dividend is planned to increase to ¥120 per share.