Revenue

Revenue totaled ¥116.2 billion, which was a decrease of ¥11.4 billion (8.9%) from the corresponding period of the previous fiscal year (year on year).

Sales of Domestic Goods and Products

• Sales of domestic products decreased by ¥26.0 billion (35.0%) year on year to ¥48.1 billion.
  The decline was primarily attributable to the termination of the co-promotion agreement with AstraZeneca for Forxiga Tablets, resulting in no sales being recorded for the product in the current period (¥25.1 billion in the same period of the previous fiscal year). In addition, sales of Opdivo Intravenous Infusion for malignant tumors decreased by ¥1.2 billion (4.1%) year on year to ¥28.2 billion, mainly due to the intensified competitive environment.
  Sales of Ongentys Tablets for the treatment of Parkinson’s disease increased by ¥0.4 billion (16.9%) year on year to ¥2.6 billion, driven by continued market penetration. Sales of Parsabiv Intravenous Injection for Dialysis for secondary hyperparathyroidism on hemodialysis, increased by ¥0.2 billion (10.0%) year on year to ¥2.4 billion, mainly due to broader adoption of CKD-MBD (chronic kidney disease-mineral and bone disorder) management in line with treatment guidelines. Sales of Braftovi Capsules for malignant tumors increased by ¥0.7 billion (51.1%) year on year to ¥2.0 billion, mainly due to expanded use in first-line treatment for colorectal cancer.

Sales of Overseas Goods and Products

• Sales of overseas products increased by ¥6.1 billion (44.8%) year on year to ¥19.8 billion.
  Sales of QINLOCK® (ripretinib) for gastrointestinal stromal tumor, marketed by Deciphera Pharmaceuticals, LLC, the operating company of Deciphera Pharmaceuticals, Inc., increased by ¥2.8 billion (31.5%) year on year to ¥11.7 billion driven by broader adoption and appropriate use in the GIST treatment area. Sales of ROMVIMZA® (vimseltinib), also marketed by Deciphera, for tenosynovial giant cell tumor (TGCT) treatment increased by ¥3.1 billion (289.3%) year on year to ¥4.1 billion, reflecting expansion into additional markets, including in Europe.

Royalty and Others

• Royalty and others increased by ¥8.5 billion (21.2%) year on year to ¥48.2 billion, mainly due to an increase in royalty revenue from Bristol-Myers Squibb Company.

[Core Operating Profit]

Core operating profit was ¥38.7 billion, an increase of ¥7.1 billion (22.5%) year on year.

• Cost of sales decreased by ¥7.5 billion (26.5%) year on year to ¥20.6 billion mainly due to the termination of the co-promotion agreement for Forxiga Tablets.
• Research and development costs decreased by ¥3.8 billion (10.6%) year on year to ¥32.4 billion mainly due to the absence of expenses recorded in the same period of the previous fiscal year in connection with the drug discovery collaboration agreement with LigaChem Biosciences, as well as one-time clinical development costs to Bristol-Myers Squibb, despite increases in research costs.
• Selling, general, and administrative expenses (except for research and development costs) decreased by ¥7.2 billion (23.1%) year on year to ¥23.9 billion mainly due to the termination of the co-promotion agreement for Forxiga Tablets and the promotion of cost efficiency.

[Core profit for the period] (attributable to owners of the Company)

Core profit attributable to owners of the Company increased by ¥5.4 billion (21.9%) year on year to ¥30.2 billion in association with the increase of the profit before tax.