Otsuka (4768) investor relations material

Executive summary

• Consolidated net sales for Jan–Jun 2026 reached ¥757.5 billion, up 9.0% year-over-year and 109.9% of plan.

• Operating profit rose 8.0% to ¥53.1 billion, ordinary profit increased 9.4% to ¥54.8 billion, and profit attributable to owners of parent grew 8.4% to ¥37.0 billion.

• Comprehensive income was ¥37,074 million, nearly flat year-over-year.

• Non-consolidated net sales were ¥663.9 billion, up 7.6% year-over-year, with operating profit up 9.0% and ordinary profit up 8.4%.

Financial highlights

• Q2 2026 consolidated net sales were ¥412.7 billion, up 8.7% year-over-year; operating profit was ¥29.6 billion (+5.7%), ordinary profit ¥30.5 billion (+8.0%), and profit attributable to owners of parent ¥20.3 billion (+3.4%).

• Gross profit increased to ¥138,542 million from ¥128,768 million year-over-year.

• Basic earnings per share for the period were ¥97.53, up from ¥90.00 a year earlier.

• Total assets grew to ¥823,297 million as of June 30, 2026, from ¥729,200 million at the previous year-end.

• Cash flow from operating activities was ¥52.4 billion, while investing and financing cash flows were negative, reflecting ongoing investments and dividend payments.

• Cash and cash equivalents at period-end were ¥258,955 million, up from ¥253,620 million at the start of the period.

• Equity ratio as of June 30, 2026, stood at 51.7%, with interest-bearing debt ratio at 0.9%.

• Net assets increased to ¥419,329 million, with an equity ratio of 50.3%.

• Dividend per share planned at ¥105.0 (annual), with a payout ratio of 61.3%.

Outlook and guidance

• Full-year consolidated net sales forecast revised upward to ¥1,379 billion (+4.2% year-over-year), with operating profit projected at ¥96.1 billion (+4.8%).

• Ordinary profit forecast at ¥96.1 billion (+5.0%), profit attributable to owners of parent at ¥64.9 billion (+0.9%), and basic earnings per share at ¥171.15.

• Dividend forecast revised upward to ¥105.00 per share for the year.

• Management targets stable growth, maintaining profit ratios above 7% and focusing on productivity improvements.