Daiichi Sankyo Company (4568) Q4 2026 earnings summary

Executive summary

• FY 2025 revenue rose 12.6% year-on-year to JPY 2,123 billion, driven by oncology growth, especially ENHERTU and DATROWAY, with favorable foreign exchange effects.

• Core operating profit increased 15.1% to JPY 360 billion, but operating profit fell 31% due to significant one-time expenses, including CMO compensation and plant-related costs.

• Profit attributable to owners decreased 12.1% to JPY 259.9 billion.

• The sixth five-year business plan targets revenue over JPY 3 trillion and operating profit above JPY 600 billion by FY 2030, focusing on oncology and new drug discovery technologies.

• Major R&D progress in ADCs, with multiple regulatory approvals and clinical milestones for ENHERTU and DATROWAY.

Financial highlights

• Revenue up JPY 236.8 billion year-on-year, with strong contributions from ENHERTU (+JPY 145.5 billion) and DATROWAY (+JPY 46.2 billion).

• Core operating profit up JPY 47.1 billion, but operating profit down JPY 102.8 billion due to temporary expenses.

• Dividend per share for FY 2025 increased to JPY 78; FY 2026 forecast is JPY 100 per share.

• Share repurchase of JPY 91.8 billion completed, with all shares to be canceled.

• Cash and cash equivalents at year-end: JPY 489.0 billion, down from JPY 639.8 billion.

Outlook and guidance

• FY 2026 revenue forecast to rise 7.4% to JPY 2.28 trillion, driven by further ENHERTU and DATROWAY growth.

• Core operating profit expected to increase 27.5% to JPY 360 billion; operating profit to rise 37.5% to JPY 315 billion.

• Profit attributable to owners projected at JPY 260 billion, similar to FY 2025.

• Dividend policy remains progressive, with adjusted DOE target of 10% or higher.

• Oncology revenue projected to exceed JPY 2.3 trillion by 2030, with continued leadership in breast and lung cancer.