(English Translation)
Consolidated Financial Results
for the First Quarter of the Fiscal Year Ending March 31, 2022 (IFRS)
Company name: Nichi-Iko Pharmaceutical Co., Ltd. | August 10, 2021 | |
Stock exchange listings: | ||
Tokyo Stock Exchange | ||
Securities code: 4541 | (URL https://www.nichiiko.co.jp/) | |
Representative: Yuichi Tamura | ||
President and CEO | ||
Contact: | Shuji Ishida | Tel: 076-432-2121 |
Senior Operating Officer, Head of | ||
Administrative Division |
Scheduled date of filing of quarterly report: | August 13, 2021 |
Scheduled date of commencement of dividend payment: | - |
Presentation of supplementary materials on quarterly financial results: | Yes |
Holding of quarterly financial presentation meeting: | No |
(Note that all amounts have been rounded down to the nearest one million yen.)
1. Consolidated Financial Results for the First Quarter of the Fiscal Year Ending March 31, 2022 (From April 1, 2021 to June 30, 2021)
- Consolidated Results of Operations (cumulative)
(Percentage figures represent changes from the same period of the previous fiscal year)
Core | Profit | |||||||||||
Operating | Profit before | attributable | ||||||||||
Revenue | operating | Profit | ||||||||||
profit | tax | to owners of | ||||||||||
profit | ||||||||||||
parent | ||||||||||||
First quarter of | ¥42,943 | -¥3,945 | -¥4,124 | -¥3,611 | -¥3,881 | -¥3,777 | ||||||
fiscal year | ||||||||||||
million | million | million | million | million | million | |||||||
ending March | ||||||||||||
(-5.1%) | (-%) | (-%) | (-%) | (-%) | (-%) | |||||||
31, 2022 | ||||||||||||
First quarter of | ¥45,265 | ¥726 | ¥491 | ¥494 | ¥304 | ¥290 | ||||||
fiscal year ended | million | million | million | million | million | million | ||||||
March 31, 2021 | (-2.7%) | (-61.2%) | (-71.6%) | (-82.7%) | (-83.2%) | (-84.0%) | ||||||
Total | Basic earnings | Diluted | ||||||||||
comprehensive | earnings per | |||||||||||
income | per share | share | ||||||||||
First quarter of | -¥3,691 | |||||||||||
fiscal year | ||||||||||||
million | -¥58.90 | -¥58.90 | ||||||||||
ending March | ||||||||||||
(-%) | ||||||||||||
31, 2022 | ||||||||||||
First quarter of | ¥193 | |||||||||||
fiscal year ended | million | ¥4.54 | ¥4.54 | |||||||||
March 31, 2021 | (-%) |
(Note)
Core operating profit is calculated by deducting gains and losses caused by extraordinary factors (extraordinary items) from operating profit.
- Consolidated Financial Position
Ratio of total | ||||||||||||||||||||
Equity | equity | Equity attributable | ||||||||||||||||||
Total assets | Total equity | attributable to | attributable | |||||||||||||||||
owners of | to owners of | to owners of | ||||||||||||||||||
parent per share | ||||||||||||||||||||
parent | the parent to | |||||||||||||||||||
total assets | ||||||||||||||||||||
First quarter of | ||||||||||||||||||||
fiscal year | ¥354,607 | ¥108,021 | ¥106,859 | 30.1% | ¥1,665.57 | |||||||||||||||
ending March | million | million | million | |||||||||||||||||
31, 2022 | ||||||||||||||||||||
Fiscal year | ¥363,572 | ¥112,435 | ¥111,167 | |||||||||||||||||
ended March 31, | 30.6% | ¥1,733.58 | ||||||||||||||||||
million | million | million | ||||||||||||||||||
2021 | ||||||||||||||||||||
2. Dividends | ||||||||||||||||||||
Annual dividends per share | ||||||||||||||||||||
First quarter | Second quarter | Third quarter | Year-end | Total | ||||||||||||||||
Fiscal year ended | ¥- | ¥15.00 | ¥- | ¥10.00 | ¥25.00 | |||||||||||||||
March 31, 2021 | ||||||||||||||||||||
Fiscal year ending | ¥- | |||||||||||||||||||
March 31, 2022 | ||||||||||||||||||||
Fiscal year ending | ||||||||||||||||||||
March 31, 2022 | ¥10.00 | ¥- | ¥10.00 | ¥20.00 | ||||||||||||||||
(forecast) | ||||||||||||||||||||
(Note) |
Revisions to recently announced dividends forecast: None
3. Forecast of Consolidated Financial Results for the Fiscal Year Ending March 31, 2022 (From April 1, 2021 to March 31, 2022)
(Percentage figures represent changes from the same period of the previous fiscal year)
Profit | |||||
Revenue | Core operating | Operating | attributable to | Basic earnings | |
profit | profit | owners of | per share | ||
parent | |||||
Second quarter | ¥94,000 million | -¥5,000 million | -¥5,200 million | -¥5,300 million | |
(cumulative | -¥82.61 | ||||
(4.9%) | (-%) | (-%) | (-%) | ||
total) | |||||
Annual | ¥195,000 million | ¥700 million | 500 million | ¥200 million | ¥3.12 |
(3.6%) | (-28.4%) | (365.4%) | (-%) | ||
(Note)
Revisions to recently announced forecast of financial results: Yes
For details, please refer to "(3) Explanation of Forecast of Consolidated Financial Results and Other Forward-looking Statements" in "1. Qualitative Information on Financial Results for the Quarter under Review" on page 6 of the Attachment.
*Notes
- Changes in significant subsidiaries during the consolidated cumulative quarter under review (changes in specified subsidiaries resulting in change in scope of consolidation): No
- Changes in accounting policies and changes in accounting estimates
(i) | Changes in accounting policies required by IFRS: | No |
(ii) | Changes in accounting policies due to other reasons: | No |
(iii) | Changes in accounting estimates: | No |
(3) Total number of issued shares (common stock)
- Total number of issued shares as of the end of the period (including treasury shares):
As of June 30, 2021 | 65,162,652 shares |
As of March 31, 2021 | 65,162,652 shares |
- Number of treasury shares as of the end of the period:
As of June 30, 2021 | 1,004,905 shares |
As of March 31, 2021 | 1,036,650 shares |
(iii) Average number of shares during the period (cumulative quarter):
First quarter of fiscal year ending March 31, 2022 | 64,141,888 shares |
First quarter of fiscal year ended March 31, 2021 | 63,945,629 shares |
(Note)
Number of treasury shares as of the end of the period includes shares held by the Employee Shareholding Incentive Plan.
- Quarterly financial results reports are exempt from quarterly reviews conducted by certified public accountants or an audit corporation.
-
Explanation on the appropriate usage of forecast of financial results, and other specific matters
(Considerations on forward-looking statements)
The forward-looking statements including forecast of financial results contained in these materials are based on the information currently available to the Company and certain assumptions which are regarded as legitimate. As such, they do not constitute the Company's guarantee that such results would be achieved. Actual business and other results may differ substantially from the forecasts provided in these materials as a result of various factors.
(How to obtain supplementary materials for financial results)
Supplementary materials for financial results will be provided on the website of the Company on Tuesday, August 10, 2021.
Attachment - Contents | ||
(2) | Explanation on Financial Position ................................................................................................... | 4 |
(3) | Explanation of Forecast of Consolidated Financial Results and Other Forward-looking | |
Statements ........................................................................................................................................ | 6 | |
2. Condensed Quarterly Consolidated Financial Statements and Primary Notes ...................................... | 7 | |
(1) | Condensed Quarterly Consolidated Statement of Financial Position .............................................. | 7 |
(2) | Condensed Quarterly Consolidated Statement of Income and Condensed Quarterly | |
Consolidated Statement of Comprehensive Income ........................................................................ | 9 | |
(3) | Condensed Quarterly Consolidated Statement of Changes in Equity ........................................... | 11 |
(4) | Condensed Quarterly Consolidated Statement of Cash Flows ...................................................... | 15 |
(5) | Notes to Condensed Quarterly Consolidated Financial Statements .............................................. | 17 |
(Notes on premise of going concern) ........................................................................................... | 17 | |
(Segment information).................................................................................................................. | 17 |
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1. Qualitative Information on Financial Results for the Quarter under Review
-
Explanation on Operating Results
In the cumulative first quarter under review, the future of the Japanese economy continued to be uncertain due to social activity and consumer spending remaining sluggish, as there was no end in sight for the novel coronavirus disease (COVID-19) pandemic.
In the generic drug industry, further enhancement of profitability is required in the face of the drug price revision carried out in April 2021. Furthermore, it is also necessary to take steps to address issues in quality and stable supply perspective.
Under such circumstance, the Group is endeavoring to quickly build a system for continuously providing safe and reliable pharmaceuticals in accordance with the new quality policy of "Commitment to Security and Trust" established in July, 2020, perform the rebranding of five brands (consolidation of overlapping products) focusing on stable supply of pharmaceuticals with high medical demand, promote CMO business at Nichi-Iko Gifu Plant Co., Ltd. (hereinafter referred to as "Gifu Plant"), and enhance development of value-added products.
- Results by segment
Nichi-Iko Group | Sagent Group | ||||||
(in millions of yen) | First quarter | First quarter | First quarter | First quarter | |||
of fiscal year | of fiscal year | Change | of fiscal year | of fiscal year | Change | ||
ended March | ending March | ended March | ending March | ||||
31, 2021 | 31, 2022 | 31, 2021 | 31, 2022 | ||||
Revenue | 36,399 | 33,268 | -3,131 | 8,914 | 9,690 | +776 | |
Core operating profit | 1,237 | -3,521 | -4,759 | -511 | -423 | +87 |
(Notes)
1. The two segments are the "Nichi-Iko Group" and the "Sagent Group," with the "Sagent Group" being made up of Sagent Pharmaceuticals, Inc. and its consolidated subsidiaries, and the "Nichi-Iko Group" being made up of companies excluding the "Sagent Group."
2. The Group has adopted "core operating profit" as an indicator representing ordinary profitability, and has also adopted "core operating profit" for segment profit. "Core operating profit" is calculated by deducting gains and losses caused by extraordinary factors from operating profit, and extraordinary factors are also excluded from revenue.
(i) Nichi-Iko Group
In Nichi-Iko Group, the product quality risk assessment of Toyama Plant 1, which was subject to administrative penalty on March this year, has been completed and we are making every effort to gradually resume shipments. In addition, efforts are being made to optimize the overall production system with an eye to establishing stable supply system throughout the Group, including realizing of synergy effects at the Gifu Plant acquired February this year.
Results in Nichi-Iko Group during the cumulative first quarter of the current fiscal year showed revenue of 33,268 million yen (a decrease of 3,131 million yen year-on-year) and segment loss of 3,521 million yen (a decrease of 4,759 million yen year-on-year) due to drop in drug prices as a result of the drug price revision, decrease in sales of Elmed products caused by stoppage of shipments from a manufacturing subcontractor (Kobayashi Kako Co., Ltd. ) and inability to ship nearly all products from Toyama Plant 1 during the first quarter as a result of Toyama Plant 1 self-
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Nichi-Iko Pharmaceutical Co. Ltd. published this content on 06 September 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 06 September 2021 06:01:02 UTC.