MEDINET Co., Ltd.
2370・Growth Market・Services
Business
MedNet, Inc. was established in 1995 and began providing cell processing support for immune cell therapy in 1999. It is a company specializing in regenerative and cell medicine, currently operating two segments: "Cell Processing Business" and "Regenerative Medicine Products Business." In the Cell Processing Business, the company handles contract manufacturing of specified cell processed products for medical institutions (immune cells, S-DSC®, ASC, etc.), CDMO business for companies and universities, and value chain business such as facility operation management and engineer dispatch. In the Regenerative Medicine Products Business, the company promotes R&D of autologous cultured cartilage MDNT-01 (NeoCart®) and TCR-T cell therapy in collaboration with the National Cancer Center, among others. Major customers include Koushikai Medical Corporation (55.1% of net sales) and Janssen Pharmaceutical K.K. (12.6% of net sales), among others. Listed on the Tokyo Stock Exchange Growth Market.
Business Model
Revenue is predominantly generated by the Cell Processing segment, comprising contract manufacturing fees for specified cell-processed products received from medical institutions (¥555 million in sales for FY2025 (ending September 2025)), CDMO contract fees and technology transfer lump-sum payments from corporations (¥174 million for the same period), and value chain income from facility operation management, royalties, and the like (¥80 million for the same period). The Regenerative Medicine Products business currently generates no substantial revenue, with R&D investment leading the way. Fundraising is centered on the issuance of stock acquisition rights, and interest-bearing debt is zero.
Company Strengths
Cumulative cell processing volume since 1999 has reached approximately 200,000 cases. Shinagawa CPF obtained a specific cell processed product manufacturing license in 2015 and a regenerative medicine product manufacturing business license in 2020, making it a rare domestic facility capable of providing consistent support from the development and contract manufacturing of specific cell processed products through to the commercial production of regenerative medicine products.
In addition to ongoing contract work with Janssen Pharmaceutical K.K., the company received a new contract from T-CELL NOUVEAU Co., Ltd. in FY2025 (ending September 2025), recording a technology transfer upfront payment, and CDMO revenue rose 73.9% year on year to ¥174 million. In the Value Chain business, royalty income from Medigen and medical device sales also occurred, resulting in a 35.6% year-on-year increase to ¥80 million.
As of the end of FY2025 (ending September 2025), the company had zero interest-bearing debt, cash and cash equivalents of ¥2,670 million, and total current assets of ¥3,611 million including ¥1,000 million in securities. The equity ratio was maintained at 88.8%, securing financial flexibility for R&D investment and business expansion.
ENVALITH's Perspective
Performance Trend
Revenue over the past five fiscal years moved 683→634→662→769→810 (¥ million), on a recovery trend since bottoming out in FY2022. In the interim period of FY2026 (ending September 2026), revenue was ¥414 million (up 2.3% year on year), maintaining revenue growth. On the profit side, the recording of a CDMO technology transfer lump-sum payment along with a reduction in cost of sales led to a substantial improvement in gross profit to ¥116 million (up 97.5% year on year), and operating loss narrowed to ¥629 million (versus ¥755 million in the same period of the prior year). Non-operating income also contributed, including gains from investment partnerships of ¥103 million (up 244.2% year on year), improving ordinary loss to ¥516 million (versus ¥710 million in the same period of the prior year). However, a valuation loss on investment securities of ¥33 million was recorded as an extraordinary loss, resulting in an interim net loss of ¥551 million (versus ¥705 million in the same period of the prior year). The full-year forecast remains unchanged, with revenue of ¥943 million (up 16.4% year on year) and an operating loss of ¥1,454 million.
Growth Strategy
Dramatic growth through diversification of cell processing contract manufacturing, strengthening of CDMO foundations, and obtaining approval for regenerative medicine products
Starting with the contract manufacturing of investigational products for T-CELL Nouveau Co., Ltd., the company is expanding its corporate CDMO business. Recognition of technology transfer upfront payments led to a sharp expansion of CDMO sales to ¥112 million in the interim period (up 118.4% year-on-year), directly contributing to revenue diversification and improved gross profit.
The number of cell processing cases related to S-DSC®, a technology provided by Shiseido, exceeded the previous year's level as new menu offerings expanded, while the number of immune cell processing cases decreased due to the impact of restrictions on overseas patient travel. The company continues to promote expansion of contract manufacturing through the enhancement of new cell processing menus, including adipose-derived mesenchymal stromal cells (ASC).
Based on the option and license agreement with Stempeutics for the treatment of critical limb ischemia, the company plans to exercise its option rights and advance research and development activities toward the early initiation of clinical trials. As the product has already obtained manufacturing and marketing approval in India, the development risk is relatively low.
Following the transfer of development rights from licensor Ocugen, Inc. to its subsidiary OrthoCellix, Inc., the initiation of the additional Phase III trial has been delayed due to delays in establishing the manufacturing system for investigational products in the United States. The company plans to determine its domestic development policy during FY2026 (ending September 2026), taking into account the development status in the United States.
Last updated: July 17, 2026