Astellas Pharma Inc.
4503・Prime Market・Pharmaceuticals
Pharmaceuticals Business
Astellas Pharma's single reportable segment engaged in the research and development, manufacturing, and sale of pharmaceuticals
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (consolidated, full year) | ¥2,139,245 million | ¥1,912,323 million | ↑ |
| Core operating profit (full year) | ¥555,681 million | ¥392,435 million | ↑ |
| Core net income (full year) | ¥424,413 million | ¥295,682 million | ↑ |
| Operating profit (full-base, full year) | ¥382,633 million | ¥41,039 million | ↑ |
| Net income attributable to owners of the parent (full-base, full year) | ¥291,535 million | ¥50,747 million | ↑ |
| Basic core earnings per share | ¥237.01 | ¥165.17 | ↑ |
| Basic earnings per share (full-base) | ¥162.77 | ¥28.35 | ↑ |
| Ratio of equity attributable to owners of the parent | 51.3% | 45.3% | ↑ |
| Cash flow from operating activities | ¥560,188 million | ¥194,512 million | ↑ |
| Cash and cash equivalents at end of period | ¥281,605 million | ¥188,372 million | ↑ |
| Annual dividend per share | ¥78.00 | ¥74.00 | ↑ |
Business Details
The sole reportable segment of the Astellas Pharma Group. The company provides innovative pharmaceuticals across diverse therapeutic areas including prostate cancer, urothelial cancer, acute myeloid leukemia, age-related macular degeneration, and menopause-associated symptoms. It operates globally across Japan, the United States, Europe, China, and emerging markets, with integrated functions spanning research and development through manufacturing and sales. Astellas Pharma US, Inc., the U.S. sales subsidiary, handles the largest market, while McKesson Group (¥312,508 million) and Cencora Group (¥307,123 million) are major customers each accounting for more than 10% of revenue.
Recent Overview
Core operating profit rose sharply, up 41.6% year on year, driven by rapid growth of key strategic products and cost reductions through SMT
For FY2026 (ending March 2026) (full year), revenue was ¥2,139,245 million (up 11.9% year on year), core operating profit was ¥555,681 million (up 41.6%), and core net income was ¥424,413 million (up 43.5%), with substantial increases across all metrics. Growth was driven by key strategic products PADCEV (+34.8%), VYLOY (+415.6%), IZERVAY (+33.2%), and VEOZAH (+37.7%). Cost optimization through SMT (reductions of approximately ¥11,000 million in SG&A expenses and approximately ¥10,000 million in R&D expenses) also contributed. On a full-base basis, operating profit was ¥382,633 million, up 832.4% year on year, partly reflecting the reversal of large-scale impairment losses recorded in the prior year (other expenses of ¥235,768 million). In the first quarter, an impairment loss on intangible assets related to Xyphos (approximately ¥12,000 million) was recorded, and in the fourth quarter, an impairment loss on intangible assets associated with the strategic discontinuation of AT132 (approximately ¥16,400 million) was recorded. Total bonds and borrowings were substantially reduced to ¥566,000 million (from ¥831,400 million at the prior fiscal year-end).
Key Products
Growth Drivers
- Sales expansion of key strategic products (PADCEV, VYLOY, IZERVAY, VEOZAH, XOSPATA): VYLOY grew rapidly by +415.6% driven by Claudin 18 test penetration, and PADCEV grew by +34.8% driven by expanded MIBC indication
- Steady sales expansion of XTANDI in regions outside the U.S., centered on Europe (+5.3%)
- Cost optimization through Sustainable Margin Transformation (SMT): SG&A expense growth was contained to +2.0% and R&D expenses were reduced by 3.9%, substantially improving the core operating profit margin
- Revenue growth across all regions: China +29.6%, Established Markets +16.1%, and International Markets +13.4%, reflecting high growth in emerging markets
- Positive foreign exchange impact on revenue from euro depreciation (down ¥11 year on year) (revenue impact of +¥30,100 million and core operating profit impact of +¥16,800 million versus prior-year exchange rates)
- For the next fiscal year (FY2027, ending March 2027), core operating profit is forecast at ¥620,000 million (+11.6%) and core net income at ¥460,000 million (+8.4%). Total sales of key strategic products are expected to reach ¥610.0 billion (+27.0%)
Risks
- Risk of declining XTANDI sales: XTANDI revenue is expected to decline to ¥910.0 billion (down 5.3% year on year) in the next fiscal year (FY2027, ending March 2027), requiring offsetting growth from key strategic products
- Risk of impairment of intangible assets: In the current fiscal year, impairment losses were recorded related to Xyphos (approximately ¥12,000 million) and the strategic discontinuation of AT132 (approximately ¥16,400 million). Approximately ¥80,000 million in impairment loss risk has already been factored in for the next fiscal year
- Risk of increased R&D expenses: R&D expenses are expected to increase to ¥355,000 million (up 12.8% year on year) in the next fiscal year due to expanded clinical development costs including new Phase III trials
- Foreign exchange risk: The assumed exchange rates for the next fiscal year are ¥150/US dollar and ¥180/euro. A stronger dollar and weaker yen could have a negative impact on revenue
- Customer concentration risk: High dependence on McKesson Group (¥312,508 million) and Cencora Group (¥307,123 million) makes the segment susceptible to changes in trading terms
- Full-base adjustment item risk: Approximately ¥225,000 million (intangible asset amortization of approximately ¥140,000 million plus other expenses of approximately ¥80,000 million) is expected to be excluded from core operating profit in the next fiscal year, and the occurrence of one-time expenses could depress performance
Last updated: June 16, 2026