ENVALITH
あすか製薬ホールディングス株式会社 logo

ASKA Pharmaceutical Holdings Co., Ltd.

4886・Prime Market・Pharmaceuticals

Official website
あすか製薬ホールディングス株式会社 logo
ASKA Pharmaceutical Holdings Co., Ltd.4886

Business

Aska Pharmaceutical Holdings Co., Ltd. is a holding company established in April 2021 through a sole-share transfer, comprising 5 subsidiaries and 6 affiliated companies. In its core Pharmaceuticals Business, the company specializes in three fields—obstetrics/gynecology, internal medicine, and urology—manufacturing and selling highly specialized prescription pharmaceuticals such as the uterine fibroid treatment Relumina (Relugolix), the dysmenorrhea treatment Droeti (Drospirenone/Ethinylestradiol), and the thyroid hormone drug Thyradin (Levothyroxine). In addition, the company operates the Animal Health Business, which handles Veterinary Pharmaceuticals and feed additives, the Overseas Business centered on Vietnam's Hatapharm, and Other Businesses including clinical testing and medical devices, thereby operating a diversified portfolio of healthcare-related businesses. Listed on the Prime Market of the Tokyo Stock Exchange.

Business Model

The company has a structure in which 80.4% of net sales (¥57,155 million) depends on a sales agreement with Takeda Pharmaceutical Company, leveraging the latter's distribution network to deliver specialty products to healthcare institutions. In addition to in-house drug discovery, the company expands its product pipeline through technology licensing from overseas pharmaceutical companies (drospirenone formulations, relugolix combination drugs, etc.), and monetizes these by exercising exclusive domestic marketing rights after obtaining approval. R&D expenses of ¥7,060 million (FY2026, ending March 2026) were invested, continuously cultivating future revenue sources.

Company Strengths

Relumina (¥11,173 million, up 6.1% year on year) and Droeti (¥8,312 million, up 10.8% year on year) continued double-digit-range growth in FY2026 (ending March 2026). In May 2025, the company obtained manufacturing and marketing approval for LF111 (drospirenone single-agent oral contraceptive), further expanding its obstetrics and gynecology product lineup. The high-quality information provision system under the specialty area system forms a barrier to competitive entry.

The thyroid hormone drug Thyradin has maintained a domestic market share of over 90%, and net sales for FY2026 (ending March 2026) continued stable growth at ¥8,775 million (up 8.2% year on year). The high degree of brand entrenchment based on years of prescription track record and the trust of physicians and patients forms a structural advantage that makes generic entry difficult, serving as a stable source of cash generation.

At the end of FY2026 (ending March 2026), the equity ratio stood at 62.61%, and total net assets were ¥76,819 million, indicating high financial soundness. Operating cash flow secured was ¥6,303 million (a significant improvement from ¥2,485 million in the previous period), and the company has the financial strength to fund R&D investment of ¥7,060 million and capital expenditure of ¥2,702 million from its own funds while continuing dividend payments.

ENVALITH's Perspective

FY2026 (ending March 2026) results, with net sales of ¥71,127 million, an operating margin of 8.2%, and ROE of 8.0%, can be evaluated positively as all targets under the Mid-Term Management Plan 2025 were achieved. However, profit attributable to owners of parent of ¥5,424 million (up 6.3% year on year) includes a gain on sale of investment securities of ¥1,474 million, and attention should be paid to the divergence between the growth rate on an ordinary income basis (10.9%) and the net profit growth rate (6.3%). The forecast for FY2027 (ending March 2027) anticipates a significant profit decline, with net profit of ¥4,800 million (down 11.5% year on year), making it an important investment consideration to confirm the underlying earnings level once the effect of extraordinary gains fades.

In FY2026 (ending March 2026), sales to Takeda Pharmaceutical Company Limited amounted to ¥57,155 million, accounting for approximately 80% of consolidated net sales, and dependence on a specific customer remains elevated. While the Overseas Business (Hatapharm in Vietnam) turned profitable with net sales of ¥4,640 million and segment profit of ¥108 million, the profit margin remains low at approximately 2.3%. Amid ongoing upfront investment such as new plant construction, the timing and scale of the Overseas Business's full-scale profit contribution will be an important variable in medium- to long-term corporate value assessment.

The R&D expense forecast for FY2027 (ending March 2027) is projected to increase significantly to ¥8,246 million (up 16.8% versus FY2026 (ending March 2026)), and operating profit is expected to be limited to ¥6,200 million (up 6.3%), as this absorbs the increase in net sales (up 2.6%). As for the external environment, continued drug price revision pressure (annual revisions) will constrain the upside of earnings, while increases in minimum drug prices will benefit some products. The timing of approval and launch of key pipeline products such as AKP-022 will be key to a medium-term earnings recovery, but the risk remains that, being in Phase III, commercialization will take considerable time.

Growth Strategy

Under ASKA VISION 2035, the company pursues sustainable growth across four axes: drug discovery, global expansion, Animal Health, and clinical testing

Core products such as Relumina, Droeti, Thyradin, and Rifxima have performed steadily. For FY2027 (ending March 2027), the company forecasts increased sales for Relumina (¥11,340 million), Thyradin (¥9,082 million), and Rifxima (¥8,023 million), with deeper market penetration of existing products supporting a stable earnings base.

LF111 (Drospirenone, contraceptive) received approval in May 2025. AKP-022 (Relugolix combination drug) is in Phase III trials for uterine fibroids and endometriosis. AKP-009 (benign prostatic hyperplasia) is in the Phase II stage. Approval and market launch are expected to establish the next growth driver for the Pharmaceuticals Business.

In FY2026 (ending March 2026), the Overseas Business segment achieved profitability with a segment profit of ¥108 million. Through collaborative efforts toward the construction and operation of a new plant, the company aims to expand production capacity, strengthen competitiveness in the Southeast Asian market, and improve profitability through the transfer of group know-how.

The Medium-Term Management Plan 2028, with FY2026 as its first year, has commenced. Building on the domestic prescription pharmaceuticals business as its foundation, the company will drive growth across its drug discovery, global, Animal Health, clinical testing, and around-the-pill businesses, aiming for sustained earnings expansion and enhanced corporate value.

For FY2026 (ending March 2026), an annual dividend of ¥60 (up ¥5 year on year) will be implemented. From FY2027 (ending March 2027), the company will target a total payout ratio of around 40% and introduce a progressive dividend policy (excluding special dividends). An annual dividend of ¥65 (interim ¥32, year-end ¥33) is planned for FY2027 (ending March 2027), aiming to enhance shareholder returns.

Last updated: July 19, 2026