Chugai Pharmaceutical (CHGCF) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

President and CEO, I will provide a summary of our 2025 performance and the outlook for 2026. Please refer to slide five. Regarding our full year results for 2025, revenues, operating profit, and net income all reached record highs on a core basis. Revenue reached 1,257.9 billion yen, exceeding our initial forecast by 5.7%. This was primarily driven by higher-than-expected exports of Actimura and Libra to Roche. Operating profits surpassed the 600 billion yen mark for the first time, representing our ninth consecutive year of profit growth. Operating profit margin also hit a record high of 49.5%. Moving to our 2026 earnings forecast, we anticipate another year of record-breaking results. We are projecting a revenue of ¥1,345,000,000 up 6.9% year-on-year and operating profit of ¥670,000,000 up 7.5% year-on-year. Fueled by growth in domestic product sales, royalty income, and other revenue streams. At the same time, we expect to maintain a high operating profit margin. The next slide illustrates our revenue trends. We expect revenue to increase by 87.1 billion yen or 6.9% compared to 2025. Domestic product sales are projected to raise by 25.6 billion yen, as steady growth of new and mainstay products outweighs the negative impacts of NHI price revision and generic competition. Overseas product sales are expected to remain flat year on year, while Nemluvio and Hemlibra will continue to grow. These gains will be offset by lower export unit prices and a decline in Actemra sales due to biosimilar entry. In contrast, other revenues are set to increase significantly, driven by higher royalty and profit share income from Namluvio and O4 Glupron and Hemlibra, alongside an increase in milestone payments. Next is page 8. I will discuss our dividend policy. Reflecting our strong ...