February 12, 2026, 4:00 - 5:00 pm
Presenter:Jun Hishinuma | CFO, Member of the Board and Managing Executive Officer |
February 12, 2026
Financial Results for the Q1-Q3 of
FYE March 2026 (FY2025)
(From April 1, 2025 to December 31, 2025)
0 © Meiji Holdings Co., Ltd. All rights reserved.
Hishinuma: I am Hishinuma, CFO and in charge of the IR Department. I will now explain the financial results for Q3 of FY2025 in accordance with the Q3 financial results presentation materials disclosed on our website.Consolidated net sales for Q1-Q3 totaled JPY882.3 billion, up 0.8% from the same period last year. Operating profit was JPY70.0 billion, an increase of 5.4% from the same period last year.
Compared to the full-year plan, both net sales and operating profit were favorable.
Profit attributable to owners of parent was JPY38.8 billion, a decrease of 11.0% from the same period last year. The main reasons for the decrease were an impairment loss resulting from an optimization of production system and lower gains on sales of investment securities.
Although profit attributable to owners of parent appears to be down compared to the same period last year, we view these results as solid relative to our full-year plan.
This is followed by an overview by segment.
Net sales in the Food segment totaled JPY711.1 billion, up 1.3% from the same period last year. Operating profit was JPY53.6 billion, an increase of 8.4% from the same period last year. Both domestic and overseas operations recorded increased profit.
As for the analysis of changes in operating profit, as shown in the graph, changes in costs of goods sold resulted in a negative impact of JPY16.4 billion. Despite cost reduction efforts, raw material costs increased by JPY17.6 billion.
In contrast, the increase/decrease in sales was a factor of JPY21.6 billion, exceeding cost increase. The breakdown of the sales increase/decrease is JPY35.6 billion from the positive effect of price increases and JPY14.0 billion from volume decline and product mix effects.
Changes in marketing expenses were a negative factor of JPY1.5 billion. Although promotional expenses decreased, logistics and indirect selling expenses increased.
Other including changes in results of subsidiaries contributed JPY0.5 billion to the increase. In addition to the strong performance of the US subsidiary, efforts to improve profitability in the dairy business in China made progress.
Next, I will explain the factors for profit increase/decrease by business. Please see page three.
The increase/decrease in sales was due to the significant contribution of the price increase effects in the dairy, chocolate, and food solutions businesses, which contributed to the increase in profit. In the nutrition business, a decline in sales volume of infant formula was a factor in lower profit.
Changes in costs of goods sold had a large negative impact on the chocolate and food solutions businesses due to a significant increase in the cost of raw materials for cocoa ingredients. With regard to raw milk prices, the impact of the raw milk price increase from June for processing products (butter, cheese, cream, etc.) has mainly occurred in the food solutions business, while the impact of the milk price increase for drinking and fermented milk products from August has mainly occurred in the dairy business.
Changes in marketing expenses were a negative factor of JPY1.5 billion. Promotional expenses increased significantly in the chocolate business, and logistics expenses increased significantly in the food solutions business.
The overall change in other SG&A expenses was zero. However, indirect manufacturing expenses decreased in the dairy business due to the contribution of changes in the production system and other factors. The other business includes upfront investment costs for business expansion.
Other including changes in results of subsidiaries contributed to a JPY500 million increase in profit. In the dairy business, there was an improvement in profit due to the profitability improvement plan for subsidiaries in China. On the other hand, in the chocolate business, the US subsidiary, which enjoyed strong sales of chocolate snacks, reported an increase in profit, while the Chinese subsidiaries reported a decrease in profit due to the impact of soaring raw material prices and an increase in indirect manufacturing expenses.
This is followed by an explanation of how to respond to cost increases.
As shown in the upper left graph, the cost increase has been growing since H2 of FY2024. Although raw material costs are expected to increase in H2 of FY2025, mainly for cocoa ingredients, raw milk procured domestically, and overseas dairy raw materials, overall progress is in line with expectations.
Although the market prices for cocoa beans are on a downward trend, it will take some time for the benefits to manifest themselves, as the use of inventory secured at high prices will continue for the time being. In addition, the ongoing depreciation of the yen and the upward trend in labor and distribution costs continue to be important risk factors.
In response to prolonged cost increases, we will continue to work on added value strategy and cost structure optimization while continuing measures through price increases.
This is followed by an explanation by business. Since I explained profit earlier, I will focus on sales.
First is the dairy business. In Japan, Meiji Probio Yogurt R-1 performed well, thanks in part to the effects of continuous promotional efforts implemented since the beginning of the period. Sales of Meiji Hemoglobin A1c Yogurt, which was launched in October, also exceeded the initial plan, and sales of functional yogurt were higher than in the same period of the previous year.
Yogurt sales also increased. Profitability improved due to growth in the mainstay plain type of
Meiji Bulgaria Yogurt.
Overseas, we are working on a profitability improvement plan for China business. We have
made steady progress in improving profitability by reviewing unprofitable transactions and sales structure and are now working to expand high-quality sales.
Next, on page six, I will explain the chocolate business.
In Japan, sales of chocolate were strong, including plain chocolate and chocolate snacks, in addition to the positive effect of price increases from the previous fiscal year.
Gummy sales increased due to contributions from new products under our mainstay Kaju Gummy brand, along with other products.
Overseas, in addition to the significant growth of Hello Panda in the U.S., mainly due to the expansion of new adoptions, sales of Meltykiss and chocolate bars in China were also strong.
Next is page seven of the document, the nutrition business.
In Japan, sales of infant formula products declined due to the impact of shrinking inbound demand and other factors.
In the sports protein, powdered-type SAVAS struggled due to intensified competition caused by the entry of low-priced products, but due to strengthened sales promotion, soy-type products performed favorable and were at the same level as the previous year. Sales of drinking-type SAVAS Milk increased due to successful sales promotions and enhanced exposure on the sales floor.
Overseas, sales declined due to weak export sales of infant formula, but operating loss narrowed this fiscal year due to the absence of upfront investment expenses incurred in the previous fiscal year for business expansion.
Next, on page eight, I will explain the food solutions business.
In Japan, in addition to price increases, strengthened proposals for cream and chocolate contributed to higher sales in B2B. Cheese and ice cream for B2C also saw growth in mainstay products.
Overseas, sales of cream and milk for B2B in China increased, but ice cream sales declined due to intensified competition.
Next is the Pharmaceutical segment. Net sales reached JPY172.2 billion, down 1.1% YoY. Operating profit was JPY20.5 billion, up 1.1% YoY.
As shown in the graph, the change in sales was a decrease of JPY4.6 billion. Although sales of REZUROCK, launched in May last year, grew, sales of mainstay antibacterial drugs remained sluggish.
In addition, the product mix deteriorated due to the start of shipments of two-dose products, including COVID-19 vaccines, KOSTAIVE.
The impact of the NHI drug price revisions was a negative factor of JPY2.1 billion, while changes of goods sold were a positive factor of JPY0.3 billion due to cost reductions.
Changes in marketing expenses were a negative factor of JPY1.0 billion due to increased marketing expenses for newly launched products.
Changes in other SG&A expenses resulted in an expected JPY4.6 billion increase in profit, despite increased R&D expenses, which was offset by the reversal of the previous period's inventory write-downs related to the COVID-19 vaccine, KOSTAIVE.
Additionally, other including changes in results of subsidiaries contributed to an increase of JPY2.9 billion. Improvements in vaccine production efficiency at KM Biologics contributed to this improvement.
Next, on page 10, I will explain the sales of major products.
Sales of antibacterial drugs in the infectious diseases area decreased, mainly due to the fact that infectious diseases were not as prevalent as in the previous fiscal year.
In the immune system area, sales of REZUROCK, which was launched in May last year, grew substantially, partly due to the lifting of the long-term prescription limitation, and sales of blood plasma products were also strong.
In the CNS area, sales declined due to the impact of the NHI drug price revisions and other factors.
In the human vaccine area, sales increased due to steady progress in switching from four-in-one to five-in-one combination vaccine. Influenza vaccine sales also increased due to an increase in total shipments from the previous fiscal year. Sales of the COVID-19 vaccine KOSTAIVE remained weak due to a lack of improvement in the vaccination environment.
Regarding the overseas pharmaceuticals business, sales declined due to a negative reaction following the strong performance of subsidiaries in India and Spain during the previous period, as well as the absence of infectious disease outbreaks, similar to the situation in Japan.
These are the key points in the financial results for Q3.
Lastly, please see the page 11. Here is the outlook for the current fiscal year. There is no change, as the cumulative Q3 results progressed well against the full-year plan revised in November.
As for the Food segment, the nutrition and China ice cream businesses continue to face difficult conditions, but we aim to achieve our full-year plan by covering these difficulties with the strong dairy and chocolate businesses.
In the Pharmaceutical segment, the situation for antibacterial drugs and COVID-19 vaccine is difficult, but we are firmly committed to achieving our full-year plan here as well, since REZUROCK is growing strongly and sales of blood plasma products are also doing well.
This is the end of my presentation. Thank you very much for listening.
Appendices
12 © Meiji Holdings Co., Ltd. All rights reserved.
12 © Meiji Holdings Co., Ltd. All rights reserved.
Analysis of Consolidated Operating Profit - Q1-Q3 FY2025
Consolidated Operating Profit
Food
Pharma
Other
66.4
49.4
20.3
-3.3
*1
+21.6
-4.6
-
-2.1
-
-2.1
-
*2
-16.4
+0.3
-
+2.1 *3
-1.5
+3.6
-
+2.7
+0.5
+2.9
-0.7
70.0
53.6
20.5
-4.1
-16.1
+17.1
Q1-Q3 Results - FY2024
Due to increased/decreased sales
Impact of drug price revision
Changes in costs of goods sold
Changes in other SG&A expenses
Other (incl. change in results of subsidiaries)
Q1-Q3 Results - FY2025
*1: Including the effect of price increase
*2: Food: Increase in raw materials costs (incl. domestic raw milk and cocoa beans): -17.6, Others (Incl. decrease in product amount) +1.2 Pharma: Costs reduction : +0.3
*3: Food: Increase in marketing expenses: -1.5
Pharma: Increase in marketing expenses: -1.0, Decrease in other costs: +4.6
© Meiji Holdings Co., Ltd. All rights reserved.
Food: Analysis of Operating Profit by Business - FY2025 Plan
(JPY bn)
Food Total
Dairy
Chocolate
Nutrition
Food solutions
Other
Op. profit results - FY2024
64.6
23.8
16.3
14.2
8.0
2.1
Due to increased/decreased sales
+29.9
+5.3
+11.7
+1.5
+11.8
-0.4
Changes in COGS
-20.0
-1.5
-8.5
-2.7
-6.6
-0.7
Changes in other SG&A expenses
-4.1
-0.3
-0.8
-0.5
-1.9
-0.5
Changes in marketing expenses
-3.7
-1.7
-1.6
+0.3
-1.2
+0.6
Changes in other expenses (R&D expenses)
-0.4
(-0.2)
+1.4
+0.8
-0.8
-0.7
-1.1
Other
(incl. changes in results of subsidiaries)
+0.6
+0.7
-1.0
+0.6
+0.2
-0.0
Op. profit plan - FY2025
71.0
27.9
17.6
13.2
11.6
0.4
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Food: Progress on Overseas Business - Q1-Q3 FY2025
Overseas business
(JPY bn)
FY2025
FY2025
Q1-Q3 Results
YoY Change
Plan
(Rev. Nov)
YoY Change
China
Net sales
20.2
+5.9%
+1.1
27.5
+7.9%
+2.0
Op. Profit
-4.6
-
+0.6
-6.0
-
+1.0
Asia
Net sales
22.9
-4.0%
-0.9
30.0
-3.1%
-0.9
Op. Profit
1.2
-31.3%
-0.5
1.8
+4.5%
+0.0
Europe Americas
Net sales
30.6
+5.6%
+1.6
39.0
+3.6%
+1.3
Op. Profit
1.7
+38.1%
+0.4
2.0
+19.3%
+0.3
Overseas total
Net sales
71.2
+3.7%
+2.5
92.4
+3.5%
+3.0
Op. Profit
-4.0
-
+1.1
-5.5
-
+1.8
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Food: China Business - Q1-Q3 FY2025
(JPY bn)
FY2025
FY2025
Q1-Q3
Results
YoY Change
Plan
(Rev. Nov)
YoY Change
Net sales
20.2
+5.9%
+1.1
27.5
+7.9%
+2.0
(Included in the above) Dairy
2.5
+2.8％
+0.0
4.0
+31.8%
+0.9
Chocolate
9.7
+14.6%
+1.2
11.9
+9.6%
+1.0
Nutrition
-0.0
-
-0.1
-0.0
-
-0.1
Food solutions
8.0
-0.5%
-0.0
11.5
+1.1%
+0.1
Op. Profit
-4.6
-
+0.6
-6.0
-
+1.0
(Included in the above) Dairy
-1.6
-
+1.1
-2.0
-
+1.4
Chocolate
-0.4
-
-0.7
-0.7
-
-0.7
Nutrition
-0.1
-
+0.3
-0.3
-
+0.3
Food solutions
-2.3
-
-0.0
-3.0
-
+0.0
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Market Prices of Main Imported Raw Materials
(USD/MT)
4,000
3,000
2,000
1,000
Nonfat Dry Milk
(USD/MT)
5,000
4,000
3,000
2,000
1,000
Cheese
0
0
(GBP/MT)
10,000
8,000
6,000
4,000
Cocoa beans
(USd/lb)
25
20
15
10
Sugar
2,000 5
0
0
© Meiji Holdings Co., Ltd. All rights reserved. Source: Bloomberg
Pharmaceutical: Results by Business - Q1-Q3 FY2025
Domestic pharmaceuticals (Japan)
(JPY bn)
FY2025
FY2025
Q1-Q3
Results
YoY Change
Plan
(Rev. Nov)
YoY Change
Net sales
86.4
-0.7%
-0.5
125.2
+6.4%
+7.5
Operating profit
14.4
-17.6%
-3.0
18.0
-16.6%
-3.5
Net sales
Same level as FY2024 from sluggish antibacterial drugs, despite robust growth of REZUROCK launched in May 2024, and blood plasma products
Operating profit
Significantly dropped negatively impacted by NHI price revision and others
Overseas pharmaceuticals
(JPY bn)
FY2025
FY2025
Q1-Q3
Results
YoY Change
Plan
(Rev. Nov)
YoY Change
Net sales
46.5
-5.5%
-2.6
65.7
+3.1%
+1.9
Operating profit
5.5
+4.5%
+0.2
4.7
+32.7%
+1.1
Net sales
Subsidiaries in India and Spain posted lower sales
Operating profit
Increased as result of decrease in R&D expenses among others
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Pharmaceutical: Results by Business - Q1-Q3 FY2025
Vaccines and Veterinary drugs
(JPY bn)
FY2025
FY2025
Q1-Q3
Results
YoY Change
Plan
(Rev. Nov)
YoY Change
Net sales
39.2
+3.7%
+1.4
52.3
+8.7%
+4.1
Operating profit
0.5
-
+3.0
3.1
-
+3.6
Net sales
Higher sales driven by five-in-one combination vaccine
Operating profit
Returned to profitability due to absence of inventory write-downs that occurred in FY2024 and operating profit margin improvement at KM Biologics
© Meiji Holdings Co., Ltd. All rights reserved.
Pharmaceutical: Analysis of Operating Profit by Business - Q1-Q3 FY2025
(JPY bn)
Pharma Total
Domestic pharmaceuticals (Japan)
Overseas pharmaceuticals
Vaccine/Veterinary drugs
Q1-Q3 Op. profit - FY2024
20.3
17.5
5.2
-2.5
Due to increased/decreased sales
-4.6
-0.6
-1.4
-2.6
Impact of drug price revision
-2.1
-2.1
ー
ー
Changes in COGS
+0.3
+0.2
+0.1
-0.0
Changes in other SG&A expenses
+3.6
-1.0
+1.8
+2.8
Changes in marketing expenses
-1.0
-0.6
-0.0
-0.3
Changes in other expenses (R&D expenses)
+4.6
(-1.6)
-0.4
+1.8
+3.2
Other
(incl. changes in results of subsidiaries)
+2.9
+0.4
-0.3
+2.8
Q1-Q3 Op. profit - FY2025
20.5
14.4
5.5
0.5
© Meiji Holdings Co., Ltd. All rights reserved.
Pharmaceutical: Analysis of Operating Profit by Business - FY2025 Plan
(JPY bn)
Pharma Total
Domestic pharmaceuticals (Japan)
Overseas pharmaceuticals
Vaccine/Veterinary drugs
Op. profit results - FY2024
24.7
21.6
3.5
-0.5
Due to increased/decreased sales
-0.2
+2.4
-1.3
-1.3
Impact of drug price revision
-3.2
-3.2
ー
ー
Changes in COGS
+0.1
+0.1
+0.0
-0.0
Changes in other SG&A expenses
+3.5
-2.5
+2.2
+3.8
Changes in marketing expenses
-0.5
-1.0
-0.5
+1.0
Changes in other expenses (R&D expenses)
+4.0
(-1.1)
-1.4
+2.7
+2.8
Other
(incl. changes in results of subsidiaries)
+1.1
-0.2
+0.3
+1.1
Op. profit plan - FY2025
26.0
18.0
4.7
3.1
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Pharmaceutical: R&D Pipeline - 1
Code No. (Generic Name)
Efficacy Classification
Target Disease
Stage
Infectious disease
OP0595* (Nacubactam)
β-lactamase inhibitor
Infections caused by carbapenem-resistant bacteria
Filed (Japan)
Phase III (Overseas)**
Immune system
KD-380
(Immune globulin 10% liquid)
Human plasma-derived products
Induction and maintenance therapy for patients with chronic inflammatory demyelinating polyneuropathy (CIDP) and multifocal motor neuropathy (MMN)
Phase III (Japan)
KD-416*
(Blood coagulation factor X agent)
Human plasma-derived products
Suppression of bleeding tendency in blood coagulation factor X deficiency
Phase III (Japan)
New fields
ME3208 (Belumosudil)
ROCK2 inhibitor
Chronic Graft Versus Host Disease
Launched (Japan), Product name: REZUROCK Tablets (Launched on May 22, 2024)
Approved (South Korea), Product name: REZUROCK Tablets (Launched in Nov 2024)
Approved (Taiwan, Thailand)
DMB-3115
(Ustekinumab Biosimilar)
Biosimilar
Plaque psoriasis/Psoriatic arthritis/Crohn's disease
/Ulcerative colitis
Launched, Product name (Europe, the U.S., Middle East): IMULDOSA (launched starting Jan 2025)
Approved (Middle East, Europe) Filed (Overseas)
Phase I (Japan)
HBI-8000
(Tucidinostat)
Histone deacetylase (HDAC) inhibitor
Unresectable or metastatic melanoma
Phase III (Japan, Overseas)**
ME3183*
Selective PDE4 inhibitor
Psoriasis
Phase II (Overseas)
(Reviewing development plan in light of market environment)
HBI-8000
(Tucidinostat)
Histone deacetylase (HDAC) inhibitor
Relapsed or refractory B-cell non-Hodgkin's lymphoma
Phase Ib / II (Japan) **
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*Discovered in-house **Multi -Regional Clinical Trials
Pharmaceutical: R&D Pipeline - 2
Code No. (Generic Name)
Efficacy Classification
Target Disease
Stage
Vaccine
KOSTAIVE
Vaccine
Self-amplifying mRNA vaccine against COVID-19, 2 dose vial
Launched (18 years old or older, Japan)
KOSTAIVE
Vaccine
Self-amplifying mRNA vaccine against COVID-19
Phase III (12-17 yrs old, Japan)
KD-414
Vaccine
Inactivated vaccine against COVID-19 (Adults, Original strain)
Phase III (18-40 yrs old, Japan)**
KD-414
Vaccine
Inactivated vaccine against COVID-19 (Pediatric, Original strain)
Phase III (6 month-11 yrs old, Japan)
KD-414
Vaccine
Inactivated vaccine against COVID-19 (Pediatric, Omicron strain)
Phase III (6 month-12 yrs old, Japan)
KD2-396
Vaccine
Hexavalent vaccine against diphtheria, tetanus, pertussis, poliovirus, Haemophilus influenza type b, and Hepatitis B virus
(Six-in-one combination vaccine)
Phase II (Japan)
KD-382
Vaccine
Live attenuated tetravalent vaccine against dengue fever
Phase II (Overseas)
© Meiji Holdings Co., Ltd. All rights reserved.
*Discovered in-house
**Multi-Regional Clinical Trials
Pharmaceutical: R&D Pipeline - 3
Code No.
Efficacy Classification
Stage
Veterinary drugs
KD-412*
Vaccine for cattle
Launched (Japan)
Product name: BOVISUNT AKABANE (Launched on October 1, 2025)
MD-22-3002
Anti-inflammatory drug for cattle, swine and horse
Launched (Japan)
Product name: Flunixin injection meiji (Launched on January 6, 2026)
ME4305*
Antibacterial drug for cattle
Filed (Japan)
MD-22-1001-1
Injectable antibacterial drug for cattle
Under development
ME4406*
Feed Additive
Under development
*Discovered in-house
© Meiji Holdings Co., Ltd. All rights reserved.
Information in this material is not intended to solicit sale or purchase of shares in Meiji Holdings. The final decision relating to investments should be made based on the judgment of users themselves.
Business forecasts and other forward-looking statements are based on information available at the time of the release of this presentation and reasonable assumptions made by the Company. Actual results could differ materially from forecasts due to various factors.
The earnings summary is not subject to audit.
Although this material includes information concerning pharmaceutical products (including those currently under development),such descriptions are not intended to advertise the products or provide any medical advice.
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