Sumitomo Chemical Co., Ltd. TSE:4005

Sumitomo Chemical : Notice Concerning Variances between the Non-consolidated Financial Results in a Consolidated Subsidiary (Sumitomo Pharma Co., Ltd.) for Fiscal Year 2025 and 2024

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Source: MarketScreener

Notice Concerning Variances between the Non-consolidated Financial Results in a Consolidated Subsidiary (Sumitomo Pharma Co., Ltd.) for Fiscal Year 2025 and 2024

Sumitomo Chemical announces that there were variances between the non-consolidated financial results for the fiscal year ending March 31, 2026 (FY2025), and the fiscal year ending March 31, 2025 (FY2024), in its consolidated subsidiary, Sumitomo Pharma, Co., Ltd. (hereinafter "Sumitomo Pharma").

The impact of this matter on the Company's consolidated financial forecast is immaterial.

Sumitomo Pharma, Co., Ltd. (TSE Prime Market: 4506)

The non-consolidated financial results for FY2025 and FY2024

(Millions of yen)

Net sales

Operating income

Ordinary income

Net income

FY2025 (A)

249,530

19,359

62,940

114,981

FY2024 (B)

136,412

11,603

12,028

106,187

Variance in amount (A-B)

113,118

7,756

50,912

8,794

Variance in percentage (%)

82.9%

66.8%

423.3%

8.3%

Reason for the Variance

Sales revenue in FY2025 increased because Sumitomo Pharma acquired, in August 2025, substantially all assets, including patent rights, related to three key products in the United States from Sumitomo Pharma Switzerland GmbH (hereinafter "SMPS"), a wholly owned subsidiary of Sumitomo Pharma, and Urovant Sciences GmbH, a subsidiary of SMPS, and Sumitomo Pharma recorded sales of those products.

Operating income in FY2025 also exceeded the FY2024 financial results due to the increase in sales revenue.

In addition to the increase in operating income, ordinary income exceeded the FY2024 financial results, mainly due to dividend income received from SMPS.

Furthermore, with respect to extraordinary income, although Sumitomo Pharma recorded gains on sales of investment securities in FY2024, it recorded gains on sales of shares of affiliates in FY2025 arising from the transfer of a portion of its interest in the Asian business. As a result, net income in FY2025 exceeded the FY2024 financial results.