Record profit, sales seen for Nippon Shinyaku on new drugs
Recently launched products pump up Japanese pharma's vital stats
TOKYO -- Nippon Shinyaku probably earned record operating profit and sales in the year ended March, boosted by revenues from new drugs.
The Kyoto-based pharmaceutical company appears to have generated around 15.5 billion yen ($142 million) in group operating profit in fiscal 2016. That is a jump of around 80% from a year earlier. The company's standing projection calls for 13.5 billion yen.
Sales likely rose 20% to nearly 100 billion yen, about 3.5 billion yen higher than the earnings guidance. A sales increase in fiscal 2016 would stretch Nippon Shinyaku's winning streak to a seventh year.
The company is expected to increase its annual dividend payout to 45-50 yen per share from the projected 37 yen. The amount was 28 yen last year.
Royalties from new drugs, centering on those sold in the U.S. and Europe, underpinned Nippon Shinyaku's strong performance. Those new drugs include Zalutia, a treatment for urinary disorder caused by benign prostate enlargement; Vidaza, a myelodysplastic syndrome (blood cell disorder) drug; and Uptravi, a remedy for pulmonary arterial hypertension.
Nippon Shinyaku is releasing its fiscal 2016 earnings on May 11.