Exhibit Number | ||||||||
1. | ||||||||
99.1 |
TAKEDA PHARMACEUTICAL COMPANY LIMITED | ||||||||||||||||||||
Date: May 9, 2024 | By: | /s/ Norimasa Takeda | ||||||||||||||||||
Norimasa Takeda | ||||||||||||||||||||
Chief Accounting Officer and Corporate Controller |
Takeda Pharmaceutical Company Limited | Stock exchange listings: | Tokyo, Nagoya, Fukuoka, Sapporo | ||||||||||||||||||
TSE Code: | 4502 | URL: https://www.takeda.com | ||||||||||||||||||
Representative: | Christophe Weber, President & CEO | |||||||||||||||||||
Contact: | Christopher O'Reilly | Telephone: +81-3-3278-2306 | Email: takeda.ir.contact@takeda.com | |||||||||||||||||
Global Head of IR, Global Finance |
1. | Consolidated Financial Results for the Fiscal Year Ended March 31, 2024 (April 1, 2023 to March 31, 2024) |
(Percentage figures represent changes over the previous fiscal year) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue | Operating profit | Profit before tax | Net profit for the year | Net profit attributable to owners of the Company | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Million JPY) | (%) | (Million JPY) | (%) | (Million JPY) | (%) | (Million JPY) | (%) | (Million JPY) | (%) | ||||||||||||||||||||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2024 | 4,263,762 | 5.9 | 214,075 | (56.4) | 52,791 | (85.9) | 144,197 | (54.5) | 144,067 | (54.6) | |||||||||||||||||||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2023 | 4,027,478 | 12.8 | 490,505 | 6.4 | 375,090 | 24.0 | 317,038 | 37.7 | 317,017 | 37.8 | |||||||||||||||||||||||||||||||||||||||||||||||||
Total comprehensive income for the year | Basic earnings per share | Diluted earnings per share | Return on equity attributable to owners of the Company | Ratio of profit before income taxes to total assets | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Million JPY) | (%) | (JPY) | (JPY) | (%) | (%) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2024 | 1,139,206 | 25.0 | 92.09 | 91.16 | 2.1 | 0.4 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2023 | 911,574 | 10.6 | 204.29 | 201.94 | 5.3 | 2.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Ratio of operating profit to revenue | Core Revenue | Core Operating Profit | Core EPS | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(%) | (Billion JPY) | (%) | (Billion JPY) | (%) | (JPY) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2024 | 5.0 | 4,263.8 | 5.9 | 1,054.9 | (11.2) | 484 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2023 | 12.2 | 4,027.5 | 17.7 | 1,188.4 | 24.4 | 558 |
Total assets (Million JPY) | Total equity (Million JPY) | Equity attributable to owners of the Company (Million JPY) | Ratio of equity attributable to owners of the Company to total assets (%) | Equity attributable to owners of the Company per share (JPY) | ||||||||||||||||||||||||||||
As of March 31, 2024 | 15,108,792 | 7,274,005 | 7,273,264 | 48.1 | 4,635.56 | |||||||||||||||||||||||||||
As of March 31, 2023 | 13,957,750 | 6,354,672 | 6,354,122 | 45.5 | 4,087.49 |
Net cash from (used in) operating activities (Million JPY) | Net cash from (used in) investing activities (Million JPY) | Net cash from (used in) financing activities (Million JPY) | Cash and cash equivalents at the end of the year (Million JPY) | |||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2024 | 716,344 | (463,862) | (354,416) | 457,800 | ||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2023 | 977,156 | (607,102) | (709,148) | 533,530 |
2. Dividends |
Annual dividends per share (JPY) | Total Dividends (Million JPY) | Dividend Pay-out ratio (%) (Consolidated) | Ratio of dividends to net assets (%) (Consolidated) | |||||||||||||||||||||||||||||||||||||||||||||||
1st quarter end | 2nd quarter end | 3rd quarter end | Year-end | Total | ||||||||||||||||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2023 | — | 90.00 | — | 90.00 | 180.00 | 280,949 | 88.1 | 4.6 | ||||||||||||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2024 | — | 94.00 | — | 94.00 | 188.00 | 296,078 | 204.2 | 4.3 | ||||||||||||||||||||||||||||||||||||||||||
For the Fiscal Year Ending March 31, 2025 (Projection) | — | 98.00 | — | 98.00 | 196.00 | — |
3. | Forecasts for Consolidated Operating Results for the Fiscal Year Ending March 31, 2025 (April 1, 2024 to March 31, 2025) |
(Percentage figures represent changes over the previous fiscal year) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue | Operating profit | Profit before taxes | Net profit attributable to owners of the Company | Basic earnings per share | ||||||||||||||||||||||||||||||||||||||||||||||||||||
(Million JPY) | (%) | (Million JPY) | (%) | (Million JPY) | (%) | (Million JPY) | (%) | (JPY) | ||||||||||||||||||||||||||||||||||||||||||||||||
For the Fiscal Year Ending March 31, 2025 | 4,350,000 | 2.0 | 225,000 | 5.1 | 55,000 | 4.2 | 58,000 | (59.7) | 36.70 | |||||||||||||||||||||||||||||||||||||||||||||||
Forecasts for Core financial measures are shown below. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Percentage figures represent changes over the previous fiscal year) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Core Revenue | Core Operating Profit | Core EPS | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Million JPY) | (%) | (Million JPY) | (%) | (JPY) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
For the Fiscal Year Ending March 31, 2025 | 4,350,000 | 2.0 | 1,000,000 | (5.2) | 431 |
4. | Management Guidance (Constant Exchange Rate basis) for the Fiscal Year Ending March 31, 2025 |
Change at CER | Core Revenue | Core Operating Profit | Core EPS | ||||||||||||||||||||||||||||||||
(%) | (%) | (%) | |||||||||||||||||||||||||||||||||
For the Fiscal Year Ending March 31, 2025 | Flat to slightly declining | Approx 10% decline | Mid-10s% decline | ||||||||||||||||||||||||||||||||
(1) Changes in significant subsidiaries during the period | : | No | |||||||||
(changes in specified subsidiaries resulting in the change in the consolidation scope) | |||||||||||
(2) Changes in accounting policies and changes in accounting estimates | |||||||||||
1) Changes in accounting policies required by IFRS | : | No | |||||||||
2) Changes in accounting policies other than 1) | : | No | |||||||||
3) Changes in accounting estimates | : | No | |||||||||
(3) Number of shares outstanding (common stock) | |||||||||||
1) Number of shares outstanding (including treasury stock) at year end: | |||||||||||
March 31, 2024 | 1,582,418,725 shares | ||||||||||
March 31, 2023 | 1,582,296,025 shares | ||||||||||
2) Number of shares of treasury stock at year end: | |||||||||||
March 31, 2024 | 13,405,261 shares | ||||||||||
March 31, 2023 | 27,767,213 shares | ||||||||||
3) Average number of outstanding shares (for the fiscal year ended March 31): | |||||||||||
March 31, 2024 | 1,564,450,432 shares | ||||||||||
March 31, 2023 | 1,551,808,600 shares |
(Reference) Summary of Unconsolidated Results | ||||||||||||||||||||||||||||||||||||||
Summary of Unconsolidated Results for the Fiscal Year Ended March 31, 2024 (April 1, 2023 - March 31, 2024) | ||||||||||||||||||||||||||||||||||||||
(1) Unconsolidated Operating Results | ||||||||||||||||||||||||||||||||||||||
(Percentage figures represent changes over the previous fiscal year) | ||||||||||||||||||||||||||||||||||||||
Net sales | Operating income | Ordinary income | ||||||||||||||||||||||||||||||||||||
(Million JPY) | (%) | (Million JPY) | (%) | (Million JPY) | (%) | |||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2024 | 595,575 | (5.8) | 48,070 | (64.7) | 286,399 | (15.8) | ||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2023 | 632,137 | (17.3) | 136,140 | (53.6) | 340,122 | (38.3) | ||||||||||||||||||||||||||||||||
Net income | Earnings per share | Fully diluted earnings per share | ||||||||||||||||||||||||||||||||||||
(Million JPY) | (%) | (JPY) | (JPY) | |||||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2024 | 338,874 | 2.5 | 216.60 | 216.56 | ||||||||||||||||||||||||||||||||||
For the Fiscal Year Ended March 31, 2023 | 330,649 | 1.9 | 213.06 | 213.05 |
(2) Unconsolidated Financial Position | ||||||||||||||||||||||||||
Total assets (Million JPY) | Net assets (Million JPY) | Shareholders' equity ratio (%) | Shareholders' equity per share (JPY) | |||||||||||||||||||||||
As of March 31, 2024 | 9,756,319 | 4,088,198 | 41.9 | 2,604.87 | ||||||||||||||||||||||
As of March 31, 2023 | 9,407,303 | 4,206,219 | 44.7 | 2,704.87 |
• | Takeda has adopted International Financial Reporting Standards (IFRS), and the disclosure information in this document is based on IFRS. |
• | All forecasts and management guidance in this document are based on information currently available and assumptions to management, and do not represent a promise or guarantee to achieve these forecasts. Various uncertain factors could cause actual results to differ, such as changes in the business environment and fluctuations in foreign exchange rates. Should any significant event occur which requires the forecasts or guidance to be revised, Takeda will disclose it in a timely manner. |
• | For details of the forecasts for consolidated operating results and the management guidance, please refer to "1. Financial Highlights for the Fiscal Year Ended March 31, 2024 (5) Outlook for the Fiscal Year Ending March 31, 2025" on page 12. |
• | Supplementary materials for the financial statements including the Quarterly Financial Report and Earnings Presentation of the conference call on May 9, 2024 and its audio will be promptly posted on Takeda’s website. |
[Financial Appendix] | |||||
Billion JPY or percentage | |||||||||||||||||||||||||||||||||||
For the fiscal year ended March 31, | Change versus the previous fiscal year | ||||||||||||||||||||||||||||||||||
AER | CER | ||||||||||||||||||||||||||||||||||
2023 | 2024 | Amount of Change | % Change | % Change | |||||||||||||||||||||||||||||||
Revenue | 4,027.5 | 4,263.8 | 236.3 | 5.9 | % | 1.5 | % | ||||||||||||||||||||||||||||
Cost of sales | (1,244.1) | (1,426.7) | (182.6) | 14.7 | % | 9.8 | % | ||||||||||||||||||||||||||||
Selling, general and administrative expenses | (997.3) | (1,053.8) | (56.5) | 5.7 | % | 0.9 | % | ||||||||||||||||||||||||||||
Research and development expenses | (633.3) | (729.9) | (96.6) | 15.3 | % | 8.4 | % | ||||||||||||||||||||||||||||
Amortization and impairment losses on intangible assets associated with products | (542.4) | (652.1) | (109.7) | 20.2 | % | 12.2 | % | ||||||||||||||||||||||||||||
Other operating income | 25.4 | 19.4 | (6.0) | (23.8) | % | (26.3) | % | ||||||||||||||||||||||||||||
Other operating expenses | (145.2) | (206.5) | (61.3) | 42.2 | % | 34.5 | % | ||||||||||||||||||||||||||||
Operating profit | 490.5 | 214.1 | (276.4) | (56.4) | % | (50.3) | % | ||||||||||||||||||||||||||||
Finance income and (expenses), net | (106.8) | (167.8) | (61.0) | 57.1 | % | 78.3 | % | ||||||||||||||||||||||||||||
Share of profit (loss) of investments accounted for using the equity method | (8.6) | 6.5 | 15.1 | ― | ― | ||||||||||||||||||||||||||||||
Profit before tax | 375.1 | 52.8 | (322.3) | (85.9) | % | (84.1) | % | ||||||||||||||||||||||||||||
Income tax (expenses) benefit | (58.1) | 91.4 | 149.5 | ― | ― | ||||||||||||||||||||||||||||||
Net profit for the year | 317.0 | 144.2 | (172.8) | (54.5) | % | (57.0) | % |
Billion JPY or percentage | ||||||||||||||||||||||||||||||||
For the fiscal year ended March 31, | Change versus the previous fiscal year | |||||||||||||||||||||||||||||||
AER | CER | |||||||||||||||||||||||||||||||
Revenue: | 2023 | 2024 | Amount of Change | % Change | % Change | |||||||||||||||||||||||||||
Japan | 512.0 | 451.4 | (60.7) | (11.8) | % | (12.1) | % | |||||||||||||||||||||||||
United States | 2,103.8 | 2,195.7 | 91.9 | 4.4 | % | (2.2) | % | |||||||||||||||||||||||||
Europe and Canada | 842.7 | 966.8 | 124.2 | 14.7 | % | 4.5 | % | |||||||||||||||||||||||||
Asia (excluding Japan) | 225.0 | 261.2 | 36.2 | 16.1 | % | 12.1 | % | |||||||||||||||||||||||||
Latin America | 160.4 | 198.1 | 37.7 | 23.5 | % | 48.4 | % | |||||||||||||||||||||||||
Russia/CIS | 88.4 | 72.6 | (15.8) | (17.9) | % | (6.5) | % | |||||||||||||||||||||||||
Other*1 | 95.2 | 117.9 | 22.7 | 23.9 | % | 32.6 | % | |||||||||||||||||||||||||
Total | 4,027.5 | 4,263.8 | 236.3 | 5.9 | % | 1.5 | % |
Billion JPY or percentage | ||||||||||||||||||||||||||||||||
For the fiscal year ended March 31, | Change versus the previous fiscal year | |||||||||||||||||||||||||||||||
AER | CER | |||||||||||||||||||||||||||||||
Revenue: | 2023 | 2024 | Amount of Change | % Change | % Change | |||||||||||||||||||||||||||
GI | 1,094.5 | 1,216.2 | 121.7 | 11.1 | % | 4.7 | % | |||||||||||||||||||||||||
Rare Diseases *1 | 723.4 | 770.7 | 47.3 | 6.5 | % | 4.1 | % | |||||||||||||||||||||||||
Rare Hematology | 304.7 | 305.3 | 0.6 | 0.2 | % | (2.9) | % | |||||||||||||||||||||||||
Rare Genetics and Other | 418.7 | 465.4 | 46.7 | 11.1 | % | 9.2 | % | |||||||||||||||||||||||||
PDT Immunology *1 | 678.4 | 818.6 | 140.1 | 20.7 | % | 14.4 | % | |||||||||||||||||||||||||
Oncology | 438.7 | 462.4 | 23.6 | 5.4 | % | 2.5 | % | |||||||||||||||||||||||||
Neuroscience | 637.7 | 627.0 | (10.7) | (1.7) | % | (7.8) | % | |||||||||||||||||||||||||
Other *1 | 454.6 | 368.9 | (85.7) | (18.8) | % | (17.7) | % | |||||||||||||||||||||||||
Total | 4,027.5 | 4,263.8 | 236.3 | 5.9 | % | 1.5 | % |
Billion JPY or percentage | ||||||||||||||||||||||||||||||||
For the fiscal year ended March 31, | Change versus the previous fiscal year | |||||||||||||||||||||||||||||||
AER | CER | |||||||||||||||||||||||||||||||
2023 | 2024 | Amount of Change | % Change | % Change | ||||||||||||||||||||||||||||
Core revenue | 4,027.5 | 4,263.8 | 236.3 | 5.9 | % | 1.5 | % | |||||||||||||||||||||||||
Core operating profit | 1,188.4 | 1,054.9 | (133.5) | (11.2) | % | (13.3) | % | |||||||||||||||||||||||||
Core net profit for the year | 866.4 | 756.9 | (109.5) | (12.6) | % | (15.0) | % | |||||||||||||||||||||||||
Core EPS (yen) | 558 | 484 | (75) | (13.4) | % | (15.7) | % |
Billion JPY or percentage | ||||||||||||||||||||||||||||||||
For the fiscal year ended March 31, | Change versus the previous fiscal year | |||||||||||||||||||||||||||||||
AER | CER | |||||||||||||||||||||||||||||||
2023 | 2024 | Amount of Change | % Change | % Change | ||||||||||||||||||||||||||||
Core revenue | 4,027.5 | 4,263.8 | 236.3 | 5.9 | % | 1.5 | % | |||||||||||||||||||||||||
Core cost of sales | (1,208.4) | (1,426.3) | (217.9) | 18.0 | % | 13.0 | % | |||||||||||||||||||||||||
Core selling, general and administrative (SG&A) expenses | (997.3) | (1,053.0) | (55.6) | 5.6 | % | 0.8 | % | |||||||||||||||||||||||||
Core research and development (R&D) expenses | (633.4) | (729.6) | (96.3) | 15.2 | % | 8.3 | % | |||||||||||||||||||||||||
Core operating profit | 1,188.4 | 1,054.9 | (133.5) | (11.2) | % | (13.3) | % |
Billion JPY or percentage | ||||||||||||||||||||||||||||||||
For the fiscal year ended March 31, | Change versus the previous fiscal year | |||||||||||||||||||||||||||||||
AER | CER | |||||||||||||||||||||||||||||||
2023 | 2024 | Amount of Change | % Change | % Change | ||||||||||||||||||||||||||||
Core operating profit | 1,188.4 | 1,054.9 | (133.5) | (11.2) | % | (13.3) | % | |||||||||||||||||||||||||
Core finance income and (expenses), net | (126.6) | (142.0) | (15.4) | 12.2 | % | 13.9 | % | |||||||||||||||||||||||||
Core share of profit of investments accounted for using the equity method | 0.2 | 5.9 | 5.7 | ― | ― | |||||||||||||||||||||||||||
Core profit before tax | 1,062.0 | 918.8 | (143.2) | (13.5) | % | (16.0) | % | |||||||||||||||||||||||||
Core income tax (expenses) benefit | (195.6) | (161.9) | 33.7 | (17.2) | % | (20.2) | % | |||||||||||||||||||||||||
Core net profit for the year | 866.4 | 756.9 | (109.5) | (12.6) | % | (15.0) | % |
Name of Bond (Face Value if Denominated in Foreign Currency) | Issuance | Maturity | Carrying Amount (Billion JPY) | |||||||||||||||||
Unsecured US dollar denominated senior notes (USD 1,301 million) | June 2015 | June 2025 ~ June 2045 | 198.1 | |||||||||||||||||
Unsecured US dollar denominated senior notes (USD 3,000 million) | September 2016 | September 2026 | 439.7 | |||||||||||||||||
Unsecured Euro denominated senior notes (EUR 3,000 million) | November 2018 | November 2026 ~ November 2030 | 487.4 | |||||||||||||||||
Unsecured US dollar denominated senior notes (USD 1,750 million) | November 2018 | November 2028 | 263.7 | |||||||||||||||||
Hybrid bonds (subordinated bonds) | June 2019 | June 2079 | 499.6 | |||||||||||||||||
Unsecured US dollar denominated senior notes (USD 7,000 million) | July 2020 | March 2030 ~ July 2060 | 1,053.7 | |||||||||||||||||
Unsecured Euro denominated senior notes (EUR 3,600 million) | July 2020 | July 2027 ~ July 2040 | 584.1 | |||||||||||||||||
Unsecured JPY denominated senior bonds | October 2021 | October 2031 | 249.5 | |||||||||||||||||
Commercial paper | February 2024 ~ March 2024 | May 2024 ~ June 2024 | 317.0 | |||||||||||||||||
Total | 4,092.9 |
Name of Loan (Face Value if Denominated in Foreign Currency) | Execution | Maturity | Carrying Amount (Billion JPY) | |||||||||||||||||
Syndicated loans | April 2016 | April 2026 | 100.0 | |||||||||||||||||
Syndicated loans | April 2017 | April 2027 | 113.5 | |||||||||||||||||
Syndicated loans (USD 1,500 million) | April 2017 | April 2027 | 227.0 | |||||||||||||||||
Syndicated loans | April 2023 | April 2030 | 100.0 | |||||||||||||||||
Bilateral loans | March 2016 ~ March 2023 | April 2024 ~ March 2029 | 210.0 | |||||||||||||||||
Other | 0.4 | |||||||||||||||||||
Total | 750.9 |
For the fiscal year ended March 31, | |||||||||||
2023 | 2024 | ||||||||||
Net cash from (used in) operating activities | 977.2 | 716.3 | |||||||||
Net cash from (used in) investing activities | (607.1) | (463.9) | |||||||||
Net cash from (used in) financing activities | (709.1) | (354.4) | |||||||||
Net increase (decrease) in cash and cash equivalents | (339.1) | (101.9) | |||||||||
Cash and cash equivalents at the beginning of the year | 849.7 | 533.5 | |||||||||
Effects of exchange rate changes on cash and cash equivalents | 22.9 | 26.2 | |||||||||
Cash and cash equivalents at the end of the year | 533.5 | 457.8 |
Billion JPY or percentage | ||||||||||||||||||||
FY2023 Actual Results | FY2024 Forecast | Change versus the previous year | ||||||||||||||||||
Revenue | 4,263.8 | 4,350.0 | 86.2 | 2.0 | % | |||||||||||||||
Gross Profit | 2,837.1 | 2,850.0 | 12.9 | 0.5 | % | |||||||||||||||
Operating profit | 214.1 | 225.0 | 10.9 | 5.1 | % | |||||||||||||||
Profit before tax | 52.8 | 55.0 | 2.2 | 4.2 | % | |||||||||||||||
Net profit for the year (attributable to owners of the Company) | 144.1 | 58.0 | (86.1) | (59.7) | % | |||||||||||||||
EPS (JPY) | 92.09 | 36.70 | (55.39) | (60.1) | % | |||||||||||||||
Core Revenue | 4,263.8 | 4,350.0 | 86.2 | 2.0 | % | |||||||||||||||
Core Operating Profit | 1,054.9 | 1,000.0 | (54.9) | (5.2) | % | |||||||||||||||
Core EPS (JPY) | 484 | 431 | (53) | (10.9) | % |
Billion JPY or percentage | |||||||||||
FY2023 Actual Results | FY2024 Forecast | ||||||||||
FX rates | 1 USD = 144 JPY 1 Euro = 156 JPY 1 RUB = 1.6 JPY 1 CNY = 20.1 JPY 1 BRL = 29.1 JPY | 1 USD = 150 JPY 1 Euro = 160 JPY 1 RUB = 1.6 JPY 1 CNY = 20.9 JPY 1 BRL = 30.4 JPY | |||||||||
Cost of Sales | (1,426.7) | (1,500.0) | |||||||||
SG&A Expenses | (1,053.8) | (1,080.0) | |||||||||
R&D expenses | (729.9) | (770.0) | |||||||||
Amortization of intangible assets associated with products | (521.5) | (540.0) | |||||||||
Impairment of intangible assets associated with products*1 | (130.6) | (50.0) | |||||||||
Other operating income | 19.4 | 15.0 | |||||||||
Other operating expenses*2 | (206.5) | (200.0) | |||||||||
Other Core Operating Profit adjustments | (1.5) | — | |||||||||
Finance income and (expenses), net | (167.8) | (172.0) | |||||||||
Adjusted free cash flow*3 | 283.4 | 350.0 - 450.0 | |||||||||
Capital expenditures (cash flow base) | (480.7) | (380.0 - 420.0) | |||||||||
Depreciation and amortization (excluding intangible assets associated with products) | (206.5) | (205.0) | |||||||||
Cash tax rate on adjusted EBITDA (excluding divestitures) | ~15% | Mid teen % |
FY2024 Management Guidance CER % Change*4 | ||||||||
Core Revenue | Flat to slightly declining | |||||||
Core Operating Profit | Approx 10% decline | |||||||
Core EPS | Mid-10s% decline |
JPY (millions) | ||||||||||||||
For the year ended March 31, | ||||||||||||||
2023 | 2024 | |||||||||||||
Revenue | 4,027,478 | 4,263,762 | ||||||||||||
Cost of sales | (1,244,072) | (1,426,678) | ||||||||||||
Selling, general and administrative expenses | (997,309) | (1,053,819) | ||||||||||||
Research and development expenses | (633,325) | (729,924) | ||||||||||||
Amortization and impairment losses on intangible assets associated with products | (542,443) | (652,117) | ||||||||||||
Other operating income | 25,424 | 19,379 | ||||||||||||
Other operating expenses | (145,247) | (206,527) | ||||||||||||
Operating profit | 490,505 | 214,075 | ||||||||||||
Finance income | 62,913 | 52,093 | ||||||||||||
Finance expenses | (169,698) | (219,850) | ||||||||||||
Share of profit (loss) of investments accounted for using the equity method | (8,630) | 6,473 | ||||||||||||
Profit before tax | 375,090 | 52,791 | ||||||||||||
Income tax (expenses) benefit | (58,052) | 91,406 | ||||||||||||
Net profit for the year | 317,038 | 144,197 | ||||||||||||
Attributable to: | ||||||||||||||
Owners of the Company | 317,017 | 144,067 | ||||||||||||
Non-controlling interests | 21 | 130 | ||||||||||||
Net profit for the year | 317,038 | 144,197 | ||||||||||||
Earnings per share (JPY) | ||||||||||||||
Basic earnings per share | 204.29 | 92.09 | ||||||||||||
Diluted earnings per share | 201.94 | 91.16 |
JPY (millions) | ||||||||||||||
For the year ended March 31, | ||||||||||||||
2023 | 2024 | |||||||||||||
Net profit for the year | 317,038 | 144,197 | ||||||||||||
Other comprehensive income (loss) | ||||||||||||||
Items that will not be reclassified to profit or loss: | ||||||||||||||
Changes in fair value of financial assets measured at fair value through other comprehensive income | (2,654) | 2,309 | ||||||||||||
Remeasurement of defined benefit pension plans | 17,752 | (5,002) | ||||||||||||
15,098 | (2,693) | |||||||||||||
Items that may be reclassified subsequently to profit or loss: | ||||||||||||||
Exchange differences on translation of foreign operations | 618,773 | 968,842 | ||||||||||||
Cash flow hedges | (21,451) | 23,456 | ||||||||||||
Hedging cost | (16,993) | 7,197 | ||||||||||||
Share of other comprehensive loss of investments accounted for using the equity method | (892) | (1,793) | ||||||||||||
579,437 | 997,702 | |||||||||||||
Other comprehensive income for the year, net of tax | 594,535 | 995,009 | ||||||||||||
Total comprehensive income for the year | 911,574 | 1,139,206 | ||||||||||||
Attributable to: | ||||||||||||||
Owners of the Company | 911,529 | 1,139,033 | ||||||||||||
Non-controlling interests | 45 | 173 | ||||||||||||
Total comprehensive income for the year | 911,574 | 1,139,206 |
JPY (millions) | ||||||||||||||
As of March 31, 2023 | As of March 31, 2024 | |||||||||||||
ASSETS | ||||||||||||||
Non-current assets: | ||||||||||||||
Property, plant and equipment | 1,691,229 | 1,989,777 | ||||||||||||
Goodwill | 4,790,723 | 5,410,067 | ||||||||||||
Intangible assets | 4,269,657 | 4,274,682 | ||||||||||||
Investments accounted for using the equity method | 99,174 | 89,831 | ||||||||||||
Other financial assets | 279,683 | 340,777 | ||||||||||||
Other non-current assets | 63,325 | 51,214 | ||||||||||||
Deferred tax assets | 366,003 | 393,865 | ||||||||||||
Total non-current assets | 11,559,794 | 12,550,212 | ||||||||||||
Current assets: | ||||||||||||||
Inventories | 986,457 | 1,209,869 | ||||||||||||
Trade and other receivables | 649,429 | 668,403 | ||||||||||||
Other financial assets | 20,174 | 15,089 | ||||||||||||
Income taxes receivable | 32,264 | 29,207 | ||||||||||||
Other current assets | 160,868 | 168,875 | ||||||||||||
Cash and cash equivalents | 533,530 | 457,800 | ||||||||||||
Assets held for sale | 15,235 | 9,337 | ||||||||||||
Total current assets | 2,397,956 | 2,558,580 | ||||||||||||
Total assets | 13,957,750 | 15,108,792 | ||||||||||||
LIABILITIES AND EQUITY | ||||||||||||||
LIABILITIES | ||||||||||||||
Non-current liabilities: | ||||||||||||||
Bonds and loans | 4,042,741 | 4,476,501 | ||||||||||||
Other financial liabilities | 534,269 | 687,833 | ||||||||||||
Net defined benefit liabilities | 127,594 | 143,882 | ||||||||||||
Income taxes payable | 24,558 | 4,381 | ||||||||||||
Provisions | 55,969 | 14,373 | ||||||||||||
Other non-current liabilities | 65,389 | 80,938 | ||||||||||||
Deferred tax liabilities | 270,620 | 113,777 | ||||||||||||
Total non-current liabilities | 5,121,138 | 5,521,684 | ||||||||||||
Current liabilities: | ||||||||||||||
Bonds and loans | 339,600 | 367,251 | ||||||||||||
Trade and other payables | 649,233 | 547,521 | ||||||||||||
Other financial liabilities | 185,537 | 143,421 | ||||||||||||
Income taxes payable | 232,377 | 109,906 | ||||||||||||
Provisions | 508,360 | 524,420 | ||||||||||||
Other current liabilities | 566,689 | 619,174 | ||||||||||||
Liabilities held for sale | 144 | 1,410 | ||||||||||||
Total current liabilities | 2,481,940 | 2,313,103 | ||||||||||||
Total liabilities | 7,603,078 | 7,834,788 | ||||||||||||
JPY (millions) | ||||||||||||||
As of March 31, 2023 | As of March 31, 2024 | |||||||||||||
EQUITY | ||||||||||||||
Share capital | 1,676,345 | 1,676,596 | ||||||||||||
Share premium | 1,728,830 | 1,747,414 | ||||||||||||
Treasury shares | (100,317) | (51,259) | ||||||||||||
Retained earnings | 1,541,146 | 1,391,203 | ||||||||||||
Other components of equity | 1,508,119 | 2,509,310 | ||||||||||||
Equity attributable to owners of the Company | 6,354,122 | 7,273,264 | ||||||||||||
Non-controlling interests | 549 | 741 | ||||||||||||
Total equity | 6,354,672 | 7,274,005 | ||||||||||||
Total liabilities and equity | 13,957,750 | 15,108,792 |
JPY (millions) | ||||||||||||||||||||||||||||||||||||||
Equity attributable to owners of the Company | ||||||||||||||||||||||||||||||||||||||
Share capital | Share premium | Treasury shares | Retained earnings | Other components of equity | ||||||||||||||||||||||||||||||||||
Exchange differences on translation of foreign operations | Changes in fair value of financial assets measured at fair value through other comprehensive income | |||||||||||||||||||||||||||||||||||||
As of April 1, 2022 | 1,676,263 | 1,708,873 | (116,007) | 1,479,716 | 984,141 | 22,068 | ||||||||||||||||||||||||||||||||
Effect of hyperinflation | (1,960) | 4,121 | ||||||||||||||||||||||||||||||||||||
Restated opening balance | 1,676,263 | 1,708,873 | (116,007) | 1,477,756 | 988,263 | 22,068 | ||||||||||||||||||||||||||||||||
Net profit for the year | 317,017 | |||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | 617,866 | (2,663) | ||||||||||||||||||||||||||||||||||||
Comprehensive income (loss) for the year | — | — | — | 317,017 | 617,866 | (2,663) | ||||||||||||||||||||||||||||||||
Transactions with owners: | ||||||||||||||||||||||||||||||||||||||
Issuance of new shares | 82 | 82 | ||||||||||||||||||||||||||||||||||||
Acquisition of treasury shares | (5) | (27,060) | ||||||||||||||||||||||||||||||||||||
Disposal of treasury shares | 0 | 0 | ||||||||||||||||||||||||||||||||||||
Dividends | (278,313) | |||||||||||||||||||||||||||||||||||||
Transfers from other components of equity | 24,687 | (6,935) | ||||||||||||||||||||||||||||||||||||
Share-based compensation | 62,670 | |||||||||||||||||||||||||||||||||||||
Exercise of share-based awards | (42,791) | 42,749 | ||||||||||||||||||||||||||||||||||||
Total transactions with owners | 82 | 19,956 | 15,689 | (253,626) | — | (6,935) | ||||||||||||||||||||||||||||||||
As of March 31, 2023 | 1,676,345 | 1,728,830 | (100,317) | 1,541,146 | 1,606,128 | 12,470 |
Equity attributable to owners of the Company | ||||||||||||||||||||||||||||||||||||||||||||
Other components of equity | ||||||||||||||||||||||||||||||||||||||||||||
Cash flow hedges | Hedging cost | Remeasurements of defined benefit pension plans | Total other components of equity | Total equity attributable to owners of the Company | Non- controlling interests | Total equity | ||||||||||||||||||||||||||||||||||||||
As of April 1, 2022 | (65,901) | (6,135) | — | 934,173 | 5,683,019 | 504 | 5,683,523 | |||||||||||||||||||||||||||||||||||||
Effect of hyperinflation | 4,121 | 2,161 | 2,161 | |||||||||||||||||||||||||||||||||||||||||
Restated opening balance | (65,901) | (6,135) | — | 938,294 | 5,685,180 | 504 | 5,685,684 | |||||||||||||||||||||||||||||||||||||
Net profit for the year | — | 317,017 | 21 | 317,038 | ||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | (21,451) | (16,993) | 17,752 | 594,512 | 594,512 | 24 | 594,535 | |||||||||||||||||||||||||||||||||||||
Comprehensive income (loss) for the year | (21,451) | (16,993) | 17,752 | 594,512 | 911,529 | 45 | 911,574 | |||||||||||||||||||||||||||||||||||||
Transactions with owners: | ||||||||||||||||||||||||||||||||||||||||||||
Issuance of new shares | — | 164 | 164 | |||||||||||||||||||||||||||||||||||||||||
Acquisition of treasury shares | — | (27,065) | (27,065) | |||||||||||||||||||||||||||||||||||||||||
Disposal of treasury shares | — | 1 | 1 | |||||||||||||||||||||||||||||||||||||||||
Dividends | — | (278,313) | (278,313) | |||||||||||||||||||||||||||||||||||||||||
Transfers from other components of equity | (17,752) | (24,687) | — | — | ||||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | 62,670 | 62,670 | |||||||||||||||||||||||||||||||||||||||||
Exercise of share-based awards | — | (42) | (42) | |||||||||||||||||||||||||||||||||||||||||
Total transactions with owners | — | — | (17,752) | (24,687) | (242,586) | — | (242,586) | |||||||||||||||||||||||||||||||||||||
As of March 31, 2023 | (87,352) | (23,127) | — | 1,508,119 | 6,354,122 | 549 | 6,354,672 |
JPY (millions) | ||||||||||||||||||||||||||||||||||||||
Equity attributable to owners of the Company | ||||||||||||||||||||||||||||||||||||||
Other components of equity | ||||||||||||||||||||||||||||||||||||||
Share capital | Share premium | Treasury shares | Retained earnings | Exchange differences on translation of foreign operations | Changes in fair value of financial assets measured at fair value through other comprehensive income | |||||||||||||||||||||||||||||||||
As of April 1, 2023 | 1,676,345 | 1,728,830 | (100,317) | 1,541,146 | 1,606,128 | 12,470 | ||||||||||||||||||||||||||||||||
Net profit for the year | 144,067 | |||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | 967,279 | 2,036 | ||||||||||||||||||||||||||||||||||||
Comprehensive income (loss) for the year | — | — | — | 144,067 | 967,279 | 2,036 | ||||||||||||||||||||||||||||||||
Transactions with owners: | ||||||||||||||||||||||||||||||||||||||
Issuance of new shares | 251 | 251 | ||||||||||||||||||||||||||||||||||||
Acquisition of treasury shares | (2,367) | |||||||||||||||||||||||||||||||||||||
Disposal of treasury shares | 0 | 0 | ||||||||||||||||||||||||||||||||||||
Dividends | (287,785) | |||||||||||||||||||||||||||||||||||||
Changes in ownership | ||||||||||||||||||||||||||||||||||||||
Transfers from other components of equity | (6,226) | 1,224 | ||||||||||||||||||||||||||||||||||||
Share-based compensation | 69,836 | |||||||||||||||||||||||||||||||||||||
Exercise of share-based awards | (51,503) | 51,426 | ||||||||||||||||||||||||||||||||||||
Total transactions with owners | 251 | 18,584 | 49,059 | (294,011) | — | 1,224 | ||||||||||||||||||||||||||||||||
As of March 31, 2024 | 1,676,596 | 1,747,414 | (51,259) | 1,391,203 | 2,573,407 | 15,729 |
Equity attributable to owners of the Company | ||||||||||||||||||||||||||||||||||||||||||||
Other components of equity | ||||||||||||||||||||||||||||||||||||||||||||
Cash flow hedges | Hedging cost | Remeasurements of defined benefit pension plans | Total other components of equity | Total equity attributable to owners of the Company | Non- controlling interests | Total equity | ||||||||||||||||||||||||||||||||||||||
As of April 1, 2023 | (87,352) | (23,127) | — | 1,508,119 | 6,354,122 | 549 | 6,354,672 | |||||||||||||||||||||||||||||||||||||
Net profit for the year | — | 144,067 | 130 | 144,197 | ||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | 23,456 | 7,197 | (5,002) | 994,966 | 994,966 | 44 | 995,009 | |||||||||||||||||||||||||||||||||||||
Comprehensive income (loss) for the year | 23,456 | 7,197 | (5,002) | 994,966 | 1,139,033 | 173 | 1,139,206 | |||||||||||||||||||||||||||||||||||||
Transactions with owners: | ||||||||||||||||||||||||||||||||||||||||||||
Issuance of new shares | — | 502 | 502 | |||||||||||||||||||||||||||||||||||||||||
Acquisition of treasury shares | — | (2,367) | (2,367) | |||||||||||||||||||||||||||||||||||||||||
Disposal of treasury shares | — | 1 | 1 | |||||||||||||||||||||||||||||||||||||||||
Dividends | — | (287,785) | (287,785) | |||||||||||||||||||||||||||||||||||||||||
Changes in ownership | — | — | 18 | 18 | ||||||||||||||||||||||||||||||||||||||||
Transfers from other components of equity | 5,002 | 6,226 | — | — | ||||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | 69,836 | 69,836 | |||||||||||||||||||||||||||||||||||||||||
Exercise of share-based awards | — | (77) | (77) | |||||||||||||||||||||||||||||||||||||||||
Total transactions with owners | — | — | 5,002 | 6,226 | (219,892) | 18 | (219,873) | |||||||||||||||||||||||||||||||||||||
As of March 31, 2024 | (63,896) | (15,930) | — | 2,509,310 | 7,273,264 | 741 | 7,274,005 |
JPY (millions) | ||||||||||||||
For the year ended March 31, | ||||||||||||||
2023 | 2024 | |||||||||||||
Cash flows from operating activities: | ||||||||||||||
Net profit for the year | 317,038 | 144,197 | ||||||||||||
Depreciation and amortization | 664,400 | 728,002 | ||||||||||||
Impairment losses | 64,394 | 150,017 | ||||||||||||
Equity-settled share-based compensation | 60,672 | 70,871 | ||||||||||||
Loss on sales and disposal of property, plant and equipment | 10 | 6,052 | ||||||||||||
Gain on divestment of business and subsidiaries | (6,807) | (7,832) | ||||||||||||
Change in fair value of financial assets and liabilities associated with contingent consideration arrangements, net | 3,991 | 20,757 | ||||||||||||
Finance (income) and expenses, net | 106,785 | 167,757 | ||||||||||||
Share of loss (profit) of investments accounted for using the equity method | 8,630 | (6,473) | ||||||||||||
Income tax expenses (benefit) | 58,052 | (91,406) | ||||||||||||
Changes in assets and liabilities: | ||||||||||||||
Decrease in trade and other receivables | 75,127 | 15,104 | ||||||||||||
Increase in inventories | (79,155) | (115,743) | ||||||||||||
Decrease in trade and other payables | (84,804) | (9,895) | ||||||||||||
Increase (decrease) in provisions | 31,899 | (126,901) | ||||||||||||
Increase (decrease) in other financial liabilities | 31,669 | (18,568) | ||||||||||||
Other, net | (88,778) | (7,556) | ||||||||||||
Cash generated from operations | 1,163,122 | 918,383 | ||||||||||||
Income taxes paid | (198,439) | (219,941) | ||||||||||||
Tax refunds and interest on tax refunds received | 12,473 | 17,902 | ||||||||||||
Net cash from operating activities | 977,156 | 716,344 | ||||||||||||
Cash flows from investing activities: | ||||||||||||||
Interest received | 5,054 | 11,161 | ||||||||||||
Dividends received | 3,562 | 13,191 | ||||||||||||
Acquisition of property, plant and equipment | (140,657) | (175,420) | ||||||||||||
Proceeds from sales of property, plant and equipment | 962 | 8,606 | ||||||||||||
Acquisition of intangible assets | (493,032) | (305,310) | ||||||||||||
Acquisition of investments | (10,151) | (6,766) | ||||||||||||
Proceeds from sales and redemption of investments | 22,254 | 8,021 | ||||||||||||
Proceeds from sales of business, net of cash and cash equivalents divested | 7,958 | 19,959 | ||||||||||||
Payments for the settlement of forward exchange contracts designated as net investment hedges | — | (33,300) | ||||||||||||
Other, net | (3,052) | (4,003) | ||||||||||||
Net cash used in investing activities | (607,102) | (463,862) |
JPY (millions) | ||||||||||||||
For the year ended March 31, | ||||||||||||||
2023 | 2024 | |||||||||||||
Cash flows from financing activities: | ||||||||||||||
Net increase in short-term loans and commercial papers | 40,000 | 277,000 | ||||||||||||
Proceeds from issuance of bonds and long-term loans | 75,000 | 100,000 | ||||||||||||
Repayments of bonds and long-term loans | (356,670) | (320,901) | ||||||||||||
Proceeds from the settlement of cross currency interest rate swaps related to bonds | — | 60,063 | ||||||||||||
Acquisition of treasury shares | (26,929) | (2,326) | ||||||||||||
Interest paid | (108,555) | (100,375) | ||||||||||||
Dividends paid | (279,416) | (287,188) | ||||||||||||
Repayments of lease liabilities | (43,401) | (54,586) | ||||||||||||
Other, net | (9,178) | (26,102) | ||||||||||||
Net cash used in financing activities | (709,148) | (354,416) | ||||||||||||
Net decrease in cash and cash equivalents | (339,094) | (101,934) | ||||||||||||
Cash and cash equivalents at the beginning of the year | 849,695 | 533,530 | ||||||||||||
Effects of exchange rate changes on cash and cash equivalents | 22,929 | 26,204 | ||||||||||||
Cash and cash equivalents at the end of the year | 533,530 | 457,800 | ||||||||||||
For the year ended March 31, | ||||||||||||||
2023 | 2024 | |||||||||||||
Net profit for the year attributable to owners of the Company: | ||||||||||||||
Net profit for the year attributable to owners of the Company JPY (millions) | 317,017 | 144,067 | ||||||||||||
Net profit used for calculation of earnings per share JPY (millions) | 317,017 | 144,067 | ||||||||||||
Weighted-average number of ordinary shares outstanding during the year (thousands of shares) [basic] | 1,551,809 | 1,564,450 | ||||||||||||
Dilutive effect (thousands of shares) | 18,064 | 15,893 | ||||||||||||
Weighted-average number of ordinary shares outstanding during the year (thousands of shares) [diluted] | 1,569,872 | 1,580,343 | ||||||||||||
Earnings per share | ||||||||||||||
Basic (JPY) | 204.29 | 92.09 | ||||||||||||
Diluted (JPY) | 201.94 | 91.16 |
FINANCIAL APPENDIX |
Definition of Non-IFRS Measures | ||||||||
Definition of Core Financial Measures, Constant Exchange Rate Change, Free Cash Flow, and U.S. Dollar Convenience Translations | A-1 | |||||||
Definition of EBITDA/Adjusted EBITDA and Net Debt | A-2 | |||||||
Reconciliations and Other Financial Information | ||||||||
FY2023 Reported Results with CER % Change | A-3 | |||||||
FY2023 Q4 (Jan-Mar) Reported Results with CER % Change | A-4 | |||||||
FY2023 Core Results with CER % Change | A-5 | |||||||
FY2023 Q4 (Jan-Mar) Core Results with CER % Change | A-6 | |||||||
FY2023 Reconciliation from Reported to Core | A-7 | |||||||
FY2023 Q4 (Jan-Mar) Reconciliation from Reported to Core | A-8 | |||||||
FY2022 Reconciliation from Reported to Core | A-9 | |||||||
FY2022 Q4 (Jan-Mar) Reconciliation from Reported to Core | A-10 | |||||||
FY2023 Free Cash Flow | A-11 | |||||||
FY2023 Net Debt to Adjusted EBITDA | A-12 | |||||||
FY2022 Net Debt to Adjusted EBITDA | A-13 | |||||||
FY2023 Net Profit to Adjusted EBITDA Bridge | A-14 | |||||||
FY2023 CAPEX, Depreciation and Amortization and Impairment Losses | A-15 | |||||||
FY2023 Results vs. Forecast (Oct. 2023) | A-16 | |||||||
FY2024 Detailed Forecast | A-17 | |||||||
FY2024 Reconciliation from Reported Operating Profit to Core Operating Profit Forecast | A-18 | |||||||
FY2024 FX Rates Assumptions and Currency Sensitivity vs. Forecast | A-19 | |||||||
Important Notice | ||||||||
Important Notice, Forward-Looking Statements, Financial Information and Certain Non-IFRS Financial Measures, and Medical Information | A-20 |
Definition of Core Financial Measures, Constant Exchange Rate Change, Free Cash Flow, and U.S. Dollar Convenience Translations |
Definition of EBITDA/Adjusted EBITDA and Net Debt |
FY2023 Reported Results with CER % Change |
(Billion JPY, except EPS) | FY2022 | FY2023 | vs. PY | (Million USD, except EPS) FY2023 Convenience USD Translation | ||||||||||||||||||||||
AER | CER*1 | |||||||||||||||||||||||||
Amount of Change | % CHANGE | % CHANGE | ||||||||||||||||||||||||
Revenue | 4,027.5 | 4,263.8 | 236.3 | 5.9% | 1.5% | 28,196 | ||||||||||||||||||||
Cost of sales | (1,244.1) | (1,426.7) | (182.6) | (14.7)% | (9.8)% | (9,434) | ||||||||||||||||||||
Gross profit | 2,783.4 | 2,837.1 | 53.7 | 1.9% | (2.2)% | 18,761 | ||||||||||||||||||||
Margin | 69.1 | % | 66.5 | % | (2.6) pp | (2.5) pp | 66.5 | % | ||||||||||||||||||
SG&A expenses | (997.3) | (1,053.8) | (56.5) | (5.7)% | (0.9)% | (6,969) | ||||||||||||||||||||
R&D expenses | (633.3) | (729.9) | (96.6) | (15.3)% | (8.4)% | (4,827) | ||||||||||||||||||||
Amortization of intangible assets associated with products | (485.1) | (521.5) | (36.4) | (7.5)% | (0.4)% | (3,449) | ||||||||||||||||||||
Impairment losses on intangible assets associated with products*2 | (57.3) | (130.6) | (73.3) | (127.7)% | (112.4)% | (864) | ||||||||||||||||||||
Other operating income | 25.4 | 19.4 | (6.0) | (23.8)% | (26.3)% | 128 | ||||||||||||||||||||
Other operating expenses | (145.2) | (206.5) | (61.3) | (42.2)% | (34.5)% | (1,366) | ||||||||||||||||||||
Operating profit | 490.5 | 214.1 | (276.4) | (56.4)% | (50.3)% | 1,416 | ||||||||||||||||||||
Margin | 12.2 | % | 5.0 | % | (7.2) pp | (6.2) pp | 5.0 | % | ||||||||||||||||||
Finance income | 62.9 | 52.1 | (10.8) | (17.2)% | (18.2)% | 344 | ||||||||||||||||||||
Finance expenses | (169.7) | (219.8) | (50.2) | (29.6)% | (42.5)% | (1,454) | ||||||||||||||||||||
Share of profit (loss) of investments accounted for using the equity method | (8.6) | 6.5 | 15.1 | ― | ― | 43 | ||||||||||||||||||||
Profit before tax | 375.1 | 52.8 | (322.3) | (85.9)% | (84.1)% | 349 | ||||||||||||||||||||
Income tax (expenses) benefit | (58.1) | 91.4 | 149.5 | ― | ― | 604 | ||||||||||||||||||||
Net profit for the year | 317.0 | 144.2 | (172.8) | (54.5)% | (57.0)% | 954 | ||||||||||||||||||||
Non-controlling interests | (0.0) | (0.1) | (0.1) | (509.7)% | (492.2)% | (1) | ||||||||||||||||||||
Net profit attributable to owners of the Company | 317.0 | 144.1 | (172.9) | (54.6)% | (57.0)% | 953 | ||||||||||||||||||||
Basic EPS (JPY or USD) | 204.29 | 92.09 | (112.20) | (54.9)% | (57.3)% | 0.61 | ||||||||||||||||||||
*1 Starting from the quarter ending June 30, 2024, we will cease adjustments for CER change for the results of operations of subsidiaries in countries experiencing hyperinflation and for which IAS29, Financial Reporting in Hyperinflation Economies, is applied, because of the increased impacts of hyperinflation in the calculation of CER change using corresponding exchange rates in the same period of the previous fiscal year, effectively keeping CER change for these subsidiaries unchanged from those reported with IAS29. Had the methodology been used for FY2023 Reported Results with CER % change, CER changes for revenue, operating profit and net profit would have been (0.3)%, (56.8)% and (55.7)%, respectively. | ||||||||||||||||||||||||||
*2 Includes in-process R&D | ||||||||||||||||||||||||||
When comparing results to the previous fiscal year, the amount of change and percentage change based on Actual Exchange Rates are presented in “AER” (which is presented in accordance with IFRS) and percentage change based on Constant Exchange Rate (which is a non-IFRS measure) is presented in “CER”. Please refer to A-1 Definition of Core Financial Measures, Constant Exchange Rate Change, Free Cash Flow, and U.S. Dollar Convenience Translations, for the definition of the “Constant Exchange Rate change”. | ||||||||||||||||||||||||||
% change versus the previous fiscal year is presented as positive when favorable to profits, and negative when unfavorable to profits. |
FY2023 Q4 (Jan-Mar) Reported Results with CER % Change |
(Billion JPY, except EPS) | FY2022 Q4 (Jan-Mar) | FY2023 Q4 (Jan-Mar) | vs. PY | (Million USD, except EPS) FY2023 Q4 (Jan-Mar) Convenience USD Translation | ||||||||||||||||||||||
AER | CER | |||||||||||||||||||||||||
Amount of Change | % CHANGE | % CHANGE | ||||||||||||||||||||||||
Revenue | 956.2 | 1,050.9 | 94.7 | 9.9% | 6.2% | 6,949 | ||||||||||||||||||||
Cost of sales | (309.8) | (382.5) | (72.7) | (23.5)% | (18.8)% | (2,529) | ||||||||||||||||||||
Gross profit | 646.4 | 668.4 | 22.0 | 3.4% | 0.2% | 4,420 | ||||||||||||||||||||
Margin | 67.6 | % | 63.6 | % | (4.0) pp | (3.8) pp | 63.6 | % | ||||||||||||||||||
SG&A expenses | (254.8) | (285.2) | (30.4) | (11.9)% | (7.1)% | (1,886) | ||||||||||||||||||||
R&D expenses | (160.9) | (195.9) | (34.9) | (21.7)% | (11.6)% | (1,295) | ||||||||||||||||||||
Amortization of intangible assets associated with products | (114.5) | (133.8) | (19.3) | (16.9)% | (6.1)% | (885) | ||||||||||||||||||||
Impairment losses on intangible assets associated with products*1 | (18.7) | (11.3) | 7.4 | 39.7% | 39.3% | (75) | ||||||||||||||||||||
Other operating income | 8.7 | 9.3 | 0.6 | 6.7% | (8.4)% | 62 | ||||||||||||||||||||
Other operating expenses | (17.6) | (61.6) | (44.0) | (249.7)% | (219.2)% | (407) | ||||||||||||||||||||
Operating profit | 88.6 | (10.1) | (98.6) | ― | (84.1)% | (67) | ||||||||||||||||||||
Margin | 9.3 | % | (1.0) | % | (10.2) pp | (7.9) pp | (1.0) | % | ||||||||||||||||||
Finance income | 14.0 | 6.6 | (7.3) | (52.6)% | (53.5)% | 44 | ||||||||||||||||||||
Finance expenses | (49.2) | (47.8) | 1.3 | 2.6% | (41.5)% | (316) | ||||||||||||||||||||
Share of profit (loss) of investments accounted for using the equity method | (5.5) | 3.7 | 9.2 | ― | ― | 25 | ||||||||||||||||||||
Profit before tax | 47.9 | (47.5) | (95.4) | ― | ― | (314) | ||||||||||||||||||||
Income tax (expenses) benefit | (16.8) | 44.5 | 61.3 | ― | ― | 294 | ||||||||||||||||||||
Net profit for the period | 31.1 | (3.0) | (34.1) | ― | ― | (20) | ||||||||||||||||||||
Non-controlling interests | (0.0) | (0.0) | (0.0) | (1,112.2)% | (1,021.9)% | (0) | ||||||||||||||||||||
Net profit attributable to owners of the Company | 31.1 | (3.0) | (34.2) | ― | ― | (20) | ||||||||||||||||||||
Basic EPS (JPY or USD) | 20.03 | (1.92) | (21.95) | ― | ― | (0.01) | ||||||||||||||||||||
*1 Includes in-process R&D | ||||||||||||||||||||||||||
When comparing results to the same period of the previous fiscal year, the amount of change and percentage change based on Actual Exchange Rates are presented in “AER” (which is presented in accordance with IFRS) and percentage change based on Constant Exchange Rate (which is a non-IFRS measure) is presented in “CER”. Please refer to A-1 Definition of Core Financial Measures, Constant Exchange Rate Change, Free Cash Flow, and U.S. Dollar Convenience Translations, for the definition of the “Constant Exchange Rate change”. | ||||||||||||||||||||||||||
% change versus the same period of the previous fiscal year is presented as positive when favorable to profits, and negative when unfavorable to profits. |
FY2023 Core Results with CER % Change |
(Billion JPY, except EPS) | FY2022 | FY2023 | vs. PY | (Million USD, except EPS) FY2023 Convenience USD Translation | ||||||||||||||||||||||
AER | CER*1 | |||||||||||||||||||||||||
Amount of Change | % CHANGE | % CHANGE | ||||||||||||||||||||||||
Revenue | 4,027.5 | 4,263.8 | 236.3 | 5.9% | 1.5% | 28,196 | ||||||||||||||||||||
Cost of sales | (1,208.4) | (1,426.3) | (217.9) | (18.0)% | (13.0)% | (9,432) | ||||||||||||||||||||
Gross profit | 2,819.1 | 2,837.5 | 18.4 | 0.7% | (3.5)% | 18,764 | ||||||||||||||||||||
Margin | 70.0 | % | 66.5 | % | (3.4) pp | (3.4) pp | 66.5 | % | ||||||||||||||||||
SG&A expenses | (997.3) | (1,053.0) | (55.6) | (5.6)% | (0.8)% | (6,963) | ||||||||||||||||||||
R&D expenses | (633.4) | (729.6) | (96.3) | (15.2)% | (8.3)% | (4,825) | ||||||||||||||||||||
Operating profit | 1,188.4 | 1,054.9 | (133.5) | (11.2)% | (13.3)% | 6,976 | ||||||||||||||||||||
Margin | 29.5 | % | 24.7 | % | (4.8) pp | (4.3) pp | 24.7 | % | ||||||||||||||||||
Finance income | 16.9 | 51.5 | 34.6 | 204.7% | 201.2% | 341 | ||||||||||||||||||||
Finance expenses | (143.5) | (193.5) | (50.0) | (34.9)% | (36.0)% | (1,280) | ||||||||||||||||||||
Share of profit (loss) of investments accounted for using the equity method | 0.2 | 5.9 | 5.7 | 3,174.0% | 3,163.8% | 39 | ||||||||||||||||||||
Profit before tax | 1,062.0 | 918.8 | (143.2) | (13.5)% | (16.0)% | 6,076 | ||||||||||||||||||||
Income tax (expenses) benefit | (195.6) | (161.9) | 33.7 | 17.2% | 20.2% | (1,071) | ||||||||||||||||||||
Net profit for the year | 866.4 | 756.9 | (109.5) | (12.6)% | (15.0)% | 5,005 | ||||||||||||||||||||
Non-controlling interests | (0.0) | (0.1) | (0.1) | (509.7)% | (492.2)% | (1) | ||||||||||||||||||||
Net profit attributable to owners of the Company | 866.4 | 756.8 | (109.6) | (12.6)% | (15.0)% | 5,005 | ||||||||||||||||||||
Basic EPS (JPY or USD) | 558 | 484 | (75) | (13.4)% | (15.7)% | 3.20 | ||||||||||||||||||||
*1 Starting from the quarter ending June 30, 2024, we will cease adjustments for CER change for the results of operations of subsidiaries in countries experiencing hyperinflation and for which IAS29, Financial Reporting in Hyperinflation Economies, is applied, because of the increased impacts of hyperinflation in the calculation of CER change using corresponding exchange rates in the same period of the previous fiscal year, effectively keeping CER change for these subsidiaries unchanged from those reported with IAS29. Had the methodology been used for FY2023 Core Results with CER % change, CER changes for core revenue, core operating profit and core net profit would have been (0.3)%, (16.0)% and (17.0)%, respectively. | ||||||||||||||||||||||||||
When comparing results to the previous fiscal year, the amount of change and percentage change based on Actual Exchange Rates are presented in “AER” (which is presented in accordance with IFRS) and percentage change based on Constant Exchange Rate (which is a non-IFRS measure) is presented in “CER”. Please refer to A-1 Definition of Core Financial Measures, Constant Exchange Rate Change, Free Cash Flow, and U.S. Dollar Convenience Translations, for the definition of the “Constant Exchange Rate change”. | ||||||||||||||||||||||||||
% change versus the previous fiscal year is presented as positive when favorable to profits, and negative when unfavorable to profits. |
FY2023 Q4 (Jan-Mar) Core Results with CER % Change |
(Billion JPY, except EPS) | FY2022 Q4 (Jan-Mar) | FY2023 Q4 (Jan-Mar) | vs. PY | (Million USD, except EPS) FY2023 Q4 (Jan-Mar) Convenience USD Translation | ||||||||||||||||||||||
AER | CER | |||||||||||||||||||||||||
Amount of Change | % CHANGE | % CHANGE | ||||||||||||||||||||||||
Revenue | 956.2 | 1,050.9 | 94.7 | 9.9% | 6.2% | 6,949 | ||||||||||||||||||||
Cost of sales | (306.7) | (382.0) | (75.3) | (24.5)% | (19.8)% | (2,526) | ||||||||||||||||||||
Gross profit | 649.4 | 668.8 | 19.4 | 3.0% | (0.2)% | 4,423 | ||||||||||||||||||||
Margin | 67.9 | % | 63.6 | % | (4.3) pp | (4.1) pp | 63.6 | % | ||||||||||||||||||
SG&A expenses | (254.4) | (283.9) | (29.5) | (11.6)% | (6.8)% | (1,877) | ||||||||||||||||||||
R&D expenses | (161.3) | (195.6) | (34.3) | (21.3)% | (11.2)% | (1,293) | ||||||||||||||||||||
Operating profit | 233.7 | 189.3 | (44.4) | (19.0)% | (15.7)% | 1,252 | ||||||||||||||||||||
Margin | 24.4 | % | 18.0 | % | (6.4) pp | (5.0) pp | 18.0 | % | ||||||||||||||||||
Finance income | 13.3 | 6.5 | (6.8) | (51.0)% | (51.9)% | 43 | ||||||||||||||||||||
Finance expenses | (34.9) | (41.2) | (6.3) | (18.1)% | (41.6)% | (273) | ||||||||||||||||||||
Share of profit (loss) of investments accounted for using the equity method | (2.3) | 1.6 | 3.9 | ― | ― | 10 | ||||||||||||||||||||
Profit before tax | 209.9 | 156.2 | (53.6) | (25.6)% | (25.9)% | 1,033 | ||||||||||||||||||||
Income tax (expenses) benefit | (50.6) | (43.0) | 7.7 | 15.2% | 20.7% | (284) | ||||||||||||||||||||
Net profit for the period | 159.2 | 113.3 | (46.0) | (28.9)% | (27.5)% | 749 | ||||||||||||||||||||
Non-controlling interests | (0.0) | (0.0) | (0.0) | (1,112.2)% | (1,021.9)% | (0) | ||||||||||||||||||||
Net profit attributable to owners of the Company | 159.2 | 113.2 | (46.0) | (28.9)% | (27.5)% | 749 | ||||||||||||||||||||
Basic EPS (JPY or USD) | 102 | 72 | (30) | (29.5)% | (28.2)% | 0.48 | ||||||||||||||||||||
When comparing results to the same period of the previous fiscal year, the amount of change and percentage change based on Actual Exchange Rates are presented in “AER” (which is presented in accordance with IFRS) and percentage change based on Constant Exchange Rate (which is a non-IFRS measure) is presented in “CER”. Please refer to A-1 Definition of Core Financial Measures, Constant Exchange Rate Change, Free Cash Flow, and U.S. Dollar Convenience Translations, for the definition of the “Constant Exchange Rate change”. | ||||||||||||||||||||||||||
% change versus the same period of the previous fiscal year is presented as positive when favorable to profits, and negative when unfavorable to profits. |
FY2023 Reconciliation from Reported to Core |
(Billion JPY, except EPS and number of shares) | REPORTED | REPORTED TO CORE ADJUSTMENTS | CORE | |||||||||||||||||
Amortization of intangible assets | Impairment of intangible assets | Other operating income/ expenses | Others | |||||||||||||||||
Revenue | 4,263.8 | 4,263.8 | ||||||||||||||||||
Cost of sales | (1,426.7) | 0.4 | (1,426.3) | |||||||||||||||||
Gross profit | 2,837.1 | 0.4 | 2,837.5 | |||||||||||||||||
SG&A expenses | (1,053.8) | 0.9 | (1,053.0) | |||||||||||||||||
R&D expenses | (729.9) | 0.3 | (729.6) | |||||||||||||||||
Amortization of intangible assets associated with products | (521.5) | 521.5 | — | |||||||||||||||||
Impairment losses on intangible assets associated with products*1 | (130.6) | 130.6 | — | |||||||||||||||||
Other operating income | 19.4 | (19.4) | — | |||||||||||||||||
Other operating expenses | (206.5) | 206.5 | — | |||||||||||||||||
Operating profit | 214.1 | 521.5 | 130.6 | 187.1 | 1.5 | 1,054.9 | ||||||||||||||
Margin | 5.0 | % | 24.7 | % | ||||||||||||||||
Finance income and (expenses), net | (167.8) | 25.8 | (142.0) | |||||||||||||||||
Share of profit (loss) of investments accounted for using the equity method | 6.5 | (0.5) | 5.9 | |||||||||||||||||
Profit before tax | 52.8 | 521.5 | 130.6 | 187.1 | 26.8 | 918.8 | ||||||||||||||
Income tax (expenses) benefit | 91.4 | (108.7) | (28.6) | (43.1) | (85.4) | (161.9) | ||||||||||||||
Non-controlling interests | (0.1) | (0.1) | ||||||||||||||||||
Net profit attributable to owners of the Company | 144.1 | 412.8 | 102.0 | 144.1 | (58.7) | 756.8 | ||||||||||||||
Basic EPS (JPY) | 92 | 484 | ||||||||||||||||||
Number of shares (millions) | 1,564 | 1,564 |
FY2023 Q4 (Jan-Mar) Reconciliation from Reported to Core |
(Billion JPY, except EPS and number of shares) | REPORTED | REPORTED TO CORE ADJUSTMENTS | CORE | |||||||||||||||||
Amortization of intangible assets | Impairment of intangible assets | Other operating income/ expenses | Others | |||||||||||||||||
Revenue | 1,050.9 | 1,050.9 | ||||||||||||||||||
Cost of sales | (382.5) | 0.5 | (382.0) | |||||||||||||||||
Gross profit | 668.4 | 0.5 | 668.8 | |||||||||||||||||
SG&A expenses | (285.2) | 1.3 | (283.9) | |||||||||||||||||
R&D expenses | (195.9) | 0.3 | (195.6) | |||||||||||||||||
Amortization of intangible assets associated with products | (133.8) | 133.8 | — | |||||||||||||||||
Impairment losses on intangible assets associated with products*1 | (11.3) | 11.3 | — | |||||||||||||||||
Other operating income | 8.6 | (8.6) | — | |||||||||||||||||
Other operating expenses | (60.8) | 60.8 | — | |||||||||||||||||
Operating profit | (10.1) | 133.8 | 11.3 | 52.2 | 2.0 | 189.3 | ||||||||||||||
Margin | (1.0) | % | 18.0 | % | ||||||||||||||||
Finance income and (expenses), net | (41.2) | 6.5 | (34.7) | |||||||||||||||||
Share of profit (loss) of investments accounted for using the equity method | 3.7 | (2.2) | 1.6 | |||||||||||||||||
Profit before tax | (47.5) | 133.8 | 11.3 | 52.2 | 6.4 | 156.2 | ||||||||||||||
Income tax (expenses) benefit | 44.5 | (26.2) | (2.2) | (11.3) | (60.3) | (43.0) | ||||||||||||||
Non-controlling interests | (0.0) | (0.0) | ||||||||||||||||||
Net profit attributable to owners of the Company | (3.0) | 107.7 | 9.1 | 40.9 | (53.9) | 113.2 | ||||||||||||||
Basic EPS (JPY) | (2) | 72 | ||||||||||||||||||
Number of shares (millions) | 1,569 | 1,569 |
FY2022 Reconciliation from Reported to Core |
(Billion JPY, except EPS and number of shares) | REPORTED | REPORTED TO CORE ADJUSTMENTS | CORE | |||||||||||||||||
Amortization of intangible assets | Impairment of intangible assets | Other operating income/ expenses | Others | |||||||||||||||||
Revenue | 4,027.5 | 4,027.5 | ||||||||||||||||||
Cost of sales | (1,244.1) | 35.7 | (1,208.4) | |||||||||||||||||
Gross profit | 2,783.4 | 35.7 | 2,819.1 | |||||||||||||||||
SG&A expenses | (997.3) | (0.0) | (997.3) | |||||||||||||||||
R&D expenses | (633.3) | (0.0) | (633.4) | |||||||||||||||||
Amortization of intangible assets associated with products | (485.1) | 485.1 | — | |||||||||||||||||
Impairment losses on intangible assets associated with products*1 | (57.3) | 57.3 | — | |||||||||||||||||
Other operating income | 25.4 | (25.4) | — | |||||||||||||||||
Other operating expenses | (145.2) | 145.2 | — | |||||||||||||||||
Operating profit | 490.5 | 485.1 | 57.3 | 119.8 | 35.6 | 1,188.4 | ||||||||||||||
Margin | 12.2 | % | 29.5 | % | ||||||||||||||||
Finance income and (expenses), net | (106.8) | (19.8) | (126.6) | |||||||||||||||||
Share of profit (loss) of investments accounted for using the equity method | (8.6) | 8.8 | 0.2 | |||||||||||||||||
Profit before tax | 375.1 | 485.1 | 57.3 | 119.8 | 24.6 | 1,062.0 | ||||||||||||||
Income tax (expenses) benefit | (58.1) | (103.5) | (12.5) | (25.5) | 3.9 | (195.6) | ||||||||||||||
Non-controlling interests | (0.0) | (0.0) | ||||||||||||||||||
Net profit attributable to owners of the Company | 317.0 | 381.6 | 44.9 | 94.4 | 28.5 | 866.4 | ||||||||||||||
Basic EPS (JPY) | 204 | 558 | ||||||||||||||||||
Number of shares (millions) | 1,552 | 1,552 |
FY2022 Q4 (Jan-Mar) Reconciliation from Reported to Core |
(Billion JPY, except EPS and number of shares) | REPORTED | REPORTED TO CORE ADJUSTMENTS | CORE | |||||||||||||||||
Amortization of intangible assets | Impairment of intangible assets | Other operating income/ expenses | Others | |||||||||||||||||
Revenue | 956.2 | 956.2 | ||||||||||||||||||
Cost of sales | (309.8) | 3.0 | (306.7) | |||||||||||||||||
Gross profit | 646.4 | 3.0 | 649.4 | |||||||||||||||||
SG&A expenses | (254.8) | 0.4 | (254.4) | |||||||||||||||||
R&D expenses | (160.9) | (0.3) | (161.3) | |||||||||||||||||
Amortization of intangible assets associated with products | (114.5) | 114.5 | — | |||||||||||||||||
Impairment losses on intangible assets associated with products*1 | (18.7) | 18.7 | — | |||||||||||||||||
Other operating income | 8.7 | (8.7) | — | |||||||||||||||||
Other operating expenses | (17.6) | 17.6 | — | |||||||||||||||||
Operating profit | 88.6 | 114.5 | 18.7 | 8.9 | 3.1 | 233.7 | ||||||||||||||
Margin | 9.3 | % | 24.4 | % | ||||||||||||||||
Finance income and (expenses), net | (35.2) | 13.6 | (21.5) | |||||||||||||||||
Share of profit (loss) of investments accounted for using the equity method | (5.5) | 3.2 | (2.3) | |||||||||||||||||
Profit before tax | 47.9 | 114.5 | 18.7 | 8.9 | 19.9 | 209.9 | ||||||||||||||
Income tax (expenses) benefit | (16.8) | (24.1) | (4.3) | (1.4) | (4.1) | (50.6) | ||||||||||||||
Non-controlling interests | (0.0) | (0.0) | ||||||||||||||||||
Net profit attributable to owners of the Company | 31.1 | 90.4 | 14.5 | 7.5 | 15.8 | 159.2 | ||||||||||||||
Basic EPS (JPY) | 20 | 102 | ||||||||||||||||||
Number of shares (millions) | 1,555 | 1,555 |
FY2023 Free Cash Flow | ||||||||||||||||||||
(Billion JPY) | FY2022 | FY2023 | vs. PY | (Million USD) FY2023 Convenience USD Translation | ||||||||||||||||
Net profit | 317.0 | 144.2 | (172.8) | (54.5) | % | 954 | ||||||||||||||
Depreciation, amortization and impairment loss | 728.8 | 878.0 | 149.2 | 5,806 | ||||||||||||||||
Decrease (increase) in trade working capital | (88.8) | (110.5) | (21.7) | (731) | ||||||||||||||||
Income taxes paid | (198.4) | (219.9) | (21.5) | (1,454) | ||||||||||||||||
Tax refunds and interest on tax refunds received | 12.5 | 17.9 | 5.4 | 118 | ||||||||||||||||
Other | 206.1 | 6.7 | (199.4) | 44 | ||||||||||||||||
Net cash from operating activities (Operating Cash Flow) | 977.2 | 716.3 | (260.8) | (26.7) | % | 4,737 | ||||||||||||||
Adjustment for cash temporarily held by Takeda on behalf of third parties*1 | 81.7 | 18.0 | (63.7) | 119 | ||||||||||||||||
Acquisition of PP&E | (140.7) | (175.4) | (34.8) | (1,160) | ||||||||||||||||
Proceeds from sales of PP&E | 1.0 | 8.6 | 7.6 | 57 | ||||||||||||||||
Acquisition of intangible assets | (493.0) | (305.3) | 187.7 | (2,019) | ||||||||||||||||
Acquisition of investments | (10.2) | (6.8) | 3.4 | (45) | ||||||||||||||||
Proceeds from sales and redemption of investments | 22.3 | 8.0 | (14.2) | 53 | ||||||||||||||||
Proceeds from sales of business, net of cash and cash equivalents divested | 8.0 | 20.0 | 12.0 | 132 | ||||||||||||||||
Free Cash Flow | 446.2 | 283.4 | (162.8) | (36.5) | % | 1,874 | ||||||||||||||
*1 Adjustment refers to changes in cash balance that is temporarily held by Takeda on behalf of third parties related to vaccine operations and the trade receivables sales program. | ||||||||||||||||||||
FY2023 Net Debt to Adjusted EBITDA | |||||||||||||||||||||||
NET DEBT/ADJUSTED EBITDA RATIO | NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | ||||||||||||||||||||||
(Billion JPY) | FY2023 | (Billion JPY) | FY2022 | FY2023 | vs. PY | ||||||||||||||||||
Cash & cash equivalents and Level 1 debt investments*1 | 350.0 | Net cash from operating activities | 977.2 | 716.3 | (260.8) | (26.7) | % | ||||||||||||||||
Book value debt on consolidated statements of financial position | (4,843.8) | Acquisition of PP&E | (140.7) | (175.4) | |||||||||||||||||||
Hybrid bond 50% equity credit | 250.0 | Proceeds from sales of PP&E | 1.0 | 8.6 | |||||||||||||||||||
FX adjustment*2 | 152.5 | Acquisition of intangible assets | (493.0) | (305.3) | |||||||||||||||||||
Gross debt*3 | (4,441.2) | Acquisition of investments | (10.2) | (6.8) | |||||||||||||||||||
Net cash (debt) | (4,091.3) | Proceeds from sales and redemption of investments | 22.3 | 8.0 | |||||||||||||||||||
Proceeds from sales of business, net of cash and cash equivalents divested | 8.0 | 20.0 | |||||||||||||||||||||
Net debt/Adjusted EBITDA ratio | 3.1x | Net increase in short-term loans and commercial papers | 40.0 | 277.0 | |||||||||||||||||||
Proceeds from long-term loans | 75.0 | 100.0 | |||||||||||||||||||||
Adjusted EBITDA | 1,319.9 | Repayment of long-term loans | (75.2) | (100.4) | |||||||||||||||||||
Repayment of bonds | (281.5) | (220.5) | |||||||||||||||||||||
Proceeds from the settlement of cross currency interest rate swaps related to bonds | — | 60.1 | |||||||||||||||||||||
Purchase of treasury shares | (26.9) | (2.3) | |||||||||||||||||||||
Interest paid | (108.6) | (100.4) | |||||||||||||||||||||
Dividends paid | (279.4) | (287.2) | |||||||||||||||||||||
Others | (47.0) | (93.6) | |||||||||||||||||||||
Net increase (decrease) in cash and cash equivalents | (339.1) | (101.9) | 237.2 | 69.9 | % | ||||||||||||||||||
*1 Represents cash & cash equivalents, excluding cash temporarily held by Takeda on behalf of third parties related to vaccine operations and to the trade receivables sales program, and debt investments classified as Level 1 in the fair value hierarchy being recorded as Other Financial Assets. For the calculation of net debt, starting from the quarter ended June 30, 2023, debt investments classified as Level 1 in the fair value hierarchy being recorded as Other Financial Assets are included in the items deducted from gross debt. Had the same methodology been used for the calculation of net debt as of March 31, 2023 and prior periods, net debt would have remained unchanged. | |||||||||||||||||||||||
*2 FX adjustment refers to change from month-end rate to average rate used for non-JPY debt calculation outstanding at the beginning of the period to match with adjusted EBITDA (which is calculated based on average rates). New non-JPY debt incurred and existing non-JPY debt redeemed during the reporting period are translated to JPY at relevant spot rates as of the relevant date. | |||||||||||||||||||||||
*3 Bonds and loans of current and non-current liabilities. JPY 250.0 billion reduction in debt due to JPY 500.0 billion hybrid bond issuance in June 2019, given that the hybrid bond qualifies for 50% equity credit for leverage purposes. Includes non-cash adjustments related to debt amortization and FX impact. | |||||||||||||||||||||||
FY2022 Net Debt to Adjusted EBITDA | |||||||||||||||||||||||
NET DEBT/ADJUSTED EBITDA RATIO | NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | ||||||||||||||||||||||
(Billion JPY) | FY2022 | (Billion JPY) | FY2021 | FY2022 | vs. PY | ||||||||||||||||||
Cash and cash equivalents*1 | 407.7 | Net cash from operating activities | 1,123.1 | 977.2 | (145.9) | (13.0) | % | ||||||||||||||||
Book value debt on consolidated statements of financial position | (4,382.3) | Acquisition of PP&E | (123.3) | (140.7) | |||||||||||||||||||
Hybrid bond 50% equity credit | 250.0 | Proceeds from sales of PP&E | 1.8 | 1.0 | |||||||||||||||||||
FX adjustment*2 | 8.5 | Acquisition of intangible assets | (62.8) | (493.0) | |||||||||||||||||||
Gross debt*3 | (4,123.9) | Acquisition of investments | (8.3) | (10.2) | |||||||||||||||||||
Net cash (debt) | (3,716.1) | Proceeds from sales and redemption of investments | 16.9 | 22.3 | |||||||||||||||||||
Acquisition of business, net of cash and cash equivalents acquired | (49.7) | — | |||||||||||||||||||||
Upfront payment related to the acquisition of TAK-279*4 | 400.4 | Proceeds from sales of business, net of cash and cash equivalents divested | 28.2 | 8.0 | |||||||||||||||||||
Net cash (debt) excluding upfront payment related to the acquisition of TAK-279 | (3,315.7) | Net decrease in short-term loans and commercial papers | (0.0) | 40.0 | |||||||||||||||||||
Proceeds from long-term loans | — | 75.0 | |||||||||||||||||||||
Repayment of long-term loans | (414.1) | (75.2) | |||||||||||||||||||||
Net debt/Adjusted EBITDA ratio | 2.6 | x | Proceeds from issuance of bonds | 249.3 | — | ||||||||||||||||||
Net debt/Adjusted EBITDA ratio excluding upfront payment related to the acquisition of TAK-279 | 2.3 | x | Repayment of bonds | (396.0) | (281.5) | ||||||||||||||||||
Purchase of treasury shares | (77.5) | (26.9) | |||||||||||||||||||||
Interest paid | (108.2) | (108.6) | |||||||||||||||||||||
Adjusted EBITDA | 1,421.8 | Dividends paid | (283.7) | (279.4) | |||||||||||||||||||
Others | (41.1) | (47.0) | |||||||||||||||||||||
Net increase (decrease) in cash and cash equivalents | (145.3) | (339.1) | (193.8) | (133.4) | % | ||||||||||||||||||
*1 Includes short-term investments which mature or become due within one year from the reporting date and excludes cash temporarily held by Takeda on behalf of third parties related to vaccine operations and the trade receivables sales program. | |||||||||||||||||||||||
*2 FX adjustment refers to change from month-end rate to average rate used for non-JPY debt calculation outstanding at the beginning of the period to match with adjusted EBITDA (which is calculated based on average rates). New non-JPY debt incurred and existing non-JPY debt redeemed during the reporting period are translated to JPY at relevant spot rates as of the relevant date. | |||||||||||||||||||||||
*3 Bonds and loans of current and non-current liabilities. JPY 250.0 billion reduction in debt due to JPY 500.0 billion hybrid bond issuance in June 2019, given that the hybrid bond qualifies for 50% equity credit for leverage purposes. Includes non-cash adjustments related to debt amortization and FX impact. | |||||||||||||||||||||||
*4 This represents the portion of the USD 4.0 billion upfront payment related to the acquisition of TAK-279 paid in February 2023 (such portion totaling USD 3.0 billion), converted to JPY using the Japanese yen – U.S. dollar exchange rate of 133.48, which is applicable to translation of foreign currency denominated cash as of March 31, 2023. | |||||||||||||||||||||||
FY2023 Net Profit to Adjusted EBITDA Bridge | ||||||||||||||
(Billion JPY) | FY2022 | FY2023 | vs. PY | |||||||||||
Net profit | 317.0 | 144.2 | (172.8) | (54.5) | % | |||||||||
Income tax (expenses) benefit | 58.1 | (91.4) | ||||||||||||
Depreciation and amortization | 664.4 | 728.0 | ||||||||||||
Interest expense, net | 111.5 | 108.2 | ||||||||||||
EBITDA | 1,151.0 | 889.0 | (261.9) | (22.8) | % | |||||||||
Impairment losses | 64.4 | 150.0 | ||||||||||||
Other operating expense (income), net, excluding depreciation and amortization and other miscellaneous expenses (non-cash item) | 109.0 | 162.2 | ||||||||||||
Finance expense (income), net, excluding interest income and expense, net | (4.7) | 59.5 | ||||||||||||
Share of loss on investments accounted for under the equity method | 8.6 | (6.5) | ||||||||||||
Other adjustments: | 93.5 | 69.9 | ||||||||||||
Non-core expense related to COVID-19 | 9.9 | — | ||||||||||||
Impact on profit related to fair value step up of inventory in Shire acquisition | 24.9 | — | ||||||||||||
Other costs*1 | 58.7 | 69.9 | ||||||||||||
EBITDA from divested products*2 | — | (4.2) | ||||||||||||
Adjusted EBITDA | 1,421.8 | 1,319.9 | (101.9) | (7.2) | % | |||||||||
*1 Includes adjustments for non-cash equity-based compensation expense and other one time non-cash expense. | ||||||||||||||
*2 Represents adjustments for EBITDA from divested products which are removed as part of Adjusted EBITDA |
FY2023 CAPEX, Depreciation and Amortization and Impairment Losses |
(Billion JPY) | FY2022 | FY2023 | vs. PY | FY2024 Forecast | ||||||||||||||||
Capital expenditures*1 | 633.7 | 480.7 | (153.0) | (24.1) | % | 380.0 - 420.0 | ||||||||||||||
Tangible assets | 140.7 | 175.4 | 34.8 | 24.7 | % | |||||||||||||||
Intangible assets | 493.0 | 305.3 | (187.7) | (38.1) | % | |||||||||||||||
Depreciation and amortization | 664.4 | 728.0 | 63.6 | 9.6 | % | 745.0 | ||||||||||||||
Depreciation of tangible assets*2 (A) | 153.7 | 174.1 | 20.4 | 13.2 | % | |||||||||||||||
Amortization of intangible assets (B) | 510.7 | 553.9 | 43.3 | 8.5 | % | |||||||||||||||
Of which Amortization associated with products (C) | 485.1 | 521.5 | 36.4 | 7.5 | % | 540.0 | ||||||||||||||
Of which Amortization excluding intangible assets associated with products (D) | 25.6 | 32.4 | 6.8 | 26.7 | % | |||||||||||||||
Depreciation and amortization (excluding intangible assets associated with products) (A)+(D) | 179.3 | 206.5 | 27.2 | 15.2 | % | 205.0 | ||||||||||||||
Impairment losses | 64.4 | 150.0 | 85.6 | 133.0 | % | |||||||||||||||
Impairment losses associated with products*3 | 57.3 | 130.6 | 73.3 | 127.7 | % | 50.0 | ||||||||||||||
Amortization and impairment losses on intangible assets associated with products | 542.4 | 652.1 | 109.7 | 20.2 | % | 590.0 | ||||||||||||||
*1 Cash flow base | ||||||||||||||||||||
*2 Includes depreciation of investment properties | ||||||||||||||||||||
*3 Includes in-process R&D | ||||||||||||||||||||
FY2023 Results vs. Forecast (Oct. 2023) |
(BN JPY) | FY2023 Forecast (October 26, 2023) | FY2023 Actual | vs. Forecast | Variances | |||||||||||||||||||
REPORTED | Revenue | 3,980.0 | 4,263.8 | 283.8 | 7.1 | % | FX benefit and business momentum including milder-than-anticipated generic erosion of VYVANSE in the U.S. | ||||||||||||||||
R&D expenses | (680.0) | (729.9) | (49.9) | (7.3) | % | Mainly FX headwind and program termination accruals | |||||||||||||||||
Amortization of intangible assets associated with products | (500.0) | (521.5) | (21.5) | (4.3) | % | Mainly FX headwind | |||||||||||||||||
Impairment losses on intangible assets associated with products*1 | (120.0) | (130.6) | (10.6) | (8.8) | % | Termination of partnered programs (e.g., TAK-007, TAK-573) partially offset by EOHILIA reversal | |||||||||||||||||
Other operating income | 14.0 | 19.4 | 5.4 | 38.4 | % | ||||||||||||||||||
Other operating expenses | (180.0) | (206.5) | (26.5) | (14.7) | % | Includes revaluation of XIIDRA future milestone and EOHILIA milestone payment | |||||||||||||||||
Operating profit | 225.0 | 214.1 | (10.9) | (4.9) | % | ||||||||||||||||||
Finance income (expenses), net | (157.0) | (167.8) | (10.8) | (6.9) | % | ||||||||||||||||||
Profit before tax | 70.0 | 52.8 | (17.2) | (24.6) | % | Lower operating profit and higher financial expense | |||||||||||||||||
Net profit attributable to owners of the Company | 93.0 | 144.1 | 51.1 | 54.9 | % | Lower tax due to earnings mix and recognition of previously unrecognized tax losses and disallowed interest expenses | |||||||||||||||||
Basic EPS (yen) | 59 | 92 | 33 | 54.9 | % | ||||||||||||||||||
Core Revenue*2 | 3,980.0 | 4,263.8 | 283.8 | 7.1 | % | FX benefit and business momentum | |||||||||||||||||
Core Operating Profit*2 | 1,015.0 | 1,054.9 | 39.9 | 3.9 | % | FX benefit and business momentum | |||||||||||||||||
Core EPS (yen) | 447 | 484 | 36 | 8.1 | % | Lower core tax due to earnings mix | |||||||||||||||||
Free cash flow | 400.0 to 500.0 | 283.4 | Mainly litigation payment and higher than anticipated working capital | ||||||||||||||||||||
CAPEX (cash flow base) | (480.0) to (530.0) | (480.7) | |||||||||||||||||||||
Depreciation and amortization (excl. intangible assets associated with products) | (180.0) | (206.5) | (26.5) | (14.7) | % | ||||||||||||||||||
Cash tax rate on adjusted EBITDA (excl. divestitures) | Mid teen % | ~15% | |||||||||||||||||||||
USD/JPY (yen) | 137 | 144 | 7 | 5.2 | % | ||||||||||||||||||
EUR/JPY (yen) | 145 | 156 | 11 | 7.8 | % |
FY2024 Detailed Forecast |
(BN JPY) | FY2023 Actual | FY2024 Forecast (May 9, 2024) | vs. PY | Variances | |||||||||||||||||||
REPORTED | Revenue | 4,263.8 | 4,350.0 | 86.2 | 2.0 | % | Momentum of Growth & Launch products and FX benefit largely offset by LOE impact (mainly VYVANSE) | ||||||||||||||||
Cost of sales | (1,426.7) | (1,500.0) | (73.3) | (5.1) | % | ||||||||||||||||||
Gross Profit | 2,837.1 | 2,850.0 | 12.9 | 0.5 | % | Reflects revenue growth; Gross margin negatively impacted by LOE of VYVANSE | |||||||||||||||||
SG&A expenses | (1,053.8) | (1,080.0) | (26.2) | (2.5) | % | Increased DD&T investment and FX headwind, partially offset by efficiency gains | |||||||||||||||||
R&D expenses | (729.9) | (770.0) | (40.1) | (5.5) | % | Increased investment in late-stage assets and FX headwind; Low-single-digit increase on CER basis | |||||||||||||||||
Amortization of intangible assets associated with products | (521.5) | (540.0) | (18.5) | (3.5) | % | Mainly FX impact | |||||||||||||||||
Impairment losses on intangible assets associated with products*1 | (130.6) | (50.0) | 80.6 | 61.7 | % | FY2023 Actual includes impairment of ALOFISEL, EXKIVITY etc.; FY2024 based on historical trends | |||||||||||||||||
Other operating income | 19.4 | 15.0 | (4.4) | (22.6) | % | ||||||||||||||||||
Other operating expenses | (206.5) | (200.0) | 6.5 | 3.2 | % | FY2023 includes litigation expense and revaluation of contingent consideration; FY2024 includes restructuring expenses of JPY 140B | |||||||||||||||||
Operating profit | 214.1 | 225.0 | 10.9 | 5.1 | % | ||||||||||||||||||
Finance income (expenses), net | (167.8) | (172.0) | (4.2) | (2.5) | % | ||||||||||||||||||
Profit before tax | 52.8 | 55.0 | 2.2 | 4.2 | % | ||||||||||||||||||
Net profit attributable to owners of the Company | 144.1 | 58.0 | (86.1) | (59.7) | % | FY2023 inlcudes impact from Irish Revenue settlement; FY2024 positive tax mainly due to earnings mix | |||||||||||||||||
Basic EPS (yen) | 92 | 37 | (55) | (60.1) | % | ||||||||||||||||||
Core Revenue*2 | 4,263.8 | 4,350.0 | 86.2 | 2.0 | % | Momentum of Growth & Launch products and FX benefit largely offset by LOE impact (mainly VYVANSE) | |||||||||||||||||
Core Operating Profit*2 | 1,054.9 | 1,000.0 | (54.9) | (5.2) | % | Product mix impact and R&D and DD&T investment, partially offset by efficiency gains and FX benefit | |||||||||||||||||
Core EPS (yen) | 484 | 431 | (53) | (10.9) | % | Normalization of core tax rate following lower tax rate in FY2023 | |||||||||||||||||
Adjusted free cash flow*2 | 283.4 | 350.0 to 450.0 | FY2024 reflects VYVANSE decline, cash impact of restructuring, and CAPEX budget for targeted licensing deals | ||||||||||||||||||||
CAPEX (cash flow base) | (480.7) | (380.0) to (420.0) | |||||||||||||||||||||
Depreciation and amortization (excl. intangible assets associated with products) | (206.5) | (205.0) | 1.5 | 0.7 | % | ||||||||||||||||||
Cash tax rate on adjusted EBITDA (excl. divestitures) | ~15% | Mid teen % | |||||||||||||||||||||
USD/JPY | 144 | 150 | 6 | 4.1 | % | ||||||||||||||||||
EUR/JPY | 156 | 160 | 4 | 2.4 | % |
FY2024 Reconciliation from Reported Operating Profit to Core Operating Profit Forecast |
(Billion JPY) | REPORTED | REPORTED TO CORE ADJUSTMENTS | CORE | ||||||||||||||
Amortization of intangible assets | Impairment of intangible assets | Other operating income (expenses) and other adjustments | |||||||||||||||
Revenue | 4,350.0 | 4,350.0 | |||||||||||||||
Cost of sales | (1,500.0) | (3,350.0) | |||||||||||||||
Gross Profit | 2,850.0 | ||||||||||||||||
SG&A expenses | (1,080.0) | ||||||||||||||||
R&D expenses | (770.0) | ||||||||||||||||
Amortization of intangible assets associated with products | (540.0) | 540.0 | — | ||||||||||||||
Impairment losses on intangible assets associated with products*1 | (50.0) | 50.0 | — | ||||||||||||||
Other operating income | 15.0 | (15.0) | — | ||||||||||||||
Other operating expenses | (200.0) | 200.0 | — | ||||||||||||||
Operating profit | 225.0 | 540.0 | 50.0 | 185.0 | 1,000.0 |
FY2024 Full Year FX Rates Assumptions and Currency Sensitivity vs. Forecast |
Average Exchange Rates vs. JPY | Impact of depreciation of yen from April 2024 to March 2025 (100 million JPY) | |||||||||||||||||||||||||
FY2022 Actual (Apr-Mar) | FY2023 Actual (Apr-Mar) | FY2024 Assumption (Apr-Mar) | Revenue (IFRS) | Operating Profit (IFRS) | Net Profit (IFRS) | Core Operating Profit (non-IFRS) | ||||||||||||||||||||
USD | 135 | 144 | 150 | 1% depreciation | 225.6 | 15.0 | 5.0 | 67.2 | ||||||||||||||||||
1 yen depreciation | 150.4 | 10.0 | 3.3 | 44.8 | ||||||||||||||||||||||
EUR | 141 | 156 | 160 | 1% depreciation | 63.8 | (49.4) | (41.4) | (37.5) | ||||||||||||||||||
1 yen depreciation | 39.9 | (30.9) | (25.9) | (23.5) | ||||||||||||||||||||||
RUB | 2.1 | 1.6 | 1.6 | 1% depreciation | 4.5 | 2.6 | 2.1 | 3.1 | ||||||||||||||||||
CNY | 19.7 | 20.1 | 20.9 | 19.9 | 12.2 | 9.8 | 12.2 | |||||||||||||||||||
BRL | 26.3 | 29.1 | 30.4 | 12.6 | 8.7 | 6.9 | 8.8 |
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