Apr. 19, 2019Finances
Sumitomo Dainippon Pharma Revises Financial Forecasts
Sumitomo Dainippon Pharma Co., Ltd. (Head Office: Osaka, Japan; President and CEO: Hiroshi Nomura; Securities Code: 4506, First Section of TSE) announced today that it has revised its consolidated financial forecasts for the full-year period ended March 31, 2019, which were announced on May 11, 2018, after taking the Company's recent business performance trends into consideration.
1. Revisions to the Forecasts of Consolidated Financial Results for the Year ended March 31, 2019 (April 1, 2018 to March 31, 2019)
(Millions of yen)
|Previous Forecasts (A)||467,000||77,000||53,000||35,000||35,000||¥88.10|
|Revised Forecasts (B)||459,300||77,300||57,900||48,600||48,600||¥122.33|
|Variance in amount
|Variance in percent (%)||(1.6)||0.4||9.2||38.9||38.9|
(Year ended March
Note: Core operating profit is calculated by deducting from operating profit any gains and losses resulting from nonrecurring factors, including changes in fair value of contingent consideration, impairment losses, and business structure improvement expenses.
2. Reasons for the revisions
Revenue is now forecasted to be 459,300 million yen (decrease of 7,700 million yen) compared to the previous forecast, as its performance weakened in the North America segment, while core operating profit is expected to remain almost unchanged at 77,300 million yen, as both SG&A expenses and R&D expenses on the core basis are expected to come under the previous forecasts.
Operating profit is now expected to be 57,900 million yen (increase of 4,900 million yen) compared to the previous forecast as reversal of expenses resulting from a review of business plans and development plans is recorded under the change in fair value of contingent consideration while at the same time impairment losses have been recorded on some intangible assets and so forth.
We have revised net profit and net profit attributable to owners of the parent to 48,600 million yen (increase of 13,600 million yen) compared to the previous forecasts as foreign exchange gains due to depreciation of the yen are recorded under finance income and income tax expenses are expected to be lower than previously assumed.
Disclaimer Regarding Forward-looking Statements
The statements made in this press release contain forward-looking statements based on management's assumptions and beliefs in light of information available as of the day of this release, which involve both known and unknown risks and uncertainties. Actual results of those matters covered in the forward-looking statements including financial forecast may differ materially from those contained in this release, due to a number of factors.