Otsuka : Notice concerning amendments to financial forecasts for FY 2017 (87KB)
February 08, 2018 at 01:40 am EST
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February 8, 2018
For Immediate Release
Company name
Otsuka Holdings Co., Ltd.
Representative
Tatsuo Higuchi
President and Representative Director, CEO
Code number
4578 First Section, Tokyo Stock Exchange
Inquiries
Yuji Kogure
Director, Investors Relations Department
Notice concerning amendments to financial forecasts for FY 2017
Based on our recent business results, Otsuka Holdings Co., Ltd. hereby amends our consolidated financial forecasts for FY 2017 (January 1, 2017 to December 31, 2017), previously announced on February 14, 2017.
1. Amendments to the consolidated financial forecasts for FY 2017
Net sales
Operating profit
Profit before tax
Profit
Profit attributable to owners of the Company
Basic earnings per share
¥ Million
¥ Million
¥ Million
¥ Million
¥ Million
¥
Previous forecast (A)
1,260,000
120,000
119,000
87,000
85,000
156.87
Revised forecast (B)
1,240,000
104,000
103,000
114,000
112,000
206.69
Amount change (B-A)
(20,000)
(16,000)
(16,000)
27,000
27,000
Change (%)
(1.6)
(13.3)
(13.4)
31.0
31.8
(Ref.) FY 2016results
1,195,547
101,145
116,680
93,332
92,563
170.82
2. Reasons for the amendments
The Company expects profit and profit attributable to owners of the Company will exceed the Company's expectation significantly, as approximately ¥30 billion will be booked as a result of reversals of deferred tax liability recorded in the US, due to the US tax reform signed into law in December 2017.
On the other hand, operating profit and profit before tax to be lower than previously estimated due to the impairment loss (on intangible assets) of approximately ¥23 billion which is related solely to "ONZETRA Xsail"(sumatriptan nasal powder) for the acute treatment of migraine booked in the second quarter. An additional sum was booked as SG&A in the fourth quarter of FY 2017 to accelerate the growth of global pharmaceutical products and to prepare for a new drug launch.
Please also note that forecasts for FY 2018 will be announced on February 14, 2018 at the time of the announcement of FY 2017 actual financial results.
Note:
The above forecasts are based on information available and certain assumptions that the Company deems reasonable at the time of the announcement. Actual operating results may differ from these projections due to various factors.
Otsuka Holdings Co. Ltd. published this content on 08 February 2018 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 08 February 2018 06:39:02 UTC.
Original documenthttps://www.otsuka.com/en/hd_release/release/pdf.php?news=1737
Public permalinkhttp://www.publicnow.com/view/3ACBBE57F096EAD8138F657EE5B8AB3DED82209F
Otsuka Holdings Co, Ltd. is a holding company organised around 4 areas of activity:
- manufacture and sale of pharmaceutical products (65.2% of sales): prescription drugs and intravenous solutions mainly for the treatment of central nervous system disorders, cancer, cardiovascular, gastrointestinal and ophthalmic diseases. In addition, the group sells diagnostic products and medical devices;
- manufacture and sale of nutraceutical products (25.1%): functional foods and beverages, OTC products, nutritional supplements;
- production of mineral waters, beverages and foods (2.1%);
- other (7.5%): manufacture of functional chemicals and fine chemicals, provision of logistics services, manufacture of electronic products, etc.
Net sales by source of income are divided between sales of products (93.8%), sales of licences and royalties (1.8%) and other (4.4%).
Net sales are distributed geographically as follows: Japan (43.2%), North America (34%),
OTSUKA HOLDINGS CO., LTD. 
