Business Highlights and Consolidated Financial Results for the First Quarter of the Fiscal Year Ending December 2026 (January-March)

Overview of Financial Results

In the first quarter of the fiscal year ending December 2026, revenue increased by 4,612 million yen Year-over-Year to 11,256 million yen, primarily due to the achievement of multiple milestones. Research and development expenses decreased by 780 million yen to 3,028 million yen, and selling, general and administrative expenses also decreased by 131 million yen to 3,570 million yen. As a result, operating income turned positive to a profit of 3,244 million yen, with income before income taxes and net income for the quarter also returning to profit. Core operating income reached a profit of 5,495 million yen, reflecting strengthening of the financial base.

Progress in Business Activities and Partnerships

Significant commercial and development progress was made, including signing a license agreement for the Duchenne muscular dystrophy treatment vamorolone in Japan and the APAC region, filing for manufacturing and marketing approval of dalorexant in South Korea, and entering a license agreement for GPCR-targeting programs with a European venture company. The acquisition of partner Centessa Pharmaceuticals Limited by Eli Lilly was also announced, with the company holding rights to receive milestone and royalty income. Furthermore, multiple partnerships achieved milestones and commenced clinical trials, contributing to future growth prospects.