Terumo (4543) investor relations material

Executive summary

• Achieved record-high revenue and profit for Q3 and year-to-date, driven by strong North American demand, robust global sales, and double-digit growth excluding FX impact.

• Effective pricing strategies and cost control offset negative tariff impacts and one-time expenses, with acquisitions such as OrganOx and Leverkusen Plant contributing to consolidated results.

• Profit attributable to owners of the parent increased 11.1% year-over-year to ¥109.5 billion, with basic EPS up to ¥74.27.

• Overseas revenue grew 9.2%, led by Interventional Systems and plasma innovation businesses, while Japan saw a 2.2% increase.

Financial highlights

• Q3 year-to-date revenue reached ¥831.6 billion, up 7.7% year-over-year, with 9% growth in North America (excluding FX).

• Operating profit and adjusted operating profit hit ¥144.9 billion and ¥173.5 billion, respectively, both record highs.

• Q3 YTD profit for the year grew 11% to ¥109.5 billion; total comprehensive income surged 37.3% to ¥194.8 billion.

• Free cash flow for Q3 YTD was -¥173.8 billion, reflecting significant investments and M&A activity.

• Gross profit increased 5.6% year-over-year to ¥445.7 billion.

Outlook and guidance

• Business is on track to achieve GS 2026 targets, with structural reforms and cost optimization expected to yield ¥3 billion in annual savings from next fiscal year.

• Full-year revenue guidance is ¥1,108.0 billion (+6.9% year-over-year), with adjusted operating profit of ¥221.5 billion (+8.9%) and profit attributable to owners of ¥136.0 billion (+16.3%).

• Dividend forecast raised to ¥30.00 per share for FY2026.

• Pricing initiatives to offset inflation and tariffs will continue, aiming to increase prices faster than inflation.