Eisai (4523) Q2 2027 earnings summary

Executive summary

• H1 FY2026 revenue rose 17.5% YoY to ¥470.0B; operating profit increased 20.4% to ¥41.4B and core operating profit rose 28.6% to ¥43.1B, driven by LENVIMA, DAYVIGO and LEQEMBI.

• Organic pharmaceutical business performance was ahead of plan; H2 priorities include steady operations and strict budget-versus-actual spending management.

Financial highlights

• Gross profit rose 17.2% to ¥365.4B; R&D expenses increased 16.7% to ¥88.1B and SG&A increased 15.3% to ¥235.2B.

• Profit for the period was ¥31.3B; profit attributable to owners of the parent rose 21.5% to ¥29.9B.

• Revenue increased ¥69.9B YoY; LENVIMA, DAYVIGO and LEQEMBI contributed increases of ¥28.2B, ¥10.4B and ¥20.4B, respectively.

• Core operating profit of ¥43.1B adjusted reported operating profit of ¥41.4B for a ¥0.1B severance-benefit reversal and ¥1.7B of arbitration-related expenses.

Outlook and guidance

• FY2026 forecast remains unchanged at revenue of ¥883.5B and operating profit of ¥70.0B; H1 progress was 53.2% and 59.2%, respectively.

• FY2026 product forecasts are ¥345.0B for LENVIMA, ¥73.5B for DAYVIGO and ¥143.5B for LEQEMBI; H1 progress was 56.5%, 53.8% and 42.9%, respectively.

• FY2028 core operating profit target is ¥90B; FY2027 is expected between FY2026’s ¥70B operating-profit target and the FY2028 goal, with IRA impacts under review.

• R&D expense may exceed plan partly due to FX and spending timing; management continues to target ¥70B operating profit.