Rohto Pharmaceutical (4527) Q3 2026 earnings summary

Executive summary

• Achieved double-digit sales growth across all regions, led by Asia and Europe, with consolidated sales of ¥253,071 million (+12.0% YoY), ahead of plan, driven by strong domestic and overseas demand and recent acquisitions.

• Operating income rose to ¥33,575 million (+5.1% YoY), ordinary income surged 20.5% to ¥39,852 million, and profit attributable to owners of parent grew 14.3% to ¥28,279 million, supported by higher non-operating income.

• Comprehensive income reached ¥33,500 million, up 29.7% year-over-year.

• Full-year forecasts for sales, operating income, ordinary income, and profit attributable to owners of parent were revised upward; annual dividend increased to ¥44, marking 22 consecutive years of dividend growth.

• Finalization of provisional accounting for business combinations with Eu Yan Sang International Ltd. and Mono chem-pharm Produkte GmbH, resulting in significant adjustments to goodwill and intangible assets.

Financial highlights

• Q1–Q3 FY2026 sales: ¥253,071 million (+12.0% YoY); operating income: ¥33,575 million (+5.1% YoY); EBITDA: ¥46,285 million (EBITDA margin 18.3%).

• Gross profit margin: 56.2%; SG&A expenses increased 12.3% YoY; profit attributable to owners of parent: ¥28,279 million (+14.3% YoY).

• Full-year forecast: sales ¥340,500 million (+10.3% YoY), operating income ¥40,500 million (+5.9% YoY), ordinary income ¥46,500 million (+17.1% YoY), profit attributable to owners of parent ¥33,000 million (+7.0% YoY).

• Basic earnings per share rose to ¥125.15 from ¥108.46 YoY; forecast raised to ¥146.04.

• Equity-to-asset ratio improved to 62.3% from 60.2% at the previous fiscal year-end; net assets increased by ¥24,120 million to ¥304,857 million.

Outlook and guidance

• Record high sales and profit expected for FY2026, despite uncertainties from inflation, cautious consumer spending, and geopolitical risks.

• Upward revision of full-year forecasts for all major financial metrics; higher year-end dividend planned.

• Asia and Americas expected to continue driving growth; Japan’s core business remains steady.

• Upward revision driven by stronger-than-expected performance in Asia and Americas segments.