Shin Nippon Biomedical Laboratories (2395) Q1 2025 earnings summary

Executive summary

• Q1 FY2025 revenue was ¥5,549 million, down 4.4% YoY; operating loss was ¥145 million, versus ¥1,227 million operating profit a year earlier.

• Operating results reflected ¥595 million of STS101 FDA resubmission expenses, strategic CRO investments, and foreign-exchange losses; management said results, including contract intake, were broadly in line with the full-year plan.

Financial highlights

• Ordinary profit fell 81.8% YoY to ¥342 million; profit attributable to owners of parent fell 91.1% to ¥122 million.

• Basic EPS was ¥2.93 versus ¥32.98 YoY; comprehensive income was ¥444 million versus ¥1,628 million.

• Total assets rose 7.0% from March 31 to ¥81,663 million; liabilities increased 14.6% to ¥48,307 million, while net assets declined 2.4% to ¥33,356 million.

Outlook and guidance

• FY2025 forecast: revenue ¥29,835 million (+12.8% YoY), operating profit ¥2,350 million (-43.5%), ordinary profit ¥5,345 million (-23.8%), and parent-attributable profit ¥3,920 million (-29.1%).

• H1 forecast: revenue ¥12,002 million (+1.0%), operating loss ¥202 million, ordinary profit ¥1,332 million (-64.5%), and parent-attributable profit ¥858 million (-71.1%).

• CRO revenue is expected to increase YoY in H1 as revenue is concentrated in Q2; the assumed exchange rate is US$1 = ¥145.

• FY2025 capital expenditure plan is ¥10,559 million; Q1 spending was ¥4,273 million, more than 60% related to CRO, including NHP breeding, and described as on schedule.