Japan’s Daiichi Sankyo (TYO: 4568) reported a robust 19.5% year-on-year (YOY) increase in revenue for the six months ended September 30, 2023, reaching JPY 726.3 billion (USD 4.8 billion), according to the company’s financial report published this week. This growth was driven by a combination of factors, including the depreciation of the firm’s local currency and strong sales of its mainstay products.
Currency Depreciation and Product Sales
The reported revenue figure was positively impacted by JPY 25.5 billion due to the depreciation of the company’s local currency. Additionally, the sales of key products, such as the antibody-drug conjugate (ADC) Enhertu (trastuzumab deruxtecan) and the anticoagulant Lixiana (edoxaban), contributed significantly to the revenue growth. Enhertu recorded sales of JPY 145.1 billion (USD 1.0 billion), while Lixiana achieved JPY 125.0 billion (USD 831 million).
Business Unit Expansion
Expansion was noted across all business units, with Japan reporting a 9.7% increase, Daiichi Sankyo healthcare at 11.2%, oncology at 110.5%, American regent at 4.9%, EU Specialty at 20.3%, and Asia, South & Central America at 18.9%. Within this region, China’s revenue expanded by 1.6% to JPY 30.8 billion (USD 205 million) during the 6-month period. This growth in China was attributed to the launch of Enhertu as a treatment for second-line HER2-positive breast cancer and its subsequent approval for HER2-low breast cancer.
Conclusion
Daiichi Sankyo’s financial performance in the first half of fiscal 2023 demonstrates the company’s strong market position and the success of its strategic product launches. The company’s focus on oncology and specialty care, along with its global expansion efforts, has resulted in a positive financial outcome, setting a solid foundation for the remainder of the fiscal year.-Fineline Info & Tech
