Message from the President
Sumitomo Pharma Group operates daily to achieve its Mission: “To broadly contribute to society through value creation based on innovative research and development activities for the betterment of healthcare and fuller lives of people worldwide.” Through our significant research and development efforts, our Mission is to provide innovative and useful pharmaceutical and healthcare solutions to people in Japan and around the world.
I would like to express my sincere appreciation for your continued support and understanding.
I would like to walk you through the Group’s financial highlights for the 2024 fiscal year (from April 1, 2024 to March 31, 2025).
During the 2024 fiscal year, we focused on achieving early recovery and resuming business growth. To this end, we worked to expand sales of existing products, with a particular focus on our three key products for the North American business—ORGOVYX®, for advanced prostate cancer; MYFEMBREE®, for uterine fibroids and endometriosis; and GEMTESA®, for overactive bladder—while implementing fundamental structural reforms across the Group. These efforts produced strong results: Revenue increased by 84.3 billion yen year-on-year to 398.8 billion yen; core operating profit improved by 176.1 billion yen year-on-year, restoring profitability at 43.2 billion yen; and net profit improved by 338.6 billion yen year-on-year, turning positive at 23.6 billion yen. We successfully achieved both core operating profitability—our overriding goal—and net profitability. Meanwhile, we strove to stabilize our financial foundation by refinancing existing debt.
However, we continue to face difficult realities, as fiscal 2024 figures include one-time revenue, such as income from the transfer of a portion of shares in RACTHERA Co., Ltd. to Sumitomo Chemical Co., Ltd.—a transaction that established a new joint venture intended to serve as the core entity of our Regenerative Medicine/Cell Therapy business—and ending the joint development and commercialization of MYFEMBREE® with Pfizer Inc.
Going forward, under our renewed organizational structure, we will pursue operational efficiency and an enhanced success rate for our R&D initiatives. Through this, we will accelerate the Value Creation Cycle as an R&D-driven pharmaceutical company and reboot as a strong company, aiming to establish ourselves as a Global Specialized Player (GSP). United in this goal, the entire Group launched a new activity policy in May 2025: “Reboot 2027 -Reboot for a Strong Sumitomo Pharma-”, which will guide us through fiscal 2027. The next three years will be critical, as numerous milestones are expected in our effort to reaccelerate the Value Creation Cycle, including the stabilization of our revenue base through expanding sales of the three key products and advancing the commercialization of both oncology compounds and our regenerative medicine/cell therapy programs.
Fiscal 2025, the first year of Reboot 2027, is defined as the “Pivotal year to demonstrate our strong potential” as we strive to reinvigorate ourselves as an R&D-driven pharmaceutical company. In Oncology, we will prioritize resource allocation to enzomenib and nuvisertib, while also exploring partnering opportunities, placing top priority on the development of these two compounds for early approval and maximization of their value.
In the regenerative medicine/cell therapy field, we aim to lead the world in implementation of iPS cell-derived products by delivering transformative, game-changing therapies. Specifically, we will advance the development and commercialization of allogeneic iPS cell-derived dopaminergic neural progenitor cells for Parkinson’s disease, allogeneic iPS cell-derived retinal pigment epithelial cells for retinal pigment epithelium tear, and allogeneic iPS cell-derived retinal sheet (3D retinal tissue) for retinitis pigmentosa in both Japan and the U.S.
Furthermore, as announced in April 2025, we have entered into agreements under which the Asian business of our wholly owned subsidiaries, Sumitomo Pharma (China) Co., Ltd. and Sumitomo Pharma Asia Pacific Pte. Ltd., along with their subsidiaries, will be transferred to a newly established company. Sixty percent of the newly issued shares of this new company will be transferred to Marubeni Global Pharma Corporation in fiscal 2025, making it a joint venture, with the remaining 40% to be transferred in fiscal 2029 and beyond. This move positions us advantageously to pursue business opportunities in our two key markets: Japan, where we have a strong pharmaceutical platform including drug discovery research, and the U.S., the largest pharmaceutical market.
With a focus on our research and development in Oncology and Psychiatry & Neurology, priority areas with high unmet medical needs, we remain committed to incorporating cutting-edge science to create innovative pharmaceutical and Regenerative Medicine/Cell Therapy products. We also value active dialogue with a wide range of stakeholders, including patients and their families, healthcare professionals, shareholders, investors, employees, business partners, and local communities. By strengthening our corporate governance framework and ensuring compliance across our operations, we aim to continue enhancing corporate value and contributing to the realization of a sustainable society.
On behalf of all of us at Sumitomo Pharma, I would like to sincerely thank you for your ongoing support and encouragement.
Toru Kimura
Representative Director,
President and Chief Executive
Officer
Sumitomo Pharma Co., Ltd.
June 2025