Kyorin Pharma raises annual forecast on licensing agreement income

Kyorin Pharmaceutical Co., Ltd. (TSE:4569) has revised its full-year earnings forecast upwards for the fiscal year ending March 31, 2025, primarily driven by income from a global licensing agreement with Novartis AG for its internally-developed compound, KRP-M223. The company now expects revenue of JPY 130,000 million, up from a previous forecast of JPY 123,400 million, and projects a net profit attributable to owners of parent of JPY 9,000 million, a substantial increase from the initial JPY 5,000 million. This revision reflects the recognition of USD 55 million in upfront payment income associated with the Novartis deal. While the third quarter results for the fiscal year ending March 2025 included an expense related to an in-licensing agreement for KRP-S124 with Bayer AG, income from the Novartis agreement is expected to significantly outweigh this expense.