Nihon Kohden to end Abbott product distribution in Japan by late 2026

Nihon Kohden Corporation will terminate its distribution partnership with Abbott Medical Japan LLC, ceasing all Abbott product distribution in Japan on December 31, 2026. This mutually agreed decision is part of Nihon Kohden’s long-term vision to transform into a high-added-value global company by 2030, streamlining its business portfolio to focus on in-house products.

The discontinuation will be phased, with Nihon Kohden transferring sales and after-sales service operations to Abbott Medical Japan from October 1, 2025, to December 31, 2026. To support employees affected by this shift, Nihon Kohden will implement a Career Change Support Program for those working in the Abbott business and a Next Career Support Program for employees above a certain age in Japan, targeting approximately 200 applicants.

The company anticipates recording approximately 2.4 bn yen in special retirement benefits and other expenses as extraordinary losses in FY2025 (ending March 31, 2026) due to these programs. In FY2024, Abbott products accounted for 24.4 bn yen, or 10.8% of Nihon Kohden’s consolidated sales. SG&A expenses are expected to decline by approximately 2.3 bn yen in FY2026 (ending March 31, 2027), as Nihon Kohden shifts focus to its in-house products, which represent 73.6% of FY2024 consolidated sales.