Tsumura & Co. raises profit targets, boosts dividends on acquisition

Tsumura & Co. announced an upward revision of its numerical targets for the second Medium-Term Management Plan (FY2025-FY2027), with the operating profit target for FY2027 increasing from JPY43.0 bn to JPY46.0 bn, and ROE from 8.0% to 9.0%. Sales remained at JPY234.0 bn. This adjustment is primarily attributed to the consolidation of Shanghai Hongqiao Traditional Chinese Drug Pieces, a newly acquired 51% equity-owned subsidiary.

The consolidation of Shanghai Hongqiao Traditional Chinese Drug Pieces, acquired on August 8, 2025, for JPY23.83 bn, also impacts the revised earnings forecast for the fiscal year ending March 31, 2026. Net sales for FY2026 are now projected at JPY198.0 bn, up JPY10.0 bn from the previous forecast, with operating profit revised to JPY35.0 bn and profit attributable to owners of parent to JPY24.3 bn.

In line with the improved earnings forecast for FY2026, Tsumura & Co. is raising its annual dividend forecast to JPY144.0 per share, an increase of JPY8.0 from the previously announced JPY136.0, reflecting a revised year-end dividend of JPY76.0. The company’s consolidated financial results for the six months ended September 30, 2025, show net sales of JPY89,897 million and operating profit of JPY17,119 million.