Earnings Alerts

Shionogi & Co (4507) Earnings: 1Q Operating Income Surpasses Estimates with Strong 25% YoY Growth

  • Shionogi’s operating income for the first quarter was 35.10 billion yen, showing a 25% increase from the previous year and meeting the estimate of 34.97 billion yen.
  • Net income reached 39.36 billion yen, a 28% rise year-over-year, surpassing the estimated 37.84 billion yen.
  • The company reported net sales of 99.78 billion yen, up by 2.2% compared to last year, though falling short of the 103.75 billion yen estimate.
  • Research and development expenses decreased by 15% year-over-year, totaling 24.89 billion yen.
  • Shionogi maintained its forecast for the first half of the year with net sales projected at 233.00 billion yen, operating income at 82.00 billion yen, and net income at 86.00 billion yen.
  • For the full year of 2026, the company still expects operating income to reach 175.00 billion yen, net income to be 180.00 billion yen, and net sales to hit 530.00 billion yen, all above the estimated figures.
  • The anticipated dividend remains at 66.00 yen, slightly higher than the estimated 65.17 yen.
  • Analyst recommendations include 5 buys, 9 holds, and 1 sell for Shionogi.

Shionogi & Co on Smartkarma

Analyst Coverage of Shionogi & Co on Smartkarma

Independent analyst Tina Banerjee recently published several research reports on Shionogi & Co (4507 JP) on Smartkarma, providing insights into the company’s performance and future prospects.

One report highlighted a positive outlook, indicating a potential change of gears for Shionogi from FY26 onwards, with the Torii acquisition opening up new market opportunities and product diversification. The submission of new drug applications, such as zuranolone for major depressive disorder, suggests a promising future for the company.

In contrast, another report expressed a more cautious stance, noting that despite revenue declines in the 9 months of FY25, the launch of new drugs like Quviviq and strategic acquisitions could impact long-term profitability. The high research and development expenses post-acquisition are seen as a dent to short-term profitability but promise innovation in the pipeline.


A look at Shionogi & Co Smart Scores

FactorScoreMagnitude
Value3
Dividend3
Growth4
Resilience4
Momentum4
OVERALL SMART SCORE3.6

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Shionogi & Co, a pharmaceutical company known for developing prescription and over-the-counter drugs as well as diagnostics, is poised for a positive long-term outlook based on its Smartkarma Smart Scores. With solid scores in Growth, Resilience, and Momentum, the company demonstrates strong potential for future expansion and sustainability. The Growth score indicates promising prospects for increasing market share and revenue, while a high Resilience score suggests the company’s ability to weather economic challenges. Additionally, a strong Momentum score signifies positive market sentiment and upward trend in stock performance.

Although Shionogi & Co‘s Value and Dividend scores are average at 3, the overall outlook remains optimistic due to the company’s strengths in other key areas. Investors looking for a pharmaceutical company with growth potential and resilience in the face of market uncertainties may find Shionogi & Co a compelling long-term investment opportunity based on the Smartkarma Smart Scores analysis.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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