Takeda Announces Strong First Half FY2024 Results and Raises Full Year Outlook
Takeda reported strong H1 FY2024 results with revenue growth of +13.4% (AER) and +5.0% (CER), driven by Growth & Launch Products (+18.7% CER). Core Operating Profit increased by +12.9% CER with a margin of 30.2%. The company upgraded its FY2024 outlook due to stronger performance and milder VYVANSE generic erosion. Notable achievements include ENTYVIO's double-digit growth, ADZYNMA's EU approval, FRUZAQLA's Japan launch, and TAK-861's Phase 3 trial initiation for narcolepsy. The revised guidance projects flat to slightly increasing core revenue, with core operating profit showing a mid-single-digit decline.
Takeda ha riportato solidi risultati per il primo semestre dell'anno fiscale 2024, con una crescita dei ricavi del +13,4% (AER) e del +5,0% (CER), trainata dai Prodotti in Crescita e Lancio (+18,7% CER). Il Profitto Operativo Core è aumentato del +12,9% CER, con un margine del 30,2%. L'azienda ha aggiornato le prospettive per l'anno fiscale 2024 a causa di una performance più forte e di un'erosione più mite dei generici di VYVANSE. Tra i risultati notevoli ci sono la crescita a doppia cifra di ENTYVIO, l'approvazione di ADZYNMA nell'UE, il lancio di FRUZAQLA in Giappone e l'inizio della fase 3 del trial di TAK-861 per la narcolessia. La guida rivista prevede ricavi core stabili o leggermente in aumento, con un profitto operativo core che mostra un calo a medio singolo.
Takeda reportó sólidos resultados para el primer semestre del año fiscal 2024, con un crecimiento de ingresos del +13,4% (AER) y del +5,0% (CER), impulsado por Productos en Crecimiento y Lanzamiento (+18,7% CER). El Beneficio Operativo Central aumentó un +12,9% CER, con un margen del 30,2%. La compañía mejoró su perspectiva para el año fiscal 2024 debido a un rendimiento más fuerte y a una erosión más moderada de los genéricos de VYVANSE. Entre los logros notables se incluyen el crecimiento de dos dígitos de ENTYVIO, la aprobación de ADZYNMA en la UE, el lanzamiento de FRUZAQLA en Japón y el inicio de la fase 3 del ensayo de TAK-861 para la narcolepsia. La guía revisada proyecta ingresos centrales estables o ligeramente en aumento, con el beneficio operativo central mostrando una disminución de un solo dígito medio.
타케다는 2024 회계연도 상반기 실적이 13.4% (AER), 5.0% (CER) 성장하며 견조한 수익을 기록했다고 발표했다. 이는 성장 및 출시 제품(+18.7% CER)에 의해 주도되었다. 핵심 운영 수익은 +12.9% CER 증가했으며, 마진은 30.2%에 달한다. 회사는 더 강력한 실적과 VYVANSE의 일반 의약품 침식 완화로 인해 2024 회계연도 전망을 상향 조정했다. 주목할 만한 성과로는 ENTYVIO의 두 자릿수 성장, ADZYNMA의 EU 승인, FRUZAQLA의 일본 출시, 그리고 narcolepsy 치료를 위한 TAK-861의 3상 시험 개시가 있다. 수정된 지침은 핵심 수익이 안정적이거나 약간 증가할 것으로 예상하며, 핵심 운영 수익은 중간 단일 자릿수 감소를 보일 것으로 전망한다.
Takeda a annoncé des résultats solides pour le premier semestre de l'exercice fiscal 2024, avec une croissance du chiffre d'affaires de +13,4% (AER) et de +5,0% (CER), tirée par les Produits en Croissance et de Lancement (+18,7% CER). Le Résultat Opérationnel de Base a augmenté de +12,9% CER, avec une marge de 30,2%. L'entreprise a relevé ses prévisions pour l'exercice fiscal 2024 en raison d'une performance meilleure que prévu et d'une érosion plus modérée des génériques de VYVANSE. Parmi les réalisations notables figurent la croissance à deux chiffres d'ENTYVIO, l'approbation d'ADZYNMA dans l'UE, le lancement de FRUZAQLA au Japon et le début de l'essai de Phase 3 de TAK-861 pour la narcolepsie. Les prévisions révisées anticipent des revenus de base stables ou légèrement en hausse, avec un résultat opérationnel de base affichant un léger déclin à un chiffre médian.
Takeda berichtete von starken Ergebnissen für das erste Halbjahr des Geschäftsjahres 2024 mit einem Umsatzwachstum von +13,4% (AER) und +5,0% (CER), angetrieben durch Wachstums- und Launch-Produkte (+18,7% CER). Der Kernbetriebsertrag stieg um +12,9% CER mit einer Marge von 30,2%. Das Unternehmen hob seine Prognose für das Geschäftsjahr 2024 aufgrund stärkerer Leistung und milderer Erosion bei VYVANSE-Generika an. Zu den bemerkenswerten Erfolgen gehören das zweistellige Wachstum von ENTYVIO, die EU-Zulassung von ADZYNMA, der Markteintritt von FRUZAQLA in Japan und der Beginn der Phase-3-Studie von TAK-861 zur Behandlung von Narkolepsie. Die überarbeitete Prognose sieht stabile oder leicht steigende Kernumsätze vor, während der Kernbetriebsertrag einen Rückgang im mittleren einstelligen Bereich zeigt.
- Revenue growth of +13.4% (AER) and +5.0% (CER)
- Core Operating Profit increase of +12.9% CER with 30.2% margin
- Growth & Launch Products portfolio up 18.7% CER, representing 47% of total revenue
- Operating Cash Flow increased 54.9% to 451.3B yen
- Upward revision of FY2024 guidance
- Projected mid-single-digit decline in Core Operating Profit for FY2024
- Core EPS expected to decline approximately 10% in FY2024
Insights
Takeda's H1 FY2024 results showcase remarkable performance with revenue growth of
The company's upgraded guidance reflects strong business fundamentals and better-than-expected VYVANSE® performance against generic competition. The revised forecast shows core revenue shifting from "flat to slightly declining" to "flat to slightly increasing," while core operating profit outlook improved from approximately
The robust operating cash flow of
The pipeline developments signal strong R&D momentum, particularly with TAK-861 advancing to Phase 3 trials for narcolepsy type 1. The commercial portfolio shows impressive growth, led by ENTYVIO®'s return to double-digit growth, boosted by the successful U.S. launch of ENTYVIO® Pen. Geographic expansion continues with key approvals: ADZYNMA® in EU and FRUZAQLA® in Japan.
The company's increased R&D investment planned for H2 FY2024 indicates confidence in their late-stage pipeline. This strategic focus on pipeline advancement, combined with successful commercialization of existing products, positions Takeda well for sustainable growth in the biopharmaceutical sector.
-
Revenue Growth of +
13.4% at Actual Exchange Rates (AER); +5.0% at Constant Exchange Rate (CER) Driven by Continued Advancement of Growth & Launch Products (+18.7% at CER) -
Core Operating Profit Increase of +
12.9% at CER; Core Operating Profit Margin of30.2% -
Double-Digit Revenue Growth of ENTYVIO® at CER Driven by Launch of ENTYVIO® Pen in the
U.S. -
Geographical Expansion with Approvals of ADZYNMA® in EU and FRUZAQLA® in
Japan - Late-Stage Pipeline Advances with the Start of Phase 3 Trial of TAK-861 in Narcolepsy Type 1
-
Company will Hold R&D Day for Investors and Media on December 12 (Eastern) / 13 (
Japan )
The strong performance of Takeda’s Growth and Launch Product portfolio, which grew
The initiation of TAK-861’s Phase 3 trial in August for narcolepsy type 1 demonstrates Takeda’s strength in advancing its promising late-stage pipeline to develop life-transforming treatments. More details on the company’s R&D strategy and pipeline updates, including commercial prospects, will be presented at Takeda’s R&D Day taking place on December 12 (EST) / 13 (JST), 2024.
Takeda chief executive officer, Christophe Weber, commented:
“In the first half of fiscal year 2024, we made further progress in advancing our pipeline, including the initiation of our TAK-861 Phase 3 trial for narcolepsy type 1. Our late-stage programs continue to advance, with several in Phase 3 development this fiscal year, and have the potential to transform the lives of patients around the world.
“Our commercial execution has positioned us for sustainable growth despite a dynamic and competitive environment. Bolstered by the continued strong performance of our Growth & Launch Products, including a return to double-digit growth of ENTYVIO®, lifecycle management approvals and successful launches of new products such as FRUZAQLA® in our oncology portfolio, our business and long-term outlook remains strong.”
Takeda chief financial officer, Milano Furuta, commented:
“We are upgrading our FY2024 full year outlook, reflecting stronger than anticipated first half performance as well as updated foreign exchange assumptions for the year. Full-year guidance reflects our intention to increase R&D investment in the second half to support our late-stage pipeline.
“We remain confident in delivering sustainable growth with our Growth & Launch Products and promising late-stage pipeline. Implementation of our multi-year program to improve our efficiency through organizational agility, procurement savings and data, digital and technology is progressing as planned. We continue to drive these initiatives to improve our Core Operating Profit Margin from FY2025 towards our low-to-mid 30s% target.”
FINANCIAL HIGHLIGHTS for FY2024 H1 Ended September 30, 2024 |
|||
(Billion yen, except percentages and per share amounts) |
|||
|
FY2024 H1 |
FY2023 H1 |
vs. PRIOR YEAR (Actual % change) |
Revenue |
2,384.0 |
2,101.7 |
+ |
Operating Profit |
350.6 |
119.2 |
+ |
Net Profit |
187.3 |
41.4 |
+ |
EPS (Yen) |
119 |
27 |
+ |
Operating Cash Flow |
451.3 |
291.3 |
+ |
Adjusted Free Cash Flow (Non-IFRS) |
247.5 |
-71.1 |
N/A |
Core (Non-IFRS) |
||||
(Billion yen, except percentages and per share amounts) |
||||
|
FY2024 H1 |
FY2023 H1 |
vs. PRIOR YEAR (Actual % change) |
vs. PRIOR YEAR (CER % change) |
Revenue |
2,384.0 |
2,101.7 |
+ |
+ |
Operating Profit |
719.9 |
588.8 |
+ |
+ |
Margin |
|
|
+2.2pp |
― |
Net Profit |
489.1 |
407.7 |
+ |
+ |
EPS (Yen) |
310 |
261 |
+ |
+ |
FY2024 Outlook
Updating Full Year Management Guidance, and Reported and Core Forecasts
Takeda’s FY2024 Management Guidance has been upgraded, primarily due to milder than anticipated generic erosion of VYVANSE and strong business momentum. Furthermore, also reflecting expected foreign exchange rates during the remaining second half of FY2024, Takeda’s FY2024 reported and Core forecasts have been revised from the original forecast.
FY2024 Management Guidance Core Change at CER (Non-IFRS) |
||
FY2024 ORIGINAL MANAGEMENT GUIDANCE
|
FY2024 REVISED MANAGEMENT GUIDANCE
|
|
Core Revenue |
Flat to slightly declining |
Flat to slightly increasing |
Core Operating Profit |
Approximately |
Mid-single-digit % decline |
Core EPS (Yen) |
Mid-10s% decline |
Approx |
FY2024 Reported and Core Forecasts
|
||
FY2024
(May 2024) |
FY2024 REVISED FORECAST (October 2024) |
|
Revenue |
4,350.0 |
4,480.0 |
Core Revenue (Non-IFRS) |
4,350.0 |
4,480.0 |
Operating Profit |
225.0 |
265.0 |
Core Operating Profit (Non-IFRS) |
1,000.0 |
1,050.0 |
Net Profit |
58.0 |
68.0 |
EPS (Yen) |
37 |
43 |
Core EPS (Yen) (Non-IFRS) |
431 |
456 |
Adjusted Free Cash Flow (Non-IFRS) |
350.0 - 450.0 |
400.0-500.0 |
Annual Dividend per Share (Yen) |
196 |
196 |
Additional Information About Takeda’s FY2024 H1 Results
For more details about Takeda’s FY2024 H1 results, commercial progress, pipeline updates and other financial information, including key assumptions in the FY2024 forecast and management guidance as well as definitions of non-IFRS measures, please refer to Takeda’s FY2024 Q2 investor presentation (available at https://www.takeda.com/investors/financial-results/quarterly-results/)
About Takeda
Takeda is focused on creating better health for people and a brighter future for the world. We aim to discover and deliver life-transforming treatments in our core therapeutic and business areas, including gastrointestinal and inflammation, rare diseases, plasma-derived therapies, oncology, neuroscience and vaccines. Together with our partners, we aim to improve the patient experience and advance a new frontier of treatment options through our dynamic and diverse pipeline. As a leading values-based, R&D-driven biopharmaceutical company headquartered in
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Financial information and Non-IFRS Measures
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This press release and materials distributed in connection with this press release include certain financial measures not presented in accordance with IFRS, such as Core Revenue, Core Operating Profit, Core Net Profit for the year attributable to owners of the Company, Core EPS, Constant Exchange Rate (“CER”) change, Net Debt, Adjusted Net Debt, EBITDA, Adjusted EBITDA, Free Cash Flow and Adjusted Free Cash Flow. Takeda’s management evaluates results and makes operating and investment decisions using both IFRS and non-IFRS measures included in this press release. These non-IFRS measures exclude certain income, cost and cash flow items which are included in, or are calculated differently from, the most closely comparable measures presented in accordance with IFRS. Takeda’s non-IFRS measures are not prepared in accordance with IFRS and such non-IFRS measures should be considered a supplement to, and not a substitute for, measures prepared in accordance with IFRS (which we sometimes refer to as “reported” measures). Investors are encouraged to review the definitions and reconciliations of non-IFRS measures to their most directly comparable IFRS measures, which are in the Financial Appendix appearing at the end of our FY2024 Q2 investor presentation (available at www.takeda.com/investors). Beginning in the quarter ended June 30, 2024, Takeda (i) changed its methodology for CER adjustments to results of subsidiaries in hyperinflation countries to present those results in a manner consistent with IAS 29, Financial Reporting in Hyperinflation Economies, (ii) re-named Free Cash Flow as previously calculated as “Adjusted Free Cash Flow” (with “Free Cash Flow” to be reported as Operating Cash Flow less Property, Plant and Equipment), and (iii) re-named Net Debt as previously calculated as “Adjusted Net Debt” (with “Net Debt” to be reported as the book value of bonds and loans less cash and cash equivalents).
Medical information
This press release contains information about products that may not be available in all countries, or may be available under different trademarks, for different indications, in different dosages, or in different strengths. Nothing contained herein should be considered a solicitation, promotion or advertisement for any prescription drugs including the ones under development.
Please refer to slide 5 of Takeda’s FY2024 Q2 investor presentation (available at https://www.takeda.com/investors/financial-results/quarterly-results/) for the definition of Growth & Launch Products.
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Investor Relations
Christopher O’Reilly
Christopher.oreilly@takeda.com
+81 (0) 90-6481-3412
Media Relations
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Brendan.jennings@takeda.com
+81 (0) 80-2705-8259
(Outside Japan business hours)
Media_relations@takeda.com
Source: Takeda Pharmaceutical Company Limited
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