On August 4, 2022 yowa Hakko Kirin reported that Consolidated Financial Summary (IFRS) Fiscal 2022 Second Quarter (Press release, Kyowa Hakko Kirin, AUG 4, 2022, View Source [SID1234617463])
Schedule your 30 min Free 1stOncology Demo!
Discover why more than 1,500 members use 1stOncology™ to excel in:
Early/Late Stage Pipeline Development - Target Scouting - Clinical Biomarkers - Indication Selection & Expansion - BD&L Contacts - Conference Reports - Combinatorial Drug Settings - Companion Diagnostics - Drug Repositioning - First-in-class Analysis - Competitive Analysis - Deals & Licensing
Schedule Your 30 min Free Demo!
1. Consolidated Financial Results for the Six Months Ended June 30, 2022
(1) Consolidated operating results
(2) Consolidated financial position
2. Dividends
3. Consolidated Earnings Forecasts for the Fiscal Year Ending December 31, 2022
* Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants or an audit corporation.
* Notice regarding the appropriate use of the earnings forecasts and other special comments
The forward-looking statements, including earnings forecasts, contained in these materials are based on the information currently available to the Company and on certain assumptions deemed to be reasonable by management. As such, they do not constitute guarantees by the Company of future performance. Actual results may differ materially from these projections for a wide variety of reasons.
1. Operating Results and Financial Statements
(1) Summary of Consolidated Financial PositionAssets as of June 30, 2022, were ¥939.9 billion, an increase of ¥18.0 billion compared to the end of the previous fiscal year. Non-current assets increased by ¥13.0 billion compared to the end of the previous fiscal year, to ¥416.6 billion, due mainly to an increase in deferred tax assets, and an increase in goodwill associated with the impact of yen depreciation. Current assets increased by ¥5.0 billion compared to the end of the previous fiscal year, to ¥523.3 billion, due mainly to increases in cash and cash equivalents and inventories. Liabilities as of June 30, 2022, were ¥174.4 billion, a decrease of ¥10.3 billion compared to the end of the previous fiscal year, due mainly to decreases in income taxes payable and contract liabilities. Equity as of June 30, 2022, was ¥765.5 billion, an increase of ¥28.3 billion compared to the end of the previous fiscal year, due mainly to an increase due to the recording of profit attributable to owners of parent as well as an increase in exchange differences on translation of foreign operations resulting from the impact of exchange rates, despite a decrease due to the payment of dividends, etc. As a result, the ratio of equity attributable to owners of parent to total assets as of the end of the second quarter was 81.4%, an increase of 1.4 percentage points compared to the end of the previous fiscal year.
(2) Summary of Consolidated Business Performance 1) Overview of results The Group now applies the International Financial Reporting Standards ("IFRS") in line with its policy of expanding business globally, and adopts "core operating profit" as a level of profit that shows the recurring profitability from operating activities.
Core operating profit is calculated by deducting "selling, general and administrative expenses" and "research and development expenses" from "gross profit," and adding "share of profit (loss) of investments accounted for using equity method" to the amount. For the six months ended June 30, 2022 (January 1, 2022 to June 30, 2022), revenue was ¥185.3 billion (up 12.3% compared to the same period of the previous fiscal year), and core operating profit was ¥39.9 billion (up 28.9%). Profit attributable to owners of parent was ¥35.0 billion (up 39.7%).
The increase in revenue was the result of growth of global strategic products in North America and EMEA and a rise in revenue from technology out-licensing, despite lower revenue in Japan. The positive effect on revenue from foreign exchange was ¥9.8 billion.
Core operating profit rose, despite increases in selling, general and administrative expenses and research and development expenses, due to higher gross profit resulting from an increase in overseas revenue and a rise in revenue from technology out-licensing. The positive effect on core operating profit from foreign exchange was ¥3.7 billion.
Profit attributable to owners of parent increased as a result of an increase in finance income in addition to an increase in core operating profit, despite an increase in income taxes.