On May 3, 2022 Eisai Co., Ltd. (Headquarters: Tokyo, CEO: Haruo Naito, "Eisai") reported that based on the impact of National Coverage Determination (NCD) for the anti-amyloid-beta antibody aducanumab (product name in the U.S.: ADUHELM) issued by the U.S. Centers for Medicare & Medicaid Services’ (CMS) on April 7, 2022 and other factors, Eisai has revised its consolidated financial forecasts for the fiscal year ended March 31, 2022 (April 1, 2021 to March 31, 2022) previously announced on November 1, 2021, as follows (Press release, Eisai, MAY 3, 2022, View Source [SID1234613501]).

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. Revised consolidated financial forecasts for the fiscal year ended March 31, 2022 (April 1, 2021 to March 31, 2022)

2. Reason for revision of the consolidated financial forecasts
Revenue is estimated to be ¥756.0 billion, up ¥26.0 billion from the previously announced forecasts, based on product performance and foreign exchange trends.
Receiving Biogen Inc.’s updated demand forecast for aducanumab based on the NCD by CMS, Eisai will record an impairment loss of ¥8.0 billion in cost of sales after reevaluating sales rights of aducanumab recorded by Eisai as well as ¥16.5 billion in SG&A expenses as Eisai’s share of the write-down of inventory recorded by Biogen Inc. As a result, operating profit is estimated to be ¥53.5 billion, down ¥24.5 billion from the previously announced forecast. Accordingly, profit attributable to owners of the parent is expected to be ¥48.0 billion, down ¥12.5 billion from the previously announced forecast. There are no changes to the total dividend for the fiscal year which is set at ¥160 per share (same amount as the previous fiscal year) with the fiscal year-end dividend is planned to be ¥80 per share.

*Please note that the above-mentioned forecasts were made based on information available as of May 3, 2022. Actual results will be disclosed in the earnings announcement on May 13, 2022