Decline in Selling Prices and Margins Due to Drug Price Revisions
First written in FY2021. 1 of 3 entries say "Worsened", first in FY2022. Latest entry: FY2026.
The whole theme swung hardest in 2018: 20 of 65 companies on the "Worse" side.
47 other companies' latest entry also says "Restated".
- FY2026RestatedAnnual report
「Following drug price revisions, lower selling prices and margins in pharmaceutical manufacturing and sales, as well as fluctuations in demand and lower selling prices and margins in active pharmaceutical ingredient sales, may affect our operating results and financial position, together with fundamental reforms to the government medical insurance system.」
The risk of lower selling prices, demand and margins due to drug price revisions continues to be disclosed. - FY2022WorsenedAnnual report
「The business environment in the pharmaceutical industry is becoming increasingly challenging, as drug price revisions, which had generally been conducted every other year, have changed to annual revisions.」
The disclosure cites the change in the frequency of drug price revisions from generally biennial to annual as a backdrop to the risk of lower selling prices and margins. - FY2021First statedAnnual report
「Following drug price revisions, lower selling prices and margins in pharmaceutical manufacturing and sales, as well as fluctuations in demand and lower selling prices and margins in active pharmaceutical ingredient sales, may affect our operating results and financial position, together with fundamental reforms to the government medical insurance system.」
The disclosure identifies the possibility that government drug price revisions and reforms to the medical insurance system may reduce selling prices, demand and margins.