Orders received for hepatitis testing (drug efficacy evaluation) remain at a high level

「Meanwhile, repeat use of PXB mice increased in the domestic market, and domestic-market order intake remained firm, rising 68.7% year on year. As a result, overall revenue was approximately in line with the year-earlier period.」

「Total 1,953,782 1,097,869 1,039,442 616,112」

「PXB mouse business 1,953,782 105.0 1,097,869 153.7」

「Although inquiries were received, orders remained difficult to secure and stayed substantially below the year-earlier period. Revenue also fell below the year-earlier period due to a decline in new orders.」

「Demand for PXB mice among pharmaceutical companies and research institutions, the Group's main customers, has been increasing, particularly in overseas markets, generating a large number of inquiries. Overall order intake exceeded the year-earlier period. In the safety-related fields, PXB mice have gained recognition as a useful tool in drug development involving nucleic acid drugs and gene therapies, and order intake significantly exceeded the year-earlier period due to the acquisition of large mouse-sales orders. In the pharmacology field, however, performance remained weak and fell significantly below the year-earlier period as overseas pharmaceutical companies experienced a series of cancellations and substantial delays in anti-hepatitis B drug development following budget revisions. Revenue in the safety-related fields exceeded the year-earlier period on firm mouse sales, but revenue in the pharmacology field fell sharply due to a reactionary decline following large projects and a slowdown in orders, resulting in an overall decline in revenue.」

「Overall order intake exceeded the year-earlier period. In the safety-related fields, mouse sales remained firm, and demand for PXB mice for nucleic acid drugs was stable, resulting in a substantial increase from the year-earlier period. In the pharmacology field, however, order intake fell significantly below the year-earlier period due to the fallout from cancellations and substantial delays in anti-hepatitis B drug development resulting from budget revisions by overseas pharmaceutical companies. Although revenue in the safety-related fields exceeded the year-earlier period, revenue in the pharmacology field fell significantly below it due to a reactionary decline following large projects and a slowdown in orders, resulting in an overall decline in revenue.」

「Order intake in the pharmacology field fell below the year-earlier period due to development delays and cancellations involving anti-hepatitis B drug projects. In the safety-related fields, however, order intake, including mouse sales, exceeded the year-earlier period as it was secured broadly in line with the plan. Revenue in the pharmacology field fell below the year-earlier period due to a reactionary decline following large projects, while revenue in the safety-related fields exceeded the year-earlier period. Overall revenue was approximately in line with the year-earlier period.」

「The order backlog had accumulated due to a temporary disruption in PXB mouse supplies during the previous consolidated fiscal year. During the current consolidated fiscal year, PXB mouse production returned to normal operations, allowing completed orders to be processed steadily. As a result, revenue came to ¥2,124.051 million, up 60.3% year on year, significantly exceeding both the previous consolidated fiscal year's record high and the plan.」

「Although order intake was slightly below the year-earlier period, when several large projects were secured, it exceeded the plan. The order backlog was steadily worked down as production-process problems that arose in the previous fiscal year were resolved. Revenue significantly exceeded the year-earlier period, driven by substantial growth in contract testing for anti-hepatitis B drugs and mouse sales in overseas markets.」

「Demand for PXB mice among pharmaceutical companies and research institutions, the Group's main customers, has remained firm, particularly in overseas markets, with strong inquiry volumes in both the pharmacology and safety-related fields. Although order intake declined from the year-earlier period, when several large projects were secured, the order backlog remained at a high level. Revenue significantly exceeded the year-earlier period, driven by substantial growth in contract testing for anti-hepatitis B drugs and mouse sales in overseas markets.」

「Although order intake declined from the prior-year period, when several large projects were secured, the order backlog remained high. Sales in both domestic and overseas markets were roughly in line with the prior-year period.」

「Order intake and the order backlog for the fiscal year ending March 2022 reached record highs.」

「Research and development activity at pharmaceutical companies and research institutions, the group's main customers, showed signs of recovery, and development of anti-hepatitis B virus drugs by overseas pharmaceutical companies was also active. As a result, sales remained firm in both domestic and overseas markets. However, a temporary decline in PXB mouse production due to defects in the production process at a domestic facility, together with production delays at an overseas facility, resulted in a pronounced supply shortage that began to affect order activity.」

「Research and development activity at pharmaceutical companies and research institutions, the group's main customers, showed signs of recovery, and sales remained firm in both domestic and overseas markets. In particular, development of anti-hepatitis B virus drugs by overseas pharmaceutical companies was active, and order intake increased substantially from the prior-year period. However, production at an overseas facility where capital investment had been completed was delayed, while defects in the production process at a domestic facility caused PXB mouse production to remain below the initial plan, resulting in a pronounced supply shortage.」

「Research and development activity at pharmaceutical companies and research institutions, the group's main customers, showed signs of recovery, and sales remained firm in both domestic and overseas markets. In particular, development of anti-hepatitis B virus drugs by overseas pharmaceutical companies was active, and order intake increased substantially from the prior-year period. Meanwhile, the increasing demand for PXB mice has resulted in a continuing shortage, so the group worked to increase production, including at its overseas production sites, and sought to stabilise production.」

「Laboratory operations gradually resumed as economic activity reopened, and orders recovered toward the second half due to progress in developing anti-hepatitis B virus drugs in the pharmacology field and approaches to potential customers using the web. However, delays in starting tests and a temporary shortage of mice caused by concentrated demand resulted in many projects being carried over into the following period, causing revenue in both the pharmacology and safety fields to fall below the prior-year period.」

「In overseas markets, where the group is focusing its efforts, orders from major pharmaceutical companies, its main customers, have been delayed because research and development activity has remained stagnant for an extended period in the United States and some parts of Europe, where COVID-19 had spread particularly widely. As a result, overseas sales fell substantially below the prior-year period. In the domestic market, laboratory operations gradually resumed after the state of emergency was lifted in May 2020. Efforts to identify potential customers through web seminars launched as a new initiative during the COVID-19 pandemic contributed to orders, and domestic sales exceeded the prior-year period.」

「Overseas sales grew substantially, and total revenue also reached a record high after offsetting the decline in the pharmacology field.」

「In the pharmacology field, where hepatitis-related testing is currently the core business, stalled new-drug development at some overseas pharmaceutical companies affected order intake, which fell below the same period of the previous year. Revenue also remained below the previous year as several factors coincided, including scheduled contract testing being carried over to the following fiscal year.」

「In the pharmacology field, where hepatitis-related testing is currently the core business, signs of stagnation emerged in the development activities of some overseas pharmaceutical companies, bringing the favorable order environment that had continued since the previous fiscal year to a pause. In addition, contract testing scheduled for the first half was delayed, resulting in revenue below the same period of the previous year.」

「In the pharmacology field, where hepatitis-related studies are currently the main business, strong interest has continued from the prior fiscal year. Order intake was roughly in line with the prior-year period because a large project was deferred to the second quarter, while revenue substantially exceeded the prior-year period. In the safety and other fields, which the group positions as a growth area because they cover many new drugs, both order intake and revenue exceeded the prior-year period due to orders won in overseas markets above plan.」

「In hepatitis studies (efficacy evaluation), currently the company's core business, signs of progress have emerged in pharmaceutical companies' development of anti-hepatitis B drugs, and interest has become particularly active in overseas markets. Order intake remained strong from the second half of the prior year, while revenue substantially exceeded the prior-year period.」

「In the Group's current core business, hepatitis testing for pharmacological efficacy evaluation, inquiries have increased, particularly in overseas markets, as pharmaceutical companies have advanced the development of anti-hepatitis B drugs, and both revenue and order intake remained firm above the same period of the previous year.」

「In the Group's current core business, hepatitis testing for pharmacological efficacy evaluation, order intake, which had declined because of stalled drug development, has begun to recover, but some large-scale projects were pushed back to the second half, affecting revenue.」

「In the Group's current core business, hepatitis testing for pharmacological efficacy evaluation, order intake, which had declined because of stalled drug development, has begun to recover, and both the domestic and overseas markets remained firm. In particular, overseas order backlog substantially exceeded the same period of the previous year because multiple large-scale projects were secured. The dependency risk remains, but the order environment improved during the quarter.」

「Order intake for the PXB mouse business was ¥1,162.319 million (125.9% of the prior-year period), and the order backlog was ¥366.663 million (298.5% of the prior-year period).」

「Domestic sales exceeded the prior-year period as research results presented at academic conferences led to new orders, while overseas sales fell substantially below the prior-year period as PXB mouse sales remained sluggish.」

「However, overseas sales fell well below the prior-year period because the company was unable to secure a planned large project following budget reviews by pharmaceutical companies. Domestic sales exceeded the prior-year period as research results presented at domestic academic conferences in the prior consolidated fiscal year led to orders, while overseas sales fell below the prior-year period due to delays in the progress of PXB mouse sales.」

「Domestic sales remained firm as research results presented at domestic academic conferences in the prior consolidated fiscal year led to orders, while overseas sales got off to a sluggish start.」

「Order intake for the PXB mouse business was ¥923.481 million (55.6% of the prior-year period), and the order backlog was ¥122.827 million (27.3% of the prior-year period).」

「Although pharmaceutical companies developing treatments for hepatitis B showed strong interest in hepatitis studies (efficacy evaluation) using the PXB mice provided by the group, delays in starting some tests during the first half affected revenue.」

「Although pharmaceutical companies developing treatments for hepatitis B have shown strong interest in hepatitis studies (efficacy evaluation) using the PXB mice provided by the group, revenue was affected by the testing schedule.」

「Against this backdrop, many pharmaceutical companies and research institutions are conducting research on hepatitis B and developing treatments for the disease. Order intake for hepatitis studies (efficacy evaluation) using the PXB mice provided by the group has remained at a high level.」