Nxera Pharma revised its consolidated operating profit forecast for the fiscal year ending December 2026 from the previous range of ¥700 million to ¥15.7 billion to ¥15.7 billion. The company expects to recognize the $100 million upfront payment under an exclusive licence agreement between its subsidiary and AbbVie as revenue for the fiscal year ending December 2026.
Nxera Pharma announced an IFRS-based earnings revision after the market close on 4 November, revising consolidated operating profit for the fiscal year ending December 2026 to ¥15.7 billion, the upper end of the previous forecast range of ¥700 million to ¥15.7 billion.
The main reason for the revision was that its subsidiary, Nxera Pharma UK Ltd, entered into a global exclusive licence agreement with AbbVie Inc. for the EP4 agonist programme it developed. The company expects to receive a $100 million upfront payment, which will be recognized as revenue for the fiscal year ending December 2026.
Following the revision, revenue for the fiscal year ending December 2026 is expected to be ¥48.8 billion and operating profit ¥15.7 billion. Compared with the previous forecast, revenue has been revised upward and operating profit substantially upward.
The transaction is subject to antitrust clearance, including under the U.S. HSR Act, and is contingent on completion of the transaction and agreement with the auditors on the accounting treatment. The company said it would promptly disclose any changes to material assumptions.