Daiichi Sankyo Company (OTCPK:DSKY.F) FY Conference Transcript

Daiichi Sankyo Company FY Conference Summary Company Overview - Company: Daiichi Sankyo Company - Headquarters: Tokyo, Japan - Fiscal Year Ending: March 31, 2026 - Revenue Forecast: Approximately 2.1 trillion JPY, an increase of 11% from the previous fiscal year [3] - Core Operating Profit Forecast: 350 billion JPY, reflecting a growth of 12% from the previous fiscal year [3] - Revenue Distribution: Approximately 70% generated outside Japan, particularly in the United States [3] Key Products and Technologies - Main Growth Drivers: HER2-directed ADC Enhertu and Trop2-directed ADC Dataway [3] - DXd ADC Technology: Proprietary technology platform with two launched products, Enhertu and Dataway, approved in multiple indications [4] - Clinical Development: Seven different ADC assets in clinical development, with promising outcomes in various cancers [4] - Breakthrough Therapy Designation: Five DXd ADCs received BTD from FDA, with Enhertu's DESTINY-Breast05 study being the 14th to receive this designation [4] Market Performance - Global Net Sales (Q2 FY 2025): 160 billion JPY, growing 24% year-over-year [6] - Enhertu Impact: Over 200,000 patients treated across 85 countries, with significant market share leadership in various cancer indications [6][5] - Dataway Sales: Exceeded 10 billion JPY in Q2, with U.S. revenue growing 113% and Japan's revenue growing 59% compared to the previous quarter [8] Clinical Insights - Enhertu in HER2-positive Metastatic Breast Cancer: Reduced risk of disease progression or death by 44% compared to standard treatments, with over 40 months of progression-free survival [7] - Dataway in HR-positive, HER2-negative Metastatic Breast Cancer: Early experiences reported positively by oncologists, with expectations for triple-negative breast cancer indication [9][10] Future Growth and Strategy - New Indications: Anticipated growth from Enhertu and Dataway in 2026, with multiple pivotal trials expected to read out over the next few years [10][11] - Investment in R&D: Continued investment in clinical trials and establishing in-house capabilities for clinical development [19][24] - Shareholder Returns: Targeting a dividend on equity of 8% or more, with plans for consecutive annual dividend increases [15] Manufacturing and Development - Global Manufacturing Sites: 13 sites globally, with ongoing investments in manufacturing capabilities in Germany, China, and the U.S. [14][29] - Platform Strategy: Focus on developing multiple ADC technologies, including modified PBD ADC and STING agonist ADC technologies [12][27] Conclusion - Commitment to Oncology: Transition from a cardiovascular company to a global oncology leader, with a strong pipeline and innovative ADC technologies [17][19] - Sustainable Growth: Aiming for sustainable growth beyond 2030 through continuous innovation and enhanced shareholder returns [20]