Nippon Shinyaku Co.,Ltd. (4516) Stock Price

Nippon Shinyaku's primary business is the manufacturing and sale of pharmaceuticals and functional foods. The company operates with six consolidated subsidiaries. Its business is divided into two segments: "Pharmaceuticals" and "Functional Foods."

In the Pharmaceuticals segment, Nippon Shinyaku handles manufacturing and sales, while Shioe Pharmaceutical also engages in manufacturing and sales. Tajima Food Industries manufactures raw materials and supplies them to Nippon Shinyaku. In the United States, NS Pharma, Inc. manages pharmaceutical sales and clinical development. In China, Beijing Ainuaishi Pharmaceutical Technology Co., Ltd. provides business support, while Tianjin Ainuaishi Pharmaceutical Co., Ltd. handles sales.

In the Functional Foods segment, Nippon Shinyaku manages manufacturing and sales, while Tajima Food Industries provides contract manufacturing. The company also receives product supplies from Shioe Pharmaceutical. This approach addresses diverse customer needs in the functional foods market.

As other operations, Nippon Shinyaku Advance provides business support services, insurance agency services, real estate leasing, and educational support services. Through these offerings, the company operates across a wide range of business areas.

Nippon Shinyaku aims to establish itself as a "Global Healthcare Company based in Kyoto" by 2035. To realize this vision, the company has adopted management policies focused on providing high-quality and distinctive products and services, earning societal trust, and fostering employee growth. Through these efforts, the company seeks to maximize corporate value across its pharmaceutical and functional food businesses.

Under the Seventh Five-Year Medium-Term Management Plan (fiscal 2024–2028), the company targets sales revenue of 230 billion yen and operating profit of 30 billion yen by fiscal 2028. Furthermore, the company is preparing to achieve sales revenue of 300 billion yen and operating profit of 50 billion yen by fiscal 2030. To reach these targets, Nippon Shinyaku is strengthening both its pharmaceutical and functional food businesses.

The pharmaceutical industry faces a challenging environment marked by increased use of generic drugs and drug price revisions. Meanwhile, the functional food business is experiencing growing demand due to rising health consciousness, though it faces challenges from elevated shipping costs and raw material prices. Nippon Shinyaku is adapting to these conditions while pursuing sustainable growth.

Nippon Shinyaku aims to enhance its presence in global healthcare by responding to healthcare cost containment policies and advances in drug discovery technology, while providing high-quality pharmaceuticals for rare diseases. The company is also working to address five material issues as it pursues its 2035 vision.

To overcome the patent cliff for Uptlavi, the company is advancing both its pharmaceutical and functional food businesses. The company has identified three priority themes: cultivating growth drivers, expanding global operations, and strengthening the pipeline. It is also focusing on reinforcing five management foundations to support these efforts.

In the pharmaceutical business, the company is concentrating on nucleic acid and small-molecule drug discovery, with a focus on hematology and rare disease areas. Leveraging open innovation, the company aims to launch more than two new products annually on average. The company pursues global marketing as its foundation, implementing optimal sales strategies in each market.

In the functional food business, the company aims to become a stable, high-margin operation by providing high-quality and distinctive ingredients and products. Through marketing activities, the company is raising awareness of Nippon Shinyaku and strengthening its market position in functional foods.