SHIN NIPPON BIOMEDICAL LABORATORIES, LTD.【JP:2395】Stock Price

Shin Nippon Biomedical Laboratories operates multiple business segments offering diverse services and operations. The main business segments include CRO operations, Translational Research (TR) operations, Medipolis operations, US real estate operations, and other operations.

In CRO operations, the company supports pharmaceutical drug development by contracting nonclinical trials, clinical trials, and new drug application services from pharmaceutical companies. Specifically, nonclinical trials are conducted at the Safety Research Institute and Shin Nippon Biomedical Laboratories Inari Research Center, while sample analysis is performed at the Drug Metabolism Analysis Center. Clinical development is contracted through Shin Nippon Biomedical Laboratories PPD.

In TR operations, the company has developed its proprietary intranasal delivery platform technology (SMART), focusing on systemic absorption through nasal mucosa and drug delivery to the brain. To date, the company has spun out Satsuma Pharmaceuticals, which is developing an intranasal migraine treatment, and SNLD, which is developing a Parkinson's disease treatment.

In Medipolis operations, the company operates geothermal power generation and accommodation facilities utilizing Medipolis Ibusuki in Ibusuki City, Kagoshima Prefecture. It operates the healing resort hotel "Bessatei Amakudaru-no-Oka" and "HOTEL Freesia," providing hospitality centered on health and nature.

In US real estate operations, SNBL USA, Ltd. leases multipurpose industrial buildings constructed on its owned premises. As other operations, the special subsidiary "Fureai Sasaeai Co., Ltd." provides employment support for individuals with physical disabilities and developmental delays.

Shin Nippon Biomedical Laboratories' mission is to alleviate human suffering through support for pharmaceutical development. The company has established itself as a research institution capable of comprehensively undertaking both nonclinical and clinical trials, and supports drug development using state-of-the-art facilities and technology. The company is actively pursuing its TR business, which aims for coexistence and mutual prosperity with bioventures while responding swiftly to changes in the pharmaceutical development environment accompanying scientific and technological progress.

Shin Nippon Biomedical Laboratories aims to enhance corporate value, with management targets of increased operating profit and ordinary profit, and improved profit margins. The company prioritizes ROE and ROIC as indicators of capital efficiency, and seeks to maintain and improve ROE and ROIC that exceed the cost of capital. For the fiscal year ending March 2025, ROE was 13.3% and ROIC was 10.4%, both exceeding the cost of capital.

The company has established its "2028 Vision," targeting fiscal 2028 financial KPIs of 50 billion yen in revenue, 20 billion yen in ordinary profit, and a 40% ordinary profit margin. The CRO business will continue to drive performance, with nonclinical and clinical operations serving as two growth engines, while intranasal pharmaceutical development is positioned as the third growth engine.

The pharmaceutical industry is seeing increased outsourcing to CROs, and Shin Nippon Biomedical Laboratories is strengthening its breeding and supply system for experimental nonhuman primates. As research and development of new drug modalities advances, the company is providing comprehensive nonclinical testing proposals and has earned high global recognition. The company is strengthening its CRO business and participating in vaccine and infectious disease treatment drug development. It has begun offering MPS contract services and is advancing business process improvements through digital transformation. Construction of new facilities and research buildings has been completed, and the company is enhancing supply chain management for experimental nonhuman primates.

In its TR business, the company is advancing new business development using its intranasal delivery platform technology (SMART), targeting systemic effects through intranasal absorption. Atzumi™, an intranasal migraine treatment developed by Satsuma Pharmaceuticals, has received FDA approval and is preparing for market launch. The company is also advancing research on intranasal vaccines, targeting early entry into clinical trials.

Shin Nippon Biomedical Laboratories is enhancing non-financial value through its SDGs and ESG initiatives. The company has established an SDGs Committee to deliberate on material sustainability matters. The company aims to enhance sustainable corporate value by addressing social issues and strengthening its management foundation.

The company prioritizes securing and developing excellent talent, and is strengthening new graduate recruitment. Centered on its internal training institution "SNBL Academy," the company implements training tailored to job categories and positions. The company is also focusing on women's advancement, aiming to increase the number of women in management positions.