Domestic Sales of Prescribed Drugs (Reimbursement Price Basis)
Chugai’s sales ranking in Japan is 5th based on continuous sales growth.
The strategic alliance with Roche has enabled Chugai to in-license Roche’s groundbreaking products and efficiently develop and launch them in Japan, which has built a stable revenue base for Chugai.
Sales of products from Chugai’s research, such as Actemra and Alecensa, have steadily grown in recent years, both in Japan and overseas, and these drugs are now the main drivers of sales growth.
Ratio of Operating Expenses to Revenues
Chugai has consistently maintained a low ratio of operating expenses to revenues compared with its industry peers in Japan.
In anticipation of a rise in the ratio of cost of sales to sales due to the increase in products in-licensed from Roche, thorough cost-cutting measures were implemented, which reduced the ratio of operating expenses to revenues to a level comparable with the world’s leading pharmaceutical companies.
As a general principle, we strive to keep the rate of increase in operating expenses within the rate of revenue growth.
Ratio of Operating Profit to Revenues
Chugai’s ratio of operating profit to revenues remains at a consistently high level, partly reflecting the low ratio of operating expenses to revenues.
While we sell in-licensed Roche products in Japan, we also out-license our own products to Roche, which have a lower cost of sales to sales ratio.
Hereafter, the cost of sales to sales ratio is expected to improve due to steady growth in sales of products originating from Chugai.