Message from the Chairman and CEO
Sales of reagents increased, centered on the hematology field1, boosting net sales.
Profit attributable to owners of the parent rose slightly despite an exchange loss, due to a reduced tax rate.
During the first six months of the fiscal year ending March 31, 2019, the Sysmex Group recorded year-on-year increases in sales and profit in all geographic regions, stemming from higher reagent sales, notably in the hematology and life science fields. Profit attributable to owners of the parent rose slightly despite an exchange loss, due to a reduced tax rate. Net sales rose 3.9% year on year, operating profit increased 1.8%, and profit attributable to owners of the parent grew 1.5%. At the exchange rates prevailing one year earlier, net sales would have been up 3.5% and operating profit up 1.4%.
In Japan, sales were down due to the impact of the dissolution of a joint venture with bioMérieux, even though reagent sales grew. Overseas, sales of reagents expanded, due to an increase in the installed instrument base in emerging markets, and sales in the immunochemistry field were positive in Asia. As a result, the Group’s overseas sales ratio was 84.6%.
For the full fiscal year ending March 31, 2019, we now expect consolidated net sales to be up 6.4% year on year, forecast a 0.1% decline in operating profit and a 0.7% up in profit attributable to owners of the parent. This forecast is based on the fact that sales were lower than our previous forecast, mainly in the Japan and EMEA2 regions. We aim for sustainable growth by promoting instrument sales, particularly by strengthening sales of new products in the hematology, urinalysis and hemostasis fields. At the same time, we aim to reinforce activities in life science and other new fields.
Our dividend forecast remains unchanged from the start of the fiscal year, at ¥68 per share for the year (interim and year-end dividends of ¥34 each).
1 Hematology field: The field of in vitro diagnostics that determines whether precise testing is necessary by analyzing the number, type and size of red, white and other blood cells.
2 EMEA: Europe, the Middle East and Africa