Daiichi Expects Strong Gains For 96/97

Daiichi Pharmaceutical of Japan expects to show a record profit for itsbusiness year ended March 31, 1997, and it will try to keep earnings growing at around 4%-5% annually. The firm's president Tadashi Suzuki told Reuters that he expects current profits of around 44.1 billion yen ($370 million), up 3.2% from the previous year. Sales are expected to increase 4.2% year-on-year.

While the Japanese pharmaceutical industry is facing some tough times because of government cuts in medical expenses, Daiichi would try to keep profits growing at 4%-5%, he said, and was moving ahead with plans such as expanding overseas operations and developing new products to last through the period of change.

The company's medium-term strategy will also include trying to maintain current prices for products, he told Reuters, noting that overseas operations are an especially important element of the business. Overseas sales rose by an annual 14% last business year, and double-digit growth is expected to continue over the medium term.