Dainippon Pharma Reports Flat Turnover

Dainippon Pharmaceuticals of Japan says sales for the 12 months to end-March 1996 were up a marginal 0.4% at 130.26 billion yen ($1.19 billion). Recurring profits declined 2.5% to 9.74 billion yen but net profits leapt 20.7% to 4.92 billion yen. This was said to be the result of cost-cutting and completion of R&D investment for its new quinolone antibacterial Spara (sparfloxacin). Earnings per share were 29.3 yen compared with 24.2 yen a year earlier.

The company is forecasting that sales for the coming year will reach 135.00 billion yen, with net profits falling to 4.50 billion yen and EPS at 26.80 yen. Dainippon expects three new products to contribute to earnings, which will help offset declining royalty income from Meiji Seika. It also says it is planning to celebrate its 100th anniversary with a special dividend.