[Company analysis] Otsuka Holdings Co. Co., Ltd.(大塚ホールディングス)

「Otsuka Holdings Co. Co., Ltd.(大塚ホールディングス)」is a holding company of the 「Otsuka Pharmaceutical」, a medical and consumer-related business, as a core subsidiary. This company is also one of the Japan's five largest pharmaceutical companies(「Takeda Pharmaceutical Company(武田薬品工業)」、「Astellas Pharma(アステラス製薬)」、「Daiichi Sankyo(第一三共)」、「Otsuka Holdings(大塚ホールディングス)」、「Eisai(エーザイ)」). Before the establishment of this holding company in 2008, each company in「Otsuka Group」 only owned each other's stock shares, and there was no parent company to control the whole.  The number of consolidated employees is about 45,000.

 

1. Company Profile

2. Summary and Features

3. Major Business

4. Financial Information

 

 

 

1. Company Profile

 

※Unit is JPY million, as of 2019

Company name	Otsuka Holdings Co. Co., Ltd.
Company name (Japanese)	大塚ホールディングス
Date of establishment	1921
Headquarters location	〒101-0048 東京都千代田区神田司町二丁目9番地
Capital	81,690
Consolidated sales	1,291,981
Consolidated operating profit	108,304
Consolidated total assets	2,476,634
Consolidated capital	1,732,266
Capital adequacy ratio	69.9%
Consolidated number of employees	45,000

 

 

 

2. Summary and Features

 
the main medical product of「Otsuka Holdings」is "intravenous fluids". Intravenous fluids is an essential and basic medicine used in various medical fields, and Otsuka Pharmaceutical has been engaged in this business for more than 70 years. As for the market share, they have secured more than 50% in Japan.

In addition, this company also have strengths in the central nervous system and oncology areas. They launched "Abilify" and "Abilify Maintena" in the United States since 2013, and now they expanded their sales network to more than 40 countries worldwide. 

As an adjuvant for schizophrenia and depression, 「Otsuka Pharmaceutical」have a psychotropic drug "Rexulti", which was approved in the United States in 2015, and "Nuedexta", a treatment for emotional dysregulation, is included in their product line. They also sell "Busulfan" in the oncology area in more than 50 countries.

In the consumer-related business, they also have many popular products such as household medicine "Oronine Ointment(オロナインH軟膏)", carbonated beverage "Oronine C drink(オロナミンCドリンク)", sports drink "Pocari Sweat(ポカリスウェット)", nutrition suppliment "Calorie mate(カロリーメイト)". In the conclusion,「Otsuka Holdings」have advantages in securing large volume of sales not only for its core business(intravenous fluids) but also for nutritional food business.

 

 

 

3. Major Business

 

■ Medical business
They are developing their business in various fields, including intravenous fluids, diagnostic medical equipment, and psychiatric / neurological / oncology fields.

■ Nutraceuticals
In this field, this company focuses on functional beverages and health-related drugs.

■ Consumer-related business

 

 

 

4. Financial information

 

※Unit is JPY million

		2016	2017	2018
Consolidated sales		1,195,547	1,239,952	1,291,981
Consolidated operating profit		101,145	104,181	108,304
Consolidated total assets		2,478,290	2,480,256	2,476,634
Consolidated net assets		1,738,441	1,821,950	1,732,266
Breakdown of sales	Medical related business	753,005	774,762	817,110
	Medicinal food related business	300,883	314,651	338,585
	Consumer-related business	35,151	35,333	33,651
	Others	106,507	115,204	102,634