Eisai Co Ltd

It is now time we would like to now begin the briefing session on the financial results and business update of ASI Company Limited. Today, we will be conducting the briefing session in hybrid format, including in-person attendance and online live streaming. For those of you who are attending in person, we have distributed consolidated financial reports, reference data, and financial results presentation. If you are attending online, please refer to these materials on our website. Let me now introduce the speakers today, Mr. Haruo Naito, Representative Corporate Officer and CEO, and Mr. Takuya Oyama, Vice President, CFO, and Chief IR Officer. First, Mr. Oyama, CFO, will present the financial results after which Mr. Naito, CEO, will report on the overall business. Mr. Oyama, CFO, please. Thank you very much for taking time out of your busy schedule to participate in this earnings call. Let me first share with you the financial highlights for fiscal year 2025. Next page. Revenue for fiscal year 2025 reached 825.4 billion yen, up 4.6% year-on-year. The pharmaceutical business, which is our organic business, delivered strong growth, driving consolidated revenue to a record high. Operating profit was 44.1 billion yen, down 18.8% year-on-year. Although there was a significant increase in the contribution of the pharmaceutical business to operating profit, OP declined due to factors such as decisions to forego product outlicensing or divestiture and the recognition of expenses related to structural reforms in Europe. For fiscal year 2026, we are projecting increased revenue and profit with revenue of 883.5 billion yen and operating profit of 70 billion yen. Regarding investments for growth, we have made two products in licensing investments to support further growth. Furthermore, we plan to diversify our funding sources for future investments, including issuance of corporate bonds. Next page, please. This page provides details about our consolidated statement of income for fiscal year 2025. Revenue from the pharmaceutical business contributed significantly to the record high consolidated revenue of 825.4 billion yen. Cost of sales was 191.2 billion yen and the cost of sales to revenue ratio was 23.2% up 1.8 points from the previous year. This increase was due to changes in the product mix and the absence of auto licensing and divestitures that did not involve the cost of sales in the previous year but it was largely controlled within the planned range. As a result, gross profit was 634.2 billion yen, a 2.2% increase year-on-year. R&D expenses decreased by 7.6% from a year earlier to 158.7 billion yen as the cost for clinical trials for Lecambi had passed their peak. FG&A expenses totaled 435.3 billion yen, up 6.7% year-on-year. This increase was due to factors such as proactive investment in the KEMBI and the recognition of expenses related to structural reforms in Europe. As a result, operating profit was 44.1 billion yen. down 18.8% from a year earlier, and the profit for the year was 38.6 billion yen, down 17% year on year, both showing a decline in profits. As I will explain in a later slide, we are now disclosing a core operating profit. Core operating profit has expanded significantly due to the contribution of organic business to operating profit. Next page. This page shows the revenue increase or decrease factors. As shown by the light blue bar, second from the left, our main products, three Ls, Lenvima, Daybeagle, and the Lekembe, grew by 68.3 billion yen from the previous year, absorbing the 6.6 billion yen decrease in revenue due to factors such as Harvins, LOE, and others. resulting in a significant expansion of revenue in our pharmaceutical business. In other businesses, revenue decreased by 25.8 billion yen due to the absence of the upfront payment and others related to the transfer of rights for period in China, which took place in fiscal 2024. As a result, revenue reached a record high of 825.4 billion yen, an increase of 36 billion yen year on year. Next page, please. This page shows the breakdown of operating profit transition. Due to strategic decisions to forego product outlicensing or divestitures, as well as inventory valuation losses resulting from the discontinuation of Tazveric sales, both of which partially offset the effects of the growth of three L products, gross profit increased by no more than 13.6 billion yen. R&D expenses decreased by 13 billion yen due to the fact that the Canby clinical study expenses have peaked and are now declining as well as the cost optimization resulting from structural reforms in the U.S. implemented in fiscal year 2024. SG&A expenses increased by 27.3 billion yen due to a proactive investment in the Canby and one-time expenses related to structural reforms mainly in Europe. Other income resulted in a decrease of 9.5 billion yen, mainly due to the absence of temporary profit following the end of a global strategy collaboration with BMS, which was reported in fiscal year 2024. As a result, operating profit amounted to 44.1 billion yen. In the third quarter of fiscal year 2025, we reported operating profit of 54.5 billion yen at the time We had anticipated a profit for the fourth quarter, expecting that income from product outlicensing or divestiture would offset the one-time expenses related to structural reforms in Europe. However, following the third quarter, after the third quarter earnings call, we decided to forego product outlicensing and divestitures in light of changes in the domestic and international business environment Additional restructuring costs primarily in Europe exceeded expectations, and we incurred an inventory variation losses following the unexpected discontinuation of tax break sales. Consequently, OP for the fourth quarter resulted in a loss of 10.3 billion yen. As will be explained in the later slide, core operating profits for fiscal year 2025, excluding temporary income and expensive items, were 50.1 billion yen, more than doubling compared to the previous year. In the fourth quarter of the fiscal year 25 alone, it improved by 5 billion yen a year. Next page shows the background and details regarding the introduction of core operating profit. In our third quarter financial results, we referred to the profit from our Obanika business as a measure of normal or ordinary earnings power. However, we did not clearly define how to treat temporary income and expenses, nor did we disclose specific figures. We have now decided to disclose core operating profit as an indicator of our fundamental earnings. In preparing this disclosure, we have referenced the practices of our industry peers and clarified a definition from the perspective of objectivity and comparability. We exclude five items of temporary income and expense items not directly linked to future earnings from operating profit. For fiscal year 2024 and 2025, we have identified three items subject to exclusion, product outsizing or divestiture, disposable tangible fixed assets, and the termination benefit costs, and have calculated a figure after excluding them. As a result of these adjustments, cooperating profit was calculated at 23.8 billion yen for fiscal 2024, and 50.1 billion yen for fiscal 2025, representing more than a two-fold increase and establishing a solid earning space for fiscal year 26 onward. Next page. In conjunction with the introduction of core operating profit, we are also reviewing our capital efficiency indicators. While the company has previously disclosed ROE targets, we are introducing adjusted ROIC ROIC, As a metric, the data is more closely linked to medium- to long-term corporate value. Adjusted ROIC is calculated using after-tax cooperating profit, excluding the impacts of foreign currency translation adjustments, which are not directly linked to operating activities, and adding net interest of bearing debt. Since foreign currency translation adjustments account for approximately 30% of the company's equity, which had been undermining the comparability of ROE, we have excluded them from the calculation of adjusted ROIC. We estimated this figure to be 6.8% for fiscal 2025, and we aim for a range of 8 to 10% over the medium to long term, which we will monitor alongside ROE.

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This page presents our consolidated financial forecast for fiscal 2026. We continue to pursue organic business growth centered on the 3L products, and we plan for a revenue to reach a record high of 883.5 billion yen. While R&D expenses will increase due to forecast allocation of resources to our next generation pipeline, we will control overall expenses rate in the high teens percent. Although we anticipate efficiency improvements from structural reforms implemented in previous fiscal years, SG&A expenses are expected to increase slightly due to higher expenses regarding shared profit associated with the enhanced profitability of the Canby project. Our FY26 plan does not include one-time revenue. As a result, we are targeting operating profit and core operating profit of 70 billion yen each. Furthermore, our target for capital efficiency is the adjusted ROIC of 8.7%. Next stage. To support further business growth, we executed two in-licensing investments in the oncology area during FY2025. Preparations for the submission and the market launch are proceeding smoothly for both projects. Furthermore, to diversify our funding sources for future strategic investments, we are proceeding with preparations to issue corporate bonds. We completed the shelf registration for bond issuance in March of this year and plan to issue bonds at an appropriate time and scale taking into account market conditions. This concludes my part. CEO Naito will now provide you a business update. Regarding the overall business, we'd like to report to you. As we have heard 3L several times, what does this mean? This means Lecambi, Davigo, Generic name of this is Lemborexant, taking L from this, and Lembima. These are the products which are supporting our business overall globally, taking acronym from these three product names. We are calling this as 3L. For your information, logo names, since Aricept, we already started the seven English alphabets constituting brand names since RZ. So what kind of products are we talking about? For Lecambi, it is expected to be global number one anti-amyloid treatment. Actually, this is a global number one AAT. The legal is global number one in DORA category. DORA stands for drug-orexin receptor antagonist. And Renvima is now approved in the five cancer types. In these five types of cancer, this is the number one tyrosine kinase inhibitor. For all these three products, these are all global or world leaders. currently, and all of these have been in-house developed, which we take a pride in this fact that these have been in-house developed. Now, recapping Renvima, this is an in-house developed oral multi-kinase inhibitor with seven indications in five cancer types. expanding with monotherapy and combination therapies with Keytruda, et cetera. And it has been 10 years since its launch. And it has contributed to approximately 620,000 patients in 81 countries and territories in the world. Please look at the left-hand side chart. 342.5 billion yen was recorded as revenue, up 4% year-on-year from the previous year in fiscal year 2025. It has become a top brand for Eizai. The key markets are the U.S. On the right-hand side, in all regions, however, for Eizai 2025, it has been able to grow, particularly in the RCC. Advanced renal cell carcinoma has driven the growth in the United States. It was the including the RRDTC, which was launched as the first indication in all the cancer types in the United States, RENVIMA could expand. NITOSPARG-11, studying on the combination therapy of RELILEG plus RENVIMA for RCC. In this study, we have obtained favorable results for the improvement in the PS and the ORR, and it has shown to reduce the risk of disease progression or death by 30%. And after treatment with an anti-PD-1 or PD-L1 therapy, it is expected as a treatment for patients with ARCC whose disease has progressed after this prior treatment. For U.S. FDA, Kuduva action date is set for October 4, 2026. For Japan, we have also submitted. And this year, 345 billion yen, about 1% year-on-year growth is expected for this fiscal year. Next year, debut. This is also to recap. The natural biological regulation of sleep and wakefulness is done by orexin. Substance called orexin was found by Dr. Yanagisawa of Tsukuba University in Japan as a target. The orexin receptor, once it is inhibited, it will induce sleep. Orexin receptor is once agonized, then wakefulness will be naturally induced. So that is the nature of this target. Devigo is the antagonist for orexin receptor. Of course, from Tsukuba Laboratories, we developed this in-house, and this treatment has been approved in 27 countries worldwide. If you look at the graph on the left-hand side, for FY 2025, revenue was 64.3 billion yen globally. which was up 20% year-on-year in key markets in Japan. Our country, for this fiscal year, we expect to see continue to have, we expect to have the continued double-digit growth. What is happening in Japan? The number, we have been number one in share in terms of both the sales as well as the number of patients who are receiving this treatment. And we have generic agents available in the market, however, including that for the insomnia treatment, including those generics. Devigo is number one in share of the market. And now the disease awareness campaign is being launched in collaboration with Pokemon Sleep. As you can see, for all generations of population, it is said that the Japanese people are not sleeping very well. Therefore, if we can invite more patients with insomnia to seek the medical consultation, we are currently collaborating with Pokemon Sleep. And it has expanded steadily in Canada, China, Thailand as well. In the United States, this is not relaunching. However, we are going to initiate new initiatives. This is called the telehealth initiative. utilizing so-called IT technologies to replace real in-person face-to-face services in order to provide medical consultation and treatment and diagnosis in more than 30 states in the United States. Utilizing this, we are considering conducting relaunching of the product. In Europe as well, in the UK and EMA, we plan to submit for approval. Turning to Rekembe. Needless to say, it is a treatment for Alzheimer's disease. It is an anti-amyloid beta antibody for long-term treatment for early AD. The polymer of amyloid beta, neurotoxic amyloid beta protofebrates, as well as the plaque, both of which are targeted by this treatment, And these are continued to be removed by this drug. This is the only anti-amyloid treatment for suppressing both of these. For early AD, it has been approved in 53 countries and territories in the world. The track record, please look at the bar in the middle, global revenue was 88 billion yen. achieving almost a double growth, 44.6 billion yen in the U.S., 24.4 billion in Japan, and 12.4 billion yen in China, and 6.6 billion in the rest of the world. For this fiscal year, we plan to achieve 143.5 billion yen in revenue with 63% growth year-on-year, including the U.S. and other regions, We believe that there will be continued robust growth. Now we're guiding Lecambi. Lecambi is the number one AAT anti-amyloid treatment. It is the top brand. In comparison to the second brand, more than double sales is achieved in Japan. In the United States, approximately 1.5 times as much sales is achieved. It is the major AAT. Once again, I would like to reiterate this. In July 2023, in the United States, it was fully launched. It was a little less than three years ago. It has been a long time and it has been a short time. over the past three years, but it has only been three years after the full launch. In the meantime, we have pursued a mission which is shown in these two lines, early initiation and long-time continuation of treatment. These are considered essential for slowing disease progression in the current AD treatment framework. It is considered to be the only way, and we would like to improve awareness of this amongst the specialists and HCPs and others. We have spent all our efforts in the past three years on improving such awareness, and at last, I believe that There is a strong agreement to this. I have covered this a number of times, but this thinking is supported by important information, which I would like to cover once again. First, priority AD, open label extension, 48 months. Active drug is given for extended period of time for 48 months, and we have data. The top bind is Blacken B group. The bottom two lines are natural progression groups. If you will, these are data from ADNI in the U.S. and BioBinder in Europe. As you can see here, after 48 months, slowing of decline effect is sustained, and the gap between the natural progression or effect sides is expanding. Steadily, the target toxic substance is being removed from the brain. As shown by this data, we are arguing for long-term continuation of treatment, and this is an important supporting information. And the middle shows that earlier initiation is better. The center-left graphs are from the same priority ADOLE, showing the results for low tau population with smaller accumulation of tau, MCI early stage, if you will. Looking at this, CDR-SB, no decline. Cognitive function decrease. deterioration is not seen in 69%. In the lower graph, CDR-SB improvement. There are patients, 56% of the patients showed improvement in cognitive function. Early initiation of treatment will bring about important treatment effect as shown by the data. On the right side, pre-specified biomarker endpoint is shown. Amyloid PET data. The plaque, how much plaque was removed is shown. The point I would like to convey here is that the can be efficacy onset is quite early. The very left side, the reddish bar, this is after three months. After three months, in 24% of the patients receiving the Can-B, they have turned a beta negative state. The toxic substance has already been removed. They have reached that stage. Placebo group is shown in gray. In comparison to placebo group, this is a significant improvement. The Can-B has an early onset of efficacy as shown by this data. On the right side, on the far right, long-term continuation of the study, but in real world, how long are patients staying with Lecambi treatment? The top is the data from the US. After 18 months, close to 80% of the patients are continuing with Lecambi treatment. At 20 months, more than 70% are continuing with Lecambi after two years. As much as 67% of the patients are seeing with Lecambi treatment. Long-term continuation of treatment is realized in the real world as well. At the bottom, the data of Tokyo Metropolitan Geriatric Hospital and Institute of Gerontology shows that In Japan, 84% of the patients are continuing Lecambi treatment at 18 months. Now the topic today, the major topic today is the initiation of fundamental transformation in AD diagnosis and treatment cited by Lecambi. There are two types of technological innovations, BBM, blood-based biomarker confirmatory usage, and beta confirmatory testing using BBM. Such technological innovation is one and the other. It can be IQIC rather than infusion, which was a conventional method, auto-injector, self-administration. It can be IQIC technological innovation. These two technological innovations will be implemented in the society almost at the same time, and that is the fundamental transformation. In the past, on several occasions, as I have stated on those occasions, within the AD treatment pathway, there are two rate limiting factors or two bottlenecks. One is a beta confirmatory diagnosis, how to give confirmatory diagnosis. And once treatment starts, infusion uses a lot of health care resources. So these two were bottlenecks. How do we remove these bottlenecks? On several occasions, I have discussed this. With the two technological innovations, these two key bottlenecks are removed. The pathway has been improved fundamentally in both speed and capacity, enabling more patients to receive treatment through simpler procedure with greater convenience. This, I believe, is revolutionary. A beta confirmatory diagnosis using BBM. This is now available with that. What kind of value is created? Simplicity. Conventional methods, PET and CSF, and new BBM confirmatory diagnosis. These three are compared in terms of economic burden, invasiveness, and ease of access. PET is not invasive, but it is quite expensive as a diagnostic method. Medical institutions that have PET are also limited in number, which limits access. There will be a wait list. Or PET is also used in oncology diagnosis, so it will have to be allocated. CSF, lumbar puncture. It's used to collect CSF, so this is invasive. Economically, it is moderately burdensome. This medical technology technique can be used by healthcare professionals or in medical institutions that are limited in number, limiting access. whereas BBM is low in terms of economic burden, and it is now covered by insurance reimbursement in the United States, and only black sample is drawn, so invasiveness is quite low. Access is available in large-size diagnostic companies. They are adding BBM in the list of their confirmatory tests. So there is a good access. So clinical diagnosis has become very simple, and there will be greater flow of patients seeking that can be treatment. That is how we see this. I would like to show some actual data on the left side. A beta 4240, p tau 181, p tau 217. How many tests of these were conducted are shown. Pre-screening, triage, and confirmatory, both are included in the number of BBM tests shown in this graph. From January 24 to January 26, in just a year period, the number of tests increased by 12-fold. In half-year interval, From January 24, every six months, it is doubling. So at a very rapid pace, BBM is increasing its penetration. And the second bullet, a beta confirmatory test. CMS, the Authority for Insurance Reimbursement, Formerly included BBM in the anti-amyloid therapy registry and reimbursement has already started, and AAIC guideline also recommends confirmatory BBM testing. If you could refer to the right side, out of all A-beta confirmatory diagnosis, how much is done with BBM? That is shown in orange color. According to our estimate, about 15% was already BBM in fiscal 2025. In this fiscal year, we believe that more BBMs for confirmatory diagnosis will be approved by the FDA, so we believe there will be acceleration, and by fiscal 2028 or there around, we believe that more than half of all A-beta conformatory diagnosis will be done with BBM. At the right bottom, for one year, the number of patients receiving AAD in one year has increased by 1.8 fold. There are numerous factors. DTC is carried out, and clinical effectiveness evidence is also playing a role, but without doubt, BBM-attributed and confirmatory diagnosis usage has provided tailwind, and we believe that full-scale growth of the AAP market has started. The simplicity is the value that is acquired from BBN. And to recap, A beta-conformatory diagnosis using DBM can significantly expand accessibility and its cost-effectiveness would greatly simplify AD diagnosis. Next. As for the treatment innovation or transformation, we have Wekenbi iQuick. With iQuick, the value that will be brought about is convenience. Conventional administration is IV infusion, and the flow is shown above. Patients will have to visit medical institutions. Currently, around 1.5 hours to 2 hours of driving is required to visit medical institutions in the United States. Oftentimes, caregivers are driving the car to take patients to the medical institution, and infusion takes about one hour, and this is followed by 30 minutes of follow-up. In the meantime, nurses are allocated to monitor infusion-related reaction. And to go home, the same amount of time driving car is required. And this is every two weeks for initiation stage and every four weeks during the maintenance period. Now, what is the convenience that will be brought about by iCOIC? throughout the whole duration of treatment. At home, self-administration is possible, be it by patients themselves or by caregivers. Safely, comfortably at home or at nursing homes, et cetera, it will be possible to receive administration, self-administration. And 360 milligram auto-injector, one auto-injector once a week is used for maintenance and a Approximately 15 seconds is the average injection time per injection. In initiation treatment, when this starts, we'll require 250 milligrams of two auto-injectors, two auto-injectors of 250 milligrams, but it will also be 15 seconds per injection, improving convenience by a wide margin. iQuick maintenance therapy. This was approved in August of 2025, and what has been the effect of that approval, that is shown in the two graphs. The point I would like to emphasize here is that IV and iQIC can complement each other, Patients who are receiving IV may be switched to iQIC or iQIC patients may be switched to IV treatment with a great degree of flexibility. Flexible treatment options are offered. At left top, the orange part is iQIC maintenance treatment incremental portion. Because of the convenience, this is increasing, but the IV part, the blue part, is not disintegrating. It continues to grow. IV, iClick, they are compatible. It is possible to switch between the two. Such flexible treatment options, I believe, are welcomed. That is what is shown here. for both maintenance treatment, we are seeing increasing number of patients who are receiving IV or IQIC maintenance treatment. On the right side would be increasing maintenance treatment options. The graph shows that this has led to increase in patients receiving initial treatment using REC-NB after 18 months. of initial treatment, there is greater degree of freedom regarding the treatment modalities, lowering the hurdle to seek Lecambi treatment. Currently, with initiation treatment, IV infusion is still used. However, iQIC launch had the effect of increasing the number of patients receiving initial treatment of Lecambi This is the projected impact of Lecambi iQuik initiation treatment in the first year of launch. This is the estimated number of new patients. Between the competitive product regarding new patients, the share is around 50-50, according to our estimate. With Lecambi iQuik initiation treatment after its approval, First, as shown in circle number 1, we can expect market expansion with iQuick. And circle 2, we can expect increased share with McKenB iQuick. The reason for seeing this is that iQuick by far is very convenient in comparison to infusion. For initial treatment patients, it will lower the hurdle of seeking McKenB treatment. and it will also offer us a very important competitive edge, clearly, so this is the expected impact. Currently, there can be SEAI regulatory status, as shown here. For maintenance treatment, as I stated earlier, It was approved by FDA in August 2025. Initiation treatment is still mandated for priority review, and we recently received notification that PRUFA date was extended by three months, as we have informed you. The approval expectation is not at all affected by this in our view. Already, data had already been submitted. and we are not requested to submit additional data. IV and SC switching, surrounding the switching between IV and SC, data had already been submitted, and labeling words regarding the IV-SC switch are being finalized, as we understand. and what kind of interpretation is necessary in fixing the language. Those are the inquiries, the types of inquiries that we are receiving and that we are providing information accordingly. This is not about the essence of what is being reviewed. Labeling language adjustment is requiring some time. That is our understanding of the situation. And therefore, we have no concern whatsoever about the approvability of They can be ICWIC. They can be SCAI for initiation treatment. And three months is the extension time, but the full duration may not be required. In the second quarter of this fiscal year, we expect approval in Japan. And also in China, we anticipate approval in Q4 of this fiscal year. Convenience. is the value acquired. And once again, to summarize, I click for maintenance treatment received FDA approval in August 2025 and has been successfully launched on the market. Currently, the insurance coverage through MAP is about 85% and introduced at approximately 600 facilities. And PADUFA date, action date, is extended, but we have no concerns about approvability Once it is approved, all medical institutions are able to provide ICRC initiation treatment, lowering the barrier to initiate treatment with Lecambi, and patients who may have hesitated to receive Lecambi treatment may seek to receive initial treatment with Lecambi. Enhanced convenience is expected to provide a competitive advantage. As for China and EMEA, In China, commercial insurance innovative drug list was newly created, which includes Lecambi. Based on this, with various commercial insurance regarding coverage for Lecambi, discussions are underway. And these types of insurance are called Xiuminbao. Under the guidance and support of the local government, commercial insurance, cell insurance, and including in Beijing city. In 13 cities, Lecambi is on the list of insurance reimbursement. Alipay has insurance platform called Hao Yibao, and Lecambi is also included here. This is a commercial insurance covering high cost medical cost, and it's available nationwide. As for Sui Shinbao, this is Guangzhou-based program covering advanced medical treatments. This also includes Lecambi. In commercial insurance, mainly through commercial insurance, the improvement in access to treatment is achieved in China. As for EMEA, in Germany, the UK, Spain, and Italy, negotiations with authorities for reimbursement is ongoing. This is the overview of the pipeline. Alzheimer's disease is positioned within the neurodegenerative ATN continuum by ASI, amyloid tau neurodegeneration. These are three pathologies. In all of these pathologies, we have promising pipeline. That is true of only ASI in the world. But can be, I've discussed at length, And I had preclinical 80. I had a 345 is underway, and we expect to find data fiscal 2028. This is an excellent anti-MTBR antibody in our eyes, and we have two studies, genetic Alzheimer's, hereditary Alzheimer's disease cohort phase 2-3 study, and sporadic AD phase II study. Both are underway smoothly, and we expect top-line data in the years as indicated here. As for neurodegenerative stage treatment, E2511-TRKA integrated synapses regenerate study will start. As for orexin platform, in addition to lemborexant, ledaflorexon, the agonist side of orexin for narcolepsy study is underway smoothly. We expect to apply data this fiscal year in oncology. Lend-me-my-light spark 11 RCC and licensed in target reptilid for Europe and for Japan. another licensing product. We expect to file submission in fiscal 27, 26, respectively, and also expect results for Phase 2 study this fiscal year. I would like to summarize before I end. In fiscal 2025, driven by growth in the organic business centers of these three L products, revenue reached a record high and core operating profit increased significantly year-on-year. On the other hand, operating profit decreased due to factors such as decisions to forego product out licensing and divestitures in consideration of mid- to long-term corporate value growth as well as recognition of expense related to structural reforms in Europe, etc. In fiscal 26, we entered a record high revenue driven by continued sales growth primarily in the 3L products With SEAI and BBM in place, we expect it is entering a true expansion phase, and we aim to enhance business profitability through continued cost control and prioritize SG&A investment in key markets. In addition, we expect improved management efficiency as a result of structural reforms implemented in prior years. mainly in the U.S. and Europe in R&D. By controlling overall expenses, we will allocate resources to priority pipeline assets, including that can be in preclinical AD, internal run attack, and data products done, and aim to achieve operating profit of 70 billion yen. In parallel, we will execute proactive financing and promote investments for growth, including product in licensing, mainly in oncology, to activate pipeline enhancements through a dual engine of in-house R&D and product in licensing. Through these initiatives, we aim to achieve revenue expansion driven by organic business and sustainability and how sustainably enhance our corporate value. Now we would like to entertain questions. We would like to take questions from analysts and investors who are attending in person and then from analysts and investors attending virtually and then those who are attending in person from the media. If you have a question, please give us your name and organization name before your question. And we would like to take as many questions as possible. And in the interest of time, please limit the number of questions to one per person. Now I would like to ask if you have a question, please raise your hand. This is from JP Morgan. Thank you very much for your presentation. What I would like to ask you is for the year under review, did not achieve the plan. Therefore, could you please explain why you were not able to achieve the plan? ROE was targeted at 8% level, but in the third quarter results earnings, you mentioned that the level was above the consensus. And OP is estimated to be 70 billion yen compared to the third quarter earnings call. It seems to be lower. Are we 8% to be achieved this year or next year? But you said that this is going to be the target for medium to long term. So I think that the projection of the company for the profit growth may have been changed. Could you please explain? For that question, Mr. Oyama is going to explain. Thank you very much for your question regarding the results below plan for fiscal year 2025. I believe you're asking about that previous fiscal year, and regarding this, it depends on the original plan. Could you please show the page two? So if I may, let me explain using this slide. Other income and expenses for the four-year forecast, 35.5 billion yen was planned. In addition, other income and expenses, 9.5 billion yen was included. At the beginning of the year, the plan was to consider taking into account the one-time income to some extent up until the third quarter These were not incurred. And the four-year results included the other business results, but API sales or sales from subsidiaries are included. So almost a nil excluding those in this line. When we made the announcement of the results for the third quarter, actually we were in the process of negotiating with the candidates, and there were several of them. But due to the changes in the environment, as an assumption, we thought that it's better rather than divesting these, but rather we should continue to keep this for supporting the business growth from next fiscal year onwards. So one-time income was discontinued, and that is what we decided to do. And these are the numbers that we have disclosed, 8.7 billion yen related to the structural reforms, which was also disclosed in the financial reports. And the plan at the beginning of the year was less than half of this. On the other hand, because of the changes in the situation, actually the situation in Europe changed Significantly, compared to the original plan, the expenses related to the structural reform, or rather the scale of the structural reform there was much larger, so excluding the one-time income as well as the increased more structural reform costs than expectation were the major factors. Regarding your question about ROE 8%, As for this target of 8%, we thought that this should have included the impacts of ROE one-time income. When we explained this 8% level target for ROE for FY25, that's what we explained. And through thorough discussion internally, Secure the one-time. There are some projects that are under negotiation. There are some potential candidates, but we like to prioritize what we are able to see, visibility, explaining there are some one-time or maybe no one-time projects. rather than explaining it as such to investors, we believe that it is more important for us to go through the more visible plan, and going through that process, as a result, ultimately, we had to present this number, not reaching the ROE 8%, but please understand that this commitment to ROE 8% stays unchanged. In addition, compared to that time, actually, the foreign currency translation gain has increased. 310 billion yen of FX gain was recorded this year. This may have hampered the improvement in the ROE. The changes in the Forex rate cannot be controlled by us within our plan, but it may have contributed to the target of the companies, which is not reasonable, therefore, I would like to say that we do not believe that we have changed our message to the market, but organic growth in the business will continue to be achieved in order to support the numbers. If I may check with you, the gains on the sale, which were in negotiation last year, the probability of realization of those negotiations is decreasing, or do you think that there is any change to the projection of the profit growth including the one-time impact. So I think you were talking about whether you're able to achieve the 8% ROE. But from next year onward, I believe that you are going to achieve the profit growth inclusive of that. Regarding the plan for next year onward, there will be another conference to be held on the 26th of this month to explain management strategy. But for organic business, we believe that we have secure base for growth conventionally. In order for us to achieve the short-term goals, one-time sale may have been considered for the future growth, but rather we would like to seek the actions which will surely contribute to the medium to long-term growth. And please, I'm sorry to say this, but please wait until the explanation on the 25th of May. That means that there has been a change to the policy of the company, right? Please wait until the conference. CEO Naito, please. When it comes to the so-called individual pipeline assets, the divestiture, or others, or existing brand sale or divestiture. We decided to forego these. But for our growth model, which includes partnering with milk for Rembima and partnering for Lekembi with Biogen, I believe that these are reasonable and good business models that should be adopted by the company for the future growth and reducing having the costs and having the profits. Such model for a pharma company like mid-sized pharma company like us is a reasonable growth model in my opinion. We would like to continue to pursue such opportunities proactively. Any revenue or income from these activities will be including some one-time revenue. These are considered to be organic income, so there are two separate understandings on these incomes. I am very much looking forward to hearing at the management strategy conference, which seems to be very important. Within our pipeline, existing pipeline, there are promising potential items. I would say that there are several of them within the existing pipeline, so we are duly considering these potentials. Next question. Attendee seated in the front row on the right side, please. I'm Hashiguchi from Daiwa Securities. I can see that you have high expectations regarding iQIC. What is your view regarding the pricing? To the extent that you're able to, please comment on the pricing. In maintenance therapy, it is expected that there may be switch between IV and SCI. not all patients may select iQIC. And I believe there are several reasons for this. Depending on the insurance plans of the patients, iQIC may lead to higher economic burdens. In some cases, I understand that that is one of the reasons. With the conventional IV in initiation and maintenance treatment, the dose is the same, So, on the whole, pricing does not change. But with IQIC in initiation treatment, the dosage is larger between IV and SC. If forcing a unit of those, if the price is the same, then the economic burden may be felt more strongly by switching to IQIC. This dosage is complex. And what is your view regarding the pricing? Mr. Haruna will respond to your question. Thank you for your question. I'm Haruna, responsible for the U.S. I believe your question was regarding the United States. The concept is price parity. What we have in mind is the concept is price parity, which means that The out-of-pocket payment for patients should be no different between IQIC and IV infusion. You've mentioned drug pricing. IV therapy patients have to pay for infusion procedures, so it is not limited to the cost of the drug itself. We have to take into account total medical costs. and keep the economic burden the same for patients. And as CEO Mr. Naito mentioned earlier, even if there are repeated switches between IV and SC, there should not be any change in the patient's burden. That is what we are keeping in mind. Thank you very much. That was very helpful. Any other questions? The person in the second row from the front. This is Seki from UBS. Thank you very much for your explanation. More promising news. Biogen, TAO ASO Phase II results were announced by Biogen yesterday, and TAO pathway has been demonstrated to improve the cognitive function. A bookmaking news was announced. What is your view of this? And eteranetag 202 study compared, and except for a small number of patients What is the possibility of the dose response? Dr. Ido is going to respond. I am in charge of R&D. My name is Ido. I am going to respond to your question. As has been commented by you, B.080 results are understood positively by us as well, which was a good data. According to the release, a primary endpoint, CDR-SB, the dose response was not achieved. But Tau PET, CSF Tau included that these biomarkers were shown to be significantly reduced and the suppression of cognitive decline were observed across all those groups. This is going to be announced at the AIC. But including the etalanecac, anti-Tau drug development, direction of such a drug development, including etalanecac is supported strongly. Our has been already explained several times. It's considered to be very important for tail aggregation. MTBR core region is the region to be bounded by this, and so the propagation tau feed will propagate and that is the most important part of the tau pathology hypothesis and also over the high dose and also the safety has been secured including the high dose patients and the tau propagating to the cortex, cerebral cortex is considered to be affecting the cognitive function but we have deepened our confidence in showing this mechanism to achieve this. And our IV infusion of the Etadalitac and biomarker dynamics have been already shared based upon the dose response manner. We have been able to see this effect. So at the diet or at the familial Alzheimer's disease patients, severe Alzheimer's disease patients, Last year, the taupept stabilization or decrease of taupept were also observed in these patients. Therefore, we have given our confidence in this drug. Thank you very much. Except for the smaller number of patients, are there any dose response effects? So separate from the biomarker response, yes. Inclusive of the cognitive function as well, we are going to monitor together with the biomarker. He is asking a question about ASO. Are you asking about the economic act? Next, analyst investors who are attending virtually, we will be taking questions. First, Muraoka-san from Morgan Stanley, please unmute and please proceed with your question. Thank you. This is Muraoka from Morgan Stanley. I have one question. about the guidance for this fiscal year. SC I-CLIC was extended by three months. Does that mean that guidance is now 70 billion, slightly lower than your original expectation because of this extension of TELUFA date? That is how I see this favorably. Is that true? And after approval successfully on August 24th, if that is achieved, then do you see a ramp-up from September or from January? What do you currently anticipate? Mr. Haruna will respond to your question. Thank you for your question. Perduca extension by three months or within three months? but this means that we are able to make thorough preparations, so we positively consider this. After the actual launch, we believe that we can immediately see the effect. iQlik is already on the market widely with the maintenance therapy, and once iQlik initiation therapy becomes available, I believe that can be growth will be accelerated. Regarding the plan, We consider slight modification possibility, but it will be limited. Do you think that acceleration from January will be bigger than from September? Thank you for that question. Regarding iQIC, it is already receiving a generous reimbursement in initial therapy. After launch through MEP, medical exception, we expect the insurance coverage to continue. So irrespective of the timing, we believe that there can be eye-quick growth, low pickup. Thank you very much. From Citi Group Securities, Mr. Yamaguchi, please unmute. Thank you. This is Yamaguchi of Citi. Can you hear me? Yes, we can. Thank you. I have one question regarding iQIC maintenance treatment. Accelerating the expansion of it can be on page 19. Regarding this comment, I would like to ask you a question. As a result, the SC sales, how much is it now? And for this fiscal year, the initiation treatment is delayed a little bit. As a result, how... the sales are going to be increased by that. So could you please disclose the mix between the IC and SC sales? For your question, Mr. Haruna is going to respond. Thank you for your question. If I may, could you please show the next slide? Yes, thank you very much. Regarding the maintenance treatment for the Kenbi, I click maintenance treatment. Exceeding the original plan, it has been strongly performing, and week by week it is picking up. Therefore, securely, the penetration or growth of the sales of iClick has been growing steadily. And once the initiation treatment is approved and launched, as CEO Naito mentioned earlier, The iClick will contribute to the expansion of market and also share of the market as well. These are the two points. And regarding the mix, gradually iClick ratio will exceed the IV. That is what we envision. That is my response. Thank you. Thank you very much. Next, from Sanford C. Bernstein, Ms. Soge, please unmute and please start. Thank you very much. about Alzheimer's market in the future. Regarding the expansion of the market, BBM confirmatory usage is important, according to the presentation earlier. When we discussed with U.S. neurologists, BBM positioning is screening, and oftentimes they say that it will be difficult to use BBM for confirmatory testing. 100% It's not 100% reproducibility in terms of results. There may be over-treatment or under-treatment for 5% to 10%. Will there be new data to reduce the gap between PET and BBM to lead to greater usage of BBM for confirmatory testing? Mr. Harden, I will respond. Thank you for your question, blood-based biomarker. BBM confirmatory testing, right now, around 15% of the patients are using BBM for confirmatory testing. In comparison to last fiscal year, this is an increase of about 5%. In A-beta confirmatory testing, the proportion of BBM is increasing. That is the reality that I would like to emphasize. Going forward, why do we expect BBM proportion to increase? First of all, CMS. have officially added BBM in the registry. BBM confirmatory testing is added in the registry. Social implementation is still advanced and CMS has acknowledged or accepted the BBM confirmatory testing. There is a slight difference between PET and BBM in any of the tests, but CMS or AAIC guideline as well, BBM, as a confirmatory testing is endorsed. In terms of market penetration, there will be newer BBM tests that are expected to be launched for confirmatory testing this year or to be approved So we believe that confirmatory testing with BVM will surely increase and will continue to increase. Thank you. Next, from Macaulay Capital Securities, Tony Lim. Could you please unmute and start asking questions?

Hi, Tony Ren from Macquarie. Thank you for taking my question. I would like to also stay on the previous page on the blood-based biomarkers, slide number 16. Yeah, this is a very informative slide of slide number 16. When I look at this slide, what struck me on the left-hand side was the very fast uptake of PTAO-217 and basically PTAO-181 not growing much. Could you explain to us why the PTAO-217 experienced so much rapid growth? and also which companies are the vendors of this test.

Yeah, thank you.

For your question, Mr. Haruna is going to respond. Thank you very much for your question. On the left-hand side, BBM test and P-Tau-217 is growing so rapidly. Yes, this is partly because of the Fudirebios P-Tau-17 was launched, so that has peaked. That has contributed to the peak, and that is one reason, and when it comes to penetration into the market, P-1017 single test is simple, and therefore it is increasing. And a data source is LabCorp and Quest. But for Mayo and other institutions are not included in this data. So actual uptake should have been more than what is shown here in terms of the uptake in the market. So we have high expectation to this. And going forward, the BBM confirmatory test, PTAL 217-related test will become available. Therefore, we think that the penetration in this part will be accelerated further. That is my answer. Thank you.

Very clear.

Thank you very much.

Next, from SMBC Nikko Securities, Mr. Wada Lee. Thank you. This is Wada from SMBC Nikko Securities. My question is on Wakambi in fiscal 26, whether it will be profitable in fiscal 26. Fiscal 26 guidance. was given, and they can be, I believe, will be making the biggest contribution in the increase in revenue and then cost of sales. SG&A growth are contained and that will lead to growth and profitability, as I see it. What I'm concerned about is that last year, in fiscal 2015, in comparison to the past, SG&A has grown more. This may be partly due to proactive investments in Lakembi. If it is similar this year, it may offset the increase in profit. Is that a possibility? Mr. Oyama will respond. Thank you for your question. First, they can be fiscal 26, whether they can be returned profitable. The original plan was that excluding r d to achieve profitability so including r d uh we uh our crown uh does not uh uh foresee profitability in the candy but regarding your question of increase in sgma uh please turn to page four once again as shown on this page proactive investment in the can be expense is 20 billion yen and there is also structural reform costs that has accounted for a large portion. I would like to stress that once again. In fiscal 2026, excluding R&D, we expect ReCambi to become profitable, and we believe that there will be substantial improvements in ReCambi profitability in fiscal 2026. I cannot give the exact numbers at this juncture, however. Thank you. Thanks. Tokai Tokyo Intelligence Lab, Yoshida-san, please unmute. Thank you. Tokai Tokyo Yoshida speaking. Thank you for this opportunity for me to ask questions. Please open page 16. I have a question about the same page. On the right-hand side, amyloid beta confirmatory tests performed, and the PET and the CSF... For FY2025, we will account for about half of the total number of tests performed in the U.S. What is the reason for this? BBM diagnosis will increase in number, and it is going to be add-on increase on that. That is the perception I see. So what I would like to say is on page 15, BBM favorable aspects of BBM are conveyed from this table. But then, if that is the case, I believe that the ratio of BBM tests will be getting larger, replacing the CSF for PET tests more optimistically. And physicians, actually, unexpectedly, a large number of physicians still prefer PET imaging-based diagnosis, or setting aside those visits and the triage will be the main usage of the BBM. And then for the confirmatory testing, PET and CSF will still remain. But for your question, Mr. Haruna is going to respond. Thank you very much for your question. Trying to start it, regarding CSF, it's declining slightly. Regarding PET, it stays almost flat since last fiscal year. for BBM, as we explained today. And going forward, what we assume as a company is PET will stay, continue to stay flat, and BBM will increase, will be accelerated, as you pointed out. BBM is less expensive and less intensive and good access is provided. So going forward, we believe that BBM is going to the mainstream test method. But on the other hand, at hospitals utilizing PETs, They will be able to see and confirm the effects of the treatment through imaging. By conducting CSF tests, they will be able to have an access to the more detailed biomarkers, particularly at the teaching hospitals and academic hospitals. Not only BBM and PET-CSF, demand will still remain to some extent. Therefore, PCP or home doctors or neurologists, clinics, BBM is expected to expand, but the teaching hospitals, PIT, CSF, and BBM will continue to be utilizing combination while we see increasing all of them. Thank you. Understood very well. Thank you very much. Next, those of you who are in person from the media, if you have questions, please raise your hand. Thank you for the presentation. About leucanumab treatment, cognitive function improvement I think is the ultimate objective. Cochrane report the other day said that, and this is not limited to ratanamab, but regarding amyloid antibody, amyloid antibody reduces amyloid, but cognitive function improvement is not sufficient according to this Cochrane report. In the future, what is your strategy? Will you try to see more improvement in cognitive function Does that mean that preclinical intervention or trial modality used in combination? What is your outlook? So could you share with us how you see the current situation and what your future outlook is? I'm not aware of the report that you've mentioned. The current map, currently I've shown 48-month data earlier. As shown in that data, progression is suppressed and that is seen pathologically plaque is removed but either protofebrile is still toxic and therefore neurodegeneration will advance in the presence of that A-beta reduction and A-beta pathology regarding these we believe that Reconimab is almost the ultimate drug. As far as modalities are concerned, in the future, if small molecule oral drug becomes available, we are also considering such possibilities. And preclinical usefulness, it may also offer preclinical usefulness. So switching to such oral modality may be required in the future. But as you are aware of, the disease is a complex disease, and another major pathological factor is tau. Tau pathology part is also examined with etalvanetag in our case, and we believe that this is important in the propagation, and tau pathology trigger is a beta-protofebrile, a beta-polymers may be also triggering tau pathology. In that case, the Cananab and Zika-Lanotoc in combination may turn out to be useful. So going forward, we would like to pursue these. in our consideration. I would like to also ask Dr. Ido to offer additional response. Thank you. If I may, I would like to offer one additional comment regarding the Cochrane review that you've mentioned. Not only successful antibodies, but in the initial stage, solanezumab included, those targeting monomer, all of the antibodies were included in the analysis. As CEO Mr. Naito explained, our Reconimab has shown significant efficacy in Phase 3 based on human biology, and we would also like to consider translating these results in small molecules in the future. Thank you very much. Are there any questions?

A person in the second row.

The first row from the front, please. This is Suzuki from Nihon Keizai. President Trump, NFM program. Regarding this, what kind of impacts would you see on your business? What kind of scenario are you envisioning regarding this matter? For your question, Mr. Yasuno is going to respond. Thank you very much for your question. I am in charge of a U.S. business. This is Yasuno speaking. Regarding MSN pricing, right? Yes. So far, Trump administration in the United States has announced plans including Medicare Part B, so-called Globe, and for Part D, Guard, and for Medicaid, They have come up with some programs. And for Medicaid, it's a voluntary participation basis. For , they just announced their plan or ideas. Therefore, currently, they are setting up, they have ended the public comment period, and we do not know whether they are going to put forward the final plan. in the case they are going to announce the final plan, what is going to be the contents. We are waiting for further information and collecting information on this. Anyway, once we see more visibility on the U.S. government's plan, we are preparing for such potential initiatives. Therefore, we do not believe that there will be any immediate impact from those plans. We are preparing in order to avoid any immediate impact. So for Medicaid, do you think that you are going to participate in that? Under Medicaid, we do not have many products which are utilized heavily under Medicaid. Therefore, we do not think that we are going to participate into Medicaid voluntarily. Thank you very much. Next question, sir, please. I am Horiguchi from Nikkan Yakugyo. Thank you for the presentation. The time ending March 2026 operating profit decline. I would like to ask question for clarification as to the reason why structural reform costs in Europe was larger than expected. What are the reasons that the structural reform costs increased? As for foregoing the strategic decision to divest the product, could you specify what product? Mr. Oyama will respond. Thank you for your question. As for structural reform costs in Europe, in the beginning of the fiscal year and then since then there were many changes including reimbursement and there were also uncertainties. And what size to implement, there are differences in labor environment and the legal system in each country. So it was very difficult to estimate this very accurately. There was difficulty and also because of the differences in situations that led to bigger than expected structural reform costs. As for out-licensing and divestiture, because these involve potential partners, it's difficult to specify. It's not possible to mention names, but we were considering both in Japan and outside of Japan, and if these are materialized, they would have been significant impact. Some were postponed. Some were foregone completely. Thank you. It's close to the ending time, so we are going to take one last question. All right, those of you who are raising your hand now will be addressed. So the person, please, at the floor. Thank you very much. Tomioka is speaking. If I may go into details, in the reference material, on page 3 and page 9 of the reference slide. For FY25, actual results for pharmaceutical business main products revenue in Japan. Looking at the top ranking, Giseleka, Mobico are listed here. compared to a year earlier, it seems to be growing very significantly. It has been included in the top three. But if you look at page nine, I cannot find Zetica here. So why is it? And Mobico for FY2025 actual results was ranked number six. But forecast for FY2026, it is increased improved to top three, 135.3% increase in profitability. So could you please explain why these are the case? Mr. Yusa is going to explain. Excuse me, Mr. Ike is going to answer your question. Regarding the serica, Let me answer your question about G-Seleka. In Japan, we have a partner, Geriado. We are co-promoting this track with them. So far, we have been reporting track record, actual results. But regarding forecast, because of the partner, we refrain from making any forecast from us. I'm sorry, my understanding is not clear. I'm sorry, I haven't been covering the pharmaceutical company for long, so could you please teach me? When we disclose the forecast for some products which can be determined by Eizai alone, but the others by Eizai alone not. So we are able to disclose the actual result. However, we are not able to disclose any forecast because of the partnering. Understood. And another question is about Mobico. Based on the forecast, it has been increased to the top-ranking products. So how do you analyze, and what is the reason for this? Mr. Yusa is going to respond. Sales of Mobico is increasing. And are you asking about the reason why we see such increase? Yes, I am in charge of a Japanese business. Yusa is saying, regarding constipation market, Goofy's and Mobico, both, grew for fiscal year 2025, the market itself grew significantly, and both of the trucks, compared to competitors' trucks, were very efficacious, and the safety profile was more favorable. So that is highly evaluated. Mobico, at the time of testing, Mobico is utilized together with the testing agent. Therefore, the market is increasing, and compared to other companies' products, Mobico is increasing. I'm sorry again. It is utilized in combination with tests. Could you please explain? The lower digestive tract, Mobicol, colorectal colonoscopy, patients have to excrete. So in such case, Mobicol is utilized for removing the feces. So that's why we are seeing the increase in the sales. Thank you very much. Another question? For the main body of the slide deck, could you please open page eight, cell plurimab, for future development in Japan by the end of fiscal year 2026, ESS muscle cell lung cancer. The submission is planned for FY26 in Japan. Could you please give us timeline for this, if possible? When do you expect to launch this product? For your question, Dr. Ido is going to answer. Sorry, Mr. Yusa is going to respond. Thank you very much for your question. In Japan, regarding cell plurimab, schedule for getting approval is not disclosed yet. Having said that, for the first part of your question about lung cell cancer, ESSCLC, we have obtained favorable data already, so in early course, we believe we will be able to proceed with the development for this indication. Thank you very much. Yes, next question, please. I'm Izawa from Asahi Shimbun. There was an earlier question, a follow-up question about an MFN price in the U.S. What is the impact? Is there going to be an impact of drug laws where there will be fewer new drugs launched in Japan as a result of MFN in the U.S.? Mostly for nation price, we do not know the final outcome yet, but For ASI, in launching new products in Japan, do you expect any impact from MSN price policy in the U.S.? What is your outlook, please? I'm not sure if I understood your question. If you could speak up, I would appreciate it. Sorry, I am Izawa from Asahi Shimbun. I have a question regarding MSN price in the U.S. We do not know the final outcome yet. But if MSN is introduced, does that lead to fewer drugs launched in Japan? That is a concern of some. Regarding the introduction of new products in Japan, what effect do you think there will be from MSN in the U.S.? Do you have any policy to address this? Basically, Shown in our philosophy, so long as there are patients who need drugs, we deliver drugs. That is the mission of pharmaceutical company, and to fulfill that mission, we make all efforts. That is our basic stance. Having said so, regarding life science innovation, the consideration for life-size innovation is appropriate consideration being paid. Depending on the government of each country, the consideration paid, oftentimes in the form of price setting, whether that is appropriate or not, there is a huge debate right now In Japan as well, similar debate should take place. That is what I believe. Between the United States and the UK, as a result of bilateral negotiations, the view of the UK about the consideration for innovation has undergone major change. In Japan, including drug price, the consideration for innovation should be discussed in many ways, in my view. Does this address your question? Yes, thank you. We are conscious of time, so I would like to take this offline later. It is now time to end the briefing session. If you have additional questions, please contact IR or PR section. With that, we would like to end today's presentation session. Thank you once again for your time today.