Medium-term Management Plan
25-27 Mid-term Management Plan Vision2032 Stage2
"Pioneering the Future with Our Collective Strength"
In accordance with the Alfresa Group's Medium- to Long-Term Vision*1 (hereinafter referred to as the "Medium- to Long-Term Vision"), which was formulated in 2023 and comprises the Group's medium- to long-term business strategy and financial and capital strategies up to the fiscal year ending March 31, 2033, and in accordance with the Group Management Policy, the Group aims to create social value by extending healthy life expectancies, contributing to community healthcare, and fostering healthcare innovation through the implementation of business strategies that strengthen core businesses, cultivate growth businesses, and develop new businesses and through the strengthening and expansion of total supply chain services*2 (hereinafter referred to as the "TSCSs"). Based on the newly formulated 25–27 Mid-term Management Plan, which is the second stage of initiatives aimed at achieving the goals of the Medium- to Long-Term Vision, the Group will evolve existing initiatives and steadily increase profits by executing targeted investments and optimizing costs.
*1Reference: "Notice regarding the Formulation of the Alfresa Group's Medium- to Long-Term Vision," announced on May 15, 2023
*2TSCSs refer to the organic, integrated utilization of the various functions possessed by the Alfresa Group to enable the establishment of a seamless supply chain and the Group's unified provision of services in areas extending from the introduction, development, and manufacture of pharmaceuticals and other products through to their distribution, sales, and post-marketing surveillance.
Group Management Policies
1Exercising the Group's Collective Strength for the Evolution and Expansion of total supply chain services
The Group aims to acquire limited distribution products, expand the contract development and manufacturing organization*3 (CDMO) Business, and operate a stable supply chain by using the Group's collective strength and establishing a total supply chain service model that can handle everything from manufacturing to distribution.
*3This refers to the provision of contract services in areas ranging from the development of drug manufacturing processes through to investigational drugs and commercial manufacturing.
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*1CRO (Contract research organization): Organizations that support clinical development
*2MR (Medical Representative): Salespeople at pharmaceutical manufacturers
*3CDMO (Contract Development and Manufacturing Organization): Contract services ranging from development of manufacturing processes for pharmaceuticals to investigational and commercial manufacturing
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*1Surveys conducted after drugs and medical devices are sold to ensure their quality, efficacy, and safety
2Strategic Investment in Growth Businesses and New Businesses
In addition to investment in growth businesses and new businesses in each business segment, the Group will conduct strategic investments in TSCSs, the regenerative medicine-related business, treatment-adjacent business, and overseas businesses.
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*1SP products: Self-prevention products
*2API: Active pharmaceutical ingredient
3Further strengthening of the competitiveness of core businesses
To enhance its corporate value, the Group will heighten the profitability of core businesses.
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*1GDP:Good Distribution Practice. Basic guidelines aimed at quality assurance in the pharmaceutical distribution process
4Rigorous Cost Control
In an environment of rising logistics, labor and other costs, and annual National Health Insurance (NHI) drug price revisions, the Group will rigorously control costs.
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*A system that uses robots to automate routine tasks.
5Implementing Sustainability Management
By putting its Group Management Policy, "we create and deliver a fresh life for all" into practice, the Group aims to address social and environmental issues in the medical and healthcare fields, contribute to the realization of a sustainable society, and continuously enhance corporate value.
Group Management Targets
| Net sales (fiscal 2027) | ¥3.33 trillion |
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| Operating income (fiscal 2027) | ¥43.5 billion |
| ROE*4 (three-year average): | 7.0% level |
| Investment performance (three-year cumulative total) | ¥120 billion scale |
| Shareholder returns*5 | DOE*6 of 2.5% or higher and progressive dividend |
*4Return on equity
*5Timely and flexible share buybacks
*6Dividend on equity