Phoenix Bio <6190> announced its consolidated financial results for the second quarter of the fiscal year ending March 2025 (April-September 24th year). Revenue decreased by 10.6% year-on-year to 0.788 billion yen, operating loss was 0.098 billion yen (compared to a loss of 0.005 billion yen in the same period last year), ordinary loss was 0.123 billion yen (compared to a profit of 0.045 billion yen), and the net loss attributable to the parent company's shareholders for the interim period was 0.124 billion yen (compared to a profit of 0.027 billion yen).
The demand for PXB mice has shifted from the hepatitis field to the biopharmaceutical field, increasing its use in the development of nucleic acid drugs and gene therapies. However, during this interim consolidated accounting period, there was a noticeable decline in research and development activities, as major overseas pharmaceutical companies, the main customers, frequently cancelled development programs, reorganized staff, and experienced a decrease in research and development activities. Despite having inquiries, orders have been struggling and have significantly fallen below the same period last year, leading to a decrease in revenue due to the reduction in new orders. On the profit and loss side, although sales cost decreased due to a decrease in outsourced projects for commissioned tests, research and development expenses and personnel costs increased, resulting in an operating loss due to the decrease in revenue.
On the same day, the revision of the consolidated performance forecast for the full fiscal year ending March 2025 was announced. Revenue is expected to decrease by 11.3% compared to the previous period (compared to the previous forecast of a 28.3% decrease) to 1.521 billion yen, operating loss of 0.253 billion yen (compared to a profit of 0.214 billion yen in the previous forecast), ordinary loss of 0.277 billion yen (compared to a profit of 21.4 billion yen), and the net loss attributable to the parent company's shareholders for the current period is expected to be 0.281 billion yen (compared to a profit of 0.201 billion yen).
