ROHTO Pharmaceutical recorded fourth-quarter operating income of 7.5 billion yen, a figure that exceeded management forecasts by 4.1% yet came in below the external consensus of 8.4 billion yen, according to a Jefferies equity research note released on Tuesday.
On a consolidated basis, the company reported a 9.6% year-over-year increase in sales for the quarter, while operating profit expanded 8.1%. Operating margins were reported at 8.3%, a slight decline of 0.1 percentage points compared with the prior period.
Improvement in the consolidated cost of goods sold ratio was noted for the quarter, a change Jefferies attributed to higher utilization rates as production responded to sales growth in Asian markets.
Brand-level performance varied across the portfolio. Hada Labo delivered the strongest growth among the listed brands with a 14% increase in sales during the quarter. Obagi sales rose 16.2%, a gain that reflected initial shipments. Melano CC posted 4.9% growth.
Regional sales trends showed differentiated strength across markets. Sales at the parent company in Japan expanded in the high single digits. China contributed early single-digit growth, while Hong Kong rose in the mid-single digits. Southeast Asian markets performed more strongly, with Indonesia up in the high teens and Vietnam posting mid-teens growth.
Looking ahead, ROHTO provided guidance for fiscal year 2027 calling for 7.5% sales growth and 6.5% operating profit growth. The company also announced an increase to its dividend. Management is scheduled to hold a briefing on Thursday to discuss results and outlook.
This report is based on the figures and commentary contained in the Jefferies equity research note and the company disclosures cited therein.