F3/27 1Q Results: Losses Are on the Large Side, but the Market Had Envisaged a Loss-running Start

Research evidence excerpt

F3/27 1Q Results: Losses Are on the Large Side, but the Market Had Envisaged a Loss-running Start

Update

July 30, 2026 11:36 AM GMT

Morgan Stanley MUFG Securities Co., Ltd.+MJCR Pharmaceuticals (4552) | Japan Shinichiro Muraoka

Equity Analyst

F3/27 1Q Results: Losses Are on Shinichiro.Muraoka@morganstanleymufg.comJaeheon Lee +81 3 6836-5424

Jaeheon.Lee@morganstanleymufg.com +81 3 6836-8443

the Large Side, but the Market

Had Envisaged a Loss-running

Start

JCR Pharmaceuticals (4552.T, 4552 JT)

Pharmaceuticals | Japan

AlphaSignals Earnings Reaction Stock Rating Equal-weight

Industry View In-Line

Unchanged Modest shortfall Largely unchanged Price target ¥500

Impact to our thesis Financial results versus consensus Direction of next 12-month Shr price, close (Jul 30, 2026) ¥504

consensus EPS Mkt cap, curr, basic (bn) ¥62.1

Source: Company data, Morgan Stanley Research Avg daily trading value (bn) ¥0.5

Key Takeaways

Slightly negative for the shares: Earlier-than-planned R&D cost outlays are

slightly concerning. But the market's focus in F3/27 is more on new drug

partnering than near-term earnings.

No change in plans for JR-141 and JR-171 partnering decisions (1 each in 1H and 2H).

We await details on contract terms and partner sales strategies.

With partnering decisions on 2 new drugs still pending, we see little as of today's

release to fuel share price action.

1Q results: OP started the year with a loss of ¥2.1bn (our forecast: ¥100mn loss), as

R&D spending at ¥5.9bn (+¥2.5bn YoY, 30.4% of FY plan for ¥19.3bn) kicked in

much earlier than expected. This in turn reflected earlier cost outlays for global

trials than planned. The firm also didn't rule out the possibility of cost outlays

exceeding plan over the full year. Contract monies of ¥1.47bn (+¥1.37bn YoY) were