A recent antitrust ruling will force Takeda to revise its financials for 2025, with the pharmaceutical company expected to report a loss of 152 billion yen ($949.37 million) for the fiscal year.
Last month, a federal jury in Boston found the Japanese drugmaker liable in a delay damages class action lawsuit and ordered Takeda to pay at least $885 million in damages. Although the amount of damages has not yet been finalized, the total amount Takeda must pay under antitrust laws will automatically be tripled, potentially resulting in a liability of approximately $2.5 billion.
Although Takeda intends to “proceed vigorously” with post-trial motions and appeals, as well as withholding the verdict, the jury’s verdict forces the company to record an additional 402.5 billion yen ($2.5 billion) “legal proceedings reserve” on its full-year 2025 income statement, covering April 2025 to March 2026.
“We intend to appeal the recent U.S. jury verdict that provides legal process provisions for our fiscal year 2025 reported earnings,” Chief Financial Officer Milan Furuta emphasized in a recent company press release. “This matter does not change our fundamental business momentum or our outlook for fiscal 2026.”
As a result of the accusations, Takeda’s net profit, which it had originally reported as 192 billion yen ($1.19 billion), was adjusted to a loss of 152 billion yen ($949.17 million). Takeda’s total annual revenue remains unchanged at 4.5 trillion yen ($28 billion).
Last month’s ruling was the first time a jury has found a pharmaceutical company liable in an antitrust case for delay damages. The lawsuit, filed in 2021 by pharmacies, health funds, insurance companies and retailers, alleges that Takeda colluded with competitors to delay the entry of generic versions of the laxative drug Amitiza, forcing them to overpay for the drug.
The judgment will award $475 million in damages to direct purchasers and $347 million in damages to individual retailers, a figure that could triple when final judgment is entered.
The company no longer sells the drug because its licensing agreement with former partner Sucampo Pharmaceuticals expires in 2024. Takeda and Sucampo reached a $210 million settlement with Par Pharmaceuticals in 2014 that delayed the release of generic versions of the drug from Par and others approved in 2006 until 2021.
In a statement after the ruling, Takeda said, “We remain committed to the belief that the plaintiffs’ lawsuit is without merit, and we will vigorously pursue post-trial motions and appeals.” “We also believe there were evidentiary and legal errors made during the trial. We are disappointed in this outcome, but grateful for the jury’s hard work.”
Takeda said in a June 5 release that the company “continues to evaluate” the potential financial impact of the lawsuit, and a verdict is expected later this year, “with further litigation to follow.”
When the Japanese pharmaceutical company released its full-year financial report just days before the ruling, it projected sales of 4.64 trillion yen ($28.9 billion) for fiscal 2026. As Furuta said, the company is “at a tipping point,” with three major launches planned for next year: the narcolepsy treatment obepolexton, the polycythemia vera candidate lusfertide, and the psoriasis drug zasocitinib.
Meanwhile, the company’s ongoing “transformation program” is expected to save more than 200 billion yen ($1.26 billion) a year by 2028, with around 4,500 roles cut in fiscal 2026, Takeda reported last month.
