TAK Filings — Takeda Pharmaceutical Company Limited - FilingSpy
TAK
Takeda Pharmaceutical Company Limited
A maker of medicines for the gut, cancer, and rare diseases, Takeda is one of the world's largest pharmaceutical companies. Its drugs include Entyvio for Crohn's disease and ulcerative colitis, and it sells treatments across dozens of countries. Founded in Osaka in 1781 by Chobei Takeda, it began as a small shop selling herbal remedies in the city's medicine district before moving into Western drugs and manufacturing. The name simply comes from its founding family, who guided the firm for generations before it grew into a global player.
20-F · Fiscal year ended Mar 31, 2026 · SEC filing ↗
Operating profit collapsed 98.2% to JPY 6.2B as a JPY 403.5B legal provision for the AMITIZA antitrust verdict overwhelmed the business.
A single litigation charge erased nearly all . fell 1.7% to JPY 4,505.7B and operating income dropped to just JPY 6.2B, entirely because of a JPY 403.5B provision for the AMITIZA antitrust case. The underlying business grew, but the verdict leaves the company managing a heavy debt load and a leadership transition from a weakened position.
Key takeaways
fell 98.2% to JPY 6.2 billion, driven by a JPY 403.5 billion provision recorded in other operating expenses for the AMITIZA antitrust litigation verdict, which caused total other operating expenses to rise 170.4%.
declined 1.7% to JPY 4,505.7 billion, as a 42.0% drop in VYVANSE/ELVANSE sales from U.S. generic erosion outweighed growth in other products.
Growth & Launch Products rose 5.1% to JPY 2,313.3 billion, led by ENTYVIO (up 4.8% to JPY 958.0 billion) and the immunoglobulin portfolio (up 4.3%), partially offsetting the Neuroscience decline.
What changed
The VYVANSE erosion flagged in FY2024 and FY2025 materialized as a 42.0% decline, driving the overall revenue drop and confirming the rapid pace of generic competition.
ENTYVIO growth decelerated from 14.1% in FY2025 to 4.8% in FY2026, even as it faces confirmed U.S. Medicare price negotiation effective January 2028 and a looming loss of exclusivity later this decade.
The multi-year efficiency program continued, with restructuring charges incurred, and a new phase was announced expecting JPY 170.0 billion in FY2027 expenses, escalating the cost and duration of the effort.
What to watch
The outcome of any appeal or final resolution of the AMITIZA antitrust litigation and its impact on the company's cash position and debt covenants.
ENTYVIO trajectory and the specific Medicare-negotiated price, given its decelerating growth and the effective date of January 2028.
Progress of late-stage pipeline assets zasocitinib and oveporexton toward regulatory submission, as their success is critical to offsetting the TRINTELLIX patent expiry in December 2026 and the eventual ENTYVIO loss of exclusivity.
Section summaries
Quantitative and Qualitative Disclosures About Market Risk
We are exposed to market risks primarily from changes in foreign currency exchange rates, interest rate changes and changes in the value of our investment securities. The information required under this Item 11 is set forth in Note 26 to our audited consolidated financial statem…
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We are exposed to market risks primarily from changes in foreign currency exchange rates, interest rate changes and changes in the value of our investment securities. The information required under this Item 11 is set forth in Note 26 to our audited consolidated financial statements included in this annual report.
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Table of Contents
Key risks include ENTYVIO's upcoming U.S. Medicare price negotiation, major patent expiries, pipeline setbacks, and global pricing reforms.
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R&D expenses decreased 7.4% to JPY 675.9 billion due to program terminations, co-development funding, and efficiency savings, while losses rose JPY 34.2 billion, including JPY 58.2 billion for a discontinued cell therapy platform.
The company announced a new restructuring phase expecting JPY 170.0 billion in expenses for FY2027 and maintained liquidity of JPY 1,286.2 billion with an of 2.6x.
Pipeline setbacks flagged as a risk materialized, with the discontinuation of cell therapy efforts and soticlestat's Phase 3 misses leading to JPY 90.1 billion in charges, including a JPY 58.2 billion charge for the cell therapy platform.
Execution and total cost of the new restructuring phase, with JPY 170.0 billion in expected FY2027 expenses, and its effect on operating margins amid a major leadership transition.
ENTYVIO, Takeda's top-selling product, was selected for U.S. Medicare price negotiations under the Inflation Reduction Act effective January 2028, which could materially impact sales.
Generic competition for VYVANSE has already eroded sales, and TRINTELLIX (JPY 121.8B in FY2026 ) faces patent expiry in December 2026, with ENTYVIO's exclusivity ending later this decade.
Pipeline failures, including the discontinuation of cell therapy efforts and soticlestat's Phase 3 misses, led to JPY 90.1B in in FY2026, highlighting R&D uncertainty.
Global pricing pressures are intensifying from Japan's annual drug price revisions, EU pharmaceutical reform, and potential U.S. Most Favored Nation pricing, threatening across all major markets.
The company's substantial debt of JPY 4,881.8B and a major leadership transition, including a new CEO and a transformation program expected to incur JPY 170.0B in in FY2027, present financial and operational risks.
Takeda is a global R&D-driven biopharmaceutical company focused on GI, neuroscience, oncology, and plasma-derived therapies/vaccines.
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Six key business areas—GI, Rare Diseases, PDT, Oncology, Vaccines, and Neuroscience—generated 95.0% of total in FY2026.
ENTYVIO is the top-selling product (JPY 958.0B ) and the subcutaneous formulation is driving increased patient uptake.
The pipeline is advancing with late-stage assets like zasocitinib (psoriasis) and oveporexton (narcolepsy type 1), both with positive Phase 3 data and upcoming regulatory submissions.
Takeda operates a global plasma donation network of over 270 centers to secure raw material for its Plasma-Derived Therapies business.
The company is embedding AI across its value chain to accelerate drug discovery and improve operational efficiency.
ENTYVIO was selected for U.S. Medicare price negotiations under the Inflation Reduction Act, with negotiated prices effective January 2028.
Revenue fell 1.7% to JPY 4,505.7B and operating profit plunged 98.2% to JPY 6.2B, driven by a JPY 403.5B legal provision.
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Consolidated declined 1.7% AER to JPY 4,505.7 billion, primarily due to a 42.0% drop in VYVANSE/ELVANSE sales from generic erosion in the U.S.
collapsed to JPY 6.2 billion from JPY 342.6 billion, as a JPY 403.5 billion provision for the AMITIZA antitrust litigation verdict caused other operating expenses to surge 170.4%.
Growth & Launch Products rose 5.1% to JPY 2,313.3 billion, led by ENTYVIO (up 4.8%) and immunoglobulin brands (up 4.3%), partially offsetting Neuroscience declines.
R&D expenses decreased 7.4% to JPY 675.9 billion due to program terminations, co-development funding, and efficiency savings, while rose JPY 34.2 billion, including JPY 58.2 billion for a discontinued cell therapy platform.
The company announced a new restructuring phase, expecting JPY 170 billion in expenses for FY2027, and maintained liquidity of JPY 1,286.2 billion with an adjusted to ratio of 2.6x.