Messages from Management TeamMessage from COO

澤井 光郎

I would like to explain the direction of the Sawai Group's management execution.

Business Environment Surrounding Sawai Group

We expect that people will increasingly value the prevention of disease and the pre-disease state, which is the state between the healthy and illness condition, as medical finances worsen with the progression of an aging society. In addition to that, we expect innovations, such as new modalities, AI, and robots, will advance as technology evolves.

In light of this environment surrounding Sawai Group, we have drawn up a vision for the future that we want to aim for by FY2030, and we have formulated a new medium-term management plan for the first three years toward realizing that vision.

Our Long-term Vision, “Sawai Group Vision 2030”

The world that we want to create by fiscal year 2030 is a world where more people can receive healthcare services and live a full life with peace of mind. We hope to continue contributing to people's health by providing products and services based on scientific evidence that meet individual needs.

In terms of figures, we aim to achieve groupwide sales in FY2030 of 400 billion yen, which is approximately more than double the current amount. At 100 yen to the dollar, that's $4 billion, and ROE (Return On Equity) of more than 10%. This is comprised of $2.6 billion from the Japanese generics business, $600 million from the US business and $800 million from new businesses.”

Our Medium-term Business Plan, “START 2024”

We formulated a new medium-term management plan, named "START 2024," as a growth strategy to realize our vision for 2030. There are three main pillars for our key strategies. The first is to expand our share in the Japanese generics market. The second is to invest in future growth in the U.S. business. The third is to develop new growth areas by entering new businesses.

As a leading company in the generics industry, we will further refine our quality reliability, stable supply capabilities, and our ability to develop new products to steadily expand our share in the generics market in Japan, which is the Group's core business. With regard to the U.S. business, which is the second key strategy, we will promote sustainable, long-term growth by focusing on generic drugs and small branded drugs that can leverage our unique sales capabilities as a specialty generics company. As the third pillar of our new medium-term management plan strategy, we will boldly take on the challenge of new businesses that can leverage the strengths we’ve cultivated in our existing business. In particular, we will focus on investing a total of $300 million over the next three years in the three areas of new drugs targeting orphan diseases, digital medical devices, and health foods.

With each Group company working together to steadily realize the new long-term vision and the new medium-term business plan, we will strive to contribute to the health of as many people as possible as a healthcare company centered on the generic drugs business.

Kazuhiko Sueyoshi
Kazuhiko Sueyoshi