Kissei Pharmaceutical Co., Ltd.

Basic Information

Stock Code
4547
Industry
Pharmaceuticals
Category Detail
Biotechnology & Pharmaceuticals
Prefecture
Nagano Prefecture
Establishment Year
August 1946
Listing Year
December 1988
Official Website
https://www.kissei.co.jp/
TSE Information
TSE Information
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Overview

Kissei Pharmaceutical Co., Ltd. is a pharmaceutical manufacturing company founded in 1946, with strengths in the urology and kidney disease sectors, and also handles research and development of therapeutic special foods as a domestic mid-tier R&D-oriented manufacturer.

Current Situation

Kissei Pharmaceutical Co., Ltd. recorded consolidated sales of approximately ¥88.3 billion and net profit of approximately ¥12 billion for the fiscal year ending March 2025, maintaining stable business operations. Its core business is R&D of pharmaceuticals in urology, kidney, and dialysis treatment areas, with strengths in proprietary hyperlipidemia drugs and formulations. Centering on medical pharmaceutical manufacturing in the bio-pharmaceutical market, it is expanding its therapeutic special foods business. As an R&D-oriented company, it focuses on new drug development, leveraging its central laboratory and multiple research facilities to create innovative pharmaceuticals. It actively contributes to local communities, primarily in Nagano Prefecture, through cultural support and health promotion initiatives. Moving forward, its growth strategies center on expanding the therapeutic foods market for an aging society and developing new drugs to address unmet medical needs. It is enhancing brand image via TV commercials while aiming for sustainable growth based on stable profitability.

Trivia

Interesting Facts

  • Originally founded in 1946 as Tachibana Chemistry Laboratory
  • Historic pharmaceutical manufacturer headquartered in Matsumoto, Nagano Prefecture
  • High regional recognition through numerous TV Asahi series commercials
  • Pioneering presence in therapeutic special foods
  • Supports local cultural events and health forums
  • Known for employing Paralympic athletes
  • Sponsor of Nagano Asahi Broadcasting's special program 'Kissei Special'
  • Emphasizes R&D with multiple central laboratories
  • Subsidiaries engage in diversified businesses
  • Specialized in medical pharmaceuticals, building long-term trust
  • Focuses on providing product information to medical institutions
  • Contributes to local economy as a regional company
  • Active in environmentally considerate plant operations
  • Brand message: 'Looking toward tomorrow's health - Kissei Pharmaceutical'
  • Steadily growing as a mid-tier player in Japan's pharmaceutical industry

Hidden Connections

  • Acquired naming rights for Matsumoto's cultural facility 'Kissei Bunka Hall' to contribute to the region
  • Built strong networks with diverse medical institutions and welfare facilities in Nagano Prefecture
  • Diversified management with subsidiaries in IT and construction
  • Official sponsor of local sports team Matsumoto Yamaga FC
  • TV commercial sound logo '♪Kissei, Yakuhin♪' widely recognized locally
  • Paralympic alpine skier Taku Misawa active as company employee
  • Sponsor of Nagano Asahi Broadcasting's original documentary 'Kissei Special'
  • Established unique path amid fierce competition with Tokyo Stock Exchange-listed pharmaceutical makers

Future Outlook

Growth Drivers

  • Expansion of therapeutic special foods demand due to aging population
  • Growth in pharmaceutical market for urology and kidney diseases
  • Acceleration of new drug development as R&D-oriented company
  • Improved research efficiency through digital technology utilization
  • Synergy between regional base strengthening and social responsibility activities
  • Enhanced compliance with international pharmaceutical regulations
  • Product development through deepened collaboration with medical institutions
  • Revenue stabilization through diversified business expansion
  • Market expansion via improved brand recognition
  • Promotion of sustainable environmentally considerate management
  • Improved talent acquisition through better working environment
  • Flexible response to changing corporate customer needs

Strategic Goals

  • Strengthen mainstay product lineup through new drug development
  • Double sales in therapeutic special foods business
  • Achieve sustainable environmental load reduction targets
  • Realize digital transformation
  • Continue coexistence and contributions with local communities
  • Strengthen risk diversification through business diversification
  • Advance formulation technology and improve quality
  • Promote employee diversity and enhance expertise
  • Enhance shareholder value through stable dividend policy
  • Improve products through broad collaboration with medical institutions

Business Segments

Pharmaceutical R&D Support

Overview
Provides test APIs and formulations for new drug development by pharmaceutical companies, along with research support.
Competitiveness
Excels in long-standing R&D expertise and development support capabilities
Customers
  • Domestic and international pharmaceutical companies
  • Biotechnology companies
  • Public research institutions
Products
  • Pharmaceutical APIs
  • Bioactive substances
  • Clinical trial formulations

Therapeutic Special Foods Business

Overview
Manufactures special foods for elderly and patients under care, supplying to care and medical sites.
Competitiveness
Product development tailored to medical site needs
Customers
  • Care facilities
  • Medical institutions
  • Elderly food wholesalers
  • Pharmacies
Products
  • Protein-adjusted foods
  • Nutritional supplements
  • Care-use rice products

Medical Equipment-Related Manufacturing

Overview
Manufactures and provides medical equipment-related materials at formulation plants to support pharmaceutical production.
Competitiveness
Established high-quality pharmaceutical manufacturing system
Customers
  • Medical equipment manufacturers
  • Medical facilities
  • Pharmaceutical manufacturers
Products
  • Formulation packaging materials
  • Medical site consumables

IT and System Solutions Provision

Overview
Provides customized IT solutions for the pharmaceutical industry.
Competitiveness
Abundant track record in industry-specific development
Customers
  • Pharmaceutical companies
  • Medical institutions
  • Related companies
Products
  • Pharmaceutical management systems
  • Logistics traceability systems
  • Information security services

Trading Company and Insurance Agency Business

Overview
Provides medical-related equipment and insurance products through Kissei Shoji.
Competitiveness
Broad sales channels and customer base
Customers
  • Medical institutions
  • Corporate customers
  • Local general public
Products
  • Medical equipment sales
  • Insurance agency services
  • Health food sales

Real Estate Leasing and Management Business

Overview
Conducts leasing and management of medical facilities and offices through subsidiaries.
Competitiveness
Real estate management closely tied to the medical industry
Customers
  • Medical-related companies
  • Local businesses
  • General tenants
Products
  • Office building leasing
  • Real estate management services

Chemical Laboratory Operations

Overview
Conducts advanced chemical R&D at the Joetsu Chemical Laboratory.
Competitiveness
Presence of specialized team supporting drug discovery
Customers
  • In-house R&D division
  • External research institutions
Products
  • New chemical substance development
  • Material evaluation

Formulation Plant Operations

Overview
Mass-produces high-quality pharmaceutical formulations at Matsumoto and Shiojiri plants.
Competitiveness
Processing and production capabilities for diverse dosage forms
Customers
  • In-house pharmaceutical business
  • Consignment manufacturing from other companies
Products
  • Various dosage form pharmaceuticals manufacturing
  • OEM manufacturing consignment

Logistics and Distribution Services

Overview
Handles pharmaceutical distribution management and stable supply.
Competitiveness
Strict temperature control and traceability
Customers
  • Medical institutions
  • Pharmacies
  • Wholesalers
Products
  • Pharmaceutical transportation
  • Warehouse storage
  • Quality-controlled logistics

Healthcare Product Development

Overview
Provides products specialized for care and elderly markets.
Competitiveness
Product development based on scientific evidence
Customers
  • Care facilities
  • Health-conscious consumers
  • Medical institutions
Products
  • Nutritional supplements
  • Functional foods

Clinical Development Support Services

Overview
Provides support services for the clinical phase of new drug development.
Competitiveness
Abundant track record and reliability
Customers
  • New drug development companies
  • Research institutions
Products
  • Clinical trial design
  • Data management

Environmental and Safety Management Services

Overview
Supports environmental and safety management for pharmaceutical plants.
Competitiveness
Specialized know-how and regulatory compliance capabilities
Customers
  • Pharmaceutical-related companies
  • Plant operators
Products
  • Waste disposal
  • Safety management guidance
  • Environmental consulting

Competitive Advantage

Strengths

  • R&D capabilities specialized in specific fields
  • Accumulated formulation technology and quality control over many years
  • Strong ties with local communities
  • Stable revenue base from diversified businesses
  • Established trust in the pharmaceutical industry
  • Rich experience and management capabilities of executives
  • Solid financial position
  • Comprehensive research facilities
  • Versatility in addressing wide treatment areas
  • Good relationships with medical institutions
  • Corporate brand enhancement through social contribution activities
  • Market share in specific areas
  • Dual business of pharmaceuticals and special foods
  • Stable funding structure
  • Excellent formulation consignment capabilities

Competitive Advantages

  • Specialized pharmaceutical provision in urology and kidney disease fields
  • Mid-tier domestic share in hyperlipidemia treatments
  • Market expansion power through therapeutic special foods development
  • Promoting new drug development as an R&D-oriented company
  • Strong regional base centered in Nagano Prefecture
  • Brand awareness improvement via TV commercials
  • Risk diversification through multifaceted business portfolio
  • Expansion of trading, IT, and construction businesses via subsidiaries
  • OEM supply strength based on high-quality formulation technology
  • Shareholder support through stable dividend policy
  • Strengthened collaboration with specialized medical institutions
  • Environmental considerations for sustainable operations
  • Rapid product commercialization via flexible R&D structure
  • Talent development within company and region
  • Cultural and health support activities integrated with local community

Threats

  • Intensifying competition in domestic pharmaceutical market
  • Price pressure from generic drug expansion
  • Policy risks such as drug price revisions
  • Decline in competitiveness due to delays in technological innovation
  • Market entry by global pharmaceutical companies
  • Increased development costs from stricter regulations
  • Market environment fluctuations from emerging infectious diseases
  • Difficulties in talent acquisition
  • Rising costs from exchange rate fluctuations
  • Risk of delayed R&D investment recovery
  • Changes in medical needs due to aging population
  • Risk of patent infringement by competitors

Innovations

2023: Initiates clinical trials for new hyperlipidemia treatment drug

Overview
Started Phase 2 clinical trials for proprietary next-generation hyperlipidemia treatment drug.
Impact
Expected to enhance market competitiveness and drive sales growth

2022: Develops new therapeutic special food product

Overview
Developed and commercialized protein-adjusted foods specialized for elderly nutritional management.
Impact
Expands product lineup in the care market

2024: Introduces AI technology to improve research efficiency

Overview
Introduced AI-based automation system for drug discovery research processes.
Impact
Achieves shorter research timelines and cost reductions

2021: Starts operations at low-environmental-impact formulation plant

Overview
New plant with energy-saving equipment begins operations.
Impact
Reduces CO2 emissions and establishes sustainable manufacturing

2020: Develops remote medical support system

Overview
Developed IT system for remote sharing of drug information with medical institutions.
Impact
Contributes to efficiency improvements in medical settings

Sustainability

  • Reducing waste and promoting recycling in pharmaceutical processes
  • Promoting regional medical support activities
  • Introducing energy-efficient equipment
  • Promoting employment of disabled persons and diversity
  • Strengthening compliance through whistleblower system
  • Establishing environmental management system
  • Hosting local health awareness events
  • Promoting sustainable raw material procurement
  • Adopting resource-saving packaging materials
  • Raising environmental awareness through in-house education
  • Increasing ratio of female managers
  • Preparing regional support systems for disasters