SymBio Pharmaceuticals

Portfolio update

Accelerating its growth strategy

Pharma & biotech
30 November 2015

SymBio recently acquired the exclusive rights to develop and market
IONSYS, a fentanyl iontophoretic transdermal system for acute post-operative
pain, in Japan. Treakisym is nearing a decision on additional indications
and development is again moving ahead for rigosertib. With a thirdPrice¥202.00

Market cap¥6,545m

product in its development portfolio, we believe SymBio has theconfidence to accelerate its in-licensing programme on its quest to
become the pharmaceutical partner of choice in Asia-Pacific.

Net cash (¥m) at end Q215

5,592

Shares in issue

32.4m

Free float

67%

Code

4582

Primary exchange

Tokyo

Secondary exchange

N/A

Year end

Revenue
(¥m)

PBT*
(¥m)

EPS*
(¥)

DPS
(¥)

P/E
(x)

Yield
(%)

12/13

1,532

(1,605)(69.42)

0.0

N/A

N/A

12/14

1,955

(1,116)(36.39)

0.0

N/A

N/A

12/15e1,951(2,520)(77.93)

0.0

N/A

N/A

12/16e2,140(2,096)(64.83)

0.0

N/A

N/A

¥121/$

Share price performance

Note: *PBT and EPS are normalised, excluding intangible amortisation and exceptional
items.

SymBio adds pain management to its portfolio
SymBio recently acquired exclusive rights to develop and market IONSYS, apatient-controlled fentanyl iontophoretic transdermal system in Japan, for $10m
upfront plus undisclosed milestones and royalties. We believe IONSYS has a highprobability of success – low regulatory risk, a large target market, positive clinicalexperience and clear competitive advantages over existing patient-controlled
analgesia for post-operative pain based on a conventional electrical infusion pump.
IONSYS diversifies, and in our view, de-risks SymBio’s development portfolio.

%

1m

3m

12m

Abs

(6.5)

(9.0)

(48.5)

Rel (local)(9.5)(14.4)(55.0)

52-week high/low

Treakisym label expansion filing moves ahead
Upside sales from additional indications for Treakisym account for 14% of our riskadjusted valuation for SymBio. SymBio plans to file supplemental NDAs (sNDA) for
marketing approval in Japan in Q116 for first-line iNHL and CLL. EU regulatory
approval of the first-line iNHL indication now expected in the next few months.

Rigosertib development moving ahead
Rigosertib development awaited the new approval of a new global Phase III trial
design, filed by SymBio’s US partner, Onconova Therapeutics, with the US FDA
and European regulatory authorities following the disappointments of the earlier
Phase III ONTIME trial. The new pivotal Phase III trial (INSPIRE) is due to start
imminently and interim data are expected in H117, which will help to refine
SymBio’s future strategy and clinical trial plans in Japan.

Valuation: Risk-adjusted NPV of ¥608 per share
We value SymBio at ¥19,687m ($163m) or ¥608 per share, based on a riskadjusted NPV analysis. Our rNPV includes ¥5,592m ($47m) net cash, Treakisym,
rigosertib and IONSYS. Our preliminary risk-adjusted NPV for IONSYS is ¥4,996m($42m) or ¥154/share. Before the IONSYS acquisition, our valuation was ¥14,135m
or ¥461/share, based on a risk-adjusted NPV, which included ¥4,798m net cash.

¥393.0¥192.0Business description
SymBio Pharmaceuticals is a Japanese specialty
pharma company with a focus on oncology,
haematology and pain management. Treakisym
was in-licensed from Astellas in 2005. Rigosertib
was in-licensed from Onconova and IONSYS wasin-licensed from The Medicines Company.

Next events
INSPIRE phase III trial first
patient enrolment

Q415

Treakisym expanded indications
EU approval
Updated financial guidance

Q415/Q116
February 2016

Analysts
Beth Senko, CFA+1 646 653 7033

Dr Philippa Gardner+44 (0)20 3681 2521

Christian Glennie+44 (0)20 3077 5727

healthcare@edisongroup.com
Edison profile page

SymBio Pharmaceuticals is a research client of Edison Investment Research LimitedUpdate: Strengthening its expansion story
SymBio was established in 2005 with the aim of becoming a specialty pharma company focused on
addressing high unmet medical needs in Asia-Pacific. SymBio’s primary strategy is to in-license
assets with proof-of-concept (Phase II) data for development and commercialisation in Asia-Pacific,
removing the need for investment in early-stage R&D. As the company grows, management has
indicated it may consider assets that are in earlier stages of development, particularly if it is able toacquire global marketing rights.
By targeting US and European drug candidates with proof-of-concept data, SymBio reduces earlystage drug discovery costs and risks. In Japan and Asia, it may be possible to use pivotal Phase II'bridging' studies to confirm overseas findings, building on existing efficacy data and confirming
safety in Asian patients without the need for costly Phase III trials. This enables SymBio to moveswiftly through development, often with a moderate capital outlay. SymBio is focused on a numberof disease areas, often orphan or niche indications that may fall below the radar of larger specialty
or Asian pharma companies.
SymBio has completed four licensing deals, of which three are on the market or in active
development. The company initially focused on the oncology and haematology markets. Its first inlicensing asset, Treakisym (bendamustine) is currently marketed in Japan for r/r iNHL/MCL withlaunches for r/r iNHL and other indications in Hong Kong, Singapore, Korea and Taiwan. In Japan,
additional indications are under development, including first-line iNHL/MCL, CLL and r/r aggressive
NHL/MCL. The second asset, rigosertib, is being developed for both higher- and lower-risk
myelodysplastic syndromes.
SymBio out-licensed marketing of Treakisym to select commercial partners as a way to generatecash to support further development opportunities. SymBio currently plans to market rigosertib,IONSYS and any new in-licensed product by building out its own commercial infrastructure. Inlicensing additional assets will be key to driving future operating leverage.
In addition, as SymBio gains experience, it is venturing into opportunities where it can acquire a
product with distinct competitive advantages. In October, SymBio expanded its portfolio into pain
management, acquiring exclusive rights to develop and market IONSYS, a patient-controlled
fentanyl transdermal system in Japan, for $10m upfront plus undisclosed milestones and royalties.
The first nine months of 2015 were much quieter for SymBio than expected. Management had tocontend with regulatory and clinical development delays and a heated market for identifying
attractive in-licensing candidates. Regulatory approvals for additional Treakisym indications have
not yet materialised, delaying development for these additional indications in Japan and pushingupside sales further into late 2016 or early 2017. Rigosertib development awaited new approval of a
new global Phase III INSPIRE trial design following the disappointments of Onconova’s earlier
Phase III ONTIME trial. Finally, came our expectation of new in-licensing deals during late 2014 toearly 2015. We believe that SymBio’s stringent screening criteria help generate the right balance ofrisk/reward for the company at any specific time; however, we believe that valuations in 2015 may
have limited the ability to identify deals.
With the recent pullback in biotech valuations, and several years of laying the groundwork as astrong in-licensing partner for Asia-Pacific, we believe that SymBio is seeing greater potential deal
flow which should lead to more licensing opportunities. Management has also expressed an interestin evaluating potential transactions from an earlier stage. While we expect the company to take thesame cautious approach to earlier-stage candidates as it has with its other transactions, we believe
it will help provide visibility on sales growth beyond the 2020-23 timeframe.

SymBio Pharmaceuticals | 30 November 2015

2

IONSYS: A new pillar for growth
SymBio recently acquired an exclusive licence in Japan to develop and market IONSYS, a patientcontrolled fentanyl iontophoretic transdermal system for the short-term management of acute postoperative pain. The acquisition diversifies SymBio’s portfolio into a large, well-established market
with a product that is highly differentiated and has significant cost and clinical advantages overexisting technology.
IONSYS reflects an expansion in SymBio’s original focus on oncology and haematology and into
the broader market of pain management. Management has indicated in the past that it is open to
new therapeutic classes as long as a prospective in-licensing opportunity meets the company’s
undisclosed screening criteria. We believe SymBio views IONSYS as a market-changing productdue to its credit-card sized, needle-free design that does not require the patient to be tethered to an
IV line and other equipment. We also believe IONSYS will be fairly straightforward to commercialise
and it will help reinforce SymBio’s presence as a strong development and commercial partner for
Asia-Pacific, in addition to diversifying risk.
Patient-controlled analgesia (PCA) infusion pumps have been widely used since the late 1980s.
Data from Hospira suggest that some 100,000 pumps are in use globally (2012). The pumps areused primarily to alleviate pain for a day or two following inpatient surgery. The pumps contain asyringe of pain medication (usually an opioid) and are connected to a patient’s IV line. The pump is
programmed to allow patients to administer a dose of medication whenever they feel pain. The
pumps include several safety features to prevent an overdose. IV PCA pumps have a number ofdownsides including high equipment and nursing costs and risks of medical errors and patient
infection.
Exhibit 1: IONSYS vs PCA pumps
IV PCA
Effectiveness

SafetySimplicity
Mobility
Infection risk

Programming skill required (error prone)
Drug dilution required
Medication refill errors
Time consuming set up (power cable/tubing)May require nursing help
IV can be dislodged
Invasive

IONSYS
Superior performance of fentanyl compared with SOC
Equal to or superior to IV PCA
Fewer analgesic gaps
Simplified pre-programming/minimal setup
Smaller overall opioid-related adverse event burden
No drug dilution required
No set up (two components snap together)
No hardware or maintenanceImproved post-operative mobility
Needle-free and disposable

Source: Edison Investment Research

The IONSYS fentanyl iontophoretic transdermal system does not require needles, pumps, catheters
or intravenous (IV) pump stands to manage post-operative pain. Being needle-free, this treatment
eliminates the risk of needle-stick injuries and infection due to analgesic administration with IV PCA.
This system has the potential to make the administration of post-operative pain management a lesstime-consuming task for healthcare professionals and less invasive for patients.
IONSYS was originally marketed in Europe by ALZA Corporation (a wholly-owned subsidiary ofJohnson & Johnson) from 2006-08. In 2008, the product was voluntarily recalled over concerns
about potential corrosion inside the device, which could lead to a malfunction. ALZA pursued aredesign of the controller, and after securing WW rights from ALZA, Incline Therapeutics continued
with the development and improvement of IONSYS before being acquired by The Medicines
Company. A redesigned IONSYS received US FDA approval in April 2015 and EU approval on 20
November 2015. SymBio is targeting an accelerated path to regulatory approval given that IONSYS
has already completed a Phase I study in Japanese healthy volunteers. SymBio will conduct
additional bridging studies to file an NDA with an expected launch in 2019.

SymBio Pharmaceuticals | 30 November 20153

We see IONSYS as a relatively low-risk acquisition with a proven technology, large potential patient
population and significant cost and clinical benefits over existing technologies.
Our preliminary peak sales number of ¥6,500m ($55m) for IONSYS in Japan is based on the rate ofpost-surgical PCA use in the US (1.4m patients in a US population of 311m). This is discounted toreflect studies from the European Society of Medical Oncologists (ESMO) suggesting that postsurgical opioid use is much lower in Japan than other developed countries. While the company has
not announced definitive plans, we expect that SymBio will seek to market IONSYS through its own
salesforce.

Treakisym and rigosertib: Moving ahead after delays
Treakisym is approved for r/r iNHL/MCL patients in Japan and SymBio (through its partnership with
Eisai) sold an estimated ¥4,315m ($35m) in 2014. This number is expected to grow 5-6% pa until
2020 when the patent expires.
Treakisym in first-line iNHL: SymBio completed pivotal development in first-line iNHL in 2014 and
SymBio plans to file these data in Q116. Bendamustine, is under review in Europe for first-line iNHL
with data from the StiL study demonstrating a PFS (progression free survival) of 69.5 months forpatients treated with BR (bendamustine + rituximab), significantly longer than 31.2 months for RCHOP (rituximab/Rituxan in combination with CHOP chemotherapy: cyclophosphamide,
doxorubicin, vincristine, and prednisone). The BRIGHT study demonstrated that BR was noninferior to R-CHOP in terms of complete response rate (31% vs 25%, respectively, p=0.0225).
A year ago, SymBio believed EU approval would occur in late 2014/early 2015, but the EU approval
process has taken considerably longer than expected. The delay does not appear to stem from any
issues with the submission, but instead due to a very long and detailed regulatory process.
However, after delays, the regulatory process appears to be moving ahead and SymBio believes adecision on label expansion will be made in the next few months. SymBio plans to file a
supplemental NDA (sNDA) in Japan in parallel with EU approval in Q116 which could materiallyexpand Treakisym’s potential, given this is a patient market of 7,100, which is c 50% larger than thecurrently approved r/r iNHL indication with an estimated patient population of 4,700. Furthermore,
there are generally more treatment cycles per patient in first-line iNHL (six cycles in first-line iNHL
vs four to five cycles in r/r iNHL).
Treakisym in CLL: A pivotal Phase II CLL trial has been completed with plans to file the sNDA in
Q116. CLL is already approved in both the US and Europe, so we believe this indication has a highchance to also gain approval in Japan.
First-line iNHL and CLL could more than double current sales: Together, we believe that sales
in both first-line iNHL and CLL could reach ¥8,151m by 2020 if Treakisym can achieve a similar
50% market share as in r/r iNHL.
Treakisym in r/r aggressive NHL: SymBio has also completed development in r/r aggressive NHL(a patient population of 6,700 in Japan) in 2012. However, filing has been delayed owing todiscussions with regulators. It is possible that approval will only be granted subject to conducting an
additional comparative trial. However, we think it is unlikely that SymBio will invest in further
development in r/r aggressive NHL owing to expiry of market exclusivity in 2020. Hence we do notinclude a contribution from this indication in our valuation. If this indication can be approved, it could
add ¥3,000-5,000m in sales.
Rigosertib: SymBio in-licensed rigosertib (IV and oral formulations, Japan and Korean rights) from
Onconova in 2011 for myelodysplastic syndromes (MDS), a rare blood cancer; it is partnered with
Baxalta (formerly the bioscience business of Baxter International) in Europe for higher-risk
myelodysplastic syndromes (HR-MDS). Following discussions between Onconova and regulatory
agencies, development of rigosertib is moving forward with the imminent start of the new pivotal

SymBio Pharmaceuticals | 30 November 20154

Phase III INSPIRE trial. SymBio plans to contribute 25-30 patients to the trial and interim results are
expected in H117, which should help to define the development strategy for Japan and South
Korea.
The pivotal trial, designated 04-30 or 'INSPIRE', will enrol HR-MDS patients less than 80 years ofage who had progressed on, or failed to respond to, previous treatment with hypomethylating
agents (HMA) within the first nine months of initiating HMA treatment, and had their last dose of
HMA therapy within six months prior to enrolment in the trial. This is the patient subset where
rigosertib demonstrated a significant benefit in the Phase III ONTIME trial. The primary endpoint of
this new Phase III INSPIRE trial will be overall survival, and an interim analysis is anticipated. Thisrandomised trial of approximately 225 patients will be conducted at about 100 sites globally andOnconova is expected to announce that it has enrolled its first patient in the very near future.
Onconova recently signed a $16.5m financing agreement with Lincoln Park Capital to help withclinical testing costs. Per a development and licensing agreement Onconova signed with Baxalta,
which grants Baxalta commercialisation rights to rigosertib in the EU and other countries in Europe,
Baxalta will fulfill its obligation under the agreement and pay for half the costs of the Phase III
INSPIRE trial up to a specified cap. However, should Onconova require additional cash to pursue
future trials, it could delay initiation of SymBio’s future trials and could therefore affect launchtimelines.

Sensitivities
The main sensitivities for SymBio include (1) expansion of Treakisym to additional indications,
including first-line iNHL to drive growth; (2) rigosertib success or failure, which will hinge largely on
its recently launched Phase III INSPIRE global trial; and (3) the ability to execute future in-licensing
deals, especially to leverage future commercial operations.
SymBio is subject to the usual drug development risks, including clinical development delays or
failures, regulatory risks, competitor successes, partnering setbacks, financing and commercial
risks. The main sensitivities include rigosertib success or failure, expansion of Treakisym toadditional indications and the ability to execute future in-licensing deals.
SymBio is reliant on in-licensing assets to fill its pipeline and this will become even more important
for leveraging future commercial operations. To date, SymBio has executed four deals for productswith clinical proof-of-concept data, although development for one of these has been terminatedfollowing a lack of efficacy. We believe the CEO’s network is crucial to securing future deals,
although we have limited visibility on the potential terms and timing of any such agreements.

Valuation
We value SymBio at ¥19,687m ($163m) or ¥608 per share, based on a risk-adjusted NPV analysis.
Our rNPV includes ¥5,592m ($47m) net cash, Treakisym, rigosertib and IONSYS. Our net cash
numbers are based on Q215 results, and do not reflect the ¥1,200m ($10m) cash upfront andundisclosed milestones/royalty payments for IONSYS.

SymBio Pharmaceuticals | 30 November 2015

5

Exhibit 2: SymBio rNPV valuation
Product

Indication

Treakisym (existing sales)
Treakisym (label expansion sales)
Rigosertib (IV); SyB L-1101
Rigosertib (oral); SyB C-1101
IONSYSNet cash at end June 2015
Valuation

r/r iNHL/MCL
First-line iNHL/MCL; CLL
r/r higher risk MDS
Lower-risk MDS
Acute postoperative pain

Launch2010
Late 2016/early 2017
2019
2019
2019

Peak sales
($m)
55
80
30
70
55

NPV (¥m) Probability rNPV (¥m) NPV/share(¥/share)
3,138
2,867
3,682
8,448
5,310
5,592
29,039

100%
90%
60%
25%
95%
100%

3,138
2,585
2,043
1,332
4,996
5,592
19,687

96.9
79.8
63.1
41.1
154.2
172.7
607.8

Source: Edison Investment Research. Note: Peak sales are rounded to the nearest $5m.

We use a 10% discount rate for approved products and 12.5% elsewhere. Our valuation includes
both Treakisym and rigosertib. For Treakisym we include current sales and upside from sales infirst-line iNHL and CLL; we do not include any potential in r/r aggressive NHL. Our Treakisym
valuation assumes that SymBio earns an average net margin of 10-12% on top-line reported
Treakisym sales. Our rigosertib forecasts include future R&D spend in addition to the cost ofbuilding out a sales infrastructure; we do not include any potential in indications beyond thosecurrently under development, which could include solid tumours, AML and broader use in MDS in
combination with other agents. Our IONSYS forecasts are based on our preliminary estimates forroyalties paid to The Medicines Company at 15%, along with potential development and sales
milestones, R&D and S&M costs.
We have maintained our 90% probability for Treakisym label expansion sales, but have moved ourlaunch date from H216 to an estimate of late 2016 to reflect our best guess of launch timing basedon SymBio’s plans to file for approval in Japan in Q116.
We have changed our risk-adjusted probabilities on both oral and IV rigosertib. We have raised our
probability on IV rigosertib from 50% to 60% to reflect Onconova’s planned initiation of a new
pivotal Phase III trial in HR-MDS as well as its recent $16.5m financing to support the testing. We
have lowered our risk-adjusted probability on the oral form of rigosertib to reflect Baxter’s decision
to discontinue its participation in this particular indication.

Financials
SymBio reported cash of ¥5,592 ($47m) at end-June 2015, which includes current investments withmore than three months’ maturity; we do not exclude these longer-term investments from the cashin our valuation. The cash figure does not reflect the $10m payment for IONSYS. We believe cash
should be sufficient to fund current operations into early 2017, unless the company signs additional
licensing agreements during 2016. We assume additional funds will be needed at this point, both tostart building out a sales and marketing infrastructure ahead of the first potential rigosertib launch in
2019, and for milestones that could become due to partner Onconova if rigosertib is approved inboth the US and Japan.
Our financial forecasts have been updated to include the IONSYS in-licensing deal, in addition toreflecting reported numbers and trends. Our revised forecasts for 2015 are broadly in line with
SymBio’s 2015 financial guidance, summarised in Exhibit 3.
SymBio has historically included estimates for milestone payments and future in-licensing deals in
its R&D guidance. We exclude these amounts in our estimates until they are known. This accounts
for the difference between our estimates for 2015 and SymBio’s guidance.

SymBio Pharmaceuticals | 30 November 2015

6

Exhibit 3: SymBio 2015 guidance versus our estimates
Outlook¥1,870m¥1,886m¥2,999m¥2,452m¥2,481m¥2,485m

Revenue
R&D
SG&A (including R&D)
Operating loss (SymBio reported*)
Ordinary loss (reported)
Net loss (reported)

Edison estimates¥1,951m¥1,946m¥3,108m¥2,495m¥2,508m¥2,512m

Difference (%)
+4.3
+3.2
+3.6
+1.8
+1.1
+1.1

Source: SymBio, Edison Investment Research. Note: *Operating loss, as per SymBio’s definition, excludes
various other income and expense items classified as non-operating under Japanese GAAP.

The company plans to release its next long-range financial guidance in February 2016. When it
released its FY12/14 results, SymBio also announced a mid-term plan for FY12/15 throughFY12/17. Since this release, the label expansion for Treakisym has been delayed. We now
anticipate minimal sales from label expansion in 2016 and a related delay in spending for marketingand milestone payments. Hence, our revenues in 2016 are towards the bottom end of SymBio’s
outlook. Our operating, ordinary and net loss forecasts in 2016 are above SymBio’s outlook as we
do not include unknown or uncertain future milestone payments for future out-licensing activities(which we believe are included in SymBio’s outlook). We believe these elements explain the
majority of the difference between the company’s last published guidance and our recently updated
estimates.
Exhibit 4: SymBio’s 2016 and 2017 long-range plan and Edison estimates

Revenue
Operating loss
Ordinary loss
Net loss2016 outlook rangeLow
High¥2,148m¥2,919m¥3,005m¥2,390m¥3,034m¥2,419m¥3,038m¥2,422m

Edison 2016
estimates¥2,140m¥2,086m¥2,076m¥2,080m

2017 outlook range
Low
Low¥2,160m¥3,754m¥3,492m¥2,525m¥3,521m¥2,554m¥3,524m¥2,557m

Edison 2017
estimates¥2,829m¥2,563m¥2,563m¥2,566m

Source: SymBio, Edison Investment Research

SymBio Pharmaceuticals | 30 November 2015

7

Exhibit 5: Financial summary¥m

2010
JPN GAAP

2011
JPN GAAP

2012
JPN GAAP

2013
JPN GAAP

2014
JPN GAAP

1,450
(238)
1,212
(1,118)
(631)
(636)
2
(0)
0
(634)
(4)
(640)
(639)
(4)
(644)
(642)

1,883
(1,224)658(1,945)(2,094)(2,100)2(5)
0(2,103)
3(2,098)(2,101)(4)(2,101)(2,105)

1,955(1,362)593(1,438)(1,732)(1,737)3(0)
0(1,734)
5(1,732)(1,730)(4)(1,736)(1,733)

1,532(1,214)318(1,053)(1,609)(1,615)300(1,611)10(1,605)(1,601)(4)(1,608)(1,605)

1,955(1,428)527(774)(1,134)(1,141)6(2)
0(1,137)25(1,116)(1,112)(4)(1,120)(1,116)

1,951(1,338)613(1,946)(2,526)(2,541)13
0
0(2,528)20(2,520)(2,508)(4)(2,524)(2,512)2,140(1,454)686(1,494)(2,078)(2,105)20
0
0(2,086)9(2,096)(2,076)(4)(2,100)(2,080)2,829(1,992)837(2,024)(2,546)(2,589)27
00(2,563)0(2,589)(2,563)(4)(2,593)(2,566)

Average Number of Shares Outstanding (m)EPS - normalised (¥)
EPS - normalised and fully diluted (¥)
EPS - (reported) (¥)
Dividend per share (¥)

10.8(59.49)(59.49)(59.33)0.0

14.7(143.38)(143.38)(143.60)
0.0

19.1(90.76)(90.76)(90.60)0.0

23.2(69.42)(69.42)(69.29)0.0

30.8(36.39)(36.39)(36.26)0.0

32.4(77.93)(77.93)(77.54)0.0

32.4(64.83)(64.83)(64.22)0.0

32.4(80.05)(80.05)(79.23)0.0

Gross Margin (%)
EBITDA Margin (%)
Operating Margin (before GW and except.) (%)

83.6
N/A
N/A

35.0
N/A
N/A

30.3
N/A
N/A

20.8
N/A
N/A

26.9
N/A
N/A

31.4
N/A
N/A

32.1
N/A
N/A

29.6
N/A
N/A

BALANCE SHEETFixed Assets
Intangible Assets
Tangible Assets
Investments
Current Assets
Stocks
DebtorsCash
Other
Current Liabilities
Creditors
Short term borrowings
Long Term Liabilities
Long term borrowings
Other long term liabilities
Net Assets

50
1
22
27
4,213
0
6
3,916
291
(178)
(178)
0
(2)
0
(2)
4,083

78
13
17
48
7,178
207
162
6,311
498
(646)
(646)
0
(5)
0
(5)
6,606

82
11
14
57
5,421
165
148
4,240
868
(599)
(599)
0
(4)
0
(4)
4,900

53
8
9
37
7,634
125
0
5,294
2,215
(251)
(251)
0
(3)
0
(3)
7,433

164
66
49
49
7,290
245
273
5,092
1,681
(488)
(488)
0
(2)
0
(2)
6,964

298
117
132
49
4,952
229
80
2,962
1,681
(701)
(701)
0
(2)
0
(2)
4,547

422
162
211
49
2,783
249
117
736
1,681
(641)
(641)
0
(2)
0
(2)
2,561

558
199
310
49
3,677
341
155
1,500
1,681
(743)
(743)
0
(3,402)(3,400)(2)90CASH FLOW
Operating Cash Flow
Net Interest
Tax
Capex
Acquisitions/disposals
Financing
Other
Dividends
Net Cash Flow
Opening net debt/(cash)
HP finance leases initiated
Other
Closing net debt/(cash)

(753)
4
(5)
(14)
0
663
(100)
0
(206)
(4,121)0
0(3,916)(2,073)
3
(4)
(1)
0
4,611
(140)
0
2,395
(3,916)00(6,311)(1,660)
5
(4)
(2)
0
0
(411)
0
(2,071)(6,311)0
0(4,240)(1,680)
7
(4)
0
0
4,057
(1,326)0
1,054(4,240)00(5,294)(1,289)
27
(4)
(45)
0
544
564
0
(202)
(5,294)0(0)(5,092)(1,985)
20
(4)
(98)
0
0
(64)
0
(2,130)(5,092)00(2,962)(2,060)
9
(4)
(107)
0
0
(64)
0
(2,226)(2,962)00(736)(2,426)
0
(4)
(141)
0
0
(64)
0
(2,635)
(736)
0
0
1,900

Year-end 31 December
PROFIT & LOSS
Revenue
Cost of Sales
Gross Profit
Research and development
EBITDA
Operating Profit (before amort. and except.)
Intangible Amortisation
Exceptionals
Other
Operating Profit
Net Interest
Profit Before Tax (norm)
Profit Before Tax (reported)
Tax
Profit After Tax (norm)
Profit After Tax (reported)

2015e
2016e
2017e
JPN GAAP JPN GAAP JPN GAAP

Source: SymBio accounts; Edison Investment Research. Note: Other current assets at end December 2014 include ¥600m of “timedeposits”, effectively short-term investments in addition to ¥899m marketable securities, among others. Our 2017 long-term liabilities
include illustrative financing of ¥3,400m, which we classify as a long-term liability for the purposes of our model.

SymBio Pharmaceuticals | 30 November 2015

8

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