The consolidation of Sunsho Pharmaceutical has proved to be something of a double-edged sword for Towa Pharmaceutical Co Ltd, as the acquisition both boosted sales and sent costs soaring during Q3. Huge rises in the cost of doing business have left Towa’s profits tumbling by 86.8% year on year, fueled by Sunsho-related selling, general and administrative expenses, as well as substantial rises in the price of raw materials and utilities.
Towa Profits Take 87% Nosedive In Face Of Increased Costs
Firm Has Further Lowered Its Annual Estimates Following November Revision
Japanese generics firm Towa has seen its profits slashed as increased expenses stemming from its acquisition of Sunsho Pharmaceutical decimated its bottom line in Q3.
