Takeda, a prominent Japanese pharmaceutical company, is facing significant cost pressures that have led to major job cuts at its European headquarters in Opfikon. Although relatively unknown in Switzerland, Takeda employs nearly 2,000 people in the country, making it an important employer in the local pharmaceutical industry.
Despite being under financial strain, Takeda has maintained its presence in Switzerland due to its importance as a local employer. However, reports suggest that the company will need to cut costs by 5 to 25 percent due to deteriorating profitability, high levels of debt from a competitor acquisition, and the loss of patent protection for one of its key revenue drivers.
In addition to these challenges, Takeda is also facing difficulties in refreshing its product pipeline and digitalizing its business processes. The company lacks new high-sales products and is lagging behind competitors in digital transformation efforts. This could result in further job cuts at the company’s headquarters and production plant in Neuchâtel.
Furthermore, analysts expect little to no growth over the next four years for Takeda. The company’s margins are also under pressure due to digitalization initiatives and cost-cutting measures that could impact thousands of jobs at its Opfikon headquarters and Neuchâtel production plant.
Takeda faces a challenging road ahead as it navigates through financial difficulties, low growth prospects, and changes within the pharmaceutical industry. To secure its position in the marketplace, Takeda must find ways to improve profitability while refreshing its product pipeline and embracing digital transformation efforts.