FY March 2026 Q3 Financial Summary [Japanese GAAP] (Consolidated)

Overview of Financial Results

In the third quarter of the fiscal year ending March 2026, net sales increased to ¥2,363,086 million, up 4.5% year-over-year. Operating income was ¥29,731 million, down 4.5% year-over-year, and ordinary income was ¥31,642 million, a 4.6% decrease. Net income attributable to owners of the parent for the quarter significantly increased to ¥31,981 million, a 24.3% rise year-over-year, mainly due to gains on sales of investment securities from the reduction of policy-held shares. By segment, the pharmaceutical wholesale business for prescription drugs recorded net sales of ¥2,118,220 million (4.9% increase YoY) and operating income of ¥27,076 million (1.1% increase YoY), maintaining steady performance. The self-medication wholesale business also achieved both revenue and profit growth, while the pharmaceutical manufacturing business experienced declines in revenue and profit due to drug price revisions and other factors. The dispensing pharmacy business saw a slight increase in net sales but a decrease in operating income.

Financial Position and Outlook

Total assets increased by ¥187,008 million from the previous fiscal year-end to ¥1,626,893 million, and net assets grew by ¥14,846 million to ¥497,094 million. The equity ratio declined to 30.5% from 33.5% at the end of the previous fiscal year. There is no revision to the full-year forecast announced in November 2025, expecting net sales of ¥3,107,000 million (4.9% increase YoY), operating income of ¥37,100 million (2.6% decrease YoY), and net income attributable to owners of parent of ¥36,000 million (31.4% increase YoY). For medium to long-term growth, the company has formulated the '2025-27 Medium-term Management Plan Vision 2032 Stage 2,' focusing on strengthening its business foundation and promoting the CDMO business for biosimilars.