Kusuri no Aoki Holdings (TSE: 3549), an Ishikawa Prefecture–based drugstore chain that is converting its network into "Food & Drug" stores combining dispensing pharmacies with fresh-food retailing, reported full-year results for the fiscal year ended May 20, 2026. Under Japanese GAAP, consolidated revenue rose 13.0% to ¥566.87 billion, operating profit edged up 1.9% to ¥27.10 billion and ordinary profit rose 0.8% to ¥27.72 billion, while net profit attributable to owners slipped 3.7% to ¥17.13 billion. EPS was ¥176.95, versus ¥175.42 a year earlier. The company notes the prior year included a ¥392 million stock-compensation expense; excluding it, operating profit would have risen just 0.4% and net profit fallen 5.8%.
111 new drugstores and 37 acquired supermarkets
The group opened 111 drugstores during the year — 26 in Hokushinetsu, 17 in Tohoku, 20 in Kanto, 11 in Tokai, 18 in Kansai and 19 in Shikoku — along with 38 co-located dispensing pharmacies, while closing 8 stores and 9 pharmacies. It also bought food-supermarket operators, acquiring Miwa Shoten in Kagawa Prefecture in June 2025 and a cluster of Niigata-based companies including Spot, Uoei Shoten and Uosaito in February 2026, and took over the supermarket business of Niigata's Cupid — adding 37 supermarkets in total. At year-end the group operated 1,144 stores: 1,107 drugstores (692 with dispensing pharmacies), 6 standalone dispensing pharmacies and 31 supermarkets.
Food and fresh categories drive the top line
By merchandise category, food (excluding fresh) sales rose 16.0% to ¥230.12 billion — now 40.6% of total sales — while fresh food jumped 21.4% to ¥71.41 billion and dispensing revenue climbed 15.3% to ¥59.83 billion. Household goods ("Life") rose 8.0% to ¥94.73 billion, beauty gained 6.9% to ¥64.41 billion and health products added 4.4% to ¥46.37 billion. Management said cost-of-living pressure keeps consumers selective and price-conscious, favoring the group's one-stop Food & Drug format amid intensifying drugstore-industry consolidation.
Buybacks, share cancellation and a ¥40 anniversary dividend
Total assets grew ¥58.47 billion to ¥410.94 billion on new-store investment, while long-term borrowings rose ¥41.58 billion, pushing the equity ratio down to 34.3% from 41.4%. The company spent ¥23.87 billion on share buybacks and canceled 9,480,700 treasury shares (¥34.07 billion) in November 2025. Operating cash flow reached ¥37.32 billion, investing outflows totaled ¥42.88 billion — including ¥33.48 billion of capex largely for new stores — and year-end cash stood at ¥58.65 billion, up 22.9%. The annual dividend rises to ¥56.00 per share — an ¥8.00 interim payment plus a ¥48.00 year-end payment that includes a ¥40.00 commemorative dividend marking the 40th anniversary of the company's founding — up from ¥14.00, for a payout ratio of 31.1%.
Outlook: ¥640 billion in sales for FY5/2027
For the fiscal year ending May 2027, the company guides revenue of ¥640.0 billion (+12.9%), operating profit of ¥32.0 billion (+18.1%), ordinary profit of ¥30.8 billion (+11.1%) and net profit of ¥19.0 billion (+10.9%), for EPS of ¥200.08. It plans to open 90 new drugstores and 31 co-located dispensing pharmacies while continuing to raise the weight of food — especially fresh food — in its assortment. The dividend is forecast at ¥64.00 (¥32 interim, ¥32 year-end), for a payout ratio of 32.0%.
| Metric | FY5/26 | FY5/25 | YoY |
|---|---|---|---|
| Revenue (¥m) | 566,865 | 501,470 | +13.0% |
| Operating profit (¥m) | 27,096 | 26,601 | +1.9% |
| Ordinary profit (¥m) | 27,722 | 27,513 | +0.8% |
| Net profit attrib. (¥m) | 17,133 | 17,786 | −3.7% |
| EPS (¥) | 176.95 | 175.42 | +0.9% |
| Equity ratio | 34.3% | 41.4% | −7.1pp |
| Annual dividend (¥) | 56.00 | 14.00 | +¥42.00 |
| FY5/27 revenue guidance (¥m) | 640,000 | 566,865 | +12.9% |
JapanStockPulse provides informational content only and does not constitute investment advice. Figures are taken from the company's published earnings short report and may be subject to subsequent revision.