Tsuruha Holdings Inc. (TSE: 3391), one of Japan's largest drugstore and dispensing-pharmacy chains, reported results for the first quarter of the fiscal year ending February 2027 — the three months from March 1 to May 31, 2026. The figures capture the first full quarter since Tsuruha's business integration with Welcia Holdings on December 1, 2025, which transformed the group's scale. Net sales more than doubled to ¥636.9 billion (up 133.7%), operating profit rose to ¥24.2 billion (up 94.3%), ordinary profit rose to ¥24.4 billion (up 86.8%) and net profit attributable to owners of the parent rose to ¥13.5 billion (up 21.3%).
Welcia integration reshapes the top line
The step change in revenue and profit reflects the consolidation of Welcia, now positioned within a new medium-term plan (FY2027–FY2029) centred on building shared merchandising, systems and store-development platforms across the enlarged group. EBITDA — defined by the company as operating profit plus depreciation and goodwill amortisation — rose 131.6% to ¥39.5 billion. Depreciation climbed to ¥9.2 billion and goodwill amortisation to ¥6.2 billion, both far above the prior year, underscoring the accounting weight of the deal.
Earnings per share fall on a larger share count
Although net profit grew, quarterly earnings per share fell to ¥29.75 from a restated ¥45.66, because the merger sharply increased shares outstanding — the average share count rose to about 453 million from 243 million a year earlier. Diluted EPS was ¥29.70. Comprehensive income was ¥11.0 billion.
Store network and segment
Tsuruha operates a single reportable segment — retail of pharmaceuticals, cosmetics and related goods. During the quarter the group opened 36 stores and closed 47, leaving 5,665 directly operated domestic stores (of which 3,324 include a dispensing pharmacy) plus 37 overseas outlets. The company is pursuing quality-focused openings, renovating existing stores and rolling out a drug-and-food format in selected areas to lift visit frequency.
Balance sheet, guidance and dividend
Total assets stood at ¥1.69 trillion, up ¥40.4 billion from the prior year-end, while net assets edged up to ¥897.5 billion; the equity ratio eased 1.2 points to 51.9%. Tsuruha left its full-year forecast unchanged, guiding for net sales of ¥2.56 trillion (+76.1%), operating profit of ¥99.4 billion (+57.7%), ordinary profit of ¥98.1 billion (+55.5%) and net profit of ¥41.5 billion (−2.7%), for EPS of ¥91.62. The first-quarter result represents roughly a quarter of the full-year sales and operating-profit targets and about a third of the net-profit target. The planned annual dividend was held at ¥48.00 (¥24.00 interim and ¥24.00 year-end).
| Metric | Q1 FY02/27 | Q1 FY02/26 | YoY |
|---|---|---|---|
| Net sales (¥bn) | 636.9 | 272.5 | +133.7% |
| EBITDA (¥bn) | 39.5 | 17.0 | +131.6% |
| Operating profit (¥bn) | 24.2 | 12.5 | +94.3% |
| Ordinary profit (¥bn) | 24.4 | 13.1 | +86.8% |
| Net profit attrib. (¥bn) | 13.5 | 11.1 | +21.3% |
| EPS (¥) | 29.75 | 45.66 | −34.8% |
| Equity ratio | 51.9% | 53.1% | −1.2pp |
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.