Low prices and steady store openings
Cosmos Pharmaceutical Corporation (TSE: 3349), the Fukuoka-based operator of a discount drugstore chain that sells food and daily goods alongside medicines, reported consolidated results for the first quarter of FY5/2027, the three months from June 1 to August 31, 2026, on October 13, 2026 under Japanese GAAP. Net sales rose 5.2% to ¥286,653 million, EBITDA 5.7% to ¥17,911 million, operating profit 3.1% to ¥12,005 million and ordinary profit 4.7% to ¥12,766 million. Net profit attributable to owners of the parent rose 1.0% to ¥8,251 million, or ¥104.11 per share against ¥103.10.
The company said it kept pursuing low-cost operations so it could sell quality goods as cheaply as possible, and continued opening stores even at the cost of a temporary drop in profitability from cannibalizing its own outlets. It opened 13 stores, two in Tohoku, four in Kanto, three in Chubu, two in Kansai and two in Kyushu, and closed four for rebuilding or lease expiry, ending August with 1,717 stores. Cosmos reports a single segment.
Balance sheet, dividend and outlook
Total assets fell 1.0% to ¥590,563 million from the end of May, as cash fell ¥21,966 million while property and equipment rose ¥18,523 million, and net assets rose 1.7% to ¥288,414 million, for an equity ratio of 48.8%. The company plans an annual dividend of ¥84, ¥42 at the interim and the year-end, against ¥82.
The full-year forecast published on July 13 is unchanged: net sales of ¥1,190,000 million (+8.2%), operating profit of ¥43,000 million (+1.5%), ordinary profit of ¥45,700 million (+2.4%) and net profit of ¥30,700 million (−4.2%). For the first half it expects net sales of ¥582,700 million and operating profit of ¥20,780 million.
| Metric | Q1 FY5/2027 | Q1 FY5/2026 | Change |
|---|---|---|---|
| Net sales (¥ million) | 286,653 | 272,394 | +5.2% |
| EBITDA (¥ million) | 17,911 | 16,947 | +5.7% |
| Operating profit (¥ million) | 12,005 | 11,645 | +3.1% |
| Ordinary profit (¥ million) | 12,766 | 12,188 | +4.7% |
| Net profit attrib. to owners of parent (¥ million) | 8,251 | 8,171 | +1.0% |
| EPS (¥) | 104.11 | 103.10 | +1.0% |
| Total assets (¥ million) | 590,563 | 596,485 | −1.0% |
| Net assets (¥ million) | 288,414 | 283,700 | +1.7% |
| Equity ratio | 48.8% | 47.6% | +1.2 pt |
| FY5/2027 guidance — revenue (¥ million) | 1,190,000 | — | +8.2% |
| FY5/2027 guidance — operating profit (¥ million) | 43,000 | — | +1.5% |
| FY5/2027 guidance — ordinary profit (¥ million) | 45,700 | — | +2.4% |
| FY5/2027 guidance — net profit (¥ million) | 30,700 | — | −4.2% |
| Annual dividend per share (¥) | 84.00 | 82.00 | +2.4% |
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.