Post-integration expansion is broadly on track against the full-year plan

FY2027-Q1 revenue was ¥636,886 million, operating profit was ¥24,229 million, ordinary profit was ¥24,390 million, and net profit attributable to owners of the parent was ¥13,477 million. The full-year forecasts are revenue of ¥2,555,000 million, operating profit of ¥99,400 million, ordinary profit of ¥98,100 million, and net profit of ¥41,500 million, making Q1 progress rates 24.9% for revenue, 24.4% for operating profit, 24.9% for ordinary profit, and 32.5% for net profit. Revenue and operating profit are around the 25% level implied by a simple equal quarterly allocation.

By contrast, FY2026 revenue was ¥1,450,585 million and operating profit was ¥63,037 million. The FY2027 forecasts represent increases of 76.1% in revenue and 57.7% in operating profit, but FY2026 includes an expanded consolidation scope following the management integration with Welcia Holdings, while the comparison period, FY2025, covered an irregular 9.5-month fiscal year. Accordingly, the disclosed year-on-year growth rates reflect not only same-store growth but also changes in the consolidation scope and reporting period. In H1, it will be necessary to separately assess growth at existing stores excluding integration effects, by product category, and in dispensing pharmacy operations.

Q1 revenue was broadly in line with plan, but whether operating profit reaches around 50% in H1 will depend on the gross margin, dispensing pharmacy growth, store closure-related expenses, and integration costs in the first half. In particular, the earnings forecast was not revised in Q1, and the company maintained its full-year plan. In the next results release, the focus will be on cumulative H1 results starting from revenue of ¥636,886 million and operating profit of ¥24,229 million, the remaining amounts required to meet the full-year forecasts, and how quantitatively the company explains the contributions from the existing business and integration effects.