# SUNDRUG CO.,LTD.: business model and financials

> Latest period: FY ending Mar 2026, consolidated, J-GAAP
> Unit: JPY millions
> Sources: 有価証券報告書－第63期(2025/04/01－2026/03/31) (S100YL7Q)
> Page: https://vizora.meequs.com/en/company/sundrug
> Retrieved: 2026-09-30T19:50:49.341Z

## Company

Sundrug, founded in 1965, is a company in Drugstores & Pharmacies listed on TSE Prime. It has 7,457 employees (consolidated).

| Field | Value |
| --- | ---: |
| Legal name | SUNDRUG CO.,LTD. |
| Ticker | 9989 |
| Stock price | View on Yahoo Finance (https://finance.yahoo.co.jp/quote/9989.T) |
| Listing | TSE Prime |
| Head office | 東京都府中市若松町一丁目38番地の1 |
| Representative (per filing) | 代表取締役社長 CEO 貞方 宏司 |
| Founded | Apr 1965 |
| Share capital | ¥3.93B |
| Employees (consolidated) | 7,457 |
| Average salary (parent only) | ¥5.9M |
| Fiscal year end | March |
| Website | www.sundrug.co.jp (https://www.sundrug.co.jp/) |
| Corporate number | 1012401000634 |
| EDINET | E03226 |
| Industries (Vizora) | Drugstores & Pharmacies, Supermarkets |

> Profile source: annual securities report (S100YL7Q, filed 2026-06-26). As of filing

## Five-axis industry profile

Primary industry: Drugstores & Pharmacies (2026-03-31)

| Axis | Industry percentile | Peers |
| --- | ---: | ---: |
| Revenue growth | 28.1 | 16 |
| Profitability | 86.8 | 19 |
| Cash conversion | 36.1 | 18 |
| Efficiency | 76.3 | 19 |

Each axis is shown independently. Missing values are labeled unavailable; no combined score is calculated. Industry rank is not an investment recommendation.

## Key points (generated from figures)

- About 57% of Sundrug's sales come from Drug store, with Discount store making up much of the rest.
- Out of every ¥100 of sales, about ¥6 is left as operating profit.
- Revenue changed +5.1% from the prior year, operating profit +5.2%.

## Company structure

- Segment revenue mix: Drug store 56.8%、Discount store 43.2%
- Revenue → net income: ¥842512000000 → ¥31392000000
- Net income → operating cash flow: ¥31392000000 → ¥43297000000（difference ¥11905000000）
- Main uses of operating cash flow: CapEx ¥31136000000 / dividends ¥15202000000 / buybacks ¥0
- Change in cash: ¥5567000000
Segment shares use total reported segment revenue, which may include inter-segment sales. The cash bridge is operating cash flow minus net income and combines non-cash items and working-capital effects.

## Key figures at a glance

| Metric | Value | Note |
| --- | ---: | ---: |
| Revenue | ¥842.5B |  |
| Operating income | ¥46.8B | Margin 5.6% |
| Net income | ¥31.4B | Margin 3.7% |
| Free cash flow | ¥12.2B |  |
| Largest business | Drug store | of segment revenue 56.8% |
| Employees (consolidated) | 7,457 |  |
| EPS | ¥235.17 |  |
| Book value per share | ¥1629.87 |  |
| Equity ratio | 60.1% |  |
| Shares outstanding | 119,331,184 |  |
| Treasury shares | 2,348,200 |  |
| Shareholders | 42,195 |  |
| Average salary (parent only) | ¥5.9M | Filing company only |
| Cash ratio | 14.8% | Cash ÷ revenue 8.4% |
| Vs. industry median margin | +1.2 pp | Drugstores & Pharmacies |
| ROE | 11.2% | Derived from disclosed figures |
| ROA | 6.8% | Derived from disclosed figures |

## What changed in 5 years

| Metric | FY ending Mar 2021 | FY ending Mar 2026 | Change |
| --- | ---: | ---: | ---: |
| Revenue | ¥634310000000 | ¥842512000000 | +32.8% |
| Operating income | ¥37345000000 | ¥46831000000 | +25.4% |
| Operating margin | 5.9% | 5.6% | -0.3 pp |
| Employees | 5,634 people | 7,457 people | +32.4% |
| Cash and equivalents | ¥86495000000 | ¥70523000000 | -18.5% |

### Change in segment revenue mix

Span: FY ending Mar 2021 → FY ending Mar 2026. Stable segment keys are connected; unmatched shares are marked as new or reorganized. Shares use total segment revenue.

| Flow | Revenue share |
| --- | ---: |
| ドラッグストア事業 → ドラッグストア事業 | 56.8% |
| ドラッグストア事業 → 事業再編・廃止 | 2.9% |
| ディスカウントストア事業 → ディスカウントストア事業 | 40.3% |
| 新設・再編 → ディスカウントストア事業 | 2.9% |

Segment revenue source references: 4 (derived)

## Income statement（FY ending Mar 2026, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Revenue | 842,512 | 100.0% | S100YL7Q |
| Cost of revenue | 626,341 | 74.3% | S100YL7Q |
| Gross profit | 216,170 | 25.7% | S100YL7Q |
| SG&A | 169,338 | 20.1% | S100YL7Q |
| Operating income | 46,831 | 5.6% | S100YL7Q |
| Ordinary income | 46,220 | 5.5% | S100YL7Q |
| Pretax income | 45,803 | 5.4% | S100YL7Q |
| Income tax | 14,411 | 1.7% | S100YL7Q |
| Net income | 31,392 | 3.7% | S100YL7Q |
| Net income attributable to owners | 31,392 | 3.7% | S100YL7Q |

## Per ¥100 of revenue（FY ending Mar 2026）

| Part | JPY |
| --- | ---: |
| Cost of revenue | 74 |
| SG&A | 20 |
| Operating income | 6 |
| (Ref.) Net income | 4 |

### Margin funnel

Gross margin 25.7% → Operating margin 5.6% → Net margin 3.7%
Derived from reported figures (DERIVED).

## Revenue and profit pattern

Pattern: Revenue and profit up
Revenue growth: +5.1%; Core profit growth: +5.2%
Growth quality: similar-growth
Operating leverage (core profit growth ÷ revenue growth): 1.03×
Calculated from comparable annual consolidated filings.

## Year over year（FY ending Mar 2025 → FY ending Mar 2026、JPY mn）

| Metric | Prior | Current | Change | % change |
| --- | ---: | ---: | ---: | ---: |
| Revenue | 801,811 | 842,512 | 40,701 | +5.1% |
| Gross profit | 204,087 | 216,170 | 12,083 | +5.9% |
| Operating income | 44,496 | 46,831 | 2,335 | +5.2% |
| Net income attributable to owners | 30,750 | 31,392 | 642 | +2.1% |
| Operating cash flow | 41,164 | 43,297 | 2,133 | +5.2% |
| Free cash flow | 6,898 | 12,161 | 5,263 | +76.3% |

## History（JPY mn）

| Period | Revenue | Op. income | Op. margin | Net income | Op. CF | FCF | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| FY ending Mar 2020 | 617,769 | 36,604 | 5.9% | 23,692 | 32,274 | 20,971 | S100LSDT |
| FY ending Mar 2021 | 634,310 | 37,345 | 5.9% | 25,329 | 31,761 | 15,286 | S100OH6L |
| FY ending Mar 2022 | 648,734 | 34,052 | 5.2% | 23,853 | 31,682 | 11,893 | S100R4PN |
| FY ending Mar 2023 | 690,462 | 37,452 | 5.4% | 25,703 | 37,380 | 11,267 | S100TP0D |
| FY ending Mar 2024 | 751,777 | 40,996 | 5.5% | 29,126 | 41,188 | 2,963 | S100VZPP |
| FY ending Mar 2025 | 801,811 | 44,496 | 5.5% | 30,750 | 41,164 | 6,898 | S100YL7Q |
| FY ending Mar 2026 | 842,512 | 46,831 | 5.6% | 31,392 | 43,297 | 12,161 | S100YL7Q |

## People and productivity（FY ending Mar 2026, consolidated, J-GAAP）

| Metric | Value |
| --- | ---: |
| Revenue per employee (consolidated) | ¥113M |
| Operating income per employee (consolidated) | ¥6.3M |
| Net income per employee (consolidated) | ¥4.2M |

Employees, revenue and profit are consolidated. Average annual salary is a separate parent-company figure. Calculated from disclosed figures (DERIVED).

| History | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Employees (consolidated) | 6,015 | 6,371 | 6,662 | 7,145 | 7,457 |
| Average salary (parent company) | ¥5.1M | — | ¥5.6M | ¥5.8M | ¥5.9M |
| Average age (parent company) | 34.0 years | — | 34.0 years | 34.0 years | 34.0 years |
| Average tenure (parent company) | 8.0 years | — | 9.0 years | 8.0 years | 8.0 years |

Year over year: Employees (consolidated) +4.4% · Revenue (consolidated) +5.1%

## Segments（FY ending Mar 2026, consolidated, J-GAAP、JPY mn）

| Segment | Revenue | Share | Op. income | Op. margin |
| --- | ---: | ---: | ---: | ---: |
| Drug store | 478,404 | 56.8% | 27,481 | 5.7% |
| Discount store | 364,108 | 43.2% | 19,350 | 5.3% |

### segmentMix — Revenue and profit mix

Calculated from disclosed figures (DERIVED). Shares use total segment revenue and total positive segment profit respectively. Difference = profit share − revenue share (pt). Inter-segment sales may prevent reconciliation to company revenue.

| Segment | Revenue share | Profit share | Difference (pt) | Margin |
| --- | ---: | ---: | ---: | ---: |
| Drug store | 56.8% | 58.7% | 1.9 | 5.7% |
| Discount store | 43.2% | 41.3% | -1.9 | 5.3% |

Segment → industry: Drug store → Drugstores & Pharmacies / Discount store → Supermarkets

## Revenue by geography

No geographic revenue breakdown was disclosed.

## Cash flow（FY ending Mar 2026, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Operating cash flow | 43,297 | 5.1% | S100YL7Q |
| Capital expenditure | 31,136 | 3.7% | S100YL7Q |
| Free cash flow | 12,161 | 1.4% | 算出 |
| Investing cash flow | -32,076 | -3.8% | S100YL7Q |
| Financing cash flow | -5,653 | -0.7% | S100YL7Q |
| Dividends paid | 15,202 | 1.8% | S100YL7Q |
| Share buyback | 0 | 0.0% | S100YL7Q |
| Change in cash | 5,567 | 0.7% | S100YL7Q |
| Cash and equivalents | 70,523 | 8.4% | S100YL7Q |

## Balance sheet

Figures are as of each fiscal year end. Derived values are marked as such in the source column. Lease liabilities are excluded from interest-bearing debt.

| Metric | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| Cash and equivalents | 89,330 | 80,872 | 69,698 | 64,956 | 70,523 | S100TP0D, S100VZPP, S100YL7Q |
| Total assets | 325,768 | 360,672 | 420,208 | 444,007 | 475,505 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |
| Net assets | 220,592 | 236,328 | 253,090 | 269,713 | 286,001 | S100TP0D, S100VZPP, S100YL7Q |
| Share capital | 3,931 | 3,931 | 3,931 | 3,931 | 3,931 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |
| Property, plant and equipment | 77,855 | 100,248 | 120,536 | 136,706 | 148,487 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |
| Intangible assets excluding goodwill | 5,954 | 9,104 | 9,143 | 8,669 | 8,101 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |
| Goodwill | 2 | 1,671 | 1,556 | 1,440 | 1,325 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |
| Investment securities | 296 | 334 | 35,808 | 34,013 | 32,762 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |
| Current assets | 199,537 | 205,907 | 208,243 | 216,777 | 238,064 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |
| Current liabilities | 96,045 | 113,249 | 155,466 | 128,507 | 134,035 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |
| Short-term borrowings | — | — | 35,000 | 1,000 | 1,000 | S100VZPP, S100YL7Q |
| Long-term borrowings | — | — | — | 33,866 | 42,076 | S100YL7Q |
| Total liabilities | 105,175 | 124,344 | 167,118 | 174,293 | 189,504 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |
| Equity attributable to owners of parent | 222,567 | 238,080 | 254,806 | 271,350 | 287,524 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |
| Retained earnings | 215,145 | 230,658 | 247,272 | 263,754 | 279,859 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |
| Treasury stock | -3,939 | -3,940 | -3,894 | -3,868 | -3,843 | S100R4PN, S100TP0D, S100VZPP, S100YL7Q |

### Assets and funding mix

| Assets | Share | Source |
| --- | ---: | ---: |
| Cash | 15% | S100YL7Q |
| Property, plant and equipment | 31% | S100YL7Q |
| Intangibles and goodwill | 2% | S100YL7Q |
| Investment securities | 7% | S100YL7Q |
| Other assets | 45% | S100YL7Q |

| Funding source | Share | Source |
| --- | ---: | ---: |
| Other liabilities | 40% | S100YL7Q |
| Equity | 60% | S100YL7Q |

### Balance sheet history

| Metric | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Total assets | 325,768 | 360,672 | 420,208 | 444,007 | 475,505 |
| Equity | 220,592 | 236,328 | 253,090 | 269,713 | 286,001 |
| Interest-bearing debt | — | — | — | — | — |
| Cash | 89,330 | 80,872 | 69,698 | 64,956 | 70,523 |

## Asset intensity and goodwill

Ratios are derived from reported values. Goodwill is used only when separately reported, never inferred from combined intangible assets.

| Metric | Value | Sources |
| --- | ---: | ---: |
| Asset intensity (fixed assets ÷ revenue) | 17.6% | S100YL7Q |
| Fixed assets ÷ total assets | 31.2% | S100YL7Q |
| Goodwill ÷ parent equity | 0.5% | S100YL7Q |

Goodwill over 4 years: 2 → 1,325 JPY; total investing cash flow: -191,470 JPY. This does not imply causation.

### Cash quality

Net cash = cash − interest-bearing debt. Net debt ratio = (interest-bearing debt − cash) ÷ positive operating cash flow. Omit when debt components are incomplete; other ratios are derived from reported figures.

| Metric | Value |
| --- | ---: |
| Cash ratio (cash ÷ total assets) | 14.8% |
| Cash ÷ revenue | 8.4% |
| Net cash (cash − interest-bearing debt) | — |
| Net debt ÷ operating cash flow | — |
| Cash conversion (operating CF ÷ operating income) | 92.5% |
| Cash vs. profit gap | 11,905 JPY mn (of net income 37.9%) |
| Shareholder returns / net income | 48.4% |
| Shareholder returns / FCF | 125.0% |
| Shareholder payments — dividends / net income | 48.4% |
| Shareholder payments — dividends / FCF | 125.0% |
| CapEx intensity (capex ÷ revenue) | 3.7% |
| Investing CF relative to operating CF | 74.1% |

## ROA and ROE

ROE is decomposed into net margin × asset turnover × financial leverage. Leverage can raise ROE, so the ratio alone does not assess a company's condition. Ending balances are used without a prior year; total equity approximates parent equity when unavailable.

| Period | Net margin | Asset turnover | ROA | Financial leverage | ROE | Sources |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| 2022 | 3.7% | 1.99× | 7.3% | 1.46× | 10.7% | S100R4PN |
| 2023 | 3.7% | 2.01× | 7.5% | 1.49× | 11.2% | S100TP0D |
| 2024 | 3.9% | 1.93× | 7.5% | 1.58× | 11.8% | S100VZPP |
| 2025 | 3.8% | 1.86× | 7.1% | 1.64× | 11.7% | S100YL7Q |
| 2026 | 3.7% | 1.83× | 6.8% | 1.65× | 11.2% | S100YL7Q |

## Ownership

| Counterparty | Relation | Ratio | As of |
| --- | ---: | ---: | ---: |
| 株式会社イリュウ商事 | Major shareholder | 37.4% | 2026-03-31 |
| 日本マスタートラスト信託銀行株式会社(信託口) | Major shareholder | 9.8% | 2026-03-31 |
| 株式会社日本カストディ銀行（信託口） | Major shareholder | 5.0% | 2026-03-31 |
| CEP LUX-ORBIS SICAV（常任代理人シティバンク、エヌ・エイ東京支店 ダイレクト・カストディ・クリアリング業務部） | Major shareholder | 3.6% | 2026-03-31 |
| 多田 直樹 | Major shareholder | 2.7% | 2026-03-31 |
| ザ チェース マンハッタン バンク エヌエイ ロンドン エス エル オムニバス アカウント | Major shareholder | 2.0% | 2026-03-31 |
| 多田 高志 | Major shareholder | 1.9% | 2026-03-31 |
| 全国共済農業協同組合連合会（常任代理人日本マスタートラスト信託銀行株式会社） | Major shareholder | 1.8% | 2026-03-31 |
| JPモルガン証券株式会社 | Major shareholder | 1.5% | 2026-03-31 |
| 株式会社日本カストディ銀行（信託口４） | Major shareholder | 1.2% | 2026-03-31 |

## AI commentary（text by AI; the tables above are authoritative、claude-code）

- Revenue for the FY ending Mar 2026 was ¥842.5B, up +5.1% from ¥801.8B.
- Gross profit grew faster at +5.9%, but higher SG&A kept operating income growth to +5.2%, at ¥46.8B.
- Net income rose only +2.1% to ¥31.4B.
- Free cash flow climbed from ¥6.9B to ¥12.2B.

### Drivers

- In drugstores, prescriptions and online sales stayed strong, stockpiled government rice sold well, and remodeled stores helped. Cold medicine and other seasonal items fell after a strong prior-year comparison.
- In discount stores, food sales held up as market prices rose, while a warm winter hurt seasonal appliance sales.
- Better purchasing terms lifted gross margin in both businesses. SG&A rose partly because of a temporary jump in depreciation from heavy investment.

### Risks

- Rivals and other retail formats keep opening stores and consolidating, which could cut customer traffic and spending per visit.
- Dispensing fees and drug prices are set by the government, so revisions can hit earnings.
- Hiring pharmacists and registered sellers is highly competitive; shortfalls could slow store openings and push up labor costs.

Cited: Annual Securities Report, 63rd fiscal period (Apr 2025 – Mar 2026) (経営者による財政状態、経営成績及びキャッシュ・フローの状況の分析); Annual Securities Report, 63rd fiscal period (Apr 2025 – Mar 2026) (事業等のリスク)

## Sources

| Document | ID | Published | URL |
| --- | ---: | ---: | ---: |
| 有価証券報告書－第63期(2025/04/01－2026/03/31) | S100YL7Q | 2026-06-26 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100YL7Q,, |
| 有価証券報告書－第62期(2024/04/01－2025/03/31) | S100VZPP | 2025-06-19 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100VZPP,, |
| 有価証券報告書－第61期(2023/04/01－2024/03/31) | S100TP0D | 2024-06-24 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100TP0D,, |
| 有価証券報告書－第60期(2022/04/01－2023/03/31) | S100R4PN | 2023-06-26 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100R4PN,, |
| 有価証券報告書－第59期(令和3年4月1日－令和4年3月31日) | S100OH6L | 2022-06-27 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100OH6L,, |
| 有価証券報告書－第58期(令和2年4月1日－令和3年3月31日) | S100LSDT | 2021-06-28 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100LSDT,, |

## Definitions

- Amounts are in millions of JPY (rounded). The period is stated in each table heading
- Operating margin = operating income ÷ revenue. Net income is attributable to owners of the parent when disclosed
- Free cash flow (FCF) = operating cash flow − capital expenditure
- ¥100 model = breakdown per ¥100 of revenue (rounded so parts sum to 100)
- Segment revenues include inter-segment sales and may not sum to consolidated revenue
- Source IDs are EDINET document IDs (docID). "算出" (derived) means computed from other disclosed values
- All figures are extracted mechanically from filings. AI-written text never generates figures
- Source: company filings submitted to EDINET (Financial Services Agency of Japan). Figures were extracted, edited and processed, and charts and text were created, by Vizora — not by the FSA (used under the Public Data License v1.0).