MatsukiyoCocokara&Co.

Ranked 63rd in Interbrand's "Best Japan Brands 2026" and recognized as the No. 1 brand among Japanese drugstores for the sixth consecutive year. With 1,508 stores and net sales of ¥537,978 million in the Kanto area alone, the concentrated store openings in urban areas, downtown districts, and commercial facilities constitute a proprietary competitive advantage that generates strong customer traffic.

Leveraging closed data obtained from 169.55 million customer touchpoints, the company continues to develop high-value-added private brands such as matsukiyo, MQURE derma×, ARGELAN, and RECiPEO. Initiatives including a pop-up event commemorating the 10th anniversary of matsukiyo's launch and an industry-first collaboration with a cosmetics brand are being pursued to simultaneously enhance brand recognition and improve gross margins.

Of the 3,618 domestic stores, 1,112 are dispensing pharmacies (dispensing co-location ratio of approximately 31%), and the number of stores participating in the dispensing support program has expanded to 313. Seamless integration between drugstores and dispensing pharmacies enhances customer convenience and captures dispensing fee revenue, contributing to revenue diversification and building a medical infrastructure that competitors would find difficult to replicate in a short period.

Continued reinforcement of store openings in priority metropolitan areas (net increase of 92 stores during the period) alongside new openings and co-location of dispensing pharmacies. As of the end of March 2026, the company had built out a network of 3,618 domestic stores and 1,112 dispensing pharmacies. The number of stores participating in the Dispensing Support Program expanded to 313, aiming to improve customer convenience through seamless integration between drugstores and dispensing pharmacies.

Advancing the alliance concept through the intermediate holding company AND Company. In October 2025, Shinseido Pharmacy (112 stores in northern Kyushu) was made a consolidated subsidiary for ¥11,504 million, consolidated from the third quarter. As a subsequent event, Universal Drug (19 stores in Tokyo and Saitama) was acquired for ¥1,000 million in April 2026. Product procurement and system integration are being advanced to generate synergies.

To mark the 10th anniversary of the matsukiyo brand, experiential pop-up stores were held and the industry's first cosmetics brand collaboration was carried out. A new skincare brand, "MQURE derma×," was launched, alongside continued renewal and lineup expansion of existing brands. The company is simultaneously pursuing improved profitability of private brand products and expanded brand recognition, contributing to improvement in the EBITDA margin.

In addition to 37 stores in Thailand, 23 stores in Taiwan, 20 stores in Vietnam, 18 stores in Hong Kong, and 1 store in Guam, a new store was opened in Malaysia during the period, bringing the overseas total to 100 stores. The company continues to expand into new countries centered on ASEAN, pursuing its mid- to long-term strategy of becoming the No. 1 drugstore chain in Asia. MATSUMOTO KIYOSHI (HK) CO., LIMITED was added to the scope of consolidation during the period.

Advancing initiatives to integrate the app and online store with physical stores, leveraging over 160 million customer touchpoints. Actively pursuing system investment aimed at operational efficiency and business domain expansion through digital technology. Expenditure on acquisition of intangible fixed assets during the period was ¥6,866 million (up from ¥5,624 million in the previous period). Expansion into business domains including BtoB is also being pursued.