MEDICAL SYSTEM NETWORK Co.,Ltd.
4350・Standard Market・Retail Trade
Regional Pharmacy Network Business
The company's core segment, providing value across the entire pharmaceutical supply chain
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment net sales (including internal sales) | ¥127,180 million | ¥116,968 million | ↑ |
| Segment operating profit | ¥6,025 million | ¥5,626 million | ↑ |
| Number of Pharmaceutical Network member accounts | 12,003 accounts | 11,003 accounts | ↑ |
| Number of Regional Pharmacy stores | 472 stores | 457 stores | ↑ |
| Number of stores with Digital Shift Division installed | 6,658 stores | 6,020 stores | ↑ |
| Number of transacting stores, Pharmaceutical Manufacturing & Sales Division | 9,082 stores | 7,181 stores | ↑ |
| Number of transacting stores, Pharmaceutical Logistics Division | 3,690 stores | 1,572 stores | ↑ |
| Goodwill balance | ¥8,507 million | ¥9,063 million | ↓ |
| Impairment loss (segment) | ¥505 million | ¥740 million | ↓ |
Business Details
Comprised of five divisions: regional pharmacy operations (472 stores), management support for pharmacies etc. through the Pharmaceutical Network (12,003 member accounts), manufacturing and sales of generic pharmaceuticals (56 ingredients, 130 products), pharmaceutical logistics, and support for becoming a family pharmacy utilizing LINE (Digital Shift). Provides distribution efficiency between pharmaceutical wholesalers and pharmacies/clinics as well as comprehensive management support services, accounting for approximately 96% of consolidated net sales as the mainstay business. Also operates receivables securitization support services.'
Recent Overview
Both net sales and operating profit increased, but existing-store prescription volume fell below the previous year
In FY2026 (ending March 2026), the Regional Pharmacy Network Business achieved higher sales and profit, with net sales of ¥127,180 million (up 8.7% year on year) and operating profit of ¥6,025 million (up 7.1% year on year). The number of Pharmaceutical Network member accounts expanded to 12,003, an increase of 1,000 from the end of the previous fiscal year, and profitability of the Pharmaceutical Logistics Division, which commenced operations in the previous fiscal year, also improved. On the other hand, in the Regional Pharmacy Division, the number of prescriptions at existing stores fell below the previous year due to a decrease in acute disease patients, among other factors, and rising personnel expenses also weighed on profitability.
Key Products
Growth Drivers
- Continued expansion of Pharmaceutical Network member accounts (up 1,000 from the end of the previous fiscal year to 12,003 accounts)
- Expansion of the number of Regional Pharmacy stores through new openings and M&A (472 stores)
- Expansion of stores with the Digital Shift Division installed (up 638 stores from the end of the previous fiscal year to 6,658 stores)
- Expansion of transacting stores in the Pharmaceutical Manufacturing & Sales Division (up 1,901 stores from the end of the previous fiscal year to 9,082 stores)
- Expansion of business partners and improved profitability in the Pharmaceutical Logistics Division (up 2,118 stores from the end of the previous fiscal year to 3,690 stores)
- Strengthening value provision across the entire pharmaceutical supply chain based on the long-term vision "Machi no Akari Vision 2035"
Risks
- Decrease in existing-store prescription volume (decrease in acute disease patients, backlash from the previous infectious disease outbreak)
- Increase in personnel expenses due to wage level increases, among other factors
- Deterioration of cost of sales ratio due to rising pharmaceutical procurement prices
- Changes in the pharmacy business environment due to drug price and dispensing fee revisions
- Profit pressure from upfront expenses related to new store openings and expansion of the logistics division
- Occurrence of impairment losses (¥505 million in the fiscal year under review)
- Impact on working capital due to the temporary suspension of dispensing receivables securitization
Last updated: June 19, 2026