PALTAC CORPORATION
8283・Prime Market・Wholesale Trade
Wholesale Business (Single Segment)
One of Japan's largest specialized wholesalers handling intermediate distribution of cosmetics, daily necessities, and pharmaceuticals
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (Full Year) | ¥1,237,846 million | ¥1,188,097 million | ↑ |
| Operating Profit (Full Year) | ¥26,430 million | ¥28,008 million | ↓ |
| Operating Margin (Full Year) | 2.14% | 2.36% | ↓ |
| Ordinary Profit (Full Year) | ¥29,807 million | ¥31,684 million | ↓ |
| Net Income (Full Year) | ¥22,031 million | ¥22,864 million | ↓ |
| Gross Profit (Full Year) | ¥92,321 million | ¥88,982 million | ↑ |
| SG&A Expenses (Full Year) | ¥65,890 million | ¥60,973 million | ↑ |
| SG&A Ratio (Full Year) | 5.32% | 5.13% | ↑ |
| Earnings Per Share | ¥358.99 | ¥366.46 | ↓ |
| Equity Ratio | 56.7% | 56.7% | — |
| Cash and Cash Equivalents at Period End | ¥83,282 million | ¥69,916 million | ↑ |
| Annual Dividend per Share | ¥120 | ¥105 | ↑ |
| Revenue from Drugstores | ¥803,973 million | ¥763,785 million | ↑ |
| Revenue from Major Customer (Matsukiyo CC&C Group) | ¥133,361 million | ¥132,108 million | ↑ |
Business Details
PALTAC Corporation is a wholesale specialist company handling cosmetics, daily necessities, over-the-counter pharmaceuticals, and related products, with Medipal Holdings Corporation (holding ratio 52.40%) as its parent company. The company purchases products from manufacturers and sells them to retailers nationwide, including drugstores, convenience stores, and supermarkets. It positions itself as an intermediate distributor contributing to the optimization and efficiency of the entire supply chain by providing logistics, inventory, information transmission, and financial functions. The company operates as a single segment, the Wholesale Business. On May 11, 2026, the company announced its support for a tender offer (TOB) by its parent company, and delisting is planned.
Recent Overview
Revenue increased but operating profit declined due to higher SG&A expenses; delisting planned following parent company's tender offer
In FY2026 (ending March 2026), the company achieved revenue growth to ¥1,237,846 million (up 4.2% year-on-year), but SG&A expenses expanded to ¥65,890 million (up 8.1% year-on-year) due to rising personnel and logistics costs, resulting in a decline in operating profit to ¥26,430 million (down 5.6% year-on-year). The gross margin was nearly flat at 7.46% (versus 7.49% in the prior period), but the deterioration in the SG&A ratio to 5.32% (versus 5.13% in the prior period) was the main factor behind the profit decline. On May 11, 2026, the company announced its support for a tender offer (TOB) by its parent company Medipal Holdings Corporation, and as delisting and full subsidiary conversion are planned, earnings forecasts and dividends for FY2027 (ending March 2027) have not been disclosed. As a subsequent event, the company resolved to construct a next-generation new distribution center in Kaizuka City, Osaka Prefecture (total investment of ¥34.9 billion, scheduled to commence operations in March 2030).
Key Products
Growth Drivers
- Expansion of sales to drugstores (¥803,973 million in FY2026 (ending March 2026), up 5.3% year-on-year)
- Rising sales unit prices due to price inflation in the daily necessities and cosmetics categories
- Precise response to market changes such as health consciousness and outing demand by leveraging purchasing data
- Expansion of new high-value-added product offerings, particularly in cosmetics
- Expansion of sales to convenience stores (up 8.0% year-on-year) and to GMS (general merchandise stores) (up 8.2% year-on-year)
- Future productivity improvements through the next-generation new distribution model (tentatively named RDC Kaizuka)
Risks
- Downward pressure on sales volume due to continued consumer thrift amid price inflation
- Deterioration of the SG&A ratio due to rising business operating costs, including personnel and logistics expenses (SG&A ratio of 5.32% in the current period)
- Continued revenue decline in the pharmaceuticals category (down 2.4% in FY2026 (ending March 2026))
- Significant revenue decline in export, e-commerce companies, and other channels (down 21.3% in FY2026 (ending March 2026))
- Uncertainty over domestic economic outlook due to U.S. trade policy and Middle East situation, among other factors
- Risk of revenue concentration in a major customer (Matsukiyo Cocokara & Company Group) (approximately 10.8% of revenue)
- Risk of driver shortages and rising personnel costs due to the declining working-age population
- Changes in governance and management environment following delisting and conversion to a wholly owned subsidiary
Last updated: June 19, 2026