FY4/19 2Q
IR PRESENTATION

December 2018

Results Overview© 2018 AIN HOLDINGS INC. All Rights Reserved.

1

Consolidated P/L
Net sales decreased 0.4% year on year to ¥131,781 million, operating income declined 19.6% to ¥6,731
million, ordinary income dropped 19.0% to ¥7,018 million, and profit attributable to owners of parent
decreased 17.6% to ¥3,639 million.
(¥ million)

FY4/18 2Q
resultsNet
sales（単位：百万132,342

Gross profit

22,390

SG&A expenses

FY4/19 2Q
plan

YoYchangeYoYchange(%)

Vs plan(%)

131,781

(561)

(0.4)

(0.4)

22,30021,413

(977)

(4.4)

(4.0)

14,022

15,26014,681

+659

+4.7

(3.8)

Operating income

8,367

7,040

6,731

(1,636)(19.6)(4.4)

Ordinary income

8,665

7,290

7,018

(1,647)(19.0)(3.7)

Profit attributableto owners of parent

4,418

3,639

(779)

(17.6)(2.7)% of net sales

3.3

3,740

Earnings per
share(¥)

134.91105.57102.73(32.18)(23.9)(2.7)

円）% of net sales% of net sales% of net sales% of net sales

16.9
10.6
6.3
6.5

132,350

FY4/19 2Q
results

16.8
11.5
5.3
5.5

2.8

16.2
11.1
5.1
5.3

2.8

Figures in the table are rounded down
© 2018 AIN HOLDINGS INC. All Rights Reserved.

2

Dispensing Pharmacy Business (Consolidated)
Although the group opened 78 new dispensing pharmacies during the first six months, net sales
decreased 1.4 % year on year and 0.2% against the plan due to the lagging of timing of new store
openings. Segment income dropped 9.8% against the plan due to dispensing fee revisions.
(¥ million)

FY4/18 2Q
results

FY4/19 2Q
plan

Net sales

117,991

116,600

Gross profit

16,541% of net sales

SG&A expenses% of net sales

Operating income% of net sales

Segment income% of net sales

Number ofpharmacies

FY4/19 2Q
results

YoYchangeYoYchange(%)

Vs plan(%)

116,376(1,615)

(1.4)

(0.2)

15,95015,036(1,505)

(9.1)

(5.7)

7,160

7,570

7,419

+259

+3.6

(2.0)

9,380

8,380

7,616

(1,764)(18.8)

(9.1)

9,702

8,730

7,875

(1,827)(18.8)

(9.8)

1,045

1,069

1,081

+36

+3.4

+1.1

14.0
6.1
7.9
8.2

13.7

6.5
7.2
7.5

12.9
6.4
6.5
6.8

Figures in the table are rounded down
Segment income is adjusted to ordinary income shown on the quarterly consolidated statements of income
Prescription volume: +1.9% YoY© 2018 AIN HOLDINGS INC. All Rights Reserved.

Average prescription price: (2.9)%YoY

3

Cosmetic and Drug Store Business (Consolidated)
Although the net sales of existing stores has showing significant growth, net sales increased 8.5 % year
on year and decreased 2.0% against the plan due to the series of natural disaster. Segment income
increasing 238.7% year on year and 21.1% against the plan due to overhaul of procurement activities
and cost reduction.
(¥ million)

FY4/18 2Q
results

Net sales

11,566Gross profit

4,320% of net sales

SG&A expenses% of net sales

FY4/19 2Q
plan

YoYchangeYoYchange(%)

Vs plan(%)

12,544

+978

+8.5

(2.0)

4,780

4,698

+378

+8.8

(1.7)

4,177

4,330

4,191

+14

+0.3

(3.2)

143

450

506

+363

+253.8 +12.4

163

456

552

+389

+238.7 +21.1

50

52

52

+2

37.4

Operating income% of net sales

Segment income% of net sales

Number ofstores

36.1
1.2
1.4

12,800FY4/19 2Q
results

37.3
33.8
3.5
3.6

37.5
33.4
4.0
4.4

+4.0

0.0

Figures in the table are rounded down
Segment income is adjusted to ordinary income shown on the quarterly consolidated statements of income
Number of customers: +1.8% YoY
Average spending per customer: +6.5% YoY© 2018 AIN HOLDINGS INC. All Rights Reserved.

4

Consolidated B/S
Net cash was ¥39,624 million and shareholders’ equity ratio became 53.4%. We are maintaining asound financial structure.
(¥ million)(¥ million)

End-FY4/19 2Q

End-FY4/18
AssetsCurrent assets
Cash on hand andin banks

Fixed assets
Investments insecurities

Deferred
assetsTotal assets

AssetsLiabilities

94,557 Current liabilities

69,950

6,717
443

Current assets

63,779

Short-term debt
Lease obligations

88,718

16,6962,375Long-term
liabilities

Long-term debt
Lease obligations

11,511
632

Investments insecurities

103

Total net assets

96,733

Deferred
assets183,380

Total liabilities
and net assets

183,380

Total assets

Net cash
Shareholders’ equity
ratio(%)

44,474
52.7

Cash on hand andin banks

Fixed assets

Liabilities

91,323 Current liabilities

72,3978,143
367

57,337

Short-term debt
Lease obligations

93,15913,631

2,254

Long-term
liabilities

Long-term debt
Lease obligations

8,660
541

81

Total net assets

98,535

184,564

Total liabilities
and net assets

184,564

Net cash
Shareholders’ equity
ratio(%)

39,62453.4

Figures in the table are rounded down
Net cash = Cash on hand and in banks – Interest-bearing debt (Long- and short- term debt + Lease obligations)© 2018 AIN HOLDINGS INC. All Rights Reserved.

5

Assets
The balance of total assets increased ¥1,184 million from the end of the previous fiscal year due to the
new store openings and M&A.
(¥ million)

End-FY4/18 2Q

Cash on hand and in banks
Notes and accounts receivable
Inventories

Total current assets
Buildings and structures,net
Land
Lease assets
Total property,plant andequipment
Goodwill
Lease assets

End-FY4/18

End-FY4/19 2Q

Change57,05910,25012,33790,411
15,1809,784

63,77910,466
9,580
94,557
14,934
10,041

57,337
10,83512,08891,323
15,732(6,442)+369+2,508(3,234)
+798
+335

1,040

824

10,376762(62)

27,931

27,85329,339

+1,48639,49438,01113

11

40,993+2,982(0)41,5692,438
3,255
10,697

40,132
2,375
3,772
11,33911
43,064
2,254
3,915
11,540+2,932
(121)
+143
+201

20,383

20,732

20,755+23

Total assets

89,884125
180,420

88,718103
183,380

93,15981
184,564+4,441(22)+1,184

Figures in the table are rounded down

Change:End-FY4/19 2Q compared with End-FY4/18

Total intangible fixed assets
Investments in securities
Deferred tax assets
Deposits and guarantees
Total investments and otherassetsTotal fixed assets
Total deferred assets

M&A
New
store
openings

M&A

Capital expenditures (Property, plant and equipment and intangible fixed assets + Deposits and guarantees) totaled ¥2,770 million© 2018 AIN HOLDINGS INC. All Rights Reserved.

6

Liabilities and Net Assets
The balance of liabilities decreased ¥618 million from the end of the previous fiscal year due to therepayment of debts etc.
(¥ million)

End-FY4/18 2Q

End-FY4/18

End-FY4/19 2Q

ChangeAccounts payable

40,32638,72842,131+3,403

Short-term debt

7,457
520

6,717
443

8,143
367

+1,426(76)

Lease obligations
Total current liabilities
Long-term debt
Lease obligations
Total long-term liabilities
Total liabilities
Common stock
Capital surplus
Retained earnings
Total shareholders’ equity
Total net assets
Total liabilities and net
assets

69,944
14,608834

69,95011,511
632

72,3978,660
541+2,447(2,851)(91)

19,69789,641

16,696
86,646

13,631
86,028(3,065)(618)

90,514
90,77996,662
96,733

98,53098,535+1,868+1,802

180,420

183,380

184,564+1,184

21,89420,50048,12021,89420,50054,26821,89420,50056,137

Repaymentof debts+1,869Figures in the table are rounded down
Change : End-FY4/19 2Q compared with End-FY4/18© 2018 AIN HOLDINGS INC. All Rights Reserved.

7

Consolidated C/F
The change of Net cash used in investing activities became ¥5,860 million due to the store opening
including M&A, etc.
(¥ million)

FY4/18 2Q

FY4/19 2Q

Change

6,886

4,402

(2,484)

Profit before income taxes

8,104

6,668

(1,436)

Depreciation and amortization

1,735

1,795

+60

Amortization of goodwill

1,983

2,007

+24

(92)

1,030

+1,122(Increase) decrease in inventories(583)(1,953)(1,370)(Increase) decrease in other accounts receivable

1,265

(364)

(1,629)

806

994

+188

(1,279)(5,860)(4,581)(1,247)(1,923)

(676)

(418)

(4,018)(3,600)21,769(5,183)(26,952)

27,635-(27,635)

Net increase in cash and cash equivalents

27,376(6,642)(34,018)

Cash and cash equivalents at end of the year

56,611

56,590(21)

Net cash provided by operating activities(Increase) decrease in accounts receivable

Increase (decrease) in accounts payable
Net cash used in investing activities
Payments for purchases of property, plantand equipment and intangible fixed assets
Purchase of subsidiaries’ shares resulting
in obtaining controls
Net cash provided by financing activities
Proceeds from issuance of common sharesand sales of treasury shares

Figures in the table are rounded down
© 2018 AIN HOLDINGS INC. All Rights Reserved.

8

Business Value Analysis
FY4/18 2Q

FY4/18

FY4/19 2Q

ChangeNet cash (¥ million)

50.3
152.2
28.72
134.913.02
2,560.59
2.6
5.9
12,08619.95(0.37)
33,637

52.7
141.0
23.54
310.082.67
2,729.44
6.2
13.5
27,1567.90(0.46)
44,474

53.4
169.7
43.02
102.733.18
2,780.64
2.0
3.7
10,53426.00(0.40)
39,624

+3.1
+17.5
+14.3
(32.18)+0.16+220.05(0.6)(2.2)(1,552)+6.05(0.03)+5,987

Shareholders’ value (¥ million)

274,771258,928

313,559+38,788

Market capitalization (¥ million)

274,563258,620

313,178+38,615

Shareholders’ equity ratio (%)
Market value equity ratio (%)
PER (times)
EPS (¥)PBR (times)
BPS (¥)ROA (%)ROE (%)EBITDA (¥ million)
EV/EBITDA (times)
Net D/E ratio (times)

Figures in the table are rounded down
Change：FY4/19 2Q compared with FY4/18 2Q
Net D/E ratio = (Interest-bearing debt – Cash on hand and in banks) / Shareholders’ equity
Shareholders’ value = EV – Net interest-bearing debt
Market capitalization：Treasury stock is excepted
Share prices used to calculate market capitalization:
End-FY4/18 2Q ¥7,750 (End-Oct,2017), End-FY4/18 ¥7,300 (End-Apr,2018), End-FY4/19 2Q ¥8,840 (End-Oct,2018).
Net cash = Cash on hand and in banks – Interest-bearing debt (Long- and short- term debt + Lease obligations )© 2018 AIN HOLDINGS INC. All Rights Reserved.

9

FY4/19 Plan (Consolidated)
The group forecasts net sales for the fiscal year ending April 30, 2019 of 272,870 million, increase
1.7% year on year by openings new stores (100 pharmacies and 7 Cosmetic and drug stores) ,ordinary income decrease 10.6% due to the dispensing fee revisions.
（¥ million）

FY4/17
results

FY4/18results

FY4/19plan

248,110
42,092

268,385
47,993272,870
48,04027,52928,37014,563

YoYchangeYoYchange (%)+4,485

+1.7

+47

+0.1

30,540+2,170+7.6

19,622

17,500(2,122)(10.8)

15,08020,12918,000(2,129)(10.6)

7,949

9,260

(1,307)(12.4)% of net sales

3.2

10,567

Earnings per
share(¥)

250.71310.08261.38(48.70)(15.7)

50.00

50.00

55.00

+5.00

+10.0

Net sales

Gross profit% of net sales

SG&A expenses% of net sales

Operating income% of net sales

Ordinary income% of net sales

Profit attributable toowners of parent

Annual dividend (¥)

17.0
11.1

5.9
6.1

Figures in the table are rounded down
© 2018 AIN HOLDINGS INC. All Rights Reserved.

17.9
10.6

7.3
7.5
3.9

17.6
11.2

6.4
6.6
3.4

YoY change :FY4/19 plan compared with FY4/18 results
10

2Q Review
Revision of 2018
Growth Strategy© 2018 AIN HOLDINGS INC. All Rights Reserved.

11

2Q Review© 2018 AIN HOLDINGS INC. All Rights Reserved.

12

Review①（Vs FY4/18 2Q Results）■ Net sales(¥ million)
Net sales
Gross profit% of net
sales
SG&A
expenses% of net
sales
Operatingincome% of net
sales
Ordinary
income% of net
sales

FY4/18 2Q FY4/19 2Q
results
results

132,342 131,781
22,39016.9

14,022

10.6

8,367

6.3

8,665

6.5

21,413

16.2

14,681

11.1

YoYchange

(561)
(977)
+659

5.1

7,018 (1,647)

Figures in the table are rounded down

© 2018 AIN HOLDINGS INC. All Rights Reserved.

(0.4)
(4.4)

New stores+¥3.6
billion¥(5.0)
billionExisting stores,
Impact of revision

Full contribution of store
that opened in previous
fiscal year¥(2.2)
billion

FY4/19 2Q
results

Close of¥(0.6)
unprofitable billion
stores

FY4/18 2Q
results

6,731 (1,636)

5.3

+¥3.0
billionYoYchange (%)(0.4)%+4.7■ Ordinary income(19.6)+¥0.4 +¥0.2
billion billion

Improvement of Improvementof AYURA
cosmetic anddrug store, etc.
¥(1.8)(19.0)

FY4/18 2Q
results

FY4/19 2Q
resultsbillion

Impact ofrevision¥(0.4)
billionIncrease ofhead office
expense¥(1.6)
billion(19.0)%

13

Review②（Vs plan）■ Net sales(¥ million)
Net sales
Gross profit% of net
sales
SG&A
expenses% of net
sales
Operatingincome% of net
sales
Ordinary
income% of net
sales

FY4/19 2Q FY4/19 2Q
plan
results

Vs planVs plan(%)

132,350 131,781

(569)

(0.4)

22,300

(887)

(4.0)

16.9

15,260

11.5

7,040

5.3

7,290

5.5

21,413

16.2

14,681

11.1

6,731

5.1

7,018

5.3

Figures in the table are rounded down

© 2018 AIN HOLDINGS INC. All Rights Reserved.

(579)

+¥0.4
billionIncrease of
averageprescription price ¥(0.9)
of existing stores billion

New store

FY4/19 2Q openings lag
behindplanschedule

FY4/19 2Q
results¥(0.6)
billion(0.4)%¥(0.1)
billion

Close ofunprofitable
stores, AYURA,
etc.

(3.8)

■ Ordinary income

(309)
(272)

(4.4)
(3.7)

+¥0.5
billionImprovementof AYURA and
Mail order¥(0.9)
billion

Unachievedprescription
volume+¥0.1
billionImprovement ofcosmetic anddrug store, etc.

FY4/19 2Q
plan

FY4/19 2Q
results¥(0.3)
billion(3.7)%
14

Revision of 2018

© 2018 AIN HOLDINGS INC. All Rights Reserved.

15

Dispensing Fee Revisions of 2018
 Basic dispensing fee（New classification requirements ）1
2

41 pts
25 pts Over 4,000 times & 70% or Over 2,000 times & Over 85% or Over 4,000 times
from specific hospital3-Ⅰ 20 pts Same group over 40,000 times / month & Over 85% or lease contract withmedical institution
3-Ⅱ 15 pts Same group over 400,000 times / month & Over 85% or lease contract withmedical institution
Companies with annual net
S
10 pts Same premises（lease contract） & Over 95%
sales of approximately 43

billion yen or above
 Community support system premiums（New）35 pts
Basic dispensing fee 1, Inventory 1,200 items & Home healthcare services & Primary carepharmacists & Supervising pharmacist having experience 5 years, staying 1 year, 32h/week
Other than basic dispensing fee 1, have to fulfill all the following achievements

 GE Premiums（Requirements changed）
75-80% 18pts, 80-85% 22pts, Over 85% 26pts

Per pharmacists per year
①Night・Holiday addition 400 times②Narcotic drug management guidance addition 10
times③Duplicate medication・Interaction prevention
addition 40 times④Primary care pharmacists instruction fee 40 times⑤Outpatient medication support fee 12 times⑥Medication adjustment support addition 1 times⑦Home care services 12 times⑧Medication information providing fee 60 times

 Drug use history management and guidancefee （3 classifications）
41pts BDF 41pts & handing over medication
notebook & visiting within 6 months
53pts Except the above
13pts handing over medication notebook
ratio under 50%
 Primary care pharmacists instruction fee（Requirements changed）
73pts Patient’s consent & 3 years experience・Staying 1 year・32h/week, etc.
© 2018 AIN HOLDINGS INC. All Rights Reserved.

16

Basic dispensing fee ・ Community support system premiums■ Basic dispensing fee
To increase basic dispensing fee 1 by promote primary care services and working on receive
prescriptions not only from hospital near pharmacy but also from other hospitals and facilities.
1（41pts）

Store

1,000
500

360

2（25pts）

6

3-Ⅱ（15pts）

359

6

4/18

6

577
9

13

13

0

407

621

620

S（10pts）

10/18

4/19（Target）
Object:999 stores excluding the store opening in FY4/19

Progress measures
29 stores have alreadysatisfy the requirement for
Basic dispensingchanging to basic
fee 1（41pts）
dispensing fee 1

4/19 target：+47 stores

4/19 target : Compared with 4/18

■ Community support system premiums
The number of stores became 282 in October 2018. 4 stores which are other than Basic dispensingfee 1 have succeeded to fulfill 8 achievements until November 2018.
Basic dispensing fee 1

Store

1,000
500

Other

267

280

732

717

2

Progress measures

No premiums

304

Premiums
15

680（Basic dispensingfee 1）

Premiums（Other）

0
4/18
10/18
4/19（Target）
Object:999 stores excluding the store opening in FY4/19© 2018 AIN HOLDINGS INC. All Rights Reserved.

Current：+13 stores
4/19 target：+37 stores
Current：+4 stores
4/19 target：+15 stores

Other : As of November 20184/19 target : Compared with 4/18
17

Generic drug dispensing system premiums

Although GE average premiums dropped 2.9 points to 14.8 points after the dispensing fee revisions,the group have recovered to 16.7 points in October 2018. Furthermore, the group revise up thetarget from 17.0 to 17.9 points due to promote wider use of generic drugs.
■ Transition of GE premiums

GE average premiums（points）
20.0

All

4 main subsidiaries

Other

18.9
15.8

17.7
15.0

15.4

14.8
12.4

10.0
4/17

7

10

1/18

3

1(18 pts)

No premiums

16.9

15.9
13.4

4

7

17.6

Store

1,000
500
0

2(22 pts)

139
338
229

264

323

339

327

293

164
232

4/18

10/18

© 2018 AIN HOLDINGS INC. All Rights Reserved.

151
198
4/19(New target)

17.9

16.7

15.0

14.0

4 main subsidiaries: AIN PHARMACIEZ, AIN MEDIO, DAICHIKU, ASAHI PHARMACY
3(26 pts)

18.9

10

1/19

4（New target）

Change3 (26 pts)

+125 stores

2 (22 pts)

+1 stores

1 (18 pts)(65) Stores

No premiums (61) Stores
Change：10/18 compared with 4/18
18

Growth strategy© 2018 AIN HOLDINGS INC. All Rights Reserved.

19

Growth Strategy
With a drastic reduction in drug prices and further reduction of points aimed at major dispensing
pharmacy chains, the dispensing fee revisions in 2018 gotten severe. The group continues tostrengthen pharmacy functions in anticipation of strict system changes and deregulation in the future.

■Top-line
Expanding of business by active new store openings inprime location and by secure M&As

■ Strengthening the function of pharmacies
Strengthening the function of pharmacies focusing on KPI,
evaluating the quality of the non-hospital dispensing, such as
Community Support System and Primary Care Functions, etc.

■ Recruit and train personnel
Recruiting activity and development of human resources
with the energy of the entire company■ Growth of AINZ & TULPE
Improving the ratio of original products and gross profit byactive store openings in the metropolitan area and bystrengthening our brand equity© 2018 AIN HOLDINGS INC. All Rights Reserved.

20

Top-line①

The group achieved the plan due to KOM MEDICAL, which mainly in Niigata, became subsidiaries of
the group during FY4/19 2Q. We forecast the total number of store opening in end-FY4/19 will
surpass the plan.
■ Total number of stores

1,133 (Dispensing pharmacy:1,081 Cosmetic and drug store:52)■ PlanFY4/19 2Q

Dispensing

Pharmacy

12/18

FY4/19Plan

Plan

Results

Organic

8

6

17

30

M&A

47

72

73
(4.79)

70(EV/EBITDA
ratio)

4

4

4

Total

59

82

94

107

ClosureCosmetic and drug store

7

Dispensing

Pharmacy

Close
Transfer

Cosmetic and drug store

Total

7

10

17

-

19

25

-

-

-

-

-

15

26

35

17

15

Hokkaido
120

Koshinetsu
75
Chugoku,
Shikoku
93

Hokuriku
24

Kinki
130
Kyusyu, Okinawa
46

Tokai
94

Tohoku
151
Kanto
400

End-FY4/19 2Q

FY4/17-FY4/18 The number of closure store in dispensing pharmacy：close 63, transfer 34
EV/EBITDA ratio=EV(Purchase price)/EBITDA(Operating income + Depreciation and amortization)© 2018 AIN HOLDINGS INC. All Rights Reserved.

21

Top-line②

Due to the failure of successor, shortage of pharmacist, dispensing fee revisions in 2018 and anxiety
about business continuity, the number of projects both of private and corporate pharmacy that meet
our M&A standards is increasing. The group continues aggressive M&A towards expanding the top line.
■ Transition of M&A

FY4/10FY4/11

FY4/12

FY4/13

FY4/14

FY4/15

FY4/16

FY4/17

FY4/18

FY4/19

3

35

28

38

26

119

110

182

11

72

3.45

5.60

5.51

5.09

3.94

4.77

5.37

5.50

3.96

4.79

No. of M&A
EV/EBITDA ratio■ M&A Targets and standards of AIN GroupOur M&A standards

Our targets
Dispensing pharmacy
market（59,000 pharmacies）

Annual net sales
over ¥150 million

Private pharmacy:
Annual net sales
over ¥200 million

Store size

（22,000 pharmacies）¥5.8 trillion¥7.7 trillion
Annual net sales
under ¥150 million(37,000 pharmacies)

Corporate pharmacy:
Annual net sales
over ¥120 million
Over ¥150 million

EV/EBITDA ratio

5 times - 7 times

ProfitContribute fromnext fiscal year

Risk

Onsite pharmacy
Compliance

FY4/19 Plan
70 Stores

Net sales contributein FY4/19¥10 billion(Net sales contributein FY4/20)¥14 billion¥1.9 trillion
Estimated by Recent trend of national dispensing medical expenses(2017) from Ministry of Health, Labor and Welfare© 2018 AIN HOLDINGS INC. All Rights Reserved.

22

Strengthening the function of pharmacies
 Pharmacy’s vision for patients (by the Ministry of Health, Labor and Welfare on October 23th, 2015)
Healthcare support pharmacies

Function of advanced
pharmaceutical management

Function of healthcare support
Contribution for prevention of patients’ deceaseand healthcare supportCorrespondence for the needs of advanced
pharmaceutical management

Primaryかかりつけ薬剤師・薬局
care pharmacists and pharmacies

24-hour support & Home24時間対応・在宅対応
based healthcare

Integrated and continuous

服薬情報の一元管理・継続的把握
management of drug usage 副作用や効果の継続的な確認check of drugs’ effects and side effects
 Continuous
多剤・重複投薬や相互作用の防止

Prevention of over-prescription, double medication
ICT（電子版お薬手帳等）を活用し、患者がかかand interactions

 夜間・休日、在宅医療への対応Support for patients in the night and holidays &24時間の対応
Home-based healthcare

在宅患者への薬学的管理・服薬指導※地域の薬局・地区薬剤師会との連携のほか、へき地等では、相談受付等に当たり地域包括支援センター等との連携も可能

る全ての医療機関の処方情報を把握
一般用医薬品等を含めた服薬情報を一元的・継続的に把握し、薬学的管理・指導

Cooperation
with medical institutions
医療機関等との連携

疑義照会・処方提案
 Inquiry
to doctors about possible prescription
 errors
副作用・服薬状況のフィードバック& Suggestion about prescription drugs
 Feedback
to doctors about side effects and医療情報連携ネットワークでの情報共有
drug usage© 2018 AIN HOLDINGS INC. All Rights Reserved.







Patient counselling and provision of drug
医薬品等に関する相談や健康相談への対応
information
医療機関への受診勧奨
Encouragement
for medical consultation

23

Strengthening the function of pharmacies
The group continues to strengthen the function of pharmacies which are based on “pharmacy’s vision for patients“.
In addition, in order to further enhance the functions, location that near hospital or same premises as hospitalwould likely be the most favorable location since it can easy to build links with medical institutions.
Healthcare support pharmacies
Function of healthcare support

国民の病気の予防や健康サポートに貢献
Healthcare support which local hub
要指導医薬品等を適切に選択できるような供給機能やpharmacyand hospital are well cooperated


助言の体制、健康相談受付、受診勧奨・関係機関紹介 等

Function of advanced
高度薬学管理機能
pharmaceutical management

 Pharmacist
高度な薬学管理ニーズへの対応
with specialist skills and equipment

Provide advanced medical treatment by
専門機関と連携し抗がん剤の副作用対応や抗HIV薬
cooperation
with 等
regional center hospitalsの選択などを支援

Primaryかかりつけ薬剤師・薬局
care pharmacists and pharmacies

Integrated and continuous

服薬情報の一元管理・継続的把握
management of drug usage

919 stores

 副作用や効果の継続的な確認
care pharmacy
Primary
多剤・重複投薬や相互作用の防止(YoY change +3%)
ICT（電子版お薬手帳等）を活用し、患者がかか
ICT（電子版お薬手帳等）を活用し、患者がかかる全ての医療機関の処方情報を把握る全ての医療機関の処方情報を把握
Primary
care service
thousand times
一般用医薬品等を含めた服薬情報を一元的・継続
一般用医薬品等を含めた服薬情報を一元的・継続的に把握し、薬学的管理・指導的に把握し、薬学的管理・指導(YoY change (4)%)

470

Addition to Preventing double
and interactions
 medication
疑義照会・処方提案

24-hour support & Home24時間対応・在宅対応
24時間対応・在宅対応
based healthcare 夜間・休日、在宅医療への対応

ALL
90

24-hour
supportstores
24時間の対応
在宅患者への薬学的管理・服薬指導※地域の薬局・地区薬剤師会との連携のほか、
Home-basehealthcare
thousand times
へき地等では、相談受付等に当たり地域包括支援センター等との連携も可能(YoY change +4%）

Cooperation
with medical institutions
医療機関等との連携
医療機関等との連携

Drug instruction addition（Tracing Report）

Medication adjustment

 疑義照会・処方提案support addition
 医薬品等に関する相談や健康相談への対応
医薬品等に関する相談や健康相談への対応
副作用・服薬状況のフィードバック（Polypharmacy）
 副作用・服薬状況のフィードバック
thousandtimes
 医療機関への受診勧奨
医療機関への受診勧奨
thousand times
医療情報連携ネットワークでの情報共有
医療情報連携ネットワークでの情報共有（YoY change +243%）
times（YoY change +13%）140

FY4/19 2Q results

16

89

24-hour support：excluding some stores joined the group recently© 2018 AIN HOLDINGS INC. All Rights Reserved.

24

Recruiting of Pharmacists

In April 2018, new 431 employees (pharmacists : 279, general staff : 152) joined our company.
The number of prospective new employees in April 2019 at this time is 566 (pharmacists :344,
general staff:222).

■ The transition of No. of national examination passers and new qualified pharmacists in AIN Group2010（people）

No. of newly qualified
pharmacists hired in
AIN Group
No. of pharmacists’national examination
passers (pass rate)
Rate of newly qualified
pharmacists hired in
AIN Group

2011

2012

2013

2014

2015

2016

2017

2018

2019

97

42

189

251

251

229

375

307

279

3,787

1,455

8,641

8,929

7,312

9,044

11,488

9,479

9,584

2.5%

3.3%

3.2%

344

(prospective)（56.4%） （44.4%） （88.3%） （79.1%） （60.8%） （63.2%） （76.9%） （71.6%） （70.6%）

（

2.6%
-

）

（

2.9%
-

）

2.2%

（5.7%）

2.8%（7.0%）

3.4%（8.0%）（8.0%） （11.7%） （10.0%）

2.9%（8.0%）

-

（

-

）

（

-

）

Estimates : based on the result in AIN Group, and data from the Ministry of Health, Labor and Welfare, Council on Pharmaceutical Education.

（people）

No. of new graduates

700

600

Pharmacists

General staff

500

400

400

375

300
200
100
0

189

97

251

251

78

42
27

47

53

28

10

11

12

13

14

© 2018 AIN HOLDINGS INC. All Rights Reserved.

307

279

229
93

15

173

174

152

16

17

18

210

19 （Year）（Plan）

25

Expansion of AINZ & TULPE①
Year

FY 4/00

FY 4/02

StrategyFirst ainz & tulpe

FY 4/04

FY 4/06

FY 4/08

Open department
store

ExpandNationwide

FY 4/12FY 4/14FY 4/18

Flagship store inOpen store
metropolitan area
inside the station

その他売上高Othernet sales

セグメント利益
Segment
incomeSHIBUYA KOENDORIGross profit margin

Net sales

30,00020,000

FY4/00Net sales
10,000¥4.2
billion0

Net sales(¥billion)

6,000
4,000

Segment
income¥1.0 billion

2,000
0

5.0 5.8

7.9 9.5 12.5 14.8 14.2 13.9 13.2 13.6 14.8 15.3 16.7 17.9 17.8 20.8 21.3 24.1 27.0 32.0 40.0 50.0

0 (0.1)00.1

0 (0.1) (0.2) (0.2) (0.4) (0.2) (0.4) (0.2)

0.1

0

0

0.1 (0.4) (0.8)

0.6

1.0

－

－

30

36

33

40

27

44

43

43

45

46

49

53

56

61

59

56

52

52

48

55

65

80 100ainz & tulpe

0

0

0

1

4

9

12

13

15

18

20

26

33

39

41

41

42

45

41

50

59

72

90

Closing

0

0

5

7

16

0

4

3

1

4

2

2

4

2

5

6

9

9

8

－

－

－

－

－

－ 0.0

0.0 0.0

0.1

1.0

1.2

1.5

1.7

2.0

2.2

2.5

2.9

3.2

3.6

4.2

4.6

4.9

－

－

－

－

No.of store

Membership(million)

8,000

00/4 01/4
02/4 03/4
04/4 05/4
4/00
4/01 4/02
4/03 4/04
4/05 06/4
4/06 07/4
4/07 08/4
4/08 09/4
4/09 10/4
4/10 11/4
4/11 12/4
4/12 13/4
4/13 14/4
4/14 15/4
4/15 16/4
4/16 17/4
4/17 18/4
4/1819/4
4/1920/4
4/2021/4
4/21 22/4
4/22（Year）
4.2

Segment
income(¥billion)

FY4/19Net sales¥27.0
billion

FY4/12
Net sales¥15.0
billion

FY4/05Net sales¥12.5
billion

42.0%

37.3%

31.6%

25.0%

（¥million）
10,000© 2018 AIN HOLDINGS INC. All Rights Reserved.

－

26

Segment income

26.2%

Renewal of
SAPPORO CHIKAGAISAPPORO CHIKAGAISHINJUKUHIGASIGUCHITokyo Station

FY 4/22

KEIO DEPARTMENTSTORE SHINJUKU

50,00040,000FY 4/20

Le trois

HARAJUKU QUEST

アインズ＆トルペ売上高
Netsales of ainz & tulpe

FY 4/16

Complex facility

IKEBUKURO SEIBUSAPPORO CHIKAGAI（¥million）
60,000FY 4/10

Expansion of AINZ & TULPE②
Despite the impacts of the typhoons and the earthquake in Hokkaido, net sales are increasing
solidly because of getting more awareness in the metropolitan area. Gross margin also improve
due to an overhaul of procurement activities and greater operation efficiency.
■ Area verify（¥ million）

FY4/18 2Q FY4/19 2Q

Segment income

4,312
284

4,164
339

% of net sales

6.6

8.1

Net sales

Metropolitan area

Sapporo area

■ Stores in Metropolitan area
Tokyo Station

YoYchangeYoYchange(％)

(148)
+55

(3.4)
+19.4

7,773 +1,260

56

445

0.9

5.7

+19.3

+389 +694.6

1,500

10/10

1,000

Sales floor

430㎡

500

SKU

16,0000（¥million）

493

4/12

7/15

Sales floor

793㎡

2,000

SKU

23,000

0

822

566

624

702

749

4/13

4/14

4/15

4/16

（+13%） （+7%）（+15%）（+10%）（+10%）

4/17() compared with the previous fiscal year（%）

4,000

Open

© 2018 AIN HOLDINGS INC. All Rights Reserved.

6,513

YoY
change(％)（¥million）

Open

SHINJUKU HIGASIGUCHI

YoYchangeFY4/18 2Q FY4/19 2Q

1,932

1,254

（+54%）

4/16

4/17

2,619
（+36%）

4/18() compared with the previous fiscal year（%）

930

1,020

4/18

4/19（FY）（+13%） （+10%）（Plan）

3,000（+15%）

4/19（Plan）（FY）27

FY4/19 Plan (Consolidated)
The group forecasts net sales for the fiscal year ending April 30, 2019 of 272,870 million, increase
1.7% year on year by openings new stores (100 pharmacies and 7 Cosmetic and drug stores) ,ordinary income decrease 10.6% due to the dispensing fee revisions.
（¥ million）

FY4/17
results

FY4/18results

FY4/19plan

248,110
42,092

268,385
47,993272,870
48,04027,52928,37014,563

YoYchangeYoYchange (%)+4,485

+1.7

+47

+0.1

30,540+2,170+7.6

19,622

17,500(2,122)(10.8)

15,08020,12918,000(2,129)(10.6)

7,949

9,260

(1,307)(12.4)% of net sales

3.2

10,567

Earnings per
share(¥)

250.71310.08261.38(48.70)(15.7)

50.00

50.00

55.00

+5.00

+10.0

Net sales

Gross profit% of net sales

SG&A expenses% of net sales

Operating income% of net sales

Ordinary income% of net sales

Profit attributable toowners of parent

Annual dividend (¥)

17.0
11.1

5.9
6.1

Figures in the table are rounded down
© 2018 AIN HOLDINGS INC. All Rights Reserved.

17.9
10.6

7.3
7.5
3.9

17.6
11.2

6.4
6.6
3.4

YoY change :FY4/19 plan compared with FY4/18 results28Supplementary Information© 2018 AIN HOLDINGS INC. All Rights Reserved.

29

Company Profile
Trade name
Representative
EstablishedMarket capitalization
Net sales andoperating income
Sales composition
Number of employees

AIN HOLDINGS INC
Kiichi Otani, President and Representative Director
August 1969
¥283,426 million As of Dec 6, 2018
Net sales: ¥268,385 million

Operating income: ¥19,622 million

As of FY4/18

Dispensing Pharmacy : ¥238,645 million, Cosmetic and Drug Store : ¥24,117 million,
As of FY4/18
Others : ¥5,623 million
9,603 (including pharmacists：4,457)
As of Apr 30, 2018
《Dispensing pharmacy》 AIN PHARMACIEZ Inc. and other 65 companies.

Group companies《Staffing services》 《Consulting services》 MEDIWEL Corp., Medical Development Co., Ltd. etc.
《Generic drug wholesales》 WHOLESALE STARS Co., Ltd
As of FY4/18

Number of stores

1,077 (1,029 dispensing pharmacies, 48 cosmetic and drug stores) As of FY4/18

Cosmetic and DrugStore 9.0%
© 2018 AIN HOLDINGS INC. All Rights Reserved.

FY4/18 Consolidated
net sales¥268,385 million

Dispensing Pharmacy
88.9%
30

Comparison to Other Companies
（%）
8.0
7.0

B company

Operating margin

6.0

AIN HOLDINGS

C company
A company

E company

5.0

Operating margin：7.3%
Market capitalization：

D company

4.0

Net sales：¥268,385 million¥283,426 million

3.0
2.0
1.0
0.0
0

40,00080,000120,000

160,000

200,000

240,000

280,000 （¥ million）

Net sales
Based on each company’s summary of financial statement for FY 3/18 (AIN HD: FY4/18)
Size of circle is proportional to market capitalization on Dec 6, 2018

© 2018 AIN HOLDINGS INC. All Rights Reserved.

31Inquiries related to this presentation should be addressed to

AIN HOLDINGS INC.
Corporate Planning Division
TEL(81)11-814-0010
FAX(81)11-814-5550
http://www.ainj.co.jp/
This document may not be reproduced or distributed to any third party without
prior approval of AIN HOLDINGS INC. This document has been prepared for
information purpose only and does not form part of a solicitation to sell orpurchase any securities. Information contained herein may be changed orrevised without prior notice. This document may contain forecastingstatements as to future results of operations. No forecast statement can be
guaranteed and actual results of operations may differ from those projected.

© 2018 AIN HOLDINGS INC. All Rights Reserved.

32