IR PRESENTATION

September 2017

Results Overview© 2017 AIN HOLDINGS INC. All Rights Reserved.

1

Consolidated P/L
Net sales increased 14.3% year on year and 2.9% against the plan due to firm growth in same stores and storesthat are opened in previous year. Ordinary income increased 74.0% year on year and 31.6% against the plan due
to the increase of net sales and the decrease of costs by improving operations.
(¥ million)

FY4/17 1Q
results

FY4/18 1Q
plan

FY4/18 1Q
results

Gross profit

57,8198,954

64,257
10,410% of net sales

15.5

16.2

16.7

6,672

7,372

7,096

11.5

11.5

10.7

2,281

3,037

3.9

4.7

2,376

3,143

4.1

4.9

6.3

1,371

1,451

2,120

% of net sales

2.4

2.3

3.2

Earnings per
share(¥)

43.25

45.79

Net
sales
（単位：百万円）

SG&A expenses% of net sales

Operatingincome% of net sales

Ordinary income% of net sales

Profit attributable toowners of parent

YoYchange66,095 +8,276
11,060 +2,106

YoYchange(%)

Vs plan
(%)

+14.3

+2.9

+23.5

+6.2

+424

+6.4

(3.7)

3,963 +1,682

+73.7

+30.5

+74.0

+31.6

+749

+54.6

+46.1

66.88 +23.63

+54.6

+46.1

6.0

4,135 +1,759

Figures in the table are rounded down
© 2017 AIN HOLDINGS INC. All Rights Reserved.

2

Dispensing Pharmacy Business（Consolidated）
Net sales increased 14.6% year on year and 2.8% against the plan due to the increase of prescription
volume and average prescription price in same stores and stores that are opened in the previous year.
Segment income increased 40.3% year on year and 14.8% against the plan by reception of technical feesand decrease of costs by raising operating efficiency.
(¥ million)

FY4/17 1Q
results

FY4/18 1Q
plan

FY4/18 1Q
results

58,929 +7,491
8,218 +1,647

Gross profit

51,4386,571

57,305
7,608% of net sales

12.8

13.3

13.9

3,226

3,505

3,577

6.3

6.1

6.1

3,345

4,102

6.5

7.2

3,437

4,201

% of net sales

6.7

7.3

8.2

Number ofpharmacies

894

1,065

1,054

Net sales

SG&A expenses% of net sales

Operatingincome% of net sales

Segment income

YoYchangeYoYchange(%)

Vs plan
(%)

+14.6

+2.8

+25.1

+8.0

+351

+10.9

+2.1

4,640 +1,295

+38.7

+13.1

+40.3

+14.8

+17.9

(1.0)

7.9

4,821 +1,384+160

Figures in the table are rounded down
Segment income is adjusted to ordinary income shown on the quarterly consolidated statements of income
Prescription volume: +16.4% YoY© 2017 AIN HOLDINGS INC. All Rights Reserved.

Average prescription price: (2.4)% YoY
3

Drug and Cosmetic Store Business(Consolidated)
Net sales increased 11.1% year on year and 3.9% against the plan due to contribution of stores that are
opened in the previous year and improvement of ability to attract customers in same stores. Segment
income turned positive to ¥37 million due to improvement of gross margin by active expansion of original
brand and decrease of costs by raising operating efficiency.
(¥ million)

FY4/17 1Q
results

FY4/18 1Q
plan

FY4/18 1Q
results

YoYchangeYoYchange(%)

Vs plan
(%)

5,827

+581

+11.1

+3.9

1,880

5,610
2,060

2,105

+225

+12.0

+2.2

35.8

36.7

36.1

2,089

2,170

2,077

(12)

(0.6)

(4.3)

39.8

38.7

35.6

(209)

(110)

27

+236

-

-

-

-

0.5

(194)

(80)

37

+231

-

-

% of net sales

-

-

0.6

Number ofstores

52

52

52

0

0.0

0.0

Net sales

5,246

Gross profit% of net sales

SG&A expenses% of net sales

Operatingincome% of net sales

Segment income

Figures in the table are rounded down
Segment income is adjusted to ordinary income shown on the quarterly consolidated statements of income
No. of customers: +5.6% YoY
Average spending per customer: +5.2% YoY© 2017 AIN HOLDINGS INC. All Rights Reserved.

4

Consolidated B/S
Net cash became ¥3,132 million and shareholders’ equity ratio became 39.0% due to the decrease oflong-term debt.
(¥ million)(¥ million)

End-FY4/17
AssetsCurrent assets
Cash on hand andin banks

Fixed assets
Investments insecurities

Deferred
assetsTotal assets

End-FY4/18 1Q
Liabilities

Assets72,955Current assets

7,596
594

Cash on hand andin banks

Long-term liabilities

23,188Fixed assets

Long-term debt
Lease obligations

18,254958

Investments insecurities‐

Total net assets

60,178Deferred
assets156,323

Total liabilities andnet assets

156,323

Total assets

Current liabilities

65,420

Short-term debt

29,77590,902

Lease obligations

2,435

Liabilities
Current liabilities

65,552

Short-term debt

29,500

Lease obligations

73,7158,520
560

Long-term liabilities

21,265Long-term debt
Lease obligations

16,376911‐

Total net assets

60,717

155,698

Total liabilities andnet assets

155,698

90,1462,476

Net cash

2,371

Net cash

3,132

Shareholders’ equity ratio(%)

38.4

Shareholders’ equity ratio(%)

39.0

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)© 2017 AIN HOLDINGS INC. All Rights Reserved.

5

Assets
The balance of total assets decreased by ¥625 million compared to those in the fiscal year ended April 2017
due to the decrease of notes and accounts receivable and goodwill etc.
(¥ million)

End-FY4/17 1Q

End-FY4/17

End-FY4/18 1Q

ChangeLease assets

26,822
7,621
11,73756,326
14,5709,517
1,273

29,775
9,990
11,66865,42015,365
9,958
1,166

29,5009,656
12,68865,552
15,342
9,871
1,122

(275)
(334)
+1,020
+132
(23)
(87)
(44)

Total property,plant and equipment

27,76628,46428,229(235)

Goodwill

Deposits and guarantees

33,30816
35,5582,582
2,084
10,03740,9398
43,1092,435
2,167
10,44340,43816
42,5832,476
2,125
10,763

(501)
+8
(526)
+41
(42)
+320

Total investments and other assets

19,49819,32919,333+4

82,823
139,149

90,902
156,323

90,146
155,698

(756)
(625)

Cash on hand and in banks
Notes and accounts receivable
Inventories
Total current assets
Buildings and structures,net
Land

Lease assets
Total intangible fixed assets
Investment securities
Deferred tax assets

Total fixed assets
Total assets

Figures in the table are rounded down
Change(¥):End-FY4/18 1Q compared with end-FY4/17
Capital expenditures(Purchases of property, plant and equipment and intangible fixed assets + Deposits and guarantees) totaled ¥852million© 2017 AIN HOLDINGS INC. All Rights Reserved.

6

Liabilities and Net Assets
The total liabilities decreased by ¥1,163 million compared to those in the fiscal year ended April 2017
due to the repayment of debts etc.
(¥ million)

End-FY4/17 1Q

End-FY4/17

End-FY4/18 1Q

ChangeLease obligations

38,3208,477
647

39,3257,596
594

41,7798,520
560+2,454+924(34)

Total current liabilities

67,30072,95573,715+760

Long-term debt

13,448
1,107

18,254958

16,376911(1,878)(47)

18,40885,70923,18896,144

21,26594,981(1,923)(1,163)

8,682
6,367
38,7088,682
6,367
45,2868,682
6,367
45,822‐‐+536

53,34053,440139,149

59,91860,178156,323

60,45360,717
155,698

+535
+539
(625)

Accounts payable
Short-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
Figures in the table are rounded down
Change(¥):End-FY4/18 1Q compared with End-FY4/17© 2017 AIN HOLDINGS INC. All Rights Reserved.

7

FY4/18 Plan (Consolidated)
We expect that net sales increase 7.8% year on year by new openings (100 pharmacies in dispensing pharmacy
business and 8 stores in drug and cosmetic store business). We also expect that ordinary income increase 12.7%
by the promotion of the use of generic drugs, calculation of technical fees and improvement of operating efficiency.

FY4/16
results

FY4/17
results

FY4/18plan

Gross profit

234,843
38,535248,110
42,092

267,500 +19,390
46,530 +4,438% of net sales

16.4

17.0

17.4

23,91527,52929,930

10.2

11.1

11.2

14,61914,563

16,600

6.2

5.9

6.2

15,15815,08017,000

6.5

6.1

6.4

7,917

7,949

8,900

% of net sales

3.4

3.2

3.3

Earnings per
share(¥)

249.69250.71

40.00

50.00

(¥ million)

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 (¥)

YoYchangeYoYchange (%)

+7.8
+10.5

+2,401+8.7+2,037+14.0+1,920

+12.7

+951

+12.0

262.63+11.92

+4.8

50.00

0.00

0.0

YoY change, YoY change(%) :FY4/18 plan compared with FY4/17 results
Figures in the table are rounded down
Earnings per share is calculated including new shares issued through a public offering (2,820,000) and a private placement (270,000). We plans to issue additional
shares (450,000) through a private placement for a secondary offering using an over-allotment option, but the impact of those shares has not been factored into theearnings per share calculation as the payment date is October 3, 2017.
© 2017 AIN HOLDINGS INC. All Rights Reserved.

8

1QReview© 2017 AIN HOLDINGS INC. All Rights Reserved.

9

Analysis of Results ①（vs FY4/17 1Q results）
 Net sales+¥1.8 billion

FY4/17 1Q FY4/18 1Q
results
results

YoY
YoYchange change(%)(¥ million)
Net sales

Gross profit% of net sales
SG&A
expenses% of net sales
Operatingincome% of net sales
Ordinary
income% of net sales

57,81966,095 +8,276

+14.3

8,954

11,060 +2,106

+23.5

15.5

7,096

11.5

10.7

+424

3,963 +1,682

3.9

2,376

+6.4

+¥7.5 billion
Previous year’s
openings+¥8.2 billion+14.3%

FY4/17 1Q
results

FY4/18 1Q
results

 Ordinary income

+73.7

6.0

4,135 +1,759

4.1

Figures in the table are rounded down

6.3+¥2.0 billion
Increase oftechnical fees¥(1.5) billion
Increase of operating
cost

+74.0
+¥1.2 billion
Increase of net sales in dispensing
pharmacy business and drug andcosmetic store business

FY4/17 1Q
results© 2017 AIN HOLDINGS INC. All Rights Reserved.

Close of unprofitable
stores

16.7

6,672

2,281

¥(1.4) billion

Technical fees of+¥0.3 billion existing stores etc.
New storesopenings+¥1.7 billion+74.0%

FY4/18 1Q
results
10

Analysis of Results ②（vs FY4/18 1Q 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

FY4/18 1Q FY4/18 1Q
plan
results

64,25766,095

10,41011,060

16.2

16.7

7,372

7,096

11.5

10.7

3,037

3,963

4.7

6.0

3,143

4,135

4.9

6.3

Figures in the table are rounded down

Vs plan

1,838
650

(276)

¥(0.2) billion
Downturn of new storesopenings in this term

Vs plan
(%)

+2.9
+6.2

(3.7)

+¥1.9 billion
Technical feesof existing
stores etc.
+¥0.1 billion
Previous year’s
openings

FY4/18 1Q
plan

FY4/18 1Q
results

 Ordinary income

926

+30.5

992

+31.6

+¥0.5 billion
Control ofoperating cost+¥0.1 billion
Increase oftechnical fees+¥0.9 billion+31.6%+¥0.3 billion
Increase of net sales in dispensing
pharmacy business and drug andcosmetic store business

FY4/18 1Q
plan© 2017 AIN HOLDINGS INC. All Rights Reserved.

+¥1.8 billion+2.9%

FY4/18 1Q
results
11

Transition of Sales from Drugs per Prescription
 Transition of Hepatitis C drugs’ sales(¥ million)
800
Net sales

600

FY4/17 results
FY4/18 results

400
Prescriptions of Hepatitis C drugs were higher than our plan

200

FY4/18 plan

0
May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

Jan.

Feb.

Mar.

Apr.

Aggregated the data from main 5 companies (AIN PHARMACIEZ, AIN MEDIO, DAICHIKU, Asahi Pharmacy, MEDIO PHARMACY ) .
This data is adjusted to the months following the schedule.

 Transition of increase-decrease rate of other drugs’ sales per prescription (Except Hepatitis C drugs)

Sales from drugs perprescription

104.0+4.0 (%)
102.0
+2.0

FY4/18 results

100.0
0.0

Switching to high price drugs

FY4/18 plan
98.0
(0.2)

(0.4)
96.0
May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

Jan.

Feb.

Mar.

Apr.

Aggregated the data from main 5 companies (AIN PHARMACIEZ, AIN MEDIO, DAICHIKU, Asahi Pharmacy, MEDIO PHARMACY ) .
This data is adjusted to the months following the schedule.
© 2017 AIN HOLDINGS INC. All Rights Reserved.

12Response to Dispensing Fee Revisions of 2016 ①
Comparison of 590 pharmacies of 4 main existing companies
After

Basic dispensing fee

Standards fordispensing system
premiums

Premiums forgeneric drug
dispensing systems

Drug use history
management andguidance fee

Premiums for
specific drug
management
instruction

Points1

Except following

41
(31)

2

Over 4,000 times and over 70%
or Over 2,000 times and over 90%
or Over 4,000 times from specific hospital

25
(19)

3

Same group over 40,000 times / month and over
95% or Lease contract with medical institution

20
(15)

Basic dispensing fee 41points & Inventory 1,200 items &Home healthcare services (1 case / year) & Notification ofprimary care pharmacists & Supervising pharmacists
having operational experience for at least 5 years andenrollment for at least 1 year32

65-75%

18

Over 75%

22

Basic dispensing fee 41 points & Patients’ handing overmedication notebook & Patients’ visiting within 6 months

38

Except the above

50

Primary care pharmacists instruction fee

70Specific drug management instruction

10

March
2016

(¥)
April 2016

July
2017

Change

382.9

312.9

(70.0)

337.1(45.8)

146.8

117.8

(29.0)

178.4

+31.6

191.1

147.0

(44.1)

185.9

(5.2)

382.6

435.1

+52.5

443.4

+60.8

9.6

25.5

+15.9

25.2

+15.6

Items and requirements mentioned above are a part of revisions of 2016
Change: Compared to March 2016

Points inside of parentheses are the subtracted points

Average prescription price per a reception

Object: 590 pharmacies(AIN PHARMACIEZ, AIN MEDIO, DAICHIKU, Asahi Pharmacy)© 2017 AIN HOLDINGS INC. All Rights Reserved.

Change(74.7)+57.0

13

Response to Dispensing Fee Revisions of 2016 ②
Comparison of 590 pharmacies of 4 main existing companies Ratio of pharmacies that receive basic dispensing fees
Basic dispensing fee1 (41points)

590

Basic dispensing fee2 (25points)

750

Basic dispensing fee3 (20points)

500
338
548

250

414

29
223
42

0

Mar. 2016

Apr.

33
143

Number of stores

Number of stores(Store)1,000590

 Ratio of pharmacies that receive standards for dispensing
system premiums(Store)
1,000
750

No premium
New premium (32points)
Old premium (12, 36points)

500
250
0

214

376

240

57

Mar.2016

Jul. 2017

350

533

Apr.

Jul.2017

 Progress of generic drugs

GE average premiums

No premiums
19.1

Premium1(18points)

14.7

16.3

Premium2(22points)

17.5

18.2

GE drugs share

18.4

18.6

800

15

600
121

10
455

5
0

(Store)
1000

345

243
250

312

363

384

403

200

140
66

124
63

Apr.

Jul.

71
64

124

97

78

159
68

Mar.2016

Apr.

July

Oct.

Jan.2017

400
200

Number of stores(Point)200Mar. 2016 : Calculated by old standards of revisions of 2014
GE average premiums : Average points per reception of prescriptions
GE drug share (volume) : 74.5% (As of July 2017)
Object :590 pharmacies of main 4 companies (AIN PHARMACIEZ, AIN MEDIO, DAICHIKU, Asahi Pharmacy)© 2017 AIN HOLDINGS INC. All Rights Reserved.

14

Top-Line
We opened 11 stores including M&As in FY4/18 1Q. We forecast the number of stores in the end of FY4/18 will be 1,189 by
opening 108 stores and closing 37 stores.

 Total number of stores

1,106 (Dispensing pharmacy:1,054 Drug and cosmetic store:52)
 PlanFY4/18 1Q

FY4/18Plan

Results

Plan

M&A

7
8

7
4

34
66

Drug and Cosmetic store

-

-

8

Total

15

11

108

Organic

Dispensing
pharmacy

Close

Dispensing
pharmacy

16

23

31

Drug andCosmetic store

-

-

6

16

23

37

Total of closed stores

Hokkaido
124

Tohoku140
Kanto,Koshinetsu
450

Hokuriku,Tokai,Kinki
257

54 properties are secured

Kyusyu,others
135

End-FY4/18 1Q

 Transition of dispensing pharmacies
Organic
M&A
EV/EBITDA ratio
Close
No. of total stores

FY4/08
23
91
4.82
5
356

FY4/09
24
3
2.21
8
375

FY4/10
21
3
3.45
2
397

FY4/11
18
35
5.60
5
448

FY4/12
27
28
5.51
9
494

FY4/13
38
38
5.09
10
560

EV/EBITDA ratio=EV(Purchase price)/EBITDA(Operating income + Depreciation and amortization)© 2017 AIN HOLDINGS INC. All Rights Reserved.

FY4/14
36
26
3.94
6
616

FY4/15
40
119
4.77
21
754

FY4/16
32
110
5.37
15
881

FY4/17
27
182
5.50
24
1,066

FY4/18 1Q
7
4
3.84
23
1,054

No. of stores include temporary closed stores from FY4/11
15

FY4/18 Plan (Dispensing Pharmacy Business)+¥1.3 billion

 Net sales(¥ million)
Net sales

Gross profit% of net sales
SG&A
expenses% of net sales
Operatingincome% of net sales
Segment
income% of net sales

YoYchangeYoYchange(%)

221,801 237,900 +16,099+7.3

FY4/17
results

FY4/18plan

32,090 34,280 +2,190
14.5+¥7.8 billion¥(4.1) billion
Decrease of hepatitis C,
impact of revisions of 2018,
And promotion of GE drugs, etc

New 100 storesopenings¥(3.7) billion
Close of unprofitable stores+¥14.8 billion
Full contribution of previous
year’s openings+¥16.1 billion
+7.3%

+6.8

14.4

13,432 14,480 +1,048
6.1

Technical fees ofexisting stores etc.

+7.8

6.1

FY4/17
results

FY4/18plan Segment income¥(1.4) billion

18,658 19,800 +1,142
8.4

+6.1

8.3

+¥3.0 billion

Increase of labor costsby recruitment of 307
Calculation ofpharmacists
technical fees
and use of WSS¥(2.1) billion

19,110 20,200 +1,090
8.6

+5.7

8.5

+¥2.3 billion
Increase of net sales

Figures in the table are rounded down

2018 etc.

+¥1.1 billion+5.7%

Decrease of hepatitis C： Impact from decrease of hepatitis C drugs’ usage

FY4/17
results© 2017 AIN HOLDINGS INC. All Rights Reserved.

Increase of operating
cost by increase ¥(0.7) billionof net sales
Revisions of

FY4/18plan
16

Analysis of Results
Same stores are shifting well by increase of visibility from customers, store renovations and measurementof sales promotion. Also, earning capacity is being improved by increase of operating efficiency and review
of sales promotion expenses etc.
■ Analysis of results
FY4/18 1Q

YoYchange(%)

5,827+11.1%

+3.9%

5,235

+7.2%

+3.7%

592

+1535.4%+5.3%

Segment income

37

‐

‐

Same store

211+741.4%+70.5%Store openings in theprevious year

(35)

‐

‐

Others

(139)

‐

‐

（¥ million）

Net sales
Same store
Store openings in theprevious year andothers■ AINZ＆TULPE SHINJUKU HIGASHIGUCHI

Vs plan(%)

Net Sales
・Effect of store renovation in same stores
・Acquisition of inbound demands
・Acquisition of new customers by sales promotion
activities
Segment income
・Improvement of gross profit by expansion oforiginal brand・Increase of operating efficiency and improvementof customer services
・Review of expenses such as store opening costand sales promotion expenses, etc■ AINZ＆TULPE TOKYOEKI
YoYchange(%)

YoYchange(%)

Net sales+7.9%

Net sales+12.2%

Segment
income+68.9%

Segment
income+195.1%

Measures・Restructuring of
merchandise・Improvement ofpurchase
・Review of sales
promotion

Measures・Store renovation
・Improvement ofpurchase
・Review of sales
promotion© 2017 AIN HOLDINGS INC. All Rights Reserved.

17

FY4/18 Plan (Drug and Cosmetic Store Business）

FY4/17
results

FY4/18plan

YoYchange(¥ million)
Net sales

Gross profit% of net sales

 Net sales+¥0.6 billion
Existing stores¥(1.1) billion+¥1.1 billion
Close of unprofitable
storesNew 8 storesopenings

21,383 23,600 +2,217 +10.4
7,623
35.6

8,770 +1,147 +15.0
37.2

SG&A expenses% of net sales

8,583

9,270

40.1

39.3

Operatingincome% of net sales

(959)

(500)

‐

‐

Segment
income% of net sales

YoYchange
(%)

(866)

(370)

‐

‐

Figures in the table are rounded down

© 2017 AIN HOLDINGS INC. All Rights Reserved.

＋¥1.6 billion
Full contributionof previous
year’s openings+¥2.2 billion+10.4%

FY4/17
results+683

FY4/18Plan+8.0
 Segment income

+459

+496

‐

‐

+¥0.2 billion
Adjustment ofoperation cost+¥0.5 billion+¥0.3 billion
Expansion oforiginal products

FY4/17
results

FY4/18Plan

18

Supplementary Information© 2017 AIN HOLDINGS INC. All Rights Reserved.

19

Dispensing Fee Revisions of 2016
BeforeExcept following

Points41(31)

After
1

Except following

Points41(31)

Over 4,000 times and over 70%
Basic dispensing fee

2Over 4,000 times and over 70%
Over 2,500 times and over 90%

Standards for dispensing

healthcare support

system premiums

24-hour own support, result of homehealthcare services

12

Same group over 40,000 times / month and over 95%
or Lease contract with medical institution

20(15)

Basic dispensing fee 41points & Inventory 1,200 items & Home
healthcare services (1 case / year) & Notification of primary carepharmacists & supervising pharmacists having operational36

25(19)or Over 4,000 times from specific hospital

25(19)
324-hour rotation support, homeor Over 2,000 times and over 90%

32

experience for at least 5 years and enrollment for at least 1 year

Premiums for generic drug

55%-65%1865-75%

18

dispensing systems

Over 65%

22

Over 75%

22

Except following

41

No notebooks

34

Drug use history
management andguidance fee

Premiums for specific drug
management instruction

Specific drug management instruction

Items and requirements mentioned above are a part of revisions of 2016

4

Basic dispensing fee 41 points & Patients’ handing overmedication notebook & Patients’ visiting within 6 months

38

Except the above

50

Primary care pharmacists instruction fee

70Specific drug management instruction

10

Points inside of parentheses are the subtracted points

Condition for calculating primary carepharmacists instruction fee

Operational experience for at least 3 years, Working over 32 hours per week, Belongs to pharmacy over 6 months,
Certified pharmacists, Participation of community activity

Opetation of primary care pharmacists

Guidance for drug usage, Integrated and continuous management of patients’ information, 24-hour support,
Management of surplus drugs, Home-based healthcare© 2017 AIN HOLDINGS INC. All Rights Reserved.

20

Company Profile
Trade nameAIN HOLDINGS INC.

Representative

Kiichi Otani, President and Representative Director

Established

August 1969

Market capitalization¥244,782 million As of April 30, 2017

Net sales andoperating income

Net sales: ¥248,110 million Operating income: ¥14,563 million

As of April 30, 2017

Dispensing Pharmacy : ¥221,801 million, Drug and Cosmetic Store : ¥21,383 million
Others : ¥4,925 million
As of April 30, 2017
9,774 (including pharmacists：4,518)
As of April 30, 2017

Sales composition
Number of employees

Group companies《Dispensing pharmacy》 AIN PHARMACIEZ Inc. and other 78 companies.
《Staffing services》 《Consulting services》 MEDIWEL Corp., Medical Development Co., Ltd. etc《Generic drug wholesales》 WHOLESALE STARS Co., Ltd
As of April 30, 2017

Number of stores

1,118 (1,066 dispensing pharmacies, 52 drug and cosmetic stores)

As of April 30, 2017

FY4/17 Consolidated net sales
Drug and Cosmetic Store
8.6%© 2017 AIN HOLDINGS INC. All Rights Reserved.

¥248,110 million

Dispensing Pharmacy
89.4%
21

Comparison to other companies
(%)
8.0

7.0

6.0

B company

Operating margin

C company
5.0
A company AIN HOLDINGS

E company

Net sales：¥248,110 million

4.0

Operating margin：5.9%
Market capitalization：¥244,782 million

3.0

D company

2.0

1.0

0.0
0

40,00080,000120,000

160,000

200,000

240,000(¥ million)

Net sales
Based on each company’s summary of financial statement for FY 3/17 (Our company: FY4/17)
Size of circle is proportional to market capitalization on April 30, 2017
© 2017 AIN HOLDINGS INC. All Rights Reserved.

22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.

© 2017 AIN HOLDINGS INC. All Rights Reserved.

23