FY4/18 3Q
IR PRESENTATIONMarch 2018

3Q Results Overview© 2018 AIN HOLDINGS INC. All Rights Reserved.

1

Consolidated P/L
Net sales increased 9.9% year on year and 0.3% against the plan due to business growth in same storesand stores that were opened in previous year. Ordinary income increased 47.3% year on year and 7.0%
against the plan due to the increase of net sales and the decrease of costs by improving operations.

FY4/17 3Q
results

FY4/18 3Q
revised plan

182,100

199,518

200,043 +17,943

+9.9

+0.3

Gross profit

30,092

37,72135,193+5,101

+17.0

+1.4

% of net sales

16.5

17.4

17.6

20,501

21,33520,883

+382

+1.9

(2.1)

11.3

10.7

10.4

9,591

13,386

14,310+4,719

+49.2

+6.9

5.3

6.7

7.2

10,01913,78814,760+4,741

+47.3

+7.0

5.5

6.9

7.4

5,438

6,986

7,931

+2,493

+45.8

+13.5

% of net sales

3.0

3.5

4.0

Earnings per
share(¥)

171.53207.66(¥ million)（単位：百万
Net
sales
円）

SG&A expenses% of net sales

Operatingincome% of net sales

Ordinary income% of net sales

Profit attributableto owners of parent

FY4/18 3Q
results

YoYchangeYoYchange(%)

Vs plan(%)

235.74 +64.21 +37.4 +13.5

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

2

Dispensing Pharmacy Business (Consolidated)
Net sales increased 9.6% year on year and 0.4% against the plan due to the increase of prescription
volume and average prescription price in same stores and stores that were opened in the previous year.
Segment income increased 22.9% year on year and 4.3% against the plan due to the increase of net
sales and the decrease of costs by improving operations.
FY4/18 3Q
FY4/17 3Q
FY4/18 3Q
YoY
YoY
Vs plan(¥ million)(%)
change change(%)
results
results
revised plan

Net sales

162,599

177,483

178,136 +15,537

+9.6

+0.4

Gross profit

22,65725,74026,273+3,616

+16.0

+2.1

% of net sales

13.9

14.5

14.7

10,022

10,842

10,747

+725

+7.2

(0.9)

6.2

6.1

6.0

12,635

14,89815,525+2,890

+22.9

+4.2

7.8

8.4

8.7

13,02915,347

16,013+2,984

+22.9

+4.3

% of net sales

8.0

8.6

9.0

Number ofpharmacies

1,069

1,043

1,041

(28)

(2.6)

(0.2)

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
Prescription volume: +10.4% YoY© 2018 AIN HOLDINGS INC. All Rights Reserved.

Average prescription price: (0.6)% YoY

3

Drug and Cosmetic Store Business (Consolidated)
Net sales increased 11.8% year on year and 0.0% against the plan due to contribution of stores that are openedin the previous year and improvement of ability to attract customers in same stores. Segment income increasing￥1,003million year on year to ¥425 million due to improvement of gross margin by active development oforiginal brand and by an overhaul of procurement activities and due to the decrease of costs by raising operating
efficiency.
(¥ million)

FY4/17 3Q
results

FY4/18 3Q
revised plan

FY4/18 3Q
results

YoYchangeYoYchange(%)

Vs plan(%)

Net sales

15,907

17,772

17,779+1,872

+11.8

+0.0

Gross profit

5,764

6,600

6,647

+883

+15.3

+0.7

% of net sales

36.2

37.1

37.4

6,396

6,361

6,257

(139)

(2.2)

(1.6)

40.2

35.8

35.2

(631)

238

390

+1,021

-

+63.9

-

1.3

2.2

(578)

266

425

+1,003-+59.8% of net sales

-

1.5

2.4

Number ofstores

52

49

48

(4)

(7.7)

(2.0)

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
Number of customers: +4.9% YoY
Average spending per customer: +6.6% YoY© 2018 AIN HOLDINGS INC. All Rights Reserved.

4

Consolidated B/S
Net cash increased by ¥35,772 million to ¥38,143 million and shareholders’ equity ratio became
51.7% by fund-raising through a public offering and private placements.
(¥ million)(¥ million)

End-FY4/18 3Q

End-FY4/17
AssetsCurrent assets
Cash on handand in banks

Fixed assets
Investments insecurities

liabilities
65,420 Current
Short-term debt

29,775

Lease obligations

90,902Long-term
liabilities

72,955Current assets

7,596
594

Cash on hand andin banks

23,188Fixed assets

2,435

Long-term debt
Lease obligations

18,254958

Investments insecurities‐

Total net assets

60,178Deferred
assets156,323

Total liabilities
and net assets

156,323

Total assets

Deferred
assetsTotal assets

AssetsLiabilities

Net cash
Shareholders’ equity
ratio(%)

2,371
38.4

Liabilities
liabilities
94,370 Current
Short-term debt

60,572

Lease obligations

87,759Long-term
liabilities

70,1588,207
475

17,8272,389

Long-term debt
Lease obligations

13,012734

114

Total net assets

94,257

182,243

Total liabilities
and net assets

182,243

Net cash
Shareholders’ equity
ratio(%)

38,14351.7

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 ¥25,920 million from the end of the previous fiscal year due tofund-raising through a public offering and private placements.
(¥ million)

End-FY4/17 3Q

End-FY4/17

End-FY4/18 3Q

Change26,292
9,178
13,292

29,775
9,990
11,66860,572
10,26912,482+30,797+279+814

61,15665,42094,370+28,950

15,515
10,021
1,256

15,365
9,958
1,166

15,228
10,150
941

(137)
+192
(225)

28,90828,46428,253(211)

41,71412

40,9398

38,47612(2,463)+4

Total intangible fixed assets

44,004

43,10940,489(2,620)Investments in securities

Deposits and guarantees

2,725
2,206
10,5152,435
2,167
10,4432,389
2,041
10,740

(46)
(126)
+297

Total investments and otherassets

20,15519,32919,016(313)

93,068154,224

90,902
156,323

87,759182,243(3,143)+25,920

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

Deferred tax assets

Total fixed assets
Total assets

Figures in the table are rounded down

Fundraising

Change:End-FY4/18 3Q compared with End-FY4/17

Capital expenditures (Property, plant and equipment and intangible fixed assets + Deposits and guarantees) totaled ¥3,150 million© 2018 AIN HOLDINGS INC. All Rights Reserved.

6

Liabilities and Net Assets
The balance of liabilities decreased ¥8,159 million from the end of the previous fiscal year due to therepayment of debts etc.
(¥ million)

End-FY4/17 3Q

End-FY4/17

End-FY4/18 3Q

ChangeAccounts payable

41,032

39,32541,351+2,026

Short-term debt

9,313
621

7,596
594

8,207
475

+611
(119)

69,257

72,95570,158(2,797)22,2491,036

18,254958

13,012734(5,242)(224)

27,33496,591

23,18896,144

17,827
87,985(5,361)(8,159)

8,682
6,367
42,7768,682
6,367
45,286

21,89420,50051,632+13,212+14,133+6,346

57,407
57,632

59,91860,17894,026
94,257+34,108+34,079

154,224

156,323

182,243+25,920

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
assetsFigures in the table are rounded down

Change : End-FY4/18 3Q compared with End-FY4/17© 2018 AIN HOLDINGS INC. All Rights Reserved.

7

FY4/18 Plan (Consolidated)
Net sales increase 7.8% year on year due to the both dispensing pharmacy business and drug and cosmetic store
business have strong results in FY4/18 even though the close of unprofitable stores in preparation for the revisionof this April. We also decided to revise up our forecasts that ordinary income increase 22.7% because same storesin drug and cosmetic store business are shifting well and operating efficiency is improving.
(¥ million)

Net sales

Gross profit

FY4/16
results

FY4/17
results

234,843
38,535248,110
42,09216.4

17.0% of net sales

SG&A expenses% of net sales

Operating income% of net sales

FY4/18
revised plan

YoYchangeYoYchange (%)

267,500 +19,390
47,400 +5,308+12.6+1,871+6.8+3,437+23.6+3,420+22.7+1,251

+15.7

17.7

23,91527,52929,400

10.2

11.1

11.0

14,61914,56318,000

6.2

5.9

6.7

+7.8

15,15815,08018,500

6.5

6.1

6.9

7,917

7,949

9,200

% of net sales

3.4

3.2

3.4

Earnings per
share(¥)

249.69250.71

269.96+19.25

+7.7

40.00

50.00

50.00

(0.00)(0.0)

Ordinary income% of net sales

Profit attributableto owners of parent

Annual dividend (¥)

Figures in the table are rounded down

YoY change, YoY change(%) :FY4/18 revised plan compared with FY4/17 results

Earnings per share is calculated including new shares issued through a public offering (2,820,000) a private
placement (270,000) and a private placement for a secondary offering using an over-allotment option (450,000).
© 2018 AIN HOLDINGS INC. All Rights Reserved.

8

3QReview© 2018 AIN HOLDINGS INC. All Rights Reserved.

9

Review①（Vs FY4/17 3Q Results）■ Net sales +¥2.0 billion +¥0.5
FY4/17 3Q FY4/18 3Q
results
results

YoYchange(¥ million)
Net sales
Gross profit% of net
sales
SG&A
expenses% of net
sales
Operatingincome% of net
sales
Ordinary
income% of net
sales

182,100 200,043 +17,943
30,09235,19316.5

17.6

20,501

20,883

11.3

10.4

9,591

14,310

5.3

7.2

YoY
change(%)+9.9+5,101 +17.0

+382

+1.9

Contribution of
New 25 stores+¥3.3 billion
Existing storesbillion¥(4.1) billion

Close of
AYURA
Mail order unprofitable storesetc.

+¥17.9billion+9.9%+¥16.2 billion
Full contribution ofprevious year’s
openings

FY4/17 3Q
results

FY4/18 3Q
results■ Ordinary income+¥1.2billion
Cost reduction+4,719 +49.2+¥1.2 billion
・Technical fees
・Use of WSS+¥1.2 billion

10,01914,760

5.5

7.4

Figures in the table are rounded down

+4,741 +47.3

・Drug andcosmetic stores
・AYURA・Improvementof Mail order+¥1.1 billion

Increase of net sales indispensing pharmacy

FY4/17 3Q
results© 2018 AIN HOLDINGS INC. All Rights Reserved.

+¥4.7billion+47.3%

FY4/18 3Q
results
10

Review②（Vs Plan）■ Net sales(¥ million)
Net sales

FY4/18 3Q
FY4/18 3Q
revisedresultsplan

Vs planVs plan(%)

199,518 200,043

+525

+0.3

+¥0.2 billion¥(0.07) billion
Unachieved
openingsof this year

Previous year’s
openings¥(0.13) billion
Close of Unprofitable stores+¥0.5
billion+0.3%+¥0.5 billion
Existing stores

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

34,72135,193

17.4

17.6

21,33520,883

10.7

10.4

13,386

14,310

6.7

7.2

13,78814,760

6.9

7.4

Figures in the table are rounded down

© 2018 AIN HOLDINGS INC. All Rights Reserved.

+472

(452)

+1.4

(2.1)

FY4/18 3Q
Revisedplan

FY4/18 3Q
results■ Ordinary income

+924

+6.9
+¥0.5 billion
Control of SG&A
expenses

+972

+7.0
+¥0.5 billion+¥1.0 billion+7.0%

Control of operatingcost

FY4/18 3Q
Revisedplan

FY4/18 3Q
results
11

Transition of Sales from Drugs per Prescription■ Transition of Hepatitis C drugs’ sales
FY4/17 results

600

FY4/18 results

Net sales(¥ million)
800

692

447

400

406

351
250

200

251

FY4/18 original plan Prescriptions of Hepatitis C drugs were higher than our plan 166

0

May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

2017

180

Jan.

Feb.

Mar.

Apr.

2018

Aggregated the datafrom main 5 companies■ Transition of increase-decrease rate of other drugs’ sales per prescription (Except Hepatitis C drugs)

Sales from drugs
per prescription

（%）
104.0
102.0

Blockbuster generic drugs were placed on the market

FY4/18 results

100.0
Switching to high price drugs

98.0

FY4/18 original plan

Influenza prevalent

96.0
May

Jun.

Jul.

Aug.

Aggregated the data from main 5 companies© 2018 AIN HOLDINGS INC. All Rights Reserved.

Sep.

Oct.

Nov.

Dec.

Jan.

Feb.

Mar.

Apr.

Considered the original plan of May 2017 as 100%12

Response to Dispensing Fee Revisions of 2016①
Comparison of 578 pharmacies of 4 main existing companies
Contents of revisions

Basic
dispensing
feeStandards fordispensing
systempremiums

Premiums forgeneric drug
dispensing
systems

Drug use
history
management
and guidancefee

Premiums for
specific drug
management
instruction

Points1

Except following

41

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

25

3Same group over 40,000 times /month and over 95% or Lease
contract with medical institution

20

Basic dispensing fee 41points & Inventory
1,200 items & Home healthcare services (1case / year) & Notification of primary carepharmacists & Supervising pharmacists
having operational experience for at least 5
years and enrollment for at least 1 year32

65-75%

18

Over 75%

22

Basic dispensing fee 41 points & Patients’handing over medication 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

ChangeApril
2017

ChangeJanuary
2018

Change

382.6

313.3

(69.3)

337.3(45.3)

345.7(36.9)

146.6

118.5

(28.1)

174.8

+28.2

192.3

+45.7

191.3

147.3

(44.0)

184.1

(7.2)

193.4

+2.1

382.5

434.8

+52.3

441.1

+58.6

445.9

+63.4

9.7

25.6

+15.9

25.2

+15.5

24.2

+14.5

(73.2)

+49.8

+88.8

Items and requirements mentioned above are a part of revisions of 2016
Average prescription price per a reception© 2018 AIN HOLDINGS INC. All Rights Reserved.

Change: Compared to March 201613

Response to Dispensing Fee Revisions of 2016 ②
Comparison of 578 pharmacies of 4 main existing companies Ratio of pharmacies that receive basic dispensingfees Ratio of pharmacies that receive standards fordispensing system premiums(Store)578(Store)578

Basic dispensing fee1 (41points)
Basic dispensing fee2 (25points)

750

Number of stores

Number of stores

750

Basic dispensing fee3 (20points)

500

332

536

250

29
217

42

0

500

403

427

250

33
142

31
120

0

GE average premiums

14.7

15
10
5
0

118
447

340

69
62

120

Mar.2016

Apr.

16.3

367

252

211

Apr.2017

Jan.2018

57

Apr.

Premium2(22points)
18.6
18.4
18.2

GE average premiums
19.3
18.9

800
600

238
247

306

357

378

398

411

431

197

137
63

119
61

113
54

97
50

Apr.

Jul.

Oct.

Jan.2018

93

75

156
65

Jul.

Oct.

Jan.2017

Mar. 2016 : Calculated by old standards of revisions of 2014
GE drug share (volume) : 76.9% (As of Jan 2018)© 2018 AIN HOLDINGS INC. All Rights Reserved.

17.5

367

Mar.2016

Premium1(18points)

19.1

326

400
200
0

GE average premiums : Average points per reception
Object :578 pharmacies of main 4 companies
14

Number of stores

20

No premiums

211
521

Mar. 2016
Apr.
Apr. 2017 Jan. 2018
 Progress of generic drugs(Point)Old premium (12, 36points)
New premium (32points)
No premiumTop-Line
We opened 27 stores including M&As and closed 56 stores in FY4/18 3Q. We forecast 76 new storesopening by active new store openings and promotion of M&A and 67 store closings in full year.

■ Total number of stores

1,089 (Dispensing pharmacy:1,041 Drug and cosmetic store:48)■ PlanFY4/18 3Q
Revisedplan

Results

Revised
plan

20
5

20
5

29
43

Drug and cosmetic store

2

2

4

Total

27

27

76

Dispensing
pharmacy

48

50

60

Drug andcosmetic
store

5

6

7

Total of closed stores

53

56

67

Dispensing
pharmacy

Close

Organic
M&A

Hokkaido121

FY4/18

Tohoku139
Kanto,Koshinetsu
438

Hokuriku,Tokai,Kinki
253

Kyusyu,others
138

52 properties are secured

End-FY4/18 3Q■ Transition of dispensing pharmacies
Organic
M&A
EV/EBITDA ratio

Close
No. of total stores

FY4/09FY4/10FY4/11

FY4/12

FY4/13

FY4/14

FY4/15

FY4/16

FY4/17

FY4/18 3Q

24

21

18

27

38

36

40

32

27

20

3
2.21
8
375

3
3.45
2
397

35
5.60
5
448

28
5.51
9
494

38
5.09
10
560

26
3.94
6
616

119
4.77
21
754

110
5.37
15
881

182
5.50
24
1,066

5
3.88
50
1,041

EV/EBITDA ratio=EV(Purchase price)/EBITDA(Operating income + Depreciation and amortization)© 2018 AIN HOLDINGS INC. All Rights Reserved.

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

FY4/18 Plan (Dispensing Pharmacy Business)■ Net sales +¥2.3 billion ¥(2.9) billion
FY4/17
results(¥ million)
Net sales

Gross profit% of net sales

SG&A expenses% of net sales

FY4/18
Revisedplan

YoYchange221,801 237,900 +16,099
32,09035,26014.5

14.8

13,432

14,860

6.1

6.2

Operatingincome% of net sales

18,65820,4008.4

8.6

Segment
income% of net sales

19,11021,0008.6

8.8

Figures in the table are rounded down

+3,170+1,428

Increase of net Close ofsales in existing unprofitable
storesstoresYoYchange
(%)

+7.3
+9.9

+10.6

Revision of 2018, etc

New 72 storesopenings+¥16.1billion+7.3%+¥12.7 billion
Full contribution ofprevious year’s
openings

FY4/17
results

FY4/18
Revisedplan■ Segment income¥(2.5) billion+1,742+1,890+9.3+9.9+¥2.3 billion
Increase of net
sales

Operatingcost by increaseof net sales¥(0.7) billion
Increase of laborcosts+¥3.5 billion
・Calculation oftechnical fees
・Use of WSS

FY4/17
results© 2018 AIN HOLDINGS INC. All Rights Reserved.

¥(0.6) billion+¥4.6 billion¥(0.7)
billionInventoryvaluation loss
Revisions of2018 etc.

+¥1.9billion+9.9%

FY4/18
Revisedplan

16

Expansion of AINZ & TULPE
Stores that passed over 2 years got a lot of visibility and same stores has been shifting well bystore renovations and measurement of sales promotion. Also, earning power has been improvedby the review of procurement activities, operating efficiency and promotion expenses.
■ Results
Vs revised
YoY
FY4/18 3Q(¥ million)change(%)

Net salesplan(%)

17,779+11.8

15,186+7.2

・Effect of store renovation in same stores
・Acquisition of inbound demands+0.0 ・Acquisition of new customers by sales
promotion activities
+0.1

2,593

+49.2

(0.3)

Segment income

425‐

Same store

833+482.6%Store openings in theprevious year

(66)

‐

(342)

‐

Net sales
Same store
Store openings in theprevious year and others

Others+59.5 Segment income

・Improvement of gross profit by expansion of original
brand and an overhaul of procurement activities.
・Increase of operating efficiency and improvement‐of customer services
・Review of expenses such as store opening cost‐and sales promotion expenses, etc+14.5■ Transition of net sales and the ratio of gross profit to net sales（¥billion）

Net sales

Net sales

Gross profit

36.8

200
20
23.6

100
10
0
FY4/10FY4/11

FY4/12

FY4/13

FY4/14

FY4/15

FY4/16

FY4/17

FY4/18Net sales（¥billion）

13.6

14.8

15.3

16.7

17.9

17.8

20.8

21.3

23.6

No. of stores

49

53

56

61

59

56

52

52

49

© 2018 AIN HOLDINGS INC. All Rights Reserved.

（%）

40.0

20.0

0.0
(Plan)The ratio of grossprofit to net sales

300
30

17

FY4/18 Plan（Drug and Cosmetic Store Business）(¥ million)
Net sales

FY4/18
Revisedplan

FY4/17
Results

YoYchange21,383 23,600 2,217

Gross profit% of net sales

7,623

8,680 1,057

35.6

36.8

SG&A expenses% of net sales

8,583

8,430

40.1

35.7

YoY
change(%)■ Net sales+¥0.5 billion¥(1.3) billion
New 4 stores
Close of unprofitable+¥1.2 billion
storesGrowth of existing
stores+10.4＋¥1.8 billion+13.9

Full contributionof opening inprevious year

FY4/17
Results

(153)

(1.8)

■ Segment income+¥2.2
billion+10.4%

FY4/18
Revised plan¥(0.1) billion

Cost of closing
Control of cost of storesopening stores+¥0.3 billion
Operatingincome% of net sales
Segment income% of net sales(959)

250 1,209

‐

(866)

1.1

280 1,146‐

Figures in the table are rounded down

© 2018 AIN HOLDINGS INC. All Rights Reserved.

‐

1.2+¥0.3 billion‐

Improvement ofgross margin+¥0.6 billion+¥1.1 billion

Adjustment ofoperation cost

FY4/17
Results

FY4/18
Revised plan18

FY4/18 Plan (Consolidated)
Net sales increase 7.8% year on year due to the both dispensing pharmacy business and drug and cosmetic store
business have strong results in FY4/18 even though the close of unprofitable stores in preparation for the revisionof this April. We also decided to revise up our forecasts that ordinary income increase 22.7% because same storesin drug and cosmetic store business are shifting well and operating efficiency is improving.
(¥ million)

Net sales

Gross profit

FY4/16
results

FY4/17
results

234,843
38,535248,110
42,09216.4

17.0% of net sales

SG&A expenses% of net sales

Operating income% of net sales

FY4/18
revised plan

YoYchangeYoYchange (%)

267,500 +19,390
47,400 +5,308+12.6+1,871+6.8+3,437+23.6+3,420+22.7+1,251

+15.7

17.7

23,91527,52929,400

10.2

11.1

11.0

14,61914,56318,000

6.2

5.9

6.7

+7.8

15,15815,08018,500

6.5

6.1

6.9

7,917

7,949

9,200

% of net sales

3.4

3.2

3.4

Earnings per
share(¥)

249.69250.71

269.96+19.25

+7.7

40.00

50.00

50.00

(0.00)(0.0)

Ordinary income% of net sales

Profit attributableto owners of parent

Annual dividend (¥)

Figures in the table are rounded down

YoY change, YoY change(%) :FY4/18 revised plan compared with FY4/17 results

Earnings per share is calculated including new shares issued through a public offering (2,820,000) a private
placement (270,000) and a private placement for a secondary offering using an over-allotment option (450,000).
© 2018 AIN HOLDINGS INC. All Rights Reserved.

19

Supplementary Information© 2018 AIN HOLDINGS INC. All Rights Reserved.

20

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
¥244,782 million As of April 30, 2017
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,
As of April 30, 2017
Others : ¥4,925 million
9,774 (including pharmacists：4,518)
As of April 30, 2017
《Dispensing pharmacy》 AIN PHARMACIEZ Inc. and other 78 companies.

Group 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

Drug and Cosmetic
Store 8.6%
© 2018 AIN HOLDINGS INC. All Rights Reserved.

FY4/17 Consolidated
net sales¥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%
3.0

Market capitalization：

D company¥244,782 million

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
© 2018 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.

© 2018 AIN HOLDINGS INC. All Rights Reserved.

23