We wish to express our gratitude to all our shareholders for your continuing support.

Under "SHIP VISION 2030", the five-year Medium-Term Management Plan launched in the fiscal year ended March in 2026, the company has established three management index as quantitative targets and make effort in enhancing enterprise value to achieve the goal. The company also engages in "Portfolio Management through the Optimization of Group Management Resources" to correspond changing a business environment in which the "tide" is shifting dramatically.

The company's consolidated net sales increased 5.9% YoY to 718.1 billion yen, with all business segments achieving revenue growth. Performance was driven primarily by the expansion of SPD contracts in Medical Supply Business, small scale M&A and enhancing operational efficiency in Dispensing Pharmacy Business. As a result, the Company achieved its 26th consecutive year of revenue growth.
On the other hand, consolidated operating profit decreased 1.2% YoY to 24.4 billion yen due for delay in completion date in some PJs in Total Pack Produce Business and raise of prices and labor costs in Lifecare Business whereas the steady trend in Medical Supply Business and Dispensing Pharmacy Business.
The Group aims for business operation which put emphasis on "Growth", "Profitability" and "Capital efficiency" as the figure below in the Medium-Term Management Plan. As engagement with the capital markets becomes increasingly important, the Company remains committed to achieving a return on equity that exceeds its cost of equity and to enhancing corporate value over the medium to long term.

Quantitative Targets

Japan is facing the dual challenges of a declining population and a rapidly aging society, bringing significant changes to the healthcare and nursing care environment. In some regions, maintaining healthcare delivery system has become a pressing issue. There are an increasing number of situations such as shortage of human resources and raise in logistics costs that are difficult to handle using conventional methods alone.
The Group views these changes of society system as "tide" which means a major turning point. Under the recognition, the Group locates the fiscal year ended in March 2026, the first period of the Medium-Term Management Plan, as a year of building "next growth model" and has engaged in the optimization of Group management resource and the investment for the next-generation business.
The fiscal year ending March 2027 will mark the phase in which these initiatives move into full-scale implementation. While maintaining healthcare as its core focus, the company will pursue the creation of new value in adjacent fields and strive to achieve sustainable growth.

Total Pack Produce Business, core strength of the Group, has historically evolved with a primary focus on hospitals. Looking ahead, the Group further expands the targeted fields and will make efforts for solving societal challenges from the wide perspective of "Well-Being." The Group considers that supporting the whole "environment which people can live healthy" including not only medical institutions but also dispensing pharmacies, nursing care, food provision and carious functions which forms local communities, will be the role of TPP. By sharing this vision across the whole Group, the company aims to create new business opportunity and further strengthen Group synergy and enhance its ability to deliver long-term value to society.

In "Medial Supply," the Group launched a next-generation logistics hub "SHIP GRANBASE TOKYO."
The environment surrounding medical material logistics is undergoing a period of significant transformation driven by challenges such as Logistics Issues in 2024, shortage of human resources and raise in energy price.
The Group stays ahead of change and engages in building more efficient and stable supply system as the traditional decentralized logistics model becomes increasingly difficult to sustain.
The Group locates "SHIP GRANBASE TOKYO" is positioned not merely as a logistics center, but as a strategic hub designed to drive future reforms in the distribution of medical materials. The facility has already generated strong interest from customers and business partners and is expected to become a key driver of the Group's future growth.

The Group has continued investigation which is essential for medicine, nursing care and local society as an enterprise supporting "infrastructure for protecting lives."
These initiatives should not be pursued only for short-term results, it is rather important to steadily build upon them from a medium- to long-term perspective as anticipating social issues. We kindly ask for understanding for our efforts and support from a medium- to long-term perspective.