Sugi Holdings Co.,Ltd. (7649.T) Bundle
From a single pharmacy founded in 1976 to a publicly listed powerhouse (Tokyo Stock Exchange: 7649.T) that went public in 2001, Sugi Holdings Co., Ltd. has scaled into an integrated healthcare retailer that reported a 17.94% jump in annual revenue to ¥878.02 billion for the fiscal year ending February 28, 2025, operates 2,204 stores as of June 2025 after net openings, and commands a market capitalization of about ¥660.55 billion with a stock price near ¥3,650 (Dec 12, 2025); major shareholder Sugi Shoji Co., Ltd. holds 37.43% of voting rights within a total of 180.97 million shares outstanding while Sugi continues to distribute dividends (¥35.00 per share announced for FY ending Feb 28, 2026) as it pursues a mission of community-centered healthcare-combining dispensing pharmacies, home-visit nursing, self-care support, health checks, product sales (pharmaceuticals, health foods, cosmetics, daily necessities), wholesale and exports-to monetize both retail and service revenue streams and capitalize on Japan's aging population and local medical partnerships
Sugi Holdings Co.,Ltd. (7649.T): Intro
History Sugi Holdings Co., Ltd. was founded in 1976 and grew into a major Japanese drugstore operator focused on pharmaceuticals, OTC products, cosmetics and daily goods. The company went public in 2001 on the Tokyo Stock Exchange (7649.T). Growth accelerated through store openings and acquisitions: by June 2019 Sugi operated 1,190 stores. Rapid expansion continued into the 2020s, and by June 2025 the company reported operating 2,204 stores after opening 8 new locations and closing 10 in that month.- Founded: 1976
- IPO: 2001 - Tokyo Stock Exchange (7649.T)
- Stores (June 2019): 1,190
- Stores (end of June 2025): 2,204
- Listing: Tokyo Stock Exchange (ticker: 7649.T)
- Shareholder mix: institutional investors, retail investors, corporate holdings
- Governance: Board of Directors and executive committees managing retail, pharmacy and supply-chain divisions
- Core mission: Provide accessible healthcare and daily products via neighborhood stores and pharmacy expertise
- Key strategies: store expansion, in-store pharmacy services, private-label and product mix optimization
- Retail sales: OTC drugs, cosmetics, daily goods
- Prescription pharmacy: dispensing and pharmaceutical consultations
- Supply chain: centralized purchasing and distribution to franchise and company-owned stores
- Store formats: neighborhood drugstores aimed at frequent, repeat customer visits
| Fiscal Year / Date | Metric | Value |
|---|---|---|
| FY ending Feb 28, 2025 | Revenue | ¥878.02 billion (up 17.94% YoY) |
| June 2019 | Store count | 1,190 |
| End of June 2025 | Store count | 2,204 (opened 8, closed 10 in June 2025) |
| Dec 12, 2025 | Share price | ¥3,650.00 |
| Dec 12, 2025 | Market capitalization | ≈ ¥660.55 billion |
- Store expansion and optimization to capture local demand
- Prescription fill volume and pharmacy service utilization
- Private-label and higher-margin product penetration
- Distribution efficiencies and purchasing scale
Sugi Holdings Co.,Ltd. (7649.T): History
Sugi Holdings Co.,Ltd. traces its roots to Sugi Shoji and has grown from a regional pharmacy operator into one of Japan's largest drugstore chains through organic expansion and acquisitions, focusing on integrated retail, prescription dispensing, and healthcare services while listing on the Tokyo Stock Exchange to broaden capital access.- Sugi Shoji Co., Ltd. holds 37.43% of Sugi Holdings' voting rights, the single largest shareholder.
- Sugi Shoji imposes no operational restrictions on Sugi Holdings' business activities.
- Total shares outstanding: 180.97 million.
- Dividend policy: ¥35.00 per share announced for the fiscal year ending February 28, 2026.
- Listed and traded on the Tokyo Stock Exchange, providing liquidity to investors.
- Market capitalization: approximately ¥660.55 billion (as of December 12, 2025).
| Metric | Value |
|---|---|
| Largest shareholder (voting rights) | Sugi Shoji Co., Ltd. - 37.43% |
| Shares outstanding | 180.97 million |
| Dividend (FY ending 28 Feb 2026) | ¥35.00 per share |
| Market capitalization (12 Dec 2025) | ¥660.55 billion |
| Exchange | Tokyo Stock Exchange (Ticker: 7649.T) |
- Core business model: retail drugstores combining OTC, prescription medicines, cosmetics and daily goods.
- Additional revenue streams: in-store pharmacy dispensing fees, private-label products, health clinics/medical partnerships, and e-commerce sales.
- How it makes money: product margin on retail goods, dispensing revenue from prescriptions, service fees from medical partnerships, and optimized logistics/scale-driven cost control.
Sugi Holdings Co.,Ltd. (7649.T): Ownership Structure
Sugi Holdings Co.,Ltd. (7649.T) centers its mission on accessible, community-focused healthcare delivered through a broad network of drugstores and allied services. The company's values emphasize collaboration with local medical professionals, preventive care, and support for everyday living to enhance customer quality of life.- Comprehensive healthcare: self-care support, health checkups, targeted health guidance and health information distribution.
- Collaboration with local clinics and medical professionals to support home healthcare via pharmacy channels.
- Wide product assortment: pharmaceuticals, OTC health foods, cosmetics, daily necessities, and medical supplies.
- Community engagement: shopping assistance, mobility support, and services aimed at elderly and homebound customers.
- High customer service standards focused on accessibility, reliability, and trust in healthcare delivery.
| Metric | Value (approx.) |
|---|---|
| Number of stores | ~2,000 drugstores nationwide |
| Employees (consolidated) | ~22,000-25,000 |
| Group revenue (FY) | ~¥400 billion |
| Operating income (FY) | ~¥20-25 billion |
| Market listing | TSE: 7649 (Prime Market) |
- Retail sales from drugstores: prescription dispensing margins, OTC medicines, cosmetics, food and daily necessities drive the bulk of revenue.
- Health services: paid health checkups, specific health guidance programs, and self-care support services integrated with pharmacy visits.
- Pharmacy fulfilment and prescriptions: reimbursement from public health insurance and fee-for-service dispensing for outpatient and home-visit medication management.
- Value-added services: in-store clinics, home-delivery, shopping assistance, mobility support, and partnerships with local care providers that generate service fees or cross-sell opportunities.
- Wholesale and procurement efficiencies: centralized buying and private-label products increase gross margin.
- Mix of institutional investors, domestic retail shareholders, company executives/insiders, and some foreign ownership typical for large Japanese retail chains.
- Board and management emphasize continuity of local partnerships and community-oriented governance; executive ownership and long-tenure directors align incentives with regional healthcare goals.
- Expanding store footprint near residential and medical hubs to increase accessibility to healthcare and daily necessities.
- Deepening ties with physicians and homecare providers to capture prescription flow and offer home-visit pharmaceutical services.
- Enhancing health-promotion offerings (checkups, guidance) to shift some revenue mix toward services and recurring engagements.
- Investing in customer service, mobility support, and community programs to strengthen local brand loyalty and lifetime value per customer.
Sugi Holdings Co.,Ltd. (7649.T): Mission and Values
Sugi Holdings Co.,Ltd. (7649.T) operates as a vertically integrated drugstore and healthcare services group centered on community pharmacy retail, prescription dispensing, and localized healthcare support. Its stated mission emphasizes accessible community healthcare, prevention, and support for medical professionals while pursuing sustainable growth and shareholder value. Mission Statement, Vision, & Core Values (2026) of Sugi Holdings Co.,Ltd. How It Works - core activities and service model- Retail drugstore network: Sugi operates a nationwide chain of stores stocking OTC medicines, personal care, cosmetics, nutritional products, medical supplies, and daily living goods tied to local demand.
- Integrated dispensing pharmacies: Most stores include licensed dispensing pharmacies that fill prescriptions, counsel patients on medication adherence, and manage medication records.
- Collaborations with local clinicians: Sugi forms working relationships with clinics, primary care physicians, and specialists to coordinate patient care and referrals.
- Home healthcare and visiting nursing: Through in‑store services and affiliated teams, Sugi provides visiting nursing, medication management, and support for homebound patients.
- Prevention and community wellness programs: The company runs disease prevention initiatives, vaccination support, health checks, and lifestyle guidance in stores and local events.
- Support for practice commencement: Sugi assists medical professionals launching practices by providing site advice, pharmacy‑clinic co-location options, and administrative support.
- Staffing and agency services: The company supplies pharmacy staffing, training, and temporary placement to ensure operational continuity across its network.
- Product retail margin: Sales of OTC products, cosmetics, supplements, and daily goods generate retail gross profit.
- Prescription dispensing fees: Reimbursement and dispensing fees from public health insurance and private prescriptions contribute steady pharmacy revenue.
- Healthcare services revenue: Visiting nursing, home care coordination, and commissioned health programs produce service income streams.
- Leasing and support fees: Revenue from supporting new clinic openings, tenant arrangements, and staffing/agency placements.
- Private‑label and procurement: Margin enhancement via private‑label products and centralized procurement across the store network.
| Metric | Value |
|---|---|
| Number of stores (retail + pharmacy) | Approximately 1,900 stores (domestic network) |
| Employees (consolidated) | ~17,000 staff |
| Annual consolidated sales (FY) | ¥420 billion (approx.) |
| Operating income (FY) | ¥20 billion (approx.) |
| Net income (FY) | ¥12 billion (approx.) |
| Same‑store sales growth | Low single‑digit % year‑on‑year |
| Average transaction value (retail) | ¥1,500-¥2,500 per customer |
- Integrated pharmacy‑retail model that captures both OTC and prescription spend per customer visit.
- Local presence enabling partnerships with clinics and provision of visiting nursing and community health programs.
- Scale in procurement and logistics reduces costs and supports private‑label profitability.
- Workforce services and administrative support create stickiness with medical professionals and clinics.
- A typical Sugi store: OTC and daily goods sales provide foot traffic; a dispensing counter converts a portion of retail customers into longer‑term prescription patients-raising lifetime value.
- Visiting nursing referrals: Post‑discharge patients receive visiting nursing and medication management coordinated by Sugi, billed as service fees and strengthening prescription continuity.
- Clinic support: Sugi's assistance launching a local clinic (site selection, admin staffing) generates setup fees and leads to pharmacy prescriptions tied to that clinic's patient flow.
- Health screening campaigns and vaccination support increase store relevance and preventive care engagement.
- Patient education and adherence programs reduce readmission risk and promote long‑term use of pharmacy services.
Sugi Holdings Co.,Ltd. (7649.T): How It Works
Sugi Holdings Co.,Ltd. (7649.T) operates primarily as a Japanese drugstore and healthcare service provider. Its business model combines retail drugstores with pharmacy dispensing, healthcare support services, wholesale distribution and selective export activities. The company's integrated model targets both front‑of‑store retail margins and higher‑value pharmaceutical dispensing and healthcare services.- Retail drugstores: sale of prescription and over‑the‑counter pharmaceuticals, health foods, cosmetics and daily necessities.
- Pharmacy dispensing: in‑store and stand‑alone dispensing pharmacies offering prescriptions and clinical pharmacy services.
- Self‑care support services: meal delivery, health checkups, nutritional advice and related subscription services.
- Home medical care: home‑visit nursing, home‑care support for elderly patients, coordination with local medical institutions.
- Wholesale & export: distribution to other retailers and selective export of drugstore products to overseas markets.
- Point‑of‑sale retail: margins on consumer goods (cosmetics, supplements, daily necessities) and OTC medicines; promotions and private‑label products enhance gross margin.
- Dispensing fee income: reimbursement under Japan's National Health Insurance system for prescription filling and clinical pharmacy services; higher average ticket from prescription sales compared with OTC.
- Service fees & subscriptions: recurring revenue from meal delivery contracts, health check programs, and membership health services.
- Home‑visit & nursing contracts: fee‑based home medical care services contracted with municipalities, care managers and private clients.
- Wholesale margins and logistics: bulk sales to smaller chains and clinics; logistics and distribution efficiencies achieve scale economics.
- Export sales: incremental revenue from overseas buyers, often for cosmetics and supplements with Japanese branding premium.
| Metric | Amount (JPY) | Notes |
|---|---|---|
| Revenue (FY2023, consolidated) | ¥430,000,000,000 | Combined retail, pharmacy, services and wholesale |
| Operating income (FY2023) | ¥20,000,000,000 | Reflects retail margins and dispensing earnings |
| Net income (FY2023) | ¥12,000,000,000 | After taxes and minority interests |
| Number of stores (end FY2023) | 1,400+ | Includes drugstores and dispensing pharmacies |
| Dispensing sales share | ~40% | Proportion of prescription/healthcare revenue vs total |
| Retail & OTC sales share | ~45% | Cosmetics, daily necessities, health foods |
| Services & other (home care, meal delivery, wholesale, export) | ~15% | Growing strategic segment |
- Customer enters store or uses online channel → purchases OTC, cosmetics or daily necessities (immediate retail revenue).
- Prescription presented → pharmacy dispenses medicines, collects dispensing fee (NHI reimbursement) and counseling service fee.
- Chronic or elderly patients → referred to home‑visit nursing or meal delivery programs (contracted, recurring fees).
- Businesses and clinics → wholesale orders fulfilled from distribution centers (B2B revenue stream).
- International buyers → selected product exports create additional margin and brand extension abroad.
- High share of dispensing revenue which benefits from stable insurance reimbursement flows.
- Scale of store network (1,400+ locations) enabling procurement discounts and logistics efficiency.
- Cross‑sell opportunities-linking retail customers to pharmacy and health services increases lifetime value.
- Expansion in home medical care and subscription services improves recurring revenue mix and margin stability.
Sugi Holdings Co.,Ltd. (7649.T): How It Makes Money
Sugi Holdings Co.,Ltd. (7649.T) generates revenue primarily through retail pharmaceutical sales, prescription dispensing, and ancillary healthcare services anchored in its Sugi Pharmacy chain concentrated in Japan's Chubu region. The company leverages an integrated model combining drugstore retail with dispensing pharmacies, home-visit nursing, and elderly home-care support to capture both OTC and prescription demand driven by Japan's aging population.- Core retail and prescription sales through Sugi Pharmacy stores with attached dispensing pharmacies
- Healthcare services: home-visit nursing, elderly home-care support, and clinic partnerships
- Expansion of store network and service offerings to increase footfall and recurring prescription revenue
- Cross-selling of medical supplies, health foods, and care-related products
| Metric | Value |
|---|---|
| Market Capitalization (Dec 12, 2025) | ¥660.55 billion |
| Annual Revenue (FY ended Feb 28, 2025) | ¥878.02 billion |
| Annual Revenue Growth | +17.94% |
| Primary Geographic Focus | Chubu region (nationwide expansion ongoing) |
| Strategic Service Areas | Dispensing pharmacy, home-visit nursing, elderly home-care support |
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