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Genky DrugStores Lifts Profit Outlook While Moderating New Store Openings Amid Rising Costs

Story Highlights
  • Genky DrugStores raised its profit forecasts for FY2026 on stronger margins and lower-than-planned personnel and SG&A costs.
  • Despite cutting near-term opening plans due to higher construction costs, Genky still targets rapid store expansion toward 100 new outlets annually.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Genky DrugStores Lifts Profit Outlook While Moderating New Store Openings Amid Rising Costs

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Genky DrugStores Co., Ltd. ( (JP:9267) ) has provided an update.

Genky DrugStores has raised its consolidated earnings forecasts for both the first half and full fiscal year ending June 2026, projecting higher operating, ordinary and net income despite largely unchanged net sales. The upgrade reflects better-than-planned gross profit in the first half and a significant undershoot in selling, general and administrative expenses, particularly personnel costs, aided by the smooth full-scale rollout of self-checkout systems and tighter labor-hour control. While the company trimmed its plan for second-half new store openings from 45 to 41 due to rising construction costs and tighter schedules, it still expects a net increase of 58 stores for the year—more than 20% above the previous year’s expansion pace—underscoring continued aggressive network growth. Management highlights that strengthened store development capabilities are starting to yield results and reiterates its ambition to accelerate toward an annual opening pace of 100 stores, positioning the company for further scale gains even as it carefully manages profitability pressures from construction and consumer price sensitivity.

The most recent analyst rating on (JP:9267) stock is a Buy with a Yen4730.00 price target. To see the full list of analyst forecasts on Genky DrugStores Co., Ltd. stock, see the JP:9267 Stock Forecast page.

More about Genky DrugStores Co., Ltd.

Genky DrugStores Co., Ltd. operates a drugstore and discount retail chain in Japan, focusing on pharmaceuticals, daily necessities, food, and other household goods, with a strategy centered on expanding store numbers in dominant regional areas while enhancing price competitiveness and operational efficiency.

Average Trading Volume: 87,216

Technical Sentiment Signal: Buy

Current Market Cap: Yen139.4B

See more data about 9267 stock on TipRanks’ Stock Analysis page.

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