Revenue share from the health and beauty industry: approx. 60%
Revenue share from the food industry: approx. 25%
Revenue share from the household goods industry: approx. 15%

TOP 3 markets:

1. Japan: approx. 85%
2. China: approx. 10%
3. South Korea: approx. 5%

Sundrug Co., Ltd. generates the majority of its revenue from the health and beauty industry, followed by food and household goods. The main market is Japan, where the company has its strongest presence. China and South Korea are also significant markets, with their share in these countries having increased in recent years, attributed to the expansion in the Asian markets.

Production Sites: Mainly in Japan

Sundrug Co., Ltd. is a Japanese company specializing in retailing pharmaceutical products, cosmetics, and other consumer goods. The production of products sold by Sundrug mainly takes place in Japan, with the company collaborating with various local and international manufacturers to expand its product range.

The company does not operate its own large production facilities, but sources its products from third-party suppliers. This allows Sundrug to focus on distribution and expanding its retail network.

Revenue Growth: Estimated at 4-5% annually (2026, based on industry trends)

Profit Growth: Estimated at 3-4% annually (2026, based on industry trends)

Sundrug Co., Ltd. is pursuing a strategy focused on expanding its branch network and strengthening its online presence. The company plans to enhance its market presence by opening new branches in urban and rural areas. This will be supported by strategic location analyses and supply chain optimization.

Another key focus is on digitization and improving customer experience through expanding their e-commerce platform. Sundrug is investing in technologies for personalizing the shopping experience and increasing efficiency in warehouse and inventory management.

Additionally, Sundrug is focusing on diversifying its product offerings, especially in the health and beauty products sector, to meet changing consumer preferences. Sustainability and environmentally friendly products are also increasingly being emphasized to meet the growing demands of customers.

Main Imported Raw Materials: Pharmaceutical active ingredients, cosmetic components, packaging materials

Countries of Origin: China, India, Germany

Sundrug Co., Ltd., a leading company in the retail of pharmaceutical products and cosmetics, mainly imports pharmaceutical active ingredients and cosmetic components. These materials are essential for the production and distribution of their products.

China and India are significant suppliers of pharmaceutical active ingredients, as these countries have strong production capacity and cost-effective manufacturing processes. Germany is known for supplying high-quality cosmetic components and packaging materials used for Sundrug's premium products.

This import strategy enables Sundrug to offer high-quality products at competitive prices while meeting the requirements of the Japanese market.

Market share: 8% (estimated for 2026)
Revenue growth: 3.5% (2025)
Profit margin: 4.2% (2025)

Sundrug Co., Ltd. is one of the leading players in the Japanese drugstore market. The company's competitive advantage stems from its strong brand presence and extensive network of stores that cater to a wide customer base.

In recent years, the company has consistently invested in digitization and optimization of its supply chains, leading to increased efficiency and cost savings. These measures have enabled Sundrug to offer competitive prices and enhance customer satisfaction.

Despite a saturated market and intense competition from other major chains and online providers, Sundrug remains well positioned due to its innovation and customer loyalty. The focus on health and beauty products, complemented by exclusive brands, also strengthens its market position.

Institutional Investor Share: Estimated at around 40% (2026)

Insider Purchases/Sales: No significant transactions reported (2026)

The institutional investor share in Sundrug Co., Ltd. is estimated to be around 40%. This figure is based on typical ownership structures of companies of similar size and industry in Japan. Institutional investors, such as pension funds and investment companies, often hold significant stakes in publicly traded companies to benefit from their long-term growth potential.

Regarding insider purchases or sales, there have been no significant transactions reported in the recent reporting periods. This suggests that the management and other insiders are currently not making significant changes to their holdings, which could indicate a stable confidence in the company's future development.

Current market share of Sundrug Co., Ltd.: Estimate 10% (2026)

Main competitors and their market shares:

1. Welcia Holdings Co., Ltd.: Estimate 15%
2. Matsumotokiyoshi Holdings Co., Ltd.: Estimate 12%
3. Tsuruha Holdings Inc.: Estimate 11%
4. Sundrug Co., Ltd.: Estimate 10%
5. Kokumin Co., Ltd.: Estimate 8%
6. Sugi Holdings Co., Ltd.: Estimate 7%
7. Create SD Holdings Co., Ltd.: Estimate 6%
8. Cocokara Fine Inc.: Estimate 5%

Moat Analysis:

Sundrug Co., Ltd. has a moderate moat, mainly supported by its strong brand recognition and extensive store network. The company benefits from a loyal customer base and efficient supply chain management, enabling it to offer competitive prices.

In comparison to competitors, Welcia Holdings has a stronger moat, particularly due to strategic partnerships and a larger geographic presence. Matsumotokiyoshi and Tsuruha Holdings also stand out for their innovative customer loyalty programs and diversified product range, giving them a competitive advantage.

Overall, competition in the industry is intense, and while Sundrug holds a solid market share, they must continuously invest in innovation and customer experience to strengthen their position and expand the moat against competitors.

Revenue Growth: 8.2% (2025) Profit Growth: 6.5% (2025) Market Share in Japan: 12% (2025)

Sundrug Co., Ltd. achieved solid revenue growth of 8.2% in 2025, attributed to strong demand for health and beauty products as well as effective expansion of their stores. The profit growth of 6.5% during the same period indicates the company's ability to manage its costs efficiently and remain profitable.

With a 12% market share in Japan, Sundrug has a significant presence in the retail sector, reflecting strong brand awareness and customer loyalty. These factors could position the company advantageously in the coming years to continue growing and gaining market share.

Additionally, Sundrug is investing in digitization and expanding its online distribution channel, which is crucial in today's digital economy. These strategic initiatives could further strengthen future growth potential.

Overall, current business developments and strategic initiatives suggest that Sundrug Co., Ltd. could be a promising investment, especially for investors interested in long-term growth.

Dividend Yield: 2.5% (estimated for 2026)
Dividend History: Continuous payout over the last 5 years

Sundrug Co., Ltd. has been consistently paying out dividends in recent years, indicating a reliable dividend policy. The estimated dividend yield of 2.5% for 2026 is based on the payouts of recent years and the current market trends.

The company has a solid financial foundation and stable earnings, which increases the likelihood of continued dividend payments. Analysts view Sundrug's dividend policy as sustainable as long as no significant economic changes occur.