Tsuruha Holdings Shares Rise Sharply After First-Half Net Profit Climbed 15%

By Kosaku Narioka Tsuruha Holdings Inc. Shares rose sharply Wednesday morning after the Japanese drugstore operator’s first-half net profit increased 15% from a year earlier thanks partly to greater sales of Covid-19 antigen test kits. The shares were recently 4.0% higher at 9,510 yen after rising as much as 4.7% earlier. The Nikkei Stock Average was recently flat. Tsuruha said Tuesday after market close that net profit rose to Y14.63 billion ($111.1 million) for the six-month period ended Nov. 15 from Y12. 74 billion a year earlier. Revenue rose 4.7% to Y484.11 billion, boosted by stronger sales of Covid-19 antigen test kits as well as of fresh foods and alcohol drinks. The opening of 76 new stores also supported the top-line growth, while sales and administrative expenses increased in part due to higher electricity costs, the company said. Tsuruha continues to expect that revenue will increase 5.8% to Y968.80 billion for the fiscal year ending May 15 2023, with net profit climbing 5.9% to Y22.64 billion. Write to Kosaku Narioka at kosaku.narioka@wsj.com

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