Profit pressure from higher rent and personnel costs accompanying store expansion
First written in FY2017-Q2. 4 of 25 entries say "Restated". Latest entry: 2026-10-06.
PAL GROUP Holdings moved to the "Worse" side of this theme in 2016, 2 years before the typical company in this theme (2018).
The whole theme swung hardest in 2020: 6 of 21 companies on the "Worse" side.
4 other companies' latest entry also says "Worsened".
- 2026-10-06WorsenedEarnings
「Operating profit decreased year on year because revenue growth fell below the initial expectations while the increase in selling, general and administrative expenses, led mainly by personnel expenses, exceeded revenue growth.」
雑貨事業で人件費を中心とする販管費の伸びが利益を圧迫したと記載している。 - FY2027-H1MaterialisedAnnual report
「Operating profit decreased year on year because revenue growth fell below the initial expectations while the increase in selling, general and administrative expenses, led mainly by personnel expenses, exceeded revenue growth.」
The report specifically states that the increase in selling, general and administrative expenses, led mainly by personnel expenses, exceeded revenue growth and affected operating profit. - FY2026WorsenedAnnual report
「In Japan, labor shortages are becoming more acute, and the structural increase in personnel and logistics costs continues to weigh heavily on corporate earnings.」
In addition to the rent and personnel cost burden associated with existing store openings, the disclosure strongly identifies the structural increase in personnel and logistics costs due to labor shortages as a factor depressing earnings. - 2026-04-07WorsenedEarnings
「The labor shortage has become increasingly severe, and structurally rising personnel and logistics costs continue to weigh heavily on corporate earnings.」
Labor shortages and structural increases in personnel and logistics costs are explicitly identified as factors pressuring earnings. - FY2026-H1RestatedAnnual report
「Salaries and bonuses 10,215 million yen 11,977 million yen; provision for bonuses 3,140 million yen 3,677 million yen; rent 11,424 million yen 13,151 million yen」
Salaries and bonuses, provision for bonuses, and rent all increased year on year, and store operating costs continued to rise. - FY2025-H1SG&A expenses and rent increasedAnnual report
「Salaries and bonuses 9,988 million yen 10,215 million yen; provision for bonuses 2,772 million yen 3,140 million yen; rent 10,903 million yen 11,424 million yen」
Salaries and bonuses, provision for bonuses, and rent all increased year on year, and store operating costs continued to rise. - FY2025-Q1RestatedAnnual report
「During the cumulative first quarter, there were no newly arising business or other risks. There were also no material changes in the business and other risks described in the securities report for the previous fiscal year.」
The company states that there have been no material changes in the existing business and other risks, including the pressure on profits from higher rent and personnel expenses associated with the increase in store openings. - FY2024-Q3RestatedAnnual report
「In addition, rising wage and delivery costs resulting from labor shortages have contributed to the continuing difficult operating environment for retailers operating stores.」
The increase in wage and delivery costs due to labor shortages is reaffirmed as an ongoing factor depressing profits from store openings and operations. - FY2024-Q2WorsenedAnnual report
「In addition, rising wage and delivery costs resulting from labor shortages have contributed to the continuing difficult operating environment for retailers operating stores.」
In addition to the burden of rent and personnel expenses associated with store openings, the disclosure newly identifies higher wage and delivery costs due to labor shortages. - FY2023The SG&A expense ratio declinedAnnual report
「The SG&A expense-to-sales ratio decreased by 4.5 percentage points year on year to 74,399 million yen.」
Total SG&A expenses increased from 66,793 million yen in the previous year to 74,399 million yen, while the SG&A expense-to-sales ratio decreased by 4.5 percentage points. - FY2023-Q3Selling, general and administrative expenses increasedAnnual report
「SG&A expenses 49,396 55,219」
SG&A expenses increased from 49,396 million yen in the previous year to 55,219 million yen, and the SG&A burden continued to increase. - FY2023-Q2SG&A expenses and rent increasedAnnual report
「Salaries and bonuses 7,855 million yen 8,634 million yen Provision for bonuses 1,381 million yen 2,383 million yen Rent 8,384 million yen 9,504 million yen」
Salaries and bonuses, provision for bonuses, and rent all increased year on year. - FY2022The SG&A expense ratio declinedAnnual report
「The SG&A expense-to-sales ratio decreased by 3.5 percentage points year on year to 66,793 million yen.」
Total SG&A expenses increased from 57,853 million yen in the previous year to 66,793 million yen, while the SG&A expense-to-sales ratio decreased by 3.5 percentage points due to the recovery in sales. - FY2022-Q3RestatedAnnual report
「SG&A expenses 41,555 49,396」
SG&A expenses increased from 41,555 million yen in the previous year to 49,396 million yen, and the SG&A burden continued to increase. - FY2022-Q2SG&A expenses and rent increasedAnnual report
「Salaries and bonuses 7,158 million yen 7,855 million yen; provision for bonuses 802 million yen 1,381 million yen; rent 6,800 million yen 8,384 million yen」
SG&A expenses increased from 25,953 million yen to 31,970 million yen, while rent increased from 6,800 million yen to 8,384 million yen year on year. - FY2021Total SG&A expenses declined, but the ratio to sales increasedAnnual report
「The SG&A expense-to-sales ratio increased by 3.9 percentage points year on year to 57,853 million yen.」
Total SG&A expenses decreased from 65,319 million yen in the previous period to 57,853 million yen, but the ratio to sales increased by 3.9 percentage points due to the decline in sales. - FY2021-Q3SG&A expenses declinedAnnual report
「SG&A expenses 49,323 41,555」
SG&A expenses decreased from 49,323 million yen in the previous year to 41,555 million yen. - FY2021-Q2SG&A expenses and rent declinedAnnual report
「Salaries and bonuses 8,483 million yen 7,158 million yen Provision for bonuses 1,735 million yen 802 million yen Rent 10,015 million yen 6,800 million yen」
SG&A expenses decreased from 32,685 million yen in the previous year to 25,953 million yen, while rent decreased from 10,015 million yen to 6,800 million yen. The figures also include a direct deduction of 905 million yen for employment adjustment subsidies related to COVID-19. - FY2020Total SG&A expenses increased, but the ratio declinedAnnual report
「The SG&A expense-to-sales ratio decreased by 0.2 percentage point year on year to 65,319 million yen.」
Total SG&A expenses increased from 64,766 million yen in the previous period to 65,319 million yen, while the ratio to sales decreased by 0.2 percentage point. - FY2020-Q2Total SG&A expenses increased, while rent declinedAnnual report
「Salaries and bonuses, 8,483 million yen; provision for bonuses, 1,735 million yen; rent, 10,015 million yen」
SG&A expenses increased from 32,272 million yen in the previous year to 32,685 million yen, while rent decreased from 10,097 million yen to 10,015 million yen. - FY2019Total SG&A expenses increased, but the ratio to sales declinedAnnual report
「The SG&A expense-to-sales ratio decreased by 0.4 percentage point year on year to 64,766 million yen.」
Total SG&A expenses increased from 61,708 million yen in the previous period to 64,766 million yen, while the ratio to sales decreased by 0.4 percentage point. - FY2019-Q2SG&A expenses and rent increasedAnnual report
「The major SG&A expense items and amounts were as follows: salaries and bonuses, 8,494 million yen; provision for bonuses, 1,698 million yen; and rent, 10,097 million yen.」
SG&A expenses increased from 30,503 million yen to 32,272 million yen year on year, while rent increased from 9,975 million yen to 10,097 million yen. - FY2018Total expenses increased, but the ratio to sales declinedAnnual report
「The SG&A expense-to-sales ratio decreased by 0.7 percentage point year on year to 61,708 million yen.」
Total SG&A expenses increased from 59,139 million yen in the previous period to 61,708 million yen, while the ratio to sales decreased by 0.7 percentage point. - FY2017MaterialisedAnnual report
「Selling, general and administrative expenses increased due mainly to higher rent and other costs associated with store openings, while the SG&A expense-to-sales ratio increased by 1.0 percentage point year on year to 59,139 million yen.」
The increase in rent and other costs associated with store openings was reflected in a 1.0-percentage-point rise in the SG&A expense-to-sales ratio during the period. However, operating profit increased year on year. - FY2017-Q2MaterialisedAnnual report
「Operating profit decreased by ¥628 million year on year to ¥2,617 million due to higher rent, personnel expenses and other costs associated with the increase in store openings,」
Higher rent and personnel expenses associated with store expansion have been reflected in the decline in operating profit for the cumulative second-quarter period.