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Presentation materials for financial results2733ARATA CORPORATIONTrading & Wholesale

Earnings Presentation Materials for the First Quarter of the Fiscal Year Ending March 2027

In the first quarter of the fiscal year ending March 2027, revenue rose 5.0% year on year, driven by the positive impact of newly consolidated businesses and an expanded in-store share, marking a record high for the 12th consecutive quarter. Operating income, ordinary income and net income were below the year-earlier levels due to a lower gross margin and higher SG&A expenses, but the company considers performance to be progressing in line with its full-year plan.

Worth reading
64In focus
Scored from 5 of 6 sections
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
2637
¥100 million (first-quarter revenue)
Wording
Conditional
How definitive the wording is.

Contents of this document

Presentation materials for financial resultsFirst quarter of the fiscal year ending March 20275 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥263,755 million+5.0%
Operating profit¥3,095 million-23.9%
Ordinary income¥3,152 million-24.1%
Net income¥2,039 million-27.0%
Selling, general and administrative expenses¥22,586 million
Gross Profit Margin
Rate9.7%
Year on year against the same period last year▲0.2 percentage points
Operating profit margin
Rate1.2%
Year on year against the same period last yearDown 0.4 percentage points
Results for the three months of the current quarterRevenue: ¥263,755 million; operating income: ¥3,095 million; ordinary income: ¥3,152 million; net income attributable to owners of the parent: ¥2,039 million; EBITDA: ¥4,438 million
Full-year earnings forecast
Net Sales
¥1,030,000 million
Operating profit
¥11,000 million
Ordinary income
¥10,500 million
Profit attributable to owners of the parent
¥7,000 million
Progress against full-year forecast　通期の予想に対して、いまどこまで進んだかの割合です。
Net Sales25.6%
Operating profit28.1%
Ordinary income30.0%
Profit attributable to owners of the parent29.1%
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Progressing in line with the plan
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
  • Revenue increase+¥1,245 million
  • Decline in gross profit margin(¥473 million)
  • Increase in personnel expenses(¥174 million)
  • Increase in logistics costs(¥768 million)
  • Increase in other SG&A(¥800 million)
New initiatives
  • Complete renewal of the Japanese-language corporate website
  • Expansion of IR, sustainability information and corporate profile content
  • Implementation of a function to visualize the number of updates to information releases
Key KPIsA metric the company considers important as a management benchmark.
  • H&B revenue¥84,103 million
    Year on year against the same period last year108.3%
  • Pet revenue¥48,202 million
    Year on year against the same period last year102.7%
  • Paper products revenue¥46,971 million
    Year on year against the same period last year100.3%
  • Household revenue¥36,449 million
    Year on year against the same period last year103.2%
  • Home care revenue¥25,873 million
    Year on year against the same period last year106.4%
  • Household goods revenue¥5,299 million
    Year on year against the same period last year95.5%
  • Drugstore revenue¥137,400 million
    Year on year against the same period last year105.5%
  • Home center revenue¥34,687 million
    Year on year against the same period last year99.3%
  • Supermarket sales¥27,935 million
    Year on year against the same period last year103.3%
  • Discount store revenue¥21,992 million
    Year on year against the same period last year108.4%
  • GMS revenue¥8,173 million
    Year on year against the same period last year90.4%
  • Other-format revenue¥33,566 million
    Year on year against the same period last year113.4%
Medium-term management plan targets
Continue implementing the Medium-Term Management Plan 2030 strategy and strengthen the company's profit-generating structure. Specific target figures and comparisons between actual results and target years are not disclosed.
Contents of this document
ItemDetails
Document typePresentation materials for financial results
Fiscal Period CoveredFirst quarter of the fiscal year ending March 2027
Net Sales¥263,755 million (YoY +5.0%)
Operating profit¥3,095 million (YoY -23.9%)
Ordinary income¥3,152 million (YoY -24.1%)
Net income¥2,039 million (YoY -27.0%)
Gross Profit MarginRate 9.7% / Year on year against the same period last year ▲0.2 percentage points
Operating profit marginRate 1.2% / Year on year against the same period last year Down 0.4 percentage points
Selling, general and administrative expenses¥22,586 million
Results for the three months of the current quarterRevenue: ¥263,755 million; operating income: ¥3,095 million; ordinary income: ¥3,152 million; net income attributable to owners of the parent: ¥2,039 million; EBITDA: ¥4,438 million
Full-year earnings forecastNet Sales ¥1,030,000 million / Operating profit ¥11,000 million / Ordinary income ¥10,500 million / Profit attributable to owners of the parent ¥7,000 million
Progress against full-year forecastNet Sales 25.6% / Operating profit 28.1% / Ordinary income 30.0% / Profit attributable to owners of the parent 29.1%
Self-assessment against the planProgressing in line with the plan
Breakdown of Factors Affecting the ChangeItem Revenue increase / Amount +¥1,245 million, Item Decline in gross profit margin / Amount (¥473 million), Item Increase in personnel expenses / Amount (¥174 million), Item Increase in logistics costs / Amount (¥768 million), Item Increase in other SG&A / Amount (¥800 million)
Key KPIsIndicator H&B revenue / Value ¥84,103 million / Year on year against the same period last year 108.3%, Indicator Pet revenue / Value ¥48,202 million / Year on year against the same period last year 102.7%, Indicator Paper products revenue / Value ¥46,971 million / Year on year against the same period last year 100.3%, Indicator Household revenue / Value ¥36,449 million / Year on year against the same period last year 103.2%, Indicator Home care revenue / Value ¥25,873 million / Year on year against the same period last year 106.4%, Indicator Household goods revenue / Value ¥5,299 million / Year on year against the same period last year 95.5%, Indicator Drugstore revenue / Value ¥137,400 million / Year on year against the same period last year 105.5%, Indicator Home center revenue / Value ¥34,687 million / Year on year against the same period last year 99.3%, Indicator Supermarket sales / Value ¥27,935 million / Year on year against the same period last year 103.3%, Indicator Discount store revenue / Value ¥21,992 million / Year on year against the same period last year 108.4%, Indicator GMS revenue / Value ¥8,173 million / Year on year against the same period last year 90.4%, Indicator Other-format revenue / Value ¥33,566 million / Year on year against the same period last year 113.4%
Medium-term management plan targetsContinue implementing the Medium-Term Management Plan 2030 strategy and strengthen the company's profit-generating structure. Specific target figures and comparisons between actual results and target years are not disclosed.
New initiativesComplete renewal of the Japanese-language corporate website, Expansion of IR, sustainability information and corporate profile content, Implementation of a function to visualize the number of updates to information releases
Items this document does not state (14)
Segment resultsUnit price and quantity metricsNumber of stores and locationsNumber of employeesAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookFinancial targetsAnnual DividendPayout ratioAcquisition of treasury sharesCapital expendituresOrders received and order backlogMarket Size / ShareKey points of the Q&A

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

Revenue increased due to the new consolidation of msh and Polite, an expanded in-store share, and strong sales of exclusive and priority-distribution products. Factors affecting profit included a lower gross margin resulting from higher center fees and rebates, increases in personnel expenses, logistics costs and other SG&A expenses, the impact of M&A and inflation, and higher interest expenses due to rising interest rates.

How to read this page

This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
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Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.
Earnings Presentation Materials for the First Quarter of the Fiscal Year Ending March 2027 | ARATA CORPORATION (2733) timely disclosure | Komori