Declining Demand for Eating Out and Intensifying Competition
First written in FY2025. 5 of 7 entries say "Materialised", first in FY2026-H1. Latest entry: 2026-07-14.
Garden moved to the "Worse" side of this theme in 2025, 5 years after the typical company in this theme (2020).
The whole theme swung hardest in 2020: 38 of 56 companies on the "Worse" side.
3 other companies' latest entry also says "Materialised".
- 2026-07-14MaterialisedEarnings presentation materials
「来店促進策を講じるも、日中の地政学リスク顕在化に伴う中国からの訪日客減少等の影響で、既存店の客数・売上回復には至らず。」
地政学リスクに伴う訪日客減少が既存店の客数・売上に影響した状況を記載した。 - FY2026MaterialisedAnnual report
「Although average spend per customer increased in the food-service industry due to price revisions reflecting higher raw-material and utility costs, customer numbers remained sluggish amid a growing preference for saving against a backdrop of rising prices. Higher labor costs resulting from labor shortages also contributed to the continuation of a challenging operating environment.」
Higher prices, a stronger preference for saving and sluggish customer numbers were described as features of the operating environment during the fiscal year. - FY2026-H1MaterialisedAnnual report
「Consumer behavior was also restrained by extreme heat from early spring onward, which repeatedly broke records for the highest temperatures ever observed. The operating environment remains challenging, particularly for our company, where the core ramen business accounts for approximately 70% of sales.」
The company reported restrained consumer behavior that could lead to lower restaurant demand as a condition observed during the interim accounting period due to extreme heat. - FY2025First statedAnnual report
「We expect the challenging business environment to continue as a result of accelerating population decline, fewer opportunities to eat out due to a growing focus on saving on living expenses, heightened consumer awareness of food safety and intensifying price competition.」
The company recognizes low barriers to entry and the resulting influx of new entrants, sluggish income growth and price competition as risks.