Although sales increased significantly year on year in the interim period, the operating loss, ordinary loss and net loss all widened. The full-year forecast remains unchanged, and the company is targeting a recovery in the second half through the rollout of new brands, battery storage projects and cost structure reforms.
| Item | Details |
|---|---|
| Document type | Supplementary Materials to the Earnings Report |
| Fiscal Period Covered | Q2 (interim period) of the fiscal year ending January 2027 |
| Net Sales | ¥2,261 million (YoY +162.0%) |
| Operating profit | ¥-627 million |
| Ordinary income | ¥-666 million |
| Net income | ¥-648 million |
| Selling, general and administrative expenses | 1,777,095 Thousands of yen |
| Full-year earnings forecast | Net Sales ¥5,740 million / Operating profit ¥304 million / Ordinary income ¥278 million / Profit attributable to owners of the parent ¥164 million / Earnings per share ¥2.08 |
| Self-assessment against the plan | Although sales were somewhat behind plan, they are expected to remain solid through the full year. |
| Segment results | Segment Lifestyle Business / Net Sales ¥2,167 million / Profit ¥-349 million / Year on year against the same period last year Not disclosed, Segment Other Businesses / Net Sales ¥94 million / Profit ¥13 million / Year on year against the same period last year Not disclosed |
| Breakdown of Factors Affecting the Change | Factors Impairment loss / Amount 61,112 Thousands of yen, Factors Losses from remittance fraud / Amount 45,000 Thousands of yen, Factors Loss on disposal of fixed assets / Amount 855 Thousands of yen, Factors Main factor affecting cash flow from operating activities: decrease in trade receivables / Amount ¥837 million, Factors Acquisition of Investment Securities / Amount ¥-300 million, Factors Payment of capital contributions / Amount ¥-905 million, Factors Increase in Short-Term Borrowings / Amount ¥350 million |
| Annual Dividend | Annual ¥0 / Interim ¥0 / End of period ¥0 |
| New initiatives | Exclusive sales agreements and exclusive distributor agreements for SAPPUN, Auren and iHEAL, Launch of STADIUM AI, Basic agreement with JTB on a business partnership, Business partnership with MY-ONE Co., Ltd., Launch of artist and talent management services, Establishment of JB Biz Service, a subsidiary consolidating administrative functions, Making Chichikaka Co., Ltd. a subsidiary through the acquisition of its shares |
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 rollout of new brands such as SAPPUN was delayed, while the recall of 3D Fruit Pops Ice delayed the recovery in sales. The company says it aims to achieve a recovery in the second half through the recovery of its existing businesses, the rollout of new brands and products, and earnings contributions from its sustainable business, noting that preparations for its operating structure and other measures took longer than expected. The widening operating loss is attributed to higher selling, general and administrative expenses and the recognition of extraordinary losses, including impairment losses and losses from remittance fraud.