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How definitive the wording is.Contents of this document
Summary of Q&AFull year for the fiscal year ending April 202612 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Operating profit260 Millions of yen
Operating profit margin1.3%; year-on-year change: Not disclosed
Results for the three months of the current quarterBeauty business fourth-quarter business profit was ¥57 million, compared with ¥10 million in the previous fiscal year
Full-year earnings forecast
Fiscal year ending April 2027
Net Sales¥22,817 million
Operating profit¥502 million
Fiscal year ending April 2028
Net Sales¥27,106 million
Operating profit¥1,098 million
Fiscal year ending April 2029
Net Sales¥30,889 million
Operating profit¥1,804 million
Business profit¥3,325 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。Against the revised plan, commerce revenue was 102% and segment profit was approximately 120% (explanation based on the previous fiscal year's results)
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Below the initial plan, but above the revised planKey points of the Q&AKey questions raised by investors at the briefing and the company's answers
Reasons for the decline in profit margins, operating cash flow, the impact of NE Co.'s spin-off, head office expenses, equity-method investment losses, the achievability of the medium-term management plan and its growth drivers, upfront investments, growth strategies for each business, dividends, and shareholder benefitsBreakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Exclusion of NE Co. from the consolidated accounts, growth investments, increases in working capital including inventories and trade receivables, U.S. tariffs, intensifying competition, reduced retail space for wholesale sales, cost reductions, and greater SG&A efficiency
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
The plan was developed by building up the market size, market growth rate, and specific initiatives for each of the 4 growth drivers. Details of the numerical assumptions: Not disclosedNew initiatives
Focus on mobile batteries, development of ByGLOW, expansion of base makeup and new categories, development of accessories for gaming monitors, expansion of overseas sales channels, investment in an AI utilization platform, and expansion of the eligible brands and total value of shareholder benefitsKey KPIsA metric the company considers important as a management benchmark.
- Revenue growth rate on a continuing-operations basis+13.5%
- Operating profit growth rate on a continuing-operations basis+92.8%
- Contribution margin22.3% to 25.7%Year on year against the same period last year+3.4 percentage points (under the plan)
- Average annual revenue growth rate under the medium-term management plan15.4%
- Beauty business average growth rate target24.7%
Segment results
Commerce revenue increased 5.8% year on year, Beauty business revenue increased 30.4%, and Global business revenue increased 11.3%. Other segment profit figures: Not disclosedMedium-term management plan targets
Fiscal year ending April 2029: revenue of ¥30,889 million, operating profit of ¥1,804 million, business profit of ¥3,325 million, ROIC of at least 10%, and ROE of at least 12%. Milestone targets for the fiscal years ending April 2027 and April 2028 were also presentedFinancial targets
ROIC of at least 10% and ROE of at least 12% for the fiscal year ending April 2029. Equity ratio: 53.5%Market Size / Share
The company explained that TAM, SAM, SOM, and market growth rates for its 4 businesses were used in developing the plan. Specific market size and market share figures: Not disclosedAnnual Dividend
¥3 per share for the fiscal year ending April 2027. ¥22.5 for the distribution made in July 2026Payout ratio
21.2%. The policy is to maintain a payout ratio of at least 20%| Item | Details |
|---|---|
| Document type | Summary of Q&A |
| Fiscal Period Covered | Full year for the fiscal year ending April 2026 |
| Operating profit | 260 Millions of yen |
| Operating profit margin | 1.3%; year-on-year change: Not disclosed |
| Results for the three months of the current quarter | Beauty business fourth-quarter business profit was ¥57 million, compared with ¥10 million in the previous fiscal year |
| Full-year earnings forecast | Fiscal year ending April 2027 Net Sales ¥22,817 million / Operating profit ¥502 million / Fiscal year ending April 2028 Net Sales ¥27,106 million / Operating profit ¥1,098 million / Fiscal year ending April 2029 Net Sales ¥30,889 million / Operating profit ¥1,804 million / Business profit ¥3,325 million |
| Progress against full-year forecast | Against the revised plan, commerce revenue was 102% and segment profit was approximately 120% (explanation based on the previous fiscal year's results) |
| Self-assessment against the plan | Below the initial plan, but above the revised plan |
| Segment results | Commerce revenue increased 5.8% year on year, Beauty business revenue increased 30.4%, and Global business revenue increased 11.3%. Other segment profit figures: Not disclosed |
| Breakdown of Factors Affecting the Change | Exclusion of NE Co. from the consolidated accounts, growth investments, increases in working capital including inventories and trade receivables, U.S. tariffs, intensifying competition, reduced retail space for wholesale sales, cost reductions, and greater SG&A efficiency |
| Key KPIs | Indicator name Revenue growth rate on a continuing-operations basis / Value +13.5% / Year on year against the same period last year Not disclosed, Indicator name Operating profit growth rate on a continuing-operations basis / Value +92.8% / Year on year against the same period last year Not disclosed, Indicator name Contribution margin / Value 22.3% to 25.7% / Year on year against the same period last year +3.4 percentage points (under the plan), Indicator name Average annual revenue growth rate under the medium-term management plan / Value 15.4% / Year on year against the same period last year Not disclosed, Indicator name Beauty business average growth rate target / Value 24.7% / Year on year against the same period last year Not disclosed |
| Assumptions Underlying the Business Outlook | The plan was developed by building up the market size, market growth rate, and specific initiatives for each of the 4 growth drivers. Details of the numerical assumptions: Not disclosed |
| Medium-term management plan targets | Fiscal year ending April 2029: revenue of ¥30,889 million, operating profit of ¥1,804 million, business profit of ¥3,325 million, ROIC of at least 10%, and ROE of at least 12%. Milestone targets for the fiscal years ending April 2027 and April 2028 were also presented |
| Financial targets | ROIC of at least 10% and ROE of at least 12% for the fiscal year ending April 2029. Equity ratio: 53.5% |
| Annual Dividend | ¥3 per share for the fiscal year ending April 2027. ¥22.5 for the distribution made in July 2026 |
| Payout ratio | 21.2%. The policy is to maintain a payout ratio of at least 20% |
| Market Size / Share | The company explained that TAM, SAM, SOM, and market growth rates for its 4 businesses were used in developing the plan. Specific market size and market share figures: Not disclosed |
| Key points of the Q&A | Reasons for the decline in profit margins, operating cash flow, the impact of NE Co.'s spin-off, head office expenses, equity-method investment losses, the achievability of the medium-term management plan and its growth drivers, upfront investments, growth strategies for each business, dividends, and shareholder benefits |
| New initiatives | Focus on mobile batteries, development of ByGLOW, expansion of base makeup and new categories, development of accessories for gaming monitors, expansion of overseas sales channels, investment in an AI utilization platform, and expansion of the eligible brands and total value of shareholder benefits |
Items this document does not state (12)
Net SalesOrdinary incomeNet incomeGross Profit MarginSelling, general and administrative expensesUnit price and quantity metricsNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookAcquisition of treasury sharesCapital expendituresOrders received and order backlog
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.The company explained that the main factors behind the decline in profit margins and negative operating cash flow were the exclusion of NE Co. from the consolidated accounts, upfront investments to expand its categories, increases in working capital such as inventories and trade receivables, U.S. tariffs, and intensifying competition. At the same time, it aims to increase profit over the medium term through revenue growth in the Beauty and Global businesses, cost reductions, greater SG&A efficiency, and the use of AI.
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.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.