Worth reading
45Recurring
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Improvement
Direction inferred from the company’s description.Scale
153
¥ million (consolidated operating income)Wording
Conditional
How definitive the wording is.Contents of this document
Supplementary materials to the earnings reportSecond quarter of the fiscal year ending October 20267 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥9,655 million+15.8%
Operating profit¥153 million+92.8%
Ordinary income¥146 million+15.0%
Net income¥119 million -2.0%net income attributable to owners of the parent
Gross Profit MarginGross margin improved alongside the expansion of D2C product sales (change from the same period of the previous year: Not disclosed)
Results for the three months of the current quarterQuarterly standalone consolidated net sales are shown in a graph at ¥4,578 million for the first quarter and ¥5,076 million for the second quarter of the fiscal year ending October 2026
Full-year earnings forecast
Net Sales
¥18,600 million
Operating profit
¥250 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 Sales51.9%
Operating profit61.3% (61.2% on another page)
Ordinary income61.1%
Net income66.2%
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Operating profit is progressing smoothly, with a progress rate of 61.2%Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
- Foreign exchange gain in the same period of the previous year¥46 millionDetailsRecorded as non-operating income in the same period of the previous year
- Expansion of D2C product sales in the EC marketing business
- Decrease in orders for large-scale projects in the EC marketing business
- Expansion of apparel sales in China and strong performance by the Vietnamese subsidiary in the product planning-related business
New initiatives
- Obtained a license to manufacture and market medical devices and is promoting integrated in-house provision of recovery wear
- Promoting the joint development and sale of functional fibers for apparel with ITOCHU Corporation
- Change in listing segment to the Tokyo Stock Exchange Standard Market
- Test rollout of the EC marketing business for the Chinese domestic market
- Expanding furniture, pet-related products and new-brand products as D2C products
Key KPIsA metric the company considers important as a management benchmark.
- Cumulative s!mplus units sold73 10,000 units
- Number of USP-owned EC site stores10 Location
- USP business net sales4 Approximately ¥1 billion annual salesYear on year against the same period last yearExpanded from a zero base
Segment results
- EC Marketing businessNet Sales¥7,277 millionRevenue_yoy_pct5.4Segment profit¥125 millionSegment profit YoY %-15.5
- Product Planning-Related businessNet Sales¥2,447 millionRevenue_yoy_pct74Segment profit¥171 millionSegment profit YoY %120.4
- EC marketing business (quarterly trend on another page)Net Sales¥3,759 millionRevenue_yoy_pct9.4Segment profit¥56 millionSegment profit YoY %-32.8
- Product planning-related business (quarterly trend on another page)Net Sales¥1,329 millionRevenue_yoy_pct77.5Segment profit¥110 millionSegment profit YoY %90.4
Medium-term management plan targets
Fiscal year ending October 2027
Net Sales21,755
Revenue unit¥ million
Operating profit459
Operating profit unit¥ million
Market capitalizationAt least ¥10 billion
Actual versus forecastIncludes actual results for the fiscal years ending October 2024 and October 2025, the forecast for the fiscal year ending October 2026, and the target for the fiscal year ending October 2027
Number of stores and locations
10 USP-owned EC site stores. Number of store openings and closures during the period: Not disclosed| Item | Details |
|---|---|
| Document type | Supplementary materials to the earnings report |
| Fiscal Period Covered | Second quarter of the fiscal year ending October 2026 |
| Net Sales | ¥9,655 million (YoY +15.8%) |
| Operating profit | ¥153 million (YoY +92.8%) |
| Ordinary income | ¥146 million (YoY +15.0%) |
| Net income | ¥119 million (net income attributable to owners of the parent) (YoY -2.0%) |
| Gross Profit Margin | Gross margin improved alongside the expansion of D2C product sales (change from the same period of the previous year: Not disclosed) |
| Results for the three months of the current quarter | Quarterly standalone consolidated net sales are shown in a graph at ¥4,578 million for the first quarter and ¥5,076 million for the second quarter of the fiscal year ending October 2026 |
| Full-year earnings forecast | Net Sales ¥18,600 million / Operating profit ¥250 million / Ordinary income Not disclosed / Net income Not disclosed |
| Progress against full-year forecast | Net Sales 51.9% / Operating profit 61.3% (61.2% on another page) / Ordinary income 61.1% / Net income 66.2% |
| Self-assessment against the plan | Operating profit is progressing smoothly, with a progress rate of 61.2% |
| Segment results | Segment EC Marketing business / Net Sales ¥7,277 million / Revenue_yoy_pct 5.4 / Segment profit ¥125 million / Segment profit YoY % -15.5, Segment Product Planning-Related business / Net Sales ¥2,447 million / Revenue_yoy_pct 74 / Segment profit ¥171 million / Segment profit YoY % 120.4, Segment EC marketing business (quarterly trend on another page) / Net Sales ¥3,759 million / Revenue_yoy_pct 9.4 / Segment profit ¥56 million / Segment profit YoY % -32.8, Segment Product planning-related business (quarterly trend on another page) / Net Sales ¥1,329 million / Revenue_yoy_pct 77.5 / Segment profit ¥110 million / Segment profit YoY % 90.4 |
| Breakdown of Factors Affecting the Change | Factors Foreign exchange gain in the same period of the previous year / Amount ¥46 million / Details Recorded as non-operating income in the same period of the previous year, Factors Expansion of D2C product sales in the EC marketing business / Amount Not disclosed, Factors Decrease in orders for large-scale projects in the EC marketing business / Amount Not disclosed, Factors Expansion of apparel sales in China and strong performance by the Vietnamese subsidiary in the product planning-related business / Amount Not disclosed |
| Key KPIs | Indicator name Cumulative s!mplus units sold / Value 73 10,000 units / Year on year against the same period last year Not disclosed, Indicator name Number of USP-owned EC site stores / Value 10 Location / Year on year against the same period last year Not disclosed, Indicator name USP business net sales / Value 4 Approximately ¥1 billion (annual sales) / Year on year against the same period last year Expanded from a zero base |
| Number of stores and locations | 10 USP-owned EC site stores. Number of store openings and closures during the period: Not disclosed |
| Medium-term management plan targets | Fiscal year ending October 2027 Net Sales 21,755 / Revenue unit ¥ million / Operating profit 459 / Operating profit unit ¥ million / Market capitalization At least ¥10 billion / Actual versus forecast Includes actual results for the fiscal years ending October 2024 and October 2025, the forecast for the fiscal year ending October 2026, and the target for the fiscal year ending October 2027 |
| New initiatives | Obtained a license to manufacture and market medical devices and is promoting integrated in-house provision of recovery wear, Promoting the joint development and sale of functional fibers for apparel with ITOCHU Corporation, Change in listing segment to the Tokyo Stock Exchange Standard Market, Test rollout of the EC marketing business for the Chinese domestic market, Expanding furniture, pet-related products and new-brand products as D2C products |
Items this document does not state (14)
Operating profit marginSelling, general and administrative expensesUnit price and quantity metricsNumber 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.The EC marketing business reported higher revenue as sales of D2C products, furniture and home appliances, and daily necessities remained solid. However, profit declined at subsidiary Kannart as the value of orders for large-scale projects fell due to the spread of AI. The product planning-related business reported substantial increases in revenue and profit, driven by the rapid expansion of apparel sales by its Chinese subsidiary, orders for functional fiber-related products, and strong orders and deliveries at its Vietnamese subsidiary, pushing up consolidated operating profit. Ordinary profit increased due to higher operating profit, despite the reversal of the ¥46 million foreign exchange gain recorded in the same period of the previous year.
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.