Worth reading
69In focus
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
130
¥100 millionWording
Avoiding a definitive answer
How definitive the wording is.Items stated in the management plan
FormulatedOperating profitNot disclosed → ¥130 100 million（CAGR +6.6%）
ROENot disclosed → Maintain at 13.0% or higher
Only the target level is shown because the current level for comparison was not provided.What happened to the previous planStore openings: 1,200 stores, including 80 overseas; average annual EPS growth rate: ≥+13%; final-year ROIC: ≥11.5%; final-year equity ratio: ≥40%; cumulative total payout ratio: ≥50% → Store openings: 1,150 stores, including 82 overseas; EPS growth rate: 12.8%; ROIC: 11.8%; equity ratio: 45.2%; total payout ratio: 50.9%-4.2%Calculated from the two disclosed figures
Total investment planGrowth investment: ¥50.0 billion (over the five-year plan period)
Investment amount by sectorField Investment in existing businesses / Amount ¥20 billion, Field M&A and New Businesses / Amount ¥30 billion
Statements about the use of capital
Payout ratio / DOE policyMaintain a cumulative total payout ratio of at least 50% over the medium-term management plan period. The covered period is the five fiscal years through the fiscal year ending February 2031.The payout ratio is the proportion of profit paid out as dividends, while DOE is the ratio of dividends to net assets.
Treasury share acquisition policyThe Group has presented a cash allocation plan totaling ¥20.0 billion in cumulative shareholder returns over the medium-term management plan period, combining dividends and share buybacks, and will also consider allocating funds for additional shareholder returns.
Cost of capitalWACC 6.5%The cost of capital is the minimum rate of return expected by shareholders and banks from the company.
Key initiatives
01Strengthen the brand by improving QSC at stores and investing in DX
02Promote diverse store openings rooted in local communities
03Strengthen SCM functions
04Accelerate the expansion of Okage-an
05Further expand the overseas business
06Acquire new customers by leveraging the brand
07Proactively invest in AI and DX
08Maintain capital efficiency through proactive capital measures
09M&A
Plan assumptionsThe business environment is expected to include fluctuations in raw material market conditions and foreign exchange rates, increases in material prices, rents, construction costs and labor costs, labor shortages, and growth potential in overseas markets. Numerical assumptions: not disclosed.
Segment targetSegments and businesses Overseas Business / Sales target Not disclosed / Profit Target Business profit of ¥1.0 billion, Segments and businesses Overseas stores / Sales target Establish a network of 180 overseas stores / Profit Target Not disclosed, Segments and businesses Okage-an / Sales target Expand the store network to at least 50 locations / Profit Target Not disclosed
Non-financial targetsIndicator Total number of Group stores / Target value 1,400 stores / Timing Fiscal year ending February 2031, Indicator Number of overseas stores / Target value 180 stores / Timing Fiscal year ending February 2031, Indicator Number of Okage-an stores / Target value At least 50 stores / Timing Fiscal year ending February 2031, Indicator Pass rate for audits of private-label product manufacturing plants for new products / Target value 100% / Timing Fiscal year ending February 2031, Indicator Number of stores with a “Komeda Artisan” / Target value 980 stores / Timing Fiscal year ending February 2031, Indicator Number of participating stores in contests / Target value 1,100 stores / Timing Fiscal year ending February 2031, Indicator Number of children participating in visiting classes / Target value 3,500 participants in total / Timing Fiscal year ending February 2031, Indicator Paid leave utilization rate / Target value 70.0％ / Timing Fiscal year ending February 2031, Indicator Rate of male employees taking childcare leave or equivalent leave / Target value 100％ / Timing Fiscal year ending February 2031, Indicator Employee Engagement / Target value Score B / Timing Final year (fiscal year ending February 2031), Indicator Percentage of Female Managers / Target value 30.0％ / Timing Fiscal year ending February 2031, Indicator Pass rate for local audits in coffee bean procurement / Target value 100％ / Timing Fiscal year ending February 2031, Indicator Reuse rate for coffee grounds generated at factories / Target value 100％ / Timing Fiscal year ending February 2031, Indicator Area covered by the “Komeda Forest” maintenance project / Target value 28ha / Timing Fiscal year ending February 2031, Indicator Reduction in CO2 emissions (Scopes 1, 2 and 3) / Target value 50.0% reduction (versus FY2015) / Timing Fiscal year ending February 2031
Risks identified by the company
Increases in raw material and procurement costs due to fluctuations in raw material market conditions and foreign exchange rates
Higher construction costs and changes in the store-opening environment due to surging material prices and rents and intensifying competition for development sites
Higher labor costs and difficulty securing talent due to labor shortages and other factors
Loss of trust and deterioration of relationships with local communities due to quality incidents, damage to the customer experience and stockouts
Lower operating rates and disruption to operating quality due to employee turnover, deteriorating health and psychological anxiety
Higher costs and business instability due to rising costs, regulatory burdens and weakened supply resilience
| Item | Details |
|---|---|
| Plan name | Medium-Term Management Plan CONNECT 2030 |
| Plan period | Fiscal years ending February 2027 through February 2031 (presentation materials: FY2026–FY2030) |
| Progress against the plan | Formulated |
| Operating profit target | Not disclosed → ¥130 100 million（CAGR +6.6%） |
| ROE target | Not disclosed → Maintain at 13.0% or higher |
| Payout ratio / DOE policy | Maintain a cumulative total payout ratio of at least 50% over the medium-term management plan period. The covered period is the five fiscal years through the fiscal year ending February 2031. |
| Treasury share acquisition policy | The Group has presented a cash allocation plan totaling ¥20.0 billion in cumulative shareholder returns over the medium-term management plan period, combining dividends and share buybacks, and will also consider allocating funds for additional shareholder returns. |
| Cost of capital | WACC 6.5% |
| Total investment plan | Growth investment: ¥50.0 billion (over the five-year plan period) |
| Investment amount by sector | Field Investment in existing businesses / Amount ¥20 billion, Field M&A and New Businesses / Amount ¥30 billion |
| Segment target | Segments and businesses Overseas Business / Sales target Not disclosed / Profit Target Business profit of ¥1.0 billion, Segments and businesses Overseas stores / Sales target Establish a network of 180 overseas stores / Profit Target Not disclosed, Segments and businesses Okage-an / Sales target Expand the store network to at least 50 locations / Profit Target Not disclosed |
| Non-financial targets | Indicator Total number of Group stores / Target value 1,400 stores / Timing Fiscal year ending February 2031, Indicator Number of overseas stores / Target value 180 stores / Timing Fiscal year ending February 2031, Indicator Number of Okage-an stores / Target value At least 50 stores / Timing Fiscal year ending February 2031, Indicator Pass rate for audits of private-label product manufacturing plants for new products / Target value 100% / Timing Fiscal year ending February 2031, Indicator Number of stores with a “Komeda Artisan” / Target value 980 stores / Timing Fiscal year ending February 2031, Indicator Number of participating stores in contests / Target value 1,100 stores / Timing Fiscal year ending February 2031, Indicator Number of children participating in visiting classes / Target value 3,500 participants in total / Timing Fiscal year ending February 2031, Indicator Paid leave utilization rate / Target value 70.0％ / Timing Fiscal year ending February 2031, Indicator Rate of male employees taking childcare leave or equivalent leave / Target value 100％ / Timing Fiscal year ending February 2031, Indicator Employee Engagement / Target value Score B / Timing Final year (fiscal year ending February 2031), Indicator Percentage of Female Managers / Target value 30.0％ / Timing Fiscal year ending February 2031, Indicator Pass rate for local audits in coffee bean procurement / Target value 100％ / Timing Fiscal year ending February 2031, Indicator Reuse rate for coffee grounds generated at factories / Target value 100％ / Timing Fiscal year ending February 2031, Indicator Area covered by the “Komeda Forest” maintenance project / Target value 28ha / Timing Fiscal year ending February 2031, Indicator Reduction in CO2 emissions (Scopes 1, 2 and 3) / Target value 50.0% reduction (versus FY2015) / Timing Fiscal year ending February 2031 |
| Plan assumptions | The business environment is expected to include fluctuations in raw material market conditions and foreign exchange rates, increases in material prices, rents, construction costs and labor costs, labor shortages, and growth potential in overseas markets. Numerical assumptions: not disclosed. |
| Key initiatives | Strengthen the brand by improving QSC at stores and investing in DX, Promote diverse store openings rooted in local communities, Strengthen SCM functions, Accelerate the expansion of Okage-an, Further expand the overseas business, Acquire new customers by leveraging the brand, Proactively invest in AI and DX, Maintain capital efficiency through proactive capital measures, M&A |
| Results under the previous plan | Store openings: 1,200 stores, including 80 overseas; average annual EPS growth rate: ≥+13%; final-year ROIC: ≥11.5%; final-year equity ratio: ≥40%; cumulative total payout ratio: ≥50% → Store openings: 1,150 stores, including 82 overseas; EPS growth rate: 12.8%; ROIC: 11.8%; equity ratio: 45.2%; total payout ratio: 50.9% |
| Risks identified | Increases in raw material and procurement costs due to fluctuations in raw material market conditions and foreign exchange rates, Higher construction costs and changes in the store-opening environment due to surging material prices and rents and intensifying competition for development sites, Higher labor costs and difficulty securing talent due to labor shortages and other factors, Loss of trust and deterioration of relationships with local communities due to quality incidents, damage to the customer experience and stockouts, Lower operating rates and disruption to operating quality due to employee turnover, deteriorating health and psychological anxiety, Higher costs and business instability due to rising costs, regulatory burdens and weakened supply resilience |
| Publication date | 8 April 2026 |
Items this document does not state (8)
Sales TargetOperating profit margin targetNet income targetROIC targetSelf-assessment of PBR and share priceReason for revision or withdrawalSize of the Target MarketDate of board resolution
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.To achieve the Group mission, “Bringing more relaxation to people’s hearts,” the Group aims to expand KUTSUROGI worldwide and achieve sustainable growth while enhancing economic value and helping to resolve social issues. The Group also aims to leverage its strengths in responding to changes in the external environment, including pursuing and capturing opportunities.
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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