Closure of BALMUDA The Store Aoyama (Minato-ku, Tokyo)
BALMUDA Inc. (the company)
BALMUDA The Store Aoyama (Minato-ku, Tokyo)
Purchasing of durable consumer goods, including home appliances, has become more cautious amid continued inflation. Sales in the kitchen and air-conditioning categories declined due to the expansion of low-priced similar products, entry into the household appliance market by companies from other industries, and the prolonged renewal cycle for core products. Operations will cease in order to achieve greater concentration of management resources through the reorganisation of the organisation and operating locations.
¥380 million (expected to be recorded as an extraordinary loss in the consolidated accounting period for the fiscal year ending December 2026)
Consolidated accounting period for the fiscal year ending December 2026 (end of the fiscal year)
Revised. Net sales of ¥8,900 million, an operating loss of ¥650 million, an ordinary loss of ¥670 million, and a net loss attributable to owners of the parent of ¥1,050 million. The respective changes from the initial forecast are decreases of ¥1,600 million, ¥680 million, ¥685 million, and ¥1,060 million.
Company response
Cessation of operations at BALMUDA The Store Aoyama
Improving operational efficiency through organisational restructuring / Transitioning to an organisational and staffing structure aligned with the scale of the business / Improving operational efficiency through the use of AI / Concentrating management resources through the reorganisation of operating locations / Substantially completing the reorganisation of the organisation and operating locations / Transitioning to a development structure that continuously evolves and renews core products by concentrating development resources on them / Fully renewing 2 toaster models (launched in September 2026) / Continuing to strengthen the development of core products centred on toasters, microwaves, electric kettles and fans / Evolving The Clock (2026: adding new features and colours; 2027: further increasing added value)
The company will consider new ways to maintain the direct communication with customers that was provided by BALMUDA The Store Aoyama. It will rebuild its earnings structure and strengthen its foundations for growth with a view to returning to profitability in the fiscal year ending December 2027 and achieving subsequent growth.
| Item | Details |
|---|---|
| Event name | Closure of BALMUDA The Store Aoyama (Minato-ku, Tokyo) |
| Date of occurrence | 13 November 2026 (the date the Board of Directors resolved to cease operations) |
| Date recognized / date notice received | 13 November 2026 (the date the Board of Directors adopted the resolution, stated as the date the company became aware of the event) |
| Subject Entity | BALMUDA Inc. (the company) |
| Target Locations / Products | BALMUDA The Store Aoyama (Minato-ku, Tokyo) |
| Cause | Purchasing of durable consumer goods, including home appliances, has become more cautious amid continued inflation. Sales in the kitchen and air-conditioning categories declined due to the expansion of low-priced similar products, entry into the household appliance market by companies from other industries, and the prolonged renewal cycle for core products. Operations will cease in order to achieve greater concentration of management resources through the reorganisation of the organisation and operating locations. |
| Amount of Impact on Business Performance | ¥380 million (expected to be recorded as an extraordinary loss in the consolidated accounting period for the fiscal year ending December 2026) |
| Accounting period in which recognized | Consolidated accounting period for the fiscal year ending December 2026 (end of the fiscal year) |
| Impact on Earnings Forecast | Revised. Net sales of ¥8,900 million, an operating loss of ¥650 million, an ordinary loss of ¥670 million, and a net loss attributable to owners of the parent of ¥1,050 million. The respective changes from the initial forecast are decreases of ¥1,600 million, ¥680 million, ¥685 million, and ¥1,060 million. |
| Suspended operations | Cessation of operations at BALMUDA The Store Aoyama |
| Measures to prevent recurrence | Improving operational efficiency through organisational restructuring / Transitioning to an organisational and staffing structure aligned with the scale of the business / Improving operational efficiency through the use of AI / Concentrating management resources through the reorganisation of operating locations / Substantially completing the reorganisation of the organisation and operating locations / Transitioning to a development structure that continuously evolves and renews core products by concentrating development resources on them / Fully renewing 2 toaster models (launched in September 2026) / Continuing to strengthen the development of core products centred on toasters, microwaves, electric kettles and fans / Evolving The Clock (2026: adding new features and colours; 2027: further increasing added value) |
| Outlook | The company will consider new ways to maintain the direct communication with customers that was provided by BALMUDA The Store Aoyama. It will rebuild its earnings structure and strengthen its foundations for growth with a view to returning to profitability in the fiscal year ending December 2027 and achieving subsequent growth. |
Items this document does not state (13)
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.Net sales are expected to fall below the initial forecast due to more cautious purchasing of durable consumer goods amid rising prices, the expansion of low-priced similar products, entry into the market by companies from other industries, and lower sales in the kitchen and air-conditioning categories resulting from the prolonged renewal cycle for core products. Operations will cease in order to concentrate management resources through the reorganisation of the organisation and operating locations.