Worth reading
64In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Mixed performance
Direction inferred from the company’s description.Scale
3003
Millions of yen (year-on-year increase in operating profit)Wording
Conditional
How definitive the wording is.Contents of this document
Financial results presentationFirst quarter of the fiscal year ending March 20278 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥51,812 million +24.7%operating revenue
Operating profit¥12,031 million+33.3%
Ordinary income¥12,431 million+34.6%
Net income¥7,792 million+34.0%
Selling, general and administrative expenses8,806 Millions of yen SG&A expense ratio to sales: 13.0%
Full-year earnings forecast
Chainwide sales
¥237,970 million
Operating revenue
¥183,376 million
Operating profit
¥31,112 million
Ordinary income
¥33,418 million
Net income for the current fiscal year
¥22,329 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。
Chainwide sales28.4% (as shown in the materials)
Operating revenue28.3% (as shown in the materials)
Operating profit37.5% (as shown in the materials)
Ordinary income37.2% (as shown in the materials)
Net income for the current fiscal year34.9% (as shown in the materials)
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Below the Q1 plan (3.9 percentage points below plan for chain-wide sales) / Full-year earnings forecast left unchangedBreakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Gross operating profitRevenue from franchisees +¥2,748 million, gross profit from company-operated stores +¥664 million, overseas sourcing profit +¥682 million
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
- FY ending March 2027 full-year foreign exchange hedging ratio85%
- First-half hedged rate¥144
- Second-half hedged rate¥151
- Full-year assumed rate¥148
New initiatives
- Establishment of a wholly owned overseas subsidiary in Taiwan (scheduled for September 2026, capital of TWD 200 million, with plans to develop company-operated stores)
- Strengthening Colors' presence in shopping centers, primarily through corporate franchise stores
- Launch of a new demand-forecasting ordering system
- Launch of MEDiHEAL's premium model with temperature-control functionality
Key KPIsA metric the company considers important as a management benchmark.
- Chainwide sales¥67,561 millionYear on year against the same period last year+18.6%
- Existing-store revenue+13.3 %Year on year against the same period last year+13.3%
- Customer traffic (existing stores)+7.9 %Year on year against the same period last year+7.9%
- Private-label sales ratio74.9 %Year on year against the same period last year+6.4 percentage points
- Mass-market product sales mix25.3 %
Unit price and quantity metricsThese figures show sales broken down by price and volume.
All chain stores
Number of Customers+13.1%
Average Spend per Customer¥3,408 (+4.9%)
Average Price per Item¥1,298 (+2.9%)
Number of items purchased2.62 items (+2.0%)
Existing stores
Average daily customer count204 people (+15 people)
Number of Customers+7.9%
Average Spend per Customer¥3,413 (+5.0%)
Average Price per Item¥1,297 (+2.7%)
Number of items purchased2.63 items (+2.2%)
Number of stores and locations
Number of Stores at Period-End1,107 stores
Store openings during the period13 new stores and 2 S&B stores, for a total of 15 openings
Change during the period38 additions and 25 closures (by operating format)
Number of employees
Average employee count during the period was up 25 year on year. Total headcount: Not disclosed.| Item | Details |
|---|---|
| Document type | Financial results presentation |
| Fiscal Period Covered | First quarter of the fiscal year ending March 2027 |
| Net Sales | ¥51,812 million (operating revenue) (YoY +24.7%) |
| Operating profit | ¥12,031 million (YoY +33.3%) |
| Ordinary income | ¥12,431 million (YoY +34.6%) |
| Net income | ¥7,792 million (YoY +34.0%) |
| Selling, general and administrative expenses | 8,806 Millions of yen (SG&A expense ratio to sales: 13.0%) |
| Full-year earnings forecast | Chainwide sales ¥237,970 million / Operating revenue ¥183,376 million / Operating profit ¥31,112 million / Ordinary income ¥33,418 million / Net income for the current fiscal year ¥22,329 million |
| Progress against full-year forecast | Chainwide sales 28.4% (as shown in the materials) / Operating revenue 28.3% (as shown in the materials) / Operating profit 37.5% (as shown in the materials) / Ordinary income 37.2% (as shown in the materials) / Net income for the current fiscal year 34.9% (as shown in the materials) |
| Self-assessment against the plan | Below the Q1 plan (3.9 percentage points below plan for chain-wide sales) / Full-year earnings forecast left unchanged |
| Breakdown of Factors Affecting the Change | Gross operating profit Revenue from franchisees +¥2,748 million, gross profit from company-operated stores +¥664 million, overseas sourcing profit +¥682 million |
| Key KPIs | Indicator Chainwide sales / Value ¥67,561 million / Year on year against the same period last year +18.6%, Indicator Existing-store revenue / Value +13.3 % / Year on year against the same period last year +13.3%, Indicator Customer traffic (existing stores) / Value +7.9 % / Year on year against the same period last year +7.9%, Indicator Private-label sales ratio / Value 74.9 % / Year on year against the same period last year +6.4 percentage points, Indicator Mass-market product sales mix / Value 25.3 % / Year on year against the same period last year Not disclosed |
| Unit price and quantity metrics | All chain stores Number of Customers +13.1% / Average Spend per Customer ¥3,408 (+4.9%) / Average Price per Item ¥1,298 (+2.9%) / Number of items purchased 2.62 items (+2.0%) / Existing stores Average daily customer count 204 people (+15 people) / Number of Customers +7.9% / Average Spend per Customer ¥3,413 (+5.0%) / Average Price per Item ¥1,297 (+2.7%) / Number of items purchased 2.63 items (+2.2%) |
| Number of stores and locations | Number of Stores at Period-End 1,107 stores / Store openings during the period 13 new stores and 2 S&B stores, for a total of 15 openings / Change during the period 38 additions and 25 closures (by operating format) |
| Number of employees | Average employee count during the period was up 25 year on year. Total headcount: Not disclosed. |
| Assumptions Underlying the Business Outlook | Item FY ending March 2027 full-year foreign exchange hedging ratio / Value 85%, Item First-half hedged rate / Value ¥144, Item Second-half hedged rate / Value ¥151, Item Full-year assumed rate / Value ¥148 |
| New initiatives | Establishment of a wholly owned overseas subsidiary in Taiwan (scheduled for September 2026, capital of TWD 200 million, with plans to develop company-operated stores), Strengthening Colors' presence in shopping centers, primarily through corporate franchise stores, Launch of a new demand-forecasting ordering system, Launch of MEDiHEAL's premium model with temperature-control functionality |
Items this document does not state (14)
Gross Profit MarginOperating profit marginResults for the three months of the current quarterSegment resultsRisk amount incorporated into the outlookMedium-term management plan targetsFinancial 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.Mass-market products, including recovery wear, drove sales growth, while revenue from franchisees, gross profit from company-operated stores and overseas sourcing profit also increased. The margin on overseas sourcing profit improved due to favorable foreign exchange movements, the development of high-value-added products and progress in appropriate pricing. In June, however, sales of summer products, particularly fan wear, struggled because of low temperatures and unfavorable weather, resulting in chain-wide sales falling short of the Q1 plan.
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.