Worth reading
62In 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
31.4
Year-on-year change in operating profit (%)Wording
Conditional
How definitive the wording is.Contents of this document
Earnings presentation materialsSecond quarter of the fiscal year ending March 202710 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥93,216 million+22.4%
Operating profit¥18,985 million+31.4%
Ordinary income¥19,803 million+33.1%
Net income¥12,198 million+32.2%
Gross Profit Margin38.2
Selling, general and administrative expenses¥17,255 million
Full-year earnings forecast
Chainwide sales
¥237,970 million
Operating revenue
¥183,376 million
Operating profit
¥32,112 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 sales80.7％
Operating revenue80.2％
Operating profit59.1％
Ordinary income59.3％
Net income for the current fiscal year54.6％
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Chain-wide sales fell short of the first-half plan, while profit progressed steadilyBreakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
- Income from franchisees¥4,926 million
- Gross profit at company-operated stores¥1,375 million
- Overseas procurement profit¥-197 million
- Personnel expenses¥309 million
- Selling expenses¥880 million
- Offsetting selling, general and administrative expenses with supplier rebates¥-1,667 million
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
Foreign exchange hedging ratio85% for the full year
Assumed Exchange Rates¥148 for the full year, ¥151 for the second half
2026 Autumn/Winter Production Plan4 million units / ¥14 billion
New initiatives
- Accelerating new store openings and shopping-center locations for Workman Colors
- Establishment of a wholly owned subsidiary for overseas expansion
- Launch of a new demand-forecasting ordering system
- Development of new functions and materials
- Strengthening promotional activities, including TV commercials, flyers and social media, centered on new product launch events
Key KPIsA metric the company considers important as a management benchmark.
- Chainwide sales¥122,145 millionYear on year against the same period last year+20.3％
- Same-store salesYear on year against the same period last year+15.1％
- Private-label sales ratio70.8 ％Year on year against the same period last year+5.4pt
- Average number of FC stores during the periodYear on year against the same period last year+39 stores
- Overseas procurement profit¥5,161 millionYear on year against the same period last year△3.7％
Unit price and quantity metricsThese figures show sales broken down by price and volume.
- Customer countYear on year against the same period last year+11.9% (chain-wide), +6.9% (existing stores)
- Average spend per customer¥3,374Year on year against the same period last year+7.5％
- Average Price per Item¥1,313Year on year against the same period last year+5.5％
- Number of items purchased2.56 itemsYear on year against the same period last year+2.1％
Medium-term management plan targets
Medium- to long-term store count target1,500
Market Size / Share
The company states that it aims to expand its market share in line with market growth, but the figure is Not disclosedNumber of stores and locations
Number of Stores at Period-End1,111
Store openings during the period20 new store openings, including 9 roadside stores and 11 shopping-center stores; 4 S&B projects, 29 renovations and 3 closures
Change during the periodFrom 1,094 stores at the end of the previous fiscal year to 1,111 stores
Number of employees
Change during the periodThe average number of employees during the period increased by +29 year on year
| Item | Details |
|---|---|
| Document type | Earnings presentation materials |
| Fiscal Period Covered | Second quarter of the fiscal year ending March 2027 |
| Net Sales | ¥93,216 million (YoY +22.4%) |
| Operating profit | ¥18,985 million (YoY +31.4%) |
| Ordinary income | ¥19,803 million (YoY +33.1%) |
| Net income | ¥12,198 million (YoY +32.2%) |
| Gross Profit Margin | 38.2 |
| Selling, general and administrative expenses | ¥17,255 million |
| Full-year earnings forecast | Chainwide sales ¥237,970 million / Operating revenue ¥183,376 million / Operating profit ¥32,112 million / Ordinary income ¥33,418 million / Net income for the current fiscal year ¥22,329 million |
| Progress against full-year forecast | Chainwide sales 80.7％ / Operating revenue 80.2％ / Operating profit 59.1％ / Ordinary income 59.3％ / Net income for the current fiscal year 54.6％ |
| Self-assessment against the plan | Chain-wide sales fell short of the first-half plan, while profit progressed steadily |
| Breakdown of Factors Affecting the Change | Factors Income from franchisees / Amount ¥4,926 million, Factors Gross profit at company-operated stores / Amount ¥1,375 million, Factors Overseas procurement profit / Amount ¥-197 million, Factors Personnel expenses / Amount ¥309 million, Factors Selling expenses / Amount ¥880 million, Factors Offsetting selling, general and administrative expenses with supplier rebates / Amount ¥-1,667 million |
| Key KPIs | Indicator name Chainwide sales / Value ¥122,145 million / Year on year against the same period last year +20.3％, Indicator name Same-store sales / Value Not disclosed / Year on year against the same period last year +15.1％, Indicator name Private-label sales ratio / Value 70.8 ％ / Year on year against the same period last year +5.4pt, Indicator name Average number of FC stores during the period / Value Not disclosed / Year on year against the same period last year +39 stores, Indicator name Overseas procurement profit / Value ¥5,161 million / Year on year against the same period last year △3.7％ |
| Unit price and quantity metrics | Indicator name Customer count / Value Not disclosed / Year on year against the same period last year +11.9% (chain-wide), +6.9% (existing stores), Indicator name Average spend per customer / Value ¥3,374 / Year on year against the same period last year +7.5％, Indicator name Average Price per Item / Value ¥1,313 / Year on year against the same period last year +5.5％, Indicator name Number of items purchased / Value 2.56 items / Year on year against the same period last year +2.1％ |
| Number of stores and locations | Number of Stores at Period-End 1,111 / Store openings during the period 20 new store openings, including 9 roadside stores and 11 shopping-center stores; 4 S&B projects, 29 renovations and 3 closures / Change during the period From 1,094 stores at the end of the previous fiscal year to 1,111 stores |
| Number of employees | Number of Employees Not disclosed / Change during the period The average number of employees during the period increased by +29 year on year / Hiring plan Not disclosed |
| Assumptions Underlying the Business Outlook | Foreign exchange hedging ratio 85% for the full year / Assumed Exchange Rates ¥148 for the full year, ¥151 for the second half / 2026 Autumn/Winter Production Plan 4 million units / ¥14 billion |
| Medium-term management plan targets | Medium- to long-term store count target 1,500 / Target fiscal year Not disclosed |
| Market Size / Share | The company states that it aims to expand its market share in line with market growth, but the figure is Not disclosed |
| New initiatives | Accelerating new store openings and shopping-center locations for Workman Colors, Establishment of a wholly owned subsidiary for overseas expansion, Launch of a new demand-forecasting ordering system, Development of new functions and materials, Strengthening promotional activities, including TV commercials, flyers and social media, centered on new product launch events |
Items this document does not state (11)
Operating profit marginResults for the three months of the current quarterSegment resultsRisk amount incorporated into the outlookFinancial targetsAnnual DividendPayout ratioAcquisition of treasury sharesCapital expendituresOrders received and order backlogKey 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.Growth in mass-market products such as MEDiHEAL and XShelter, income from franchisees, and improved gross margins from a higher private-label ratio contributed to the increase in profit. Chain-wide sales fell below the first-half plan because cool temperatures and unseasonable weather in June reduced demand for summer products.
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.