Komori
Financial results presentation7640TOP CULTURE Co.,Ltd.Retail

Supplementary Financial Results Materials for the Second Quarter (Interim Period) of the Fiscal Year Ending October 2026

For the cumulative second quarter of the fiscal year ending October 2026, revenue increased 1.0% year on year, while operating income and ordinary income turned profitable from losses. Interim net income attributable to owners of the parent also came to a profit of ¥812 million, due to the recognition of extraordinary income.

Worth reading
27Immaterial
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
142
¥ millions (operating profit)
Wording
Conditional
How definitive the wording is.

Contents of this document

Supplementary materials to the earnings reportSecond quarter of the fiscal year ending October 2026 (interim period)6 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥9,398 million+1.0%
Operating profit¥142 million
Ordinary income¥113 million
Net income¥812 million interim net income attributable to owners of the parent
Selling, general and administrative expenses¥3,254 million
Gross Profit Margin
Rate36.1
Year-on-year change (points)1.7
Operating profit margin
Rate1.5
Year-on-year change (points)2.7
Full-year earnings forecastnot disclosed (all items in the forecast column are shown as "-ൽ")
What the company explained in this material
New initiatives
  • Including 株式会社明文堂 in the scope of consolidation
  • Business succession involving 8 stores, including 明文堂書店
Key KPIsA metric the company considers important as a management benchmark.
  • Enterprise value (EV)¥10,771 million
  • EBITDA¥413 million
  • EV／EBITDA13 times
  • ROI (based on ordinary income)1.4 %
  • ROE147.3 %
  • Debt-to-equity ratio7.5 times
  • Net debt-to-equity ratio7 times
  • Total asset turnover1.2 times
  • Inventory turnover2.6 times
  • Gross margin return on inventory investment95 %
Segment results
  • Tsutaya Books business: Books
    Net Sales5,128
  • Tsutaya Books business: Selected merchandise and stationery
    Net Sales1,629
  • Tsutaya Books business: Rental property income
    Net Sales268
  • Tsutaya Books business: Rentals
    Net Sales200
  • Tsutaya Books business: CDs for sale
    Net Sales105
  • Tsutaya Books business: Games and recycling
    Net Sales98
  • Tsutaya Books business: DVDs for sale
    Net Sales37
  • Tsutaya Books business: Other
    Net Sales867
  • Tsutaya Books business: Total
    Net Sales8,337
Financial targets
not disclosed (actual financial metrics included ROE of 147.3%, ROI of 1.4% and a D/E ratio of 7.5 times)
Number of stores and locations
Number of Stores at Period-End107 Location
Stores opened during the period11 Location
Stores closed during the period4 Location
Business succession8 Location
Number of employees
Number of employees189 people
Part-time and temporary employees292 people
Total481 people
Contents of this document
ItemDetails
Document typeSupplementary materials to the earnings report
Fiscal Period CoveredSecond quarter of the fiscal year ending October 2026 (interim period)
Net Sales¥9,398 million (YoY +1.0%)
Operating profit¥142 million
Ordinary income¥113 million
Net income¥812 million (interim net income attributable to owners of the parent)
Gross Profit MarginRate 36.1 / Year-on-year change (points) 1.7
Operating profit marginRate 1.5 / Year-on-year change (points) 2.7
Selling, general and administrative expenses¥3,254 million
Full-year earnings forecastnot disclosed (all items in the forecast column are shown as "-ൽ")
Segment resultsSegment Tsutaya Books business: Books / Net Sales ¥5,128 million / yoy_pct Not disclosed, Segment Tsutaya Books business: Selected merchandise and stationery / Net Sales ¥1,629 million / yoy_pct Not disclosed, Segment Tsutaya Books business: Rental property income / Net Sales ¥268 million / yoy_pct Not disclosed, Segment Tsutaya Books business: Rentals / Net Sales ¥200 million / yoy_pct Not disclosed, Segment Tsutaya Books business: CDs for sale / Net Sales ¥105 million / yoy_pct Not disclosed, Segment Tsutaya Books business: Games and recycling / Net Sales ¥98 million / yoy_pct Not disclosed, Segment Tsutaya Books business: DVDs for sale / Net Sales ¥37 million / yoy_pct Not disclosed, Segment Tsutaya Books business: Other / Net Sales ¥867 million / yoy_pct Not disclosed, Segment Tsutaya Books business: Total / Net Sales ¥8,337 million / yoy_pct Not disclosed
Key KPIsIndicator name Enterprise value (EV) / Value ¥10,771 million / Year on year against the same period last year Not disclosed, Indicator name EBITDA / Value ¥413 million / Year on year against the same period last year Not disclosed, Indicator name EV／EBITDA / Value 13 times / Year on year against the same period last year Not disclosed, Indicator name ROI (based on ordinary income) / Value 1.4 % / Year on year against the same period last year Not disclosed, Indicator name ROE / Value 147.3 % / Year on year against the same period last year Not disclosed, Indicator name Debt-to-equity ratio / Value 7.5 times / Year on year against the same period last year Not disclosed, Indicator name Net debt-to-equity ratio / Value 7 times / Year on year against the same period last year Not disclosed, Indicator name Total asset turnover / Value 1.2 times / Year on year against the same period last year Not disclosed, Indicator name Inventory turnover / Value 2.6 times / Year on year against the same period last year Not disclosed, Indicator name Gross margin return on inventory investment / Value 95 % / Year on year against the same period last year Not disclosed
Number of stores and locationsNumber of Stores at Period-End 107 Location / Stores opened during the period 11 Location / Stores closed during the period 4 Location / Business succession 8 Location
Number of employeesNumber of employees 189 people / Part-time and temporary employees 292 people / Total 481 people / Changes during the period and hiring plan Not disclosed
Financial targetsnot disclosed (actual financial metrics included ROE of 147.3%, ROI of 1.4% and a D/E ratio of 7.5 times)
New initiativesIncluding 株式会社明文堂 in the scope of consolidation, Business succession involving 8 stores, including 明文堂書店
Items this document does not state (15)
Results for the three months of the current quarterProgress against full-year forecastSelf-assessment against the planBreakdown of Factors Affecting the ChangeUnit price and quantity metricsAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookMedium-term management plan 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 company has not provided a specific explanation for the changes in performance. 株式会社明文堂 has been included in the scope of consolidation since the second quarter of the fiscal year ending October 2026.

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.
Supplementary Financial Results Materials for the Second Quarter (Interim Period) of the Fiscal Year Ending October 2026 | TOP CULTURE Co.,Ltd. (7640) timely disclosure | Komori