North American and European sales subsidiaries reporting operating losses
First written in FY2020-Q2. 1 of 20 entries say "Advanced", first in FY2023-Q1. Latest entry: FY2026.
No other company in this theme has enough history to compare yet.
- FY2026North America: higher revenue but lower profit; Europe: higher revenue and higher profitAnnual report
「At the North American sales subsidiary, badminton product sales increased against a backdrop of more active competitive play. Tennis product sales remained steady, particularly racquets, as a result of marketing initiatives and other measures. Sales of other products, including apparel, also grew and contributed to overall sales.」
North America reported a 54.2% decline in operating income owing to higher DTC-related, personnel and advertising expenses, while Europe reported a 6.2% increase in operating income as the effect of higher sales exceeded the increase in expenses. - FY2026-H1Higher sales but lower earnings in both North America and EuropeAnnual report
「At the North American sales subsidiary, sales of tennis products increased as the new EZONE racquet series launched in January drove sales, while string sales also grew. In terms of earnings, gross profit increased as a result of higher sales, but earnings declined because SG&A expenses increased, including personnel expenses to strengthen the internal structure, advertising expenses associated with stronger marketing activities, and DTC-related costs. At the European sales subsidiary, sales of tennis products overall also increased, but the increase in SG&A expenses, including personnel expenses and advertising expenses related to international tournaments, more than offset the increase in sales, resulting in lower earnings.」
Both North America and Europe reported higher sales from new products and tennis products, but lower earnings owing to increased costs related to strengthening operations and marketing. - FY2025North America: higher earnings; Europe: lower earningsAnnual report
「As a result, net sales were ¥6,354 million, up 15.3% from the previous fiscal year, and operating income was ¥560 million, up 123.0%.」
The North American sales subsidiary reported higher sales and earnings, while the European sales subsidiary reported lower operating income despite higher sales because of increased advertising and personnel expenses, resulting in differing earnings performance by region. - FY2025-H1Higher earnings in both North America and EuropeAnnual report
「As a result, net sales were ¥3,109 million, up 1.6% year on year, and operating income was ¥329 million, up 13.2% year on year. As a result, net sales were ¥2,858 million, up 27.2% year on year, and operating income was ¥297 million, up 11.6% year on year.」
The North American sales subsidiary reported operating income of ¥329 million and the European sales subsidiary ¥297 million, with both subsidiaries reporting higher earnings year on year. - FY2024North America: lower earnings; Europe: substantial increase in earningsAnnual report
「As a result, net sales were ¥5,512 million, up 4.9% from the previous fiscal year, and operating income was ¥251 million, down 40.7%.」
North America reported lower earnings despite higher sales because of increased marketing and personnel expenses, among others, while Europe reported operating income of ¥533 million, up 211.4% from the previous fiscal year, representing a substantial increase in earnings. - FY2024-Q2North America: lower earnings; Europe: continued profitabilityAnnual report
「As a result, net sales were ¥3,059 million, up 19.1% year on year, and operating income was ¥291 million, down 22.3% year on year.」
The North American sales subsidiary reported lower earnings despite higher sales, owing to increased tournament sponsorship, marketing and personnel expenses. Meanwhile, the European sales subsidiary reported a 34.4% increase in sales and operating income of ¥266 million, returning to profitability from an operating loss in the same period of the previous year. - FY2024-Q1North America: lower earnings; Europe: substantial increase in earningsAnnual report
「As a result, net sales were ¥1,731 million, up 34.0% year on year, and operating income was ¥215 million, down 6.7% year on year. As a result, net sales were ¥1,191 million, up 38.9% year on year, and operating income was ¥135 million, up 535.0% year on year.」
North America reported higher sales but lower operating income, while Europe reported a 535.0% year-on-year increase in operating income owing to higher sales and an improved gross margin. - FY2023-Q3North America: higher earnings; Europe: lower earningsAnnual report
「As a result, net sales were ¥3,874 million, up 58.5% year on year, and operating income was ¥485 million, up 36.5% year on year. At the German and UK sales subsidiaries, the badminton market became more active as facilities reopened and international tournaments were held. Tennis sales also grew, particularly racquets, on steady demand, resulting in a substantial increase in sales. As a result, net sales were ¥2,710 million, up 65.4% year on year, and operating income was ¥23 million, down 64.4% year on year.」
North America reported a 58.5% increase in sales and a 36.5% increase in operating income, while Europe reported a 65.4% increase in sales but a 64.4% decline in operating income, resulting in differing earnings performance by region. - FY2023-Q2North America: higher earnings; Europe: operating loss continuedAnnual report
「At the North American sales subsidiary, sales increased substantially as badminton product sales grew following the reopening of facilities and club activities, in addition to steady demand for tennis products and strong sales of new racquets. The weaker yen also contributed through foreign-currency translation. In terms of earnings, the increase in gross profit from higher sales exceeded the increase in SG&A expenses, including advertising expenses and personnel expenses associated with developing the sales structure, resulting in a substantial increase in earnings. As a result, net sales were ¥2,568 million, up 76.9% year on year, and operating income was ¥375 million, up 117.4% year on year.」
Operating income at the North American sales subsidiary increased substantially as tennis and badminton product sales recovered and higher sales boosted earnings. Meanwhile, the European sales subsidiary posted an operating loss of ¥37 million despite higher sales, resulting in differing earnings performance by region. - FY2023-Q1AdvancedAnnual report
「At the North American sales subsidiary, sales of tennis products continued to increase, supported by the favorable reception of new racquets, resulting in a substantial increase in sales. In addition, restrictions on badminton, which had been affected by COVID-19, were eased, and the reopening of facilities and club activities led to higher sales of badminton products.」
In North America, sales and earnings increased substantially as tennis product sales grew and badminton products recovered with the reopening of badminton facilities and club activities. In Europe, sales increased as restrictions were eased and tournaments resumed, resulting in a return to profitability from an operating loss in the previous year. - FY2022-Q3Operating earnings improved and turned positive in both North America and EuropeAnnual report
「As a result, net sales were ¥2,444 million, up 61.7% year on year, and operating income was ¥355 million, up 309.2% year on year.」
The North American sales subsidiary reported a 61.7% increase in net sales and a 309.2% increase in operating income. The European sales subsidiary also posted operating income of ¥66 million, turning profitable from an operating loss in the previous year. - FY2022-Q2North America: higher earnings; Europe: narrower lossAnnual report
「At the North American sales subsidiary, closures of indoor sports facilities and restrictions related to COVID-19 were gradually eased from April onward. Badminton products began to recover, although sales remained below the previous year. Tennis products, which continued to perform well, saw a significant increase in sales, particularly tennis racquets, as promotional activities such as events that created opportunities for product trials and stronger sales channels proved effective, resulting in a substantial increase in sales. In terms of earnings, selling, general and administrative expenses, including personnel expenses, increased due to efforts to strengthen sales and marketing. However, the increase in gross profit accompanying higher sales resulted in a substantial increase in earnings. As a result, net sales were ¥1,451 million, up 57.2% year on year, and operating income was ¥172 million, up 529.7% year on year.」
The North American sales subsidiary reported a substantial increase in earnings on growth in tennis products. At the European sales subsidiary, the operating loss narrowed from ¥54 million in the previous year to ¥23 million, owing to higher gross profit and lower SG&A expenses. - FY2022-Q1North America: higher earnings; Europe: wider lossAnnual report
「As a result, net sales were ¥642 million, down 5.5% year on year, and operating income was ¥92 million, up 99.2% year on year.」
Although the North American sales subsidiary reported lower sales, operating income increased to ¥92 million, while the European sales subsidiary posted an operating loss of ¥26 million, resulting in differing earnings performance by region. - FY2021North America returned to profitability; Europe's operating loss widenedAnnual report
「As a result, net sales were ¥1,945 million, down 12.1% year on year, and operating income was ¥7 million, compared with an operating loss of ¥50 million in the previous fiscal year.」
The North American sales subsidiary moved from an operating loss to operating income of ¥7 million, while Europe posted an operating loss of ¥121 million, resulting in differing earnings performance by region. - FY2021-Q3North America: higher profit; Europe: narrower lossAnnual report
「Although gross profit declined with lower revenue, SG&A expenses decreased following a review of player contracts and other items, resulting in higher profit. Consequently, sales were ¥1,511 million, down 12.7% year on year, and operating profit was ¥86 million, up 209.2% year on year.」
In North America, operating profit increased despite lower sales because SG&A expenses declined following a review of player contracts and other items. In Europe, the loss narrowed from the second quarter due to lower SG&A expenses. - FY2021-Q2North America remained profitable; Europe's operating loss widenedAnnual report
「Consequently, sales were ¥923 million, down 15.4% year on year, and operating profit was ¥27 million, compared with an operating loss of ¥18 million in the same quarter of the previous year.」
The North American sales subsidiary turned from an operating loss in the same period of the previous year to operating profit of ¥27 million, while the European sales subsidiary reported an operating loss of ¥54 million, resulting in divergent earnings performance by region. - FY2021-Q1North America returned to profitability; Europe's operating loss narrowedAnnual report
「Consequently, sales were ¥679 million, up 15.2% year on year, and operating profit was ¥46 million, compared with an operating loss of ¥17 million in the same quarter of the previous year.」
The North American sales subsidiary turned to an operating profit due to strong sales of new-product rackets and lower advertising expenses. The European sales subsidiary increased revenue due to new products, but higher personnel and other expenses left it with an operating loss of ¥8 million. - FY2020Both North America and Europe reported operating losses for the full yearAnnual report
「The North American sales subsidiary continued to strengthen product promotions and its sales structure, resulting in higher SG&A expenses, including advertising expenses. Consequently, sales were ¥2,212 million, up 0.4% year on year, and the operating loss was ¥50 million, compared with operating profit of ¥73 million in the previous fiscal year.」
North America also reported a full-year operating loss, worsening the earnings position of the overseas sales subsidiaries together with Europe. - FY2020-Q3North America remained profitable; Europe continued to report an operating lossAnnual report
「Consequently, sales were ¥1,731 million, up 3.1% year on year, and operating profit was ¥28 million, down 71.5% year on year. At the European sales subsidiary, badminton product sales declined, while tennis product sales increased due to higher racket sales. Overall revenue increased in local-currency terms but declined due to the impact of foreign currency translation. On the profit side, the gross profit margin declined due to a change in sales mix, while SG&A expenses, including personnel expenses, increased. Consequently, sales were ¥1,737 million, down 5.3% year on year, and the operating loss was ¥25 million, compared with operating profit of ¥64 million in the same quarter of the previous year.」
The North American sales subsidiary remained profitable but posted a substantial decline in profit year on year, while the European sales subsidiary continued to report an operating loss. - FY2020-Q2First statedAnnual report
「At the North American sales subsidiary, badminton products remained at approximately the previous year's level. Although string sales for tennis products remained firm, lower racket and shoe sales resulted in a decline in revenue. Overall revenue declined slightly in local-currency terms but increased due to the impact of foreign currency translation. On the profit side, the company continued to strengthen product promotions and its sales structure from the previous fiscal year, resulting in higher SG&A expenses. Consequently, sales were ¥1,091 million, up 1.0% year on year, and the operating loss was ¥18 million, compared with operating profit of ¥70 million in the same quarter of the previous year. At the European sales subsidiary, badminton products remained at approximately the previous year's level, while tennis product sales declined. Overall revenue increased slightly in local-currency terms due to higher sales of apparel and accessories, but declined due to the impact of foreign currency translation. On the profit side, the gross profit margin declined due to a change in sales mix, while SG&A expenses remained at approximately the previous year's level. Consequently, sales were ¥1,179 million, down 3.7% year on year, and the operating loss was ¥16 million, compared with operating profit of ¥23 million in the same quarter of the previous year.」
At the North American subsidiary, higher SG&A expenses accompanying stronger promotional activities and sales capabilities, and at the European subsidiary, a lower gross margin due to a change in sales mix, among other factors, caused both sales subsidiaries to turn from operating profit in the same period of the previous year to operating losses.