WASH HOUSE substantially cut its consolidated earnings forecasts for the fiscal year ending December 2026. Revenue is expected to fall from ¥3.439 billion to ¥2.070 billion, while both operating income and net income are expected to turn from profits to losses. Delays in overseas expansion and a review of new domestic store openings were cited as the reasons.
After the market closed on the 10th, WASH HOUSE cut its consolidated earnings forecasts for the fiscal year ending December 2026. Revenue is expected to fall from ¥3.439 billion to ¥2.007 billion, operating income to change from a profit of ¥195 million to a loss of ¥198 million, and net income to change from a profit of ¥86 million to a loss of ¥241 million.
The number of new stores is expected to be reduced from the planned 30 to 29, a decrease of 1 store, while revenue from the franchise business is expected to be 83.4% below plan. As a result, the company is not expected to avoid a return to loss. The delay was attributed to market research for overseas expansion and the evaluation of candidate areas for new store openings taking longer than expected.
The cumulative results for the third quarter, covering January to September, announced at the same time showed revenue of ¥1.523 billion, down 20.9% year on year, an operating loss of ¥151 million and a net loss of ¥185 million.