FY2026 February Period (Fiscal Year 2025) Q3 Financial Results Briefing Materials

Overview of Cumulative Q3 Performance

Net sales for the cumulative Q3 period of fiscal year 2025 reached 174.7 billion yen, up 16.5% year-over-year. This growth was mainly driven by strong winter apparel sales at Onward Kashiyama and Onward Personal Style. By brand, strategically strengthened brands performed well, with 'Amphiro' up 41.6%, 'Kashiyama' up 29.1%, and 'Chacott Cosmetics' up 28.0%. By sales channel, department stores saw a slight decline, while shopping centers increased by 37% and e-commerce grew 17%, leading to significant revenue growth. Operating income was 9.5 billion yen, up 11.3% year-over-year, with selling, general, and administrative expenses controlled to 50.0% through advertising cost efficiencies. Gross profit margin was maintained at 55.5% through rigorous inventory management. Special losses decreased and special gains were recorded due to reductions in policy shareholdings, resulting in net income of 7.6 billion yen, a 32.1% increase year-over-year. EBITDA was 13.6 billion yen, up 10.2%.

Full-Year Earnings Forecast and Dividend Policy

For fiscal year 2025, consolidated earnings forecasts are net sales of 230.0 billion yen (an increase of 10.4% compared to the previous fiscal year), operating income of 11.5 billion yen (+13.3%), net income of 10.0 billion yen (+17.4%), and EBITDA of 17.0 billion yen (+10.0%). The company will continue to flexibly respond to uncertain business conditions and thoroughly pursue selling, general, and administrative expense efficiencies. Dividends are planned at 30 yen per share annually, including a 16 yen year-end dividend, representing a 4 yen increase over the prior year, maintaining shareholder returns.