Financial Summary for the Third Quarter of the Fiscal Year Ending February 2026 [Japanese GAAP] (Consolidated)

Overview of Business Results

In the cumulative third quarter period for the fiscal year ending February 2026, net sales increased 0.8% YoY to ¥279,285 million. Operating income declined 2.8% YoY to ¥46,633 million due to inflation and wage increases. Ordinary income remained nearly flat at ¥49,722 million, while net income attributable to owners of parent decreased 1.3% YoY to ¥33,700 million. Domestically, sales increased 5.7% driven by higher demand for new sneakers and hands-free shoes, resulting in a 4.3% growth in segment profit. Conversely, overseas sales dropped 7.5% and profit fell 42.7% due to deteriorating market conditions in South Korea and the United States. The number of stores totaled 1,113 domestically and 397 overseas, with 54 new store openings across domestic and international markets.

Financial Position and Earnings Forecast

Total assets increased to ¥449,839 million compared to the end of the previous fiscal year, and net assets rose to ¥385,295 million. However, the equity ratio slightly declined from 87.7% to 85.0%. The number of shares outstanding was unchanged from the previous year at 247,618,938 shares. The dividend forecast remains at ¥70 per share, unchanged from the previous fiscal year. There are no revisions to the full-year consolidated earnings forecast, with net sales expected at ¥383,900 million (3.1% YoY increase), operating income forecasted at ¥64,000 million (2.3% YoY increase), and net income attributable to owners of parent projected at ¥45,530 million (0.4% YoY increase).