Halows Co.,Ltd. 2027 February Period 2Q Interim Financial Results

Performance Overview

The company operates a retail business centered on department stores and supermarkets. Interim period operating revenue was 119,023 million yen (YoY +6.7%), operating income was 57 million yen (YoY △2.6%), with profits slightly down while sales increased. Continuation of low-price strategy for food and daily necessities and expansion of private brands. In August, launched a nutritionally balanced bento developed in collaboration with Okayama University, among other product development efforts. Store network expanded to 116 locations. Financial position shows total assets of 128,134 million yen, equity ratio 63.1%, net assets 80,881 million yen.

Outlook and Allocation

Full-year earnings guidance unchanged from the previous disclosure. Annual dividend expected at 72 yen, with 36 yen paid at the end of the second quarter. Financial condition shows a decrease in current assets, but tangible assets increased due to growth in fixed assets. Current liabilities decreased due to a reduction in accounts payable, while long-term borrowings and lease obligations fluctuated, resulting in a slight increase in fixed liabilities. Going forward, plans include store expansion, labor-saving measures, and operational improvements to achieve both sales growth and efficiency improvements.