Notice Regarding Differences Between Consolidated Earnings Forecast and Actual Results for the Second Quarter of the Fiscal Year Ending March 2027 and Revision of Full-Year Earnings Forecast

Key Points of Results

Chikaranomoto Holdings Co., Ltd. revised its full-year earnings forecast because differences arose between the consolidated earnings forecast and actual results for the second quarter of the fiscal year ending March 2027. Net sales fell short of the previous forecast, and operating income, ordinary income, and net income attributable to owners of the parent also underperformed. Factors behind the sales decline included a decrease in customer visits at domestic stores and reduced inbound demand, while rising raw material and logistics costs squeezed profits. Overseas stores were also affected by lower customer traffic and higher costs. The company will continue efforts such as price revisions and DX initiatives to improve profitability, but expects recovery in the second half to be limited. Dividends are maintained at an interim 12 yen, year-end 12 yen, and annual 24 yen.

Outlook and Measures

Domestic existing stores are performing stably, and newly opened stores are showing improvement in initial profitability. Overseas, particularly in the U.S. and Australia, there is a trend of year-over-year improvement in existing store sales, and the company is expanding into new concepts and markets with initiatives such as a new store in Bentonville and the Ramen Mania brand. Business restructuring requires time and cost, but the company will steadily work to restore profitability and aim to return to a medium- to long-term growth trajectory.