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

Overview of Performance

In the first quarter of the fiscal year ending August 2026, operating revenue increased to ¥228,202.7 million (15.4% YoY), operating income rose to ¥28,383 million (29.3% YoY), ordinary income was ¥29,121 million (36.8% YoY), and net income attributable to owners of the parent surged to ¥22,047 million (47.4% YoY), reflecting both higher revenue and profit growth. An increase in the number of stores domestically and internationally as well as expanded sales in overseas operations contributed significantly. Cost reductions and a decline in SG&A expense ratio improved the operating profit margin to 12.4%. Additionally, gains from the sale of policy holdings substantially boosted net income, with all policy holdings having been fully divested.

Segment Performance

Domestic operations achieved operating revenue of ¥133,267 million (9.1% YoY) and segment profit of ¥18,361 million (22.1% YoY), both higher. East Asia operations reported ¥67,995 million in revenue (25.7% YoY) and segment profit of ¥14,213 million (27.9% YoY), performing strongly. Southeast Asia and Oceania operations recorded revenue of ¥14,482 million (33.4% YoY) and segment profit of ¥1,805 million (59.3% YoY). The Americas and Europe segment posted revenue of ¥12,482 million (17.1% YoY) and segment profit of ¥2,824 million (25.3% YoY). All regions achieved revenue and profit growth.

Financial Position Overview

Total assets increased by ¥56,777 million to ¥619,526 million compared to the previous period end. Liabilities grew by ¥19,338 million to ¥246,167 million. Net assets rose by ¥37,438 million to ¥373,359 million, improving the equity ratio to 59.2%. These changes were primarily driven by increases in cash and deposits and tangible fixed assets.

ESG Initiatives

Aligned with its longstanding social contribution policy since foundation, Ryohin Keikaku held the 10th-anniversary event for clothing reuse product sales, “ReMUJI WEEK,” attracting over 53,000 participants. Stores utilizing domestic timber and initiatives leveraging regional resources received the “Wood Design Award 2025.” The company expanded its “Recyclable Fleece” series made from single-materials designed for recycling, contributing to the realization of a resource-circulating society.

Outlook

There is no revision to the consolidated earnings forecast for the fiscal year ending August 2026. The company expects operating revenue of ¥860,000 million (9.6% YoY increase), operating income of ¥79,000 million (7.0% YoY increase), and net income attributable to owners of the parent of ¥53,000 million (4.2% YoY increase).