Fiscal Year Ending March 2027 Second Quarter (Interim) Financial Summary [Japanese GAAP] (Consolidated)

Overview of Performance

This financial summary discloses Artnature Inc.'s consolidated results for the second quarter of the fiscal year ending March 2027. Revenue decreased slightly to 21,183 million yen (YoY -1.4%). Operating income was 868 million yen (-37.2%), ordinary income was 880 million yen (-39.9%), and interim net income attributable to owners of parent was 504 million yen (-40.6%), representing a significant decline. The primary drivers were increased personnel expenses and continued upfront investments, reflecting higher costs and investments in new areas. The full-year forecast remains unchanged. Dividends are planned at 14 yen at the end of the second quarter and 28 yen for the fiscal year. By segment, the men's business recorded revenue growth, while the women's business declined. Cash and cash equivalents decreased to 17,947 million yen.

Outlook and Impact for Investors

While promoting the Frontier plan under the long-term vision ARTNATURE 2.0, the company continues upfront investments during this preparation phase. Although gross profit decreased, initiatives to strengthen the foundation for future growth are ongoing. There is no change to the full-year forecast, and the company maintains the annual dividend plan of 28 yen. Investors should be aware of near-term profit pressure but focus on the medium- to long-term growth strategy, cost management, and efforts to restructure operations and reinforce production systems.