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

Overview of Consolidated Financial Results for the Fiscal Year Ending February 2026

For the fiscal year ending February 2026, consolidated operating revenue stood at JPY 881.3 billion (up 3.6% YoY), operating income was JPY 26.0 billion (up 2.9% YoY), ordinary income reached JPY 27.1 billion (up 3.3% YoY), and net income attributable to owners of parent totaled JPY 18.8 billion (up 4.9% YoY). Net sales increased 3.6% to JPY 848.6 billion, with growth in fresh foods and general foods segments. Despite increases in personnel and property expenses, SG&A expense growth was restrained through productivity improvements and optimal property cost management. Initiatives such as expanding the online supermarket business, strengthening the 'BIO-RAL' brand, and opening new stores were promoted.

Financial Position and Cash Flow Status

Total assets reached JPY 335.2 billion (increase of JPY 29.2 billion YoY), net assets were JPY 155.5 billion (increase of JPY 17.1 billion YoY), improving the equity ratio to 46.4%. Cash flow from operating activities significantly increased to JPY 74.5 billion, cash outflows for investing activities decreased to JPY 11.3 billion, and financing activities cash outflow was JPY 45.0 billion. The company progressed with repayment of short- and long-term borrowings to strengthen its financial position.

Dividend Policy and Outlook

The basic policy remains stable dividends, targeting a dividend payout ratio of 30% as a shareholder return guideline. For the fiscal year ending February 2026, the annual dividend was JPY 65.50 per share (interim: JPY 32.50, year-end: JPY 33), with a forecast of an all-time high JPY 70.00 per share (interim: JPY 35, year-end: JPY 35) for the fiscal year ending February 2027. Earnings projections for February 2027 include operating revenue of JPY 922.5 billion (up 4.7% YoY), operating income of JPY 27.0 billion (up 3.8% YoY), ordinary income of JPY 28.0 billion (up 3.4% YoY), and net income attributable to owners of parent of JPY 19.0 billion (up 0.9% YoY).

Management Strategy and Business Development

Advancing the three key themes of the 'Seventh Medium-Term Management Plan': 'Investment in People,' 'Breaking Away from Homogeneous Competition,' and 'Contributing to a Sustainable and Prosperous Society.' Enhancing customer services through expansion of the online supermarket, increase of 'BIO-RAL' stores, launching an online store, and broadening cashless payment options. Organizational restructuring was conducted to establish systems for new business and M&A responses, focusing on efficiency and productivity improvements.