Pan Pacific International Holdings (7532) investor relations material

Executive summary

• Net sales for H1 FY6/26 reached ¥1.2101 trillion, up 7.2% year-over-year, with operating income at ¥94.0 billion, up 4.7% year-over-year, and profit attributable to owners of parent up 18.1% to ¥63.73 billion, all exceeding forecasts and setting new records.

• Comprehensive income increased 32.8% year-over-year to ¥68.73 billion.

• Growth was driven by effective pricing, differentiated merchandising, new store openings, and the consolidation of Kanemi, which contributed ¥22.2 billion in sales.

• The group opened 7 new stores in Japan and 3 overseas, while closing 5 stores globally, resulting in 784 stores worldwide at period-end.

• The company revised its full-year forecast upward, now expecting net sales of ¥2.4350 trillion and operating income of ¥174.0 billion.

Financial highlights

• Q2 FY6/26 net sales were ¥636.8 billion, up 10.2% YoY; operating income was ¥52.6 billion, up 8.1% YoY.

• H1 FY6/26 gross profit was ¥383.2 billion (31.7% of net sales), up 5.3% YoY; SG&A was ¥289.2 billion (23.9% of net sales), up 5.5% YoY.

• H1 profit attributable to owners of parent was ¥63.7 billion, up 18.1% YoY; basic EPS rose to ¥21.34, adjusted for a 5-for-1 stock split effective October 1, 2025.

• Cash and cash equivalents at period-end were ¥226.91 billion, up ¥51.07 billion from the previous fiscal year-end.

• EBITDA for H1 was ¥119.4 billion, up 4.8% YoY.

Outlook and guidance

• Full-year net sales forecast raised to ¥2.4350 trillion (up ¥108.0 billion from initial), operating income to ¥174.0 billion (up ¥4.0 billion), and profit attributable to owners of parent to ¥107.0 billion (up ¥1.5 billion).

• Basic earnings per share for the full year is forecast at ¥35.80.

• Segment plans updated to reflect H1 results and Kanemi consolidation; market share expansion and disciplined SG&A control are key priorities.