Aeon Hokkaido (7512) Q2 2025 earnings summary

Executive summary

• Revenue for the first half of FY2024 reached a record high of ¥169,154 million, driven by strong food and discount store sales.

• Operating profit declined 16.3% year-over-year to ¥3,080 million due to increased SG&A expenses despite higher gross profit.

• Net income for the period was ¥1,609 million, down 15.6% year-over-year.

• Strategic focus included strengthening private brands, operational efficiency via self-checkout and AI scheduling, and new store openings.

• Major acquisition: absorption of Seiyu’s Hokkaido GMS business effective October 1, 2024.

Financial highlights

• Revenue: ¥169,154 million, up 4.5% year-over-year.

• Operating profit: ¥3,080 million, down 16.3% year-over-year.

• Ordinary profit: ¥3,265 million, down 11.4% year-over-year.

• Net income: ¥1,609 million, down 15.6% year-over-year.

• Gross profit rose to ¥53.7 billion (up 3.5% year-over-year), but SG&A expenses increased to ¥50.7 billion (up 5.0%).

Outlook and guidance

• Full-year revenue forecast revised to ¥358,000 million (+7.5% year-over-year) reflecting the Seiyu acquisition.

• Net profit forecast for the year is ¥4.9 billion (+20.9% year-over-year).

• Dividend forecast remains unchanged at ¥16 per share, with a payout ratio of 45.5%.

• Guidance revision announced due to business combination with Seiyu’s Hokkaido operations.