Gift Holdings (9279) Q3 2025 earnings summary

Executive summary

• Net sales for the nine months ended July 31, 2025, rose 26.8% year-over-year to ¥26,113 million, with operating profit up 15.1% to ¥2,375 million and profit attributable to owners of parent up 13.7% to ¥1,575 million.

• Store network expanded by 60 locations year-over-year, reaching 870 stores, including 260 company-owned and 602 produced/franchise stores, with 33 new company-owned and 28 new produced stores.

• Strategic price revisions and supply chain enhancements helped offset rising costs from inflation, labor, and raw materials.

• Overseas expansion included new stores in China, the U.S., and preparations for Europe, with franchise growth in Southeast Asia.

• Measures to address unexpected cost increases in the first half were completed, enabling a catch-up in 3Q and positioning the company to achieve its full-year forecast.

Financial highlights

• Gross profit increased to ¥17,406 million from ¥13,940 million year-over-year, with a gross margin of 66.7%.

• Operating profit margin was 9.1% (annual goal: 10.0%), and net sales growth exceeded the annual goal of 20.0%.

• Basic earnings per share rose to ¥78.85 from ¥69.44 year-over-year.

• Quarterly profit attributable to owners of parent rose 13.7% year-over-year to ¥1,575 million.

• Total assets increased to ¥20,823 million, up ¥3,724 million from the previous fiscal year-end.

Outlook and guidance

• Full-year forecast for FY2025 remains unchanged: net sales ¥36,000 million (+26.4%), operating profit ¥3,600 million (+23.7%), and profit attributable to owners of parent ¥2,200 million (+17.3%), EPS ¥110.18.

• Store opening plan targets 913 stores by year-end, with 51 new company-owned and 52 new produced/franchise stores.

• Dividend payout ratio targeted at 20% or more, with annual dividend planned at ¥22.0 per share, up from ¥18.00 in FY2024.

• No revisions to previously announced earnings or dividend forecasts.