Isetan Mitsukoshi Holdings (3099) Q2 2026 earnings summary

Executive summary

• H1 FY2025 profit attributable to owners of parent reached a record ¥29.37 billion, up 15.7% YoY, driven by gains on sale of shares in subsidiaries and associates.

• Net sales for H1 were ¥253.87 billion, down 3.9% YoY, with operating profit at ¥31.45 billion, down 9.8% YoY.

• Cost structure reforms, SG&A control, and digital transformation initiatives improved profitability.

• The company advanced its medium-term plan, focusing on customer engagement and sustainability.

Financial highlights

• H1 gross sales: ¥596.2 billion (96.3% YoY); net sales: ¥253.87 billion (96.1% YoY); operating profit: ¥31.45 billion (90.2% YoY); profit: ¥29.37 billion (115.7% YoY).

• Basic earnings per share rose to ¥81.75 from ¥67.94 YoY.

• SG&A expenses reduced by ¥3.7 billion in H1, mainly from personnel and lease payments.

• Cash and cash equivalents at period-end were ¥64.39 billion, up ¥22.55 billion from the previous year-end.

• Net assets declined to ¥583.83 billion, mainly due to dividend payments and treasury share purchases.

Outlook and guidance

• Full-year operating profit forecast maintained at ¥78.0 billion, a record high.

• Profit forecast raised to ¥62.0 billion, also a record.

• Gross sales forecast revised to ¥1,305 billion (100.1% YoY); net sales forecast at ¥556.0 billion.

• Dividend forecast revised upward to ¥65.00 per share for the fiscal year ending March 31, 2026.

• Focus on deepening engagement with domestic customers and stabilizing overseas sales.