Kura Sushi (2695) Q4 2024 earnings summary

Executive summary

• FY24 revenue reached a record ¥234.95bn, up 11.1%; operating profit rose 132.0% to ¥5.699bn and net income rose 273.7% to ¥3.226bn.

• Japan delivered strong revenue and profit growth; North America posted an ordinary loss, while Asia’s ordinary profit declined.

• Special impairment losses totaling ¥1.748bn were recorded for underperforming stores.

Financial highlights

• FY24 domestic existing-store sales were 104.1% of the prior-year level; average spend per customer remained above the prior year.

• Cash and deposits at year-end were ¥23.043bn, up ¥4.103bn YoY.

• Operating cash flow rose 33.8% to ¥18.363bn; investment cash outflows fell 28.9% to ¥10.346bn, and financing cash outflows were ¥4.008bn.

Outlook and guidance

• FY25 revenue is forecast at ¥243bn and ordinary profit at ¥5.2bn.

• FY25 operating income is expected to decline 12.3%, while net income is forecast to rise 5.4%.

• Planned FY25 openings: around 10 in Japan, 14 in the US and 5–10 in Asia; US sales are projected at $275m–$279m.

• Domestic priorities include urban expansion, inbound demand, the Osaka-Kansai Expo, differentiated offerings and flexible menu pricing; US expansion continues, while Taiwan focuses on existing stores.