Makiya Co (9890) Q2 2025 earnings summary

Executive summary

• Consolidated net sales for the second quarter rose 15.5% year-over-year to ¥43,188 million, driven by strong performance in all food segments and the contribution of the EC business.

• Revenue increased 15.4% year-over-year to ¥43,501 million, but operating profit declined 5.7% to ¥930 million and net profit attributable to shareholders fell 10.6% to ¥640 million, reflecting higher costs and investments.

• The company focused on expanding EC and physical store synergies, improving product assortment, and maintaining low prices, while also investing in sustainability and digital transformation.

• Store initiatives included a major renovation of Espot Shinyokohama and the opening of a new Gyomu Super store.

Financial highlights

• Gross profit increased 21.9% year-over-year to ¥10,210 million, with gross margin improving to 23.6%.

• SG&A expenses rose 24.5% year-over-year, reflecting wage increases, higher utility costs, and renovation costs.

• EPS for the quarter was ¥64.12, down from ¥71.78 in the prior year.

• Ordinary profit fell to ¥980 million (down 7.3% year-over-year).

• Cash and equivalents at period-end were ¥3,612 million, down ¥344 million from the previous year-end.

Outlook and guidance

• Full-year consolidated net sales are forecast at ¥86,900 million, up 13.3% year-over-year.

• Full-year operating income is projected at ¥2,260 million, up 1.4% year-over-year.

• Full-year net income is expected to reach ¥1,500 million, up 3.1% year-over-year.

• No changes to previously announced guidance.