OM2 Network (7614) Q4 2026 earnings summary

Executive summary

• Revenue increased by 7.9% year-over-year to ¥35,371 million, driven by the consolidation of two subsidiaries and growth in both retail and restaurant segments.

• Operating income declined 12.1% year-over-year to ¥1,295 million due to higher selling, general, and administrative expenses.

• Net income attributable to parent/shareholders fell 14.1% year-over-year to ¥944 million.

• The company continued store openings and closures, ending the year with 150 retail and 47 restaurant locations.

Financial highlights

• Gross profit rose to ¥14,036 million from ¥12,647 million year-over-year.

• Operating margin decreased to 3.7% from 4.5% year-over-year as expenses outpaced gross profit growth.

• Free cash flow improved significantly from negative ¥1,173 million to positive ¥1,153 million.

• Total assets increased by ¥1,327 million to ¥23,389 million.

• Cash and equivalents at year-end increased to ¥10,841 million.

Outlook and guidance

• FY2027 revenue is forecast at ¥35,500 million, up 0.4% year-over-year.

• Operating income is projected to rise 11.9% to ¥1,450 million.

• Net income attributable to parent is expected to reach ¥1,000 million, up 5.9%.

• Dividend per share is forecast to remain at ¥36.

• The company plans to continue store optimization and new openings, focusing on profitability and diversification.