Pan Pacific International Holdings (7532) Q4 2025 earnings summary

Executive summary

• Net sales reached ¥2.2468 tn, up 7.2% year-over-year, led by domestic retail and same-store growth.

• Operating income rose 15.8% year-over-year to ¥162.3 bn, with margin improving to 7.2% despite cost inflation.

• Profit attributable to owners of parent increased 2.0% year-over-year to ¥90.5 bn, overcoming FX impacts and impairments.

• Launched long-term plan "Double Impact 2035" to accelerate growth investments and evolve earnings capability.

• Comprehensive income decreased 4.2% year-over-year to ¥90.3 bn, reflecting a decline in other comprehensive income components.

Financial highlights

• Gross profit margin improved to 31.9% (up 0.3pt year-over-year); gross profit reached ¥716.7 bn.

• EBITDA increased 12.8% year-over-year to ¥210.5 bn.

• Q4 FY6/25 net sales rose 5.8% year-over-year; operating income up 12.3% year-over-year.

• FY6/25 saw 37 consecutive months of same-store sales growth in discount stores.

• Cash and cash equivalents at period-end were ¥175.8 bn, down from ¥187.2 bn the previous year.

Outlook and guidance

• FY6/26 targets: net sales ¥2.3270 tn (+3.6% year-over-year), operating income ¥170.0 bn (+4.7%), profit attributable to owners of parent ¥105.5 bn (+16.5%).

• Discount store business to open 25+ new stores; tax-free sales target ¥190.0 bn (+9.1% year-over-year).

• PB/OEM sales target ¥400.0 bn (+26.2% year-over-year); focus on margin expansion and product innovation.

• Annual dividend forecast for FY2026 is ¥35.00 per share, reflecting the stock split.

• Dividend to increase for 23rd consecutive year; post-split full-year dividend expected at ¥8.5.