Wacoal Holdings (3591) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 FY2026 was ¥44,956 million, down 3.2% year-over-year, mainly due to the disposal of unprofitable businesses and sluggish innerwear sales in key markets.

• Gross profit margin improved due to business disposals and the Bravissimo acquisition.

• Business profit rose 51.1% to ¥2,358 million, driven by lower SG&A expenses and workforce optimization.

• Operating profit surged 516.2% to ¥19,756 million, largely due to a significant gain on the sale of fixed assets, especially the Shin-Kyoto Building.

• Net profit attributable to owners of parent increased 349.7% to ¥13,663 million.

Financial highlights

• Revenue: ¥44,956 million (down 3.2% YoY).

• Gross profit: ¥26,233 million (down ¥42 million, -0.2% YoY), gross margin improved to 58.4%.

• Business profit: ¥2,358 million (up 51.1% YoY).

• Operating profit: ¥19,756 million (up 516.2% YoY).

• Net profit attributable to owners: ¥13,663 million (up 349.7% YoY).

• Significant other income of ¥17.5 billion, mainly from the sale of fixed assets.

• Basic EPS: ¥265.39 (up from ¥55.18 YoY).

Outlook and guidance

• Full-year FY2026 revenue forecast: ¥187,500 million (+7.8% YoY).

• Operating profit forecast: ¥22,800 million (+585.1% YoY).

• Net profit attributable to owners forecast: ¥14,870 million (+112.8% YoY).

• No revision to previously announced forecasts.

• Impact of a recent warehouse fire in the UK not yet reflected in forecasts; insurance expected to cover losses.

• Domestic and overseas businesses expected to grow, with Peach John also projected to increase revenue and profit.