Yellow Hat (9882) Q2 2026 earnings summary

Executive summary

• Net sales for the six months ended September 30, 2025, rose 14.5% year-over-year to 79.3 billion yen, driven by strong tire and expendable auto parts sales and the consolidation of Y International, Inc. (Y's Road).

• Gross profit increased 15.0% and operating profit rose 2.8% year-over-year; ordinary profit up 3.5%.

• Profit attributable to owners of parent reached a record high for an interim period, up 8.8% year-over-year to 4.32 billion yen.

• Comprehensive income surged 72.0% year-over-year to 6.13 billion yen.

• Integration of Y International, Inc. (Y's Road) into consolidated results began in January 2025.

Financial highlights

• Net sales: 79.3 billion yen (+14.5% YoY); gross profit: 35.0 billion yen (+15.0% YoY); operating profit: 5.5 billion yen (+2.8% YoY); ordinary profit: 6.1 billion yen (+3.5% YoY); profit attributable to owners of parent: 4.32 billion yen (+8.8% YoY).

• Interim dividend of 29 yen, up 11.5 yen from the previous year (pre-stock split basis).

• Total assets increased to 194.6 billion yen, with net assets at 121.1 billion yen and an equity ratio of 62.1%.

• Basic earnings per share for the period was 49.23 yen (post-stock split basis).

• Selling, general and administrative expenses rose 17.6% to 29.5 billion yen, mainly due to more subsidiary stores and higher personnel costs.

Outlook and guidance

• Full-year FY25 forecast: net sales of 170.0 billion yen (+10.3% YoY), operating profit of 15.9 billion yen (+2.9% YoY), profit attributable to owners of parent of 11.4 billion yen (+1.2% YoY).

• Dividend forecast for FY25/FY26 is 58 yen per share (29 yen interim, 29 yen year-end, post-stock split basis).

• Medium-term plan targets 180.0 billion yen in net sales and 16.8 billion yen in operating profit by FY27.

• Basic earnings per share forecast for the full year is 128.59 yen.

• No change to previously announced forecasts.