ZOZO (3092) Q2 2027 earnings summary

Executive summary

• First-half GMV excluding other GMV rose 5.7% YoY to ¥309,290m, while Adjusted EBITA increased 5.1% to ¥34,614m; both were first-half records.

• Total GMV declined 1.0%, partly because ZOZO Option store GMV stopped being recorded in Others in September 2025.

• ZOZOTOWN demand fell slightly short of plan amid weaker summer-merchandise demand; LY Corporation Commerce exceeded plan with increased promotional investment.

Financial highlights

• Net sales rose 5.1% YoY to ¥110,642m; gross profit increased 4.4% to ¥102,756m and SG&A rose 3.8% to ¥69,930m.

• Operating profit increased 5.6% to ¥32,825m; ordinary profit rose 6.6% to ¥32,871m and profit attributable to owners of parent grew 3.5% to ¥21,751m.

• Adjusted EBITA rose from ¥32,923m to ¥34,614m; shipping and logistics efficiencies offset higher promotion and other costs.

• Gross profit growth reflected ZOZOTOWN and LY Corporation Commerce GMV, advertising sales and other businesses, contributing ¥3.75bn, ¥0.31bn and ¥0.97bn, respectively.

• Variable costs fell ¥0.53bn; fixed costs rose ¥1.41bn, promotion costs ¥1.58bn and other costs ¥0.88bn.

Outlook and guidance

• FY2027 forecasts remain unchanged: net sales ¥241,900m, operating profit ¥74,400m, Adjusted EBITA ¥77,900m, ordinary profit ¥74,400m and parent-attributable profit ¥49,700m.

• FY2027 GMV targets are ¥679.6bn, or ¥678.6bn excluding other GMV; net sales target is ¥241.9bn.

• Forecast Adjusted EBITA margin is 11.5%; annual dividend forecast is ¥40 per share, including ¥20 at Q2.

• First-half promotional spending was slightly below plan, with the unspent budget planned for Q3 onward; full-year promotion spending is planned at 4.8% of GMV.

• The medium-term plan targets ¥90.0bn of Adjusted EBITA in FY2030 through More Fashion, Near Fashion and Global expansion.