ZOZO (3092) Q3 2026 earnings summary

Executive summary

• GMV rose 9.1% year-over-year to JPY 502.9 billion, with record highs for both GMV and EBITDA in Q3 FY2025; EBITDA increased 9.5% year-over-year to JPY 60.6 billion, driven by improved logistics and cost controls.

• Net sales increased 6.7% year-over-year to JPY 171.8 billion, and profit attributable to owners of parent grew 2.9% to JPY 36.98 billion.

• ZOZOTOWN business underperformed plan, while LY Corporation Commerce exceeded expectations; LYST was consolidated from May 2025 but lagged due to industry headwinds and U.S. tariff changes.

• Extraordinary losses of JPY 700 million were recorded due to the discontinuation of in-house production businesses.

• Aggressive promotions were implemented, but some sales events underperformed expectations.

Financial highlights

• Operating profit for Q3 FY2025 was JPY 54.9 billion, up 6.1% year-over-year.

• EBITDA margin was 12.6%, down 0.2 percentage points year-over-year.

• Gross profit margin declined to 33.2% from 34.7% year-over-year, mainly due to LYST's lower margin.

• SG&A expenses rose 7.3% year-over-year, but the SG&A-to-GMV ratio improved to 21.8%.

• Cash and deposits decreased to JPY 46.4 billion as of December 31, 2025.

Outlook and guidance

• Full-year net sales forecast is JPY 231.5 billion (+8.6% YoY), with operating profit of JPY 69.2 billion (+6.9% YoY) and profit attributable to owners of parent of JPY 47.8 billion (+5.4% YoY).

• Revised FY2025 forecast expects GMV (excluding other GMV) to rise 13.8% year-over-year and EBITDA to grow 9.9%.

• Dividend per share is forecast at 39.0 yen (post-stock split basis).

• No changes to previously announced business forecasts.