ZOZO (3092) Q4 2026 (Q&A) earnings summary

Executive summary

• Focus on Near Fashion, More Fashion, and Global Domain, with strategic emphasis on growing Near and Global segments for future EBITDA growth.

• Gross merchandise value rose 8.4% year-over-year to ¥666,035 million, net sales up 7.2% to ¥228,373 million, and profit attributable to owners of parent up 5.7% to ¥47,926 million.

• Consolidation of LYST Ltd. contributed to growth but lowered gross profit margin due to its lower commission business model.

• Acquisition of HIGH LINK, INC., a fragrance platform, to expand into the Near Fashion domain.

• Medium-term plan targets JPY 80 billion EBITDA by FY 2029, with stable growth in More Fashion and higher growth expected from Near and Global.

Financial highlights

• EBITDA increased 10.2% year-over-year to ¥76,924 million; operating profit rose 7.1% to ¥69,366 million.

• Adjusted EBITDA was JPY 76 billion, expected to rise to JPY 77.9 billion.

• GMV growth guidance is 7%, while profit is expected to grow by 3.7% due to increased salaries and tax treatment.

• Gross profit margin declined by 1.5 percentage points to 33.0% due to business mix changes.

• Cash and cash equivalents at year-end were ¥69,422 million, down ¥22,064 million from the prior year.

Outlook and guidance

• EBITDA target of JPY 90 billion with a CAGR of 5%, aiming for stable annual GMV increments of JPY 20 billion or slightly more.

• For the next fiscal year, net sales are forecast to grow 5.9% to ¥241,900 million, with operating profit up 7.3% to ¥74,400 million and profit attributable to owners of parent up 3.7% to ¥49,700 million.

• Adjusted EBITA is introduced as a new management indicator, targeting ¥90 billion by FY2030.

• CapEx for existing businesses projected at JPY 11 billion annually, with additional JPY 3-5 billion for other projects.

• M&A investment budget is flexible, with a P&L impact cap of JPY 2 billion annually.