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

Executive summary

• Gross merchandise value (GMV) rose 8.4% year-over-year to ¥666,035 million, with EBITDA up 10.2% to ¥76,924 million and a focus on Near Fashion, More Fashion, and Global Domain for future growth.

• Strategic emphasis on expanding Near Fashion and Global segments, with LYST and HIGH LINK acquisitions accelerating growth and diversification.

• Net sales increased 7.2% to ¥228,373 million, and profit attributable to owners of parent rose 5.7% to ¥47,926 million.

• LYST consolidation contributed to scale but lowered gross profit margin due to its business model.

• Discontinuation of certain production businesses resulted in extraordinary losses of ¥727 million.

Financial highlights

• Adjusted EBITDA was JPY 76 billion, expected to rise to JPY 77.9 billion, with EBITDA margin at 11.9% and operating profit up 7.1% to ¥69,366 million.

• GMV (ZOZOTOWN Business + LY Corporation Commerce + BtoB) reached ¥603.9 billion, up 5.1% year-over-year.

• SG&A expenses increased, but the SG&A-to-GMV ratio improved by 1.0 percentage point.

• Cash and cash equivalents at year-end were ¥69,422 million, down ¥22,064 million due to investments and treasury stock acquisition.

• More Fashion domain GMV is expected to remain stable, with no double-digit growth.

Outlook and guidance

• Medium-term plan targets Adjusted EBITA of ¥90.0 billion by FY2030, with a CAGR of 5% and stable annual GMV increments of JPY 20 billion or more.

• FY2026 GMV (excluding other GMV) is forecast to grow by 5.0% year-over-year; Adjusted EBITA is expected to rise by 7.2%.

• Net profit per share is projected at ¥56.20, with planned dividends of ¥40.0 per share.

• 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.