Genda Reports June Store Sales Growth Slowed by Weather Factors but Sees Strong July Momentum

TOKYO, Jul 31 (Pulse News Wire) – GENDA Inc. (9166.T) reported that its June store sales growth rate slowed due to weather factors such as typhoons, but noted strong momentum continuing into July.

In June, the monthly existing store revenue growth rate was adjusted to 104%. However, the final week of June saw a high growth rate of 125.9% compared to the same week last year, driven by the launch of limited-edition items featuring TWICE, which boosted sales. For the upcoming months, the company plans various IP collaboration strategies, including summer promotions in August and winter campaigns in December and January.

Additionally, GENDA highlighted robust performance in the North American operations, achieving complete transition to the Kiddleton Force system by July, leading to recovery in inspection rounds. The company expects normalized operations in the third quarter, aiming to restore inspection rounds to pre-integration levels of approximately 15,000 per month. Regarding mergers and acquisitions (M&A), GENDA stated that while the number of executed deals has decreased, there are multiple pipeline cases focused on core areas.

The company continues to prioritize strategic selection of M&A opportunities to maintain flexibility in funding through free cash flow and debt utilization.