Happiness and D Co.,Ltd. [3174.T]
TOKYO, May 01 (Pulse News Wire) – Happiness And D CO.,LTD. (3174.T) reported its fiscal 2026 second quarter results, showing a robust operating performance amid declining revenues.
Despite a decrease in sales due to higher raw material costs and reduced domestic demand, the company managed to achieve an operating profit of ¥33 million compared to ¥30 million last year, marking a significant improvement in gross margin. In the jewelry sector, gold prices continued to rise, driving up average selling prices and boosting sales volumes. The expansion of vintage resale items across nearly all stores contributed to increased profitability. Additionally, the company's equity financing efforts strengthened its financial position and capital base, enabling it to meet the Tokyo Stock Exchange listing maintenance criteria.
Looking ahead, the firm plans to enhance its buyback operations through initiatives such as the MEGERU Project, which aligns with sustainable development goals. The project aims to create a circular economy by recycling valuable items to promote economic growth while preserving the environment. Furthermore, the company will continue to expand its vintage product offerings and improve operational efficiency. For the full year ending August 2026, the company forecasts maintaining its initial plan, aiming to reduce operating losses to ¥33 million.
While facing challenges from store closures and rising expenses, the focus remains on improving gross margins and enhancing overall profitability.
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