KOHNAN SHOJI CO.,LTD. [7516.T]
TOKYO, Apr 13 (Pulse News Wire) – Kohnan Shoji CO.,LTD. (7516.T) reported revenue growth for the fiscal year ending February 2026, driven by strong performance in PRO materials, daily necessities, and food products.
Total sales reached ¥17.78 billion, marking a 17.7% increase compared to the previous fiscal year. However, operating profit declined slightly due to higher marketing and administrative expenses, resulting in a net income of ¥12.263 billion, down 16.1% from the prior year. In the fourth quarter alone, despite weak winter merchandise sales, the company saw a boost from PRO materials, daily necessities, and gardening supplies, leading to a 12.4% rise in existing store sales. Operating profit margin improved slightly but remained below expectations due to increased costs associated with new store openings.
For the upcoming fiscal year, Kohnan Shoji forecasts continued growth, projecting revenues of ¥543.5 billion and an operating profit of ¥23 billion. The company plans to focus on expanding its product offerings and improving operational efficiency to drive profitability. Kohnan Shoji's cash flow showed a positive trend, with free cash flow reaching ¥739 million, indicating healthy liquidity and investment capacity. The company also maintained a solid balance sheet, with a debt-to-equity ratio of 1.26 times.
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