J. Front Retailing Co., Ltd. · TSE:3086
J. Front Retailing — FY2025 Earnings Presentation
45 slides from J. Front Retailing's earnings presentation, Apr 14, 2026
Slide 1: Presentation of Results for Fiscal Year Ended February 28, 2026
Presentation of Results for Fiscal Year Ended February 28, 2026 April 14, 2026 J. Front Retailing Co., Ltd. Create and Bring to Life “New Happiness.”
Slide 2: Today's Agenda
Today’s Agenda I. FY2025 Results and FY2026 Forecast II. Progress of the Medium-term Business Plan and Initiatives for FY2026 2
Slide 3: FY2025 Results and FY2026 Forecast
FY2025 Results and FY2026 Forecast NAGAMINE Takamasa Managing Executive Officer Senior Executive General Manager, Financial Strategy Unit J. Front Retailing Co., Ltd. Create and Bring to Life “New Happiness.” 3
Slide 4: FY2025 Consolidated P&L (IFRS)
FY2025 Consolidated P&L (IFRS) Business profit declined YoY but increased compared to October forecast due to factors such as growth in SC and Developer. Operating profit and profit attributable to owners of parent decreased due to the absence of the one-time gain (gain on step acquisition) recorded
Slide 5: FY2025 Segment Performance (IFRS) (1)
FY2025 Segment Performance (IFRS) (1) (Billions of yen, unless otherwise stated) FY2025 H1 H2 Full year (Fiscal year ended vs. Oct February 28, 2026) Results % YoY Results % YoY Results % YoY forecast Gross sales 393.8 (1.3) 434.8 2.1) 828.6 0.5) (3.5) Department Revenue 129.6 1.8) 138.5 1.6) 268.1
Slide 6: FY2025 Segment Performance (IFRS) (2)
FY2025 Segment Performance (IFRS) (2) (Billions of yen, unless otherwise stated) FY2025 H1 H2 Full year (Fiscal year ended vs. Oct February 28, 2026) Results % YoY Results % YoY Results % YoY forecast Gross sales 6.6) 2.0) 6.8) 3.6) 13.5) 2.8) (0.4) Payment Revenue 6.6) 2.0) 6.8) 3.6) 13.5) 2.8) (0.
Slide 7: Segment Information: Main Reasons for Changes
Segment Information (IFRS): Main Reasons for Changes Department Store Business Revenue increased due to factors such as robust spending by the affluent and the effects of the Osaka Expo, but profit decreased due to increased costs such as price hikes. Duty-free sales decreased by ¥20.0 billion YoY t
Slide 8: Daimaru Matsuzakaya Department Stores Major Store Sales
Daimaru Matsuzakaya Department Stores Major Store Sales In H2, sales at directly managed stores increased by 2.4%. Duty-free sales declined YoY but increased for full year. Renovations at the Nagoya store (main building) were largely completed in H1, while the Umeda store saw a decline in revenue in
Slide 9: Daimaru Matsuzakaya Department Stores Duty-free Sales
Daimaru Matsuzakaya Department Stores Duty-free Sales While duty-free sales began to recover in October, significant decline in customer numbers from December onward resulted in annual sales of ¥104.6 billion (down 13.4% YoY). Total sales in the Department Store Business amounted to ¥110.5 billion (
Slide 10: Daimaru Matsuzakaya Department Stores SGA Analysis (IFRS)
Daimaru Matsuzakaya Department Stores SGA Analysis (IFRS) Increased by ¥2.1 billion YoY, excluding Expo-related expenses. Factors include increased sales commissions and higher outsourcing fees. (Millions of yen) Other Other Packing and 577 Labor transportation 313 Personnel 4,645 4,646 (265) (315)
Slide 11: PARCO Major Store Tenant Transaction Volume Percentage Change
PARCO Major Store Tenant Transaction Volume Percentage Change Both domestic customer and inbound tourist transaction volumes remained strong. Total comparable store transaction volume increased by 7.9%. In addition to Sendai and Nagoya PARCO, Shibuya PARCO has seen significant growth since its major
Slide 12: Consolidated BS Results (IFRS)
Consolidated BS Results (IFRS) Total assets were ¥1,141.5 billion, a decrease of ¥22.5 billion from the end of the previous fiscal year. Interest-bearing liabilities (excluding lease liabilities) were ¥176.5 billion, a reduction of ¥13.5 billion from the end of the previous fiscal year. Equity attri
Slide 13: Consolidated CF Results (IFRS)
Consolidated CF Results (IFRS) Net cash provided by operating activities was ¥66.9 billion, down ¥18.8 billion YoY due to factors such as an increase in corporate tax payments. Net cash used in investing activities decreased by ¥13.1 billion YoY due to asset sales, despite investments in stores and
Slide 14: Business Environment Outlook for FY2026
Business Environment Outlook for FY2026 ＋） Corporate performance will remain strong, and improved income conditions will boost personal consumption. ＋） Driven by factors such as asset effects, consumption among the affluent will continue to grow. ±） Demand from inbound tourists will remain somewhat
Slide 15: FY2026 Consolidated P&L Forecast (IFRS)
FY2025 Consolidated P&L (IFRS) Aiming to increase both revenue and profit through sales growth across all business segments, including Department Store and SC. Department Store projects profit decline due to factors such as the renovation of the Umeda store, with strong performance from SC and Devel
Slide 16: FY2026 Segment Performance (IFRS) (1)
FY2026 Segment Performance (IFRS) (1) (Billions of yen, unless otherwise stated) FY2026 H1 H2 Full year (Fiscal year ending February 28, 2027) Forecast % YoY Forecast % YoY Forecast % YoY Gross sales 394.8 0.2) 449.2 3.3) 844.0 1.8) Department Revenue 130.5 0.7) 147.6 6.5) 278.1 3.7) Store Business
Slide 17: FY2026 Segment Performance (IFRS) (2)
FY2026 Segment Performance (IFRS) (2) (Billions of yen, unless otherwise stated) FY2026 H1 H2 Full year (Fiscal year ending February 28, 2027) Forecast % YoY Forecast % YoY Forecast % YoY Gross sales 7.2) 10.2 7.6) 11.7 14.9) 11.0) Payment and Revenue 7.2) 10.2 7.6) 11.7 14.9) 11.0) Finance Business
Slide 18: Segment Information: Main Reasons for Changes
Segment Information (IFRS): Main Reasons for Changes Department Store Business Despite the impact of the Umeda store's renovation and a decline following the Osaka-Kansai Expo, revenue will increase, driven by strengthened gaisho sales and renovation effects. Profit will decline due to increases in
Slide 19: Daimaru Matsuzakaya Department Stores Major Store Sales
Daimaru Matsuzakaya Department Stores Major Store Sales Total sales at directly managed stores are expected to increase by 2.6%, driven by growth in gaisho sales and other factors such as renovation effects, and sales-boosting measures. Duty-free sales are expected to be ¥104.5 billion (down 0.1%).
Slide 20: Daimaru Matsuzakaya Department Stores SGA Analysis (IFRS)
Daimaru Matsuzakaya Department Stores SGA Analysis (IFRS) Expected to increase by ¥2.1 billion YoY for full year (an increase of ¥5.0 billion excluding Expo-related expenses). Primary factors include increases in personnel and system expenses and rising utilities expenses. Labor Personnel Packing an
Slide 21: Consolidated BS Forecast (IFRS)
Consolidated BS Forecast (IFRS) Total assets are expected to be ¥1,300.0 billion, increasing by ¥158.4 billion from the end of the previous fiscal year, by making strategic investments. Interest-bearing liabilities (excluding lease liabilities) are expected to be ¥256.0 billion, an increase of ¥79.4
Slide 22: Consolidated CF Forecast (IFRS)
Consolidated CF Forecast (IFRS) Net cash provided by operating activities is expected to be ¥75.0 billion, an increase of ¥8.0 billion YoY due to factors such as higher profit. Net cash used in investing activities is expected to be ¥117.5 billion, factoring in strategic investments. Net cash provid
Slide 23: Medium-term Business Plan ROIC Management
Medium-term Business Plan ROIC Management The medium-term plan targets will not be met. It is necessary to focus on increasing “earning power” of each segment, both in the short term and in the medium to long term. Segment FY2024 FY2025 FY2026 WACC* (forecast) Department Store 10.7% 9.3% 8.8% 4-5% C
Slide 24: Medium-term Business Plan Cash Allocation
Medium-term Business Plan Cash Allocation Prioritizing investment allocation with an eye toward change, while steadily implementing shareholder returns FY2024-2026 (3-year total) Breakdown of investments (3-year total) Department Business Store investments Strategic Strategic ¥51.0 bn Cash inflows i
Slide 25: Shareholder Returns
Shareholder Returns Annual dividend for FY2025 will be ¥54, as previously forecast, while annual dividend for FY2026 is expected to increase by ¥2 to ¥56. Following share buybacks of ¥10.0 billion in FY2024 and ¥15.0 billion in FY2025, another ¥10.0 billion share buyback will be implemented in FY202
Slide 26: Share Buyback
Share Buyback In order to improve capital profitability over the medium to long term, share buyback is carried out with the aim of “optimizing equity capital and strengthening shareholder returns,” as well as achieving profitable growth. Class of shares to be acquired Common shares Total number of s
Slide 27: Progress of the Medium-term Business Plan and Initiatives for FY2026
Progress of the Medium-term Business Plan and Initiatives for FY2026 ONO Keiichi Director, President and Representative Executive Officer J. Front Retailing Co., Ltd. Create and Bring to Life “New Happiness.” 27
Slide 28: 1. Progress of the Medium-term Business Plan
1. Progress of the Medium-term Business Plan 28
Slide 29: Future Vision: Change into a "Value Co-creation Retailer"
Medium-term Business Plan Future Vision: Change into a “Value Co-creation Retailer” ３つの成長戦略により、リテールの持続的成長を実現へ Co-creation of Excitement Co-prosperity with Communities Values Co-existence with the Environment Customer Area Synergies Content One Team, True “Integration” As 29
Slide 30: "Value Co-creation Retailer" Growth Strategies
Medium-term Business Plan Promoting a two-pronged growth strategy for sustainable growth in the future “Value Co-creation Retailer” Sustainable growth and improved capital profitability Growth strategies with different timeframes Evolving the Group synergies MD・IP・サービス Expanding the Group customer b
Slide 31: Medium-term Business Plan Financial Outlook
Medium-term Business Plan Financial Outlook Targets will not be met due to factors such as negative impacts from Department Store and Payment and Finance Businesses FY2023 FY2026 FY2026 Results Outlook Medium-tem plan targets ¥52.0 bn ¥56.0 bn Payment and Finance 2.0 Payment and Finance 3.6 ¥44.3 bn
Slide 32: Progress and Results Toward "Change"
Progress and Results Toward “Change” 1. Expanding the potential of stores and areas Enhancement of store appeal and － Major renovations of core stores, record business profit profitability at Parco Enhancement of our presence in － Plans are underway in Osaka, Kobe, and Fukuoka, key areas as well as
Slide 33: Challenges for "Change"
Challenges for “Change” 1. The Group’s full potential has yet to be fully realized Breaking down deep-seated silo mentality Speeding up inter-business collaboration 2. Delays in driving change in specialized fields Expanding business portfolio through M&A and other means Catching up on IT and digita
Slide 34: 2. Initiatives for FY2026
2. Initiatives for FY2026 34
Slide 35: Positioning for FY2026
Positioning for FY2026 A year serving as a “bridge” toward rapid growth in FY2027 and beyond Finalizing the Medium-term Business Plan as a “phase of change” Revising the future vision and formulating the next Medium-term Business Plan toward “rapid growth” 35
Slide 36: (1) Finalizing the Medium-term Business Plan
2. Initiatives for FY2026 (1) Finalizing the Medium-term Business Plan 36
Slide 37: Group Customer Strategy: Expanding domestic and international customer bases
Group Customer Strategy Expanding domestic and international customer bases Promoting gaisho customer acquisition Expanding CRM for inbound tourists － Expanding into wider areas, － Expanding target countries and stores including “blank areas” － Strengthening services to encourage － Attracting next-g
Slide 38: Group Customer Strategy
Group Customer Strategy Building CRM to connect “diverse customer touchpoints and platforms” Promoting mutual use within an “area” ID-based customers ―Promoting cross-shopping between (age distribution %) Department Store, PARCO, and other Department Store facilities of the Group in key areas -20s 3
Slide 39: Key Area Strategy: Enhancing our presence in key areas
Key Area Strategy Enhancing our presence in key areas Area Key developments FY2026 ・Major renovations of Matsuzakaya and PARO The Group Nagoya ・Decided to introduce PARCO to the Matsuzakaya transaction volume Sakae Nagoya store (south wing) ¥200.0 billion ・New commercial facility HAERA is scheduled
Slide 40: Ownership and Development of Content
Ownership and Development of Content Scaling up to expand retail business Domain Entity Key developments ・Established a jointly invested company for sweets Department Merchan -dising Store sales and operations ・Developed and rolled out an original sweets brand ・Entered the game publishing business I
Slide 41: (2) Revising the Future Vision and Formulating the Next Medium-term Plan
2. Initiatives for FY2026 (2) Revising the Future Vision and Formulating the Next Medium-term Business Plan 41
Slide 42: Business Challenges
Business Challenges Transition to a resilient business structure capable of adapting to changes in the external environment Transition to a resilient business structure Sustainable profit growth Improvement of capital profitability Strengthening Maximizing Expanding the profitability of area value b
Slide 43: Business Challenges
Business Challenges Strengthening the profitability of core business Transition to a “department store business model” adapted to inflation and other factors Maximizing area value Formulating CRE strategies and development pipelines based on market changes Expanding business portfolio Expanding the
Slide 44: Values, Synergies
Values Co-creation of Co-prosperity with Excitement communities Area Customer Synergies Content Co-existence with the environment As 44
Slide 45: https://www.j-front-retailing.com/english/
https://www.j-front-retailing.com/english/ Create and Bring to Life “New Happiness.” Forward-looking statements in this document represent our assumptions based on information currently available to us and inherently involve potential risks, uncertainties, and other factors. Therefore, actual result