ZOZO, Inc. (SATLF) Q2 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

It is time to start the financial results announcement of the second quarter of FY25 ending in March, 2026 for Zozo. We will only be offering live streaming this time. We plan to have the session until 5.40 p.m. After that, we will have a Q&A session with institutional investors on a separate Zoom channel from 5.50 p.m. I'd like to introduce the presenters. Representative Director, President and CEO, Kotaro Sawada. Hello. Director, Executive Vice President and CFO, Koji Yanagisawa. Hello. Now, CFO Yanagisawa will take us through the business results. Hello, I'm Yanagi Saba. I'd like to walk you through the second quarter financial results, FY25 ending in March, 2026. And by the way, this presentation document we will be using today has already been uploaded to our website's investor relations page. So please take a look. First, I'd like to share the financial results summary for the second quarter of FY25. For the second quarter of FY25, GMV increased by 11.9% year-on-year to 312.4 billion yen. GMV excluding other GMV increased by 12.2% year-on-year to 292.6 billion yen. EBITDA increased by 5.8% year-on-year to 34.7 billion yen. The EBITDA margin was 11.9%, representing a 0.7% point decrease compared to the same period last year. Progressed against the revised company plan announced on July 31st is as follows, GMV excluding other GMV, 44.8%, and EBITDA, 45.3%. With respect to GMV, although measures to address the prolonged summer heat were in place on the inventory supply side during the second quarter, demand declined due to persistently high temperatures resulting in a slight shortfall against plan. On the other hand, EBITDA slightly exceeded plan benefiting from lower than budgeted actual promotion expenses and a reduction in the cost ratio of logistics related ex...