COLOWIDE (7616): FY2025 Results Summary — Oceania Acquisition Lifts Revenue to 300,090 Million Yen

This article is based on publicly available IR materials and is not a recommendation to buy or sell any specific securities.

Note on year labels: this article covers COLOWIDE Co., Ltd.’s most recent completed full year, the fiscal year ended March 31, 2026, which the company’s presentation labels “FY2026/March”; our site classifies it as FY2025, and all figures, tables and segment labels below follow the source material’s own labels.

COLOWIDE Co., Ltd. (TSE Prime, Securities Code: 7616) reported revenue of 300,090 million yen for FY2026/March, or 111.5% year on year, with business profit of 12,527 million yen (134.6% year on year) and EBITDA of 22,538 million yen. Existing-store revenue came to 101.8% of the prior year, and the Group ended the fiscal year with 2,633 stores. Profit attributable to owners of parent was 2,233 million yen (178.7% year on year), while profit was 1,713 million yen (76.0% year on year). All figures in the presentation are consolidated and prepared under IFRS.

Consolidated Results (Full-Year Actual)

Gross profit rose to 178,745 million yen, a revenue composition of 59.6% versus 58.2% a year earlier, while selling, general and administrative expenses were 166,218 million yen (55.4% of revenue). Business profit, which the company defines as revenue less cost of sales less selling, general and administrative expenses, improved to 12,527 million yen, equal to 4.2% of revenue. IFRS operating profit was 9,407 million yen (3.1% of revenue, 122.0% year on year).

Item (Unit: Millions of yen)	FY2025/March	FY2026/March	YoY
Revenue	269,156	300,090	111.5%
Gross profit	156,766	178,745	114.0%
Selling, general and administrative expenses	147,462	166,218	112.7%
Business profit	9,305	12,527	134.6%
Other operating income	2,635	1,175	44.6%
Other operating expenses	4,228	4,295	101.6%
IFRS operating profit	7,712	9,407	122.0%
Profit	2,255	1,713	76.0%
Profit attributable to owners of parent	1,249	2,233	178.7%

The presentation’s bridge of business profit from FY2025/March to FY2026/March shows an increase in profit due to higher revenue (excluding new consolidations) of 4,782 million yen and a change due to new consolidation of 2,584 million yen, against wage increases and other cost increases of (3,719) million yen and strengthening of advertising and sales promotion of (425) million yen.

Results by Region

Japan generated revenue of 244,631 million yen, up 8,226 million yen, with business profit of 7,996 million yen, up 1,312 million yen, and 2,213 stores at year-end. Oceania was consolidated for 10 months following the acquisition of Seagrass Holdco Pty Ltd. on 6/2/2025 and contributed revenue of 18,346 million yen and business profit of 2,265 million yen from 19 stores. North America revenue rose 1,586 million yen to 19,033 million yen, but business profit fell by (583) million yen to 401 million yen.

Region (Unit: Millions of yen, Stores)	Metric	FY2025/March	FY2026/March	YoY
Japan	Revenue	236,405	244,631	+8,226
Japan	Business profit	6,683	7,996	+1,312
Japan	Number of stores	2,197	2,213	+16
North America	Revenue	17,448	19,033	+1,586
North America	Business profit	985	401	(583)
North America	Number of stores	73	73	±0
Asia (including Middle East)	Revenue	15,303	18,079	+2,776
Asia (including Middle East)	Business profit	1,637	1,866	+228
Asia (including Middle East)	Number of stores	316	328	+12
Oceania (10-month consolidated)	Revenue	—	18,346	+18,346
Oceania (10-month consolidated)	Business profit	—	2,265	+2,265
Oceania (10-month consolidated)	Number of stores	—	19	+19

Segment Results (Major Subsidiaries)

Among the reportable segments, COLOWIDE MD posted the largest revenue at 101,268 million yen with business profit of 5,083 million yen, followed by REINS international Consolidated at 92,647 million yen with business profit of 4,781 million yen. Newly consolidated Seagrass Consolidated recorded revenue of 20,041 million yen and the highest business profit margin in the table at 12.9%. ATOM and KAPPA-CREATE Consolidated recorded negative IFRS operating profit of (828) million yen and (255) million yen respectively.

Company (Unit: Millions of yen)	Revenue	Gross profit	Business profit	IFRS operating profit
REINS international Consolidated	92,647	51,049 (55.1%)	4,781 (5.2%)	3,454 (3.7%)
ATOM	30,434	18,876 (62.0%)	24 (0.1%)	(828) (2.7)%
KAPPA-CREATE Consolidated	73,193	37,781 (51.6%)	349 (0.5%)	(255) (0.3)%
OOTOYA Consolidated	37,017	20,607 (55.7%)	1,785 (4.8%)	1,709 (4.6%)
Seagrass Consolidated	20,041	14,488 (72.3%)	2,584 (12.9%)	2,583 (12.9%)
COLOWIDE MD	101,268	6,991 (6.9%)	5,083 (5.0%)	5,168 (5.1%)

Store Network

The Group operated 2,633 stores at the end of FY2026/March, comprising 1,501 directly managed stores and 1,132 FC stores, versus 2,586 stores a year earlier. During the year 180 stores were opened, 163 were closed and 30 were newly consolidated. By format, Yakiniku and Shabu Shabu (Gyu-Kaku, KALUBI TAISHO, Shabu Shabu On-Yasai) accounted for 435 directly managed stores (29.0%) and 1,147 stores including FC (43.6%). Restaurant formats in total represented 86.1% of directly managed stores and 91.2% including FC, with Izakaya making up the remainder at 209 directly managed stores and 231 stores including FC.

Format (Unit: Stores)	Major Brand	Directly Managed (Ratio of Total)	Directly managed + FC (Ratio of Total)
Yakiniku Shabu Shabu	Gyu-Kaku, KALUBI TAISHO, Shabu Shabu On-Yasai	435 stores (29.0%)	1,147 stores (43.6%)
TEISHOKU (Set Meals)	OOTOYA	163 stores (10.9%)	455 stores (17.3%)
Conveyor-belt Sushi	Kappa Sushi, NIGIRI-NO-TOKUBE	354 stores (23.6%)	361 stores (13.7%)
Steak	Steak MIYA, The Meat & Wine Co etc.	129 stores (8.6%)	129 stores (4.9%)
Others	FRESHNESS BURGER, CHEESE GARDEN etc.	211 stores (14.1%)	310 stores (11.8%)
Izakaya	Amataro, HOKKAIDO, Doma-Doma etc.	209 stores (13.9%)	231 stores (8.8%)
Total	—	1,501 stores	2,633 stores

Financial Position

Total assets stood at 350,931 million yen as of March 31, 2026, an increase of 38,705 million yen, driven mainly by goodwill of 120,823 million yen (up 28,946 million yen). Cash and deposits decreased by (8,345) million yen to 63,191 million yen. Total liabilities were 257,336 million yen and total equity was 93,596 million yen. The presentation states a consolidated total equity ratio of 32.5%, defined as total equity divided by total assets less cash and deposits, and a ratio of equity attributable to owners of parent of 24.0%.

Earnings Forecast for FY2027/March

For the fiscal year ending March 31, 2027 the company forecasts revenue of 351,642 million yen (117.2% year on year), business profit of 16,038 million yen (128.0%) and IFRS operating profit of 13,751 million yen (146.2%). Profit is forecast at 3,982 million yen and profit attributable to owners of parent at 2,670 million yen. The forecast assumes an FX rate of 150 yen per US dollar.

Item (Unit: Millions of yen)	Results for FY2026/March	Forecast for FY2027/March	YoY
Revenue	300,090	351,642	117.2%
Gross profit	178,745	215,791	120.7%
Selling, general and administrative expenses	166,218	199,754	120.2%
Business profit	12,527	16,038	128.0%
Other operating income	1,175	713	60.6%
Other operating expenses	4,295	2,999	69.8%
IFRS operating profit	9,407	13,751	146.2%
Profit	1,713	3,982	232.5%
Profit attributable to owners of parent	2,233	2,670	119.6%

By reportable segment, the forecast places COLOWIDE MD revenue at 105,966 million yen, REINS international Consolidated at 94,741 million yen, KAPPA-CREATE Consolidated at 79,840 million yen, C-United at 39,388 million yen, OOTOYA Consolidated at 38,001 million yen, ATOM at 31,776 million yen and Seagrass Consolidated at 26,833 million yen. Seagrass Consolidated carries the highest forecast business profit margin at 13.1%.

Shareholder Returns

Dividends, share buybacks and other shareholder return policies are not addressed in this presentation. This cannot be confirmed from the materials.

Medium-Term Plan and Topics

Under “COLOWIDE Vision 2030,” the company states that while maintaining its domestic food service business as its foundation, it aims to achieve consolidated revenue of 500 billion yen by the fiscal year ending March 2030 through growth in overseas food service and in catering services for hospitals and nursing care facilities. The revenue mix at FY2026/March was domestic food service 76.7%, overseas food service 18.5% and catering service 4.8%; the FY2030/March target mix is domestic food service 50%, overseas food service 30% and catering service 20%.

On the M&A front, COLOWIDE acquired all shares of Seagrass Holdco Pty Ltd., described as the No.1 steakhouse chain in the Oceania region, on 6/2/2025; its brands comprise 6 HEAD (2 stores), The Meat & Wine Co (13 stores) and HUNTER & BARREL (6 stores) as of 3/31/2026. As a subsequent event, the company acquired all shares of C-United Co., Ltd. on 4/1/2026, a cafe operator with 565 stores running the COFFEE-KAN, CAFFE VELOCE and CAFE de CRIE brands. In the catering business, revenue rose from 709 million yen in FY2024/March to 12,250 million yen in FY2025/March and 14,398 million yen in FY2026/March, with 509 contracted facilities at 3/31/2026 (hospitals 77, healthcare facilities 309, offices 82, others 41).

This article is an analysis based on publicly available information and is not a recommendation to buy or sell any specific securities. Investment decisions are your own responsibility.