FUJI Co., Ltd. (8278): FY2025 Results Summary — Profit More Than Doubles on Extraordinary Gains Despite Lower Operating Profit

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FUJI Co., Ltd. reported consolidated operating revenue of 814,260 million yen for the fiscal year ended February 28, 2026, up 0.7% year on year and marking a seventh consecutive year of revenue growth to a record high. Operating profit fell 13.4% to 11,217 million yen and ordinary profit fell 12.5% to 12,527 million yen, as higher SG&A expenses from proactive wage increases, higher logistics costs, and increased store maintenance and repair expenses outweighed the increase in gross operating profit. However, profit attributable to owners of parent increased 114.1% to 8,176 million yen, boosted by a gain on sale of investment securities recorded as extraordinary income. For the fiscal year ending February 28, 2027, the company forecasts operating revenue of 825,000 million yen, operating profit of 17,000 million yen, and profit attributable to owners of parent of 7,000 million yen.

Note: FUJI Co., Ltd.’s fiscal year runs from March to the following February. In line with japan-equity.com’s convention, this article refers to the fiscal year ended February 28, 2026 as FY2025 and the fiscal year ending February 28, 2027 as FY2026 — the same labels the company itself uses in the source presentation, which states “FY2025 means the fiscal year ended February 2026.”

Consolidated Results (Full-Year Actual)

Operating revenue of 814,260 million yen comprised net sales of 784,256 million yen, real estate lease revenue of 19,421 million yen, and other operating revenue of 10,581 million yen. Gross profit was 219,757 million yen and gross operating profit (including real estate lease revenue and other operating revenue) was 249,760 million yen. Selling, general and administrative expenses rose to 238,543 million yen from 236,554 million yen a year earlier, and this increase outpaced the growth in gross operating profit, resulting in lower operating profit.

Item	FY2024 (¥M)	FY2025 (¥M)	Change (¥M)	Change YoY (%)
Operating revenue	808,928	814,260	5,332	0.7
Operating profit	12,953	11,217	(1,736)	(13.4)
Ordinary profit	14,315	12,527	(1,788)	(12.5)
Profit attributable to owners of parent	3,818	8,176	4,358	114.1

Key Management Indicators

Return on assets (ROA) rose to 2.0% from 0.9%, and return on equity (ROE) rose to 3.7% from 1.8%, reflecting the sharp increase in net profit. Return on invested capital (ROIC) improved to 4.2% from 3.2%. Net assets per share increased to 2,619 yen from 2,513 yen, and the equity ratio rose to 54.7% from 52.9%. The company also reported an interest-bearing debt ratio of 10.6% as of the fiscal year-end, which it stated is below the industry average, after reducing interest-bearing debt (mainly long-term borrowings) by 26,330 million yen to 44,121 million yen.

Indicator	FY2024	FY2025
Return on assets (ROA) (%)	0.9	2.0
Return on equity (ROE) (%)	1.8	3.7
Ratio of operating profit to net sales (%)	1.7	1.4
Ratio of ordinary profit to net sales (%)	1.8	1.6
Net assets per share (yen)	2,513	2,619
Equity ratio (%)	52.9	54.7
Return on invested capital (ROIC) (%)	3.2	4.2

FY2026 Forecast

For the fiscal year ending February 28, 2027, FUJI Co., Ltd. forecasts operating revenue of 825,000 million yen (up 1.3% year on year), operating profit of 17,000 million yen (up 51.5%), ordinary profit of 17,200 million yen (up 37.3%), and profit attributable to owners of parent of 7,000 million yen (down 14.4%), as profit normalizes from the elevated FY2025 level that had been boosted by extraordinary gains. Net income per share is forecast at 80.79 yen, versus 94.36 yen in FY2025.

Item	FY2025 (Actual)	FY2026 (Forecast)	YoY (%)
Operating revenue (¥M)	814,260	825,000	1.3
Operating profit (¥M)	11,217	17,000	51.5
Ordinary profit (¥M)	12,527	17,200	37.3
Profit attributable to owners of parent (¥M)	8,176	7,000	(14.4)
Net income per share (yen)	94.36	80.79	—
Dividends per share (yen)	30	30	—

Medium-Term Plan / Growth Strategy

Under its FY2024–FY2026 Medium-Term Management Plan, the company is targeting consolidated operating revenue of 825 billion yen and an operating profit margin above 2% by FY2026, rising to consolidated operating revenue of 1 trillion yen with an operating profit margin of 3.0% by FY2030. Cumulative investment for FY2024–FY2026 totals 86 billion yen, comprising 72 billion yen for store investment (revitalization, scrap-and-build, new stores, and repairs), 8 billion yen for supply chain and digital infrastructure (processing centers, logistics and marketing, and operational efficiency), and 6 billion yen for environmental and green initiatives (refrigerant gas replacement, LED lighting, and HVACs).

As part of its sales-strengthening initiatives, the company is expanding price-focused products, private brand (TOPVALU) products, and Fuji original products, which together generated net sales of 281.5 billion yen in FY2025 against an FY2030 target of 400 billion yen.

Initiative	FY2025 Results	FY2030 Net Sales Target
Absolute Best Pricing	29.4 billion yen	50 billion yen
Low Prices Every Day!	143 billion yen	156 billion yen
Bonus Points/Coupons	12.5 billion yen	14 billion yen
TOPVALU	63.1 billion yen	120 billion yen
Fuji Original Products	33.5 billion yen	50 billion yen
Total	281.5 billion yen	400 billion yen

On store investment, the company revitalized 42 existing stores in FY2025 (37 in FY2024), with combined revitalization and new-store/scrap-and-build activity totaling 85 stores cumulatively over FY2024–FY2025 on investment of 18.7 billion yen. Sales at stores revitalized in FY2025 ran at 106.7% of the previous year’s level. For FY2026, the company plans to revitalize 50 stores and rebuild 7 stores, with planned investment of 11.3 billion yen.

Shareholder Returns

FUJI Co., Ltd. paid a total annual dividend of 30 yen per share for FY2025 and plans to maintain a dividend of 30 yen per share for FY2026 as well.

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.