Mos Food Services (8153): FY2025 Results Summary — Operating Profit Up 25.6% on Segment Realignment and Cost Discipline

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

Note: Mos Food Services does not publish an English results presentation; this article is an English translation of the Japanese-language article on our sister site Investalk, which is based on the company’s financial results summary (決算短信), with figures transcribed as reported. The source document labels the period as the fiscal year ended March 31, 2026 (FY3/2026); on this site the most recently completed fiscal year is classified as FY2025.

According to the financial results summary published by Mos Food Services, consolidated net sales for the fiscal year ended March 31, 2026 were ¥102,773 million (up 6.8% year on year), operating profit was ¥6,561 million (up 25.6%), ordinary profit was ¥7,107 million (up 27.6%), and profit attributable to owners of parent was ¥4,587 million (up 45.6%). For the fiscal year ending March 31, 2027, the company forecasts net sales of ¥110,000 million (up 7.0% year on year), while planning for lower profit, with operating profit of ¥5,750 million (down 12.4%) and profit attributable to owners of parent of ¥3,600 million (down 21.5%).

Consolidated Results (FY3/2026 Actual)

According to the results summary, the group announced its medium-term management plan (fiscal 2025-2027) in May 2025 and began implementing its various initiatives. In the core Domestic Mos Burger Business, in response to the bipolarization of consumption, the company continued to promote a “price gradation strategy” and the “leveling of sales by time of day” from the previous fiscal year, aiming to attract a broad range of customers and strengthen its sales base. At the same time, it implemented a range of cost-control measures, including group-wide reductions in selling, general and administrative expenses with an emphasis on cost-effectiveness, and reductions in storage costs and more efficient logistics through improved inventory turnover.

The group’s reportable segments consist of the Domestic Mos Burger Business, the Overseas Business, the New Food Service Business, and Other Businesses (from this fiscal year, the company changed its reportable segments, renaming the former “Other Food Service Business” to “New Food Service Business” and transferring the businesses related to “MOS50,” “Stand by Mos,” and “mosh” from the Domestic Mos Burger Business to the New Food Service Business). In the Domestic Mos Burger Business, in addition to product development and marketing initiatives, the company offered a wide range of price points and strengthened the foundation of existing stores through community-based store operations, resulting in existing-store sales, customer traffic, and average spend per customer all exceeding the previous fiscal year’s levels. The Overseas Business was positioned as a period for strengthening its foundation, with the company focusing on closing unprofitable stores, renovating existing stores, and improving profitability by reducing head-office expenses. The New Food Service Business worked to optimize its store network through the selective allocation of management resources, while also strengthening product appeal and improving service quality, but recorded an operating loss. In Other Businesses, consolidated subsidiaries supported the group’s core businesses through hygiene management, equipment rental, insurance and finance, and outsourcing of group-wide operations.

Item	FY3/2026	FY3/2025	Change
Net sales	¥102,773 million	¥96,185 million	Up 6.8%
Operating profit	¥6,561 million	¥5,223 million	Up 25.6%
Ordinary profit	¥7,107 million	¥5,569 million	Up 27.6%
Profit attributable to owners of parent	¥4,587 million	¥3,150 million	Up 45.6%

Financial Position and Cash Flow

Consolidated total assets as of the end of the fiscal year ended March 31, 2026 increased by ¥6,766 million from the previous fiscal year-end to ¥87,342 million. The results summary cites increases in cash and deposits, an increase in accounts receivable due to higher sales, an increase in accrued income associated with the growth of cashless payments, and an increase in property, plant and equipment from capital expenditures as the main reasons for the increase. Net assets were ¥59,620 million (versus ¥54,326 million at the previous fiscal year-end), mainly reflecting an increase in retained earnings from profit attributable to owners of parent and an increase in valuation difference on available-for-sale securities due to changes in fair value. The equity ratio rose 0.5 points, from 67.1% at the previous fiscal year-end to 67.6%, and net assets per share were 1,914 yen 26 sen. Total liabilities increased due to an increase in accounts payable to franchisees associated with the growth of cashless payments.

Item	FY3/2026	FY3/2025
Total assets	¥87,342 million	¥80,576 million
Net assets	¥59,620 million	¥54,326 million
Equity ratio	67.6%	67.1%
Net assets per share	1,914 yen 26 sen	1,751 yen 71 sen

Cash flow from operating activities was an inflow of ¥9,221 million, cash flow from investing activities was an outflow of ¥3,206 million, and cash flow from financing activities was an outflow of ¥3,530 million. According to the results summary, operating cash flow mainly reflected profit before income taxes and other adjustments, depreciation and amortization, and income taxes paid; investing cash flow mainly reflected expenditures for the acquisition of property, plant and equipment; and financing cash flow mainly reflected expenditures for the repayment of lease liabilities and the payment of dividends. The balance of cash and cash equivalents at fiscal year-end was ¥27,678 million.

Shareholder Returns

The annual dividend per share for the fiscal year ended March 31, 2026 was 34 yen 00 sen, an increase from 30 yen 00 sen in the previous fiscal year. The consolidated payout ratio was 22.9%. For the fiscal year ending March 31, 2027, the company forecasts an annual dividend per share of 34 yen 00 sen and a consolidated payout ratio of 29.1%.

Item	FY3/2026 (Actual)	FY3/2027 (Forecast)
Annual dividend per share	34 yen 00 sen	34 yen 00 sen
Payout ratio (consolidated)	22.9%	29.1%

Forecast for the Fiscal Year Ending March 2027

The results summary states that, under the medium-term management plan’s slogan of “Entrepreneurship & Innovation,” the company is steadily advancing its strategies of solidifying the Domestic Mos Burger Business, restructuring the Overseas Business, and diversifying its sources of revenue. For its core Domestic Mos Burger and Overseas businesses, the company is working to raise profitability per store, while it aims to cultivate the merchandising business, the New Food Service Business, and the hygiene business as new business pillars alongside its core businesses. In Japan, while continuing to close unprofitable stores, the company has begun developing a high-profitability model capable of securing profit even amid rising rents and construction costs; overseas, it is preparing to bring a new plant online at its manufacturing subsidiary in Taiwan as a new base for building an optimal global ingredient supply network.

Item	FY3/2027 (Forecast)	Change
Net sales	¥110,000 million	Up 7.0%
Operating profit	¥5,750 million	Down 12.4%
Ordinary profit	¥5,700 million	Down 19.8%
Profit attributable to owners of parent	¥3,600 million	Down 21.5%

This article is based on the financial results summary for the fiscal year ended March 31, 2026 published by Mos Food Services. The financial results summary is not subject to audit by an auditing firm.

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.