Key Facts
• June 30: Takashimaya revised its FY2026 operating profit forecast to ¥50 billion, down 13% YoY.
• Previous forecast was a 0.9% increase to ¥58 billion.
• March-May 2025 operating profit fell 26.9% YoY to ¥12.6 billion.
• Inbound sales at domestic stores dropped from ¥32.9 billion to ¥22.9 billion YoY.
• High-value goods’ sales share fell from 78% to 66%; cosmetics rose from 9% to 14%.
• FY2026 inbound sales forecast revised to ¥82 billion from ¥110 billion.
• Takashimaya plans to sell Tokyo fixed assets for ¥12.5 billion in special profit.
• Share buyback announced: 15 million shares (¥15 billion) from July 1 to December 30.
• J. Front Retailing’s March-May 2025 operating profit fell 0.9% YoY to ¥15.9 billion.
• J. Front’s inbound customer count rose 14%, but average spending dropped 33%.
• Japan Department Stores Association reported May 2025 sales fell 7% YoY to ¥435.6 billion.
Summary
Takashimaya has revised its FY2026 operating profit forecast downward by 13% to ¥50 billion, citing a shift in inbound consumer spending from luxury goods to daily necessities and the impact of a strong yen. March-May 2025 operating profit dropped 26.9% YoY, with inbound sales at domestic stores falling significantly. The company plans to optimize resources by selling fixed assets and announced a share buyback program. Similarly, J. Front Retailing reported a slight decline in operating profit for the same period, with inbound customer numbers increasing but average spending decreasing. The Japan Department Stores Association highlighted a 7% YoY drop in May 2025 nationwide sales, marking the fourth consecutive month of decline.
