Japan Eyewear (5889) Q2 2026 earnings summary

Executive summary

• Revenue for the first six months rose 7.7% YoY to ¥8,937 million, with operating profit up 4.8% YoY to ¥2,886 million and net profit up 4.0% YoY to ¥1,743 million, all reaching record highs.

• Profit before tax rose 9.9% to ¥2,727 million.

• Store sales increased 9.7%, with strong performance from both Kaneko Optical and Four Nines, supported by new store openings in Japan and overseas.

• Opened 4 new stores (2 in Japan, 2 overseas) and closed 2, expanding the network to 109 locations.

• The company maintained its full-year earnings forecast, citing no changes from previous guidance.

Financial highlights

• EBITDA for the period was ¥3,814 million, up 7.0% YoY; adjusted EBITDA was ¥3,879 million.

• Gross margin improved by 0.3 pts YoY to 79.0%, with operating margin at 32.3%.

• Basic earnings per share rose to ¥72.29 from ¥70.04 YoY.

• Cash and cash equivalents decreased by ¥884 million to ¥3,047 million at period-end, mainly due to tax payments, M&A, and dividends.

• Interim dividend of ¥42 per share was paid, with a full-year forecast of ¥84 per share.

Outlook and guidance

• Six-month progress rates against full-year plan: revenue 46.9%, operating profit 46.6%, net profit 43.6%.

• Full-year revenue is forecast at ¥19,050 million, up 14.3% YoY, with operating profit projected at ¥6,200 million, up 16.4%.

• Net profit for the year is forecast at ¥4,000 million, with basic EPS of ¥165.90.

• Management aims to catch up in the second half, leveraging inbound sales recovery to achieve full-year targets.

• Medium-term plan targets FY2030 revenue of ¥28.0 billion (CAGR 10%+), operating profit of ¥10.0 billion (CAGR 13%+), and ROE of 25%+.