Seven & i Holdings (3382) Q1 2026 earnings summary

Executive summary

• Revenues and operating income increased in Q1 FY2025, with net income surging due to extraordinary gains from asset sales and special gains and losses.

• Comprehensive income turned negative due to foreign currency translation losses.

• The company is executing a transformation plan to focus on its convenience store business, enhance shareholder value, and implement leadership changes.

• Full-year consolidated earnings forecasts remain unchanged, with steady execution of management initiatives to maximize value.

Financial highlights

• Q1 FY2025 revenues from operations were ¥2,777.3B (+1.6% YoY), operating income ¥65.0B (+9.7% YoY), and net income ¥49.0B (+229.2% YoY), driven by asset sales.

• EBITDA increased to ¥205.7B (+5.2% YoY); EPS before amortization of goodwill rose to ¥29.52.

• Free cash flow improved to ¥173.6B from negative ¥80.7B in the prior year.

• Amortization of goodwill for the quarter was ¥35.4B.

• Cash and cash equivalents at period end were ¥1,447.3B, up ¥74.1B YoY.

Outlook and guidance

• Full-year FY2025 forecasts: revenues ¥10,722.0B, operating income ¥424.0B, net income ¥255.0B, EPS ¥102.92; forecasts remain unchanged from April.

• Dividend forecast raised to ¥50.00 per share for the year.

• Forecasts reflect deconsolidation of certain subsidiaries and Seven Bank in the second half.

• Segment guidance: domestic CVS operating income ¥244.7B, overseas CVS ¥230.0B, superstore operations ¥15.4B.