Seven & i Holdings (3382) Q2 2025 earnings summary

Executive summary

• Full-year financial forecasts were revised downward after underperformance in both domestic and overseas convenience store businesses and macroeconomic headwinds.

• Strategic acceleration of business reforms, including divestment of unprofitable assets, group structure optimization, and focus on core CVS operations, is underway.

• Major acquisitions in Australia and the U.S. expanded the global store network and contributed to asset growth.

Financial highlights

• First half operating revenues reached ¥6,035.5 billion, up 8.8% year-over-year, but operating income fell to ¥186.9 billion (down 22.4% YoY), and net income dropped to ¥52.2 billion (down 34.9% YoY).

• EBITDA for 1H was ¥471.5 billion, down 5% YoY.

• Special losses in 1H totaled ¥86.2 billion, mainly from business withdrawals and restructuring.

• Interim dividend maintained at ¥20 per share, with full-year forecast at ¥40 per share.

Outlook and guidance

• Full-year operating revenue forecast revised upward to ¥11,879.0 billion (up 3.5% YoY), but operating profit and net profit revised downward to ¥403.0 billion (down 24.6% YoY) and ¥163.0 billion (down 27.4% YoY), respectively.

• Effects of new measures expected to be limited in the current fiscal year, with growth targeted for FY2025 and beyond.

• Annual dividend forecast is ¥40.00 per share post-share split.