ZOZO FY26 Net Profit Up 5.7% to ¥47.9 Billion as LYST and ZOZO U.K. Are Consolidated; FY27 Targets ¥241.9 Billion Revenue

FY3/2026 revenue rose 7.2% to ¥228.4 billion and operating profit grew 7.1% to ¥69.4 billion as the Chiba-based e-commerce fashion platform consolidated UK acquisitions LYST and ZOZO U.K., executed a 3-for-1 stock split on April 1, 2025, and held its operating margin at 30.4%; FY3/2027 guidance targets ¥241.9 billion in revenue and ¥74.4 billion in operating profit.

Makuhari Bay Town area where ZOZO headquarters is located, Chiba ZOZO, Inc. · Tokyo Stock Exchange Prime

ZOZO, Inc. (TSE: 3092), the Makuhari, Chiba-headquartered operator of ZOZOTOWN — Japan's largest dedicated fashion e-commerce platform — reported FY3/2026 consolidated J-GAAP results showing balanced top-line and earnings growth alongside two material structural moves: a 3-for-1 stock split effective April 1, 2025, and the consolidation of UK-based fashion-search platform LYST LTD and ZOZO U.K. LIMITED. Revenue rose 7.2% year-on-year to ¥228,373 million, operating profit advanced 7.1% to ¥69,366 million, EBITDA grew 10.2% to ¥76,924 million, ordinary profit climbed 6.7% to ¥69,261 million, and net profit attributable to shareholders rose 5.7% to ¥47,926 million. Basic EPS (split-adjusted) came in at ¥54.11 versus ¥50.90.

The operating margin held at 30.4%, while ROE attributable to owners eased to 46.6% from 49.4% — still among the highest in Japanese listed e-commerce. Comprehensive income grew 11.4% to ¥51,025 million.

LYST and ZOZO U.K. consolidation expands the international footprint

The headline strategic event of the year was the full consolidation of LYST LTD and ZOZO U.K. LIMITED, both based in the United Kingdom. LYST is a leading global online fashion search and discovery platform that aggregates listings from a wide marketplace of brands and retailers; its consolidation gives ZOZO a foothold in cross-border discovery traffic and a foundation from which to extend the ZOZOTOWN operating model beyond Japan. Together with the inaugural ZOZO U.K. operating company, the new perimeter signals a deliberate shift from a Japan-only flagship into a more international group platform.

Balance sheet and cash flow

Total assets reached ¥198,260 million from ¥187,810 million, with net assets at ¥106,789 million. The equity ratio strengthened to 53.9% from 52.6%, and per-share net assets (split-adjusted) rose to ¥120.76 from ¥110.81. Operating cash flow eased to ¥52,531 million from ¥60,114 million; investing activities used ¥28,897 million (vs. ¥6,285 million prior year), reflecting the cash spend on the UK acquisitions and continued infrastructure investment; financing activities used ¥45,830 million. Cash and equivalents at year-end stood at ¥69,422 million.

Stock split and dividend

The company executed a 3-for-1 stock split on April 1, 2025. All per-share figures (EPS, BPS) are restated on the post-split basis assuming the split had been effective at the start of FY3/2025. The FY3/2026 full-year dividend was set at ¥39.00 per share (split-adjusted: ¥19 interim + ¥20 year-end), with total cash dividends of ¥34,488 million. The consolidated payout ratio rose to 72.1% from 70.1% — well above the typical Japanese listed-company range — reflecting the company's continued commitment to a high return-of-cash policy.

FY3/2027 guidance

For FY3/2027 management guides revenue of ¥241,900 million (+5.9%), operating profit of ¥74,400 million (+7.3%), an Adjusted EBITA of ¥77,900 million (+7.2%), ordinary profit of ¥74,400 million (+7.4%), and net profit attributable to shareholders of ¥49,700 million (+3.7%), with EPS guided to ¥56.20. The FY3/2027 dividend forecast is ¥40.00 per share (¥20 + ¥20), implying a payout ratio of 71.2%.

ZOZO, Inc. — FY3/2026 Key Financials (JGAAP, consolidated; per-share data on post-split basis)
MetricFY3/2026FY3/2025YoY
Revenue (¥ million)228,373213,131+7.2%
Operating profit (¥ million)69,36664,756+7.1%
EBITDA (¥ million)76,92469,788+10.2%
Ordinary profit (¥ million)69,26164,888+6.7%
Net profit (¥ million)47,92645,346+5.7%
Basic EPS (¥, split-adjusted)54.1150.90+6.3%
Operating margin30.4%30.4%±0.0pp
ROE (owners)46.6%49.4%−2.8pp
Annual dividend (¥, split-adjusted)39.00n/m

JapanStockPulse provides informational content only and does not constitute investment advice. Figures are taken from the company's published earnings short report and may be subject to subsequent revision.