Gokuraku-yu FY26 Net Profit Climbs 21% to ¥928 Million; Bathhouse Operator Restores Dividend

Gokuraku Yu Holdings (TSE: 2340), operator of the Gokuraku-yu and RAKU SPA super-sento hot-spring bathhouses in Japan and China, lifted FY3/2026 net profit 20.7% to ¥928 million on revenue of ¥16.25 billion (+7.1%). Operating profit rose 8.5% to ¥1.24 billion, and the company restored a ¥6.00-per-share dividend after paying none a year earlier — though it withheld FY3/2027 guidance, citing uncertain conditions.

Outdoor hot-spring bath at a Japanese super-sento facility Gokuraku Yu Holdings Co., Ltd. · Tokyo Stock Exchange Standard

Gokuraku Yu Holdings Co., Ltd. (TSE: 2340) reported consolidated results for the fiscal year ended March 31, 2026 (FY3/2026) under Japanese GAAP. Revenue rose 7.1% to ¥16,246 million, operating profit rose 8.5% to ¥1,236 million, ordinary profit rose 3.6% to ¥1,326 million, and net profit attributable to owners of the parent rose 20.7% to ¥928 million. EPS was ¥29.49 (diluted ¥28.38). ROE was 22.7% and the operating margin 7.6%.

Super-sento demand stays firm

The group runs the "Gokuraku-yu" chain of large-scale public hot-spring bathhouses (super-sento) and the "RAKU SPA" spa facilities across Japan, and also operates bathhouses in China, including Shanghai. Steady footfall and disciplined operations lifted both the top line and profit to fresh highs.

Investing for growth

Operating cash flow was ¥1,299 million, while investing cash flow was a ¥2,081 million outflow as the company spent on facilities, and financing cash flow was a ¥595 million outflow; period-end cash and equivalents were ¥1,519 million. Total assets were ¥13,071 million, net assets ¥4,906 million and the equity ratio 35.3% (BPS ¥145.41).

Dividend restored; FY27 guidance withheld

Gokuraku Yu restored a year-end dividend of ¥6.00 per share (payout 20.3%), versus ¥0.00 a year earlier; part of the dividend is funded from capital surplus. For FY3/2027 it again forecasts ¥6.00. The company did not provide numerical FY3/2027 earnings guidance, saying too many uncertain factors make a reasonable estimate difficult at this time, and that it will disclose a forecast once one can be made reliably.

Gokuraku Yu Holdings Co., Ltd. — FY3/2026 Key Financials (J-GAAP, consolidated)
MetricFY3/2026FY3/2025YoY
Revenue (¥ million)16,24615,164+7.1%
Operating profit (¥ million)1,2361,140+8.5%
Ordinary profit (¥ million)1,3261,279+3.6%
Net profit attrib. to owners (¥ million)928769+20.7%
EPS (¥)29.4924.69+19.4%
ROE22.7%24.5%-1.8pp
Annual dividend (¥)6.000.00Restored
FY27 earnings guidanceNot disclosed

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.