Tenmaya Store Q1 Net Profit Jumps 48% to ¥384m Even as Operating Profit Dips

Tenmaya Store, an Okayama-based supermarket operator in Japan's Chugoku region, said first-quarter net profit attributable to owners jumped 47.8% to ¥384 million as operating revenue edged up 2.3% to ¥14.70 billion, even though operating profit slipped 6.0% and ordinary profit fell 7.3%; it kept full-year guidance and a raised ¥20.00 annual dividend unchanged.

A Tenmaya Store supermarket storefront Tenmaya Store · TSE

Tenmaya Store Co., Ltd. (TSE: 9846), a supermarket chain based in Okayama that serves the Chugoku region of western Japan, reported results for the first quarter of the fiscal year ending February 2027 — the three months from March 1 to May 31, 2026. Operating revenue rose 2.3% to ¥14,701m, but operating profit fell 6.0% to ¥563m and ordinary profit fell 7.3% to ¥569m. Net profit attributable to owners of the parent, however, jumped 47.8% to ¥384m, with quarterly EPS of ¥33.41 versus ¥22.64 a year earlier.

Sales edge higher, led by a new store

Top-line growth was driven by the core retail business and a new outlet. In March the company pre-opened the Tenmaya Hapîzu Saidaiji store in Okayama City's Higashi Ward as the anchor of its first mall-format facility, the Tenmaya Hapîzu Saidaiji Mall, strengthening its locally sourced fresh-food assortment. The retail segment posted operating revenue of ¥12,658m (up 2.1%), while the retail-related segment — prepared foods and food service — grew 3.9% to ¥2,043m.

Operating and ordinary profit slip on costs

Despite higher sales, both operating profit (¥563m, down 6.0%) and ordinary profit (¥569m, down 7.3%) declined as raw-material and energy-price inflation weighed on margins. By segment, retail operating profit fell 9.8% to ¥465m, while the retail-related segment lifted operating profit 17.6% to ¥97m on improved product development.

Net profit jumps on lighter charges

The sharp rise in net profit — against the drop in operating and ordinary profit — reflects more favorable items below the operating line, with lighter one-off losses and a lower tax charge than in a year-earlier quarter that had carried heavier special charges. Comprehensive income rose 26.7% to ¥360m.

Balance sheet and dividend

Total assets grew to ¥47,170m from ¥45,506m at the prior fiscal year-end, mainly on new-store capital investment and higher receivables, while net assets rose to ¥28,033m; the equity ratio was 59.3%. The company left its dividend plan unchanged, guiding a full-year payout of ¥20.00 per share (an interim ¥10.00 plus a year-end ¥10.00), up from ¥15.50 in the year to February 2026.

Outlook

Tenmaya Store left its full-year guidance intact, unchanged from the forecast published on April 13. For the year to February 2027 it targets operating revenue of ¥63,000m (+6.3%), operating profit of ¥2,300m (+5.3%), ordinary profit of ¥2,300m (+1.3%) and net profit of ¥1,400m (+3.7%), for EPS of ¥121.81. Against that plan, first-quarter net profit represents about 27% of the full-year target.

Tenmaya Store — Q1 FY2/2027 Key Financials (J-GAAP, consolidated)
MetricQ1 FY2/27Q1 FY2/26YoY
Operating revenue (¥m)14,70114,364+2.3%
Operating profit (¥m)563599−6.0%
Ordinary profit (¥m)569614−7.3%
Net profit attrib. (¥m)384260+47.8%
EPS (¥)33.4122.64+47.6%
Equity ratio59.3%60.9%−1.6pp
Dividend (¥, FY forecast)20.0015.50+29.0%

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.