Mizuno Posts Record Q1 as Operating Profit Jumps 33%; European Profit Nearly Triples

Records at every line

Mizuno Corporation (TSE: 8022) published consolidated results for the three months to June 30, 2026 on August 7, 2026 under Japanese GAAP. Net sales rose 12.6% to ¥71,505 million, operating profit 33.1% to ¥8,360 million, ordinary profit 28.2% to ¥8,671 million and net profit attributable to owners of the parent 23.5% to ¥6,028 million. The company records all four as first-quarter highs. Earnings per share were ¥79.28 against ¥63.60.

The operating margin widened to 11.7% from 9.9% — profit growing at more than twice the rate of sales, which is the quarter's defining feature. Comprehensive income was ¥7,411 million against ¥2,269 million, the gap reflecting currency translation on an increasingly overseas-weighted business.

Europe is the standout, but every region grew

Europe lifted revenue 24.0% to ¥9,877 million and segment profit 167.7% to ¥1,040 million — from a low base, but the largest single contribution to the group's margin expansion. Asia and Oceania grew revenue fastest after Europe, up 17.3% to ¥10,492 million, though segment profit slipped 1.2% to ¥1,087 million, held back by a stalling Korean golf market.

The Americas lifted revenue 15.8% to ¥13,749 million and profit 8.4% to ¥1,851 million, while Japan — still over half the group at ¥37,386 million — grew revenue 7.6% and profit 34.6% to ¥4,102 million. Japan is the slowest-growing region on revenue and among the fastest on profit, which is a mix story rather than a volume one.

What sold

The company names football, golf and sports-style footwear as the drivers, alongside its workwear business. In golf, the newly launched "JPX ONE" club series contributed. Sports-style shoes continued to sell well across regions. The one soft spot named is the Korean golf market, where demand stalled — the reason Asia and Oceania grew revenue 17.3% while its profit went slightly backwards.

Currency was a tailwind on translation. Average rates were ¥211.06 to the pound (¥193.10 a year earlier), ¥183.71 to the euro (¥160.71) and ¥156.44 to the dollar (¥152.94) — a weaker yen against all three, and against the euro by more than 14%. Part of the 24.0% European revenue growth is that, rather than volume.

Balance sheet and guidance

Total assets edged down 0.5% from the March year-end to ¥250,294 million while net assets rose 2.8% to ¥179,186 million, lifting the equity ratio to 71.2% from 68.9%. MIZUNO APAC (VIETNAM) COMPANY LIMITED was newly included in the scope of consolidation during the quarter.

Guidance for FY3/2027, set on May 12, 2026, is unchanged: net sales of ¥280,000 million (+8.1%), operating profit of ¥25,500 million (+12.8%), ordinary profit of ¥26,500 million (+10.5%) and net profit of ¥19,000 million (+3.4%), for earnings per share of ¥249.86. The quarter delivered 32.8% of the full-year operating-profit target in the first three months of twelve — a pace that leaves the unchanged guidance looking conservative, though sporting-goods demand is seasonal and the company has left it alone. The annual dividend forecast rises to ¥66.00 per share from ¥60.00, split ¥33.00 interim and ¥33.00 year-end.

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.