Costs outrun flat sales
Takihyo Co., Ltd. (TSE: 9982), the Nagoya-based planner, maker and wholesaler of apparel and textile materials, reported consolidated results for the first half of FY2/2027, the six months from March 1 to August 31, 2026, on October 9, 2026 under Japanese GAAP. Net sales slipped 0.4% to ¥31,682 million, operating profit fell 33.0% to ¥748 million and ordinary profit 32.0% to ¥776 million. Net profit attributable to owners of the parent rose 7.8% to ¥1,001 million, or ¥118.55 per share against ¥107.03, helped by a ¥400 million gain on the sale of fixed assets booked as a special gain.
The company said sluggish temperatures from June delayed summer clothing purchases and repeated natural disasters weighed on consumer spending, keeping sales level with last year. On the cost side, the historically weak yen and higher raw-material prices combined with a switch to ferries and air freight to avoid disaster-related shipping delays, lowering the gross margin, while domestic logistics costs and higher pay for employees also rose. Under its medium-term plan Create Future with Passion, Takihyo is building quality assurance through its QC centres in Dalian and Qingdao, digitizing supply-chain management, and developing functional, low-carbon and recycled materials alongside character and IP-based products.
Balance sheet, dividend and outlook
Total assets fell 2.4% to ¥49,678 million from the end of February, mainly on lower trade receivables and property, while net assets rose 1.3% to ¥32,994 million, for an equity ratio of 66.3%, up from 63.8%. The interim dividend is ¥25, up from ¥20, and the company plans an annual ¥50 against ¥45.
The full-year forecast published on April 13 is unchanged: net sales of ¥64,800 million (+1.3%), operating profit of ¥1,950 million (+0.4%), ordinary profit of ¥1,950 million (+0.1%) and net profit of ¥1,620 million (+0.3%). Meeting it would require second-half operating profit of about ¥1,200 million, well above the first half's ¥748 million.
| Metric | H1 FY2/2027 | H1 FY2/2026 | Change |
|---|---|---|---|
| Net sales (¥ million) | 31,682 | 31,799 | −0.4% |
| Operating profit (¥ million) | 748 | 1,117 | −33.0% |
| Ordinary profit (¥ million) | 776 | 1,141 | −32.0% |
| Net profit attrib. to owners of parent (¥ million) | 1,001 | 929 | +7.8% |
| EPS (¥) | 118.55 | 107.03 | +10.8% |
| Comprehensive income (¥ million) | 866 | 1,212 | −28.6% |
| Total assets (¥ million) | 49,678 | 50,877 | −2.4% |
| Net assets (¥ million) | 32,994 | 32,555 | +1.3% |
| Equity ratio | 66.3% | 63.8% | +2.5 pt |
| FY2/2027 guidance — revenue (¥ million) | 64,800 | — | +1.3% |
| FY2/2027 guidance — operating profit (¥ million) | 1,950 | — | +0.4% |
| FY2/2027 guidance — ordinary profit (¥ million) | 1,950 | — | +0.1% |
| FY2/2027 guidance — net profit (¥ million) | 1,620 | — | +0.3% |
| Annual dividend per share (¥) | 50.00 | 45.00 | +11.1% |
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.