Back in the black in the off-season half
Studio Alice Co., Ltd. (TSE: 2305), which runs the Studio Alice children's photo studios, reported consolidated results for the first half of FY2/2027, the six months from March 1 to August 31, 2026, on October 14, 2026 under Japanese GAAP. Net sales rose 1.0% to ¥14,521 million. Operating profit was ¥95 million, against a loss of ¥462 million a year earlier, and ordinary profit ¥174 million, against a ¥434 million loss. Net profit attributable to owners of the parent was ¥15 million, or ¥0.91 per share, after a ¥379 million loss.
The turnaround came from the cost line: gross profit rose 27.3% to ¥2,591 million as the cost of sales fell, while selling, general and administrative expenses were flat at ¥2,495 million. The first half is the company's quieter season; most of its profit is earned in the autumn shichi-go-san (7-5-3) season that falls in the second half.
Photo studios and costumes
The photo-studio segment's sales rose 0.9% to ¥14,419 million and it swung to a segment profit of ¥92 million from a ¥460 million loss. The company pushed early bookings for coming-of-age photos and its furisode kimono rental service, along with early-booking campaigns for shichi-go-san shoots and kimono rental for family outings. It relocated one studio, closed five and refurbished 61, ending the period with 402 studios, 393 of them company-run and nine franchised.
The costume manufacturing and wholesale segment, whose Shanghai subsidiary makes outfits for the group's studios, saw sales fall 5.4% to ¥686 million but turned a profit of ¥49 million after an ¥18 million loss, as it sought outside customers and cut costs while raw-material prices rose.
Balance sheet, dividend and outlook
Total assets fell 1.3% to ¥37,909 million from the end of February, and net assets fell 2.5% to ¥29,476 million, mainly because of the year-end dividend payment, leaving an equity ratio of 77.8%. Operating cash flow was ¥1,370 million, up from ¥598 million, and cash and equivalents stood at ¥17,816 million. Short-term borrowings of ¥1,000 million were taken on during the half.
The company kept its full-year forecast of net sales of ¥33,600 million (+2.0%), operating profit of ¥2,450 million (+16.9%), ordinary profit of ¥2,450 million (+13.4%) and net profit of ¥1,250 million (+7.6%). It plans an unchanged year-end dividend of ¥50.
| Metric | H1 FY2/2027 | H1 FY2/2026 | Change |
|---|---|---|---|
| Net sales (¥ million) | 14,521 | 14,372 | +1.0% |
| Gross profit (¥ million) | 2,591 | 2,035 | +27.3% |
| SG&A expenses (¥ million) | 2,495 | 2,497 | −0.1% |
| Operating profit (¥ million) | 95 | -462 | loss to profit |
| Ordinary profit (¥ million) | 174 | -434 | loss to profit |
| Net profit attrib. to owners of parent (¥ million) | 15 | -379 | loss to profit |
| EPS (¥) | 0.91 | -22.33 | loss to profit |
| Comprehensive income (¥ million) | 96 | -191 | loss to profit |
| Photo studios — revenue (¥ million) | 14,419 | 14,290 | +0.9% |
| Photo studios — segment profit (¥ million) | 92 | -460 | loss to profit |
| Costume manufacturing & wholesale — revenue (¥ million) | 686 | 725 | −5.4% |
| Costume manufacturing & wholesale — segment profit (¥ million) | 49 | -18 | loss to profit |
| Total assets (¥ million) | 37,909 | 38,392 | −1.3% |
| Net assets (¥ million) | 29,476 | 30,229 | −2.5% |
| Equity ratio | 77.8% | 78.7% | −0.9 pt |
| FY2/2027 guidance — revenue (¥ million) | 33,600 | — | +2.0% |
| FY2/2027 guidance — operating profit (¥ million) | 2,450 | — | +16.9% |
| FY2/2027 guidance — ordinary profit (¥ million) | 2,450 | — | +13.4% |
| FY2/2027 guidance — net profit (¥ million) | 1,250 | — | +7.6% |
| Annual dividend per share (¥) | 50.00 | 50.00 | unchanged |
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.