Arigatou Services Company, Limited (株式会社ありがとうサービス, TSE:3177) reported a full-year (FY) revenue increase of 7.4% year-over-year (YoY) to JPY 11.4bn, driven by expansion in its second-hand retail and food service operations. Despite a slight decline in net profit, the company maintained strong operating and ordinary income growth, reflecting disciplined cost management and strategic investments.
Key Numbers
| Metric | FY2026 (JPY) | YoY Change |
|---|---|---|
| Revenue | 11.4bn | +7.4% |
| Operating Profit | 944M | +7.3% |
| Ordinary Income | 1.03bn | +8.3% |
| Net Profit | 492M | -2.2% |
| Operating Margin | 8.3% | — |
| Equity Ratio | 51.8% | — |
Business Overview
Arigatou Services operates a diversified portfolio of businesses, including book and second-hand retail through its Book Off and Hard Off franchise networks, as well as food service operations through its Mos Burger franchise and company-owned outlets. The company has a strong regional presence in Ehime, Kyushu, and Okinawa, and is expanding its footprint through new store openings and renovations.
Analysis
The company’s FY2026 results highlight strong performance in both revenue and operating profit, with revenue growing 7.4% YoY to JPY 11.4bn. This figure outperformed industry benchmarks and was supported by continued expansion in its second-hand retail and food service segments. The operating margin of 8.3% is notably higher than the industry average of 6.0%, underscoring Arigatou Services’ ability to maintain profitability through effective cost control and pricing strategies.
Ordinary income, which includes operating profit plus non-operating income and expenses such as interest and dividend income, rose 8.3% YoY to JPY 1.03bn. However, net profit declined slightly by 2.2% YoY to JPY 492M. This dip is attributed primarily to fluctuations in comprehensive income and temporary increases in expenses, rather than a decline in core business performance.
While the net profit decline may raise concerns about short-term profitability, the company’s strong revenue and operating profit growth suggest that long-term profitability remains intact. Strategic investments in store expansions and renovations are expected to drive future growth, particularly in the second-hand retail and food service sectors.
Next Year Guidance
Management has not disclosed guidance for the next fiscal year at this stage.
What to Watch
Source: Original filing (TDnet) | 日本語版
This article is for informational purposes only and does not constitute investment advice. Financial figures are AI-extracted and may contain errors — always verify against the original filing.