Askul reports revenue growth, lower profit amid strategic investments

Askul Corporation announced its first-quarter financial results for the fiscal year ending May 20, 2026, reporting a 3.3% year-on-year increase in net sales to ¥122,324 million, driven by strong performance in its e-commerce business. Despite this revenue growth, operating profit decreased by 59.1% to ¥1,053 million, and profit attributable to owners of parent fell by 77.7% to ¥344 million, primarily due to higher fixed costs associated with the launch of the Kanto DC and other one-time expenses. Gross profit margin improved by 1.1 percentage points to 24.8%.

The company is positioning FY5/2026 as a key turning point for a V-shaped recovery in FY5/2027, focusing on increasing customer numbers, optimizing logistics with the Kanto DC launch, and completing a core system replacement. Capital expenditures in Q1 FY5/2026 reached ¥7,620 million, a 123.1% increase year-on-year, mainly for the Kanto DC and IT-related investments. Askul's full-scale pricing strategy and increased sales of government-stockpiled rice contributed to customer acquisition and growth, with living supplies and MRO categories driving sales in the ASKUL business.

Askul has been recognized for its sustainability efforts, including selection for the FTSE Blossom Japan Index and JPX-Nikkei Index 100 for Human Capital in July 2025, and as a CDP Supplier Engagement Leader for the fourth consecutive year, highlighting its commitment to ESG initiatives.