Creek & River beats Q2 net income forecast by 64%

Creek & River announced on October 9, 2025, that its consolidated net income attributable to owners of the parent for the second quarter of the fiscal year ending February 2026 reached JPY 2,214 million, exceeding the previous forecast of JPY 1,350 million by JPY 864 million, a 64% increase. Sales, operating profit, and ordinary profit were largely in line with expectations.

This substantial increase in net income was primarily due to the consolidation of the Takahashi Shoten Group, acquired in March 2025. Seasonal business factors led to a temporary operating and ordinary loss for the Takahashi Shoten Group in Q2, which significantly reduced tax expenses recorded at the time of the stock acquisition, positively impacting Creek & River's net income.

Despite the Q2 performance, the full-year consolidated earnings forecast for the fiscal year ending February 2026 remains unchanged, with projected net income attributable to owners of the parent at JPY 3,200 million. The company anticipates an increase in tax expenses from the third quarter onwards, offsetting the Q2 gain.