J. Front Retailing revises full-year forecasts down amid profit declines

J. Front Retailing Co., Ltd. announced consolidated financial results for the first six months of the fiscal year ending February 28, 2026, reporting 219,925 million yen in sales revenue, up 5.0% year-on-year. However, business profit decreased by 13.2% to 28,181 million yen, and operating profit fell by 23.9% to 29,975 million yen. Profit attributable to owners of parent was 18,354 million yen, down 36.9% from the previous year. This decline was primarily attributed to a significant decrease in duty-free sales within the Department Store Business, which offset strong performances in the SC and Developer Businesses.

The company revised its full-year consolidated earnings forecasts for the fiscal year ending February 28, 2026, downward. Full-year sales revenue is now projected to be 452,000 million yen (down 7,000 million yen), and operating profit is forecast at 44,000 million yen (down 6,000 million yen). Profit attributable to owners of parent is also revised to 26,000 million yen (down 4,000 million yen). This revision reflects lower-than-expected sales revenue in the Department Store Business and anticipated costs related to transformation initiatives.

Despite the revised profit outlook, J. Front Retailing maintains its annual dividend forecast at 54.00 yen per share, an increase of 2.00 yen from the previous year, with an interim dividend of 27.00 yen per share already declared. The company also executed a share buyback of 15 billion yen between April and August 2025. Total assets stood at 1,140,108 million yen, a decrease of 24,039 million yen from February 28, 2025.