Marui Q1 FY2027: Operating profit rises 10.5%, revenue and profit hit record highs

For the April–June quarter (Q1 of the fiscal year ending March 2027), Marui reported consolidated revenue of ¥72.4 billion, up 7.4% year on year. Operating profit grew 10.5% to ¥15.4 billion, while ordinary profit increased 3.3% to ¥12.8 billion. Net profit attributable to owners of the parent jumped 14.0% to ¥9.0 billion, with EPS of ¥50.5, also up 14%. All profit lines marked record highs for a first quarter.

Group total transaction value rose 10% to ¥1,406 billion, fueled by fintech credit card processing. Note that gains from loan securitization decreased, reducing operating profit by ¥1.8 billion. Excluding this effect, underlying operating profit rose ¥3.3 billion (retail contributed ¥0.9 billion, fintech contributed ¥2.3 billion). The results reflect ongoing revenue diversification amid uncertain market conditions.

Retail segment
Operating profit surged 38% to ¥3.4 billion. Marui continued its “store without selling” strategy, lifting tenant income 2% to ¥11.9 billion, with variable income ratio reaching 23%, up 2 points from a year earlier. Event business was strong, with over 1,000 events driving transaction value up 109% to ¥4.2 billion. Events run by employees with high card-acquisition skills achieve 16 times the enrollment efficiency of regular events.

Fintech segment
Operating profit increased 3% to ¥14.0 billion. Credit card transaction value hit a record ¥1,299.4 billion, up 10%, and installment/revolving balances grew 6% to ¥506.4 billion. Epos card membership reached 8.41 million by quarter-end, with “passion-support” cards attracting 1.46 million members (an increase of 270,000), who have 2–7 times higher lifetime value than general cardholders and skew younger. The company plans to embed support and donation functions into all cards to deepen engagement.

Total assets increased from the prior fiscal year-end to ¥1,208.8 billion. The equity ratio stood at 19.5%, indicating a sound financial base. Marui plans to raise the annual dividend by ¥3 to ¥134 per share, targeting a dividend on equity (DOE) of 10.2%, underscoring a strong commitment to shareholder returns.

The company also revised upward its full-year forecasts: revenue is now seen at ¥296.5 billion (up 7.1% year on year), operating profit at ¥55.5 billion (up 10.5%), and net profit at ¥29.5 billion (up 3.6%). ROE is forecast at 11.8%, signaling further improvement in profitability.

Key risks include softening consumer spending and intensifying competition. The impact from securitization transactions could continue to depress reported operating profit, masking underlying growth. In fintech, close monitoring of credit costs is needed. Uncertainty over the economic outlook and potential interest rate rises also pose risks to the credit card business. Marui aims to counter these by strengthening customer engagement and diversifying revenue streams.