HARD OFF CORPORATION Co.,Ltd.
2674・Prime Market・Retail Trade
Reuse Business
Core business of the HARD OFF Group. Responsible for buying and selling at directly-operated reuse stores.
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment net sales | ¥37,265 million | ¥31,688 million | ↑ |
| Segment profit (operating income basis) | ¥5,679 million | ¥5,055 million | ↑ |
| Segment assets | ¥22,416 million | ¥17,538 million | ↑ |
| Depreciation and amortization | ¥977 million | ¥795 million | ↑ |
| Amortization of goodwill | ¥73 million | ¥10 million | ↑ |
| Impairment loss | ¥142 million | ¥164 million | ↓ |
| Increase in property, plant and equipment and intangible assets | ¥3,981 million | ¥1,824 million | ↑ |
| Number of directly-operated stores (Reuse total) | 545 stores | 450 stores | ↑ |
Business Details
Operates directly-managed stores under HARD OFF, OFF HOUSE, MODE OFF, GARAGE OFF, HOBBY OFF, LIQUOR OFF, and BOOKOFF (FC Franchisee), conducting purchasing and sales of various reuse goods. In addition to domestic directly-operated stores, the segment also has store operations in the United States and Taiwan. As of the end of FY2026 (ending March 2026), the segment had a total of 1,078 stores, comprising 545 directly-operated stores and 533 FC stores, and accounts for approximately 94.9% of consolidated net sales, making it the core segment. The store network expanded significantly following the consolidation of Econos as a subsidiary.
Recent Overview
Consolidation of 69 Econos stores drove net sales to a record high, up 17.6% year-on-year.
In October 2025, the Company acquired Econos (purchasing and sales of reuse goods) as a wholly-owned subsidiary at an acquisition cost of ¥1,856 million (goodwill of ¥968 million, amortized on a straight-line basis over 15 years), consolidating 69 stores from the third quarter onward. In addition, the opening of 30 new directly-managed stores and a 4.3% increase in domestic existing-store sales contributed to segment net sales of ¥37,265 million (up 17.6% year-on-year). Meanwhile, selling, general and administrative expenses increased by 18.3%, reflecting increased new store opening costs, personnel expenses, and depreciation, as well as one-time factors including ¥83 million in expenses related to the Econos tender offer. Impairment loss decreased to ¥142 million from ¥164 million in the prior period.
Key Products
Growth Drivers
- Steady growth in domestic existing-store sales (up 4.3% year-on-year in FY2026)
- Sales contribution from new directly-managed store openings (30 new stores opened in FY2026)
- Consolidation of 69 stores through the Econos subsidiarization (from Q3 FY2026)
- Expansion and penetration of reuse demand among consumers amid rising prices
- Improved sales mix driven by high-growth formats such as HOBBY OFF (+17 stores) and Overseas Business (+5 stores)
- Aggressive store-opening strategy toward the goal of 1,300 stores by fiscal year 2030 (planned net increase of 36 directly-managed stores in FY2027)
- Consumption recovery driven by increased inbound demand and improving employment and income conditions
Risks
- Profit margin pressure from increased opening costs, personnel expenses, and depreciation associated with new store openings (SG&A expenses up 18.3%)
- Goodwill amortization burden related to the Econos integration (¥968 million, amortized on a straight-line basis over 15 years, approximately ¥65 million per year) and integration costs
- Continued risk of impairment losses on fixed assets (¥142 million in FY2026)
- Impact on consumer sentiment from soaring raw material prices and geopolitical risks
- Risk to the overseas business (United States) from fluctuations in US trade policy
- Increased financial burden from a significant rise in short-term borrowings (¥5,090 million, up ¥2,140 million year-on-year)
- Impact on financial soundness from a decline in the equity ratio (from 71.3% to 64.0%)
Last updated: June 23, 2026