ENVALITH
株式会社アンドエスティHD logo

and ST HD Co., Ltd.

2685・Prime Market・Retail Trade

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株式会社アンドエスティHD logo
and ST HD Co., Ltd.2685

Apparel and Miscellaneous Goods Business

The core segment accounting for over 95% of consolidated group revenue. Multi-brand operations at home and abroad.

PeriodCurrentPreviousChange
Segment revenue (Q1 cumulative)¥76,451 million¥73,660 million↑
Segment profit (ordinary income basis, Q1 cumulative)¥8,122 million¥5,445 million↑
YoY revenue change rate (Q1 cumulative)+3.9%—↑
YoY segment profit change rate (Q1 cumulative)+49.2%—↑
Number of stores at period end (domestic + overseas)1,620 stores (domestic 1,462, overseas 158)1,601 stores (domestic 1,444, overseas 157)↑
and ST membership22.2 million members (8.1 million active)21.7 million members↑
YoY domestic revenue change rate (Q1 cumulative)+5.4%—↑
YoY overseas revenue change rate (Q1 cumulative)−12.6%—↓

Business Details

Operates 1,462 domestic stores and 158 overseas stores (1,620 in total), centered on casual fashion brands (Global Work, Lowrys Farm, etc.) and lifestyle proposal-type brands (niko and..., Studio Clip, etc.). Promotes an OMO strategy linking physical stores with the proprietary EC platform "and ST." Operated under a multi-company structure including Adastria Co., Ltd., BUZZWIT, and ELEMENT RULE. Also expanded into Asia (Mainland China, Hong Kong, Taiwan, Thailand, Philippines), pursuing global growth.

Recent Overview

Q1 revenue increased 3.9% YoY, with segment profit achieving a significant increase of 49.2%.

In the first quarter of FY2027 (ending March 2027) (March to May 2026), revenue in the Apparel and Miscellaneous Goods Business was ¥76,451 million (up 3.9% YoY), and segment profit was ¥8,122 million (up 49.2% YoY). Domestically, revenue increased 5.4% due to resilient demand for casual fashion driven by rising temperatures, strong sales of trend items, and the net contribution from the consolidation of Karrimor International. Gross profit margin improved through "timely, appropriately priced, appropriately quantified" inventory control and restrained discounting. The SG&A ratio also improved to 48.1% (down 1.3 points YoY), achieving an operating margin of 9.8% (up 2.6 points YoY). Meanwhile, overseas revenue overall declined 12.6% due to the impact of the U.S. business withdrawal. At Q1-end, 24 stores were opened and 5 stores closed (net increase of 19 stores).

Key Products

product
Brand Retail Business (Domestic)

Operated under a multi-company structure centered on Adastria Co., Ltd., together with BUZZWIT, ELEMENT RULE and others. Operates Global Work (229 stores), niko and... (149 stores), Lowrys Farm (131 stores), Studio Clip (190 stores), Lepsim (121 stores), and others. Karrimor International was added to the group in April 2025, expanding the brand portfolio.

platform
Proprietary EC platform "and ST"

and ST membership reached 22.2 million (up 500,000 from the prior fiscal year-end), with 8.1 million active members. The number of participating brands and gross merchandise value are growing due to expanded third-party store openings (an open, mall-type business model). LTV improvement is being pursued through promotions such as TV commercials, point rebates, and collaborations with popular characters, with a gross merchandise value target of ¥100 billion.

service
Global Business (Asia)

Operates 158 overseas stores (18 in Mainland China, 33 in Hong Kong, 98 in Taiwan, 6 in Thailand, 3 in the Philippines). In Mainland China, standard-format store openings and an EC cross-channel strategy remained solid (up 12.2% YoY). Hong Kong (+13.2%), Taiwan (+27.0%), and Thailand (+45.9%) also saw revenue growth. Following the completion of the withdrawal from the U.S. business in July 2025, overall overseas revenue declined 12.6% YoY.

service
BtoB Produce Business

A BtoB produce business leveraging the "and ST" platform aims to improve profitability. Positioned as part of the platform strategy under the Medium-Term Management Plan 2030.

Growth Drivers

  • Growth in platform revenue from expanding the open, mall-type model of the proprietary EC platform "and ST" (targeting gross merchandise value of ¥100 billion)
  • Expansion of brands and categories through M&A (consolidation of Karrimor International, etc.)
  • Aggressive store openings in Southeast Asia (Thailand, Philippines) and stable growth in Greater China (Hong Kong +13.2%, Taiwan +27.0%)
  • LTV improvement through continued growth of and ST membership (22.2 million, up 500,000 from the prior fiscal year-end)
  • Promotion of autonomous growth strategies by each operating company under the multi-company structure, and strengthening of brand portfolio management
  • Improved profitability through "timely, appropriately priced, appropriately quantified" inventory control and higher full-price sell-through rates

Risks

  • Poor sales of seasonal apparel (decline in full-price sell-through rate) due to climate change and abnormal weather throughout the year
  • Rising raw material and procurement costs due to continued yen depreciation, pressuring gross profit margin
  • Impairment risk related to goodwill and intangible fixed assets (goodwill balance of ¥520 million and intangible fixed assets of ¥11,752 million at Q1-end)
  • Contingent liability related to the ongoing investigation into ZETTON, INC.'s RRF (Restaurant Revitalization Fund) eligibility (equivalent to USD 8.2 million), which remains even after completion of the U.S. business withdrawal
  • Structural contraction of the domestic apparel market due to the declining birthrate and aging population, and the need to respond to shifting consumer preferences
  • Risk of regional concentration following the U.S. withdrawal in overseas operations, and exposure to economic and foreign exchange fluctuations across Asian countries

Last updated: May 26, 2026