BRONCO BILLY Co.,LTD.

Business Details

Founded in 1978, the company's core business is the suburban steak and hamburg steak restaurant chain "Bronco Billy," alongside a tonkatsu (breaded pork cutlet) business format "Katsumasa" and others (operated by subsidiary Le Vent Co., Ltd.), and an izakaya (Japanese-style pub) format "Shigiya." All stores are company-operated, with a total of 162 stores (as of end-March 2026) across the Tokai, Kanto, Kansai, and Kyushu regions. Centered on steak and hamburg steak dishes using Australian and U.S. beef along with a salad bar, the company's source of competitive advantage lies in the integrated ingredient procurement and manufacturing system operated by subsidiary Matsuyaei Foods Co., Ltd.

Recent Overview

Q1 2026 achieved substantial growth with net sales up 13.1% and operating income up 93.5%

For Q1 of FY2026 (ending December 2026) (January to March 2026), net sales were ¥8,241 million (up 13.1% year on year), operating income was ¥1,031 million (up 93.5% year on year), ordinary income was ¥1,037 million (up 87.6% year on year), and quarterly net income attributable to owners of parent was ¥693 million (up 85.9% year on year), achieving substantial growth in both revenue and profit across all metrics. The main driver was the continuation, from January onward, of the repeat-visit effect from the "140-Store Milestone Thanksgiving Festival," held for three consecutive months starting in October of the previous year. The company opened one new store in Fukuoka Prefecture, bringing the group total to 162 stores. Additionally, on April 10, 2026, the company announced the acquisition of shares in Asahi Meat Co., Ltd. (making it a subsidiary); the impact on consolidated results is expected to be minor, but the earnings outlook is still under review. The full-year earnings forecast (net sales of ¥33,000 million, operating income of ¥3,000 million) remains unchanged.

Key Products

Growth Drivers

• Repeat-visit effect and increased customer traffic from promotional measures such as the "140-Store Milestone Thanksgiving Festival" (continuing into Q1 2026)
• Aggressive new store openings in the Kanto, Kansai, and Kyushu regions to expand trade areas (including first store opening in Fukuoka Prefecture)
• Improved average customer spend and customer traffic through menu lineup renewal and renovations in the tonkatsu format (Katsumasa, etc.)
• Strengthened intra-group ingredient supply system and improved product quality through Matsuyaei Foods' manufacturing line expansion and capital investment for sales channel expansion
• Generally solid trend in dining-out demand, including expanding inbound demand
• Further strengthening of ingredient procurement and manufacturing systems through the consolidation of Asahi Meat Co., Ltd. as a subsidiary (impact currently under review)

Risks

• Profit pressure from continued increases in labor costs, energy costs, and raw material costs
• Rising recruitment and retention costs and impact on store operations due to chronic labor shortages
• Risk of rising procurement costs for imported beef (Australian and U.S.) due to fluctuations in U.S. trade policy and exchange rates
• Downward pressure on customer traffic and average spending due to strengthening consumer thrift-mindedness
• Uncertainty in raw material procurement and cost environment due to heightened geopolitical risks in Europe and the Middle East
• Risk of impairment of tangible fixed assets at stores (due to changes in business plans and market conditions)