Saint Marc Holdings Co., Ltd.

Business Details

Operates a diverse range of dining formats including Bakery Restaurant Saint Marc, Bakery Restaurant Baguette, Kamakura Pasta, Sushidokoro Hakodate Ichiba, Kobe Motomachi Doria, Gyukatsu Kyoto Katsugyu, and Gyukatsu Motomura. While strengthening the capture of inbound demand and overseas expansion, the company is promoting the development of derivative formats for Kamakura Pasta and the domestic and overseas rollout of gyukatsu set-meal formats. As of the end of FY2026 (ending March 2026), the company operated 486 directly-managed stores and 50 franchise stores, for a total of 536 stores.

Recent Overview

Achieved substantial increases in both revenue (up 35.9% year-on-year) and operating income (up 17.3% year-on-year)

In FY2026 (ending March 2026), the Restaurant Business achieved net sales of ¥59,970 million (up 35.9% year-on-year) and operating income of ¥4,468 million (up 17.3% year-on-year). The main driver was the full-year consolidation contribution from the M&A of the two major gyukatsu brands. Of the 34 stores opened during the fiscal year (group-wide), the Restaurant Business accounted for the majority, with the fiscal year-end store count reaching 486 directly-managed stores and 50 franchise stores, for a total of 536 stores. Goodwill amortization expense rose sharply to ¥1,732 million from ¥433 million in the prior year. Segment assets decreased by ¥5,790 million year-on-year due to progress in the amortization of goodwill and trademark rights.

Key Products

Growth Drivers

• Continued aggressive domestic and overseas store openings for Gyukatsu Kyoto Katsugyu and Gyukatsu Motomura (103 stores for Kyoto Katsugyu, 36 stores for Gyukatsu Motomura, with overseas expansion also being promoted)
• Strengthening product appeal through the expansion of Kamakura Pasta derivative formats (Teppan no Spaghetti, Odashimon) and grand menu renewal
• Expanding the sales base through capturing inbound demand and overseas franchise expansion of the gyukatsu brands
• Steady business performance and continued store openings for Bakery Restaurant Baguette (72 directly-managed stores)
• Strengthening the customer base and increasing brand awareness and usage frequency for each format through the introduction of a group-integrated app
• Leveraging the "Kyoto brand" and accelerating global expansion following the relocation of head office functions to Kyoto in May 2026

Risks

• Ongoing amortization burden and impairment risk related to the goodwill balance (¥15,158 million) and trademark rights acquired through the gyukatsu business M&A (impairment loss of ¥263 million for the fiscal year)
• Depreciation and amortization increased substantially from ¥1,675 million in the prior year to ¥3,787 million in the current year, continuing to be a factor pressuring profits
• Profit pressure from rising raw material and energy costs and higher labor costs (procurement value up 49.0% year-on-year to ¥17,510 million)
• Risk of recording losses on disposal of fixed assets and impairment losses associated with continued consolidation of unprofitable stores (Bakery Restaurant Saint Marc, Taiwanese soup dumplings, etc.)
• Rising procurement costs and weakening consumer sentiment due to yen depreciation and geopolitical risks (US trade policy, Middle East, Russia-Ukraine situation)
• Impact on customer traffic and average spending per customer from increasing consumer thrift amid rising prices