TOKYO BASE Co.,Ltd.
3415・Prime Market・Retail Trade
Apparel Sales Business (Company-wide)
A single-segment fashion retail business under the banner of "Taking Japan to the World"
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales (Q1 cumulative) | ¥6,134 million | ¥4,941 million | ↑ |
| Net sales, year-on-year change | +24.1% | +3.6% | ↑ |
| Gross profit (Q1 cumulative) | ¥3,285 million | ¥2,691 million | ↑ |
| Gross profit margin (Q1 cumulative) | 53.5% | 54.5% | ↓ |
| Operating profit (Q1 cumulative) | ¥416 million | ¥378 million | ↑ |
| Operating profit margin (Q1 cumulative) | 6.8% | 7.6% | ↓ |
| Ordinary profit (Q1 cumulative) | ¥480 million | ¥254 million | ↑ |
| Quarterly net income attributable to owners of parent (Q1 cumulative) | ¥235 million | ¥190 million | ↑ |
| Number of stores at period end (physical stores) | 100 stores (99 domestic, 14 overseas) | 94 stores (end of FY2026, ending January 2026) | ↑ |
| Total number of stores at period end (including EC) | 113 stores | 104 stores | ↑ |
| Company-wide same-store sales, year-on-year (Q1) | 106.1% | 111.1% (full year) | ↓ |
| Full-year net sales forecast | ¥28,000 million | ¥23,734 million | ↑ |
| Full-year operating profit forecast | ¥2,500 million | ¥1,956 million | ↑ |
Business Details
A single reportable segment operating multiple formats including STUDIOUS, UNITED TOKYO, and THE TOKYO. The company builds a brand portfolio combining select merchandise and original Japan-made products, targeting fashion-conscious customers in their 20s to 50s both domestically and overseas. It operates through both physical stores (99 domestic, 14 overseas) and e-commerce (proprietary site and ZOZOTOWN) as sales channels, with growth pillars centered on capturing inbound demand and expanding overseas store openings. In FY2027 (ending January 2027), the company launched a new format, KEY TIMEZ, and is also advancing expansion into a fifth overseas country.
Recent Overview
Q1 sales grew strongly by 24.1%, driven by the launch of the new format KEY TIMEZ and rapid expansion of inbound demand
Net sales for Q1 of FY2027 (ending January 2027) (February to April 2026) were ¥6,134 million (up 24.1% year on year). Physical stores in the Japan business grew significantly, up 121.4% year on year, while inbound sales expanded rapidly, up 147.4% year on year. The new format KEY TIMEZ opened 6 stores during Q1. Overseas business also continued to grow, up 137.2% year on year. E-commerce performed well, with proprietary EC up 126.5% and ZOZO up 154.9%. On the other hand, due to the impact of launching new formats, gross profit margin declined slightly to 53.5% (down 1.0 percentage point year on year). Ordinary profit improved significantly to ¥480 million (up 89.1% year on year) due to an increase in foreign exchange gains and the elimination of foreign exchange losses. An impairment loss of ¥36 million related to the closure of physical stores was recorded as an extraordinary loss. There is no change to the full-year earnings forecast (net sales of ¥28,000 million and operating profit of ¥2,500 million).
Key Products
Growth Drivers
- Continued expansion of inbound demand (Q1 physical store inbound sales up 147.4% year on year)
- Aggressive new store openings both domestically and overseas (12 stores opened during Q1, net increase of 10 stores, 113 stores at period end)
- Launch of the new format KEY TIMEZ (6 stores opened during Q1, with greater contribution expected going forward)
- Continued high growth of new formats such as CONZ (up 165.0% year on year), JAPAN EDITION (up 160.9% year on year), and RITAN (up 73.3% year on year)
- Strong same-store sales for the THE TOKYO format (same-store sales at 121.6% year on year)
- Expansion of the e-commerce business (proprietary EC up 126.5%, ZOZO up 154.9%)
- Continued growth of overseas business (up 137.2% year on year, with smooth expansion in Asia including the first store in Seoul, South Korea)
- Advancing expansion into a fifth overseas country (planned for FY2027, ending January 2027)
- Strengthened foreign exchange risk hedging through the use of forward contracts (significant improvement effect on Q1 ordinary profit)
- Strengthened demand capture through 5-season merchandising and enhanced real-time product supply systems
Risks
- Shrinking market size due to Japan's declining birthrate, aging population, and population decline
- Deterioration in consumer sentiment due to persistently high energy and raw material costs
- Risk of lost sales opportunities for seasonal products due to climate change (physical stores struggled with summer and peak-summer demand in the latter half of Q1)
- Impact of foreign exchange fluctuations on non-operating income and expenses (hedged through forward contracts, etc.)
- Risk of workforce dilution due to a large number of new store openings (affected Q1 same-store sales, which were 100.4% year on year)
- Rising difficulty in securing personnel and increasing labor costs
- Risk of declining gross profit margin due to the launch of new formats (Q1 gross profit margin of 53.5%, down 1.0 percentage point year on year)
- Sluggish same-store sales for the PUBLIC TOKYO format (Q1 same-store sales at 83.9% year on year)
- Political risks in the Chinese market and the possibility of a resurgence in weak consumer spending
- Risk of deteriorating gross profit margin due to failed inventory control (ZOZO time sales continuing to clear remaining inventory from the previous period)
- Uncertainty in the business environment due to monetary policy trends and geopolitical risks in various countries
Last updated: April 22, 2026