Kairikiya Co., Ltd.
5891・Standard Market・Retail Trade
Restaurant Business (Single Segment)
Multi-brand restaurant business centered on "Kyoto Kitashirakawa Ramen Kairikiya"
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (Q1 FY2026 (ending December 2026), consolidated) | ¥5,790 million | – (no year-over-year comparison) | — |
| Operating profit/loss (Q1 FY2026 (ending December 2026), consolidated) | -¥15 million | – (no year-over-year comparison) | — |
| Operating profit before goodwill amortization (Q1 FY2026 (ending December 2026), consolidated) | ¥100 million | – (no year-over-year comparison) | — |
| EBITDA (Q1 FY2026 (ending December 2026), consolidated) | ¥218 million | – (no year-over-year comparison) | — |
| Ordinary profit/loss (Q1 FY2026 (ending December 2026), consolidated) | -¥56 million | – (no year-over-year comparison) | — |
| Quarterly net profit/loss attributable to owners of parent (Q1 FY2026 (ending December 2026), consolidated) | -¥135 million | – (no year-over-year comparison) | — |
| Total assets (consolidated) | ¥16,816 million | ¥9,682 million (end of December 2025) | ↑ |
| Net assets (consolidated) | ¥4,901 million | ¥5,163 million (end of December 2025) | ↓ |
| Equity ratio (consolidated) | 29.1% | 53.3% (end of December 2025) | ↓ |
| Revenue (full-year forecast, FY2026 (ending December 2026), consolidated) | ¥24,500 million (+66.4% YoY) | ¥14,722 million (FY2025 (ending December 2025)) | ↑ |
| Operating profit (full-year forecast, FY2026 (ending December 2026), consolidated) | ¥750 million (-1.9% YoY) | ¥765 million (FY2025 (ending December 2025)) | ↓ |
| Goodwill amortization (Q1 FY2026 (ending December 2026)) | ¥116 million | – (no year-over-year comparison) | — |
| Depreciation and amortization (Q1 FY2026 (ending December 2026)) | ¥118 million | – (no year-over-year comparison) | — |
Business Details
The company's core product is "Kyoto Backfat Soy Sauce Ramen," based on soy sauce and chicken bone broth with pork backfat added, deployed primarily in suburban roadside locations and commercial facility food courts. In January 2026, the company made MP Kitchen Holdings Co., Ltd., which operates "Mita Seimenjo," a wholly owned subsidiary, expanding to a four-company structure comprising Kairikiya, Grand Cuisine, Taiwan Kairikiya, and MP Kitchen Holdings. The company plans to transition to a pure holding company structure (SAKIGAKE Holdings Co., Ltd.) by around July 2026.
Recent Overview
Total assets doubled following the MP Kitchen Holdings acquisition; operating loss recorded in Q1
In January 2026, the company made MP Kitchen Holdings (Mita Seimenjo) a wholly owned subsidiary for ¥5,000 million (funded by borrowing). As a result, total assets surged from ¥9,682 million to ¥16,816 million, and the goodwill balance expanded to ¥6,793 million (from ¥863 million at the end of the prior fiscal year). Long-term borrowings (current and non-current combined) reached ¥8,564 million, and the equity ratio declined from 53.3% to 29.1%. In Q1, the company recorded revenue of ¥5,790 million, but due to burdens including goodwill amortization of ¥116 million and interest expense of ¥34 million, it recorded an operating loss of ¥15 million and a net loss of ¥135 million. In March, the company implemented a grand menu renewal and price revision. The company plans to transition to a pure holding company structure (SAKIGAKE Holdings Co., Ltd.) by around July 2026. The full-year earnings forecast remains unchanged (revenue of ¥24,500 million, operating profit of ¥750 million).
Key Products
Growth Drivers
- Significant expansion in revenue scale through making MP Kitchen Holdings (Mita Seimenjo, 70 directly-operated stores) a wholly owned subsidiary (full-year revenue forecast of ¥24,500 million, +66.4% YoY)
- Expansion of ramen market share through full-scale deployment of the multi-brand strategy (three-brand structure of Kairikiya, Grand Cuisine, and Mita Seimenjo)
- Full-scale Asian expansion through accelerated store openings by Taiwan Kairikiya (2nd and 3rd stores opened in Taichung and Taipei in January 2026)
- Continued new store openings for directly-operated and franchise stores (one directly-operated store and one franchise store opened in Q1 2026, bringing Kairikiya to 187 stores)
- Improved average customer spending through the March price revision, and strengthened customer acquisition through app member coupon initiatives
- Enhanced group management sophistication and increased agility for M&A and overseas expansion through the transition to a pure holding company structure (SAKIGAKE Holdings)
- Realization of group synergies through shared supply chains and platformization of business management
Risks
- The 15-year amortization burden of ¥6,044 million (provisional figure) in goodwill from the MP Kitchen Holdings acquisition continues to weigh on operating profit (Q1 goodwill amortization of ¥116 million; full-year forecast shows a gap of ¥450 million between operating profit before goodwill amortization of ¥1,200 million and operating profit of ¥750 million)
- Rapid rise in financial leverage due to ¥5,000 million in borrowings (equity ratio declined from 53.3% to 29.1%) and increased interest expense burden (¥34 million in Q1)
- Purchase price allocation for goodwill has not been finalized (provisional figure), creating risk that the amount may change once finalized
- Cost pressure from persistently high raw material prices, utility costs, and construction costs (cost of sales ratio of 30.9%)
- Rising labor costs including minimum wage revisions (salaries and allowances are the largest SG&A item at ¥1,669 million per quarter)
- Impact on restaurant demand from declining real wages and reduced consumer spending appetite due to rising consumer prices
- Organizational restructuring costs and operational risks associated with the transition to a holding company structure (planned for July 2026)
- Ongoing risk of impairment losses (¥156 million recorded in FY2025 (ending December 2025)) and risk of delayed profitability at newly acquired subsidiary stores
- Further deterioration in procurement costs due to geopolitical risks and rising resource and energy prices
Last updated: March 24, 2026