RIDE ON EXPRESS HOLDINGS Co.,Ltd.

Business Details

Under the theme of making home life "more delicious and more convenient," the company operates a chain of Ginnosara (Delivery Sushi), Kamatora (Delivery Gozen), and Sushi Joto (Delivery Sushi) through directly-owned and franchise stores. As of the end of FY2026 (ending March 2026), the company operated 695 stores and 352 locations nationwide. The company pursues revenue efficiency through One to One marketing leveraging its customer database and CRM, as well as a "complexification strategy" of operating multiple brands from a single location.

Recent Overview

The menu revision and 25th anniversary initiatives proved successful, with ordinary profit improving substantially, up 76.9% year on year

In FY2026 (ending March 2026), the company achieved net sales of ¥23,833 million (up 1.9% year on year), operating profit of ¥879 million (up 12.6% year on year), and ordinary profit of ¥1,277 million (up 76.9% year on year). The April 2025 menu revision contributed to improved productivity and reduced selling, general and administrative expenses. Investment gains of ¥592 million from the operation of the investment partnership "Ride On Estart No. 1 Investment Limited Partnership," a consolidated subsidiary, significantly boosted ordinary profit. On the other hand, the company recorded a valuation loss on investment securities of ¥178 million and an impairment loss of ¥109 million. The earnings forecast for FY2027 (ending March 2027) was left undetermined due to uncertainty over cost outlook stemming from the situation in the Middle East.

Key Products

Growth Drivers

• Improved productivity and revenue per unit resulting from the menu revision implemented in April 2025 (substantial revision of product content and selling prices)
• Enhanced customer engagement through the Ginnosara 25th anniversary project (25 initiatives conducted throughout 2025)
• Structural expansion of demand for prepared meals against a backdrop of an aging population, increasing single-person households, and increasing dual-income households
• Promotion of repeat usage among existing customers through the proprietary Deli Point program and CRM utilization (official website and app membership surpassed 4.5 million)
• Development of new customer segments and improved convenience through the rollout of stores with attached takeout counters
• Efficiency gains in equipment, labor, and promotional costs through the "complexification strategy" of operating multiple brands from a single location
• Generation of investment gains through investment partnerships (the Estart series)

Risks

• Risk of rising procurement prices for key ingredients (such as tuna), packaging materials, and paper materials due to surging crude oil and fuel prices amid escalating tensions in the Middle East (a primary reason the FY2027 (ending March 2027) earnings forecast has been left undetermined)
• Risk of deteriorating cost ratios due to soaring procurement prices (stemming from depletion of marine resources, international catch restrictions, yen depreciation, and rising resource prices)
• Rising customer acquisition costs and price competition due to intensifying competition (including from food delivery platforms)
• Increased store operating costs due to hiring difficulties and rising labor costs amid a declining working-age population
• Deterioration of consumer sentiment and downward pressure on personal consumption due to continued price increases
• Risk of economic downturn due to the impact of US trade policy and other factors
• Risk of impairment losses on directly-owned stores (¥109 million recorded in FY2026, ending March 2026)
• Increase in interest-bearing debt (equity ratio declined from 61.8% to 58.1% due to new long-term borrowings of ¥2,000 million)
• Risk of valuation losses on investment securities (¥178 million recorded in FY2026, ending March 2026)