Gyet Co., Ltd.
7603・Standard Market・Retail Trade
Gyet Co., Ltd. (single segment: apparel and other retail business)
Casual apparel retail business operating a nationwide chain (single segment)
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (cumulative Q1) | ¥4,023 million | – (not disclosed for the same quarter of the prior year as consolidated financial statements were not prepared) | — |
| Operating loss (cumulative Q1) | △¥483 million | – (not disclosed for the same quarter of the prior year as consolidated financial statements were not prepared) | — |
| Ordinary loss (cumulative Q1) | △¥387 million | – | — |
| Quarterly net income attributable to owners of the parent (cumulative Q1) | ¥200 million | – | — |
| Gross profit margin (cumulative Q1) | 47.4% (gross profit ¥1,907 million / revenue ¥4,023 million) | – | — |
| Number of group stores at period end | 243 stores (Gyet 169 stores + Koen 74 stores) | 250 stores (end of FY2025 (ended February 2025), Gyet standalone) | ↑ |
| Total assets | ¥10,402 million | – (not disclosed as consolidated financial statements for the prior period were not prepared) | — |
| Net assets | ¥3,158 million | ¥1,797 million (FY2026 (ending February 2026), standalone) | ↑ |
| Equity ratio | 30.3% | – | — |
| Quarterly net income per share | ¥3.43 | – | — |
| Number of shares issued (period end) | 75,847,638 shares | 25,747,638 shares (end of FY2026 (ending February 2026)) | ↑ |
Business Details
The company mainly handles casual apparel for men, women, and kids, operating chain stores nationwide as well as selling through its online store. From the first quarter of FY2027 (ending February 2027), Koen Co., Ltd. (74 stores) and AI Operations Co., Ltd. were added to the scope of consolidation, expanding the group to a total of 243 stores. The strategic pillars are product development centered on private brands and the creation of new revenue sources such as the Buyback Business and the Kurufuku Business.
Recent Overview
First quarterly consolidated results following Koen's consolidation, with negative goodwill gain of ¥664 million recorded as extraordinary income
From the first quarter of FY2027 (ending February 2027) (March–May 2026), Koen Co., Ltd. and AI Operations Co., Ltd. were added to the scope of consolidation, and the company prepared its first quarterly consolidated financial statements. Revenue was ¥4,023 million, operating loss was ¥483 million, and ordinary loss was ¥387 million; however, a negative goodwill gain of ¥664 million (provisional figure) arising from the acquisition of Koen was recorded as extraordinary income, securing quarterly net income attributable to owners of the parent of ¥200 million. On a standalone basis, Gyet closed 11 stores, bringing its store count to 169, while the group total stood at 243 stores. Exercise of the 12th series of stock acquisition rights issued via third-party allotment continued, increasing both capital stock and capital reserve by ¥501 million each. The material event related to going concern assumptions—stemming from eight consecutive fiscal years of operating losses through the previous fiscal year—continues to exist, but the company has judged that no material uncertainty currently exists. The full-year earnings forecast (revenue of ¥20,300 million, operating income of ¥350 million) remains unchanged.
Key Products
Growth Drivers
- Expansion of revenue scale and strengthening of business foundation through the consolidation of Koen Co., Ltd. (74 stores)
- Diversification of revenue sources by capturing the reuse market through new entry into the Buyback Business
- Creation of new sales opportunities through expansion of the Kurufuku Business (mobile sales for elderly and welfare facilities)
- Improved operational efficiency, faster decision-making, and enhanced customer experience through company-wide rollout of AI reskilling training
- Cultivation and expanded sales of core items (MyDeni, SA, RA, RI series, etc.) and strengthening of IP strategy
- Securing asset management income through investment of held BTC (approximately 124.8 BTC) in a BTC-denominated fund
- Continued improvement of profitability through closure or subleasing of unprofitable stores
- Capital enhancement and strengthening of the financial base through continued exercise of stock acquisition rights issued via third-party allotment
Risks
- Existence of a material event related to going concern assumptions, stemming from eight consecutive fiscal years of operating losses through the previous fiscal year
- Fragile financial base due to retained earnings deficit of △¥6,559 million (at Q1 end) and accumulated losses
- Insufficient core business profitability, as indicated by an operating loss of ¥483 million (Q1) and a high level of SG&A expenses (¥2,391 million)
- Risk of share dilution from continued exercise of stock acquisition rights with exercise price adjustment provisions (number of shares issued increased approximately threefold compared to the end of the prior period)
- The negative goodwill gain of ¥664 million arising from Koen's consolidation is a provisional figure and may change once finalized
- Rising procurement costs due to yen depreciation, higher raw material and logistics costs, and continued frugal consumer spending
- Market price fluctuation risk associated with holding crypto assets (BTC) and fund investments
- Risk of fluctuating demand for casual wear due to climate change and unusual weather
- Pressure on revenue scale from the continued decline in Gyet's standalone store count (169 stores)
Last updated: May 22, 2026