OM2Network Co.,Ltd.
7614・Standard Market・Retail Trade
Business
OM2 Network Co., Ltd. is a meat specialty retail and food service group founded in 1958. In the Meat and Related Products Retail Business (approximately 73% of net sales), the company operates 148 stores nationwide (138 Meat Retail Stores and 10 Prepared Foods Retail Stores) through OM2 Meat Co., Ltd., Marucho Kobeya Co., Ltd., and Ota Sogo Shokuhin Co., Ltd. In the Food Service Business, the company operates a total of 49 stores through Yakiniku no Gyuta Co., Ltd. (30 Yakiniku & Shabu-Shabu Restaurants), OM2 Dining Co., Ltd. (9 Outback Steakhouse locations), and Yuwa Co., Ltd. (10 Yakiniku Restaurants). Through upstream collaboration via its parent company, S Foods Inc., the company has built a supply chain spanning from production areas to consumers. Listed on the Standard Market of the Tokyo Stock Exchange.
Business Model
In the Meat Retail Business, the company operates as a tenant in shopping centers and other facilities developed by real estate developers, selling fresh, in-store-processed meat and prepared foods to general consumers. Cost competitiveness is secured through upstream collaboration with parent company S Foods Inc. and equity-method affiliate Foodrier Co., Ltd. In the Food Service Business, the company operates Yakiniku & Shabu-Shabu Restaurants (Yakiniku no Gyuta Co., Ltd.) and Steak Restaurants (OM2 Dining Co., Ltd.), implementing cost control by leveraging the group's meat procurement capabilities. Working capital and capital expenditures are funded through internal resources, maintaining financial soundness.
Company Strengths
Major domestic and overseas meat wholesalers, including parent company S Foods Inc., are among the shareholders, and the company also collaborates with equity-method affiliate Foodlier Co., Ltd. (processed meat product manufacturing). By directly procuring domestic beef and pork from Hokkaido pig farms and designated Tohoku farms, and building a supply chain from production areas to consumers, the company has secured cost competitiveness that is advantageous compared to other companies.
As of the end of FY2025 (ending January 2025), the equity ratio stood at 78.1%, with interest-bearing debt limited to ¥507 million in long-term borrowings (including the current portion due within one year), while cash and cash equivalents amounted to ¥9,618 million. The company maintains a financial base close to virtually debt-free management, giving it flexible investment capacity for M&A and new store openings.
The company has continuously expanded its group through M&A, including Marucho Kobeya Co., Ltd. in March 2021, Ota Sogo Shokuhin Co., Ltd. (6 Meat Retail Stores) in September 2024, and Yuwa Co., Ltd. (10 Yakiniku Restaurants) in January 2025. As of the end of January 2025, the company had built a network of 197 stores in total, comprising 148 Meat Retail Stores and 49 Food Service Business outlets, executing selective M&A that generates synergies with its meat-related business.
ENVALITH's Perspective
Performance Trend
Revenue maintained a moderate expansion trend, rising from ¥29,724 million in FY2022 to ¥35,371 million in FY2026. Operating profit, however, peaked at ¥1,876 million in FY2024 and then declined for two consecutive periods, to ¥1,475 million in FY2025 and ¥1,296 million in FY2026. In Q1 of FY2027 (fiscal year ending January 2027), the company reported revenue of ¥8,840 million (+2.3% year-on-year) and operating profit of ¥404 million (+24.4% year-on-year), marking a sharp turnaround to profit growth. While external factors such as rising raw material and energy prices and higher labor costs continued to pressure profits, the capture of inbound tourism demand and large-party demand in the Food Service Business, along with an increase in equity-method investment gains (from ¥13 million in the same period last year to ¥49 million this period), pushed up ordinary profit. Progress toward achieving the full-year forecast (operating profit of ¥1,450 million, +11.9% year-on-year) is on track.
Growth Strategy
Aiming to become Japan's No. 1 in meat retail through group expansion via meat-related M&A and the development of new business formats and large-format stores
Promoting store expansion through initiatives with new developers. In the first quarter of FY2027 (ending January 2027), one store opened and one store closed, maintaining 150 stores at quarter-end. Development of large-format stores and new business formats is also progressing in parallel, aiming to strengthen competitiveness in existing trading areas.
Deploying a model in which products are supplied from parent stores to surrounding delivery outlets, achieving reductions in logistics costs and stabilization of product supply. This initiative continues to be promoted as a measure aimed at addressing labor shortages while improving profitability.
While continuing to operate 10 Prepared Foods Retail Stores, efforts are underway to develop and promote new business formats incorporating eat-in space. The company is pursuing higher average customer spending and differentiation by expanding prepared food products that leverage its expertise in meat.
Continuing to expand earnings contribution through the normalization of profit/loss consolidation from existing consolidated subsidiaries such as Yuwa Co., Ltd., while also continuing to acquire new companies to join the group through meat-related M&A. In the first quarter of FY2027 (ending January 2027), the normalization of Yuwa Co., Ltd. contributed to increased profit in the Food Service Business.
Actively capturing inbound customer demand and large-party demand from corporations and groups in the Steak Restaurants, Yakiniku, and Shabu-Shabu business formats. Results are evident, with Food Service Business sales in the first quarter of FY2027 (ending January 2027) up 7.3% year on year.
Last updated: July 17, 2026