WA, Inc.
7683・Prime Market・Retail Trade
Women's Footwear Planning & Sales Business
A core business accounting for approximately 88% of consolidated net sales, engaged in the planning and sale of women's footwear through a multi-brand strategy.
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment net sales (Q1 FY2027, ending January 2027) | ¥4,020 million | ¥4,300 million (Q1 FY2026, ending January 2026) | ↓ |
| Segment profit (Q1 FY2027, ending January 2027) | ¥62 million | ¥553 million (Q1 FY2026, ending January 2026) | ↓ |
| Segment profit margin (Q1 FY2027, ending January 2027) | 1.5% | 12.9% (Q1 FY2026, ending January 2026) | ↓ |
| YoY change in net sales | -6.5% | - | ↓ |
| YoY change in segment profit | -88.8% | - | ↓ |
Business Details
This business covers the entire value chain, from the planning and development of proprietary products based on domestic and overseas fashion trends, to outsourced manufacturing at partner factories, and sales through domestic physical stores, EC, and overseas stores. The company operates multiple brands including ORiental TRaffic (ORTR), WA ORiental TRaffic, Himiko, and NICAL, and has built a sales channel combining store openings in station buildings, large-scale shopping centers, and department stores with Online Sales (In-house EC & Major EC Malls). The company is simultaneously pursuing expansion of online sales driven by TV commercials for its sports brand (ORTR) and a review of promotional measures at physical stores.
Recent Overview
While online sales performed well due to TV commercials, segment profit declined 88.8% year-on-year due to a review of promotional measures at physical stores and increased costs.
In Q1 FY2027 (ending January 2027) (February to April 2026), online sales performed well due to TV commercials for the sports brand (ORTR), but this was offset by a decline in sales resulting from a review of promotional measures at physical stores, resulting in net sales of ¥4,020 million (down 6.5% year-on-year). In addition, expenses increased due to higher costs associated with store openings and renovations, as well as advertising expenses related to the TV commercials, resulting in a substantial decline in segment profit to ¥62 million (down 88.8% year-on-year).
Key Products
Growth Drivers
- Continued expansion of online sales supported by expanded ORTR brand recognition from TV commercials
- Recovery in sales following the review of promotional measures at physical stores
- Recovery in store sales following the completion of flagship store renewals and renovations
- Recovery in occasion-related demand (normalization of socioeconomic activity)
- Strengthening of brand power through the transfer of NICAL into the Himiko brand
- Capturing inbound demand and expanding BtoB sales channels
Risks
- Decline in profit margin due to increased advertising and promotional expenses, including TV commercial costs
- Temporary loss of sales opportunities due to the review of promotional measures at physical stores
- Rising procurement costs and logistics costs due to the continued weak yen
- Increased labor costs due to wage increases
- Weak overseas business performance due to economic deterioration affecting the Hong Kong subsidiary
- Temporary increase in costs associated with store renewals and renovations
- Trend of overall market contraction in the footwear industry
Last updated: April 27, 2026