ITOCHU Corporation
8001・Prime Market・Wholesale Trade
Textile
A living and consumer segment that operates globally, spanning from textile raw materials to apparel and brand businesses
| Period | Current | Previous | Change |
|---|---|---|---|
| Total revenue | ¥686,379 million | ¥636,995 million | ↑ |
| Gross profit | ¥204,277 million | ¥168,966 million | ↑ |
| Operating income | ¥28,584 million | ¥25,087 million | ↑ |
| Net income attributable to ITOCHU | ¥43,302 million | ¥73,831 million | ↓ |
| Share of profit of investments accounted for using the equity method | ¥20,707 million | ¥10,213 million | ↑ |
| Segment assets | ¥751,865 million | ¥782,083 million | ↓ |
Business Details
Operates globally on an integrated basis from upstream to downstream, covering textile raw materials, yarns, and fabrics through to apparel and fashion accessories. The segment holds sports brands (Descente, Dome), fashion brands (Relien, Edwin), and Asia-oriented textile operations (ITOCHU Textile Prominent (ASIA) Ltd.) under its umbrella. It also promotes overseas expansion of brand businesses and the broadening of sales channels, including internet sales in the retail domain. This segment represents the founding business of the ITOCHU Group and embodies the downstream-oriented "market-in" concept.
Recent Overview
Gross profit and operating income increased substantially, but net income declined sharply year on year due to the disappearance of a one-time gain
In the Textile segment for FY2026 (ending March 2026), business earnings expanded solidly, with total revenue of ¥686,379 million (up ¥49,384 million year on year), gross profit of ¥204,277 million (up ¥35,311 million), and operating income of ¥28,584 million (up ¥3,497 million). On the other hand, net income attributable to ITOCHU fell sharply to ¥43,302 million, down ¥30,529 million from ¥73,831 million in the prior year. This was mainly due to the reversal of a one-time revaluation gain recorded in the third quarter of the prior year in connection with the full consolidation of Descente. Selling, general and administrative expenses also increased due to the full consolidation of Descente. Share of profit of investments accounted for using the equity method increased to ¥20,707 million from ¥10,213 million in the prior year.
Key Products
Growth Drivers
- Deepened management involvement and maximization of synergies through the full consolidation of Descente Ltd. (strengthening of directly operated businesses, product development, and marketing across Japan, South Korea, and China)
- Steady expansion of apparel-related businesses centered on overseas sports operations
- Diversification of the earnings base through the expansion of the brand portfolio, including LeSportsac and others
- Acceleration of brand business development in Asian markets (China, South Korea, etc.)
- Deepening of the downstream business through the expansion of digital sales channels such as internet sales
Risks
- Risk of deteriorating profitability in the brand business, as seen in the impairment loss recorded at Dome Corporation
- Rebound decline in net income due to the disappearance of the revaluation gain (one-time profit) associated with the full consolidation of Descente (already materialized in FY2026, ending March 2026)
- Impact on Descente's China operations from weak domestic demand and a sluggish real estate market in China
- Reduction in yen-converted overseas earnings due to yen appreciation
- Impact on the global supply chain and increased expenses due to strengthened U.S. import tariffs
- Pressure on profit from a structural increase in selling, general and administrative expenses associated with the full consolidation of Descente
Last updated: June 12, 2026