GOLDWIN INC.

Business Details

The Group is composed of a single segment, the Sporting Goods Business. It plans, manufactures, and sells brand products across Outdoor-related (mountaineering, marine), Athletic-related (training, swim, rugby, golf), and Winter-related (ski, snowboard) categories. Domestic sales account for over 90% of revenue, and the Group pursues brand marketing centered on directly-operated stores. It also pursues overseas expansion through its equity-method affiliate YOUNGONE OUTDOOR Corporation (South Korea). In FY2026 (ending March 2026), net sales renewed their all-time high for the fifth consecutive fiscal year, and operating profit also reached a record high.

Recent Overview

Net sales, operating profit, and ordinary profit renewed record highs, while net profit declined slightly

In FY2026 (ending March 2026), net sales reached ¥137,516 million (up 3.9% year on year), renewing the all-time high for the fifth consecutive fiscal year. Through discount control and improved product mix, the gross profit margin improved to 53.0% (up 0.9pt year on year), and operating profit of ¥25,859 million (up 18.1% year on year) and ordinary profit of ¥33,904 million (up 10.1% year on year) both reached record highs. On the other hand, the Group recorded an extraordinary loss of ¥1,075 million from loss on sale of investment securities, and income taxes increased 38.4% year on year to ¥7,979 million, resulting in profit attributable to owners of parent of ¥24,094 million (down 1.4% year on year), a slight decline. In the autumn-winter sales season, headwinds included the warmer-than-usual winter, structural changes in inbound consumption from mainland China, and stricter customer response to cumulative price revisions; however, in the fourth quarter the Group restrained discount sales, prioritizing maintenance of brand value. The Chinese subsidiary achieved a turn to profitability. For FY2027 (ending March 2027), the Group forecasts net sales of ¥145,400 million and operating profit of ¥26,100 million.

Key Products

Growth Drivers

• THE NORTH FACE's strategy of returning to its roots as a performance brand (strengthening SUMMIT SERIES, expanding new lines such as the VECTIV footwear series)
• Accelerated overseas expansion of the Goldwin brand (achievement of profitability at the Chinese subsidiary, local establishment of a per-store profitability improvement model)
• Sustained improvement in gross profit margin through discount control and improved product mix (53.0% in FY2026, ending March 2026, up 0.9pt year on year)
• Enhanced customer engagement through expansion of the directly-operated store network and strengthened brand experience and presentation capabilities
• Strengthening of the experience-based service business through the newly consolidated Alpine Tour Service Co., Ltd.
• Expansion of the overseas business foundation through the newly consolidated GOLDWIN LONDON LIMITED and Nanamica (Shanghai) Trading Co., Ltd.
• Operating leverage achieved through disciplined management of selling, general and administrative expenses (limited to a 0.1% year-on-year increase in FY2026, ending March 2026)

Risks

• Risk of weak sales of outerwear and insulation-focused products (down jackets, ski-related items) due to a warmer winter and climate change (materialized from December onward in FY2026, ending March 2026)
• Structural change in inbound consumption from mainland China (clear slowdown in duty-free sales growth at major directly-operated stores from November 2025 onward)
• Decrease in equity in earnings of affiliates due to foreign exchange effects at equity-method affiliate YOUNGONE OUTDOOR Corporation (¥7,770 million in FY2026, ending March 2026, down 8.0% year on year)
• Stricter response from domestic consumers to cumulative price revisions (unit growth slowing, particularly for core apparel items)
• Upward pressure on selling, general and administrative expenses due to overseas business expansion and expansion of the directly-operated store network
• Downward pressure on net profit from increased income taxes (¥7,979 million in FY2026, ending March 2026, up 38.4% year on year)
• Risk of transition in the growth model in the outdoor-related market, shifting from volume expansion to deeper quality and experience