LIFE CORPORATION
8194・Prime Market・Retail Trade
Business
Life Corporation is a food supermarket chain founded in 1956, operating 314 stores (as of the end of February 2025) across the Kinki region (Osaka, Hyogo, Kyoto, and Nara Prefectures) and the Greater Tokyo region (Tokyo, Kanagawa, Saitama, and Chiba Prefectures). Centered on food sales, the company engages in general retail operations including daily necessities and clothing. Its consolidated subsidiary, Life Financial Services, operates the Credit Card & Electronic Money Business, and the company also runs a Net Supermarket business and a delivery business. Mitsubishi Corporation is an affiliated company, and Life Corporation is listed on the Prime Market of the Tokyo Stock Exchange.
Business Model
The company has a food-focused revenue structure, with fresh food (43.9%) and general food (44.8%) accounting for approximately 89% of net sales combined. Centered on in-store product sales, it combines the development and sale of the organic and health-oriented private brand "BIO-RAL," expansion of the Net Supermarket business, and the Credit Card & Electronic Money Business operated by group subsidiaries, capturing customer purchasing opportunities through multiple channels. It employs a conservative financial policy, funding capital expenditures mainly through operating cash flow and covering any shortfall with borrowings from financial institutions.
Company Strengths
Operates 314 stores in densely populated areas, including 128 stores in Osaka Prefecture, 99 in Tokyo, and 32 in Kanagawa Prefecture. In FY2026 (ending March 2026)... [Note: original states 2026年2月期], 11 new stores were opened and 2 were closed, achieving a net increase of 9 stores. By region, sales grew significantly in newly opened areas, with Saitama Prefecture up 111.6% year on year and Hyogo Prefecture up 108.8%.
Since FY2024, revenue has grown consecutively from ¥780,028 million to ¥818,892 million to ¥848,570 million, while operating profit has improved from ¥24,118 million to ¥25,270 million to ¥26,006 million. Company-wide kaizen (improvement) activities and the horizontal deployment of best practices through the "Smile Workshop" have taken root, maintaining and improving profit margins even amid rising labor and occupancy costs.
Operates the BIO-RAL brand, built around the concepts of organic, local, healthy, and sustainable. In FY2025 (ending March 2025), a dedicated BIO-RAL business division was established, and two additional BIO-RAL specialty stores were opened. Nationwide sales via Amazon.co.jp have also begun, expanding the brand's presence into channels beyond physical stores.
ENVALITH's Perspective
Performance Trend
Revenue over the past five periods recovered from a trough of ¥738,494 million in FY2023 (ending Feb 2023) to expand to ¥848,570 million in FY2026 (ending Feb 2026). Operating profit also continued an improving trend, rising from ¥19,148 million in FY2023 to ¥26,006 million in FY2026. However, in Q1 of FY2027 (ending Feb 2027) (March–May 2026), while operating revenue increased to ¥223,296 million (+3.2% year-on-year), SG&A expenses expanded to ¥67,705 million (versus ¥65,406 million in the same quarter of the prior year), resulting in clear deterioration on the profit side: operating profit of ¥7,230 million (down 6.9% year-on-year), ordinary profit of ¥7,484 million (down 6.1% year-on-year), and quarterly net profit of ¥5,081 million (down 9.0% year-on-year). As an external factor, rising food prices supported sales, while personnel costs (wage increases of 5% or more for three consecutive years, and the move to 120 annual holidays) and increased occupancy costs such as rent associated with new store openings have pushed up the cost structure. The full-year forecast remains unchanged (operating revenue of ¥922,500 million, operating profit of ¥27,000 million).
Growth Strategy
Final year of the Seventh Medium-Term Management Plan: aiming for ¥1 trillion by FY2030 through BIO-RAL expansion, M&A, and human capital investment
Continued opening of BIO-RAL stores based on the concept of organic, local, healthy, and sustainable. In Q1 of FY2027 (ending February 2027), 3 new stores were opened (a total of 5 stores including Ikebukuro IT tower TOKYO, Ryokuchi-koen, Oimachi Trucks, Quartz Shinsaibashi, and Namba Marui), and a satellite kitchen began operating in the Kinki region. Nationwide sales via the online store also commenced, promoting a departure from homogenized competition.
Through the M&A specialist organization established in February 2026, achieved a capital alliance with seafood intermediary wholesaler "Kamekichi Shoten Ltd." (March 2026) and made organic produce collection company "World Delica Co., Ltd." a non-consolidated subsidiary (April 2026). Leveraging the specialized expertise of both companies to strengthen the freshness, quality, and procurement cost competitiveness of fresh food products.
Implemented wage increases of 5% or more for 3 consecutive years, and from March 2026, expanded annual holidays for all employees from 117 days to 120 days, an industry-leading level. Aims to improve employee satisfaction and retention through enhanced work-life balance, along with productivity gains, to build a sustainable growth foundation. While rising personnel costs create cost pressure, this is positioned as an essential investment for medium- to long-term talent acquisition and competitiveness.
Promoting the optimization and reduction of operating expenses through the "activity connecting the wheel of Kaizen." In Q1 of FY2027 (ending February 2027), this was insufficient to absorb increases in personnel and operating expenses, but the company will continue to pursue productivity improvements and cost optimization toward achieving FY2030 targets. Depreciation expense slightly decreased from ¥4,183 million in the same quarter of the previous year to ¥4,153 million.
Last updated: July 17, 2026