Trial Holdings (141A): Q3: Modest guidance hike, but investing for growth beyond next FY

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Trial Holdings (141A): Q3: Modest guidance hike, but investing for growth beyond next FY

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Trial Holdings (141A)

Q3: Modest guidance hike, but investing

for growth beyond next FY

Reiterate Rating: BUY | PO: 5,400 JPY | Price: 4,270 JPY

Results missed our estimates 14 May 2026

FY6/26 Q3 (Jan-Mar) operating profit was up 66.5% YoY to ¥6.3bn, below BofAE’s Equity

¥6.7bn estimate. Versus BofAE, Seiyu was broadly in line, but gross margin improvement

at Trial fell short of our expectations. Versus the company plan, results appear to have Arashi Nishizawa >> Research Analyst

missed, mainly in the Seiyu business. BofAS Japan

+81 3 6225 6402

Q4: Return campaign, inventory cuts, bonuses, openings arashi.nishizawa@bofa.com Daisuke Aikawa >>

The company announced an upward revision to full-year guidance alongside results, Research Analyst

raising FY6/26 full-year operating profit guidance from ¥25.4bn (+20.3% YoY) to BofAS+81 3 6225Japan7196

¥28.0bn (+32.7%). However, this is below BofAE’s ¥33.6bn estimate and consensus of daisuke.aikawa@bofa.com

¥31.4bn (10 analysts). Q4 operating profit required to achieve full-year guidance is

¥5.1bn, down 33.8% YoY. For growth from next fiscal year onward, the company plans to

strengthen pricing through a return campaign from late June to early July, reduce Stock Data

inventories, pay year-end bonuses, and increase store openings and renovations.

Price 4,270 JPY

Price Objective 5,400 JPYTough environment, but strategy is on the right track

Looking at the numbers alone, we expect a negative reaction, but the revised full-year Date Established 10-Apr-2026

guidance appears conservative. It also reflects some delay in progress on the unification Investment Opinion C-1-7