TSURUHA HOLDINGS (3391): 1Q FY2026: Much better-than-expected profit progress driven by lower-than-expected costs

研报英文原文证据摘录

TSURUHA HOLDINGS (3391): 1Q FY2026: Much better-than-expected profit progress driven by lower-than-expected costs

J P M O R G A N Asia Pacific Equity Research

08 July 2026

TSURUHA HOLDINGS (3391) Overweight

3391.T, 3391 JP

1Q FY2026: Much better-than-expected profit Price (08 Jul 26):¥2,295

progress driven by lower-than-expected costs Price Target (Dec-26):¥2,500

Positive: 1Q operating profit was ¥24.2 billion, slightly beating our estimate as of Japan Equity Research

June 19 of ¥22.5 billion. Management commented that profit beat its internal target

Retail

by ¥2-3 billion (with Welcia slightly undershooting and Tsuruha overshooting by

a long way). We believe 1Q operating profit also beat the most recent effective Dairo Murata AC

consensus view of around ¥21 billion. Within the total, Welcia’s gross margin (81-3) 6736 8620

dairo.murata@jpmorgan.com

undershot expectations, but cost-cutting measures at both companies fully offset

Ami Terai

this. Management also confirmed progress as planned toward realizing integration (81-3) 6736-8660

synergies of ¥15.0 billion in full-year FY2026, so 1Q results gave us a favorable ami.terai@jpmorgan.com

impression. Kazuha Matsuo

• 1Q results summary: Sales rose 4.8% YoY, the gross margin was 30.1%, and (81-3)kazuha.matsuo@jpmorgan.com6736-8614

costs were ¥162.0 billion (before goodwill amortization). We estimated 4.6% JPMorgan Securities Japan Co., Ltd.

YoY sales growth, a gross margin of 30.6%, and costs of ¥166.6 billion (before

goodwill). Both the gross margin and costs were lower than we expected, while

operating profit overshot our estimate by ¥1.7 billion. Within the total,

Tsuruha’s gross margin improved 0.5ppt YoY, costs rose 0.6%, and operating

profit was ¥17.5 billion versus our respective estimates of +0.5ppt, +4.4%, and