Latest Financial Results Investors

FY27.3 Q1

Q1 Results

Net sales and profit declined due to internal and external factors

Net sales for FY2027.3 Q1 (April to June) came in at 23,592 million yen (98.8% YoY), weighed down by the reactionary decline from the partial pull-forward of deliveries to wholesale channels at the end of the previous fiscal year and by sluggish sales of summer merchandise in June, when low temperatures persisted. Because these factors affected our business segments across the board, net sales declined in all segments.

Operating profit came in at 371 million yen (17.9% YoY), as the decline in net sales was compounded by an increase in growth-related SG & A expenses, such as those for strengthening our retail business, promoting Goldwin500, and enhancing human capital. The operating profit margin fell 7.1 percentage points YoY to 1.6%.
Ordinary profit was 2,598 million yen, supported by an increase in the share of profit of entities accounted for using the equity method from YOUNGONE OUTDOOR Corporation (South Korea), with net income reaching 2,249 million yen.

Q1 Financial Results Summary (Unit: million yen)
FY25.3 Q1
results
FY26.3 Q1
results
FY27.3 Q1 Plan ratio YoY
Plan Results Ratio Difference Ratio Difference
Net sales 24,601 23,878 25,462 23,592 92.7% (1,869) 98.8% (285)
Gross profit 12,433 12,646 14,032 12,746 90.8% (1,286) 100.8% 99
% 50.5% 53.0% 55.1% 54.0% (1.1)pt 1.1pt
SG & A expenses 10,594 10,567 12,298 12,374 100.6% 76 117.1% 1,806
% 43.1% 44.3% 48.3% 52.4% 4.2pt 8.2pt
Operating profit 1,839 2,079 1,734 371 21.4% (1,362) 17.9% (1,707)
% 7.5% 8.7% 6.80% 1.60% (5.2)pt (7.1)pt
Ordinary profit 4,258 3,759 3,369 2,598 77.1% (771) 69.1% (1,160)
% 17.3% 15.7% 13.2% 11.0% (2.2)pt (4.7)pt
Net income 3,660 3,189 2,870 2,249 78.4% (621) 70.5% (939)
% 14.9% 13.4% 11.3% 9.5% (1.7)pt (3.8)pt
Sales Trends by Business Segment (Unit: million yen)
FY23.3 Q1 FY24.3 Q1 FY25.3 Q1 FY26.3 Q1 FY27.3 Q1
Results YoY Results YoY Results YoY Results YoY Results YoY
Performance 7,880 8,424 106.9% 8,187 97.2% 7,846 95.8% 7,605 96.9%
Lifestyle 12,192 13,366 109.6% 14,668 109.7% 13,751 93.7% 13,370 97.2%
Fashion 994 1,318 132.6% 1,698 128.8% 1,947 114.7% 1,932 99.2%
Other 31 40 129.0% 47 117.5% 331 704.3% 684 206.6%
Total 21,099 23,150 109.7% 24,601 106.3% 23,878 97.1% 23,592 98.8%

Trends in Sales Composition (Unit: million yen)

Chart

Monthly Sales Trends

In Q1 (April to June), monthly net sales reached 93% of the internal plan and 95% of the same period a year earlier.
Net sales declined in April and May, due mainly to the reactionary decline from the partial pull-forward of deliveries to wholesale channels at the end of the previous fiscal year. In June, when low temperatures persisted, net sales fell as summer items such as T-shirts and shorts underperformed.
Please note that as the monthly trends reflect “monthly net sales,” the figures do not match the amounts or ratios of consolidated net sales.

Monthly Net Sales for Q1
Monthly Plan ratio YoY Status
Apr. 104% 92% Despite the decline in sales, we met our internal plan, which took into account the expected decline driven by the advance shipments to our wholesale operations at the end of the previous fiscal year.
May 92% 99% In addition to a decline in inbound demand from mainland China, we failed to meet our internal plan due to sluggish sales at retail outlets, particularly in the wholesale sector.
Jun. 84% 96% Due to the high number of days with cool weather, sales of summer merchandise got off to a slow start. Combined with the ongoing decline in inbound demand from mainland China, we fell short of our internal plan.
Q1 Total 93% 95% Although the retail division maintained revenue growth, primarily driven by self-operated stores, struggles in the wholesale channel weighed on results, causing revenue to fall short of internal plan and versus the same period last year.
(Note) Because these figures are “monthly net sales,” they do not match the amounts or ratios of consolidated net sales.

Revision of the H1 Earnings Forecast

Earnings forecast revised downward in light of the Q1 results

Given the decline in net sales and profit in Q1, we have revised down our first-half earnings forecast for FY27.3. Net sales has been revised to 55.6 billion yen, down 4.3 billion yen from the initial plan, and operating profit has been revised to 4.2 billion yen, down 2.8 billion yen.
For Q2 (July to September), the forecast has been revised down from the initial plan by 2.4 billion yen for net sales and by 1.4 billion yen for operating profit.

Revised H1 (Apr.–Sep.) Plan (Unit: million yen)
FY25.3 H1
results
FY26.3 H1
results
FY27.3 H1 Compared to initial plan Revised plan YoY
Initial Plan Revised Plan Ratio Difference Ratio Difference
Net sales 53,367 55,589 59,900 55,600 92.8% (4,300) 100.0% 11
Gross profit 26,638 28,554 32,100 29,400 91.6% (2,700) 103.0% 846
% 49.9% 51.4% 53.6% 52.9% (0.7)pt 1.5pt
SG & A expenses 21,424 21,594 25,100 25,200 100.4% 100 116.7% 3,606
% 40.1% 38.8% 41.9% 45.3% 3.4pt 6.5pt
Operating profit 5,214 6,959 7,000 4,200 60.0% (2,800) 60.4% (2,759)
% 9.8% 12.5% 11.7% 7.6% (4.1)pt (5.0)pt
Ordinary profit 9,917 9,093 9,200 7,000 76.1% (2,200) 77.0% (2,093)
% 18.6% 16.4% 15.4% 12.6% (2.8)pt (3.8)pt
Revised H1 (Apr.–Sep.) Plan (Breakdown by Q1/Q2) (Unit: million yen)
Initial Plan Actual results and revised plan
Q1 Plan Q2 Plan H1 Plan Q1 results Q1 difference
Q2 revised plan Q2 revised plan difference H1 revised plan H1 revised plan difference
Net sales 25,462 34,437 59,900 23,592 (1,869) 32,007 (2,430) 55,600 (4,300)
Gross profit 14,032 18,067 32,100 12,746 (1,286) 16,653 (1,413) 29,400 (2,700)
% 55.1% 52.5% 53.6% 54.0% (1.1)pt 52.0% (0.4)pt 52.9% (0.7)pt
SG & A expenses 12,298 12,801 25,100 12,374 76 12,825 23 25,200 100
% 48.3% 37.2% 41.9% 52.4% 4.2pt 40.1% 2.9pt 45.3% 3.4pt
Operating profit 1,734 5,265 7,000 371 (1,362) 3,828 (1,437) 4,200 (2,800)
% 6.8% 15.3% 11.7% 1.6% (5.2)pt 12.0% (3.3)pt 7.6% (4.1)pt
Ordinary profit 3,369 5,830 9,200 2,598 (771) 4,401 (1,428) 7,000 (2,200)
% 13.2% 16.9% 15.4% 11.0% (2.2)pt 13.8% (3.2)pt 12.6% (2.8)pt

The second-half and full-year earnings forecasts for FY27.3, as well as the Five-Year Medium-Term Management Plan running through FY29.3, remain unchanged at this time, but we will continue to review them closely in light of the Q1 results.


THE NORTH FACE
News

Rolling out a range of promotions to celebrate the brand’s 60th anniversary

THE NORTH FACE, founded in 1966, marks its 60th anniversary this year. We will launch a commemorative collection built around two key graphics: the brand’s origin, Long Distance Hiking (a return to nature and the pursuit of self-discovery), and the 60th-anniversary key graphic owned by Kenneth “Hap” Klopp (artwork themed around balance and coexistence with nature). Through our products, we will express the philosophy and worldview that the brand has long cherished.
In October, we plan to hold the “NEVER STOP EXPLORING EXHIBITION,” a 60th-anniversary event, in the event space on the first floor of Goldwin’s Aoyama head office.

60th Anniversary Graphic Collection

THE NORTH FACE is celebrating its 60th anniversary since its 1966 founding.

We are launching a commemorative collection centered on Long Distance Hiking—the brand’s origins (a return to nature and the pursuit of self-discovery)—and the 60th-anniversary key graphic owned by Kenneth “Hap” Klopp (artwork themed around balance and coexistence with nature).
The brand’s cherished philosophy and worldview are expressed through contemporary products.

60th SPECIAL GRAPHIC PRODUCTS

The collection features graphic designs incorporating artwork owned by “Hap” Klopp, which symbolizes the balance between nature and humanity.

Product image

60th LONG DISTANCE HIKING PRODUCTS

A project designed to reaffirm the brand’s identity, centered on the theme of “Long Distance Hiking”—a movement born from young people seeking freedom in the 1960s and 1970s.

Product image

Goldwin
News

Store openings in Japan and overseas are progressing as planned

In China, the mainstay of the Goldwin500 project, we plan to open a store in Guangzhou, a Tier 1 city representing southern China. We currently operate a pop-up store at the Parc Central shopping mall in Guangzhou, which is scheduled to become a permanent store in September 2026.
In Japan, we opened a self-operated store in Shinsaibashi, Osaka, at the end of July. The store is located in Shinsaibashi PARCO, a leading commercial district in Osaka’s Minami area where diverse sensibilities converge across fashion, culture, art, and food. This is our second store in the Kansai region, following the Kyoto store that opened in 2025.
Going forward, we will continue to accelerate store openings globally as we work to raise brand awareness and strengthen our business foundation.

Goldwin Guangzhou Pop-Up
(To become a permanent store from September 2026)
Store exterior
  • Although Guangzhou is a Tier 1 city representative of southern China, it is also blessed with a natural environment—including parks and mountains—and is a place where outdoor activities are deeply embedded in daily life.
  • We are currently operating a pop-up store at the “Parc Central” shopping mall. We plan to transition to a self-operated store from September 2026.
Goldwin Shinsaibashi
(To open July 31)
Store exterior
  • This is our second self-operated store in the Kansai region, following the Kyoto store that opened in 2025.
  • The store is located in Shinsaibashi PARCO, a leading commercial district in Osaka’s Minami area where diverse sensibilities converge across fashion, culture, art, and food.