Isetan Mitsukoshi Holdings Ltd.

Isetan Mitsukoshi Holdings reported first-quarter results for the fiscal year ending March 2027, with revenue up 3.8% year on year to 128.9 billion yen, operating profit up 20.6% to 18.8 billion yen, and quarterly net profit attributable to owners of the parent up 18.5% to 22.3 billion yen. Spending by foreign visitors to the Tokyo area and wealthy domestic consumers remained solid, and high-value-added products at flagship stores such as the Isetan Shinjuku main store boosted sales. Meanwhile, net profit included a 10.4 billion yen gain on the sale of shares in an affiliated company as an extraordinary gain, and for the full year the company plans for bottom-line profit to decline due to the reversal of the previous year's large disposal gain. On August 14, the business day after the earnings announcement, the share price fell about 4% from the previous close of 3,695 yen, as concerns over the planned full-year profit decline and wariness about high valuations weighed on sentiment despite the strong results.