Pan Pacific targets ¥110.5 billion FY2027 profit, ¥600 billion shareholder returns

Pan Pacific International Holdings, operator of discount store chain Don Quijote, said consolidated net profit for the fiscal year ended June 2026 rose 21.6% to a record ¥110 billion, topping ¥100 billion for the first time, helped by strong sales growth in Asia, higher customer traffic, inflation-driven demand for lower prices and a 31.2% rise in tax-free sales to ¥228.6 billion. Revenue increased 8.8% to ¥2.45 trillion. For the fiscal year ending June 2027, the company forecast net profit of ¥110.5 billion, up 0.4%, revenue of ¥2.69 trillion, up 9.9%, and operating profit of ¥179 billion, up 2.4%, while raising its annual dividend to ¥10 per share from ¥9.50. The FY2027 profit outlook was below the ¥122.2 billion IBES consensus from 19 analysts. Pan Pacific also disclosed a capital allocation policy committing ¥600 billion to shareholder returns through the fiscal year ending June 2035 and raising its total payout ratio from 20% to 40%. Separately, President Hideki Moriya said the company plans to expand fresh-food stores in the Tokyo metropolitan area from 41 to 118 over five years, including through its new "Robin Hood" format launched in April.

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