Ryohin Keikaku, the company behind MUJI, has crossed ¥100 billion in annual operating profit for the first time—and is putting overseas expansion near the top of its agenda.
Results released October 14 show operating profit of ¥103.4 billion, up 40.1%, for the year ended August 31, 2026. Revenue rose 17.7% to ¥923.6 billion. The company’s updated plan gives Europe and North America a larger role in its next phase of growth, with a worldwide target of 1,850 stores by August 2029.
For pencil buyers, this is the business behind familiar tools such as MUJI’s Low Center Gravity Mechanical Pencil. The figures cover the whole group, from clothing and food to household goods; they do not measure mechanical-pencil demand.
Profit grew faster than sales
The consolidated results show a business keeping more of each yen it takes in. Operating margin reached 11.2%, up from 9.4% a year earlier. MUJI credits lower production costs, fewer markdowns and sales growth that outpaced overhead.
| Group measure | FY2025 | FY2026 | Change |
|---|---|---|---|
| Revenue | ¥784.6bn | ¥923.6bn | +17.7% |
| Operating profit | ¥73.8bn | ¥103.4bn | +40.1% |
| Operating margin | 9.4% | 11.2% | +1.8 pp |
Europe and North America move back toward expansion
The regional detail is more interesting than the headline total. North American store openings resumed during the year, while Europe is preparing a flagship for FY2027. Together, the two regions finished August with 49 stores—a net increase of one. This expansion is starting from a modest base.
The Paris project gives that strategy a visible address. Announced in October 2025, the planned Rue de Rivoli flagship has approximately 1,980 square meters of selling space. MUJI positioned it as a hub for renewed European growth. The new results say advance spending on the European flagship and resumed North American openings is already affecting costs.
That produces a useful contrast: Europe/North America operating profit rose 17%, but its operating margin slipped 0.9 percentage points to 15.5%. Opening stores costs money before those stores contribute a full year of sales.
The next milestone: ¥1 trillion in revenue
MUJI ended FY2026 with 1,486 stores, including 763 outside Japan. Its new forecast calls for 1,584 stores by August 2027, revenue of ¥1.014 trillion and operating profit of ¥114 billion. It also plans to put resources back into India and the Middle East.
For U.S. readers, the significant change is the renewed commitment to opening stores and strengthening the overseas business. The earnings announcement does not identify a new American city or promise a particular pencil assortment. Those details will determine how much of this larger MUJI actually reaches the local stationery counter.
