MITA SECURITIES Equity Research July 9, 2021 MITA SECURITIES Co., Ltd. Monogatari Corporation Junichi Shimizu Chief Analyst, Head of Research TSE 1st Section 3097 Industry: Food service, retail
[email protected] June sales Update Rating Monthly data for June Monogatari Corporation (3097) disclosed monthly data for June (on a preliminary basis). Buy For directly-owned stores, same-store sales for June were 77.0% YoY (same month last year Target price (JPY) 9,100 = 100%), of which number of customers 83.2% YoY. The day-of-week effect is neutral. There Stock price (JPY) (Jul 9) 7,430 seems to be a reaction to the rapid increase in demand for yakiniku after the emergency in Market cap (JPYbn) 89.7 June of the previous year. Also, the decline in average spend per customer due to the Key changes decrease in alcohol offerings seems to have had a slight impact. The cumulative same-store Rating No sales for FY6/21 were 100.7% YoY, lower than our forecast of 102.3% YoY. The impression Target price No is slightly negative. Earnings forecast No Same-store sales were 74.0% of June 2019 figure (our estimate, same as follows), lower Stock price (JPY) 9,000 than 78.0% for May. There were two more holidays in June 2019. 8,000 7,000 6,000 For directly-owned stores, the cumulative all-store sales for FY6/21 were 109.8% YoY, lower 5,000 than our forecast of 112.8% YoY. 4,000 3,000 2,000 The number of domestic directly-owned stores at end of June was 340, (+3 MoM), higher 1,000 3097 JT Equity 0 than our forecast of 337.