Global Growth: Tokyo Lifestyle's Journey in 2025

Navigating Challenges with Strategic Focus

Tokyo Lifestyle Co. , Ltd. has made significant strides in 2025, prioritizing quality and efficiency over mere expansion. Despite a tough economic environment marked by geopolitical tensions and supply chain issues, the company has strengthened its position in key markets and explored new ones.

Expanding Footprint in Key Markets

• Hong Kong & Japan:
• Added new stores and expanded wholesale channels.
• Boosted sales in high-margin categories like cosmetics and luxury goods.

• Introduced pop toys and trading cards to attract Generation Z.

• Mainland China:

• Set up a subsidiary in Shenzhen.

• Southeast Asia:
• Adopted a capital-efficient model combining direct-operated flagship stores with franchise replication.
• Launched flagship stores in Bangkok and Ho Chi Minh City.

• North America:

• Expanded direct-operated network to seven locations, including a new store in Toronto.

• Oceania:
• Formed a joint venture and launched its first direct-operated store in Sydney, Australia.

Operational Excellence and Financial Strength

• Achieved improved operational efficiency through digital transformation and refined management practices.
• Inventory turnover increased sharply.
• Total SKUs expanded substantially while maintaining healthy gross profit margins.
• Optimized capital structure, enhancing liquidity and financial flexibility for future mergers, acquisitions, and global expansion.

Looking Ahead to 2026

Tokyo Lifestyle plans to:

• Improve store-level profitability.
• Deepen supply chain integration.
• Expand asset-light partnership models.

The company remains committed to delivering sustainable, long-term value for its shareholders.