The 8thThin moat

ITOCHU (8001) — moat facet

The 8th holds FamilyMart and earns the lowest return on assets in ITOCHU.

The 8th, the division company ITOCHU created to hold FamilyMart and related businesses, earned ¥35.8 billion in the year to March 2024, ¥65.1 billion in 2025 and ¥45.0 billion in 202612. Its revenue was ¥518.1 billion3, and its assets of ¥2,197.3 billion earned about 2.0%4, the lowest return of any division.

The 8th net profit (¥ bn, years to March)35.8202465.1 (incl. 29.5 gain)202545.02026ITOCHU results and FIR 2025
A one-off year between two ordinary ones.

FamilyMart contributed ¥52.8 billion, down from ¥69.8 billion5; the prior year had included a ¥29.5 billion gain on reorganising FamilyMart's Chinese business6. The division also holds Seven Bank, 20.4% owned, and AND PHARMA7.

From the year to March 2027 FamilyMart's profit is split 70% to The 8th and 30% to Food8; restated, the latest year would have been ¥30.6 billion9. The plan for the current year is ¥31.5 billion10, and the first quarter earned ¥12.6 billion against ¥10.4 billion11.

The measure is the division's return on assets. At about 2%, the convenience-store investment earns well below ITOCHU's 8% cost of capital12, and only rising store productivity can change that.

Moat trajectory: Holding steady

Profit fell after a one-off gain; the first quarter rose.

The number that tests this moat
Moat Explorer calc
The 8th return on segment assets
about 2.0% (¥45.0bn on ¥2,197.3bn)

The convenience-store division earns well below the company's 8% cost of capital.

How it's calculated: Arithmetic on figures reported in ITOCHU's financial statements, results decks and market data; operands shown in the source line.
Source: Moat Explorer calculation from ITOCHU's filings ↗
References
  1. ReportedThe 8th, the division company ITOCHU created to hold FamilyMart and related businesses, earned ¥35.8 billion in the year to March 2024, ¥65.1 billion in 2025 and ¥45.0 billion in 2026.
    ITOCHU Corporation, Financial Information Report 2025 - segment information for the years to March 2025 and 2024, and the DESCENTE tender offer. — FY to March 2025 · publ. 2025 · source ↗
  2. ReportedThe 8th, the division company ITOCHU created to hold FamilyMart and related businesses, earned ¥35.8 billion in the year to March 2024, ¥65.1 billion in 2025 and ¥45.0 billion in 2026.
    ITOCHU Corporation, Consolidated Financial Results for the year ended March 31, 2026 (IFRS) - statements of comprehensive income, financial position and cash flows, the segment information by eight division companies, the share split, dividends, the buyback plan and the forecast for the year to March 2027. — FY to March 2026 · publ. 1 May 2026 · source ↗
  3. ReportedIts revenue was ¥518.1 billion, and its assets of ¥2,197.3 billion earned about 2.0%, the lowest return of any division.
    ITOCHU Corporation, Consolidated Financial Results for the year ended March 31, 2026 (IFRS) - statements of comprehensive income, financial position and cash flows, the segment information by eight division companies, the share split, dividends, the buyback plan and the forecast for the year to March 2027. — FY to March 2026 · publ. 1 May 2026 · source ↗
  4. Moat Explorer calcIts revenue was ¥518.1 billion, and its assets of ¥2,197.3 billion earned about 2.0%, the lowest return of any division.
    Moat Explorer calculation from ITOCHU's reported figures. Trailing twelve months to June 2026: net profit 900.3 - 283.9 + 293.8 = 910.1; revenue 14,823.1 - 3,558.9 + 3,875.9 = 15,140.1; EPS 128.00 - 40.10 + 42.02 = 129.92. Market value at 24 September 2026: 6,993,053,267 shares x ¥2,220.5 = ¥15.53 trillion. P/E at March year-end: market value over net profit, e.g. 13,802 / 900.3 = 15.3 (2026), 6,090 / 820.3 = 7.4 (2022), 3,046 / 500.5 = 6.1 (2019). Non-resource share of profit: 774.7 / (774.7 + 133.3) = 85%. Segment net profit over segment assets, year to March 2026: Machinery 155.6 / 2,603.5 = 6.0%; Metals & Minerals 143.5 / 1,793.4 = 8.0%; ICT & Financial 93.0 / 1,577.2 = 5.9%; Food 92.1 / 2,403.4 = 3.8%; Energy & Chemicals 69.3 / 1,819.4 = 3.8%; General Products & Realty 60.8 / 1,628.7 = 3.7%; The 8th 45.0 / 2,197.3 = 2.0%; Textile 43.3 / 751.9 = 5.8%. Segment net margin on revenue: Food 92.1 / 5,134.2 = 1.8%; Energy & Chemicals 69.3 / 3,069.6 = 2.3%; Machinery 155.6 / 1,500.6 = 10.4%; Metals & Minerals 143.5 / 1,231.5 = 11.7%. Berkshire's market value over cost: 8,886 / 4,165 = 2.13 times; dividend on cost 181 / 4,165 = 4.3%. Self-tender: 82,735,750 x ¥1,813 = about ¥150.0 billion. Net profit growth since the year to March 2016: 900.3 / 240.4 = 3.7 times. Dividend growth: 42.0 / 10.0 = 4.2 times (split-adjusted). ROE spread over the company's cost of capital: 14.6 - 8 = 6.6 points. Equity growth: 6,590.0 / 5,755.1 = 1.15. Stake in DENTSU SOKEN at the tender price: ¥215.2 billion for 38%. ACG profit target over investment: ¥50 billion is the aerospace target, about ¥310 billion the ACG investment. Berkshire's stake at ¥2,220.5: 704,799,500 x 2,220.5 = about ¥1.565 trillion. ITOCHU over Marubeni net profit: 900.3 / 543.9 = 1.66. 8% hurdle on the CSN Mineração additional investment: 0.08 x 119.2 = 9.5. 8% hurdle on ¥215.2 billion: about ¥17.2 billion. — FY to March 2026 · publ. September 2026 · source ↗
    Method: Arithmetic on figures reported in ITOCHU's financial statements, results decks and market data; operands shown in the source line.
  5. ReportedFamilyMart contributed ¥52.8 billion, down from ¥69.8 billion; the prior year had included a ¥29.5 billion gain on reorganising FamilyMart's Chinese business.
    ITOCHU Corporation, FY2025 Business Results and FY2026 Management Plan - results of major group companies by segment, with ownership, including FamilyMart, CTC, DESCENTE, NIPPON ACCESS, IMEA and Orchid (CITIC). — FY to March 2026 · publ. 14 May 2026 · source ↗
  6. ReportedFamilyMart contributed ¥52.8 billion, down from ¥69.8 billion; the prior year had included a ¥29.5 billion gain on reorganising FamilyMart's Chinese business.
    ITOCHU Corporation, FY2025 Business Results and FY2026 Management Plan - results of major group companies by segment, with ownership, including FamilyMart, CTC, DESCENTE, NIPPON ACCESS, IMEA and Orchid (CITIC). — FY to March 2026 · publ. 14 May 2026 · source ↗
  7. ReportedThe division also holds Seven Bank, 20.4% owned, and AND PHARMA.
    ITOCHU Corporation, FY2025 Business Results and FY2026 Management Plan - results of major group companies by segment, with ownership, including FamilyMart, CTC, DESCENTE, NIPPON ACCESS, IMEA and Orchid (CITIC). — FY to March 2026 · publ. 14 May 2026 · source ↗
  8. ReportedFrom the year to March 2027 FamilyMart's profit is split 70% to The 8th and 30% to Food; restated, the latest year would have been ¥30.6 billion.
    ITOCHU Corporation, Consolidated Financial Results for the three months ended June 30, 2026 (IFRS) - revenues, trading income, equity earnings, net profit, segment results, the balance sheet and the ¥300 billion buyback. — April-June 2026 · publ. 6 August 2026 · source ↗
  9. ReportedFrom the year to March 2027 FamilyMart's profit is split 70% to The 8th and 30% to Food; restated, the latest year would have been ¥30.6 billion.
    ITOCHU Corporation, FY2025 Business Results and FY2026 Management Plan - results of major group companies by segment, with ownership, including FamilyMart, CTC, DESCENTE, NIPPON ACCESS, IMEA and Orchid (CITIC). — FY to March 2026 · publ. 14 May 2026 · source ↗
  10. ReportedThe plan for the current year is ¥31.5 billion, and the first quarter earned ¥12.6 billion against ¥10.4 billion.
    ITOCHU Corporation, FY2026 first-quarter business results summary - core profit, extraordinary items, group-company results, investments, the Aviation Capital Group agreement and the revised segment plan. — April-June 2026 · publ. 7 August 2026 · source ↗
  11. ReportedThe plan for the current year is ¥31.5 billion, and the first quarter earned ¥12.6 billion against ¥10.4 billion.
    ITOCHU Corporation, Consolidated Financial Results for the three months ended June 30, 2026 (IFRS) - revenues, trading income, equity earnings, net profit, segment results, the balance sheet and the ¥300 billion buyback. — April-June 2026 · publ. 6 August 2026 · source ↗
  12. ReportedAt about 2%, the convenience-store investment earns well below ITOCHU's 8% cost of capital, and only rising store productivity can change that.
    ITOCHU Corporation, CFO message, Integrated Report 2026 - the cost of capital of approximately 8%, about 70 business-specific hurdle rates, and the aim to sustain ROE at the 15% level. — 2026 · publ. July 2026 · source ↗
Sources
Generated September 24, 2026