Ootoya and Yayoi Ken see growth in Japan's teishoku market

Japanese teishoku (set meal) chains, such as Ootoya and Yayoi Ken, are experiencing significant growth as consumer preferences shift toward balanced meals in an inflationary environment. While these dining formats were once perceived as expensive during the deflationary era, they are now viewed as high-value options compared to rising prices in ramen, curry, and fast-food sectors.

Ootoya Holdings has reported strong financial performance, with an 18% increase in revenue and a 29% increase in operating profit for the fiscal year ending March 2026. Following its acquisition by Colowide, Ootoya has successfully improved its operating profit margin to the 5% range by balancing in-store cooking with centralized kitchen efficiencies. Similarly, Yayoi Ken, operated by Plenus, saw an 11% increase in revenue for its fiscal year ending February 2026.

The market is expected to see increased competition as major dining group Skylark enters the sector.