Kikuko Misuji, more often called "Nikuko-chan," is known by everyone in her small northern town as the happy fat lady at the grill. Having lived arduously traveling from man to man and town to town for the bulk of her life, Nikuko-chan finally seems to have settled down on a houseboat docked in the bay with her daughter—also named Kikuko.

Together, the pair does their best to find their place in the world. For the bold and brash Nikuko-chan, her spirited behavior easily guides her toward the earnest goal. However, for the quiet and reserved Kikuko, who is often embarrassed by her mother's antics, each day can be just as uninspiring as the last. From middle school drama to solving the mystery of her strange classmate Ninomiya, Kikuko's adolescence is full of many twists and turns.

Gyokou no Nikuko-chan premiered internationally at the 45th Annecy International Animation Film Festival. The film was also screened at the Fantasia International Film Festival on August 22, 2021, where it won the Satoshi Kon Award for Excellence in Animation.

In October 2021, the film won the Korean Society of Cartoon and Animation Studies President's Prize at the Bucheon International Animation Film Festival. In the same month, it won the Jury Award at the Scotland Loves Animation Film Festival. The film was awarded the Animation Film Award at the 46th Hochi Film Awards in December 2021. In March 2022, the movie was nominated for the Best Animated Feature Film Award at the 45th Japan Academy Film Prize as well as the Annie Award for Best Indie Feature at the 49th Annual Annie Awards. Later that month, the film won the Excellence Award at the 25h Japan Media Arts Festival.

Gyoukou no Nikuko-chan was licensed by GKIDS and received an American theatrical release as Fortune Favors Lady Nikuko on June 2, 2022. It was shown along with a screening of the television show Deji Meets Girl. The company published the film on Blu-ray and DVD on July 19, 2022.