Financial Results for Fiscal Year Ending March 2026 [Japanese Standards] (Consolidated)

Overview of Business Performance

For the fiscal year ending March 2026, consolidated net sales increased by 3.8% YoY to ¥475.574 billion. Operating profit rose by 2.0% to ¥9.131 billion, and ordinary income increased by 6.5% to ¥11.185 billion. Conversely, net income attributable to owners of the parent decreased by 35.2% to ¥4.587 billion. The increase in operating profit is mainly due to higher sales volumes of ham, sausage, processed foods, and meat products, while net income was affected by impairment losses on fixed assets and the write-down of deferred tax assets due to deteriorating vendor business performance.

Financial Position and Cash Flow Status

Total assets stood at ¥241.280 billion, an increase of ¥1.669 billion from the previous year, and net assets rose by ¥308 million to ¥130.536 billion. The equity ratio improved by 0.7 percentage points to 50.5%. Cash flows from operating activities increased by ¥5.540 billion to ¥19.752 billion. Cash outflows from investing activities totaled ¥13.762 billion, and those from financing activities totaled ¥6.377 billion. Cash and cash equivalents at the end of the period decreased by ¥349 million to ¥5.917 billion from the previous year.

Dividend Situation and Future Outlook

The annual dividend for the fiscal year ending March 2026 is planned to be ¥80 per share (interim ¥40, final ¥40), with a payout ratio of 87.6%. For the fiscal year ending March 2027, the company forecasts net sales of ¥500.000 billion (up 5.1%), operating profit of ¥11.000 billion (up 20.5%), and net income attributable to owners of ¥7.500 billion (up 63.5%). The dividend per share is expected to remain at ¥80.

Segment Performance

The processed foods segment's operating profit was approximately ¥7.928 billion, nearly unchanged from the previous year. The meat products segment saw significant profit growth to ¥1.931 billion. Other segments earned ¥292 million, a slight decrease. The sales increase is primarily driven by higher volumes of ham, sausage, and processed foods.