Establishing competitive advantages in domestic businesses

「The expansion of feedlots and sales strategies progressed smoothly, achieving a 66.1% share of branded beef」

「Revenue rose 5.9% from the interim period of the previous year to ¥506,712 million, reflecting higher unit prices for domestically produced chicken, an improved sales environment in the Australian beef business, and an increase in production volumes resulting from the expansion of feedlots. Business profit rose 53.0% to ¥27,615 million, mainly because higher unit prices for domestically produced chicken and Australian beef improved profit generation.」

「Business profit fell 18.5% from the interim period of the previous year to ¥13,878 million, due to lower market prices for domestically produced chicken, higher costs including feed prices in the production division, and delays in passing higher import meat prices through to selling prices in the sales division.」

「Revenue increased 4.5% year on year to ¥595,609 million, due to growth in food-service channel sales following the increase in demand accompanying the reclassification of COVID-19 under Japan’s infectious disease law, as well as firm market prices for domestically produced chicken. Business profit increased 25.6% year on year to ¥28,345 million, as sales to mass retailers, mainly in urban areas, remained strong at sales companies and profitability improved following a review of procurement for imported chicken and beef.」

「Revenue increased 6.8% year on year to ¥386,068 million, due to higher demand for competitively priced domestically produced chicken and strong sales to mass retailers despite high market prices. Business profit increased 19.8% year on year to ¥17,029 million, as the production business secured profit amid continued high market prices for domestically produced chicken and sales of imported beef recovered, mainly at domestic sales companies.」

「Revenue increased 8.3% year on year to ¥193,925 million, due to firm demand for domestically produced chicken and progress in passing higher market prices through to prices for both domestically produced and imported livestock products. Business profit increased 45.1% year on year to ¥10,243 million, as profitability improved due to contributions from branded meat and growth in food sales, despite continued high feed costs in the production business.」

「Specifically, in response to changes in the business environment, the Group worked to pass costs through to selling prices, revise product specifications, and select lower-cost sourcing destinations and products to address consumers’ cost-consciousness. It also focused on expanding sales of branded products, implementing power-saving measures to absorb higher energy prices, and improving efficiency in its production operations, while strengthening its production, logistics and sales structures to continue delivering safe, high-quality products that provide peace of mind to customers.」

「During the cumulative third quarter of the current fiscal year, continuing high raw-material prices and rising energy costs, together with price increases for various products that directly affected household budgets, led consumers to economize and shift toward lower-priced products. In response, the Group worked on passing costs through to selling prices, revising product specifications, procuring lower-priced products to address cost-conscious consumers, expanding sales of branded products, implementing power-saving measures to absorb higher energy costs, and improving efficiency in its production operations, while strengthening its production, logistics and sales structures to continue delivering safe, high-quality products that provide peace of mind to customers.」

「In its domestic businesses, the Group reorganized the production and receiving departments to respond to rapid changes in the external environment and worked to improve productivity and reduce costs.」

「In its domestic businesses, the Group integrated the production and receiving departments from the current fiscal year, worked to reduce logistics costs and strengthen its ability to respond to customer needs, and is pursuing higher revenue and profit.」

「In Japan, in response to soaring raw-material prices and higher energy costs, the Group revised the specifications of some products and revised delivery prices in order to continue delivering high-quality, safe products that provide peace of mind to customers.」

「The Procurement Division experienced disruption in product procurement due to expanding domestic demand and labor shortages in major sourcing countries, rising global transportation costs, container shortages and delayed vessel arrivals. In this environment, to contribute to diets through a stable supply of protein, the Group worked to maintain stable supplies by procuring products from third countries, including beef from Uruguay, while making full use of various procurement methods. It also expanded sales channels and product offerings for exports of domestically produced beef, pork and chicken, thereby securing profit.」

「In Japan, the Group continued to maintain a stable supply structure through thorough COVID-19 countermeasures and strengthened its procurement, production, logistics and sales structures to respond flexibly to changes in the operating environment, against a backdrop of the entrenchment of new lifestyles and growing awareness of social issues, including ESG initiatives aimed at achieving the SDGs.」

「In Japan, the Group maintained a stable supply structure through thorough COVID-19 countermeasures and strengthened its procurement, production, logistics and sales structures to respond flexibly to changes in the operating environment, against a backdrop of the entrenchment of new lifestyles and growing awareness of social issues, including those represented by the SDGs.」

「In the production business, profit increased as market prices for domestically produced chicken and pork remained firm and productivity in domestic chicken production improved. In the sales business, the Group worked to make maximum use of its procurement and supply capabilities by effectively utilizing internal and external procurement in response to market conditions that changed daily due to COVID-19.」

「In the production business, profit increased due to higher shipment volumes from the operation of new farms, higher market prices for domestically produced chicken and pork, and lower feed unit prices. As a result, in the cumulative second quarter of the current fiscal year, the Meat Business Division recorded revenue of ¥361,691 million, down 4.6% year on year, and business profit of ¥18,197 million, up 27.9% year on year.」

「In the production business, profit increased due to higher shipment volumes from the operation of new poultry farms, improved raising performance and the impact of higher market prices for domestically produced chicken and pork. As a result, in the cumulative first quarter of the current fiscal year, the Meat Business Division recorded revenue of ¥179,941 million, down 4.7% year on year, and business profit of ¥8,496 million, up 13.1% year on year.」

「In the production business, the Group worked to increase production volumes through the operation of new farms and improve processing capacity through the introduction of the latest equipment. However, profit declined due to lower market prices for domestically produced chicken and the impact of higher pig production costs.」

「Specific measures included strengthening the domestic farming business, increasing production at the meat-processing and yogurt and lactic-acid beverage manufacturing plants that began operations in the previous fiscal year, developing human resources and thoroughly implementing risk management.」

「Specific measures included strengthening the domestic farming business, increasing production at the meat-processing and yogurt and lactic-acid beverage manufacturing plants that began operations in the previous fiscal year, developing human resources and thoroughly implementing risk management.」

「Specific measures included strengthening the domestic farming business, increasing production as planned at the meat-processing and yogurt and lactic-acid beverage manufacturing plants that began operations in the previous fiscal year, developing human resources and thoroughly implementing risk management.」

「Specific measures included strengthening the domestic farming business, expanding a dedicated plant for products addressing food allergies, establishing new processed-food manufacturing plants and yogurt and lactic-acid beverage manufacturing plants, developing human resources and thoroughly implementing risk management.」

「Specific measures included strengthening the domestic farming business, expanding a dedicated plant for products addressing food allergies, establishing new processed-food manufacturing plants and yogurt and lactic-acid beverage manufacturing plants, developing human resources and thoroughly implementing risk management.」

「Specific measures included strengthening the domestic farming business, expanding a dedicated plant for products addressing food allergies, and improving productivity, thereby strengthening cost competitiveness and profitability, as well as developing human resources and thoroughly implementing risk management.」

「Under the Medium-Term Management Plan 2020, launched in April 2018 with “Building systems for the future” as its theme, the Group promoted business initiatives based on five management policies: “Strengthening profitability through greater efficiency in existing businesses,” “Creating value through dialogue with consumers,” “Strengthening and developing technological capabilities to envision and realize the future of food,” “Shifting into a higher gear in overseas market expansion,” and “Pursuing sustainability,” not only further accelerating the growth strategies pursued through the previous fiscal year, but also enabling the Group to continue its businesses over the long term and contribute to realizing a sustainable society through food and health. Specific measures included strengthening the domestic farming business, expanding a dedicated plant for products addressing food allergies, improving productivity to strengthen cost competitiveness and profitability, developing human resources and thoroughly implementing risk management.」

「① Strengthening profitability through greater efficiency in existing businesses」

「Specific measures included strengthening the domestic farming business, developing and promoting new products, improving product brand recognition, and improving productivity, thereby strengthening cost competitiveness and profitability, as well as developing human resources and pursuing various other initiatives.」

「Specific measures included strengthening the domestic farming business, developing and promoting new products, improving product brand recognition, and improving productivity, thereby strengthening cost competitiveness and profitability, as well as developing human resources and pursuing various other initiatives.」

「Specific measures included strengthening the domestic farming business, developing and promoting new products, improving product brand recognition, and improving productivity, thereby strengthening cost competitiveness and profitability, as well as developing human resources and pursuing various other initiatives.」

「In its domestic businesses, amid limited prospects for market growth, the Group will further strengthen its competitive advantages and expand its business domains. By delivering its distinctive basic values, including taste, service, high quality, safety and peace of mind, in ways that exceed customer expectations, it aims to foster the brand most trusted by customers.」

「Specific measures included establishing a new Overseas Business Division, strengthening the domestic farming business, developing and promoting new products, and improving productivity, thereby strengthening cost competitiveness and profitability, as well as developing human resources and thoroughly implementing risk management.」

「Specific measures included establishing a new Overseas Business Division, strengthening the domestic farming business, developing and promoting new products, and improving productivity, thereby strengthening cost competitiveness and profitability, as well as developing human resources and thoroughly implementing risk management.」

「Specific measures included establishing a new Overseas Business Division, strengthening the domestic farming business, developing and promoting new products, and improving productivity, thereby strengthening cost competitiveness and profitability, as well as developing human resources and thoroughly implementing risk management.」

「In its domestic businesses, amid limited prospects for market growth, the Group will further strengthen its competitive advantages and expand its business domains.」