Ongoing cost reduction and expense efficiency
First written in FY2016. 9 of 27 entries say "Worsened", first in FY2023. Latest entry: 2026-08-07.
EBARA Foods Industry moved to the "Worse" side of this theme in 2023, 1 year before the typical company in this theme (2024).
91 other companies' latest entry also says "Advanced".
- 2026-08-07AdvancedEarnings presentation
「In addition to higher sales, the cost of sales ratio declined by 0.6 percentage points, resulting in higher profit year on year」
The cost of sales ratio declined from 64.9% in the same period of the previous year to 64.3%, while operating profit increased 20.3% year on year. Progress in improving cost efficiency is reflected in quarterly results. - FY2026WorsenedAnnual report
「For fiscal 2026, the company expects EBITDA of at least ¥3,100 million, taking into account the impact of temporary costs associated with the reorganization of the domestic manufacturing structure and further increases in raw material and energy prices.」
While operating income recovered in the current fiscal year due to higher sales, temporary costs associated with the reorganization of the domestic manufacturing structure, higher raw material and energy prices, and costs associated with growth investments were identified as factors that could weigh on future earnings levels. - 2026-05-15WorsenedEarnings
「Further increases in raw material and energy prices are expected to continue.」
Indicates that increases in raw material and energy prices are expected to continue and intensify. - FY2026-H1WorsenedAnnual report
「In terms of profit, operating income was ¥1,076 million, down 12.6% year on year, and ordinary income was ¥1,130 million, down 11.2%, due to higher depreciation and amortization associated with growth investments, among other factors. Interim net income attributable to owners of the parent was ¥835 million, down 1.5%, due to the recognition of structural transformation costs associated with the reorganization of the domestic manufacturing structure and gains on the sale of investment securities.」
Higher depreciation and amortization associated with growth investments was a factor behind the decline in operating income and other profit measures, and structural transformation costs associated with the reorganization of the domestic manufacturing structure were also recorded. - FY2025WorsenedAnnual report
「In terms of profit, operating income was ¥2,031 million, down 15.4% from the previous fiscal year, ordinary income was ¥2,113 million, down 19.6%, and net income attributable to owners of the parent was ¥1,399 million, down 22.3%, due to the impact of surging prices for various raw materials.」
While pursuing price revisions and cost efficiencies, the company saw operating income, ordinary income and net income decline from the previous fiscal year due to the impact of surging raw material prices. - FY2025-H1WorsenedAnnual report
「In terms of profit, operating income was ¥1,231 million, down 9.6% year on year, ordinary income was ¥1,272 million, down 14.4%, and interim net income attributable to owners of the parent was ¥848 million, down 13.6%, despite some effect from price revisions, due in part to higher cost of sales resulting from surging raw material prices and higher SG&A expenses.」
Although price revisions had an effect, operating income and other profit measures fell below the levels of the same period of the previous year due to higher cost of sales and SG&A expenses resulting from surging raw material prices. - FY2024-Q3WorsenedAnnual report
「In terms of profit, operating income was ¥2,761 million, down 15.3% year on year, due to the impact of surging prices for various raw materials.」
Earnings pressure from surging prices for various raw materials continued, and operating income for the cumulative third quarter was ¥2,761 million, down 15.3% year on year. - FY2024-Q2WorsenedAnnual report
「In terms of profit, operating income was ¥1,363 million, down 21.7% year on year, despite efforts to review costs to optimize management resources amid the impact of surging raw material prices.」
Although the company is reviewing costs to optimize management resources, operating income declined 21.7% year on year due to the impact of surging raw material prices. - FY2024-Q1WorsenedAnnual report
「In terms of profit, operating income was ¥743 million, down 19.6% year on year, ordinary income was ¥819 million, down 20.3%, and net income attributable to owners of the parent was ¥546 million, down 19.8%, due to higher cost of sales resulting from surging raw material and resource prices.」
The continued increase in cost of sales due to surging raw material and resource prices resulted in a 19.6% year-on-year decline in operating income. Cost pressures underlying the cost-efficiency theme were reflected in quarterly earnings. - FY2023WorsenedAnnual report
「In terms of profit, operating income was ¥2,972 million, down 11.2% from the previous fiscal year, due in part to the impact of a higher cost of sales ratio resulting from surging raw material prices and changes in the product mix.」
The higher cost of sales ratio resulting from surging raw material prices and changes in the product mix was reflected in full-year earnings as an 11.2% year-on-year decline in operating income. - FY2023-Q3Continued earnings pressure from surging raw material and resource pricesAnnual report
「In terms of profit, operating income was ¥3,258 million, down 7.9% year on year, due to the decline in net sales and higher cost of sales resulting from surging raw material and resource prices.」
While continuing its cost-efficiency initiatives, the company saw operating income decline 7.9% year on year due to higher cost of sales resulting from surging raw material and resource prices and lower net sales. - FY2023-Q2Continued increase in costs due to surging raw material and resource pricesAnnual report
「In terms of profit, operating income was ¥1,741 million, down 0.3% year on year, due to the decline in net sales, as well as higher cost of sales resulting from surging raw material and resource prices.」
Cost of sales continued to rise due to surging raw material and resource prices, resulting in a 0.3% year-on-year decline in operating income. - FY2023-Q1Earnings pressure from surging raw material and resource prices and higher promotional expensesAnnual report
「In terms of profit, operating income was ¥924 million, down 9.7% year on year, as television advertising was strengthened to drive sales growth for core products, while cost of sales also increased due to surging raw material and resource prices.」
Stronger television advertising to drive sales growth for core products coincided with higher cost of sales due to surging raw material and resource prices, resulting in a 9.7% year-on-year decline in operating income. - FY2022Earnings pressure from surging raw material prices, among other factorsAnnual report
「In terms of profit, operating income was ¥3,348 million, down 7.7% from the previous fiscal year, and ordinary income was ¥3,666 million, down 1.9%, due to the decline in net sales, as well as the impact of a higher cost of sales ratio resulting from surging raw material prices and changes in the product mix,」
The higher cost of sales ratio resulting from surging raw material prices and changes in the product mix was reflected in full-year earnings as a 7.7% year-on-year decline in operating income. - FY2022-Q3Higher cost ratio due to surging raw material prices, among other factorsAnnual report
「In terms of profit, operating income was ¥3,537 million, down 3.5% year on year, due to the impact of a higher cost of sales ratio resulting from surging raw material prices, among other factors, as well as the adoption of the revenue recognition accounting standard and related standards.」
The higher cost of sales ratio resulting from surging raw material prices, among other factors, was explicitly cited, replacing the previous explanation focused on cost efficiencies and a lower cost ratio, and operating income fell 3.5% year on year. - FY2022-Q2Higher cost ratio due to increased manufacturing costs, among other factorsAnnual report
「In terms of profit, operating income was ¥1,746 million, down 4.3% year on year, due to the impact of a higher cost of sales ratio resulting from increased manufacturing costs, among other factors, as well as the adoption of the revenue recognition accounting standard and related standards.」
It explains that the higher cost of sales ratio resulting from increased manufacturing costs, among other factors, and the impact of adopting the accounting standards resulted in a 4.3% year-on-year decline in operating income. - FY2022-Q1Higher cost of sales ratio and lower operating income due to changes in the product mix, among other factorsAnnual report
「In terms of profit, operating income was ¥1,024 million, down 2.1% year on year, due to a higher cost of sales ratio resulting from changes in the product mix, among other factors, as well as the adoption of the revenue recognition accounting standard and related standards.」
It explains that the higher cost of sales ratio resulting from changes in the product mix and the adoption of the revenue recognition accounting standard and related standards resulted in a 2.1% year-on-year decline in operating income. - FY2021AdvancedAnnual report
「In terms of profit, operating income was ¥3,627 million, up 57.0% year on year, and ordinary income was ¥3,738 million, up 57.4%, reflecting a lower cost of sales ratio due to changes in the product mix, as well as the effect of some expenses remaining unused as the group continued to thoroughly implement infection-prevention measures. Net income attributable to owners of the parent was ¥2,506 million, up 69.0%.」
The lower cost ratio resulting from changes in the product mix and unused expenses resulted in a 57.0% year-on-year increase in operating income. - FY2021-Q3AdvancedAnnual report
「In terms of profit, operating income was ¥3,666 million, up 48.7% year on year, reflecting a lower cost of sales ratio due to changes in the product mix, as well as the effect of some expenses remaining unused as the group continued to thoroughly implement infection-prevention measures.」
It explains that the lower cost of sales ratio resulting from changes in the product mix and unused expenses resulted in operating income of ¥3,666 million, up 48.7% year on year. - FY2021-Q2AdvancedAnnual report
「In terms of profit, operating income was ¥1,826 million, up 57.2% year on year, reflecting a lower cost of sales ratio due to changes in the product mix, as well as the effect of some expenses remaining unused as the group continued to implement infection-prevention measures.」
It explains that the lower cost of sales ratio resulting from changes in the product mix and unused expenses associated with infection-prevention measures resulted in operating income of ¥1,826 million, up 57.2% year on year. - FY2021-Q1Profit improvement from a lower cost ratio and unused travel expensesAnnual report
「In terms of profit, operating income was ¥1,046 million, up 129.6% year on year, reflecting a lower cost of sales ratio due to higher net sales and changes in the product mix, as well as the effect of travel and transportation expenses and other costs remaining unused in response to requests from the government and local authorities to refrain from going out.」
SG&A expenses and other costs were kept down by the lower cost of sales ratio and unused travel and transportation expenses, resulting in operating income of ¥1,046 million, up 129.6% year on year. - FY2020-Q3Increase in promotional expenses associated with growth investmentsAnnual report
「In terms of profit, operating income was ¥2,466 million, down 0.9% year on year, due in part to increased marketing costs aimed at strengthening the profitability of core-brand products and higher promotional expenses to expand sales of hot-pot seasonings.」
It explains that marketing investment in core brands and promotional expenses for expanding sales of hot-pot seasonings increased, resulting in a 0.9% year-on-year decline in operating income. - FY2020-Q2AdvancedAnnual report
「In terms of profit, the SG&A ratio remained below the level of the same period of the previous year, mainly due to lower advertising expenses. Operating income was ¥1,161 million, up 0.9% year on year. Ordinary income was ¥1,191 million, down 2.9%, due to the recognition of foreign exchange losses. Net income attributable to owners of the parent was ¥787 million, down 2.2%.」
It explains that the SG&A ratio fell below the level of the same period of the previous year due to lower advertising expenses, among other factors, resulting in a 0.9% year-on-year increase in operating income. The effects of cost efficiencies are shown in specific profit figures. - FY2017AdvancedAnnual report
「Selling, general and administrative expenses increased by ¥118 million, or 0.5%, from the previous fiscal year to ¥2,231 million, but the ratio to net sales fell by 0.3 percentage points to 43.4% because of the efficient management of expenses overall.」
It reports that more efficient cost management reduced SG&A expenses as a percentage of net sales by 0.3 percentage points. - FY2017-Q3RestatedAnnual report
「On the earnings front, although depreciation expenses for production equipment for portioned seasonings increased, the company strengthened the profitability of existing core household products and reduced energy costs, including electricity and utilities. Together with contributions from other businesses, this resulted in operating income of ¥2,248 million, up 4.2% year on year, ordinary income of ¥2,315 million, up 4.3%, and net income attributable to owners of the parent of ¥1,491 million, up 9.8%.」
The company continues to explain that expense efficiency, including lower energy costs, contributed to earnings, but does not describe any new changes to its measures. - FY2017-Q2AdvancedAnnual report
「On the earnings front, although depreciation expenses for production equipment for portioned seasonings increased, the company strengthened the profitability of existing core household products and reduced energy costs, including electricity and utilities. As a result, the cost of sales ratio remained at approximately the same level as in the same period of the previous year. Contributions from other businesses also helped, resulting in operating income of ¥1,095 million, up 0.3% year on year.」
In addition to its previous cost reduction efforts, the company specifically cites lower energy costs, including electricity and utilities, and explains that these offset the increase in depreciation expenses for production equipment. - FY2016First statedAnnual report
「On the earnings front, operating income was ¥1,754 million, up 6.3% year on year, partly because the head office relocation expenses incurred in the previous fiscal year were no longer incurred and the SG&A ratio fell below the previous year's level as a result of ongoing cost reduction efforts.」
The company cites cost reduction as an ongoing initiative and explains that lower SG&A expenses as a percentage of sales contributed to higher operating income.