Volatility in Selling Prices and Raw-Material Prices

「Raw materials △3 Raw materials △2」

「Cost of sales increased 3.4% from the previous consolidated fiscal year to ¥371,626 million, reflecting rising raw material and procurement prices.」

「Demand for cooked rice products remained solid, centered on aseptic rice products, despite another price revision in June. Revenue was ¥10,830 million, up 0.8% year on year. Although the June price revision increased revenue, the segment result was a ¥562 million loss, compared with segment profit of ¥319 million in the previous year, owing to further increases in raw material costs and higher depreciation expense associated with the launch of the new freeze-dried food plant.」

「Cost of sales increased 2.1% from the previous consolidated fiscal year to ¥356,291 million, reflecting rising raw material prices and labor costs. ... It was ¥27 million, down 96.3% year on year, mainly due to higher raw material and other costs resulting from soaring prices for rice used as a raw material.」

「Cost of sales increased 6.5% from the previous consolidated fiscal year to ¥348,909 million, reflecting rising raw material prices and labor costs.」

「The chilled foods business performed well, driven by active expansion of sales of core products and the launch of new products. As a result, sales rose to ¥43,136 million, up 8.0% year on year, while segment profit rose to ¥5,599 million, up 33.1% year on year, as the effects of price revisions and higher sales more than offset increases in raw material and manufacturing expenses.」

「In the seafood products business, as economic activity normalized following the easing of restrictions related to COVID-19, some products for mass retailers' prepared-food sections and food-delivery businesses performed sluggishly due to the resulting reversal. However, convenience-store customer traffic recovered, and demand for ingredients for commercial use and food-service operations began to recover in earnest. As a result, sales rose to ¥15,034 million, up 5.1% year on year, while segment profit was ¥165 million, down 32.9% year on year. Although sales increased overall, this reflected lower sales of some products and the inability to cover procurement costs, among other factors.」

「In the overseas instant noodle business, order volumes declined in the United States due to inventory adjustments by certain customers. In Mexico, however, both core cup noodle and bagged noodle products performed well, and revenue also benefited from higher selling prices following the price revisions implemented in the United States and Mexico in October 2022. As a result, revenue was ¥47,468 million, up 14.2% year on year. Segment profit was ¥9,195 million, up 44.0%, as revenue growth and other factors offset higher manufacturing costs resulting from increases in material and personnel expenses.」

「Segment profit was ¥149 million, down 49.1% year on year, because procurement prices for roe soared due to increased global demand and poor catches in overseas fishing grounds, while catches of tuna declined due in part to soaring fuel prices, causing raw material prices to rise.」

「The overseas instant noodle business implemented price revisions due to rising manufacturing costs and other factors. However, demand for instant noodles remained high as consumers continued to economize amid persistently high inflation. In the United States, revenue from bagged noodles increased, led by the core Ramen series, while cup noodles also generated higher revenue as the core Instant Lunch series, along with the Yakisoba and Bowl series, performed well. In Mexico, revenue increased as both the core cup noodle and bagged noodle products performed well. As a result, revenue was ¥88,526 million, up 76.8% year on year, and segment profit was ¥10,954 million, up 132.4%. Although higher prices for key raw materials increased material costs and manufacturing costs rose due to higher personnel expenses and other factors, these were offset by higher sales volumes and revenue growth resulting from the price revisions.」

「Segment profit was ¥118 million, down 10.7% year on year, due to higher procurement and logistics costs resulting from soaring purchase prices and crude oil prices.」

「Cost of sales increased 9.3% from the previous consolidated fiscal year to ¥270,977 million as raw material prices rose.」

「In the overseas instant noodle business, profit declined to ¥7,823 million, down 33.1% year on year, due to higher raw material costs resulting from rising prices for key raw materials and higher logistics costs resulting from increased freight rates.」

「In the seafood foods business, sales to the prepared-food sections of some supermarkets and food-delivery operations increased due to demand related to requests to refrain from going out and other measures to prevent the spread of COVID-19, but sales declined mainly because of lower sales volumes for products sold to convenience stores. As a result, net sales were ¥12,133 million, down 3.0% year on year. Segment profit was ¥100 million, down 53.7% year on year, despite higher profit from improved cost ratios for roe, due to soaring raw material prices for tuna, higher procurement costs for salmon and trout and other factors. In the overseas instant noodle business, factors increasing profit included the curtailment of promotional expenses, but profit declined to ¥4,713 million, down 39.9% year on year, due to higher raw material costs resulting from rising prices for key raw materials and higher logistics costs resulting from increased freight rates.」

「In the seafood foods business, sales to the prepared-food sections of some supermarkets and food-delivery operations increased due to demand related to requests to refrain from going out and other measures to prevent the spread of COVID-19, but sales declined due mainly to lower sales volumes to convenience stores. As a result, net sales were ¥6,238 million, down 6.5% year on year. Segment profit was ¥132 million, down 37.9% year on year, despite higher profit from improved cost ratios for roe, due to soaring raw material prices for tuna and other factors. In the overseas instant noodle business, factors increasing profit included the curtailment of promotional expenses, but profit declined to ¥2,912 million, down 36.7% year on year, due to higher raw material costs resulting from rising prices for key raw materials and higher logistics costs resulting from increased freight rates.」

「Cost of sales decreased 3.7% from the previous consolidated fiscal year to ¥252,261 million as raw material prices stabilized.」

「In the seafood foods business, sales to the prepared-food sections of some supermarkets and food-delivery operations increased due to demand related to requests to refrain from going out and other measures to prevent the spread of COVID-19, but sales volumes overall declined as sales to convenience stores fell. Sales also declined due to falling market prices for salmon and trout, the core products, and poor catches in the local fishing business. As a result, net sales were ¥20,011 million, down 12.9% year on year.」

「In the seafood foods business, sales to some supermarket and food-delivery operations increased due to demand related to requests to refrain from going out and other measures to prevent the spread of COVID-19, but demand from convenience stores, food-service operators and hotels declined, resulting in lower sales volumes overall. Sales also declined due to falling market prices for salmon and trout, the core products. As a result, net sales were ¥12,891 million, down 13.6% year on year.」

「The seafood foods business reported lower sales due to the impact of declining market prices for salmon and trout, its core products, and poor catches of fish in waters near Japan. As a result, net sales were ¥6,860 million, down 7.2% year on year.」

「The marine food business made efforts to sell at appropriate prices to convenience stores and mass retailers amid the effects of market fluctuations in core products such as salmon, trout, and roe, as well as higher prices for nearshore fish in Japan and overseas due to poor catches. However, sales volume declined amid intensifying competition. As a result, net sales were ¥22,966 million, down 0.7% year on year, and the business posted a segment loss of ¥209 million, compared with segment profit of ¥251 million in the same quarter of the previous year.」

「Amid rising production and supply costs, the domestic instant noodle business implemented price revisions from June 2019 to ensure the stable delivery of products of satisfactory quality to customers.」

「Amid rising production and supply costs, the domestic instant noodle business implemented price revisions from June 2019 to ensure the stable delivery of products of satisfactory quality to customers.」

「Cost of sales increased 5.3% from the previous consolidated fiscal year to ¥254,754 million, due to the impact of soaring raw material prices and other factors.」

「In the seafood foods business, fish prices continued to rise for overseas species such as salmon and trout, roe and mackerel, while poor catches of mackerel, squid and other species caught in waters near Japan also drove prices higher. Although the Company worked to sell products at appropriate prices, sales volumes declined, particularly for salmon and trout, roe and tuna products. As a result, net sales were ¥23,138 million, down 5.4% year on year. Segment profit was ¥251 million, down 29.2%.」

「In the seafood foods business, fish prices continued to rise due to lower catches. Although the Company worked to sell products at appropriate prices, sales volumes declined, particularly for salmon and trout, roe and tuna products. As a result, net sales were ¥15,353 million, down 4.2% year on year, and segment profit was ¥159 million, down 46.5%.」

「In the seafood foods business, fish prices continued to rise due to lower catches. Although the Company worked to sell products at appropriate prices, sales volumes declined, particularly for tuna and roe products. As a result, net sales were ¥7,865 million, down 4.3% year on year, and segment profit was ¥97 million, down 31.8%.」

「In the processed foods business, sales of retort-packaged rice products, including brown rice and sekihan, were strong in addition to the core aseptic packaged rice products. The number of stores carrying freeze-dried products also expanded steadily. As a result, net sales were ¥10,394 million, up 3.2% year on year, while segment profit was ¥124 million, down 62.1% year on year, due to higher raw rice prices and increased fixed costs in preparation for the start-up of a new plant.」

「In the chilled foods business, the core 「マルちゃん焼そば３人前」 series performed steadily in the fresh noodle business, while the 「極み太麺焼そば」 product launched in February 2017 and the microwaveable 「レンジで麺上手」 series also contributed, resulting in higher sales for fresh noodles overall. Segment profit increased to ¥1,482 million, up 27.3% year on year, due to growth in core products and lower raw material prices. In the processed foods business, sales of retort-packaged rice products, including brown rice and kamameshi, were strong in addition to the core aseptic packaged rice products, resulting in higher sales. Segment profit was ¥72 million, down 61.6% year on year, due to higher raw rice prices and increased fixed costs associated with the construction of a new plant.」

「Higher promotional expenses, including discount rebates and special-sale costs, have been a factor weighing on profitability.」

「Higher promotional expenses, including discount rebates and special-sale costs, have been a factor weighing on profitability.」