Development and Aggressive Pricing by Competing Products

「The gross margin declined as discounting increased in response to the preference for low prices, while gross profit declined with the decrease in sales. As a result, operating income was ¥660.319 million, down 21.5% year on year, and ordinary income was ¥693.429 million, down 17.9%.」

「In terms of earnings, the gross margin declined because discounting increased amid intensifying price competition, while gross profit declined with the decrease in sales, resulting in」

「In the boneless fish business, the company worked to expand sales of its proprietary products, including the “Dice-Cut Series,” but sales were ¥9,036.181 million, down 13.4% year on year, due to lower sales volumes resulting from users’ preference for low prices.」

「In the boneless-fish business, we worked to expand sales of proprietary products such as the Diced Series, but sales declined to ¥4,612.800 million, down 15.0% year on year, due mainly to lower sales volumes reflecting users' preference for lower prices.」

「In terms of earnings, the company continued efforts to reduce procurement costs, including through direct trade. However, due to a decline in the gross margin resulting from the response to price competition and higher labor costs resulting from substantial wage increases, operating income was ¥316.348 million, down 10.1% year on year, ordinary income was ¥332.010 million, down 11.0%, and quarterly net income was ¥231.279 million, down 8.0%.」

「There were no newly arising business or other risks during the cumulative first quarter. There were also no material changes to the business or other risks described in the securities report for the previous fiscal year.」

「However, competitors may develop boneless fish and meat products that are even better than ours, or sell boneless fish and meat products at lower prices using technology similar to ours, which could reduce the competitiveness of our products.」

「In the boneless fish business, the company worked to expand sales of new products and private-label products for affiliated organizations, but sales were ¥11,039.416 million, down 4.9% year on year, due to slower sales resulting from price competition with other companies.」

「In the boneless fish business, the company worked to expand sales of new products and private-label products for affiliated organizations, but sales were ¥8,633.807 million, down 4.2% year on year, because price competition with other companies was severe.」

「In the boneless fish business, the company worked to expand sales of products including private-label products for affiliated organizations, but sales were ¥5,619.982 million, down 3.4% year on year, because price competition with other companies was severe.」

「There were no newly arising business or other risks during the cumulative first quarter. There were also no material changes to the business or other risks described in the securities report for the previous fiscal year.」

「There were no newly arising business or other risks during the cumulative third quarter. There were also no material changes to the business or other risks described in the securities report for the previous fiscal year.」

「There were no newly arising business or other risks during the cumulative second quarter. There were also no material changes to the business or other risks described in the securities report for the previous fiscal year.」

「There were no newly arising business or other risks during the cumulative first quarter, and there were no material changes to the business or other risks described in the securities report for the previous fiscal year.」

「The company worked to expand sales of new products such as boneless fish, but sales were ¥12,174.253 million, down 1.3% year on year, due in part to discounting resulting from price competition.」

「In the boneless fish business, the company worked to expand sales of new products such as boneless fish, but sales were ¥9,408.935 million, down 1.5% year on year, due in part to discounting resulting from price competition.」

「In the boneless fish business, the company worked to expand sales of products including private-label products for affiliated organizations, but sales were ¥6,081.371 million, down 3.9% year on year, due in part to discounting resulting from price competition.」

「In the boneless fish business, the company worked as a group to expand sales of products including private-label products for major wholesalers, but sales were ¥2,947.193 million, down 5.5% year on year, due in part to discounting resulting from price competition.」

「Competitors may develop boneless fish and meat products that are even better than ours, or sell boneless fish and meat products at lower prices using technology similar to ours, which could reduce the competitiveness of our products.」

「There were no newly arising business or other risks during the cumulative third quarter, and there were no material changes to the business or other risks described in the securities report submitted for the previous fiscal year.」

「There were no newly arising business or other risks during the cumulative second quarter, and there were no material changes to the business or other risks described in the securities report for the previous fiscal year.」

「In the boneless fish business, sales were ¥3,119.750 million, down 7.0% year on year, due in part to price competition with other companies’ products.」

「Competitors may develop boneless fish and meat products that are even better than ours, or sell boneless fish and meat products at lower prices using technology similar to ours, which could reduce the competitiveness of our products.」