Sakata Seed, a major seed company, posted consolidated net sales of ¥24.7 billion and operating profit of ¥3.39 billion for the June–August period, while operating profit from its overseas wholesale business declined. Full-year operating profit is expected to be ¥13.5 billion, and the company is expected to maintain its annual dividend at ¥90.
Sakata Seed announced that consolidated net sales for the June–August period rose 7.2% year on year to ¥24.7 billion, while consolidated operating profit was ¥3.39 billion. Gross profit margin declined 2.6 percentage points, and selling, general and administrative expenses increased 13.8%. Operating profit from the overseas wholesale business was ¥3.81 billion, down 27.1% year on year.
The full-year operating profit forecast was maintained at ¥13.5 billion, up 2.9% from the previous fiscal year. First-quarter operating profit represented 56.5% of the ¥6 billion first-half forecast. The company also maintained its annual dividend forecast at ¥90.
The results suggest that lower profit from the overseas wholesale business and higher selling, general and administrative expenses affected earnings, with future performance likely to depend on a recovery in the overseas business.
The dividend plan remains unchanged, and the company’s policy on shareholder returns has also been reported as unchanged.