meito (2207.T) announced its full-year results for the fiscal year ending March 2026. Revenue increased in all 3 business segments, but operating profit fell short of the previous year due to 80th-anniversary project costs and inventory valuation losses. Operating profit is expected to rise 46.3% next fiscal year, while net profit is expected to decline from the previous fiscal year.
Consolidated revenue for the fiscal year ending March 2026 was ¥29.106 billion, up 3.7% year on year, while operating profit was ¥1.23 billion, down 12.5%. The full-year decline in profit was due to the burden of costs for the company’s 80th-anniversary project and inventory valuation losses. Although revenue increased across the segments, profit contracted.
By segment, the Food Business posted revenue of ¥25.166 billion, up 3.1% from the previous fiscal year, and segment profit of ¥1.739 billion, up 17.8%, representing a significant improvement. The Chemical Products Business, whose revenue rose by just over 40%, recorded segment profit of ¥808 million, down year on year, as deterioration in the cost ratio weighed on earnings. The Real Estate Business posted revenue of ¥393 million, up 42.3%, and segment profit of ¥198 million, up 110.3%, marking substantial growth.
Net profit attributable to owners of the parent was ¥3.067 billion, down 35.0% year on year. Ordinary profit rose 9% and remained firm as a factor supporting earnings growth, but the reversal of gains on sales recorded in the previous fiscal year had a significant impact. In terms of financial position, total assets increased, while operating cash flow was negative ¥708 million and investing cash flow was negative ¥9.296 billion, representing substantial cash outflows. Capital investment increased significantly.
For the fiscal year ending March 2027, the company forecasts revenue of ¥30.5 billion, operating profit of ¥1.8 billion, ordinary profit of ¥3 billion, and net profit attributable to owners of the parent of ¥2.1 billion. Operating profit is expected to rise 46.3%, assuming no promotional expenses related to the 80th anniversary. Although the forecast for net profit incorporates the reversal of gains on sales of investment securities, the company says there is room for an upward revision depending on gains from the sale of securities whose issuers have not yet been determined.