Nichirei (2871) Q4 2025 earnings summary

Executive summary

• FY25/3 saw record highs in net sales, operating profit, and EPS, though profits fell short of the previous plan.

• Net sales increased to ¥702.1B for FY ended March 31, 2025, up from ¥680.1B YoY.

• New long-term goal “N-FIT 2035” targets 10% operating margin, 10% ROIC, 40% overseas sales ratio, and 8%+ operating profit CAGR.

• The new medium-term plan “Compass × Growth 2027” focuses on deepening competitive advantages, overseas expansion, and human capital management.

• Comprehensive income declined to ¥30.5B, down 22.1% YoY.

Financial highlights

• FY25/3 net sales: ¥702.1B (+3% YoY); operating profit: ¥38.3B (+4% YoY); profit attributable to owners: ¥24.7B (+1% YoY); EPS: ¥97.3 (+2% YoY).

• EBITDA: ¥62.6B (+2% YoY); ROIC: 7.4%; ROE: 9.6%.

• Gross profit increased to ¥126.2B from ¥120.1B YoY.

• Cash and cash equivalents at period end were ¥35.9B, up from ¥29.7B.

• Dividend per share for FY25/3 was ¥92.00, including a ¥10.00 special dividend.

Outlook and guidance

• FY26/3 forecast: net sales ¥700.0B (flat YoY), operating profit ¥45.0B (+17% YoY), profit attributable to owners ¥29.5B (+19% YoY), EPS ¥117.7 (+21% YoY).

• Overseas net sales expected to rise 5% on North America and Europe growth.

• ROIC and EPS forecasted at 8% and ¥118, respectively.

• Dividend forecast for FY26/3 is ¥47.00 per share.

• Processed Foods and Temperature-controlled Logistics to drive profit growth; Marine, Meat, and Poultry to see lower sales due to structural reforms.