Photo: Kyokuyo/FIS

Kyokuyo Co., Ltd. Reports Mixed Q2 Results, Maintains Full-Year Forecast

JAPAN
Wednesday, November 05, 2025, 09:00 (GMT + 9)

Interim Net Income Rises, but Operating and Ordinary Income Decline

Tokyo - Kyokuyo Co., Ltd. (1301) today announced its consolidated financial results for the second quarter (interim period) of the fiscal year ending March 2026 (April 1, 2025, to September 30, 2025). The company reported increased revenue and a rise in net income attributable to the parent company, but experienced decreases in both operating and ordinary income compared to the same period last year.

Kyokuyo reported Net Sales of ¥155,996 million ($1,015.85 million), an increase of 11.0% from the previous interim period. However, Operating Income fell by 16.6% to ¥4,555 million ($29.64 million), and Ordinary Income decreased by 21.5% to ¥4,172 million ($27.15 million). Despite the income declines, Net Income Attributable to Owners of Parent saw a 3.9% increase, totaling ¥2,814 million ($18.31 million).

The company's performance was influenced by a challenging environment, including cautionary consumer spending due to rising prices, rapid exchange rate fluctuations (Yen depreciation), and an unstable global situation.

Segment Performance (Interim Period)

Kyokuyo operates across four main segments:

• Marine Products Business: Sales increased by 17.1% to ¥87,230 million ($567.68 million), driven by strong demand for mackerel and high-priced scallops (especially in exports). However, profit decreased by 15.2% to ¥2,667 million ($17.36 million), primarily due to a market downturn in key fish species like salmon.

  

• Fresh Foods Business: Sales increased by 7.1% to ¥34,324 million ($223.38 million), with expanded sales and profit from tuna (bluefin, bigeye, and yellowfin) amid rising prices, and improved sales of raw food materials like sushi ingredients. However, operating income decreased by 9.4% to ¥1,491 million ($9.70 million) due to decreased catches in the skipjack tuna purse seine fishing operation.

  

• Processed Foods Business: Sales increased by 1.3% to ¥33,325 million ($216.88 million), but profit declined by 14.2% to ¥1,213 million ($7.89 million). Sales of products like bone-free fillets decreased due to intense price competition with inexpensive overseas products, while rising raw material costs and price revisions led to sluggish sales of frozen products like cooked/grilled fish.

  

• Logistics Services Business: Sales decreased slightly by 1.3% to ¥827 million ($5.38 million), but operating income increased by 2.3% to ¥154 million ($1.00 million) due to improved profitability from price revisions reflecting rising expenses in the freight forwarding business.

Financial Condition

As of September 30, 2025, the company's financial status was as follows:

• Total Assets rose by ¥17,901 million ($116.50 million) from the end of the previous fiscal year to ¥200,027 million ($1,301.61 million). This was mainly due to an increase in inventories.

• Total Liabilities increased by ¥14,265 million ($92.83 million) to ¥128,035 million ($833.24 million), primarily due to an increase in short-term borrowings.

• Total Net Assets increased by ¥3,636 million ($23.66 million) to ¥71,992 million ($468.52 million).

• The Equity Ratio stood at 35.2%, a decrease of 1.3 percentage points from the previous fiscal year end.

Earnings Forecast and Dividends

Kyokuyo has made no revisions to its consolidated full-year earnings forecast announced on May 12, 2025.

The company also projects an annual dividend of ¥150.00 ($0.98) per share for the fiscal year ending March 2026, an increase from ¥130.00 ($0.85) in the previous year.

[email protected]
www.seafood.media

Print