Interim report
Page 1
Disclaimer: This document is a translation of the Japanese original. The Japanese original has been disclosed in Japan in acc ordance with Japanese accounting standards and the Financial Instruments and Exchange Act. This document does not contain or constitute any guarantee and the Company will not compensate any losses and/or damage stemming from actions taken based on this document. In the case that there is any discrepancy between the Japanese original and this document, the Japanese original is assumed to be correct. Summary of Consolidated Financial Results for the Year Ended March 31, 2025 [Japanese GAAP] May 15, 202 5 Listed Company Name: Nisshin Seifun Group Inc. Registered on Tokyo Stock Exchange Code: 2002 URL: https://www.nisshin.com Representative: Kenji Takihara, Representative Director and President Contact: Reiko Adachi, Executive Officer and General Manager, Public Communications Department (General Administration Division) Tel.: +81-3-5282-6650 Date to hold the Ordinary General Meeting of Shareholders to approve results: June 26, 2025 Date to start distributing dividends: June 27, 2025 Date to submit the Securities Report: June 23, 2025 Supplementary materials for these consolidated financial results: Yes Results briefing for financial results: Yes (for analysts and institutional investors) (Figures shown are rounded down to the nearest million yen.) 1. Consolidated Financial Results for the Year Ended March 31, 2025 (April 1, 2024 to March 31, 2025) (1) Consolidated Business Results (Percentages represent year-on-year changes.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Million yen % Million yen % Million yen % Million yen % Fiscal 2025 851,486 (0.8) 46,380 (3.0) 49,210 (1.6) 34,684 9.3 Fiscal 2024 858,248 7.5 47,791 45.6 49,992 51.3 31,743 – (Note) Comprehensive income: Fiscal 2025: ¥14,969 million (down 83.5%) Fiscal 2024: ¥90,678 million (–%) Earnings per share Fully diluted earnings per share Return on shareholders’ equity Ordinary profit to total assets Operating profit to net sales Yen Yen % % % Fiscal 2025 117.33 – 7.0 6.1 5.4 Fiscal 2024 106.74 – 6.9 6.5 5.6 (Reference) Equity in earnings of affiliates: Fiscal 2025: ¥1,602 million Fiscal 2024: ¥1,774 million (2) Consolidated Financial Position Total assets Net assets Equity ratio Net assets per share Million yen Million yen % Yen March 31, 2025 789,713 502,570 61.4 1,674.04 March 31, 2024 826,702 516,381 60.5 1,682.11 (Reference) Equity capital: March 31, 2025: ¥485,005 million March 31, 2024: ¥500,302 million (3) Consolidated Cash Flows Net cash provided by (used in) operating activities Net cash provided by (used in) investing activities Net cash provided by (used in) financing activities Cash and cash equivalents at end of period Million yen Million yen Million yen Million yen Fiscal 2025 55,209 (34,961) (35,432) 92,005 Fiscal 2024 73,194 (30,944) (19,539) 107,681 2. Dividends Dividend per share Total dividends paid (annual) Payout ratio (consolidated) Dividends to net assets (consolidated) 1Q End 2Q End 3Q End Year-End Annual Yen Yen Yen Yen Yen Million yen % % Fiscal 2024 – 21.00 – 24.00 45.00 13,389 42.2 2.9 Fiscal 2025 – 25.00 – 30.00 55.00 16,133 46.9 3.3 Fiscal 2026 (forecast) – 30.00 – 30.00 60.00 44.6 (Note) From the fiscal year ended March 31, 2025, the Company's basic profit distribution policy is to pay dividends based on a standard consolidated dividend payout ratio that is calculated using profit attributable to owners of parent, excluding any profits or losses from non-recurring special factors. The consolidated payout ratio based on this policy for the fiscal year ended March 31, 2025, is 51.1%. The payout ratio for the fiscal year ending March 31, 2026, is forecast to be 48.7%.
Page 2
3. Forecast of Consolidated Financial Results for the Year Ending March 31, 2026 (April 1, 2025 to March 31, 2026) (The full-year percentages indicate the rates of increase or decrease compared with the previous fiscal year; the percentages for the first half are comparisons with the same period of the previous fiscal year.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Earnings per share Million yen % Million yen % Million yen % Million yen % Yen First half 435,000 1.3 24,000 (7.7) 26,000 (4.0) 19,000 (6.7) 65.58 Full year 870,000 2.2 50,000 7.8 53,000 7.7 39,000 12.4 134.61 * Notes (1) Significant changes in the scope of consolidation during the period: Non e (2) Changes in accounting policies, changes in accounting estimates and revisions restated 1) Changes in accounting policies associated with the revisions of accounting standards, etc.: None 2) Changes in accounting policies other than the above: None 3) Changes in accounting estimates: None 4) Revisions restated: None (3) Number of shares issued and outstanding (common stock) 1) Number of shares issued and outstanding (including treasury shares) As of March 31, 2025 290,657,891 As of March 31, 2024 304,357,891 2) Number of treasury shares As of March 31, 2025 936,739 As of March 31, 2024 6,931,745 3) Average number of shares outstanding Fiscal 2025 295,619,186 Fiscal 2024 297,389,720 * This Consolidated Financial Results is not subject to audit procedures by certified public accountants or the audit firm. * Statement regarding the proper use of financial forecasts and other special remarks The statements contained in this document are based on various assumptions and do not constitute any guarantee or definite promise that projections of future performance or related business policies will actually be realized.
Page 3
1 Consolidated Financial Statements and Related Notes (1) Consolidated Balance Sheets (Million yen) Fiscal 2024 (As of March 31, 2024) Fiscal 2025 (As of March 31, 2025) Assets Current assets Cash and deposits 109,470 93,968 Notes and accounts receivable - trade, and contract assets 114,536 109,547 Securities – 2,150 Inventories 124,878 120,641 Other 16,729 12,933 Allowance for doubtful accounts (541) (512) Total current assets 365,072 338,728 Non-current assets Property, plant and equipment Buildings and structures, net 72,092 77,665 Machinery, equipment and vehicles, net 66,504 74,633 Land 53,393 52,700 Construction in progress 20,158 21,913 Right-of-use assets, net 18,471 18,731 Other, net 5,196 5,355 Total property, plant and equipment 235,815 251,000 Intangible assets Goodwill 6,212 5,018 Other 15,350 15,956 Total intangible assets 21,563 20,975 Investments and other assets Investment securities 185,445 158,338 Retirement benefit asset 307 300 Deferred tax assets 12,539 11,871 Other 6,167 8,673 Allowance for doubtful accounts (208) (174) Total investments and other assets 204,250 179,009 Total non-current assets 461,629 450,984 Total assets 826,702 789,713
Page 4
2 (Million yen) Fiscal 2024 (As of March 31, 2024) Fiscal 2025 (As of March 31, 2025) Liabilities Current liabilities Notes and accounts payable - trade 76,198 64,872 Short-term borrowings 15,101 13,141 Income taxes payable 7,890 7,502 Accrued expenses 27,036 26,295 Other 37,344 35,502 Total current liabilities 163,571 147,313 Non-current liabilities Bonds payable 20,000 20,000 Long-term borrowings 12,014 11,244 Lease liabilities 39,929 40,148 Deferred tax liabilities 42,671 37,689 Provision for repairs 1,278 1,281 Retirement benefit liability 23,532 21,935 Long-term deposits received 5,642 5,710 Other 1,680 1,819 Total non-current liabilities 146,749 139,829 Total liabilities 310,321 287,143 Net assets Shareholders’ equity Share capital 17,117 17,117 Capital surplus 12,752 12,560 Retained earnings 344,428 341,375 Treasury shares (10,914) (1,470) Total shareholders’ equity 363,383 369,583 Accumulated other comprehensive income Valuation difference on available-for-sale securities 93,519 74,065 Deferred gains or losses on hedges 164 (112) Foreign currency translation adjustment 43,632 40,514 Remeasurements of defined benefit plans (398) 955 Total accumulated other comprehensive income 136,918 115,422 Non-controlling interests 16,078 17,564 Total net assets 516,381 502,570 Total liabilities and net assets 826,702 789,713
Page 5
3 (2) Consolidated Statements of Income and Comprehensive Income [Consolidated Statements of Income] (Million yen) Fiscal 2024 (April 1, 2023 to March 31, 2024) Fiscal 2025 (April 1, 2024 to March 31, 2025) Net sales 858,248 851,486 Cost of sales 674,115 661,306 Gross profit 184,132 190,179 Selling, general and administrative expenses 136,341 143,799 Operating profit 47,791 46,380 Non-operating income Interest income 563 971 Dividend income 2,711 3,296 Share of profit of entities accounted for using equity method 1,774 1,602 Rental income 294 290 Foreign exchange gains 730 – Other 1,034 1,349 Total non-operating income 7,109 7,510 Non-operating expenses Interest expenses 3,770 3,774 Other 1,137 906 Total non-operating expenses 4,907 4,680 Ordinary profit 49,992 49,210 Extraordinary income Gain on sale of non-current assets 281 143 Gain on sale of investment securities 436 7,404 Total extraordinary income 718 7,547 Extraordinary losses Loss on retirement of non-current assets 605 962 Impairment losses 1,254 70 Business restructuring expenses – 2,275 Other – 135 Total extraordinary losses 1,860 3,443 Profit before income taxes 48,850 53,313 Income taxes - current 13,697 14,954 Income taxes - deferred 2,285 2,428 Total income taxes 15,982 17,383 Profit 32,868 35,930 Profit attributable to non-controlling interests 1,125 1,245 Profit attributable to owners of parent 31,743 34,684
Page 6
4 [Consolidated Statements of Comprehensive Income] (Million yen) Fiscal 2024 (April 1, 2023 to March 31, 2024) Fiscal 2025 (April 1, 2024 to March 31, 2025) Profit 32,868 35,930 Other comprehensive income Valuation difference on available-for-sale securities 41,322 (19,503) Deferred gains or losses on hedges 180 (240) Foreign currency translation adjustment 15,707 (2,907) Remeasurements of defined benefit plans, net of tax 214 1,237 Share of other comprehensive income of entities accounted for using equity method 386 453 Total other comprehensive income 57,810 (20,960) Comprehensive income 90,678 14,969 Comprehensive income attributable to Comprehensive income attributable to owners of parent 88,865 13,188 Comprehensive income attributable to non-controlling interests 1,812 1,780
Page 7
5 (3) Consolidated Statements of Changes in Equity Fiscal 2024 (April 1, 2023 to March 31, 2024) (Million yen) Shareholders’ equity Share capital Capital surplus Retained earnings Treasury shares Total shareholders’ equity Balance at beginning of period 17,117 12,728 325,181 (10,989) 344,037 Changes during period Dividends of surplus (12,496) (12,496) Profit attributable to owners of parent 31,743 31,743 Purchase of treasury shares (120) (120) Disposal of treasury shares 7 195 202 Change in ownership interest of parent due to transactions with non- controlling interests 16 16 Net changes in items other than shareholders’ equity Total changes during period – 24 19,246 74 19,345 Balance at end of period 17,117 12,752 344,428 (10,914) 363,383 Accumulated other comprehensive income Share acquisition rights Non- controlling interests Total net assets Valuation difference on available- for-sale securities Deferred gains or losses on hedges Foreign currency translation adjustment Remeasurements of defined benefit plans Total accumulated other comprehensive income Balance at beginning of period 52,044 (13) 28,352 (588) 79,795 44 14,621 438,499 Changes during period Dividends of surplus (12,496) Profit attributable to owners of parent 31,743 Purchase of treasury shares (120) Disposal of treasury shares 202 Change in ownership interest of parent due to transactions with non- controlling interests 16 Net changes in items other than shareholders’ equity 41,474 178 15,280 190 57,122 (44) 1,456 58,535 Total changes during period 41,474 178 15,280 190 57,122 (44) 1,456 77,881 Balance at end of period 93,519 164 43,632 (398) 136,918 – 16,078 516,381
Page 8
6 Fiscal 2025 (April 1, 2024 to March 31, 2025) (Million yen) Shareholders’ equity Share capital Capital surplus Retained earnings Treasury shares Total shareholders’ equity Balance at beginning of period 17,117 12,752 344,428 (10,914) 363,383 Changes during period Dividends of surplus (14,579) (14,579) Profit attributable to owners of parent 34,684 34,684 Purchase of treasury shares (14,130) (14,130) Disposal of treasury shares 0 211 211 Cancellation of treasury shares (191) (23,170) 23,362 – Changes due to changes in the accounting period of consolidated subsidiaries 13 13 Net changes in items other than shareholders’ equity Total changes during period – (191) (3,052) 9,443 6,199 Balance at end of period 17,117 12,560 341,375 (1,470) 369,583 Accumulated other comprehensive income Non- controlling interests Total net assets Valuation difference on available-for- sale securities Deferred gains or losses on hedges Foreign currency translation adjustment Remeasurements of defined benefit plans Total accumulated other comprehensive income Balance at beginning of period 93,519 164 43,632 (398) 136,918 16,078 516,381 Changes during period Dividends of surplus (14,579) Profit attributable to owners of parent 34,684 Purchase of treasury shares (14,130) Disposal of treasury shares 211 Cancellation of treasury shares – Changes due to changes in the accounting period of consolidated subsidiaries 13 Net changes in items other than shareholders’ equity (19,453) (277) (3,118) 1,353 (21,496) 1,486 (20,009) Total changes during period (19,453) (277) (3,118) 1,353 (21,496) 1,486 (13,810) Balance at end of period 74,065 (112) 40,514 955 115,422 17,564 502,570
Page 9
7 (4) Consolidated Statements of Cash Flows (Million yen) Fiscal 2024 (April 1, 2023 to March 31, 2024) Fiscal 2025 (April 1, 2024 to March 31, 2025) Cash flows from operating activities Profit before income taxes 48,850 53,313 Depreciation 22,999 23,768 Impairment losses 1,254 70 Business restructuring expenses – 2,275 Amortization of goodwill 1,291 1,193 Interest and dividend income (3,274) (4,267) Interest expenses 3,770 3,774 Share of loss (profit) of entities accounted for using equity method (1,774) (1,602) Loss (gain) on sale of investment securities (436) (7,381) Decrease (increase) in accounts receivable - trade, and contract assets (3,175) 3,754 Decrease (increase) in inventories 9,054 826 Increase (decrease) in trade payables 364 (11,130) Increase (decrease) in accounts payable - other, and accrued expenses 7,902 (5,889) Other, net 6,574 4,657 Subtotal 93,400 63,363 Interest and dividends received 3,296 5,122 Interest paid (3,796) (3,751) Income taxes paid (19,705) (9,524) Net cash provided by (used in) operating activities 73,194 55,209 Cash flows from investing activities Payments into time deposits (2,535) (5,975) Proceeds from withdrawal of time deposits 777 3,985 Purchase of property, plant and equipment and intangible assets (29,191) (41,468) Proceeds from sale of investment securities 1,451 9,008 Purchase of shares of subsidiaries resulting in change in scope of consolidation (930) – Other, net (515) (510) Net cash provided by (used in) investing activities (30,944) (34,961) Cash flows from financing activities Net increase (decrease) in short-term borrowings 24 (460) Repayments of long-term borrowings (2,126) (1,675) Purchase of treasury shares (120) (14,130) Dividends paid (12,496) (14,579) Repayments of lease liabilities (4,518) (4,302) Other, net (301) (283) Net cash provided by (used in) financing activities (19,539) (35,432) Effect of exchange rate changes on cash and cash equivalents 1,999 (512) Net increase (decrease) in cash and cash equivalents 24,709 (15,696) Cash and cash equivalents at beginning of period 82,971 107,681 Net increase (decrease) in cash and cash equivalents due to changes in the accounting period of consolidated subsidiaries – 21 Cash and cash equivalents at end of period 107,681 92,005
Page 10
8 [Notes on Segment Information, etc.] [Segment Information] Information on net sales, profit (loss), assets and other items by reportable segment Year Ended March 31, 2024 (April 1, 2023 to March 31, 2024) (Million yen) Reportable segment Others (Note 1) Total Adjustment (Note 2) Carried on consolidated financial statements (Note 3) Flour Milling Processed Food Prepared Dishes and Other Prepared Foods Total Net sales Sales to external customers 458,226 201,073 153,573 812,873 45,375 858,248 – 858,248 Intersegment sales and transfers 19,367 1,796 4,257 25,422 3,437 28,860 (28,860) – Total 477,594 202,870 157,831 838,296 48,813 887,109 (28,860) 858,248 Segment profit 28,570 8,356 5,396 42,324 5,409 47,733 57 47,791 Segment assets 356,560 170,455 82,732 609,747 71,332 681,080 145,622 826,702 Other items Depreciation 11,853 5,948 4,050 21,852 1,407 23,259 (259) 22,999 Investment for affiliates accounted for by the equity method 4,980 158 – 5,139 18,680 23,819 – 23,819 Increase in property, plant and equipment and intangible assets 20,611 5,589 2,829 29,030 2,192 31,222 (210) 31,011 Notes: 1. Business segment of “Others” is excluded from reportable segment, which includes engineering, mesh cloths, handling and storage businesses. 2. Segment profit adjustment refers to intersegment transaction eliminations and other. The adjustment to segment assets totaling ¥145,622 million includes the intersegment offset elimination of assets (-¥124,951 million) and group- wide assets that are not allocated to specific segments (¥270,573 million). The primary group-wide assets that are not allocated to specific segments are investment securities. 3. Segment profit has been adjusted for the operating profit appearing in the consolidated statements of income. Year Ended March 31, 2025 (April 1, 2024 to March 31, 2025) (Million yen) Reportable segment Others (Note 1) Total Adjustment (Note 2) Carried on consolidated financial statements (Note 3) Flour Milling Processed Food Prepared Dishes and Other Prepared Foods Total Net sales Sales to external customers 443,592 206,252 156,076 805,921 45,565 851,486 – 851,486 Intersegment sales and transfers 19,541 1,816 4,395 25,753 5,232 30,985 (30,985) – Total 463,133 208,068 160,472 831,674 50,797 882,471 (30,985) 851,486 Segment profit 28,119 6,405 5,832 40,358 6,250 46,608 (228) 46,380 Segment assets 365,736 166,193 76,212 608,142 78,757 686,899 102,813 789,713 Other items Depreciation 12,397 6,020 4,082 22,499 1,550 24,049 (281) 23,768 Investment for affiliates accounted for by the equity method 5,572 157 – 5,729 19,186 24,916 – 24,916 Increase in property, plant and equipment and intangible assets 30,149 6,920 3,972 41,043 1,353 42,396 (708) 41,687 Notes: 1. Business segment of “Others” is excluded from reportable segment, which includes engineering, mesh cloths, handling and storage businesses.
Page 11
9 2. Segment profit adjustment refers to intersegment transaction eliminations and other. The adjustment to segment assets totaling ¥102,813 million includes the intersegment offset elimination of assets (-¥110,530 million) and group- wide assets that are not allocated to specific segments (¥213,344 million). The primary group-wide assets that are not allocated to specific segments are investment securities. 3. Segment profit has been adjusted for the operating profit appearing in the consolidated statements of income.