News Release
Financial results
FUJI OIL HOLDINGS
Announcement of the Settlement of Accounts for the Third Quarter of the Year Ending March 2016
2016.2.5
(Note) Figures shown have been rounded down to the nearest million yen
Our settlement of accounts for the third quarter of the year ending March 2016 was announced on the afternoon of Friday, February 5 at the Tokyo Stock Exchange Press Club. An outline of the accounts is presented below.
Consolidated Results for the Third Quarter of the Year Ending March 2016 (April 1, 2015 to December 31, 2015)
Consolidated operating results (total)
(% is in comparison to the previous year)
| Revenue | Operating profit | Ordinary profit | Net income attributable to owners of parent | |||||
|---|---|---|---|---|---|---|---|---|
| (millions of yen) | (%) | (millions of yen) | (%) | (millions of yen) | (%) | (millions of yen) | (%) | |
| Third quarter of the year ending March 2016 | 214,413 | 6.4 | 12,632 | 16.8 | 10,406 | (2.7) | 6,386 | (14.1) |
| Third quarter of the year ending March 2015 | 201,568 | 7.1 | 10,810 | (11.0) | 10,696 | (9.3) | 7,435 | 11.3 |
- *Comprehensive income:
-
- 3Q for year ending March 2016: -64 million yen (-100.5%)
- 3Q for year ending March 2015: 12,245 million yen (-0.5%)
Overview of the third quarter of the year ending March 2016
The Japanese economy during the company’s third quarter period saw a continued moderate recovery due to financial and fiscal policies by the government and the Bank of Japan. Although the global economy tended towards a moderate recovery, due to the effect of slower growth in China and other developing countries, fears of a slow down in the global economy grew and lead to the continuation of a state of uncertainty.
The domestic food industry in which our group is placed continued to face adverse business conditions as a result of sustained high raw material prices following the continuation of the weak yen.
Against this backdrop, our rolling midterm management plan called “Renaissance Fuji 2017” (April 2015 - March 2018) sets forth “promotion / acceleration of global management”, “promotion / acceleration of technological management” and “promotion / acceleration of sustainable management” as our fundamental policies and we have been enhancing operational strength through growth strategy, profit structure reform, and the construction of a supply chain, and engaging in product development fitting the needs of customers, delivering high-functionality ingredients.
As a result, for the consolidated cumulative third quarter period, we achieved revenue of 214,413 million yen (increase of 6.4% y-o-y), operating profit of 12,632 million yen (increase of 16.8% y-o-y), ordinary profit of 10,406 million yen (decrease of 2.7% y-o-y) and net income attributable to owners of parent of 6,386 million yen (decrease of 14.1% y-o-y).
Overviews by division are as follows:
Oils and Fats Processing Division
| FY2014 Q3 Total | FY2015 Q3 Total | Comparison to the previous year | ||
|---|---|---|---|---|
| Difference (amount) | Difference (ratio) | |||
| Revenue | 773 | 816 | +43 | +5.5% |
| Operating profit | 42 | 47 | +5 | +11.9% |
Domestically, increased sales of frying oil, coconut oil for confectionery oils and fats, palm oil, and hard butters for chocolate lead to an increase in revenue.
Overseas, revenue increased overall due to factors including extended sales mainly in the Americas and favorable yen conversion rates due to the weakened yen.
In terms of profit, overall profits from overseas increased due to increased profits in Asia.
Through these results, this division achieved a revenue volume of 81,583 million yen (increase of 5.5% y-o-y) and an operating profit of 4,662 million yen (increase of 11.9% y-o-y).
Confectionery and Bakery Ingredients Division
| FY2014 Q3 Total | FY2015 Q3 Total | Comparison to the previous year | ||
|---|---|---|---|---|
| Difference (amount) | Difference (ratio) | |||
| Revenue | 945 | 1,020 | +74 | +7.9% |
| Operating profit | 63 | 69 | +6 | +9.2% |
Domestically, revenue increased for chocolate mainly due to growth in revenue of sweet chocolate, while revenue of creams and prepared products decreased. Revenue of margarines, shortenings, and fillings increased, leading to increased revenue for Japan overall.
In terms of profits, increased profits were seen due to increased sales and sales price revisions, despite increasing raw material prices.
Overseas, sales of chocolate, cream, margarine, and fillings progressed steadily, resulting in a revenue increase.
In terms of profits, a decrease was seen due to an increase in costs resulting from the accrual of costs related to the stock acquisition of the Brazilian consolidated subsidiary Harald.
Through these results, this division achieved a revenue volume of 101,972 million yen (increase of 7.9% y-o-y) and an operating profit of 6,885 million yen (increase of 9.2% y-o-y).
Soy Protein Division
| FY2014 Q3 Total | FY2015 Q3 Total | Comparison to the previous year | ||
|---|---|---|---|---|
| Difference (amount) | Difference (ratio) | |||
| Revenue | 297 | 309 | +12 | +3.9% |
| Operating profit | 3 | 11 | +7 | +220.3% |
Soy protein ingredients saw declines in sales for meat and fisheries, but sales progressed for health foods, prepared foods, and processed foods, resulting in an overall revenue increase.
Functional food ingredients improved in revenue following extended sales in products for beverages. Soy protein products saw lower revenue in products for instant noodles, catering foods and the fishery market. Revenue of soy milk increased as sales of soy milk beverages and other products progressed steadily.
As such, the division saw an overall increase in revenue.
Profits increased due to factors including increased profits from sales growth and cost reductions.
Through these results, this division achieved a revenue volume of 30,857 million yen (increase of 3.9% y-o-y) and an operating profit of 1,084 million yen (increase of 220.3% y-o-y).
Predictions for Consolidated Results for the Year Ending March 2016 (Wednesday, April 01, 2015 to Thursday, March 31, 2016)
(% is in comparison to the previous year)
| Revenue | Operating profit | Ordinary profit | Net income attributable to owners of parent | Net income per share | |||||
|---|---|---|---|---|---|---|---|---|---|
| (millions of yen) | (%) | (millions of yen) | (%) | (millions of yen) | (%) | (millions of yen) | (%) | (yen) | |
| Full Year | 300,000 | 10.3 | 16,000 | 12.6 | 14,400 | 7.4 | 9,500 | 1.8 | 110.52 |
(Note) No revisions for forecast consolidated figures were made this quarter
* Qualitative information regarding forecast consolidated figures
No revisions have been made for the full-year forecast announced on Friday, November 6, 2015.
Revisions will promptly be announced if deemed necessary after determining the changes that may arise in the Company’s business environment.
* Explanation and other notes regarding appropriate utilization of the predictions
The forecasts above have been made based on assumptions deemed rational together with information available at the time of this announcement, and the actual results may differ from these forecasts due to various factors.
End of report
More Detail
Overview of Consolidated Profits and Losses
(Units: 100m yen)
| FY2014 Q3 Total | FY2015 Q3 Total | Comparison to the previous year | |||
|---|---|---|---|---|---|
| Difference (amount) | Difference (ratio) | ||||
| Revenue | Oils and Fats | 773 | 816 | +43 | +5.5% |
| Confectionery and Bakery Ingredients | 945 | 1,020 | +74 | +7.9% | |
| Soy Protein | 297 | 309 | +12 | +3.9% | |
| Total | 2,016 | 2,144 | +128 | +6.4% | |
| Operating profit | Oils and Fats | 42 | 47 | +5 | +11.9% |
| Confectionery and Bakery Ingredients | 63 | 69 | +6 | +9.2% | |
| Soy Protein | 3 | 11 | +7 | +220.3% | |
| Total | 108 | 126 | +18 | +16.8% | |
| Operating profit ratio | 5.4% | 5.9% | +0.5p | － | |
| Ordinary profit | 107 | 104 | (3) | (2.7%) | |
| Net income attributable to owners of parent | 74 | 64 | (10) | (14.1%) | |
| Comprehensive income for quarter | 122 | (1) | (123) | － | |
Consolidated Profits and Losses by Area
(Units: 100m yen)
| FY2014 Q3 Total | FY2015 Q3 Total | Comparison to the previous year | |||
|---|---|---|---|---|---|
| Difference (amount) | Difference (ratio) | ||||
| Revenue | Japan | 1,324 | 1,363 | +39 | +3.0% |
| Asia | 388 | 391 | +3 | +0.8% | |
| Europe and North America | 304 | 391 | +86 | +28.3% | |
| Total | 2,016 | 2,144 | +128 | +6.4% | |
| Operating profit | Japan | 71 | 91 | +20 | +28.1% |
| Asia | 16 | 30 | +14 | +85.9% | |
| Europe and North America | 18 | 8 | (10) | (54.1%) | |
| Elimination | 3 | (3) | (6) | － | |
| Total | 108 | 126 | +18 | +16.8% | |
[Summary of Results]
Japan:
Increased revenue and profits through increased sales of oils and fats, confectionery and bakery ingredients and soy protein.
Asia:
Increased profits through increased revenue of chocolate, creams, and margarines.
Europe and North America:
Decreased profits due to factors including increased costs through the accrual of costs related to the stock acquisition of Harald.
Consolidated Operating Profit Transition by Quarter
(Units: 100m yen)
| Q1 (three months) | Year-on- year comparison | Q2 (three months) | Year-on- year comparison | Q3 (three months) | Year-on- year comparison | Q3 Total | Year-on- year comparison | |
|---|---|---|---|---|---|---|---|---|
| Oils and Fats | 9 | (3) | 13 | (2) | 24 | +9 | 47 | +5 |
| Confectionery and Bakery Ingredients | 14 | (7) | 22 | +8 | 33 | +5 | 69 | +6 |
| Soy Protein | 2 | (0) | 4 | +3 | 5 | +4 | 11 | +7 |
| Total | 25 | (10) | 39 | +10 | 62 | +18 | 126 | +18 |
| Q1 (three months) | Year-on- year comparison | Q2 (three months) | Year-on- year comparison | Q3 (three months) | Year-on- year comparison | Q3 Total | Year-on- year comparison | |
|---|---|---|---|---|---|---|---|---|
| Japan | 18 | (3) | 25 | +9 | 48 | +14 | 91 | +20 |
| Asia | 11 | +4 | 11 | +4 | 9 | +7 | 30 | +14 |
| Europe and North America | (0) | (6) | 4 | (1) | 5 | (3) | 8 | (10) |
| Elimination | (4) | (4) | (1) | (1) | +1 | (0) | (3) | (6) |
| Total | 25 | (10) | 39 | +10 | 62 | +18 | 126 | +18 |
Consolidated Balance Sheet
(Units: 100m yen)
| FY2014 end of year | FY2015 end of Q3 | Comparison to the previous end of year | Main factors for increase/ decrease | |
|---|---|---|---|---|
| Current assets | 1,186 | 1,441 | +255 | Gain of assets from new consolidation of Harald, etc. |
| Fixed assets | 1,051 | 1,329 | +279 | Accrued amortization due to new consolidation of Harald and gained assets, etc. |
| Total assets | 2,236 | 2,770 | +534 | |
| Interest-bearing liabilities | 296 | 721 | +426 | Increase in loans due to acquisition of Harald, etc. |
| Other liabilities | 432 | 569 | +136 | |
| Total liabilities | 728 | 1,290 | +562 | |
| Total shareholder's equity | 1,508 | 1,480 | (28) | Increases in retained earnings, decrease in foreign currency translation adjustment, etc. |
Consolidated Full Year Forecast by Segment
(Units: 100m yen)
| 2014 Q3 Total | 2014 full year | 2015 Q3 Total | Year-on-year comparison | 2015 full year forecast | Year-on-year comparison | ||
|---|---|---|---|---|---|---|---|
| Revenue | Oils and Fats | 773 | 1,048 | 816 | +43 | 1,124 | +75 |
| Confectionery and Bakery Ingredients | 945 | 1,276 | 1,020 | +74 | 1,461 | +184 | |
| Soy Protein | 297 | 394 | 309 | +12 | 416 | +22 | |
| Total | 2,016 | 2,719 | 2,144 | +128 | 3,000 | +281 | |
| Operating profit | Oils and Fats | 42 | 53 | 47 | +5 | 53 | +0 |
| Confectionery and Bakery Ingredients | 63 | 87 | 69 | +6 | 98 | +11 | |
| Soy Protein | 3 | 2 | 11 | +7 | 9 | +7 | |
| Total | 108 | 142 | 126 | +18 | 160 | +18 | |
Consolidated Full Year Forecast by Area
(Units: 100m yen)
| 2014 Q3 Total | 2014 full year | 2015 Q3 Total | Year-on-year comparison | 2015 full year forecast | Year-on-year comparison | ||
|---|---|---|---|---|---|---|---|
| Revenue | Japan | 1,324 | 1,761 | 1,363 | +39 | 1,848 | +87 |
| Asia | 388 | 547 | 391 | +3 | 585 | +38 | |
| Europe and North America | 304 | 411 | 391 | +86 | 567 | +156 | |
| Total | 2,016 | 2,719 | 2,144 | +128 | 3,000 | +281 | |
| Operating profit | Japan | 71 | 94 | 91 | +20 | 107 | +13 |
| Asia | 16 | 24 | 30 | +14 | 42 | +18 | |
| Europe and North America | 18 | 22 | 8 | (10) | 14 | (8) | |
| Elimination | 3 | 2 | (3) | (6) | (2) | (5) | |
| Total | 108 | 142 | 126 | +18 | 160 | +18 | |