News Release
Financial results
FUJI OIL HOLDINGS
Announcement of the Settlement of Accounts for the 3rd Year Ending March 2023
2023.2.8
(Note) Figures shown have been rounded down to the nearest million yen
Our settlement of accounts for the 3rd Quarter of the year ending March 2023 was announced on the afternoon of Wednesday, February 8th at the Tokyo Stock Exchange Press Club. An outline of the accounts is presented below.
1. Consolidated Results for the 3rd Quarter of the Year Ending March 2023 (April 1, 2022 to December 31, 2022)
Consolidated operating results (total)
(% is in comparison to the previous year)
| Net Sales | Operating profit | Ordinary profit | Profit attributable to owners of parent | |||||
|---|---|---|---|---|---|---|---|---|
| (millions of yen) | (%) | (millions of yen) | (%) | (millions of yen) | (%) | (millions of yen) | (%) | |
| The 3rd quarter of the year ending March 2023 | 416,687 | 30.2 | 8,776 | (26.4) | 8,375 | (28.7) | 5,062 | (46.0) |
| The 3rd quarter of the year ending March 2022 | 319,936 | 17.1 | 11,923 | (11.8) | 11,752 | (8.7) | 9,368 | 8.8 |
*Comprehensive income: The 3rd quarter of the Year ending March 2023: 26,916 million yen 38.0%
The 3rd quarter of the Year ending March 2022: 19,500 million yen 373.2%
FY2022 3rd Quarter Consolidated Financial Highlights
Despite net sales decreased in Soy-based Ingredients Business on a decline in sales volume, consolidated net sales increased overall on higher net sales from the other businesses due to higher sales prices resulting from rising raw material costs. Operating profit decreased on lower sales volume in Industrial Chocolate Business, depreciation costs associated with the launch of operations at a new plant in North America, logistics costs, and personnel costs.
FY2022 3rd Quarter Segment Highlights
Vegetable Oils and Fats
Net sales increased significantly due to higher sales prices to reflect rising prices for palm oil, our main raw material, and other raw materials. Net sales also rose on the launch of operations at a new plant in North America and on the effect of yen depreciation in foreign exchange rates. Despite the contribution of steady sales in Southeast Asia, operating profit decreased due to increased depreciation and other fixed costs associated with the launch of operations at a new plant in North America.
Industrial Chocolate
Net sales increased due to the effect of yen depreciation in foreign exchange rates and higher sales prices to reflect rising raw material prices. Operating profit decreased due to lower sales volume in Japan and North America associated with decreased demand from economic decline.
Emulsified and Fermented Ingredients
Net sales increased due to higher sales prices to reflect higher raw material prices and the effect of yen depreciation in foreign exchange rates. Despite the higher sales volume in Japan, operating profit decreased on factors such as lower sales volume in China associated with decreased demand caused by prolonged Zero-COVID policy and lower profitability due to rising raw material prices.
Soy-based Ingredients
Net sales decreased due to a decline in the sales volume for soy protein ingredients in Japan and the deconsolidation of a soy protein food company in China in the previous fiscal year despite higher sales prices to reflect rising raw material prices. Operating profit decreased due to factors such as a decrease in sales volume for soy protein ingredients in Japan.
FY2022 3rd Quarter Net sales and Operating profit by Segment
| Unit : JPY million | FY2021 3rd Quarter | FY2022 3rd Quarter | Change |
|---|---|---|---|
| Net Sales | 319,936 | 416,687 | +96,750 |
| Vegetable Oils and Fats | 96,435 | 153,659 | +57,223 |
| Industrial Chocolate | 137,822 | 167,441 | +29,618 |
| Emulsified and Fermented Ingredients | 59,488 | 69,807 | +10,318 |
| Soy-based Ingredients | 26,189 | 25,779 | (410) |
| Operating profit | 11,923 | 8,776 | (3,147) |
| Vegetable Oils and Fats | 5,665 | 5,242 | (422) |
| Industrial Chocolate | 5,241 | 4,090 | (1,150) |
| Emulsified and Fermented Ingredients | 1,648 | 936 | (712) |
| Soy-based Ingredients | 2,102 | 1,337 | (764) |
| Consolidated adjustment / Group administrative expenses | (2,735) | (2,832) | (96) |
Main KPI
| FY2021 3rd Quarter | FY2022 3rd Quarter | Change | |
|---|---|---|---|
| ROE | 7.5% | 3.4％ | (4.1) |
| ROA | 4.1% | 2.4% | (1.7) |
| ROIC | 3.4% | 2.0％ | (1.4) |
| Net D/E Ratio | 0.71 | 0.90 | +0.19 |
| CCC | 110 days | 120 days | +9 |
* Past figures have been retroactively adjusted.
2. Forecasts for Consolidated Results for the Year Ending March 2022 (April 1, 2022 to March 31, 2023)
(% is in comparison to the previous year)
| Net sales | Operating profit | Ordinary profit | Profit attributable to owners of company | Profit per share | |||||
|---|---|---|---|---|---|---|---|---|---|
| (millions of yen) | (%) | (millions of yen) | (%) | (millions of yen) | (%) | (millions of yen) | (%) | (yen) | |
| The year ending March 2023 | 550,000 | 26.8 | 13,500 | (10.1) | 12,500 | (13.0) | 8,000 | (30.5) | 93.06 |
Consolidated Financial Guidance for FY2022
In response to the rising cost of palm oil and soybean market prices and the effect of yen depreciation in foreign exchange rates, we have worked to adjust sales prices to reflect cost increases. However, each profit category will be lower than expected due to a delay of operations at a new plant and problems with cocoa processing facilities in North America, a decrease in sales volume in Japan and China and other. Although a higher sales volume is expected during the fourth quarter of the consolidated fiscal year due to factors such as the proper operation of the plant and facilities, the lifting of Zero COVID Policy in China and other, we revised our full year earnings forecast as outlined above, reflecting the decrease in operating profit for the first nine months of the current consolidated fiscal year.