Kobe Bussan's Q1 profit soars amid expansion, strategic shifts

Kobe Bussan (TSE:3038) announced a robust financial performance for the first quarter of fiscal year 2025, with net profit attributable to owners of parent reaching ¥10.588 billion, a 91.7% increase year-over-year. This surge was driven by a 9.5% increase in net sales, totaling ¥132.425 billion, fueled by new store openings for “Gyomu Super” and increased product shipments. The company is maintaining its full-year forecast, targeting ¥525 billion in net sales. Strategic developments include the planned acquisition of Uehara Foods Industry Co. on April 1, expanding Kobe Bussan's domestic plant network to 27. This acquisition aims to bolster production capabilities in the Kanto region, enhancing the supply of private-label products. While raw material costs for the biomass energy segment increased due to updated calculation methods, the firm expects this to be temporary. The company declared a dividend of ¥23.00 per share for FY2024 and anticipates a dividend of ¥26.00 per share for FY2025.