Nisshin Oillio revises earnings outlook despite growth plan

The Nisshin Oillio Group (TSE:2602) announced a downward revision of its full-year consolidated earnings forecasts for the fiscal year ending March 31, 2025, despite unveiling its new medium-term business plan, "Value UpX." While sales remain projected at ¥535 billion, operating profit is now expected to reach ¥19 billion, a decrease of ¥2 billion, and net profit fell by ¥1.5 billion. The new business plan aims to accelerate growth and ensure future success, targeting an 8% ROE and 6% ROIC by FY2028. While the processed food and materials segment is anticipated to perform strongly, the oil and fat segment's delayed sales price revisions are expected to negatively impact overall profitability, leading to the earnings forecast revision. The company aims to counter these challenges and achieve ambitious targets by improving returns on capital and building a strong human resource base. The forecast takes into account information available at this time.