Hokuto Corporation aims to boost ROE and stock price

Hokuto Corporation today announced a comprehensive plan to improve its return on equity (ROE), return on invested capital (ROIC), and price-to-book (P/B) ratio. The plan, effective immediately, aims to enhance profitability by focusing on top-line growth and cost optimization efforts across the group. Key initiatives include increasing domestic market share through targeted strategies, developing advanced pricing models, strengthening overseas business, particularly in the U.S., and expanding the processed products business. The company also aims to optimize raw material procurement, streamline labor through digital transformation and improve production efficiency. Hokuto is targeting consolidated net sales of JPY100 billion and operating profit of JPY10 billion by the fiscal year ending March 31, 2029. These goals include sales of JPY57 billion in the Japan mushroom business and JPY16 billion in the mushroom business outside Japan. Hokuto is increasing investor relations activities to provide updates on progress promoting management that is conscious of capital costs and share price.