Warabeya Nichiyo Holdings beats first-half forecasts, raises full-year outlook and dividend

Warabeya Nichiyo Holdings Co., Ltd. announced impressive consolidated financial results for the first half of FY2/2026. Net sales reached 119,634 million yen, surpassing the forecast by 2,634 million yen and representing a 5.3% year-over-year increase. Operating profit soared to 5,289 million yen, exceeding the forecast by 1,489 million yen and marking a 24.3% increase from the prior year. Ordinary profit also beat expectations at 5,237 million yen, a 13.5% increase year-over-year. Profit attributable to owners of parent was 4,000 million yen, an increase of 42.5% from 1H FY2/2025.

The positive performance was primarily driven by the food production business, which saw increased sales and profit due to revised product standards and improved earnings at the Iruma Plant, despite start-up losses at the Isesaki Plant. The logistics business also contributed to profit growth through improved margins, notably in joint delivery.

Consequently, the company has revised its full-year FY2/2026 forecast upward. Net sales are now projected at 234,500 million yen, operating profit at 7,300 million yen, and ordinary profit at 7,200 million yen. Profit attributable to owners of parent is expected to reach 5,450 million yen. The company also announced an increase in its annual dividend to 120 yen per share, up from 90 yen, reflecting a 38.3% payout ratio.