Showa Sangyo Co., Ltd.
2004・Prime Market・Foods
Food Business
Showa Sangyo's core segment. A food manufacturing and sales business comprising the three categories of flour milling, oils and fats, and sugars/starches.
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales | ¥271,828 million | ¥273,533 million | ↓ |
| Operating income (segment income) | ¥11,323 million | ¥10,975 million | ↑ |
| Segment assets | ¥204,965 million | ¥194,321 million | ↑ |
| Depreciation and amortization | ¥8,767 million | ¥8,862 million | ↓ |
| Increase in tangible and intangible fixed assets | ¥13,313 million | ¥10,226 million | ↑ |
| Investments in equity-method affiliates | ¥12,026 million | ¥10,963 million | ↑ |
Business Details
The segment manufactures and sells a wide range of food ingredients for both commercial and household use, centered on three categories: Flour Milling (wheat flour, premixes, pasta), Oils and Fats (vegetable oils, frozen foods), and Sugars/Starches (saccharified products, corn starch). Strengths include cost efficiency through integrated operation of production sites with consolidated subsidiaries (Boso Oil & Fat, Shikishima Starch, Sanei Sucrochemical, etc.) and solution-based sales tailored to target business formats leveraging market analysis capabilities. This segment accounted for approximately 81% of consolidated net sales in FY2026 (ending March 2026).
Recent Overview
Net sales declined, but operating income increased, supported by stronger profitability from integrated operation of production sites.
In FY2026, net sales in the Food Business fell to ¥271,828 million (down ¥1,704 million, or 0.6%, year on year), while operating income rose to ¥11,323 million (up ¥348 million, or 3.2%, year on year). Net sales in the Flour Milling category declined due to the impact of price revisions following the reduction in the government-set selling price for imported wheat. In the Sugars/Starches category, a stable supply framework was established through the three-plant system with Shikishima Starch and Sanei Sucrochemical, contributing to earnings stability. Business expansion also progressed through the full consolidation of Tokatsu Foods and the completion of a new plant in Vietnam.
Key Products
Growth Drivers
- Increased sales volume of commercial wheat flour and commercial pasta (strong performance centered on the food service market)
- Reduction in logistics costs and improved production efficiency through integrated operation of production sites with group consolidated subsidiaries
- Expansion into the Chinese-style steamed buns and prepared Chinese dishes field through the full consolidation of Tokatsu Foods Co., Ltd.
- Start of overseas premix manufacturing following the completion of a new plant by Showa Sangyo International Vietnam Co., Ltd.
- Strengthened proposal-based, issue-resolution sales of functional products such as long-life oils and low-oil-stain bakery oils
- Stable supply and earnings stabilization through a three-plant system (Showa Sangyo, Shikishima Starch, Sanei Sucrochemical) in the Sugars/Starches category
Risks
- Profit pressure from an ongoing upward trend in logistics costs, labor costs, and material prices
- Decline in sales volume of household products (wheat flour, premixes, pasta) due to growing consumer thrift consciousness
- Risk of fluctuations in prices of imported raw grains such as wheat, soybeans, rapeseed, and corn (due to geopolitical risk and exchange rate fluctuations)
- Impact on the global economy and raw material prices from developments in U.S. tariff policy
- Surging raw material and energy prices amid rising crude oil prices stemming from tensions in the Middle East
- Sluggish corn starch sales volume due to declining demand in paper-making and other applications
- Long-term contraction of the domestic food market due to Japan's declining population
Last updated: June 23, 2026