Ensuiko Sugar Refining Co., Ltd.
2112・Standard Market・Foods
Sugar Business
The core business of Ensuiko Sugar Refining. Sugar manufacturing and sales account for approximately 95% of net sales.
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales (external customers, segment total) | ¥31,368 million | ¥30,864 million | ↑ |
| Segment profit | ¥4,193 million | ¥3,858 million | ↑ |
| Segment profit margin | 13.4% | 12.5% | ↑ |
| Segment assets | ¥13,634 million | ¥13,714 million | ↓ |
| Depreciation | ¥470 million | ¥449 million | ↑ |
| Increase in tangible/intangible fixed assets (capital expenditure) | ¥642 million | ¥360 million | ↑ |
Business Details
The Sugar business is the core segment of the Group, manufacturing and selling refined sugar and other sugar products. It operates through both household and commercial-use channels, with domestic sales accounting for the majority of revenue. In FY2026 (ending March 2026), commercial-use products performed well, driven by increased tourism and inbound demand including the Osaka Expo, and as a result of efforts to procure and sell at appropriate prices, both net sales and segment profit reached record highs.
Recent Overview
Both net sales and segment profit reached record highs, driven by commercial-use products, with improved profit margin
In the Sugar business for FY2026 (ending March 2026), net sales were ¥31,368 million (up 1.6% year on year) and segment profit was ¥4,193 million (up 8.7% year on year), both reaching record highs. Commercial-use products performed well due to increased Osaka Expo and inbound demand, while household-use products were weak. The overseas raw sugar market fell to 13.78 cents in mid-February, its lowest level in five years, due to increased production in Brazil, Thailand, and India, but profitability improved through thorough procurement and sales at appropriate prices. In addition, the company implemented a price revision (reduction) for the first time in approximately seven years in response to the decline in international market prices.
Key Products
Growth Drivers
- Strong performance of commercial-use products: increased demand from the Osaka Expo, tourism, and inbound visitors driving commercial-use sugar demand
- Improved profitability through thorough procurement and sales at appropriate prices (segment profit margin improved from 12.5% to 13.4%)
- Alliance with Fuji Nippon Corporation (concluded October 2025) enabling cost reductions and CO2 reduction through joint production, procurement, and logistics efficiencies
- Strengthened sales structure and mutual use of sales channels through business alliance with Daito Sugar Co., Ltd.
- Continued development of new value propositions and new products leveraging sugar's multifunctionality (moisture retention, preservation, antioxidation, etc.)
Risks
- Risk of fluctuation in the overseas raw sugar market: an easing trend in international supply-demand balance due to increased production in major producing countries such as Brazil, India, and Thailand creates uncertainty regarding impact on raw material costs
- Structural decline in domestic sugar demand: the continuing gradual decrease in sugar consumption due to the rise of high-intensity sweeteners and the declining birthrate/aging population/population decline
- Foreign exchange risk: the cost of importing raw sugar may rise during yen depreciation, potentially squeezing profitability
- Weakness in household-use products: delayed recovery in consumer sentiment and price-conscious behavior amid rising prices are suppressing household sugar demand
- Persistently high energy and raw material prices: risk that rising manufacturing costs will squeeze profit margins
- Risk of decline in sales unit prices due to a price revision (reduction): the forecast for FY2027 (ending March 2027) anticipates a decrease in both net sales and operating profit year on year
Last updated: June 25, 2026