FIRST BAKING CO., LTD.
2215・Standard Market・Foods
Food Business
Daiichi Pan Co.'s flagship segment, centered on the manufacture and sale of bread and confectionery
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment revenue (1Q cumulative, FY2026 ending December 2026) | ¥7,334 million | ¥6,709 million (1Q cumulative, FY2025 ending December 2025) | ↑ |
| Segment profit (1Q cumulative, FY2026 ending December 2026) | ¥193 million | ¥64 million (1Q cumulative, FY2025 ending December 2025) | ↑ |
| Bread division revenue (1Q cumulative, FY2026 ending December 2026) | ¥5,481 million | ¥5,051 million (1Q cumulative, FY2025 ending December 2025) | ↑ |
| Japanese and Western confectionery division revenue (1Q cumulative, FY2026 ending December 2026) | ¥1,158 million | ¥1,027 million (1Q cumulative, FY2025 ending December 2025) | ↑ |
| Other revenue (1Q cumulative, FY2026 ending December 2026) | ¥694 million | ¥630 million (1Q cumulative, FY2025 ending December 2025) | ↑ |
| Segment revenue (full year, FY2025 ending December 2025) | ¥28,653 million | — | — |
| Segment operating profit (full year, FY2025 ending December 2025) | ¥1,434 million | — | — |
Business Details
Comprised of three divisions: bread, Japanese and Western confectionery, and other (logistics, etc.). The segment's core focus is manufacturing and sale of proprietary national brand (NB) products, while also operating in business-use channels such as bread ingredients for hamburger chains and in-store processing ingredients for convenience stores. Manufacturing and distribution are conducted in coordination with consolidated subsidiaries Three Star Confectionery and First Logistics. This is the core business, accounting for approximately 98% of consolidated revenue.
Recent Overview
1Q FY2026 revenue rose 9.3% year on year, with segment profit up sharply by 201.3%
In the first quarter of FY2026 (ending December 2026) (January to March 2026), the Food Business achieved revenue of ¥7,334 million (up 9.3% year on year) and segment profit of ¥193 million (up 201.3% year on year). In addition to the effects of sales strategies such as volume-increase campaigns for long-selling products, relaunches of popular products, and collaboration product launches, profit was significantly boosted by improved production efficiency from continued DPS activities, restrained sales of low-margin products alongside growth in high-margin products, and cost reductions from strengthened divisional profit/loss management. Business-use channels (for hamburger chains and convenience stores) also continued to perform well.
Key Products
Growth Drivers
- Increased purchase frequency and new customer acquisition through limited-time volume-increase campaigns for long-selling products and relaunches of past popular products
- Generating buzz and acquiring new customer segments through collaboration products with popular companies and active launches of seasonal new products
- Steady performance in business-use channels for hamburger chains and convenience stores through flexible, ongoing product proposals
- Improved production efficiency and cost reduction via continued DPS (Daiichi Pan production system) activities, restraining sales of low-margin products while growing high-margin products
- Cost reduction through strengthened divisional profit/loss management and improved cost-management precision for individual products
- Steady demand for at-home and ready-to-eat meals amid heightened consumer cost-consciousness driven by broad price increases
Risks
- Continued elevated prices for raw materials (e.g., eggs) and energy
- Increased cost burden from rising logistics and labor costs
- Stricter consumer scrutiny of quality and price amid entrenched thrift-oriented spending
- Consumption restraint driven by growing uncertainty about the economic outlook, partly due to heightened tensions in the Middle East
- Intensifying competition in the wholesale market (approximately ¥1.1 trillion in size), where the top three companies hold a majority share
Last updated: March 27, 2026