Prima Meat Packers, Ltd.
2281・Prime Market・Foods
Processed Foods Business Division
Prima Meat Packers' core segment, encompassing ham/sausage, processed foods, and the vendor business.
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales (external customers) | ¥314,627 million | ¥313,495 million | ↑ |
| Segment profit (operating income) | ¥7,928 million | ¥7,920 million | — |
| Segment assets | ¥161,887 million | ¥170,948 million | ↓ |
| Depreciation and amortization | ¥9,591 million | ¥9,132 million | ↑ |
| Increase in property, plant and equipment and intangible assets (capital expenditure) | ¥9,681 million | ¥8,997 million | ↑ |
| Impairment loss | ¥2,349 million | ¥1,258 million | ↓ |
| Net sales to major customer (Seven-Eleven Japan) | ¥106,560 million | ¥118,165 million | ↓ |
Business Details
This segment centers on the manufacture and sale of ham, sausage, and processed foods, spanning a wide range from consumer-facing retail products to commercial-use products and the convenience store vendor business (prepared bread, deli items, etc.). In addition to domestic manufacturing subsidiaries, it includes overseas subsidiaries in Thailand and Singapore. The major customer is Seven-Eleven Japan Co., Ltd., to which net sales in the fiscal year under review totaled ¥106,560 million (approximately 22.4% of consolidated net sales). Net sales to external customers were ¥314,627 million, accounting for approximately 66% of the consolidated total, making this segment the core of the Group's revenue base.
Recent Overview
Sales increased on higher volume in ham/sausage and meat, but deterioration in the vendor business and substantial impairment losses weighed on profit.
In FY2026 (ending March 2026), net sales to external customers in the Processed Foods Business Division were ¥314,627 million (up ¥1,132 million year on year), a slight increase. Ham and sausage (¥124,581 million) led the growth on higher sales volume, while processed foods (¥173,320 million) saw a slight decline. Segment profit was ¥7,928 million (up ¥7 million year on year), roughly flat. However, impairment losses expanded to ¥2,349 million (prior year: ¥1,258 million), reflecting impairment of fixed assets associated with the deteriorating vendor business and impairment of goodwill (a decrease of ¥149 million in the Processed Foods Business Division). Net sales to Seven-Eleven Japan fell sharply to ¥106,560 million from ¥118,165 million in the prior year.
Key Products
Growth Drivers
- Sales expansion in ham and sausage driven by higher sales volume (net sales to external customers of ¥124,581 million in the fiscal year under review, up ¥6,033 million year on year)
- Continued absorption of rising raw material costs through ongoing price revision effects
- Maintenance and expansion of retail market share through core brands such as "Kaoru® Coarse-Ground Pork Wiener" and "Smile UP!"
- Enhanced production capacity and cost competitiveness through capital expenditure (¥9,681 million)
- Global expansion centered on the Southeast Asian market (Thai and Singaporean subsidiaries)
Risks
- Continued sluggish sales in the vendor business and profit pressure from rising manufacturing costs (raw materials, labor), resulting in an impairment loss of ¥2,349 million in the fiscal year under review
- Significant decline in net sales to major customer Seven-Eleven Japan (from ¥118,165 million to ¥106,560 million)
- Increased raw material procurement costs due to higher local livestock meat market prices and yen depreciation
- Risk of deteriorating earnings at overseas subsidiaries (Singapore, etc.), with impairment losses on fixed assets including goodwill recorded in the fiscal year under review, reducing goodwill balance to zero
- Changes in consumer demand driven by increasing household frugality amid price inflation
- Changes in the earnings structure due to declining sales in the processed foods category (from ¥176,336 million to ¥173,320 million)
Last updated: June 24, 2026