Shimadaya Corporation

Business Details

Composed of Shimadaya Corporation and four consolidated subsidiaries (Shimadaya Kanto Co., Ltd., Shimadaya Tohoku Co., Ltd., Shimadaya Nishinihon Co., Ltd., and Shimadaya Shoji Co., Ltd.), totaling five companies. The household-use business segment manufactures and sells chilled and frozen noodles to mass retailers, while the commercial-use business segment supplies frozen noodles to restaurants and prepared-food (nakashoku) providers. Based on the medium-term management plan "Change95," the company is driving profit growth in its core businesses and transforming its earnings structure. Overseas sales are also positioned as a growth area and are steadily expanding.

Recent Overview

Both net sales and operating income increased. Price revisions and cost controls absorbed cost increases, improving profitability.

In FY2026 (ending March 2026), the company achieved net sales of ¥41,061 million (up 3.6% year on year), operating income of ¥3,768 million (up 11.7%), and ordinary income of ¥3,874 million (up 12.3%). In the household segment, the "Kenbimen" and "Taikoban" brands grew, leading to a 2.3% year-on-year increase in sales, while the commercial-use segment grew 5.9% on the back of rising food-service demand. Price revisions and cost controls absorbed increases in logistics and manufacturing labor costs. On the other hand, the company recorded an impairment loss of ¥212 million associated with the closure of Shimadaya Tohoku Co., Ltd.'s Sendai plant. The company also conducted a share buyback (900,300 shares, ¥1,422 million), which lowered the equity ratio to 71.0%. The forecast for FY2027 (ending March 2027) is net sales of ¥43,400 million (up 5.7% year on year) and operating income of ¥3,700 million (down 1.8%).

Key Products

Growth Drivers

• Expansion of the "Kenbimen" (health-conscious) and "Taikoban" (value-conscious) brands in household chilled noodles, and growing market share in the western Japan region
• Growth of the "Taikoban" brand in commercial-use frozen noodles, driven by rising food-service demand
• Steady increase in overseas sales (positioned as a growth area, contributing to a 5.9% year-on-year increase in commercial-use sales in FY2026, ending March 2026)
• Contribution of price revisions to sales and profit (absorbing increases in logistics and manufacturing labor costs)
• As the final year of the medium-term management plan "Change95," improving profitability in the household chilled business, expanding sales in the domestic commercial-use frozen business, and expanding sales in new business areas such as household frozen and overseas markets
• Building production and logistics systems for sustainable growth, creating hit products, and improving productivity through the promotion of digital transformation (DX)

Risks

• Risk of margin pressure from continued increases in logistics costs and manufacturing labor costs
• Risk of cost increases due to elevated raw material, materials, and energy prices
• Uncertainty in the procurement environment due to heightened U.S. trade policy and geopolitical risks
• Impact on sales volume and unit prices from continued consumer preference for thrift and low prices
• Occurrence of temporary expenses (such as impairment losses) associated with restructuring the production system, including the closure of Shimadaya Tohoku Co., Ltd.'s Sendai plant
• Labor shortages and rising labor costs stemming from the declining birthrate, aging population, and population decline
• For FY2027 (ending March 2027), operating income and ordinary income are forecast to decline year on year despite higher sales, due to the impact of cost increases