KUZE CO., LTD.

Business Details

A commercial-use food ingredients wholesale business operated domestically and internationally by Kuze Co., Ltd. and its consolidated subsidiaries (Kuze Fresh One Co., Ltd., Asahi Suisan Co., Ltd., and Kuze (Hong Kong) Limited). The company sells frozen, chilled, and fresh food ingredients and materials to the food service industry mainly in the Greater Tokyo area as well as the Kanto, Chubu, and Kansai regions. It also has a sales and logistics business in China through an equity-method affiliate. This is the flagship segment, accounting for approximately 90% of Group sales.

Recent Overview

Both sales and profit increased; group joined by Saito Shogyo strengthens business structure

In FY2026 (ending March 2026), the Food Ingredients Wholesale Business achieved sales of ¥66,433 million (up 7.4% year on year) and segment profit of ¥2,560 million (up 6.0% year on year), representing increases in both sales and profit. Customer traffic in the food service market trended favorably, supported by robust inbound consumption and a recovery in corporate demand. In October 2025, Saito Shogyo Co., Ltd. (Kamogawa City, Chiba Prefecture) joined the Group, expanding the sales area. In addition, the proprietary e-commerce site "ProDEPOT" was officially launched in November 2025, and the company also obtained DX certification. On the other hand, rising procurement prices and logistics costs continued, with freight charges increasing significantly from ¥4,630 million in the prior period to ¥5,465 million.

Key Products

Growth Drivers

• Strong customer traffic in the food service and prepared foods market driven by robust inbound consumption and recovering corporate demand
• New market development centered on the Greater Tokyo area through strengthening of the Sales Development Department structure
• Expansion of sales area and customer base through the Group affiliation of Saito Shogyo Co., Ltd.
• Expansion of the e-commerce business through the official launch of the proprietary e-commerce site "ProDEPOT" and collaboration with major platform operators
• Improved gross margins and expanded sales channels at the two Group fresh ingredients wholesale companies (Asahi Suisan and others)
• Promotion of expanded sales through enhanced quality and price appeal of private-brand products
• Improved logistics efficiency and increased capacity through logistics facility reorganization
• Improved productivity through systemization of internal operations and system development, supported by DX certification

Risks

• Profit pressure from persistently high procurement costs (raw material and ingredient prices)
• Continued rise in logistics-related costs (freight charges) (from ¥4,630 million in the prior period to ¥5,465 million in the current period)
• Increased operating costs associated with logistics facility reorganization
• Impact of labor shortages on recruitment and logistics operations
• Rising import ingredient procurement prices due to yen depreciation
• Supply uncertainty for crude oil and petroleum-related products and rising energy costs due to worsening Middle East tensions (risk of a Strait of Hormuz blockade)
• Credit risk related to business partners due to an increase in bankruptcies in the food service industry
• Risk of stagnation in personal consumption due to soaring prices and declining real wages