THE NIHON SEIMA CO.,LTD.
3306・Standard Market・Wholesale Trade
Business
Nippon Seima Co., Ltd. is a long-established company founded in 1947 and listed on the Tokyo Stock Exchange in 1949. It currently operates around three core businesses: the Food Business (manufacture and sale of pasta and retort food products), the Industrial Materials Business (import and sale of Jute Products, Large Packaging Materials (Paper Bags, Flexible Container Bags, etc.), etc.), and the Mat Business (sale of Automotive Floor Mats). The Food Business, which accounts for more than half of net sales, is the core business, with the Hokuriku Plant in Tonami City, Toyama Prefecture serving as the production base. Major customers include Suzuki Motor Corporation (approximately 20% of net sales) and Go Go Curry Group Co., Ltd. (Retort Curry (OEM/PB)). In September 2025, the company sold its shares in its Thai subsidiary Sahakit Wisarn Co., Ltd. and transitioned it to a non-consolidated status.
Business Model
In the Food Business, the company manufactures pasta and retort food products at its own factory (Hokuriku Plant) and sells them for commercial use, retail use, and OEM. The Industrial Materials Business follows a trading-company model, importing jute products and other goods from overseas for domestic sale. The Mat Business secures orders through competitive bidding each time automakers undergo model changes, and sells accordingly. By having each business maintain a different earnings structure, the company aims to diversify risk while pursuing scale expansion through capacity expansion in the Food Business (addition of a retort food plant).
Company Strengths
In FY2026 (ending March 2026), the Food Business invested ¥466 million in the construction of a new sauce plant in Hokuriku, which began operations in the third quarter. Total capital expenditure reached ¥495 million, substantially expanding retort food production capacity. The full-scale operation of the expanded plant has established a system to respond to increased orders for OEM curry, PB pasta sauce, and other products.
In the Mat Business, Suzuki Motor Corporation continues to be a major customer, accounting for approximately 20% of net sales, maintaining an ongoing business relationship. In FY2026 (ending March 2026), sales to Suzuki reached ¥483 million, and the business recovered to the prior-year level early, following a temporary decline in production caused by China's rare earth export restrictions. Price pass-through also progressed to a certain extent, resulting in operating profit of ¥25 million.
In the Industrial Materials Business, import and sale of jute products for interior and environmental applications—such as carpet backing, greening, and insect repellent uses—exceeded the previous fiscal year's level, contributing to an improvement in the gross profit margin. Jute is being reevaluated as a biodegradable, environmentally friendly material, and the securities report explicitly states plans to expand supply into forest management, civil engineering, marine resource protection, and disaster prevention fields.
ENVALITH's Perspective
Performance Trend
Revenue rose for four consecutive fiscal years from ¥3,151 million in FY2022 to ¥4,422 million in FY2025, but FY2026 saw a sharp decline to ¥2,399 million (down 3.7% year on year; note that FY2025 figures are consolidated while FY2026 figures are non-consolidated, so a simple comparison should be treated with caution). Operating profit peaked at ¥306 million in FY2024, then fell to ¥258 million in FY2025, before turning negative at ¥(35) million in FY2026. External factors such as rising raw material, energy, and logistics costs squeezed gross profit (gross profit margin: 28.1% in the previous period → 24.1% in the current period), and SG&A expenses also increased year on year to ¥614 million. Net income of ¥583 million was attributable to a gain on sale of subsidiary shares of ¥855 million (extraordinary income), and core business earnings power has declined substantially. The company's forecast for FY2027 (ending March 2027) calls for revenue of ¥2,600 million (up 8.3% year on year), operating profit of ¥40 million, and net income of ¥3 million, anticipating a gradual recovery in the core business.
Growth Strategy
Restructuring of the business foundation through the transition to a holding company structure and full-scale operation of the food factory
By improving the utilization rate of the expanded retort factory, which began operations in the third quarter of FY2026 (ending March 2026), production capacity for OEM curry, PB pasta sauce, and other products will be expanded. The company aims to turn the Food Business profitable by absorbing initial costs and increased depreciation while recovering order volumes.
The company plans to transition to a holding company structure through an absorption-type company split in October 2026. This aims to strengthen independent profit-and-loss management for each business and improve management transparency. The transfer of shares in the Thai subsidiary has already been completed, moving it from consolidated to non-consolidated status, and the reorganization of the business portfolio is underway.
The company has made progress in passing through raw material and utility cost increases to a certain extent, securing operating profit of ¥25 million in FY2026 (ending March 2026). The impact of production cuts by customers due to China's rare earth export restrictions has recovered quickly, and the company will continue to promote cost pass-through and the acquisition of new vehicle model adoptions to stabilize profitability.
By reviewing the staffing structure, the company reduced its cost burden, improving the operating loss for FY2026 (ending March 2026) to nearly zero (-¥0 million). While capturing growing demand for Jute Products in interior, greening, and insect-repellent applications, the company aims to recover sales of paper bags for rice and wheat and flexible container bags.
Last updated: July 19, 2026