Starzen Company Limited
8043・Prime Market・Wholesale Trade
Meat-related Business
Starzen's core segment. Integrated operations from production and fattening through processing, manufacturing, and sales.
| Period | Current | Previous | Change |
|---|---|---|---|
| Meat-related Business net sales (full year) | ¥444,921 million | ¥432,778 million | ↑ |
| Meat net sales (full year) | ¥350,018 million | ¥343,369 million | ↑ |
| Processed Foods net sales (full year) | ¥84,649 million | ¥78,385 million | ↑ |
| Ham & Sausage net sales (full year) | ¥8,365 million | ¥9,173 million | ↓ |
| Consolidated net sales (full year) | ¥448,213 million | ¥436,112 million | ↑ |
| Consolidated operating income (full year) | ¥8,762 million | ¥9,046 million | ↓ |
| Consolidated ordinary income (full year) | ¥11,027 million | ¥10,661 million | ↑ |
| Net income attributable to owners of the parent (full year) | ¥8,338 million | ¥12,197 million | ↓ |
| Equity in earnings of affiliates | ¥2,154 million | ¥1,461 million | ↑ |
| Goodwill balance | ¥2,318 million | ¥0 million | ↑ |
Business Details
A vertically integrated meat business covering meat processing, ham and sausage manufacturing, meat sales, and production/fattening. Domestically, it handles a wide range of domestic beef, pork, and chicken as well as imported meat, supplying restaurants, retailers, and processors. Overseas, it promotes Wagyu exports centered on the export-only brands "AKUNE GOLD" and "AOMORI GOLD," and is accelerating the globalization of its supply chain through the acquisition of an Australian Wagyu fattening company and the full consolidation of its Singapore base. This is the company's sole reportable segment, accounting for over 99% of consolidated net sales.
Recent Overview
Full-year net sales rose 2.8% year on year, but operating income fell 3.1%. Overseas M&A expanded the scope of consolidation.
In FY2026 (ending March 2026), Meat-related Business net sales rose to ¥444,921 million (up 2.8% year on year), but operating income declined to ¥8,762 million (down 3.1%) due to an increase in SG&A expenses (from ¥32,836 million to ¥35,400 million). Net income fell sharply to ¥8,338 million (down 31.6%) due to the disappearance of the ¥7,860 million gain on sale of fixed assets recorded in the prior year. Meanwhile, the company newly consolidated three companies—YORKRANGE, BROAD WATER DOWNS, and ADiRECT SINGAPORE—building an integrated system from Australian Wagyu production to sales in Southeast Asia. The newly constructed and relocated Itami Sales Center (with fivefold storage capacity) was also completed. Regarding the circular trading issue, a final settlement agreement among the parties concerned was reached on April 23, 2026, and an extraordinary loss of ¥592 million is expected to be recorded in the following fiscal year (FY2027, ending March 2027).
Key Products
Growth Drivers
- Expansion of the export business: increased Wagyu exports under the two-brand structure of "AKUNE GOLD" and "AOMORI GOLD" (strong performance in Taiwan, Europe, and Southeast Asia)
- Strengthening of the supply chain through overseas M&A: an integrated system from production to sales through the full consolidation of YORKRANGE and BROAD WATER DOWNS (Australian Wagyu fattening) and ADiRECT SINGAPORE (Southeast Asia sales)
- Steady growth in Processed Foods: driven by the hamburger steak product line, with full-year sales up 8.0%
- Inbound demand: positive impact on the restaurant industry from the increase in foreign visitors to Japan
- Newly constructed and relocated Itami Sales Center (January 2026): fivefold storage capacity expansion driving sales growth in the western Japan region and logistics efficiency
- Expansion of equity in earnings of affiliates: ¥2,154 million (up 47.4% year on year), supporting ordinary income
- Promotion of the new medium-term management plan starting in FY2027 (ending March 2027), "Further Evolution of Strengths and Challenge to Global Markets"
Risks
- Persistently high and volatile meat market prices: chicken prices have surged due to supply constraints from exporting countries such as Brazil and Thailand, while high local prices for U.S. beef continue, resulting in a challenging procurement environment
- Yen depreciation and rising import costs: risk that rising procurement prices for imported meat will pressure gross profit margins
- Consumers' thrift-conscious spending: demand is shifting toward relatively inexpensive meat due to declining real disposable income amid rising prices, causing sales of domestic beef and ham to struggle
- Structural challenges in the Ham & Sausage segment: continued rising raw material costs and sluggish demand resulted in an 8.8% decline in full-year sales
- Improper transactions related to circular trading: a final settlement agreement among the parties concerned was reached on April 23, 2026, with an extraordinary loss of ¥592 million expected to be recorded in FY2027 (ending March 2027)
- Goodwill amortization risk from overseas subsidiaries: amortization burden from ¥2,318 million in goodwill arising from the acquisition of ADiRECT SINGAPORE and others
- Increase in interest-bearing debt: long-term borrowings expanded from ¥20,691 million to ¥29,135 million, and the equity ratio declined from 51.6% to 47.4%. Cash flow from financing activities secured income of ¥13,393 million through ¥22,000 million in long-term borrowings, but interest rate risk is increasing
- Risk of rising procurement costs due to surging energy prices and supply chain disruptions amid escalating tensions in the Middle East
Last updated: June 24, 2026