Kameda Seika Co., Ltd. (TSE: 2220) — Japan's leading rice-cracker ("senbei"/"arare") and snack maker, famous for Kameda no Kaki no Tane and Happy Turn — reported consolidated full-year results for the fiscal year ended March 31, 2026 (FY3/2026) under Japanese GAAP. Revenue surged 33.7% year-on-year to ¥138,052 million, operating profit rose 36.9% to ¥7,528 million, ordinary profit climbed 8.5% to ¥7,501 million, and net profit attributable to owners of the parent rocketed 354.9% to ¥24,647 million from ¥5,417 million. Basic EPS (split-adjusted) came in at ¥389.69 versus ¥85.66, and ROE jumped to 27.6%. Comprehensive income soared 315.8% to ¥29,039 million.
TH Foods acquisition drives the revenue jump
The headline 34% revenue surge mainly reflects the consolidation of TH FOODS, INC., the US rice-snack maker Kameda Seika acquired during the year, together with Watch City Properties, LLC — both newly consolidated into the group. The deal substantially scales Kameda Seika's overseas business, which has been a strategic growth pillar across the United States and Asia. Stripping out the one-off items below, the underlying operating performance was healthy: operating profit rose 36.9%, outpacing revenue growth and signalling that the enlarged group is converting the additional scale into profit rather than merely adding low-margin volume.
Net profit quadruples on Mary's Gone Crackers sale
The standout figure is the 354.9% surge in net profit to a record ¥24,647 million — more than four times the prior year. This was boosted by one-off gains, principally a gain on the sale of US subsidiary Mary's Gone Crackers, Inc. plus related tax effects; Mary's Gone Crackers was deconsolidated in the process. The gap between the modest 8.5% rise in ordinary profit and the explosive jump in net profit underscores that the bottom-line record is driven by extraordinary, non-recurring items rather than by the core business — a distinction management makes explicit in its forward guidance, which normalizes profit sharply lower.
Balance sheet and cash flow reflect the deal
Total assets stood at ¥188,223 million and net assets at ¥106,466 million, for an equity ratio of 54.7%; book value per share (split-adjusted) was ¥1,627.34. Operating cash flow was a robust ¥11,897 million, while investing cash flow was a sizeable outflow of −¥26,024 million, reflecting the cash deployed on the TH Foods acquisition. Period-end cash and equivalents stood at ¥18,601 million. The combination of strong operating cash generation and the large investment outflow captures the year's strategic pivot — funding overseas expansion through both M&A and organic cash flow.
3-for-1 split and dividend up to ¥66
A 3-for-1 stock split took effect on April 1, 2026, improving liquidity and accessibility for retail investors. For FY3/2026, the annual dividend was ¥66.00 (¥15.00 interim + ¥51.00 year-end), up from ¥57.00 — but the payout ratio was just 5.6%, mechanically low because net profit was inflated by the one-off gains. For FY3/2027, management forecasts a dividend of ¥24.00 on the post-split basis (equivalent to ¥72.00 pre-split), implying a more representative payout ratio of 35.3% against normalized earnings.
FY27 guidance normalizes profit as one-offs drop out
For FY3/2027, management guides revenue of ¥143,000 million (+3.6%), operating profit of ¥8,300 million (+10.3%), ordinary profit of ¥7,700 million (+2.6%), and net profit attributable to owners of ¥4,300 million (−82.6%), with EPS (split-adjusted) of ¥67.99. The steep drop in guided net profit is expected and healthy: FY2026's figure was inflated by the Mary's Gone Crackers sale, and FY2027 strips that out, leaving a cleaner read on the underlying business. The operating-profit guidance of +10.3% — built on the now-full-year contribution of TH Foods plus organic growth in the core senbei and snack lines — is the metric that best captures the company's continuing operating momentum.
| Metric | FY3/2026 | FY3/2025 | YoY |
|---|---|---|---|
| Revenue (¥M) | 138,052 | 103,262 | +33.7% |
| Operating profit (¥M) | 7,528 | 5,500 | +36.9% |
| Ordinary profit (¥M) | 7,501 | 6,916 | +8.5% |
| Net profit attrib. to owners (¥M) | 24,647 | 5,417 | +354.9% |
| Basic EPS (¥, split-adj.) | 389.69 | 85.66 | +354.9% |
| ROE | 27.6% | 7.4% | +20.2pp |
| Annual dividend (¥) | 66.00 | 57.00 | +15.8% |
| FY27 net guidance (¥M) | 4,300 | — | -82.6% |
JapanStockPulse provides informational content only and does not constitute investment advice. Figures are taken from the company's published earnings short report and may be subject to subsequent revision.