Kanemi Foods Q1 Operating Profit Jumps 148% to ¥751m as Deli Sales Recover

Revenue rose 3.7% to ¥22,008 million and operating profit surged 148.1% to ¥751 million in the first quarter of the fiscal year ending February 28, 2027, as demand for the company's delicatessen and prepared-food counters recovered and cost control took hold. Ordinary profit climbed 142.8% to ¥768 million and net profit rose 142.9% to ¥404 million; the balance sheet stayed conservative with a 76.1% equity ratio, and management left its full-year dividend forecast unchanged at ¥38.00.

A Kanemi Foods delicatessen counter Kanemi Foods · Tokyo Stock Exchange

Kanemi Foods Co., Ltd. (TSE: 2669) reported non-consolidated first-quarter results under Japanese GAAP for the three months ended May 31, 2026 (Q1 FY2/2027). Revenue rose 3.7% year on year to ¥22,008 million, while operating profit jumped 148.1% to ¥751 million — roughly two-and-a-half times the ¥302 million posted a year earlier. Ordinary profit climbed 142.8% to ¥768 million and quarterly net profit rose 142.9% to ¥404 million from ¥166 million. Basic earnings per share came in at ¥42.78, up from ¥17.23.

Deli and prepared-food demand recovers

The sharp profit rebound came off a weak prior-year first quarter. As a maker of bento boxed meals, delicatessen items and prepared foods — including the in-store deli counters it operates inside convenience stores and its own outlets — Kanemi Foods benefited from recovering demand for ready-to-eat food, while tighter cost control lifted margins sharply. The operating margin widened to roughly 3.4% from about 1.4% a year earlier, so a modest 3.7% top-line gain translated into a far larger profit increase.

Balance sheet stays conservative

Total assets stood at ¥39,469 million at the end of the quarter, up from ¥38,355 million at the prior fiscal year-end, while net assets were ¥30,048 million. The equity ratio was a robust 76.1%, and book value per share reached ¥3,174.19, underlining a debt-light, cash-generative business.

Dividend forecast held at ¥38

Management kept its FY2/2027 dividend forecast unchanged from the prior year at ¥38.00 per share, split into an interim payment of ¥19.00 and a year-end payment of ¥19.00.

Full-year guidance lifts operating profit

For the full year to February 28, 2027, Kanemi Foods guides for revenue of ¥92,000 million (+6.1%), operating profit of ¥3,260 million (+18.2%) and ordinary profit of ¥3,300 million (+14.6%). Net profit is guided slightly lower at ¥1,760 million (−2.6%), reflecting a one-off benefit in the prior year, with forecast EPS of ¥185.90. The strong first quarter already represents about 23% of the full-year operating-profit target.

Kanemi Foods Co., Ltd. — Q1 FY2/2027 Key Financials (J-GAAP, non-consolidated)
MetricQ1 FY2/2027Q1 FY2/2026YoY
Revenue (¥m)22,00821,206+3.7%
Operating profit (¥m)751302+148.1%
Ordinary profit (¥m)768316+142.8%
Net profit (¥m)404166+142.9%
Basic EPS (¥)42.7817.23+148.3%
Equity ratio76.1%
Annual dividend forecast (¥)38.0038.00Unchanged
FY2/2027 revenue guidance (¥m)92,000+6.1%
FY2/2027 operating profit guidance (¥m)3,260+18.2%
FY2/2027 net profit guidance (¥m)1,760-2.6%

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.