In the consolidated fiscal year under review (April 1, 2022 ~ March 31, 2023), the Group's business environment in Japan increased significantly compared to the previous fiscal year, when priority measures such as the declaration of a state of emergency and prevention of the spread of the new coronavirus infection were implemented, and the number of customers eating out also remained on a recovery trend. Overseas, business conditions have recovered due to the removal of behavioral restrictions in Europe and the United States, and the progress of deregulation in Asia. In such an environment, the Group worked to develop products that are highly appealing in Japan, design stores, and appeal to store motives. In addition to actively opening stores overseas, mainly in Asia, Europe, and North America, we focused on rebranding with a view to global expansion and developing new business partners (Local Buddy(*1)). As a result, Marugame Seimen Co., Ltd., a full-scale Sanuki udon specialty store, and its overseas business achieved record sales revenues, and sales increased in all segments, including others, resulting in record sales revenue of 188,320 million yen (up 22.8% from the previous fiscal year). In terms of profit, although it was affected by soaring global raw materials, labor costs, and utilities costs, it was absorbed by increased sales, and in addition to the Marugame Seimen and Offshore Business, all other segments that reached a record high increased profit, and although the amount of adjustments that are company-wide expenses increased, operating income (Note 2) was 6,984 million yen (up 28.6% year on year). On the other hand, in the previous fiscal year, we recorded 12,866 million yen of government subsidies such as short-time cooperation funds related to the novel coronavirus infection, but in the current fiscal year it was only 4,430.06 million yen. Other operating revenue decreased by 9,966 million yen year on year. In addition, we recorded one-time business restructuring costs of 1,227 million yen related to the China business in other operating expenses. As a result, operating income (Note 3) decreased to 7,466 million yen (down 47.6% from the previous fiscal year) and profit attributable to owners of the parent decreased to 3,827 million yen (down 57.4% from the previous fiscal year).
*1 Local buddies: Friends from all over the world who have special knowledge and know-how who sympathize with emotional experiences
*2 Operating income: Revenue - Cost of sales - Selling, general and administrative expenses
*3 Operating income: Operating income - impairment loss + other operating income - other operating expenses
In the Marugame Seimen segment, combined brand strategy and product strategy in a hybrid fashion, combined with offline (in stores) and online (TV commercials, digital marketing, SNS, etc.) integrated marketing was successful. It has performed well. From June 15, 2022, we will launch a new brand campaign with the catchphrase “I want to surprise you with udon noodles.” This campaign will promote the deliciousness of freshly-made udon noodles and the value of hand-made udon noodles by craftsmen. We have strengthened communication to raise the level of communication. In terms of product strategy, we will further improve the popular seasonal fair products that have received a lot of support from customers and raise the quality. lead to enhanced cognition. The new products “Oretachi no Tonjiru Udon” and “Oretachi no Nirabata Tonjiru Udon” jointly developed with Mr. Masahiro Matsuoka of TOKIO Co., Ltd., a co-creation partner, pursued the unique pork soup that best matches udon, and Masahiro Matsuoka As a result of combining his unique ideas with Marugame Seimen's product development and marketing capabilities, it became a huge hit with 2.55 million meals sold by January 23, 2023. The next product, Niku ga Sane Tamago Udon with Sauce, also sold 1.63 million servings by March 6, making it a big hit in the winter season. In the fiscal year ended March 31, 2023, we will revise the prices of some products on October 25, 2022 in order to deal with soaring raw material costs, utility costs, and labor costs. We have revised the price including. In addition, we renovated and refurbished aging stores at 70 existing stores. As a result of these efforts, revenue reached a record high of 102.1 billion yen (up 10.8% year on year). Cost of sales, personnel expenses, electricity charges, and advertising expenses also increased, but these were offset by higher sales, and business profit increased significantly to 11,624 million yen (up 9.8% year on year).
As the movement of people around the world recovered, the zero-corona restrictions were lifted in China in January 2023, and the economic effects were expected to spread to neighboring countries. In this environment, Tam Jai, a spicy noodle restaurant based in Hong Kong, increased sales by 40 stores in Asia. In terms of profits, although there was a gradual recovery in the fourth quarter of the fiscal year ending March 31, 2011, profits declined due to the strong impact of China's restrictions on behavior until the third quarter. In the United States, Marugame Udon posted a significant increase in sales as the Hawaii store continued to perform well and the new store performed well. In Taiwan, sales increased significantly due to the success of promotions and the results of focusing on human resources education under the influence of COVID-19. In the UK, we opened 6 stores during the period, bringing the total to 10 stores. As a result of these factors, and due in part to the impact of foreign exchange rates, revenue increased significantly to 61,483 million yen (up 49.7% year-on-year), achieving a record high. In terms of profits, in addition to rising raw material prices and rising labor costs, upfront investment such as marketing expenses associated with global expansion in multiple business formats increased, but these were offset by higher sales, resulting in business profit of 1,809 million yen (2018.3). 24.9% year-on-year increase).
Other segments include Kona's Coffee, Niku no Yamaki Shoten, Butaya Tonichi, Toridoru, Nagata Honjoken, Tempura Makino, and Ramen Zundoya. ", "Banpaiya" etc. are included. “Ramen Zundo-ya,” “Banpai-ya,” and “Toridoru” improved in the business environment compared to the previous fiscal year, when they were forced to close or shorten business hours due to the declaration of a state of emergency and priority measures to prevent the spread of the virus. Both revenue and profit increased. In particular, Ramen Zundo-ya, a rich pork bone ramen restaurant that originated in Himeji, opened 19 stores during the period, resulting in a significant increase in sales. led the increase in sales and profit. Sales of Kona's Coffee, which is based on the concept of "the closest dining table in Hawaii," increased due to the success of measures such as limited-time fair menus and events, as well as the strong performance of the Tama New Town store, which opened in October 2022. Profits increased. Toridor succeeded in turning the Momo Ichimai-yaki Bento into a flagship product, and the number of customers increased significantly, resulting in significant increases in both sales and profits. “Buta-ya Ton” focused on creating stores that appealed to elaborate craftsmanship, such as cutting meat after receiving an order and adding bread crumbs made in-house each time, while liquidating unprofitable stores. As a result, we have achieved a significant increase in profits. Niku no Yamaki Shoten has won support from customers for its product strategy of offering handmade yakiniku rice bowls and side dishes at prices that can be used on a daily basis. Sales and profit increased as a result of steady growth. As a result, revenue was 24,737 million yen (up 22.7% year-on-year). We achieved a record high of 3,044 million yen (up 264.2% year-on-year), a significant increase.
sales revenue | 212,000 million yen (+12.6% year-on-year) |
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business profit | 9,650 million yen (+38.2% YoY) |
Operating income | 6,650 million yen (-10.9% year-on-year) |
Profit attributable to owners of the parent company | 2,600 million yen (-32.1% year-on-year) |
Consolidated earnings forecast for the fiscal year ending March 31, 2024 (from April 1, 2023 to March 31, 2024) is 212 billion yen in sales revenue and 212 billion yen in business profit.
9,650 million yen, and we plan to increase sales and profits in all segments.
On the other hand, operating income is 6.650 million yen (down 10.9% year-on-year) because government subsidies such as short-time cooperation grants related to the new coronavirus infection are expected to decrease by about 4.4 billion yen. We are planning profit attributable to owners of the parent of 2.6 billion yen (down 32.1% year on year).