Nippn : Presentation Material November 17,20221,398KB

Code number: 2001

Briefing Session on Business Results for the First Half of the Fiscal Year Ending March 31, 2023 (FY2023)

November 17, 2022

NIPPN CORPORATION

https://www.nippn.co.jp

Contents

	Overview of Business Results for the
1	First Half of FY2023 and FY2023
Performance Forecasts	p. 03 -

2	NIPPN Group 2022-2026
Medium-term Targets	p.16 -

３	Toward Sustainable Management	p.42 -

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Overview of Business Results for

the First Half of FY2023 and

FY2023 Performance Forecasts

3

Statements of Income

• Net sales increased owing to wheat flour price revisions in the flour milling business in line with the wheat price revision and selling price revisions in the food business in line with sharp increases in raw materials prices, as well as an increase in the volume due to recovery in demand from the restaurant sector and growth of the frozen food business.
• Despite an increase in shipments due to a recovery in demand, profit decreased because raw materials prices and other costs rose more than expected and strategic costs for sales expansion increased.

			1H FY2022	1H FY2023	YoY
			Result	% of net	Result	% of net	Change	Change (%)
		(Millions of yen)	sales	sales
		Flour Milling	46,210	29.3%	56,149	31.8%	9,939	21.5%
Net
	Food	93,002	59.0%	100,364	56.9%	7,362	7.9%
sales
	Other	18,323	11.6%	19,975	11.3%	1,651	9.0%
		Total	157,535	100.0%	176,488	100.0%	18,953	12.0%
		Flour Milling	2,811	6.1%	3,425	6.1%	614	21.9%
Operating income
	Food	2,766	3.0%	2,041	2.0%	(725)	(26.2)%
	Other	290	1.6%	362	1.8%	70	24.1%
		Total	5,869	3.7%	5,829	3.3%	(39)	(0.7)%
Ordinary income	7,362	4.7%	7,211	4.1%	(150)	(2.0)%
Profit attributable to owners	5,235	3.3%	4,963	2.8%	(272)	(5.2)%
of parent

4

Trend of Raw Materials Prices and Energy Costs

• Wheat prices remained high against the background of unsettled weather, Russia's invasion of Ukraine, etc. Although the government did not change the selling price of imported wheat in October 31, 2022, future price trends are uncertain.
• Prices of raw materials for food products, energy costs, and logistics costs are rising owing to the impact of the prolonged conflict in Ukraine and the weak yen. Endeavoring to gain the understanding of our customers, we will promote product price revisions.

Trends of Price Index, Wheat Price, etc.

Consumer Price Index (index for the quarterly month-end with the index for CY2020 as 100)

Government's selling price of imported

Indexwheat (weighted average of prices for 5 brands including tax)

Producer Price Index (index for the quarterly month-end with the index for CY2020 as 100)

US dollar/yen (period-end rate)

Power cost per unit (index with FY2021 as 100)

Wheat selling

price (yen/t)

1QFY2022		2QFY2022		3QFY2022		4QFY2022		1QFY2023		2QFY2023

Source for Consumer Price Index: Ministry of Internal Affairs and Communications; Source for Producer Price Index and Exchange Rate: The Bank of Japan

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