House Foods Group has revised its consolidated operating profit forecast for the fiscal year ending March 2027 downward to 17.5 billion yen, a 4.1 percent decline from the previous year, compared with the earlier projection of 18.5 billion yen. The company expects cost increases of 2.4 billion yen this fiscal year due to the impact of the Middle East situation, but plans to absorb 1.4 billion yen through price revisions and efficiency improvements. The operating profit forecast for its core spices and seasoning processed foods business has been lowered from 12.4 billion yen to 11.4 billion yen. Given the uncertain outlook for the Middle East situation, the current forecast does not factor in an additional procurement cost increase of around 1.5 billion to 3 billion yen. First-quarter net profit came to 5.136 billion yen, 2.8 times the year-earlier figure, mainly due to a 3.5 billion yen gain on the sale of policy-held shares booked as extraordinary income.
House Foods Group Inc.Higher raw material costs due to Middle East situation cut operating profit forecast.