Kagome Co., Ltd. · TSE:2811
Kagome — FY2026 1H Earnings Presentation
39 slides from Kagome's earnings presentation, 2026
Slide 1: Briefing Materials for FY2026/1H Financial Results
Briefing Materials for FY2026/1H Financial Results Kagome Co., Ltd. Securities Code: 2811 Figures in these materials ・Amounts are rounded down to the nearest 0.1 billion yen. ・Percentages are rounded to one decimal place.
Slide 2: Key Points of Today's Presentation
Key Points of Today’s Presentation Growth challenges following product price revision have become clear. We will now accelerate measures to restore profitability and unlock the next phase of growth. ⚫ Revenue increased, but core operating income declined. Growth challenges following product price re
Slide 3: Index
1 Summary of Financial Results for FY2026/1H 2 FY2026 Earnings Forecast Index 3 Response Measures for 2H and Beyond 4 Reference Information ©2026 Kagome Co., Ltd 2
Slide 4: FY2026/1H Consolidated Results
FY2026/1H Consolidated Results ⚫ Revenue: On par with the previous year, excluding forex effects (+4.8 billion yen). ⚫ Core operating income: The Domestic Processed Food Business recorded lower profit due to increases in sales promotion expenses and advertising expenses, etc. , while the Internation
Slide 5: FY2026/1H Results by Segment
FY2026/1H Results by Segment ⚫ Domestic Processed Food Business: Sales of beverages decreased, while sales of Food-Other increased, resulting in overall revenue being roughly the same as the previous year. Core operating income decreased due to higher advertising and promotional expenses. ⚫ Internat
Slide 6: FY2026/1H Domestic Processed Food Business
FY2026/1H Domestic Processed Food Business ⚫ Revenue remained largely flat, with strong performance in Food-Other offsetting a weaker-than-expected recovery in demand for beverages following price revisions. ⚫ Core operating income declined due to aggressive investment in advertising and promotional
Slide 7: Factors Contributing to Core Operating Income Changes in the Domestic Processed Food Business
FY2026/1H Factors Contributing to Core Operating Income Changes in the Domestic Processed Food Business ⚫ The combined impact of higher revenue due to price revisions and lower sales volume resulted in a net increase of 0.9 billion yen. ⚫ Although changes in raw materials costs, etc., resulted in a
Slide 8: FY2026/1H Beverages: Trend After Price Revisions
FY2026/1H Beverages: Trend After Price Revisions ⚫ In February 2026, we revised prices of beverages due to continued high prices of agricultural raw materials. ⚫ On a value basis, by June, sales of vegetable beverages had recovered to exceed the previous year's levels. ⚫ The recovery in demand follo
Slide 9: Beverages: Challenges Revealed by Trends Following Price Revisions
FY2026/1H Beverages: Challenges Revealed by Trends Following Price Revisions ⚫ Trends following price revisions suggest that differences in brand perception influence the rate of recovery. ⚫ Competition within the health beverages category is intensifying, and rebuilding the value of health beverage
Slide 10: FY2026/1H International Business
FY2026/1H International Business ⚫ The consolidation of Silbury resulted in a net increase in revenue of 3.6 billion yen. 2025 2026 ⚫ Primary processing saw a reduction in the unit price of tomato paste, while secondary processing USD 148.60 158.18 saw strong sales to food service companies. EUR 162
Slide 11: Factors Contributing to Core Operating Income Changes in the International Business
FY2026/1H Factors Contributing to Core Operating Income Changes in the International Business ⚫ Tomato and other primary processing: The impact of market volatility resulted in a decrease of 3.5 billion yen due to a reduction in the selling price of tomato paste and fluctuations in the procurement p
Slide 12: Factors Contributing to Consolidated Core Operating Income Changes
FY2026/1H Factors Contributing to Consolidated Core Operating Income Changes ⚫ The factors for change in consolidated core operating income are as follows. ⚫ The Domestic Processed Food Business posted lower profit. The International Business also posted lower profit, but generally progressed in lin
Slide 13: Index: FY2026 Earnings Forecast
1 Summary of Financial Results for FY2026/1H 2 FY2026 Earnings Forecast Index 3 Response Measures for 2H and Beyond 4 Reference Information ©2026 Kagome Co., Ltd 12
Slide 14: Impacts of the Situation in the Middle East on the Group
Impacts of the Situation in the Middle East on the Group ⚫ There are two impacts: raw materials procurement and product supply as well as business performance. ⚫ While we are advancing measures to improve profitability, the short-term impacts have been reflected in the following outlook. Outlook of
Slide 15: FY2026 Full-year Earnings Forecast by Segment
FY2026 Full-year Earnings Forecast by Segment ⚫ Revenue: Based on the current situation, there is no revision on a consolidated basis (1). In 2H, both Domestic Processed Food and International businesses are projected to see increased revenue (2). ⚫ Core operating income: The earnings forecast has b
Slide 16: Factors for Revision to Consolidated Core Operating Income Forecast
FY2026: Factors for Revision to Consolidated Core Operating Income Forecast ⚫ We are revising our full-year forecast to reflect the impact of the Middle East situation and the reduced effect of increased revenue attributed to price revisions. ⚫ We will strive to grow revenue while also working to ge
Slide 17: Factors for Revision to Consolidated Core Operating Income Forecast (1H/2H)
FY2026: Factors for Revision to Consolidated Core Operating Income Forecast ⚫ We will work to restore profitability through a recovery in beverage volume, cost reductions, and growth in international secondary processing. 1H: Factors Contributing to Core Operating Income Changes 2H: Factors Contribu
Slide 18: FY2026 Revised Consolidated Earnings Forecast
FY2026 Revised Consolidated Earnings Forecast ⚫ The revised consolidated earnings forecast is as follows: FY2026 Revised Full-Year Forecast YoY FY2025 Unit: billion yen Margin Change Result Revenue 310.0 ー +15.7 +5.3% 294.2 Core operating 19.0 6.1% -3.3 -15.1% 22.3 income Operating 19.5 6.3% -2.8 -1
Slide 19: Index: Response Measures for 2H and Beyond
1 Summary of Financial Results for FY2026/1H 2 FY2026 Earnings Forecast Index 3 Response Measures for 2H and Beyond 4 Reference Information ©2026 Kagome Co., Ltd 18
Slide 20: Future Revenue Recovery and Growth
Future Revenue Recovery and Growth ⚫ Despite changes in the external environment, we will continue to move toward realizing Kagome Group Plan 2028, our Mid-Term Management Plan. ⚫ Based on the challenges that became evident in 1H, we will accelerate our efforts to improve our revenue-generating capa
Slide 21: Creating Demand by Enhancing the Value of the Vegetable Beverages Category
(1) Creating Demand by Enhancing the Value of the Vegetable Beverages Category ⚫ Based on the challenges of 1H, we will restructure the value of vegetable beverages and achieve market growth and improved profitability by creating demand over the medium to long term. Enhancing Value as a Health Drink
Slide 22: Vegetable Beverages Category: Activity Policy for 2H
(1) Vegetable Beverages Category: Activity Policy for 2H ⚫ To rebuild the value of the vegetable beverages category, we will seek to strengthen communication of its value in 2H. ⚫ We will make an additional investment of 0.5 billion yen in advertising and sales promotion expenses compared with the i
Slide 23: Strengthening Revenue Base Through Productivity Improvement
(2) Strengthening Revenue Base Through Productivity Improvement ⚫ Strengthening the revenue base through continuous productivity improvements ⚫ Strengthening the foundation for generating profits by collaborating improvement capabilities cultivated at each location globally Cost Reduction Activities
Slide 24: Growing of International Secondary Processing
(3) Growing of International Secondary Processing ⚫ Focusing on the United States and Europe, which have large food service markets, and India, which is expected to have a high growth rate, as target areas. ⚫ We are strengthening our foundations toward achieving the quantitative target of a CAGR of
Slide 25: Growing International Secondary Processing: United States (KAGOME Inc.)
(3) Growing of International Secondary Processing: United States (KAGOME Inc.) ⚫ We will expand our portfolio of high value-added products, focusing on growing sectors in the United States market. ⚫ To expand revenue from value-added products, we will strengthen our workforce, improve our work envir
Slide 26: Initiatives for Creation in New Value Domains
Initiatives for Creation in New Value Domains ⚫ For new value domains that will drive future growth, we will steadily promote business validation as part of the value development phase. Expand Food and Agriculture Well-being Services Pioneer an Earth-Positive Tomato Business ⚫ Promoting the verifica
Slide 27: Conclusion
Conclusion Creating demand by enhancing Strengthening the revenue Growing international the value of the vegetable base through productivity beverages category secondary processing improvement Inorganic growth Improved capital efficiency ⚫ Continued exploration of M&A ⚫ Consideration and promotion o
Slide 28: Index: Reference Information
1 Summary of Financial Results for FY2026/1H 2 FY2026 Earnings Forecast Index 3 Response Measures for 2H and Beyond 4 Reference Information ©2026 Kagome Co., Ltd 27
Slide 29: Domestic Processed Food Business: Quarterly Results by Segment
Domestic Processed Food Business: Quarterly Results by Segment Result YoY Revenue Unit: billion yen 1Q 2Q 1H 1Q 2Q 1H Beverages 18.1 20.7 38.9 -0.3 -0.2 -0.6 (1) -1.7% -1.4% -1.5% ⚫ Revenue of each category was Direct marketing 2.9 3.0 6.0 -0.0 +0.0 -0.0 roughly on par with the previous year -2.6% +
Slide 30: International Business: Quarterly Results by Segment
International Business: Quarterly Results by Segment Result YoY Forex effects Revenue Unit: billion yen 1Q 2Q 1H 1Q 2Q 1H 1Q 2Q 1H Tomato and other (1) 15.2 15.3 30.6 -0.2 +1.8 +1.5 +0.8 +1.6 +2.5 FD primary processing -1.8% +13.8% +5.5% ⚫ The tomato and other Tomato and other (1) secondary processi
Slide 31: Main Factors Contributing to Changes in FY2026 Core Operating Income (1Q and 2Q)
Main Factors Contributing to Changes in FY2026 Core Operating Income (Comparison of 1Q and 2Q) ⚫ 1Q: Cost fluctuations were offset by cost reductions. Sales promotion and advertising expenses progressed in line with initial expectations. ⚫ 2Q: Cost fluctuations were larger than in 1Q, resulting in a
Slide 32: FY2026 Operating Income and Other
FY2026 Operating Income and Other FY2026 1H Result FY2025 1H Unit: billion yen YoY Change Result Core Operating income 8.4 -1.9 -18.6% 10.3 Other operating income 1.1 +0.6 +154.9% 0.4 Other operating expenses 0.4 +0.2 +166.3% 0.1 Operating income 9.0 -1.5 -14.5% 10.6 Income before income taxes 8.2 -
Slide 33: FY2026 Changes to Statement of Financial Position
FY2026 Changes to Statement of Financial Position ⚫ Total assets decreased by 18.8 billion yen from the end of the previous fiscal year to 356.9 billion yen (of which, forex effects accounted for +6.7 billion yen). Assets/Liabilities and Net assets Details of Changes from the Previous Fiscal Year En
Slide 34: FY2026 Changes in Cash Flows
FY2026 Changes in Cash Flows ⚫ Free cash flow: Cash flows from operating activities declined YoY due to lower profit. Cash flows from investing activities increased, while free cash flow decreased. FY2026 1H Result FY2025 Unit: billion yen YoY Change 1H Result Cash flows from operating activities (A
Slide 35: FY2026/1H Activity Topics
FY2026/1H Activity Topics Beverages Direct Marketing ⚫ Vegetable beverages Sales: 3.8 billion yen (-1.6% YoY) ⚫ Tomato Juice Sales: 12.3 billion yen (+20.7% YoY) Japanese Tomato Juice continued solid Shipment volume remains strong even after price revisions, due to performance. increased awareness o
Slide 36: Worldwide Production Volume of Processing Tomatoes
Worldwide Production Volume of Processing Tomatoes Worldwide Production Volume of Processing Tomatoes (Million tons) Trend in Processing Tomato Production Volume and ⚫ Worldwide processing tomato production 5,000 Tomato Paste Consumption by Major Country* 4,579 for 2026 is expected to be roughly fla
Slide 37: Growing Chicken Category in the United States Food Service Sector
Growing Chicken Category in the United States Food Service Sector ⚫ In North America, the chicken specialty restaurant business is diversifying and expanding rapidly. ⚫ This is a category where Kagome can leverage its strengths, such as its product development capabilities in dips and oil-based sauc
Slide 38: FY2026 Performance of Main Subsidiaries in the International Business
FY2026 Performance of Main Subsidiaries in the International Business KAGOME INC. 17.6% (Billion yen) Ingomar 20.0 60.0 (Billion yen) 70.0 57.7 10.0 50.6 50.0 44.9 16.0 60.0 8.0% 49.0 40.3 10.6% 7.5% 8.0 23.5 9.7% 50.0 6.3% 40.0 31.9 12.0 31.0 4.6 21.7 8.0% 6.0 6.5% 21.9 7.0 40.0 28.7 30.0 8.0 3.0 1
Slide 39: Cautionary Statement
Cautionary Statement This presentation material contains Kagome's current plans, forecasts, strategies, and other matters that are not necessarily based on historical facts and are instead based on the judgment of Kagome's management team obtained from currently available information. Therefore, ple