KITOKU SHINRYO CO., LTD.JP:2700Stock Price

Market cap
¥17.4B
P/E ratio
5.5x
Kittoku Shinryo operates in rice, feed, eggs, and food manufacturing, serving both commercial and household customers across Asia.

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Business Overview

Kittoku Shinryo Co., Ltd. operates four main business segments. First, in the rice grain business, the company manufactures and sells milled rice, brown rice, minimum access rice, and processed rice for both commercial and household use. This segment involves Anjimex Kittoku, Kittoku (Dalian) Trading Co., Ltd., and Kittoku Thailand Co., Ltd.

Second, in the feed business, the company supplies raw materials for compound feed manufacturers and single-ingredient feed for feed retailers and corporate livestock operations. This business is primarily handled by Kittoku Shinryo.

In the egg business, the company sells eggs and egg products for both household and commercial use. The company particularly develops branded egg products with enhanced nutritional content, such as "Carotene E Egg α." Kittoku Shinryo primarily manages this business as well.

Finally, in the food business, the company manufactures and sells rice flour for confectionery and processed foods, protein-adjusted rice called "Shin-Tsubu Mai," and wheat flour. This segment involves Higashi Nihon Sangyo Co., Ltd. Through these operations, Kittoku Shinryo provides diverse food-related services.

Management Policy

Mokutoku Shinryo Co., Ltd. is developing a medium-term management plan for 2023-2025 aimed at sustainable growth. The plan is built on three core strategies: "Expanding the rice business," "Growing rice-related businesses," and "Building the foundation for corporate growth." Through these initiatives, the company aims to expand its business scale and domains while strengthening its revenue base.

In expanding the rice business, the company is strengthening its domestic and international grain operations. Specifically, to secure stable sourcing and supply of raw materials, it is diversifying procurement channels and promoting new rice varieties. The company is also actively entering overseas markets, focusing on expanding sales of Japonica rice in Asian and Western markets.

For rice-related business growth, the company is focusing on expanding its feed and egg production operations. In the feed business, it is leveraging synergies with its grain operations to develop new suppliers and expand sales. In the egg business, it aims to build a stable supply system and develop new markets to increase business scale.

As part of building the foundation for corporate growth, Mokutoku Shinryo is prioritizing talent development and employee satisfaction. The company is creating a diverse and inclusive workplace environment and enhancing training and development programs to build a framework where both the company and its employees can grow together. Additionally, through strengthening corporate governance, the company is pursuing transparent management and sustainable growth.