ICHIMASA KAMABOKO CO.,LTD. (2904) Stock Price

Issei Kamaboko Co., Ltd. is primarily engaged in the production and sale of seafood processed products (such as kamaboko), prepared foods, and mushrooms. In addition to manufacturing at its own facilities, the company also handles logistics and related services involved in product distribution.

The company's main customers include retailers, food wholesalers, and foodservice operators. It generates revenue from both consumer packaged products and commercial products for business use. Product sales form the core of the company's revenue, while transportation and warehousing services have become increasingly important in recent years and now represent an additional income stream.

The business is divided into three segments: seafood processed products and prepared foods, mushrooms, and transportation and warehousing. The seafood processed products and prepared foods segment handles manufacturing and sales of processed seafood and prepared foods both domestically and internationally. The mushroom segment produces and sells shiitake mushrooms and similar products. The transportation and warehousing segment primarily handles the transport and storage of the group's products and raw materials.

The company has adopted a "Five-Year Path to Growth" (July 2021–June 2026), with three pillars: strengthening revenue and financial foundations, and expanding overseas operations. Under the second medium-term management plan, initial targets for the final fiscal year were sales of 40 billion yen, operating profit of 2.6 billion yen, return on equity (ROE) of 10%, and return on invested capital (ROIC) of 9%. However, due to rising raw material costs and underperformance in the mushroom business, targets for the June 2026 period were revised downward to sales of 36.2 billion yen, operating profit of 1.1 billion yen, ROE of 5%, and ROIC of 4%. While adapting to these market changes, the company aims to enhance corporate value over the medium to long term based on its long-term vision "ICHIMASA30" (fiscal 2045).

The company is prioritizing investments in both product strength and production efficiency. Specifically, it is improving flagship products, strengthening sales of leading brands such as "Salad Stick," and developing reduced-sodium and high-protein ready-to-eat products, high-value-added products using domestic ingredients, and the "Next Seafood" series. The company is also differentiating its brand through enhanced quality assurance systems and sustainability initiatives. Since July 2024, its newly established Marketing Development Division has been coordinating product development and sales operations. Through these measures, the company aims to establish a brand known for "safety and reliability" with "health benefits."

For new market development, the company is strengthening production and sales operations overseas. It converted its Indonesian joint venture, established in 2015, into a consolidated subsidiary through additional investment in December 2024, and is expanding sales to North America and the Middle East from Southeast Asia as a base. The company is also pursuing a three-pillar business structure comprising seafood processed products and prepared foods, mushrooms, and a "third business," with a new dedicated division exploring new ventures. The company is elevating the importance of logistics, warehousing, and transportation operations, aiming to expand market channels by leveraging the group's distribution network to offset domestic market contraction, while remaining vigilant about external risks such as tariffs and import restrictions.

In technological innovation, the company prioritizes factory rationalization and labor reduction, aiming to realize smart factories through AI and sensor-based production management and IoT-enabled equipment optimization. Through a dedicated factory automation (FA) organization, the company is accelerating AI and IoT adoption, improving productivity through production management systems that enhance quality and digitalize business processes. On the sales side, it is improving efficiency through customer data utilization and online sales meetings. Additionally, the company is conducting academic joint research on the functional properties of fish protein and mushrooms and exploring foodtech applications, aiming to build competitive advantage through technology and product strength.