Pharma Foods International has a completed acquisition to show for its new plan, which its last one could not claim. The board adopted the three-year plan, called "1K Project - SPRING Strategy", on October 16. It covers the years to July 2027, 2028 and 2029.
What is already done
The previous plan missed its ¥100bn sales goal. The company's own review says sales rose from ¥46.8bn in 2021 to ¥63.2bn in 2026, that it could not get past ¥70bn, and that M&A pursued during the period did not close.
The release says a share purchase agreement for a Japanese hospital-meal and care-food supplier has been signed. The slide deck describes a contract to acquire 100% of the shares and says the supplier joined the Pharma Foods group on October 6. The target reported ¥9.475bn in sales for the year to March 2026, selling to hospitals, care facilities, school and corporate catering, restaurants and ready-meal channels. It is fabless, so it needs no large capital spending. The release does not give a purchase price. Pharma Foods wants to pair the supplier's fish-protein products with its functional ingredients to create a "medical food" line. See Earlier Tokyo Brief coverage.
What is still aspiration
For the year to July 2029 the release targets sales of ¥72bn, operating profit of ¥4.1bn, operating cash flow of ¥3.4bn and earnings per share of ¥111. The slide deck shows operating profit of ¥4.4bn and a 6.1% margin for that year, so the two figures do not match. The release does not say how much of the sales target the acquisition supplies.
The starting point is thin: sales of ¥63.2bn, operating profit of ¥2.6bn and negative operating cash flow of ¥1.18bn in the year to July 2026. The deck's interim sales targets are ¥67bn, ¥69bn and ¥72bn. The company says it still aims for ¥100bn in sales, but gives no date.