Suntory Beverage & Food Limited sold more drinks in the nine months to September 2026 and still cut its profit guidance for the year. Revenue rose 9.8% to ¥1.40tn, but at constant exchange rates the increase was 4.3%. Operating profit rose 2.9% to ¥130.3bn and fell 4.2% at constant rates. Profit attributable to owners of the parent rose 2.2% to ¥77.0bn, or fell 5.0% at constant rates.
The company's earnings release says operating profit absorbed higher marketing spending and inflation, plus Middle East-linked rises in raw material and logistics costs, with currency helping. Sales volume rose 3% to 816mn cases.
Revenue up, profit down
The revised forecast for the year to December 2026 raises revenue by ¥40.0bn from the February forecast and lowers every profit line.
| Measure | February forecast | Revised forecast | Change |
|---|---|---|---|
| Revenue | ¥1,826.0bn | ¥1,866.0bn | +¥40.0bn (+2.2%) |
| Operating profit | ¥155.0bn | ¥147.5bn | -¥7.5bn (-4.8%) |
| Profit attributable to owners of parent | ¥89.0bn | ¥82.5bn | -¥6.5bn (-7.3%) |
| Basic earnings per share | ¥288.03 | ¥266.99 | n/a |
The new operating profit forecast of ¥147.5bn is 0.8% below last year's ¥148.7bn. Forecast profit attributable to owners of the parent is down 7.0% on last year. The release attributes the revision to inflation and Middle East-driven raw material and logistics costs, plus the effects of the 2026 Kumamoto earthquake. The company says it will keep up marketing and tighten cost management in the October to December quarter. The dividend forecast is unchanged at ¥120 a share for the year.
Where the margin goes
The company's results presentation bridges its existing-business operating profit forecast, which excludes divested businesses and one-off items, from the original ¥163.0bn to the revised ¥157.0bn. Middle East effects subtract ¥16.3bn, currency translation adds ¥6.8bn and volume adds ¥5.1bn, with ¥1.6bn lost to other items. Excluding the Middle East effect, the revised figure would be ¥173.3bn. The slide says steady revenue growth could not fully absorb the Middle East impact.
The currency assumptions help explain why the translation line is positive. The revised forecast assumes ¥158 to the dollar against ¥150 previously, and ¥212 to the pound against ¥200.
In Japan, nine-month segment profit rose 3.4% to ¥42.9bn. Higher raw material and logistics costs took ¥16.9bn off Japan's profit, offset by price revisions and volume. The company's volume rose 1% while it estimates the market fell 4%.
Outside Japan, the picture is less comfortable. Europe's segment profit rose 0.1% to ¥53.9bn and fell 9.2% at constant rates, with one-off costs from a French factory restructuring and higher marketing spending. The Americas segment profit slipped 0.2% to ¥17.0bn, and fell 6.8% at constant rates, as aluminium and logistics costs rose.
The company's own forecast caveat applies: results could differ significantly from the forecast depending on economic conditions, market trends and exchange rates.