Yamazaki Baking said it plans to revise prices on some bread, sweet buns and Japanese and Western confectionery for shipments from 1 January 2027, its second revision in six months. The company gave the plan in its nine-month results, released on 27 October 2026.
What the company says is driving it
The company cites a "significant" rise in raw material prices next year, naming wheat flour first and then fats and fillings. It also expects higher labour and logistics costs. The results document gives no size for the increase and does not list which products are covered. It says only "some" bread, sweet buns and confectionery will be affected.
The previous revision took effect for shipments from 1 July 2026. Management says it secured sales volumes after that move, crediting careful preparation and product-quality work in each division. It also says it is pursuing a two-tier and three-tier product strategy to keep lower-priced items in the range.
Food profit up, convenience stores deeper in the red
For the nine months to 30 September 2026, consolidated sales were ¥1.01tn, up 4.5%. Operating profit was ¥47.2bn, up 5.6%, and profit attributable to owners of the parent was ¥31.9bn, up 7.2%.
The food business supplied the growth. Its sales rose 4.7% to ¥939.5bn and its operating profit rose 8.1% to ¥45.8bn. Sales of cooked bread and rice products slipped to 99.6% of the prior-year level. The company points to a pullback after a surge in demand last year and to sluggish rice-ball sales.
The distribution business, which includes the Daily Yamazaki convenience-store chain, moved the other way. Sales were ¥59.6bn, up 0.2%, while the operating loss widened to ¥1.5bn from ¥0.4bn a year earlier. The company blames higher labour and other costs. It also cites intensifying competition from drugstores and small supermarkets in the convenience-store sector.
Guidance left unchanged
Yamazaki Baking kept its full-year forecasts, issued on 12 February 2026: sales of ¥1.338tn, operating profit of ¥64.0bn and net profit of ¥42.5bn. The dividend forecast stays at ¥60 per share. Management says the parent company's own results are running smoothly in the fourth quarter but that it wants to see how its major consolidated subsidiaries perform before changing the outlook.