Financial summary
Overview of business performance for the 115th fiscal year (ending March 2024)
| Actual results for the current period | Previous period results | Year-over-year basis(%) | |
|---|---|---|---|
| Consolidated sales | 169,934 | 194,165 | △12.5 |
| Consolidated operating profit | 8,073 | 12,643 | △36.1 |
| Consolidated ordinary income | 9,463 | 13,634 | △30.6 |
| Consolidated net income | 8,649 | 10,528 | △17.9 |
(Unit: million yen)
During the consolidated fiscal year under review, the outlook for the global economy remained uncertain, with resource and energy prices remaining high due to the prolonged situation in Ukraine, and the slow pace of economic recovery in China. In Japan, however, the economy recovered slowly, with an increase in inbound demand and a pick-up in personal consumption.
Under these circumstances, the Nissin Group entered the final year of Phase 1 of its seventh Medium-Term Business Plan, "Nissin Next 7th," and the entire Group came together to work on strengthening its business and management foundations.
In the logistics business, the volume of goods handled was sluggish due to the large impact of the reactionary decline in sea and air freight rates from the previous fiscal year, but warehousing operations were steady. In the travel business, the recovery in business travel continued, and group travel was also strong.
As a result, sales for the current consolidated fiscal year decreased 12.5% year on year to 169,934 million yen, operating profit decreased 36.1% year on year to 8,073 million yen, ordinary profit decreased 30.6% year on year to 9,463 million yen, and net profit attributable to owners of parent decreased 17.9% year on year to 8,649 million yen.
Business segment
Logistics business
Japan
The volume of cargo handled was generally sluggish for Air cargo and sluggish for sea freight, but warehousing operations were strong. Air cargo handling continued to decline for both imports and exports due to the impact of inventory adjustments, but handling of pharmaceuticals and other items was strong. For sea freight exports, handling of machinery and equipment was strong, while imports of machinery, miscellaneous goods, etc. were strong.
Asia
Overall, the recovery of handling of automobile-related cargo was slow, resulting in sluggish performance. Looking at the results by country, a decrease in the volume of Air cargo handled in Thailand affected profits, resulting in a large decrease compared to the previous fiscal year. On the other hand, handling of miscellaneous goods remained steady in Vietnam, and domestic delivery operations were robust in India, supporting profits in the Asian region.
China
The delayed economic recovery led to a slump in ocean and Air cargo handling, and profitability declined due to the effects of intensified price competition, etc. By region, handling of ocean export containers in Changshu was solid, and Sino-Japanese Transport Nissin, which became a consolidated subsidiary in the fourth quarter, contributed to the bottom line.
Americas
Handling of automobile-related cargo remained strong in all countries. By country, handling of food and large battery-operated cargo contributed to profits in the United States. Handling of Finished Car also showed a recovery trend in Mexico from the second half of the fiscal year.
Europe
Overall, cargo movement remained sluggish, resulting in sluggish earnings. By country, the warehousing business in Poland was robust, but the handling of home appliances and automobile-related cargo in Germany was sluggish, resulting in a lack of momentum overall.
As a result, sales decreased 13.9% year on year to 161,541 million yen, and segment profit (operating profit) decreased 43.4% year on year to 6,698 million yen.
travel business
The company's core business of business travel continued to recover slowly, and group travel contributed to revenue, resulting in a full-year profit.
As a result, sales increased 34.4% year on year to 7,215 million yen, and segment profit (operating profit) was 509 million yen (segment loss (operating loss) of 14 million yen in the previous consolidated fiscal year).
real estate business
Rental real estate in the Keihin area and other areas remained at the same level as the previous year.
As a result, sales increased 4.6% year on year to 1,590 million yen, and segment profit (operating profit) increased 4.3% year on year to 851 million yen.
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