Meiji Holdings (2269) 4Q results: We see risk to achieving operating profit of ¥100 billion, but high likelihood of offsetting cost increases

研报英文原文证据摘录

Meiji Holdings (2269) 4Q results: We see risk to achieving operating profit of ¥100 billion, but high likelihood of offsetting cost increases

J P M O R G A N Asia Pacific Equity Research

15 May 2026

Meiji Holdings (2269)

4Q results: We see risk to achieving operating profit of Overweight

¥100 billion, but high likelihood of offsetting cost 2269.T, 2269 JP

increases Price (14 May 26):¥3,589

Price Target (Dec-26):¥4,700

Somewhat positive: FY2025 operating profit and FY2026 operating profit Japan Equity Research

guidance were both above Bloomberg consensus estimates. Management said it is

Food, Beverage, and Tobacco

committed to achieving FY2026 operating profit of ¥100 billion, but we view the

worsening of the Middle East conflict as a risk. However, as cost increases do not Satoshi Fujiwara AC

seem imminent and seem likely to happen mainly in 2H, we see a high likelihood (81-3) 6736-8652

satoshi.fujiwara@jpmorgan.com

of being able to offset them with future price hikes, without costs rising first. Even

Hideto Takahashi

as the overall food sector faces growing earnings risk, we see a high likelihood of (81-3) 6736-8638

profit growth at Meiji due to restructuring impact and the contribution of hideto.takahashi@jpmorgan.com

pharmaceuticals. We maintain our Overweight rating. Biotechnology & Pharmaceuticals/

Medical Technologies & Services

• Cost inflation impact to be felt mainly in 2H: FY2025 operating profit grew AC

10% YoY to ¥93.3 billion, above the Bloomberg consensus estimate of ¥90.7 Yugo R. Kamimura, Ph.D.

(81-3) 6736-8635

billion (our estimate: ¥91.5 billion). Profit was below our estimate in the food yugo.kamimura@jpmorgan.com

segment due to a sharp rise in cocoa bean prices and higher promotional costs, AC Seiji Wakao, Ph.D.