Ezaki Glico has forecast sales and operating profit will rise in its new financial year – although the Japanese dairy-to-confectionery group predicted its net profit will fall after one-off items boosted its bottom line over the last 12 months.
The company, which owns the Pocky confectionery brand, forecast sales will reach JPY320bn (US$3.16bn) in the year to 31 March 2015, up 1.5% on a year earlier.
It predicted operating profit will hit JPY12.5bn, 7.3% higher than it generated in 2013/14.
However, Ezaki Glico estimated it will make a net profit of JPY8.6bn, lower than the JPY11.03bn it recorded last year. The company booked gains from the sale of securities, which helped its net profit in the year to the end of March more than triple on the year before.
Ezaki Glico said the economic outlook for Japan was “unclear”. Government measures are aimed at boosting consumption but with it warned the slowdown in emerging markets, particularly China, could have an affect on the country’s economy. It also pointed to the devaluation of the yen, which it said could make imports more expensive.