Japanese dairy product manufacturer Snow Brand Milk Products has reported its fourth straight year of losses as sales continued to feel the impact of a series of scandals.
The company posted a group net loss of ¥27.09bn (US$231.9m) for the year to 31 March, compared to a loss of ¥71.74bn in the previous year, helped by a one-time gain of ¥30bn from a debt waiver.
Snow Brand posted a net operating loss of ¥21.59bn, compared with a loss of ¥36.2bn a year earlier, and revenue of ¥727.07bn, compared to ¥1.165trn in the previous year.
The company is currently undergoing restructuring and expects to return to the black in the current financial year, targeting full-year net profit of ¥3bn. Snow Brand aims to achieve its targets by focusing on its dairy products business and further cutting costs.
The company is struggling to win back customers after its now-defunct subsidiary Snow Brand Food admitted to mislabelling beef products in order to claim government subsidiaries.
Prior to that, contaminated milk products shipped from Snow Brand’s Osaka factory were involved in a major food poisoning outbreak in Japan, reported Dow Jones International News.
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