【1475 Performance】Nissin Foods' full-year net profit rises nearly 65% to HKD 330 million, with a final dividend of HKD 0.1588 per share

Nissin Foods (01475)
Announces full-year results. Last year, Nissin Foods reported a attributable profit of HKD 330 million, up 64.9% year-on-year, mainly due to improved operational efficiency and the absence of non-cash impairment charges on assets recognized in the previous year. Earnings per share were HKD 0.3176, with a final dividend of HKD 0.1588, representing a 64.9% increase before considering special dividends.

During the period, Nissin Foods’ revenue was HKD 4 billion, up 4.9% year-on-year. Gross profit increased by 5.6% to HKD 1.39 billion, with gross profit margin rising 0.2 percentage points to 34.6%, driven by a more favorable sales mix and continued cost-efficiency measures by the group, effectively alleviating cost pressures and boosting profit margins.

Revenue from Hong Kong and other regional operations increased by 7.7% to HKD 1.66 billion, mainly due to steady performance in the instant noodle business in Hong Kong and increased demand in other regions. Currently, revenue from Hong Kong and other regional operations accounts for 41.5% of the group’s total revenue, up 1.1 percentage points.

Regarding segment performance, the group has separately accounted for costs related to its centrally managed business operations to provide more relevant segment disclosures. The operating segments have been redefined as Hong Kong and other regions, Mainland China, and headquarters. Due to sustained growth in high-end instant noodle sales, the Hong Kong and other regional business segment’s profit increased by 16.1% to HKD 150 million.

For Mainland China operations, the group continues to focus on expanding sales in inland regions, and sales momentum remains strong. As a result, revenue grew modestly by 3.1% (3.4% in local currency) to HKD 2.34 billion, accounting for 58.5% of the group’s total revenue. In terms of segment performance, Mainland China operations increased by 3.5% (3.8% in local currency) to HKD 340 million, mainly driven by expanding instant noodle sales.

Nissin Foods states that it remains cautiously optimistic about the long-term development of its business across various countries and regions, while continuing to control costs and improve operational efficiency. In a constantly changing market environment, premiumization and diversification strategies remain key to growth.

Despite ongoing external uncertainties, Hong Kong’s economy is expected to develop steadily under various supportive measures, including expanding economic capacity, enhancing competitiveness, diversifying markets, and driving growth through talent and innovation. The company will continue to launch high-end products with excellent flavors and quality ingredients, while further expanding its product portfolio to meet the growing demand from health-conscious consumers, thereby broadening its revenue base.

In Mainland China, the company will persist in expanding its business footprint, revitalizing existing regional sales, developing new sales channels, and entering untapped markets.

Source: Nissin Foods Announcement