Japan-based Toyo Suisan Kaisha posted higher overall earnings and sales in the third quarter of its current fiscal year mainly due to strong performance in its instant noodle business -- not its seafood operations.
The company's net income jumped 17 percent to JPY 17.2 billion (€143 million/$157 million) in the third quarter of the fiscal year ending March 2020.
Sales also increased 2.5 percent year-on-year to JPY 313.8 billion (€2.6 billion/$2.8 billion), due to the strong instant noodle business in its overseas market such as the United States and Mexico, as well as the Japanese domestic market.
However, due to market fluctuation and rising fish prices, sales volumes of the company's core seafood business -- salmon, trout and roe -- declined less than 1 percent year-on-year to JPY 22.9 billion (€191 million/$208 million).
This resulted in a segment loss worth JPY 209 million (€1.7 million/$1.9 million) compared to a profit the year prior.
Sales for the refrigeration business increased due to additional storage capacity in Saitama Sugito Distribution Center and Kobe Distribution Center.
Profits, on the other hand, went down due to increased labor costs associated with managing the operation of the new refrigerator.