Semi-Annual Report
（Article 24-5-1, Paragraph 1 of the Financial Instruments and Exchange Act）
Fiscal Year | From | January 1, 2025 |
（The first half of the 68thTerm） | To | June 30, 2025 |
Coca-Cola Bottlers Japan Holdings Inc.
（E00417)
Table of Contents
[Cover Page]
Part I Corporate information 1
Section 1. Corporate overview 1
Changes in key management indicators 1
Business content 1
Section 2. Business situations 2
Risk of business 2
Management's analysis of financial condition, results of operations and cash flows 2
Status of Business Performance 2
Qualitative Information on Consolidated Financial Position 3
Qualitative Information on Consolidated Statements of Cash Flow 3
Accounting Estimates and the assumptions used in those estimates 4
Business and financial challenges to be addressed 4
Research and development activities 6
Major facilities 6
Significant management contracts 6
Section 3. Status of the filing company 7
Status of shares 7
Status of officers 9
Section 4. Accounting status 10
Condensed Semi-Annual Consolidated Financial Statements 11
Condensed Semi-Annual Consolidated Statement of Financial Position 11
Condensed Semi-Annual Consolidated Statements of Income 13
Condensed Semi-Annual Consolidated Statements of Comprehensive Income 14
Condensed Semi-Annual Consolidated Statements of Changes in Equity 15
Condensed Semi-Annual Consolidated Statements of Cash Flows 16
Notes to condensed Semi-Annual Consolidated Financial Statements 18
Introduction 18
Basis of preparation 18
Material accounting policies 18
Critical accounting judgments, estimates and assumptions 19
(Changes in Accounting Estimates) 19
New accounting standard not yet adopted 19
Segment Information 20
Sale of subsidiary 23
Repurchasing treasury shares 24
Dividends 24
Revenue 25
Other income and other expenses 26
Fair value of financial instruments 27
Earnings per share 30
Impairment of non-financial assets 30
Subsequent events 31
Others 32
Part II Information of guarantor companies of the filing company 33
[Cover Page]
[Documents to be submitted] Semi-Annual Report
[Underlying article] Article 24-5-1, Paragraph 1 of the Financial Instruments and Exchange Act
[Recipient] Director-General of the Kanto Local Finance Bureau
[Submission date] August 4, 2025
[Semi-Annual accounting period] 68th fiscal term (from January 1, 2025 to June 30, 2025) [Company name] Coca-Cola Bottlers Japan Holdings Inc.
[Name and position of representative] Calin Dragan, Representative Director & President [Address of head office] 9-7-1 Akasaka, Minato-ku, Tokyo
[Telephone number] +81-800-919-0509
[Name of administrative contact] Tatsuhiro Ishikawa, Head of Controllers Senior Group Division, Finance [Closest contact point] 9-7-1 Akasaka, Minato-ku, Tokyo
[Telephone number] +81-800-919-0509
[Name of administrative contact] Tatsuhiro Ishikawa, Head of Controllers Senior Group Division, Finance [Location provided for viewing] Tokyo Stock Exchange, Inc.
（2-1 Nihonbashi Kabutocho, Chuo-ku, Tokyo）
This is an English translation of the original Semi-Annual Report (“Hanki Hokokusho”) filed with the Director-General of the Kanto Local Finance Bureau via Electronic Disclosure for Investors’ NETwork (“EDINET”) pursuant to the Financial Instruments and Exchange Act of Japan. In the event of any discrepancy between Hanki Hokokusho and this English translation, Hanki Hokokusho shall prevail.
For the purpose of this Semi-Annual Report, unless context indicates otherwise, the “Company,” “we,” and “CCBJH” refer to Coca-Cola Bottlers Japan Holdings Inc., and the “Group” refers to the Company and its subsidiaries.
Part I Corporate information
Section 1. Corporate overview
Changes in key management indicators
Issuance
The 67thTerm
Semi-Annual Consolidated Accounting Period
The 68thTerm
Semi-Annual Consolidated Accounting Period
The 67thTerm
Accounting period
From
January 1, 2024 to
June 30, 2024
From
January 1, 2025 to
June 30,2025
From
January 1, 2024 to
December 31, 2024
Revenue (Millions of yen)
411,455
417,942
892,681
Net income (loss) for the period before
income taxes (Millions of yen)
873
(92,259)
12,896
Net income (loss) for the period attributable
to owners of the parent (Millions of yen)
(297)
(65,892)
7,309
Comprehensive income for the period
attributable to owners of the parent (Millions of yen)
1,099
(65,654)
8,721
Equity attributable to owners of the parent (Millions of yen)
467,138
379,255
466,203
Total assets (Millions of yen)
839,226
697,499
804,153
Basic income (loss) per share (Yen)
(1.65)
(378.02)
40.76
Diluted earnings per share (Yen)
—
—
40.48
Ratio of equity attributable to owners of the
parent to total assets (%)
55.7
54.4
58.0
Cash flows from operating activities (Millions of yen)
(10,380)
(1,694)
48,883
Cash flows from investing activities (Millions of yen)
(4,103)
(16,474)
(16,128)
Cash flows from financing activities (Millions of yen)
(5,141)
(25,123)
(57,942)
Cash and cash equivalents at the end of the
period (Millions of yen)
94,036
45,169
88,473
Notes 1. Because the Company prepares Semi-Annual Consolidated Financial Statements, changes in the key management indicators for the filing company are not described.
Diluted earnings per share is not presented, as the effects of dilutive share on earnings per share are anti-dilutive for the first half of the previous fiscal year and the current fiscal year.
The above indicators are based on the Semi-Annual Consolidated Financial Statements and consolidated financial statements prepared in accordance with International Financial Reporting Standards (“IFRS”).
Fractions of one million yen are rounded to the nearest million.
The Company has introduced an Executive Reward BIP Trust and Stock-granting ESOP Trust, and the Company shares held by these trusts are recorded as treasury shares in the Semi-Annual Consolidated Financial Statements. Accordingly, the Company shares held by these trusts are included in the treasury shares to be deducted from the average number of shares during the period for the calculation of basic income (loss) per share and diluted earnings per share.
2. Business content
There were no significant changes in the businesses that the Group (the Company and its subsidiaries) is engaged in this Semi-Annual accounting period (January 1, to June 30, 2025, hereinafter referred as “first half”).
The Group changed the classification of reportable segments from this first half of the current fiscal year. For details, please refer to “Section 4. Accounting Status, 1. Condensed Semi-Annual Consolidated Financial Statements, Notes to the Condensed Semi-Annual Consolidated Financial Statements, 6. Segment Information.”
Section 2. Business situations
Risk of business
During the first half of the current fiscal year, there were no significant changes to the risk environment or to the business risks that were described in the Annual Securities Report for the previous fiscal year.
The company continues to monitor our operational environment for new risks and opportunities and will proactively work to mitigate risks and leverage opportunities.
Management's analysis of financial condition, results of operations and cash flows
Note that matters related to future developments that are mentioned in this section are judgments of the Group that were made as of the date of Semi-Annual report submission.
Status of Business Performance
For details, please refer to our earnings presentation materials available on the Company IR website (https://en.ccbj-holdings.com/ir/library/presentation.php) for our earnings presentation on Friday August 1, 2025, at 5:30 PM (JST). The earnings presentation audio webcast was available live and on demand through our company website.
Summary of the Semi-Annual accounting period (January 1, 2025 to June 30, 2025, hereinafter referred as “first half”), is as below.
Summary of Business Performance
(Millions of yen except sales volume)
First half (January 1 to June 30)2024
2025
Change
(%)
Revenue
411,455
417,942
1.6
Sales volume (million cases)
232
230
(1)
Gross profit
181,204
183,413
1.2
Selling, General & Administrative Expenses
183,971
181,599
(1.3)
Other income (Recurring)
561
334
(40.5)
Other expenses (Recurring)
599
686
14.5
Investment income on equity method
14
73
405.1
Business income (loss)
(2,791)
1,535
—
Other income (Non-recurring)
5,429
839
(84.6)
Other expenses (Non-recurring)
1,432
94,543
—
Operating income (loss)
1,207
(92,170)
—
Net loss attributable to owners of parent
(297)
(65,892)
—
Note “Business income” is a measure of our recurring business performance. “Business income” deducts cost of sales and selling, general and administrative expenses from revenue, and includes other income and expenses which we believe are recurring in nature.
Sales volume in the first half decreased 1% compared to the same period in the prior year, reflecting the negative impact on demand from price revisions implemented in the previous fiscal year and the cycling effect of the full renewal of Ayataka in the same period of the prior year. However, these factors were offset by efforts to strengthen core categories, expand sales space, and implement effective marketing activities, resulting in a growth rate that exceeded the overall market.
Consolidated revenue was 417,942 million yen (an increase of 6,488 million yen or 1.6% from the same period in the prior year). Wholesale revenue per case improved as a result of price revisions, resulting in higher revenue than in the same period of the prior year.
Consolidated business income was 1,535 million yen (an increase of 4,326 million yen). Top-line growth and cost savings through transformation contributed to improved profitability, and business income improved while investing at an appropriate level to strengthen the foundation.
Consolidated operating loss was 92,170 million yen, with loss expanding by 93,376 million yen from the same period in the prior year (1,207 million yen income in the same period in the prior year). Although business income increased compared with the same
period in the prior year, this was due to the recording of a non-cash impairment loss in the second quarter (April 1 to June 30) as a result of the revaluation of fixed assets in the vending business to achieve optimal capital allocation in the future. Additionally, Other income (non-recurring) for the first half includes a gain on the sales and disposals of property, plant, and equipment of 815 million yen recognized during the process of optimizing the balance sheet. Other expenses (non-recurring) included an impairment loss of 88,939 million yen mainly due to the impairment in the vending business mentioned above, 3,234 million yen in special retirement allowances related to the voluntary employee retirement program, and 2,108 million yen in business structure improvement costs related to the implementation of fundamental transformation initiatives.
Net loss attributable to owners of the parent increased by 65,595 million yen (loss increased) with operating loss expanding from the same period in the prior year, it was a loss of 65,892 million yen (297 million yen loss in the same period in the prior year).
The financial results by segment are as follows.
The reportable segment classification has been changed from this first half. Accordingly, the comparison and analysis with the first half of the previous year are presented based on the new classification.
Vending Business
Revenue was 189,660 million yen (a decrease of 2,548 million yen or 1.3% from the same period in the prior year). Segment loss improved by 140 million yen from the same period in the prior year (loss decreased), resulting in a loss of 1,389 million yen.
OTC Business
Revenue was 194,174 million yen (an increase of 7,805 million yen or 4.2% from the same period in the prior year). Segment income was 21,004 million yen (an increase of 2,999 million yen or 16.7% from the same period in the prior year).
Food Service Business
Revenue was 19,833 million yen (an increase of 766 million yen or 4.0% from the same period in the prior year). Segment income was 2,850 million yen (an increase of 612 million yen or 27.3% from the same period in the prior year).
As announced in “Announcement of New Strategic Business Plan: Vision 2030” dated August 1, 2025, we have upwardly revised our current Strategic Business Plan, “Vision 2028,” and decided to launch “Vision 2030” with the aim of further increasing shareholder value. We will incorporate new elements such as a long-term growth plan developed jointly with Coca-Cola (Japan) Company, Limited, operating the business centered on multiple business units with clear accountability, restructuring of the profit base in the vending business and operating it with a mindset as the world's largest retailer, and the largest shareholder return in our history. We set forth ambitious targets by 2030 such as, business income of approximately 80 billion yen, approximately double the highest level ever recorded, and ROIC (Return on Invested Capital) of 10%, which is approximately double the WACC (Weighted Average Cost of Capital).
Qualitative Information on Consolidated Financial Position
Assets were 697,499 million yen, a decrease of 106,654 million yen from the end of the previous fiscal year. This is mainly due to a decrease in “Property, plant, and equipment.”
Liabilities were 317,985 million yen, a decrease of 19,725 million yen from the end of the previous fiscal year. This is mainly due to the decrease in “Lease liabilities.”
Equity was 379,514 million yen, a decrease of 86,928 million yen. This is mainly due to a decrease in “Retained earnings” and repurchase of treasury shares.
Qualitative Information on Consolidated Statements of Cash Flows
Net cash used for operating activities was 1,694 million yen (10,380 million yen used for operating activities in the same previous period). This is mainly due to “Increase in inventories” while “Increase in trade and other payables” was recorded.
Net cash used for investing activities was 16,474 million yen (4,103 million yen used for investing activities in the same previous period). This is mainly due to “Payments for acquisitions of property, plant and equipment and intangible assets”.
Net cash used for financing activities was 25,123 million yen (5,141 million yen used for financing activities in the same previous period). This is mainly due to “Dividends paid,” and “Payments for purchases of treasury shares.”
As a result of these activities, cash, and cash equivalents at the end of the first half were 45,169 million yen, a decrease of 43,304 million yen compared to the end of the same previous period.
Accounting Estimates and the assumptions used in those estimates
In the “Management's analysis of financial condition, results of operations and cash flows” section of the Annual Securities Report for the previous consolidated fiscal year, the group disclosed the significant accounting policies and the assumptions used in those estimates. However, the group revised the useful lives of right-of-use assets during the first half of the current fiscal year.
For details, please refer to “Section 4 Accounting status, 1. Condensed Semi-Annual Consolidated Financial Statements, Notes to condensed Semi-Annual Consolidated Financial Statements, 4. Critical accounting judgments, estimates and assumptions.
Business and financial challenges to be addressed
Issues to be addressed
There were no significant changes in the issues to be addressed by the Group during the first half of the current fiscal year.
Basic Policies on the Control of the Joint-stock Company
Descriptions of basic policies
The Company believes that the persons and/or entities (hereinafter referred as “Persons”) who control decisions on the Company’s financial and business policies need to understand the source of the Company’s corporate value and will make it possible to ensure and enhance the Company’s corporate value and, in turn, the common interests of its shareholders continually and persistently. The Company believes that a decision on any proposed acquisition that would involve a change of corporate control of the Company should ultimately be made based on the intent of its shareholders as a whole. Also, the Company would not reject a large-scale acquisition of shares in the Company if it would contribute to the corporate value of the Company and, in turn, the common interests of its shareholders.
However, there are some forms of large-scale acquisition of shares that benefit neither the corporate value of the target company nor the common interests of its shareholders: those with a purpose that would obviously harm the corporate value of the target company and, in turn, the common interests of its shareholders; those with the potential to substantially coerce shareholders into selling their shares; those that do not provide sufficient time or information for the target company’s board of directors and shareholders to consider the terms of the large-scale acquisition of shares, or for the target company’s board of directors to present a business plan or an alternative proposal; and those that require the target company to discuss or negotiate with the acquirer in order to procure more favorable terms for shareholders than those presented by the acquirer.
The Company believes that the Persons who control decisions on the Company’s financial and business policies need to be Persons who (i) fully understand the importance of providing freshness and refreshment to people around the world and embedding the Coca-Cola brand, which is now a part of our life style, in local communities; (ii) strive aggressively to win in the market as the customers’ preferred partner with a deep understanding of the Company’s corporate philosophy; (iii) appreciate employees who have a strong sense of responsibility to thoroughly pursue customer satisfaction, and proactively work on building a workplace environment that can make each and every employee feel rewarded, motivated and proud of being a member of the Coca-Cola family; and (iv) contribute to local communities and proactively address environmental issues with a strong sense of responsibility as a corporate citizen that continues to strive to assist in the realization of an affluent society, preserve relationships of mutual trust with customers, business partners, shareholders and employees and perform to their expectations, and make it possible to continually and persistently ensure and enhance the Company’s corporate value and, in turn, the common interests of its shareholders from a mid- to long-term perspective.
Therefore, the Company believes that Persons who would make a large-scale acquisition of the shares in the Company in a manner that does not contribute to the corporate value of the Company, and, in turn, the common interests of its shareholders would be
inappropriate to become Persons who would control decisions on the Company’s financial and business policies. We must secure the Company’s corporate value and, in turn, the common interests of its shareholders by taking necessary and reasonable countermeasures against a large-scale acquisition of the Company’s shares by such Persons.
Initiatives to realize the basic policies
Summary of special initiatives that contribute to realizing the basic policies
The Group not only assumes a leading role in transforming the Coca-Cola business in Japan by deploying various joint initiatives such as product development and test marketing with The Coca-Cola Company and Coca-Cola (Japan) Company, Limited (100% subsidiary of The Coca-Cola Company) as a strategic partner, but also strives to become a company trusted by the stakeholder groups of consumers, customers, shareholders, and employees.
Soft drink industry volume growth in Japan is expected to be muted, given the developed nature of the market as a whole. The business environment surrounding the Company is projected to become even more intense with further acceleration of the industry’s restructuring for survival, such as the expansion of business tie-ups between beverage manufacturers.
Under such circumstances, the Group aims to become the preferred partner of our customers and consumers in all drinking occasions by establishing a robust and sustainable operating model, pursuing success in high-priority areas, and drastically transforming the business to ensure growth.
The Company also made a transition to a company with an Audit and Supervisory Committee in order to further reinforce the governance system. The Audit and Supervisory Committee serves as the auditing body of the Company that is comprised exclusively of external directors, including multiple independent external directors. To strengthen the management oversight function, these external directors that serve as members of the Audit and Supervisory Committee have each been granted voting rights in Board of Director meetings, in addition to the right to state their opinions in shareholders’ meetings on matters pertaining to the designation of board members and their remuneration, among others. In order to separate the decision-making, business management and business execution functions, the Company is implementing a corporate executive officer system. In addition to the above, for more productive discussions on highly important matters in the Board of Directors meetings, the Company is delegating the authority to make decisions on certain important matters that require prompt business executions to specific directors as well as facilitating speedy decision making of other matters.
Outline of measures to prevent inappropriate persons from controlling the finance and business policy decisions of the Company in light of the basic policy
Upon any substantial acquisition of the Company shares, the Company strives to proactively collect and promptly disclose information in order to ensure and improve the corporate value of the Company and the common interest of shareholders as well as make appropriate measures as needed under the scope permitted by laws and regulations and the Articles of Incorporation.
When a Board Meeting determines it necessary to reapply anti-takeover measures in order to ensure and improve the corporate value of the Company and the common interest of shareholders, taking into consideration of the future trends in society, the Company consults with shareholders at the Meeting of Shareholders as stipulated in the Articles of Incorporation for decision of the implementation.
Decisions of the Board of Directors of the Company on the specific measures and the reasons
The measures described b. (a) were introduced as specific measures to continuously and sustainably improve the corporate value of the Company and the common interest of shareholders and is consistent with the Company’s basic policy.
In addition, the measures described in b. (b) were introduced as specific measures to ensure and improve the corporate value of the Company and the common interest of shareholders as needed under the scope permitted by laws and regulations and the Articles of Incorporation focusing on the intention of shareholders, and it is not intended to undermine the shareholders’ common interests and preserve the positions of the Company officers.
Research and development activities Not applicable.
Major facilities
The new installation of the important facilities that had been planned as of the end of the prior year and completed during the first half of the current fiscal year are as listed below.
Name of company
Name of office / site (location)
Name of business segment
Facility description
Amount
(millions of yen)
Completed in
Coca-Cola Bottlers Japan Inc.
Branches / (-)
Vending business
Vending machines, etc.
6,057
June 2025
Note Consumption tax is not included in the above amounts.
Significant management contracts
There were no decisions or conclusions for significant management contracts in the first half of the current fiscal year.
Section 3. Status of the filing company
Status of shares
Total number of shares
Total number of shares
Class
Total Number of Authorized Shares
Common shares
500,000,000
Total
500,000,000
Issued shares
Class
Number of issued shares as of June 30,2025
Number of issued shares as of filing date
（August 4, 2025）
Name of listed stock exchange or
registered authorized financial instruments firms` association
Details
Common shares
183,268,593
183,268,593
Tokyo Stock Exchange
（Prime Market）
100 per unit shares
Total
183,268,593
183,268,593
-
-
Status of stock acquisition rights
Status of share options Not applicable.
Other stock acquisition rights Not applicable.
Status of exercised moving strike convertible bonds Not applicable.
Total number of issued shares, transition of capital
Date
Increase/decrease in issued shares
(Thousand shares)
Total number of issued shares
(Thousand shares)
Increase/decrease in capital stock
(Millions of yen)
Capital stock balance
(Millions of yen)
Increase/decrease in capital reserve
(Millions of yen)
Capital reserve balance
(Millions of yen)
January 1, 2025 –
June 30, 2025
—
183,269
—
15,232
—
108,167
Major shareholder status
As of June 30, 2025
Name
Address
Number of shares held (Thousands of shares)
Percentage of the number of shares held to the total number of issued shares (excluding
treasury stock) (%)
Coca-Cola (Japan) Company, Ltd.
4-6-3, Shibuya, Shibuya-ku, Tokyo
27,956
16.09
The Master Trust Bank of Japan, Ltd.
(Trust Account)
1-8-1, Akasaka, Minato-ku, Tokyo
17,490
10.07
BNY GCM CLIENT ACCOUNT JPRD AC ISG(FE-AC)
(Standing proxy: MUFG Bank, Ltd.)
Peterborough Court 133 Fleet Street London EC4A 2BB, U.K.
(1-4-5 Marunouchi, Chiyoda ku, Tokyo)
5,310
3.06
Ichimura Foundation for New Technology
1-26-10, Kitamagome, Ota-ku, Tokyo
5,295
3.05
Custody Bank of Japan, Ltd. (Trust
Account)
1-8-12, Harumi, Chuo-ku, Tokyo
4,738
2.73
Senshusha Co., Ltd.
339, Noda, Noda-shi, Chiba
4,088
2.35
Coca-Cola Holdings West Japan Inc. (Standing proxy: Coca-Cola (Japan)
Company, Limited)
1013 Wilmington Center Road, U.S.A.
Delaware
(4-6-3, Shibuya, Shibuya-ku, Tokyo)
4,075
2.35
Satsuma Shuzo Co., Ltd
26, Kamamotos, Makurazaki-shi,
Kagoshima
3,948
2.27
Mitsubishi Heavy Industries Machinery
Systems, Ltd.
1-1-1, Wadazakicho, Hyogo-ku, Kobe-shi,
Hyogo
3,912
2.25
J.P. Morgan Securities Japan Co., Ltd.
Tokyo Building, 7-3, Marunouchi 2-
chome, Chiyoda-Ku, Tokyo
3,185
1.83
Total
—
79,998
46.04
Note 9,551 thousand treasury shares are not included in the status of major shareholders above because they do not have voting rights. Also, the treasury shares do not include the Company's shares held by the Executive reward BIP Trust and Stock-granting ESOP Trust.
Status of voting rights
Issued shares
As of June 30,2025
Class
Number of shares
Number of votes
Details
Non-voting shares
—
—
—
Shares with restricted voting right (Treasury Shares)
—
—
—
Shares with restricted voting right (Others)
—
—
—
Shares with full voting rights (Treasury Shares)
Common shares 9,550,800
—
—
Shares with full voting rights (Others)
Common shares 173,012,200
1,730,122
—
Odd lot shares
Common shares 705,593
—
—
Total number of issued shares
183,268,593
—
—
Voting rights of all shareholders
—
1,730,122
—
Notes 1. “Shares with full voting rights (Others)” include 2,300 shares under in JASDEC’s name (23 voting rights).
“Shares with full voting rights (Others)” include 1,178,600 shares (number of voting rights: 11,786) held by the Executive reward BIP Trust and 1,571,700 shares (number of voting rights: 15,717 held by the Stock-granting ESOP Trust.
b. Treasury shares
As of June 30,2025
Name of owner | Address of owner | Number of shares owned under own name | Number of shares owned under others’ name | Total number of shares owned | Ratio of shares owned against total no. of issued shares (%) |
Coca-Cola Bottlers Japan Holdings Inc. | 9-7-1, Akasaka, Minato-ku, Tokyo | 9,550,800 | — | 9,550,800 | 5.21 |
Total | — | 9,550,800 | — | 9,550,800 | 5.21 |
Note The Company shares held by the Executive reward BIP Trust, and Stock-granting ESOP Trust are not included in the above number of shares owned.
2. Status of officers
Not applicable.
Section 4. Accounting status
Preparation of Accounting methods for the Semi-Annual Consolidated Financial Statements
The Company’s condensed Semi-Annual Consolidated Financial Statements have been prepared in accordance with International Accounting Standards Article 34 “Interim Financial Reporting” based on the Ordinance on the Terminology, Forms, and Preparation Methods of Semi-Annual Consolidated Financial Statements Article 312 (Cabinet Office Ordinance No. 28 of 1976).
The Company qualifies as a specified company under Article 24-5, Paragraph 1, Item 1 of the Financial Instruments and Exchange Act and prepares First Type Quarterly Consolidated Financial Statements in accordance with Parts I and V of the Ordinance on Consolidated Financial Statements.
Audit certification
The Company’s condensed Semi-Annual Consolidated Financial Statements for Semi-Annual consolidated accounting period of the current fiscal year (January 1, 2025 to June 30, 2025) have been reviewed by Ernst & Young ShinNihon LLC based on the provisions of Article 193-2 Paragraph 1 of the Financial Instruments and Exchange Act.
Condensed Semi-Annual Consolidated Financial Statements
Condensed Semi-Annual Consolidated Statement of Financial Position
Assets
Current assets:
Notes
Previous fiscal year As of
December 31, 2024
(Millions of yen)
Semi-Annual Consolidated accounting period
As of
June 30,2025
Cash and cash equivalents
88,473
45,169
Trade and other receivables
119,551
126,369
Inventories
73,890
83,023
Other financial assets
12
688
113
Other current assets
9,856
13,464
Total current assets
292,458
268,139
Non-current assets:
Property, plant, and equipment
382,794
298,540
Right-of-use assets
26,930
17,493
Intangible assets
63,273
49,323
Investments accounted for using the equity 326 419
method
Other financial assets
12
10,908
12,113
Deferred tax assets
22,933
46,727
Other non-current assets
4,531
4,745
Total non-current assets
511,695
429,360
Total assets
804,153
697,499
Liabilities and equity Liabilities
Current liabilities:
Notes
Previous fiscal year As of
December 31, 2024
(Millions of yen)
Semi-Annual Consolidated accounting period
As of June 30,2025
Trade and other payables
120,367
126,689
Bonds and debts
12
1,000
1,000
Lease liabilities
5,765
6,196
Other financial liabilities
12
947
1,120
Income taxes payables
2,374
1,957
Other current liabilities
27,488
18,813
Total current liabilities
157,943
155,775
Non-current liabilities:
Bonds and debts
12
113,852
113,378
Lease liabilities
22,047
11,990
Net defined benefit liabilities
21,803
20,474
Provisions
1,506
1,474
Deferred tax liabilities
16,405
11,988
Other non-current liabilities
4,155
2,905
Total non-current liabilities
179,767
162,210
Total liabilities
337,710
317,985
Equity:
Capital stock
15,232
15,232
Capital surplus
378,459
378,263
Retained earnings
9
87,317
16,458
Treasury shares
8
(16,297)
(32,470)
Accumulated other comprehensive income
1,492
1,772
Equity attributable to owners of parent
466,203
379,255
Non-controlling interests
240
259
Total equity
466,443
379,514
Total liabilities and equity
804,153
697,499
Condensed Semi-Annual Consolidated Statements of Income
Notes
Semi-Annual consolidated accounting period of previous fiscal year
(Six months ended
June 30, 2024)
(Millions of yen)
Semi-Annual consolidated accounting period of current fiscal year
(Six months ended
June 30, 2025)
Revenue
6, 10
411,455
417,942
Cost of sales
230,251
234,529
Gross profit
181,204
183,413
Selling and general administrative expenses
183,971
181,599
Other income
11
5,990
1,172
Other expenses
11, 14
2,031
95,229
Investment income on equity method
14
73
Operating income (loss)
1,207
(92,170)
Financial income
287
237
Financial expenses
621
326
Income (loss) for the period before income taxes
873
(92,259)
Income tax expense (benefit)
1,140
(26,415)
Net loss for the period
(267)
(65,844)
Net loss for the period attributable to
Owners of parent
(297)
(65,892)
Non-controlling interests
29
48
Basic loss per share (yen)
13
(1.65)
(378.02)
Condensed Semi-Annual Consolidated Statements of Comprehensive Income
Notes
Semi-Annual consolidated accounting period of previous fiscal year
(Six months ended
June 30, 2024)
(Millions of yen)
Semi-Annual consolidated accounting period of current fiscal year
(Six months ended
June 30, 2025)
Net loss for the period
(267)
(65,844)
Other comprehensive income
Items that will not be reclassified subsequently to income or loss:
Net changes in financial assets measured at fair value through other comprehensive income
890 974
Subtotal 890 974
Items that may be reclassified subsequently to income:
Cash flow hedges
506
(736)
Subtotal
506
(736)
Total other comprehensive income for the period
1,396
238
Total comprehensive income for the period
1,128
(65,606)
Comprehensive income attributable to:
Owners of parent
1,099
(65,654)
Non-controlling interests
29
48
Condensed Semi-Annual Consolidated Statements of Changes in Equity
Semi-Annual consolidated accounting period of previous fiscal year (Six months ended June 30, 2024)
Equity attributable to owners of the parent
(Millions of yen)
Notes
Capital stock
Capital surplus
Retained earnings
Treasury shares
Accumulated other comprehensive income (loss)
Total
Non-controlling interests
Total
Balance as of January 1, 2024
15,232
451,389
88,365
(85,362)
223
469,847
174
470,021
Comprehensive income for the period
Net income (loss) for the period
—
—
(297)
—
—
(297)
29
(267)
Other comprehensive income
—
—
—
—
1,396
1,396
—
1,396
Total comprehensive income for the period
—
—
(297)
—
1,396
1,099
29
1,128
Transactions with owners
Dividends of surplus
9
—
—
(4,486)
—
—
(4,486)
(17)
(4,503)
Purchase of treasury stock
—
—
—
(4)
—
(4)
—
(4)
Disposal of treasury share
—
(183)
—
471
—
289
—
289
Transactions of share-based payment
—
168
—
—
—
168
—
168
Reclassification from accumulated other comprehensive income to retained
—
—
293
—
(293)
—
—
—
earnings
Reclassification from accumulated other comprehensive income to non-financial
—
—
—
—
225
225
—
225
assets
Other
—
—
—
—
—
—
4
4
Total transactions with owners
—
(14)
(4,193)
467
(68)
(3,808)
(13)
(3,822)
Balance as of June 30, 2024
15,232
451,375
83,875
(84,895)
1,551
467,138
190
467,328
Semi-Annual consolidated accounting period of current fiscal year (Six months ended June 30, 2025)
Equity attributable to owners of the parent
(Millions of yen)
Notes
Capital stock
Capital surplus
Retained earnings
Treasury shares
Accumulated other comprehensive income (loss)
Total
Non-controlling interests
Total
Balance as of January 1, 2025
15,232
378,459
87,317
(16,297)
1,492
466,203
240
466,443
Comprehensive income for the period
Net income (loss) for the period
—
—
(65,892)
—
—
(65,892)
48
(65,844)
Other comprehensive income
—
—
—
—
238
238
—
238
Total comprehensive income for the period
—
—
(65,892)
—
238
(65,654)
48
(65,606)
Transactions with owners
Dividends of surplus
9
—
—
(4,975)
—
—
(4,975)
(29)
(5,004)
Purchase of treasury stock
8
—
(2)
—
(16,588)
—
(16,590)
—
(16,590)
Disposal of treasury stock
—
(193)
—
415
—
222
—
222
Transactions of share-based payment
—
15
—
—
—
15
—
15
Reclassification from accumulated other comprehensive income to retained
—
—
8
—
(8)
—
—
—
earnings
Reclassification from accumulated other comprehensive income to non-financial
—
—
—
—
63
63
—
63
assets
Other
—
(15)
—
—
(13)
(29)
—
(29)
Total transactions with owners
—
(195)
(4,967)
(16,173)
42
(21,294)
(29)
(21,323)
Balance as of June 30, 2025
15,232
378,263
16,458
(32,470)
1,772
379,255
259
379,514
Condensed Semi-Annual Consolidated Statements of Cash Flows
Notes
Semi-Annual consolidated accounting period of previous fiscal year
(Six months ended
(Millions of yen)
Semi-Annual consolidated accounting period of current fiscal year
(Six months ended
June 30, 2024)
June 30, 2025)
Cash flows from operating activities
Income (loss) for the period before income tax benefit
873
(92,259)
Adjustments for:
Depreciation and amortization
22,866
22,617
Impairment loss
14
304
88,939
Increase in allowance for doubtful accounts
43
72
Interest and dividends income
(79)
(46)
Interest expenses
390
317
Share of income of entities accounted for using equity method
(14) (73)
Gain on sale of property, plant, and equipment (5,501) (815)
Loss on disposal and sale of property, plant, and equipment, and intangible assets
Increase in trade and other receivables
405
(7,236)
554
(6,874)
Increase in inventories
(12,859)
(9,134)
Increase in other assets
(6,441)
(4,654)
Increase in trade and other payables
11,860
10,124
Increase in net defined benefit liabilities
1,254
371
Decrease in other liabilities
(11,441)
(9,023)
Others
(266)
(20)
Subtotal
(5,841)
98
Interest received
1
12
Dividends received
78
34
Interest paid
(349)
(289)
Income taxes paid
(4,270)
(2,409)
Income taxes refund
1
861
Net cash used for operating activities
(10,380)
(1,694)
Cash flows from investing activities
Payments for acquisitions of property, plant and equipment and intangible assets
Proceeds from sales of property, plant and equipment and intangible assets
(14,312) (15,510)
9,583 1,863
Payments for purchases of other financial assets (2) (2)
Proceeds from sale of other financial assets 671 46
Payment for sale of shares of subsidiary due to change in scope of consolidation
7
—
(2,757)
Others
(42)
(114)
Net cash used for investing activities
(4,103)
(16,474)
Cash flows from financing activities
Note
Semi-Annual consolidated accounting period of previous fiscal year
(Six months ended
June 30, 2024)
(Millions of yen)
Semi-Annual consolidated accounting period of current fiscal year
(Six months ended
June 30, 2025)
Repayments of long-term loans payable Repayments of lease liabilities
(500)
(3,174)
(500)
(3,251)
Proceeds from disposal of treasury shares
289
222
Payments for purchases of treasury shares
(4)
(16,590)
Dividends paid
9
(4,486)
(4,975)
Dividends paid to non-controlling interests
(17)
(29)
Proceeds from sale and leaseback
2,747
—
Others
4
—
Net cash used for financing activities
(5,141)
(25,123)
Effect of exchange rate change on cash and cash
equivalents
—
(13)
Decrease in cash and cash equivalents
(19,624)
(43,304)
Cash and cash equivalents at the beginning of the year
113,660
88,473
Cash and cash equivalents at the end of the period
94,036
45,169
Notes to condensed Semi-Annual Consolidated Financial Statements
Introduction
Coca-Cola Bottlers Japan Holdings Inc. (hereinafter referred to as “the Company”) is a holding company located in Japan and listed on the Prime Market of the Tokyo Stock Exchange. Under the Coca-Cola brand, the Company and its subsidiaries (collectively the “Group”) engage in the purchasing, sales, production, bottling, packaging, distribution and marketing of carbonated beverages, coffee beverages, tea-based beverages, mineral water, alcohol, and other soft drinks in Japan.
The Group’s condensed Semi-Annual Consolidated Financial Statements consist of equities of the Company, subsidiaries, affiliated companies and jointly controlled enterprises. The condensed Semi-Annual Consolidated Financial Statements were approved by our Representative Director & President, Calin Dragan and our Representative Director, Vice President, and Chief Financial Officer (Head of Finance), Bjorn Ivar Ulgenes on August 4, 2025 and take into account events after the reporting period to that date (see Note 15, “Subsequent events”).
Basis of preparation
As the Group qualifies as a “Specified Company under Designated International Accounting Standards” as defined in Article 1-2, Item 2 of the Regulation on Terminology, Forms, and Preparation Methods of Consolidated Financial Statements (Ordinance of the Ministry of Finance No. 28 of 1976), the condensed consolidated semi-annual financial statements have been prepared in accordance with International Accounting Standard (IAS) 34 “Interim Financial Reporting,” pursuant to the provisions of Article 312 of the said Regulation.
Condensed Semi-Annual Consolidated Financial Statements should be used in conjunction with consolidated financial statements for the previous fiscal year as they do not include all the information required in the annual consolidated financial statements.
Condensed Semi-Annual Consolidated Financial Statements are stated in Japanese yen. All condensed Semi-Annual Consolidated Financial Statements are rounded to the nearest million yen unless otherwise stated.
Material accounting policies
The material accounting policies applied by the Group in the condensed Semi-Annual Consolidated Financial Statements are the same as the accounting policies applied in the consolidated financial statements for the previous fiscal year.
Income tax benefit for the first half of the current fiscal year has been calculated based on the Annual estimated effective tax rate.
Critical accounting judgments, estimates and assumptions
In preparing the condensed Semi-Annual Consolidated Financial Statements in accordance with IFRS, management is required to make judgments, estimates and assumptions that affect the application of the Group’s accounting policies and the reported amounts of assets, liabilities, revenue, and expenses. Actual results may differ from these estimates. The estimates and the assumptions underlying the estimates are continually reviewed and are based on historical experience and other factors, including future events, which are believed to be reasonable under the environment.
Accounting estimates are based on the most appropriate information at the time the consolidated financial statements are filed, but if any estimates in further into the future changes, the impact of the revises is recognized in the consolidated statements of profit or loss and consolidated statements of comprehensive income subsequent to the reporting period in which they are revised.
Accounting judgments, estimates and assumptions that have a significant impact on the condensed Semi-Annual Consolidated Financial Statements will be revised based on the same concept as in the consolidated financial statements for the previous consolidated fiscal year.
(Changes in Accounting Estimates)
(The Change in useful life of right-of-use assets)
The group had been depreciating right-of-use assets related to sales bases, etc. by using the straight-line method, generally over 15 years from the commencement date. However, in line with our initiatives to build a flexible and responsive supply chain, we are working on consolidating existing sales bases, shifting away from long-term contracts for sales bases due to customer service approaches diversification, and putting Integrated Distribution Centers (IDC) into operation from the fiscal year ending December 2025 to strengthen our logistics network. For those reasons, the useful life (lease period) has been revised from the current fiscal year.
As the result of this change, compared with those based on the previous useful life, the right-of-use assets have decreased by 9,689 million yen and the lease liabilities have decreased by 9,655 million yen at the end of the first half of the current fiscal year. Also, loss for the period before income taxes has increased by 35 million yen.
New accounting standard not yet adopted
As of the approval date of the Consolidated Financial Statements, the following standard was newly issued but the Group has decided not to adopt it early. The Group is currently evaluating the impact of the adoption of this standard.
Standard Standard name Presentation and
Mandatory adoption (From fiscal years
beginning on or after)
Scheduled adoption by the Group
Fiscal year ending
Overview
New standard to replace IAS 1, the current accounting
IFRS 18
disclosure in financial statements
January 1, 2027
December 31, 2027
standard for the presentation and disclosure of financial statements.
Segment Information
Overview of reportable segments
Operating segments are defined as the components of the Group for which separate financial information is available that is evaluated regularly by the chief operating decision maker in making resource allocation decisions and in assessing performance. The group is organized and managed based on its major products, services, or business activities, and has established three business and reportable segments: "Vending Business," "OTC (Over the Counter) Business," and "Food Service Business." There are no business segments that are not included in the reportable segments, nor are there any aggregated segments.
The accounting methods used for operating segment reported are the same as those described in Note 3 “Materials accounting policies.”
Reportable Segments Major products, services or business activities
Procurement, manufacturing and sales, bottling, packaging, distribution,
Vending business
OTC Business
Food Service Business
marketing as well as other operations related to vending machines of beverages in Japan's vending channel
Procurement, manufacturing and sales, bottling, packaging, distribution, and marketing of beverages in Japan's OTC (Over the Counter) channels such as supermarkets, drugstores, discount stores, convenience stores and online channels
Procurement, manufacturing and sales, bottling, packaging, distribution, and marketing of beverages in Japan's restaurants and food service channels
（Change in reportable segments, etc.）
As stated in “Section 2. Business situations 2. Management's analysis of financial condition, results of operations and cash flows
Status of Business Performance”, the Group formulated a new mid-term business plan, “Vision 2030,” which was announced on August 1, 2025. While the Group had previously operated as a single segment, the “Beverage Business,” it has now established an operational structure aligned with the characteristics of each business unit to facilitate the execution and achievement of the objectives of “Vision 2030.” Furthermore, with the establishment of a management reporting structure by business unit, the reportable segments have been changed, effective from the current semi-annual consolidated fiscal period, to the “Vending Business,” “OTC Business,” and “Food Service Business.”
Accordingly, the segment information for the previous semi-annual consolidated accounting period has been prepared based on the revised reportable segment classification.
Information about reportable segments
Information by reportable segments of the group are as follows. Segment income is based on business income before the allocation of corporate overhead expenses.
Semi-Annual consolidated accounting period of the previous fiscal year (January 1, 2024 – June 30, 2024)
Reportable segment Others
(Millions of yen)
Vending OTC Food Service
(Note 1) Total
Revenue from external customers
192,208
186,368
19,067
13,812
411,455
Intersegment sales or transfer
—
—
—
—
—
Total revenue
192,208
186,368
19,067
13,812
411,455
Segment income (loss) (Note 2)
(1,529)
18,005
2,238
(21,505)
(2,791)
Notes 1. The “Others” category is defined as follows.
“Others” of revenue from external customers represents revenues generated from business activities that are not attributable to any reportable segment, which include sales to other Coca-Cola bottlers in Japan.
“Others” of segment income (loss) includes 1,298 million yen of revenues generated from business activities that are not attributable to any reportable segment and 22,804 million yen of corporate overhead expenses. Corporate overhead expenses mainly consist of general and administrative expenses not allocated to any reportable segments.
Segment income (loss) is based on business income (loss). “Business income (loss)” deducts cost of sales and selling, general and administrative expenses from revenue, and includes other income and expenses which we believe are recurring in nature.
Semi-Annual consolidated accounting period of the current fiscal year (January 1, 2025 – June 30, 2025)
Reportable segment
Vending OTC
Food Service
Others (Note 1)
(Millions of yen)
Total
Revenue from external customers
189,660
194,174
19,833
14,276
417,942
Intersegment sales or transfer
—
—
—
—
—
Total revenue
189,660
194,174
19,833
14,276
417,942
Segment income (loss) (Note 2)
(1,389)
21,004
2,850
(20,930)
1,535
Notes 1. The “Others” category is defined as follows.
“Others” of revenue from external customers represents revenues generated from business activities that are not attributable to any reportable segment, which include sales to other Coca-Cola bottlers in Japan.
“Others” of segment income (loss) includes 1,079 million yen from income that is not attributable to any reportable segment and 22,009 million yen in corporate overhead expenses. Corporate overhead expenses mainly consist of general and administrative expenses not attributable to any reportable segments.
2. Segment income (loss) is based on business income (loss). “Business income (loss)” deducts cost of sales and selling, general and administrative expenses from revenue, and includes other income and expenses which we believe are recurring in nature.
Adjustments from the total of segment income to income for the period before income taxes of the first half of the previous fiscal year and the current fiscal year are as follows.
(Millions of yen)
Semi-Annual consolidated accounting period of previous fiscal year (Six months ended June 30, 2024) | Semi-Annual consolidated accounting period of current fiscal year (Six months ended June 30, 2025) | |
Total segment income (loss) | (2,791) | 1,535 |
Gains on sales of property, plant, and equipment | 5,429 | 815 |
Losses on sales and disposals of property, plant, and equipment | (42) | (5) |
Gain on sale of shares of subsidiaries | — | 23 |
Transformation-related expenses | (1,067) | (2,108) |
Impairment loss | (304) | (88,939) |
Special retirement allowance | (18) | (3,234) |
Other | (1) | (258) |
Operating income (loss) | 1,207 | (92,170) |
Financial income | 287 | 237 |
Financial expenses | (621) | (326) |
Income (loss) for the period before income taxes | 873 | (92,259) |
Sale of subsidiary
Semi-Annual consolidated accounting period of the precious fiscal year (January 1, 2024 – June 30, 2024) There was no sale of subsidiary during the first half of the previous fiscal year.
Semi-Annual consolidated accounting period of the current fiscal year (January 1, 2025 – June 30, 2025)
(Transfer of shares of onEQuest Co., Ltd.)In January 2025, the Group transferred 51% of the shares of onEQuest Co., Ltd. (EQ Operation Preparation Company prior to share transfer), which were held by our group, to Thinkrun Holdings Co., Ltd. As a result, the company changed from a subsidiary to a jointly controlled enterprise accounted for using the equity method.
The relationship between the consideration received from the transfer and the proceeds or payments on the sale, as well as the major components of the subsidiary's assets and liabilities at the time control was lost, are as follows.
Payments related to the sale of the subsidiary
(Millions of yen)
Consideration
Cash proceeds received as consideration
49
Cash and cash equivalents of the subsidiary
(2,367)
Payments related to the sale of the subsidiary
(2,318)
(2) Assets and liabilities of the subsidiary on the date of the sale
(Millions of yen)
Current Assets
2,367
Non-current assets
45
Total assets
2,411
Current liabilities
818
Non-current liabilities
1,542
Total liabilities
2,360
(3) Gains or loss
In the current consolidated fiscal year, the gain on the sale of the consolidated subsidiary was 23 million yen, which is included in "Other income" in the consolidated statements of income.
(Transfer of shares of Genpact Japan Smart Command Center K.K.)In January 2025, the Group transferred all of its shares in Genpact Japan Smart Command Center K.K. (EQ Admin Preparation Company prior to share transfer) to Genpact Co., Ltd.
The relationship between the consideration received from the transfer and the proceeds or payments on the sale, as well as the major components of the subsidiary's assets and liabilities at the time control was lost, are as follows.
(1) Payments related to the sale of the subsidiary
(Millions of yen)
Consideration
Cash proceeds received as consideration
51
Cash and cash equivalents of the subsidiary
(490)
Payments related to the sale of the subsidiary
(439)
(2) Assets and liabilities of the subsidiary on the date of the sale
(Millions of yen)
Current Assets
490
Non-current assets
—
Total assets
490
Current liabilities
151
Non-current liabilities
288
Total liabilities
439
(3) Gains or loss
There were no gains or losses on the sale of the consolidated subsidiaries during the semi-annual consolidated accounting period of the current fiscal year.
Repurchasing treasury shares
The repurchase of treasury shares of the Semi-Annual consolidated accounting period of the previous fiscal year and the current fiscal year are as follows:
Semi-Annual consolidated accounting period of the previous fiscal year (January 1, 2024 – June 30, 2024)
There was no repurchase of treasury shares based on the resolution of the Board of Directors during the first half of the previous fiscal year.
Semi-Annual consolidated accounting period of the current fiscal year (January 1, 2025 – June 30, 2025)
Based on the resolution of the Board of Directors on November 6, 2024, the Company repurchased treasury shares during the current semi-annual consolidated accounting period of the current fiscal year, and the number of treasury shares increased by 6,877,700 shares during the period.
Dividends
Dividend payments for the Semi-Annual consolidated accounting period of the previous fiscal year and the current fiscal year are as follows:
Semi-Annual consolidated accounting period of the previous fiscal year (January 1, 2024 – June 30, 2024)
Dividend payment amount
Resolution Type of shares March 26, 2024
Total amount of dividends paid
(Millions of yen)
Dividends per share (Yen)
Dividend record date Effective date
Ordinary General Meeting of Shareholders
Ordinary share 4,562 25 December 31, 2023 Mach 28, 2024
Note The total amount of dividends includes 76 million yen for the Company shares held by the Executive reward BIP Trust and Stock-granting ESOP Trust.
Dividends with the cut-off date in the first half of FY 2024 and the effective date following the first half of FY 2024
Resolution Type of shares
Total amount of dividends paid
(Millions of yen)
Dividends per share (Yen)
Dividend record date Effective date
August 2, 2024 Board of directors
Ordinary share 4,562 25 June 30, 2024 September 2, 2024
Note The total amount of dividends includes 73 million yen for the Company shares held by the Executive reward BIP Trust and Stock-granting ESOP Trust.
Semi-Annual consolidated accounting period of the current fiscal year (January 1, 2025 – June 30, 2025)
Dividend payment amount
Resolution Type of shares March 26, 2025
Total amount of dividends paid
(Millions of yen)
Dividends per share Dividend record date Effective date (Yen)
Ordinary General Meeting of Shareholders
Ordinary share 5,057 28 December 31, 2024 March 28, 2025
Note The total amount of dividends includes 81 million yen for the Company shares held by the Executive reward BIP Trust and Stock-granting ESOP Trust.
Dividends with the cut-off date in the first half of FY 2025 and the effective date following the first half of FY 2025
Resolution Type of shares
Total amount of dividends paid
(Millions of yen)
Dividends per share Dividend record date Effective date (Yen)
August 1, 2025 Board of directors
Ordinary share 4,864 28 June 30, 2025 September 1, 2025
Note The total amount of dividends includes 77 million yen for the Company shares held by the Executive reward BIP Trust and Stock-granting ESOP Trust.
Revenue
The Group separates revenue by three reportable segments, “Vending business,” “OTC Business,” and “Food Service Business”, for the chief operating decision maker in making resource allocation decisions and in assessing performance.
In each business, the Group purchases, manufactures, and sells carbonated beverages such as Coca-Cola, coffee beverages, black tea beverages, mineral water, alcohol, and other beverages in Japan. Revenue for sales of these products is recognized primarily at the time of delivery as customers have obtained control over the products, and the performance obligation is satisfied.
Payments relating to such performance obligation are received generally within two months of delivery. The contracts with customers do not include any material financial elements.
Revenue in the semi-annual consolidated accounting period for both the previous fiscal year and the current fiscal year are recognized from the contracts with customers.
Reportable segment
Semi-Annual consolidated accounting period of previous fiscal year
(Six months ended June 30, 2024)
(Millions of yen)
Semi-Annual consolidated accounting period of current fiscal year
(Six months ended June 30, 2025)
Vending business
192,208
189,660
OTC business
186,368
194,174
Food service business
19,067
19,833
Other
13,812
14,276
Total
411,455
417,942
Other income and other expenses
The breakdown of other income and other expenses are as follows:
Semi-Annual consolidated accounting period of previous fiscal year
(Six months ended
June 30, 2024)
(Millions of yen)
Semi-Annual consolidated accounting period of current fiscal year
(Six months ended
June 30, 2025)
Other income
Gains on sales of property, plant, and equipment (Note 1)
5,501 815
Rent income
89
82
Gain on sale of shares of subsidiaries (Note 2)
—
23
Other
401
253
Total
5,990
1,172
Other expenses
Impairment loss (Note 3) 304 88,939
Losses on sales and disposals of property, plant, and equipment
Transformation-related expenses (Note 4)
577
1,067
608
2,108
Special retirement allowance (Note 5)
18
3,234
Other
64
340
Total
2,031
95,229
Notes 1. Gains on sales of property, plant, and equipment represent gains on sales of land and other assets for the first half of the previous fiscal year and the current fiscal year.
Gain on sale of shares of subsidiaries represents gains from the transfer of 51% equity interest in onEQuest Co., Ltd.
Please refer to “Note 14. Impairment of non-financial assets” for more details about “Impairment loss.”
Transformation related expenses are consulting expenses related to measures aimed at building an efficient new system
with the aim of creating more value and further improving productivity for the sustainable growth of the Group for the first half of the previous fiscal year and the current fiscal year.
Special retirement allowances are allowances and outplacement support expenses incurred in the implementation of the voluntary retirement program for the first half of the previous fiscal year and the current fiscal year.
Fair value of financial instruments
Classification by level of the fair value hierarchy
Financial instruments measured at fair value on a recurring basis after initial recognition are classified into three levels of the fair value hierarchy, depending on the observability and significance of the inputs used in the measurement.
The fair value hierarchy is defined as follows:
Level 1: Fair value (unadjusted) in the active market of the same asset or liability
Level 2: Fair value based on inputs other than quoted prices included in Level 1, either directly observable inputs or indirectly, of observable inputs for asset or liability
Level 3: Fair value based on unobservable inputs for asset or liability
When more than one input is used to measure the fair value, the level of the fair value hierarchy is determined based on the lowest level of input that is significant to the fair value measurement as a whole. Transfers between levels of the fair value hierarchy are recognized as having occurred at the beginning of each period.
There was no transfer between Level 1, Level 2, and Level 3 during the previous fiscal year and the first half of the current fiscal year.
Fair value measurement
Securities are classified as Level 1 of the fair value hierarchy by the measurement of share prices, if any, in an active market for the same asset or liability. If there is no active market share price for the same asset or liability, the Group uses valuation techniques such as share prices in non-active markets, and quoted market prices of similar companies. If significant inputs, such as quoted market prices and discount rates used in measurement are observable, such financial instruments are classified as Level 2, but are classified as Level 3 if inputs used in its measurement include significant unobservable inputs.
Unlisted securities are classified into Level 3 of the fair value hierarchy using valuation techniques based on quoted market prices of similar companies, valuation techniques based on net asset value, and other valuation techniques. In the fair value measurement of unlisted securities, the Group uses unobservable inputs such as valuation multiples and considers certain illiquidity discounts and non-controlling interest discounts as needed. The measurement methods for such fair value are determined by the Finance division in accordance with the Group’s accounting policies.
The valuation techniques and significant unobservable inputs used in Level 3 fair value measurement are as follows:
As of December 31, 2024
Type Valuation technique Significant unobservable inputs Interactions between significant unobservable
inputs and fair value measurement
Financial instrument measured at fair value through other comprehensive income
(Securities)
Comparison of similar companies
EBIT Multiple: 10.7 times PBR: 1.0-2.3 times
Estimated fair value increases (decreases) when equity indices of comparable listed companies of the target are high (low)
As of June 30,2025
Type Valuation technique Significant unobservable inputs Interactions between significant unobservable
inputs and fair value measurement
Financial instrument measured at fair value through other comprehensive income
(Securities)
EBIT Multiple: Corporate Value/EBIT PBR: Price Book Value Ratio
Comparison of similar companies
EBIT Multiple: 13.3-14.5 times PBR: 1.0 - 2.5 times
Estimated fair value increases (decreases) when equity indices of comparable listed companies of the target are high (low)
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Coca-Cola Bottlers Japan Holdings Inc. published this content on August 04, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on August 04, 2025 at 08:55 UTC.
