Sapporo Holdings unveils growth strategy, announces structural reforms 

JAPAN – Sapporo Holdings Limited has updated its medium- to long-term strategy to drive accelerated growth and enhance corporate value creation.  

The new strategy focuses on optimizing product investments, operational and management structures, financial targets, and capital allocation to solidify the company’s leadership position in the global beverages and food sector. 

“Our strategic updates reflect a comprehensive analysis to define ambitious yet realistic objectives for the future of the Sapporo Group following our recent structural reforms,” said Rieko Shofu, Managing Director.  

“We have identified significant opportunities to further accelerate growth while capturing efficiencies and better aligning management structure to the needs of our global business. The outcome of this initiative is a strategic vision that will provide a robust foundation for sustained growth and profitability over the medium and long term.” 

A key focus of the strategy is expanding customer touchpoints and accelerating the growth of Sapporo Group’s brands. In Japan, where beer demand is rising following a recent tax revision, the company plans to double marketing investment in its flagship Sapporo Draft Beer Black Label and YEBISU brands by 2030.  

This investment aims to capture a 25 percent share of the Japanese beer market while nearly doubling the domestic alcoholic beverages segment’s profit margin to 10% or more. 

The company also plans to strengthen its non-alcoholic beer development structure and expand key products to generate significant profits. Sapporo will extend the availability of non-alcoholic beer brands, including Sapporo 0.0, in overseas markets.  

Additionally, the Alcoholic Beverages and Soft Drinks businesses will integrate operations to enhance efficiency and drive innovation, particularly in leveraging the health benefits of lemons across its product portfolio. 

In line with its expansion plans, Sapporo Holdings has signed a memorandum of understanding with global brewing company Carlsberg to explore potential collaborations in commercial and operational areas in Vietnam, one of its key markets in Asia. 

To address management challenges domestically and internationally, Sapporo will transition to a business holding company structure.  

The new structure will consist of two segments—domestic operations and international operations—along with corporate functions serving both segments. Existing subsidiaries and business units in Alcoholic Beverages, Food & Soft Drinks, and Restaurants will be reorganized under this framework.  

The transition is set to begin in September 2025 and be completed by July 2026. 

As part of its financial strategy, Sapporo has set a new long-term target of achieving a return on equity (ROE) of 10% or higher, an increase from the previously set 8% target in its 2026 Medium-term Management Plan.  

The company is committed to maintaining a strong financial position, ensuring stability, creditworthiness, and optimal capital allocation to sustain its growth trajectory. 

Sapporo aims to further enhance profitability, targeting an average annual growth rate of approximately 10 percent in operating profit from 2024 to 2030.  

To achieve its objectives, Sapporo plans to: strengthening community ties, expanding healthier beverage options, optimizing operations via a holding company structure, forming strategic alliances, and pursuing M&A for growth. 

Key initiatives include boosting beer marketing, integrating alcoholic and soft drinks, and expanding internationally, particularly in the U.S. and Vietnam. 

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