Instant noodles demand fell for the first time, but Nissin Foods’ sales and revenue bucked the trend and grew.
TOKYO,JAPAN (ADH News) – According to the World Instant Noodles Association, global demand for instant noodles has declined for the first time, dropping to 120.21 billion servings in 2023 from 121.2 billion servings the previous year. This decrease is primarily attributed to a resurgence in dining out post-pandemic, which has adversely affected sales in key markets such as China, Japan, and the United States.In contrast to the overall market decline, Japan’s Nissin Foods has thrived, posting a 5.5% increase in revenue. This growth underscores Nissin Foods’ strong global instant noodle industry position.
While the overall instant noodle consumption has fallen, the cup noodle segment has seen a 1.4% increase, reaching 26.92 billion servings. China and Japan continue to be the largest markets for cup noodles, and Nissin Foods is strategically capitalizing on this trend through a diverse product lineup and strategic promotions. This approach instills confidence in the company’s future growth among investors and industry professionals.
Nissin Foods’ report shows that the company’s sales of cup instant noodles, bagged instant noodles, and cup rice products have increased. Although rising raw material prices led to higher costs, sales growth boosted operating profits. Nissin Food’s revenue reached 232.221 billion yen, a year-on-year increase of 5.5%; Operating Income reached 29.741 billion yen, a year-on-year increase of 11.0%.
In addition, a consumer survey by the Japanese marketing website J-marketing-net showed that Nissin Food’s CUPNOODLE ranked first in indicators such as awareness, purchase experience, recent purchase volume, and future purchase intention. Compared with the second-placed “Red Fox/Green Raccoon (Toyo Suisan)” and “Nissin Bowl Kitsune Udon,” Nissin cup noodles have a clear market lead of more than 15 points.
Nissin Food Group’s CUPNOODLE MUSEUM is also very popular among tourists in Osaka, Yokohama, and Hong Kong branches. The museum displays the history and invention of instant noodles and provides experience activities for making homemade noodles and cup noodles. It has attracted more than 20 million visitors since its opening.
