Insufficient pass-through of higher procurement prices for forage grass seed
First written in FY2023-Q2. 8 of 10 entries say "Worsened", first in FY2023-Q3. Latest entry: FY2026.
Kaneko Seeds moved to the "Worse" side of this theme in 2023, 2 years after the typical company in this theme (2021).
The whole theme swung hardest in 2022: 121 of 167 companies on the "Worse" side.
54 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「In the seed and seedling business, revenue increased 1.0% year on year to ¥9,573 million, supported by steady exports and domestic sales of onion seeds, progress in introducing spinach and zucchini varieties to production areas, and higher sales of feed crop seeds amid growing demand for domestically produced feed. Profit was affected by higher overseas seed production costs resulting from the weaker yen and the further disposal of seeds whose quality had deteriorated. Segment profit declined 3.0% year on year to ¥530 million.」
While sales increased, the seed and seedling business reported a 3.0% decline in profit due to higher overseas production costs resulting from the weaker yen and the disposal of seeds whose quality had deteriorated. - FY2025WorsenedAnnual report
「Profit was affected by higher costs, as the company was unable to fully pass higher import prices on to customers for forage crop seeds and proceeded with the disposal of seeds whose quality had deteriorated. Segment profit declined 20.9% year on year to ¥547 million.」
The company continued to be unable to pass higher import prices for forage crop seeds fully on to selling prices, while the disposal of seeds whose quality had deteriorated also contributed to a 20.9% decline in segment profit. - FY2025-H1WorsenedAnnual report
「In the seeds and seedlings business, sales of onion seeds increased in both exports and domestic sales, while exports of pumpkin and cabbage seeds also grew. As a result, sales increased 6.3% year on year to ¥4,253 million. Segment profit, however, decreased 31.8% to ¥213 million due to higher costs, including the disposal of seeds whose quality had deteriorated, higher personnel expenses and increased seed import prices.」
Higher seed import prices emerged as a cost increase, and segment profit in the seed and seedling business declined 31.8% despite higher sales. - FY2024WorsenedAnnual report
「In the seed and seedling business, revenue increased 3.1% year on year to ¥9,111 million, supported by growth in exports of vegetable seeds such as pumpkin and cabbage and higher sales of feed corn in the forage seed business. Profit was affected by higher costs due to increased labor expenses, expanded logistics and storage facilities to improve seed quality, and higher procurement prices resulting from the weaker yen. Segment profit declined 19.2% year on year to ¥691 million.」
While revenue increased on higher vegetable seed exports and other factors, segment profit in the seed and seedling business declined 19.2% due to higher procurement prices resulting from the weaker yen and costs related to quality improvements. - FY2024-Q3WorsenedAnnual report
「Segment profit was ¥398 million, down 12.4% year on year, due to higher personnel expenses, higher costs associated with enhancing logistics and storage facilities to improve seed quality, and higher procurement prices resulting from the weaker yen.」
Higher seed procurement prices due to the weaker yen continued to weigh on profit, with segment profit in the seed and seedling business down 12.4% year on year. - FY2023WorsenedAnnual report
「Profit was affected by the disposal of seeds whose quality had deteriorated and the inability to fully pass higher forage seed procurement unit prices resulting from the weaker yen and other factors on to selling unit prices. Segment profit declined 33.2% year on year to ¥856 million.」
The disposal of seeds whose quality had deteriorated and the inability to fully pass higher forage seed procurement unit prices resulting from the weaker yen and other factors on to selling unit prices caused profit in the seed and seedling business to decline 33.2%. - FY2023-Q3WorsenedAnnual report
「Profit was affected by the disposal of vegetable seeds whose quality had deteriorated and the inability to fully pass higher forage seed procurement unit prices resulting from the weaker yen and other factors on to selling unit prices. Segment profit declined 23.4% year on year to ¥455 million.」
The company continued to be unable to pass higher forage seed procurement unit prices resulting from the weaker yen and other factors fully on to selling unit prices, resulting in a 23.4% decline in segment profit in the seed and seedling business. - FY2023-Q2First statedAnnual report
「Profit was affected by the disposal of vegetable seeds whose quality had deteriorated and the inability to fully pass on higher forage seed procurement prices resulting from the weaker yen and other factors. Segment profit declined 18.1% year on year to ¥330 million.」
The company was unable to pass higher forage seed procurement prices resulting from the weaker yen and other factors fully on to selling prices, which led to lower segment profit in the seed and seedling business.