Earnings pressure from soaring raw material costs and rising personnel and labor costs
First written in FY2018-Q2. 16 of 21 entries say "Materialised", first in FY2018-Q3. Latest entry: 2026-05-22.
Hokuto moved to the "Worse" side of this theme in 2018, 3 years before the typical company in this theme (2021).
The whole theme swung hardest in 2022: 64 of 103 companies on the "Worse" side.
20 other companies' latest entry also says "Mitigated".
- 2026-05-22MitigatedFinancial results briefing materials
「Although the impact of higher costs, logistics expenses and other factors remained significant, price revisions and productivity improvements offset the impact, and operating profit came in ¥400 million above the previous year.」
While higher costs and logistics expenses continued to weigh on results, price revisions and productivity improvements mitigated their impact on earnings. - FY2025Cost factors have become differentiatedAnnual report
「In addition to higher sales, labor costs included in manufacturing costs increased, while production raw material, depreciation and electricity costs decreased from the previous fiscal year, resulting in」
Labor costs increased, while production raw material, depreciation and electricity costs decreased. The risk of higher costs remains, but the impact varies by cost item. - FY2025-H1MaterialisedAnnual report
「Amid a substantial rise in manufacturing costs, including raw material, electricity, packaging and labor costs」
Higher raw material, electricity, packaging and labor costs have actually resulted in higher manufacturing costs, putting pressure on profitability. - FY2024-Q2MaterialisedAnnual report
「Amid a substantial rise in manufacturing costs, including raw material, electricity and packaging costs」
Higher raw material, electricity and packaging costs have actually resulted in higher manufacturing costs, putting pressure on profitability. - FY2024-Q1MaterialisedAnnual report
「Amid a substantial rise in manufacturing costs, including raw material, electricity and packaging costs」
Higher raw material, electricity and packaging costs have actually resulted in higher manufacturing costs, putting pressure on profitability. - FY2023MaterialisedAnnual report
「As a result of increases from the previous fiscal year in production raw material, packing and packaging, and electricity costs included in manufacturing costs, gross profit decreased by ¥4,424 million from the previous consolidated fiscal year to ¥12,967 million, down 25.4% year on year.」
Higher raw material, packaging and electricity costs pushed up manufacturing costs, reducing gross profit by 25.4% year on year. - FY2023-Q3MaterialisedAnnual report
「The Second Division, which mainly produces and sells plastic molded products and sells agricultural materials, focused on improving the quality of its own products and expanding sales, while also working to ensure a stable supply of raw materials to mushroom producers amid shortages of production materials such as rice bran and wheat bran.」
Shortages of production raw materials such as rice bran and wheat bran have actually occurred, requiring measures to ensure a stable supply of raw materials. - FY2023-Q2MaterialisedAnnual report
「In the Second Division, which focuses on the production and sale of proprietary products and the sale of agricultural materials, we are focusing on obtaining new orders for proprietary products and working to prevent shortages of growing medium and other products for mushroom farmers as raw material prices rise and procurement of purchased goods becomes increasingly unstable」
Rising raw material prices and increasingly unstable procurement of purchased goods have actually emerged as business conditions, requiring measures to prevent shortages of growing medium and other products. - FY2023-Q1MaterialisedAnnual report
「At HOKTO KINOKO COMPANY, the US subsidiary, net sales remained firm, but operating income was slightly below plan due to higher raw material costs and other factors.」
Higher raw material costs and other factors actually caused the US subsidiary's operating income to fall short of plan, pressuring profitability. - FY2022MaterialisedAnnual report
「As a result of lower sales and increases from the previous fiscal year in production raw material, fuel and electricity costs included in manufacturing costs, gross profit decreased by ¥4,508 million from the previous consolidated fiscal year to ¥17,392 million, down 20.6% year on year.」
Higher raw material, fuel and electricity costs pushed up manufacturing costs, reducing gross profit by ¥4,508 million. - FY2022-Q3MaterialisedAnnual report
「However, operating income fell below plan, mainly due to soaring raw material prices and labor costs, amid disruptions in container volumes caused by the COVID-19 pandemic.」
Disruptions in container volumes and soaring raw material prices and labor costs actually caused operating income to fall short of plan, putting pressure on profitability. - FY2022-Q2MaterialisedAnnual report
「The First Division, whose main business is packaging materials, worked to increase sales and earnings by strengthening sales from every angle, including proposals for environmentally friendly packaging materials, industrial materials, and labor-saving machinery that contribute to the SDGs, amid the impact of soaring crude oil prices on material prices.」
Higher crude oil prices have actually affected material prices, and cost pressures continue. - FY2021RestatedAnnual report
「Although various measures are being taken regarding imported raw materials such as corncob meal, a major mushroom production material, and heavy oil used in mushroom production, foreign exchange movements and other factors could lead to higher raw material prices, while higher crude oil prices could raise fuel, electricity, and packing and packaging costs, potentially affecting the group's financial position and operating results.」
The company continues to disclose the risk of higher costs for raw materials, fuel, electricity, and packing and packaging, while implementing measures to address them. - FY2020RestatedAnnual report
「Although materials and fuel costs decreased from the previous fiscal year, gross profit was affected by a slight increase in manufacturing costs due to higher electricity and packing and packaging costs」
While materials and fuel costs decreased, manufacturing costs increased due to higher electricity and packing and packaging costs, and the company continues to disclose the risk of rising costs. - FY2019MaterialisedAnnual report
「Gross profit increased by ¥916 million from the previous consolidated fiscal year to ¥19,038 million, up 5.1% year on year, as manufacturing costs rose due to increases in energy costs such as materials, labor and fuel, as well as depreciation.」
Higher materials, labor and fuel costs actually resulted in higher manufacturing costs. - FY2019-Q3MaterialisedAnnual report
「In the core Packaging Materials Division, the Company conducted sales activities aimed at acquiring new customers and improving profit margins amid the challenging environment created by price increases for products in response to rising crude oil prices.」
Higher crude oil prices continue to create a difficult business environment requiring product price increases. - FY2019-Q2MaterialisedAnnual report
「The market environment became increasingly challenging due to intensifying competition among companies, rising personnel and logistics costs resulting from labor shortages, and the effects of the Osaka Northern Earthquake in June, the July torrential rains in western Japan, and the Hokkaido Eastern Iburi Earthquake in September, among other factors.」
Higher labor and logistics costs have actually emerged as part of the business environment. The chemicals business also disclosed product price increases in response to higher crude oil prices. - FY2019-Q1MaterialisedAnnual report
「Meanwhile, manufacturing costs increased due to higher labor costs and energy costs resulting from the rise in crude oil prices.」
Higher labor and crude oil prices led to higher energy costs and manufacturing costs, becoming an actual factor pressuring profitability in the first quarter as well. - FY2018MaterialisedAnnual report
「Meanwhile, manufacturing costs increased due to higher labor costs and energy costs resulting from the rise in crude oil prices.」
Higher labor and crude oil prices led to higher energy costs and manufacturing costs, and are identified as actual factors pressuring profitability in the fiscal year. - FY2018-Q3MaterialisedAnnual report
「However, higher raw material and crude oil prices and increased labor costs, resulting from the change from semi-regular employees to region-limited employees, caused cost of sales to rise, creating a difficult situation. As a result, for the nine-month period ended in the third quarter of the current fiscal year, the group's net sales were ¥48,879 million, up 3.6% year on year, and operating income was ¥844 million, down 58.3% year on year.」
Higher raw material, crude oil and labor costs actually resulted in higher cost of sales and pressured profitability, with operating income down 58.3% year on year. - FY2018-Q2First statedAnnual report
「However, mushroom prices remained extremely weak due to higher raw material costs, rising labor costs, resulting from the change from semi-regular employees to regionally restricted employees, and sluggish vegetable market conditions.」
Higher raw material and labor costs were first presented together with weak vegetable prices as factors pressuring mushroom prices and business performance, and their impact on the actual sales environment was also indicated.