Risk of lower sales volumes due to a contract structure centered on one-year sales contracts
First written in FY2017. 15 of 19 entries say "Materialised", first in FY2021-Q2. Latest entry: FY2026.
Japan Petroleum Exploration moved to the "Worse" side of this theme in 2020, 1 year before the typical company in this theme (2021).
The whole theme swung hardest in 2020: 3 of 7 companies on the "Worse" side.
2 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「Liquefied natural gas (t) 231,386 △45.2 23,112 △47.5」
Liquefied natural gas sales volumes were 231,386t, down 45.2% from the previous fiscal year, while sales value also declined 47.5%. Demand, competition and sales volume risks became apparent in the annual results. - 2026-05-13MaterialisedEarnings presentation
「Decline in liquefied natural gas sales volumes (—)」
Liquefied natural gas sales volumes declined from 422 thousand tonnes in the previous fiscal year to 231 thousand tonnes, with the volume risk materializing in the annual results. - FY2026-H1MaterialisedAnnual report
「Revenue from the Infrastructure and Utilities Business decreased to ¥79,978 million, down ¥6,570 million year on year (△7.6%), due mainly to lower liquefied natural gas sales volumes.」
Liquefied natural gas sales volumes, which had increased through the previous fiscal year, declined, resulting in a 7.6% year-on-year decrease in revenue from the Infrastructure and Utilities Business. - FY2025AdvancedAnnual report
「Liquefied natural gas (t) 422,278 43,990 53.5 45.7」
Liquefied natural gas sales volumes were 422,278t, up 53.5% from the previous fiscal year, confirming a shift from declining sales volumes through the previous fiscal year to an increase in the annual results. - FY2025-H1LNG sales volumes changed from a decline to an increaseAnnual report
「Revenue from the Infrastructure and Utilities Business increased to ¥86,548 million, up ¥11,861 million year on year (+15.9%), due mainly to higher liquefied natural gas sales volumes.」
Regarding natural gas sales volume risk, liquefied natural gas sales volumes, which had continued to decline through the previous fiscal year, increased during the interim consolidated accounting period, and revenue from the Infrastructure and Utilities Business rose 15.9%. - FY2024MaterialisedAnnual report
「Domestic natural gas (thousand m³) 955,826 △3.4」
Domestic natural gas sales volumes were 955,826 thousand m³, down 3.4% from the previous fiscal year, with the risk of lower sales volumes due to competition and demand fluctuations continuing to be reflected in the annual results. - FY2024-Q3MaterialisedAnnual report
「Revenue from the Infrastructure and Utilities Business decreased to ¥110,714 million, down ¥31,034 million year on year (△21.9%), due to lower selling prices as market prices for crude oil and other commodities eased, as well as lower sales volumes of natural gas and liquefied natural gas.」
Lower natural gas and liquefied natural gas sales volumes were reflected in the Infrastructure and Utilities Business's results as a 21.9% year-on-year decline in revenue. - FY2024-Q2MaterialisedAnnual report
「Although higher LNG prices and other factors led to higher domestic natural gas selling prices and increased electricity sales volumes, lower liquefied natural gas sales volumes and other factors resulted in revenue from the Infrastructure and Utilities Business of ¥74,686 million, a decrease of ¥2,093 million year on year (△2.7%).」
The decline in liquefied natural gas sales volumes continued to be reflected in the Infrastructure and Utilities Business's results as a 2.7% year-on-year decrease in revenue. - FY2024-Q1MaterialisedAnnual report
「Revenue from the Infrastructure and Utilities Business decreased due to lower sales volumes of domestic natural gas and liquefied natural gas, but higher selling prices resulting from rising LNG prices and other factors, as well as increased electricity sales volumes, led to revenue of ¥36,398 million, an increase of ¥388 million year on year (+1.1%).」
Lower domestic natural gas and liquefied natural gas sales volumes were reflected in the quarterly results. Meanwhile, higher selling prices due to rising LNG prices and other factors, together with increased electricity sales volumes, resulted in higher revenue from the Infrastructure and Utilities Business. - FY2023MaterialisedAnnual report
「Domestic natural gas (thousand m³) 989,051 97,360 △6.8 67.8」
The decline in domestic natural gas sales volumes continued in the annual results, with sales volumes of 989,051 thousand m³, down 6.8% year on year. Meanwhile, sales value increased due to higher prices. - FY2022MaterialisedAnnual report
「Domestic natural gas (thousand m³) 1,061,244 58,024 △10.3 13.1」
The risk of competition and demand fluctuations in natural gas sales was reflected in annual results as a 10.3% year-on-year decline in domestic sales volumes. - FY2022-Q3MaterialisedAnnual report
「Revenue from the Infrastructure and Utilities Business decreased due to lower domestic natural gas sales volumes, but increased electricity sales volumes resulting from the Fukushima Natural Gas Power Plant operating for the full year, among other factors, led to revenue of ¥79,165 million, an increase of ¥11,473 million year on year (+16.9%).」
While lower domestic natural gas sales volumes continued to weigh on performance, the Infrastructure and Utilities Business as a whole posted higher revenue due to increased electricity sales volumes from the Fukushima Natural Gas Power Plant. - FY2022-Q2MaterialisedAnnual report
「Revenue from the Infrastructure and Utilities business increased by ¥2,400 million year on year, or 5.5%, to ¥46,382 million. This was despite declines in domestic natural gas sales prices and volumes, as electricity sales volumes increased following the Fukushima Natural Gas Power Plant operating for the full year.」
The decline in domestic natural gas prices and sales volumes is being reflected in the Infrastructure and Utilities Business's performance. - FY2022-Q1MaterialisedAnnual report
「Revenue from the Infrastructure and Utilities Business decreased due to lower domestic natural gas prices and sales volumes, but increased electricity sales volumes resulting from the Fukushima Natural Gas Power Plant operating for the full year, among other factors, led to revenue of ¥23,009 million, an increase of ¥2,012 million year on year (+9.6%).」
Lower domestic natural gas prices and sales volumes were reflected in the Infrastructure and Utilities Business's revenue performance for the quarter. - FY2021MaterialisedAnnual report
「In domestic natural gas sales, competition intensified due to price competition with competing fuels such as petroleum products, increased activity by other companies to develop supply infrastructure, including LNG receiving terminals and related pipelines, near the company's market, and the expansion of energy companies beyond their traditional supply areas following the full liberalization of electricity and gas retailing. The market environment therefore remained challenging for the Group.」
Amid continuing competition in natural gas sales, domestic natural gas sales volumes were 1,183,102 thousand m3, down 6.7% year on year. - FY2021-Q3MaterialisedAnnual report
「In Japan, natural gas sales volumes decreased by 43 million m3, or 5.1%, from the same period of the previous year to 813 million m3, due to sluggish economic activity.」
The risk of lower natural gas sales volumes due to lower demand and other factors continued to materialize as a 5.1% year-on-year decline in domestic sales volumes. - FY2021-Q2MaterialisedAnnual report
「In Japan, natural gas sales volumes decreased by 12 million m3, or 2.4%, from the same period of the previous year to 520 million m3, due to sluggish economic activity.」
The risk of lower natural gas sales volumes due to lower demand and other factors materialized as a 2.4% year-on-year decline in domestic sales volumes. - FY2020RestatedAnnual report
「The Group's operating performance may be adversely affected by a decline in existing natural gas handling volumes, including third-party transportation volumes, weak development of new demand, or lower selling prices, due to population decline accompanying the declining birthrate and aging population, lower operating rates at customers' facilities, and intensifying competition with other companies amid reforms to the gas business framework.」
The risk of lower sales volumes due to lower demand, weak development of new demand and lower selling prices continues. - FY2017First statedAnnual report
「As a result, most customers have no contractual long-term take-or-pay obligations, and the Group's operating performance may be adversely affected by lower sales volumes resulting from decreased demand from customers, changes in suppliers and other factors.」
The company disclosed that long-term sales contracts account for only part of its sales and that sales volumes may decline due to lower demand or changes in suppliers.