Obstacles to Earnings Recovery from Higher Raw Material Prices and Supply Constraints
First written in FY2022. 4 of 6 entries say "Restated". Latest entry: 2026-05-15.
Sds Holdings moved to the "Worse" side of this theme in 2026, 5 years after the typical company in this theme (2021).
The whole theme swung hardest in 2022: 122 of 167 companies on the "Worse" side.
36 other companies' latest entry also says "Materialised".
- 2026-05-15MaterialisedRevision of earnings forecasts
「The renovation business's profit margin declined due in part to raw material prices rising more than expected. The segment profit margin was 7.06% in the cumulative third quarter but negative 1.60% in the standalone fourth quarter. As a result, operating profit was ¥5 million and ordinary profit was ¥9 million below forecast.」
The greater-than-expected rise in raw material prices materialized as a factor behind the decline in margins in the Renovation Business and the failure to meet the earnings forecast. - FY2025-H1RestatedAnnual report
「Meanwhile, the outlook remains uncertain due to the prolonged conflicts in the Middle East and Ukraine, the sluggish Chinese economy, surging energy prices and continued inflation, among other factors.」
The Company continues to identify the business environment of persistently high energy prices and inflation, together with geopolitical conditions and the slowdown in the Chinese economy, as external risks. - FY2023RestatedAnnual report
「During the fiscal year, Japan's economy was in a difficult situation despite a gradual recovery, partly supported by the effects of various government policies, due also to soaring raw material and energy prices.」
In addition to soaring raw material prices, soaring energy prices are identified as a factor in the operating environment that could hinder the recovery in earnings. - FY2023-Q3RestatedAnnual report
「During the first 9 months of the fiscal year, the Japanese economy showed signs of a gradual recovery under the COVID-19 environment. However, close attention remained necessary to the effects of rising prices, supply-side constraints and volatility in the financial and capital markets, and the outlook remained uncertain.」
The company continues to identify the business environment, characterized by inflation and ongoing supply-side constraints, as an external factor that could affect performance. - FY2023-Q1RestatedAnnual report
「At present, changes in the business environment, such as the spread of COVID-19 and soaring raw material prices, are hindering the recovery of business performance, and action to address this new business environment is urgently needed.」
The company continues to disclose the situation in which the spread of COVID-19 and soaring raw material prices are hindering the recovery of business performance. It also separately discloses semiconductor shortages and surging resource prices as new external factors. - FY2022First statedAnnual report
「At present, changes in the business environment, including restrictions on raw material supplies and soaring prices, are hindering earnings recovery, and an urgent response to these conditions is required.」
The Company first disclosed separately that restrictions on raw material supplies and higher prices were hindering earnings recovery as a business-environment risk.