Risk of rising construction costs due to soaring material and labor costs
First written in FY2017. 17 of 23 entries say "Restated". Latest entry: FY2025.
The whole theme swung hardest in 2022: 32 of 49 companies on the "Worse" side.
14 other companies' latest entry also says "Mitigated".
- FY2025MitigatedAnnual report
「Our group is working to avoid or minimize these risks by improving construction methods, determining required supply volumes based on forecasts of future construction demand, and sharing information and coordinating with contractors and suppliers of equipment and materials.」
Although the risk of higher construction costs due to rising material and labor costs continues, the company has specified its response through improvements in construction methods, demand forecasts, and information sharing with suppliers. - FY2025-H1RestatedAnnual report
「No new business or other risks arose during the current interim consolidated accounting period. There were also no material changes to the business and other risks described in the securities report for the previous fiscal year.」
The company states that there have been no new risks or material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2024WorsenedAnnual report
「Substantial cost increases during construction due to rising material and labor costs may adversely affect operating results.」
The company continues to explicitly identify the risk of higher construction costs due to rising material and labor costs as a business risk in the current fiscal year. - FY2024-Q3RestatedAnnual report
「During the nine-month period ended the third quarter, there were no major risks that management recognized as potentially having a material impact on the Group’s financial position, business performance or cash flows among the matters concerning the business and accounting conditions described in this quarterly report. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no new risks or material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2024-Q1RestatedAnnual report
「No new business or other risks arose during the first quarter of the current consolidated cumulative period. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no new risks or material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2023-Q3RestatedAnnual report
「During the nine-month period ended in the third quarter, the economy was on a recovery trend due to various policies aimed at living with COVID-19. However, the outlook remained uncertain due to the renewed spread of COVID-19 toward year-end, higher raw material prices and yen depreciation.」
The company stated that the impact of higher raw material prices and yen depreciation continues as part of the external environment affecting construction costs. - FY2023-Q2WorsenedAnnual report
「During the six-month period ended in the second quarter, the Japanese economy was on a moderate recovery trend as restrictions on behavior were eased amid a decline in COVID-19 infections and socioeconomic activity was revitalized, led by personal consumption and inbound demand. However, downside risks remained due to rapid yen depreciation arising from the widening U.S.-Japan interest-rate differential and the impact of higher resource prices, and economic conditions remained challenging.」
In addition to higher resource prices, the external environment affecting construction costs explicitly identifies a sharp depreciation of the yen resulting from the widening Japan-US interest-rate differential as a downside factor. - FY2023-Q1WorsenedAnnual report
「In the global economy, economic sanctions against Russia were imposed following its invasion of Ukraine, while resource prices surged, exchange rates fluctuated sharply and global inflation accelerated, resulting in continued uncertainty over the outlook.」
The external environment affecting construction costs, including material and fuel costs, was described in terms of surging resource prices, sharp exchange-rate fluctuations and accelerating global inflation, specifying changes in the environment contributing to cost pressure. - FY2022WorsenedAnnual report
「During the current consolidated fiscal year, Japan's economy remained in a difficult situation as economic activity was intermittently restricted by the impact of COVID-19, while raw material prices and fuel costs rose.」
Rising material and fuel costs were identified as part of the economic environment during the current fiscal year, indicating stronger external pressure related to the risk of higher construction costs. - FY2022-Q3RestatedAnnual report
「During the nine-month period ended the third quarter, there were no major risks that management recognized as potentially having a material impact on the Group’s financial position, business performance or cash flows among the matters concerning the business and accounting conditions described in this quarterly report. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no new risks or material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2021-Q3RestatedAnnual report
「During the nine-month period ended the third quarter, there were no major risks that management recognized as potentially having a material impact on the Group’s financial position, business performance or cash flows among the matters concerning the business and accounting conditions described in this quarterly report. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no new risks or material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2021-Q1RestatedAnnual report
「No new business or other risks arose during the first quarter of the current consolidated cumulative period. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2020RestatedAnnual report
「Our group is working to avoid or minimize the impact of the risk that construction costs may rise beyond expectations due to various social factors in domestic and overseas construction projects, based on improvements in construction methods and cooperative relationships with appropriate contractors and suppliers of equipment and materials.」
The company reconfirmed the risk of higher construction costs due to material and labor costs as unexpectedly high cost inflation in domestic and overseas construction projects, and described its response through improvements in construction methods and cooperative relationships with contractors and material suppliers. - FY2020-Q3RestatedAnnual report
「No new business or other risks arose during the cumulative third quarter under review. In addition, there have been no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2020-Q2RestatedAnnual report
「During the first six months of the current consolidated fiscal year, there were no newly arising business or other risks. In addition, there were no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2020-Q1RestatedAnnual report
「No new business or other risks arose during the first quarter of the current consolidated cumulative period. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2019RestatedAnnual report
「Our group is working diligently to reduce construction costs through improvements in construction methods and more efficient procurement. However, if substantial cost pressure arises during construction due to rising material and labor costs, this may adversely affect operating results.」
The company continues to describe measures to reduce costs through improvements in construction methods and more efficient procurement, as well as the risk of higher costs due to rising material and labor costs. - FY2019-Q3RestatedAnnual report
「No new business or other risks arose during the cumulative third quarter under review. In addition, there have been no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2019-Q2RestatedAnnual report
「During the first six months of the current consolidated fiscal year, there were no newly arising business or other risks. In addition, there were no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2018-Q3RestatedAnnual report
「No new business or other risks arose during the cumulative third quarter under review. In addition, there have been no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no new risks or material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2018-Q2RestatedAnnual report
「During the first six months of the current consolidated fiscal year, there were no newly arising business or other risks. In addition, there were no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2018-Q1RestatedAnnual report
「No new business or other risks arose during the first quarter of the current consolidated cumulative period. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no material changes to existing risks, including the risk of higher construction costs due to rising material and labor costs. - FY2017First statedAnnual report
「However, if substantial cost pressure arises during construction due to rising material and labor costs, this may adversely affect operating results.」
The company disclosed for the first time the increase in construction costs resulting from higher material and labor costs as a business risk separate from its existing measures to improve construction profitability and reduce costs.