Higher Delivery Costs and SG&A Ratio Due to Rising Delivery Unit Costs
First written in FY2019-Q1. 3 of 7 entries say "Advanced", first in 2026-09-09. Latest entry: 2026-09-18.
and ST HD moved to the "Worse" side of this theme in 2018, 1 year before the typical company in this theme (2019).
The whole theme swung hardest in 2026: 18 of 27 companies on the "Worse" side.
0 other companies' latest entry also says "Advanced".
- FY2026MitigatedAnnual report
「To address rising logistics costs and insufficient logistics capacity, the company is working to reduce risks through investment in automation at its own logistics facilities, securing personnel by improving working conditions, and shortening delivery distances by establishing logistics sites in eastern and western Japan.」
We are addressing logistics cost and capacity risks through mechanization, securing personnel and locating facilities in eastern and western Japan. - FY2025WorsenedAnnual report
「Our Group also outsources the import of products manufactured overseas and deliveries to stores and customers to external companies. If logistics costs rise due to factors such as fluctuations in energy prices and labor shortages, or if we are unable to secure sufficient logistics capacity, this may affect the Group’s operating performance.」
In addition to rising logistics costs, the shortage of logistics capacity resulting from labor shortages has been identified as a risk. - FY2019-Q2MaterialisedAnnual report
「Due to higher e-commerce promotion expenses and per-unit delivery costs, among other factors, revenue declined slightly year on year. As a result, SG&A expenses as a percentage of revenue were 53.4%, up 1.2 percentage points year on year, while the operating profit margin was 0.5%, down 3.0 percentage points.」
Higher per-unit delivery costs were again cited as a factor behind increases in delivery costs and other expenses, affecting the rise in SG&A expenses as a percentage of revenue and the decline in operating profit margin. - FY2019-Q1First statedAnnual report
「Selling, general and administrative expenses remained broadly at the same level as the previous year, owing in part to higher e-commerce promotion expenses and increased delivery costs resulting from higher delivery unit prices. As a result, the SG&A ratio was 55.0%, up 2.7 percentage points year on year, while the operating profit margin was 2.5%, down 4.6 percentage points.」
The increase in delivery costs accompanying higher per-unit delivery costs was identified for the first time and cited as a factor behind the increase in SG&A expenses as a percentage of revenue and the decline in operating profit margin.