Intensifying Competition, Slowing Inbound Demand and Weak Personal Consumption

「In the jewelry industry in which our group operates, demand for high-priced products remained resilient, particularly among affluent customers. However, a growing desire to protect household finances amid rising prices and increasingly polarized consumption made purchasing behavior more cautious. In addition, soaring raw material prices, particularly for bullion, and higher labor and logistics costs placed pressure on earnings, and the challenging business environment continued.」

「While demand for high-priced products, particularly among affluent customers, remained firm, consumers have become more cautious as concerns about protecting household budgets have increased amid rising prices and consumption has become increasingly polarized.」

「In the jewelry industry in which our group operates, sales of high-priced products remained firm, particularly among affluent customers and inbound visitors. However, the overall business environment was challenging due to increasingly polarized consumption, a growing preference for saving amid rising prices, and higher costs including raw material and labor costs.」

「The jewelry industry in which our group operates faced an overall challenging business environment. Although inbound demand and demand for high-priced products remained firm, costs generally trended higher due to increasingly polarized consumption, a growing preference for saving amid rising prices, and efforts to address soaring raw material costs and labor shortages.」

「The jewelry industry faced an overall challenging business environment. Although high-priced products remained firm, supported by recovering inbound demand, wage increases and rising stock prices, costs generally trended higher due to increasingly polarized consumption, a growing preference for saving amid rising prices, and efforts to address soaring raw material costs and labor shortages.」

「The jewelry industry in which our group operates faced an overall challenging business environment. Although high-priced products, particularly luxury brands, remained firm, supported in part by the recovery in inbound demand, downside risks to earnings continued due to a growing preference for saving against the backdrop of rising prices, soaring raw material costs and chronic labor shortages.」

「The jewelry industry in which our group operates continued to face an overall challenging business environment. Although sales of high-priced products remained firm, supported in part by the recovery in inbound demand, a growing desire to protect household finances against the backdrop of rising prices, soaring raw material costs and chronic labor shortages weighed on the industry.」

「The jewelry industry in which our group operates faced an overall challenging business environment. Although high-priced products remained firm, particularly at department stores, and the recovery in inbound demand supported consumption, consumers' preference for saving increased against the backdrop of successive increases in utility bills and prices of daily necessities. In addition, raw material costs remained high and the labor shortage continued to worsen.」

「As a result of these initiatives, revenue decreased by ¥106 million, or 2.4%, year on year. Although stores in urban department stores performed firmly, sales at shopping centers, particularly in regional areas, were sluggish, while bridal jewelry sales declined, led by the core product “Wish upon a star.”」

「The jewelry industry in which our group operates continued to face a challenging business environment. Although high-priced products remained firm, particularly at department stores, intermittent price increases, a growing desire to protect household finances against the backdrop of income conditions, and rising labor and logistics costs also weighed on the industry.」

「The jewelry industry in which our group operates faced an overall challenging business environment. Although high-priced products remained firm, particularly at department stores, raw material and procurement prices rose, successive price increases heightened consumers' preference for saving against the backdrop of income conditions, and labor and logistics costs also increased.」

「The jewelry industry in which our group operates faced a challenging business environment. Although high-priced products remained firm, particularly at department stores, successive product price increases and a growing preference for saving against the backdrop of income conditions, as well as concerns about the impact on earnings of soaring raw material prices for bullion and diamonds, weighed on the industry.」

「However, following the emergence and rapid spread of the Omicron variant, quasi-emergency measures to prevent the spread of disease were reinstated from mid-January. As a result, customer traffic declined sharply, bridal jewelry sales struggled to grow, and the number of stores fell by 4 from the end of the same quarter of the previous year due to store rationalization. Consequently, revenue decreased by ¥281 million, or 5.9%, year on year.」

「The overall business environment was extremely challenging. Although jewelry demand, particularly for high-priced products, improved substantially, consumption remained polarized and consumers continued to favor saving due to concerns about the future. Shopping centers also struggled, while bridal demand remained sluggish.」

「In the jewelry industry in which our group operates, demand for high-priced products remained firm against a backdrop of rising stock prices and online consumption expanded. However, following the third declaration of a state of emergency issued on 25 April 2021, jewelry sales at large commercial facilities, including department stores, were designated as businesses subject to requests for closure as part of municipality-led measures to restrict the movement of people, resulting in a challenging business environment.」

「In the jewelry industry in which our group operates, demand for high-priced products remained firm against a backdrop of rising stock prices, while online consumption became more active and bridal jewelry showed resilience. However, customer traffic, particularly at commercial facilities, declined amid requests to refrain from going out due to the COVID-19 pandemic. In addition, restrictions on large-scale events and a sharp drop in inbound demand resulted in an overall challenging business environment.」

「The overall business environment was extremely challenging, as customer traffic, particularly at commercial facilities, declined, while restrictions on large-scale events and a sharp drop in inbound demand also had an impact.」

「The jewelry industry in which our group operates faced an extremely challenging business environment. Business operations were severely restricted, including through temporary closures and reduced hours at commercial facilities due to the spread of COVID-19, while inbound demand also disappeared.」

「In the jewelry industry to which the group belongs, the business environment was extremely difficult as the spread of COVID-19 had a significant impact. Business activity was substantially curtailed nationwide amid continued requests for people to refrain from going out and the closure or shortened operating hours of commercial facilities, compounded by the declaration of a state of emergency in April 2020 and the expansion of the areas covered.」

「In the jewelry industry, the business environment was difficult as soaring personnel expenses resulting from the chronic labor shortage, successive natural disasters including typhoons, the higher consumption tax rate, and the spread of COVID-19 further worsened consumer sentiment.」

「The business environment was difficult overall as consumption became increasingly polarized by region and income conditions, defensive consumer attitudes driven by concerns about the future persisted, and consumption declined due to the higher consumption tax rate and the impact of successive natural disasters, including typhoons.」

「In the jewelry industry to which the group belongs, the difficult business environment continues as polarized consumption and deteriorating consumer sentiment persist, competition among companies intensifies, particularly in the bridal jewelry market, and purchasing channels diversify with the expansion of e-commerce and peer-to-peer transactions.」

「In the distribution industry, the difficult business environment continues as polarized consumption and sluggish consumer sentiment persist, compounded by the chronic labor shortage and intensifying competition among companies resulting from the diversification of sales channels.」

「In the jewelry industry, the business environment was difficult as personal consumption lacked strength amid increasingly polarized consumption by region and income conditions and persistently strong consumer efforts to protect household finances, while soaring personnel expenses resulting from the chronic labor shortage and intensifying competition among companies across business types and formats compounded the situation.」

「In the distribution industry, the difficult business environment continues as consumption remains polarized and preferences for saving persist amid concerns about the future, while the chronic labor shortage and intensifying competition among companies associated with the diversification of sales channels compound the situation.」

「In the jewelry industry, the business environment was difficult as personal consumption lacked strength amid increasingly polarized consumption by region and income conditions and continued preferences for saving, while the worsening labor shortage and intensifying competition among companies associated with the diversification of sales channels compounded the situation.」

「In the distribution industry, the business environment was difficult as consumption became increasingly polarized by region and income conditions, household preferences for saving remained strong, the labor shortage became more severe, and competition among companies intensified as sales channels diversified.」

「Demand for high-value goods remained strong, supported by the wealth effect from rising share prices and gold prices. However, consumption became increasingly polarized by region and income conditions, and stronger preferences for saving weighed on personal consumption, while the worsening labor shortage and intensifying competition among companies associated with the diversification of sales channels compounded the situation, resulting in a difficult business environment.」

「In the distribution industry, personal consumption lacked strength as consumption became increasingly polarized, values and preferences diversified across age groups, preferences for saving strengthened against a backdrop of stagnant disposable income and growing concerns about the future, and headwinds such as soaring personnel expenses resulting from the chronic labor shortage compounded the situation. The difficult business environment therefore continues.」

「In the jewelry industry to which the company belongs, inbound consumption and spending on high-value goods showed signs of recovery. However, cautious consumer attitudes persisted amid stagnant wage growth and increased social insurance burdens, while competition among companies intensified, particularly in bridal jewelry, resulting in a difficult business environment.」

「In the distribution industry, inbound consumption and spending on high-value goods showed signs of recovery. However, preferences for saving remained firmly entrenched as consumers became more defensive in their spending amid stagnant wage growth and increased social insurance burdens, creating a need to address polarized consumption and stimulate demand by emphasizing added value.」

「In the jewelry industry to which the company belongs, the business environment was difficult as consumption became increasingly polarized by region and income conditions, personal consumption lacked strength amid stronger preferences for saving and selective purchases, competition among companies intensified, and the labor shortage became more severe.」

「The business environment was difficult as personal consumption stagnated amid stronger consumer preferences for saving and selective purchases, high-value spending by visitors to Japan declined against a backdrop of yen appreciation, and consumer sentiment deteriorated across Kyushu, which accounts for a significant share of the company's domestic sales, particularly from April to June, following the Kumamoto earthquake in April.」

「In the distribution and retail industry, the business environment became increasingly challenging as competition intensified across business formats, growth in inbound demand, which had driven domestic consumption, reached a plateau and slowed, and personal consumption lacked strength against a backdrop of stagnant real wage growth.」