Insufficient supply and price increases for recycled materials, and excess inventory
First written in FY2024. 1 of 3 entries say "Reframed", first in FY2025. Latest entry: FY2026.
The whole theme swung hardest in 2025: 9 of 10 companies on the "Worse" side.
1 other company's latest entry also says "Restated".
- FY2026RestatedAnnual report
「Although the company seeks to reduce risk and secure stable earnings by diversifying its investments across various metals rather than depending on any particular metal, if price fluctuations exceed expectations, the Group’s financial results may be affected by deteriorating earnings resulting from excess inventories and other factors.」
The company continues to disclose fluctuations in supply and demand for ferrous and non-ferrous metal scrap prices, the risk of excess inventories, and risk-reduction measures through diversification across various metals. - FY2025ReframedAnnual report
「Prices of ferrous and non-ferrous metal scrap in the recycling market are heavily affected by the market balance of supply and demand. Although the Group seeks to reduce risk and secure stable earnings by diversifying its investments across various metals rather than depending on any particular metal, if price fluctuations exceed expectations, the Group’s financial results may be affected by deteriorating earnings resulting from excess inventories and other factors.」
In addition to the existing risks of shortages and higher prices of plastic raw materials and excess inventories, the company now describes fluctuations in supply and demand for ferrous and non-ferrous metal scrap prices, together with risk-reduction measures through diversification across metals. - FY2024First statedAnnual report
「The Group’s raw materials face various risks, including intensified procurement competition resulting from growing global demand, supply shortages caused by climate change associated with global warming, higher raw material prices due to market fluctuations, and reduced use of plastic packaging materials resulting from tighter environmental regulations. These risks are expected to affect product quality and prices.」
The company lists procurement competition, supply shortages caused by climate change, higher raw material prices and changes in demand resulting from environmental regulations as raw material and inventory risks.