Fluctuations in Fuel, Energy and Raw Material Prices and the Risk of Inability to Pass Through Costs
First written in FY2016. 21 of 34 entries say "Materialised", first in FY2018. Latest entry: FY2026.
Ajinomoto Co. moved to the "Worse" side of this theme in 2018, 3 years before the typical company in this theme (2021).
The whole theme swung hardest in 2021: 18 of 28 companies on the "Worse" side.
6 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「Overseas operations recorded higher sales but lower profit because of higher raw-material costs, among other factors.」
Higher raw-material costs and other factors emerged in full-year results as factors behind lower profit despite higher sales in the overseas Nutrition and Processed Foods business. - 2026-05-07WorsenedRevision of earnings forecasts
「Although increases in the prices of various raw and fuel materials and higher logistics costs are expected, we will respond as far as possible through agile pricing measures and steady cost reductions.」
Indicated that raw material and fuel prices and logistics costs are expected to rise, and cited pricing measures and cost reductions as responses. - FY2026-H1MaterialisedAnnual report
「Japan recorded higher sales but lower profit because of higher raw-material costs, among other factors.」
Higher raw-material costs and other factors emerged during the interim period as factors behind lower profit despite higher sales in the domestic business of the Seasonings and Foods segment. - FY2025MaterialisedAnnual report
「Japan benefited from higher sales but recorded a substantial decline in profit because of higher raw-material costs, among other factors.」
Higher raw-material costs emerged over the full fiscal year as a factor behind the substantial decline in profit despite higher sales in the domestic business of the Seasonings and Foods segment. - FY2025-H1MaterialisedAnnual report
「Japan benefited from higher sales but recorded lower profit because of higher costs for raw materials and other inputs, among other factors.」
Higher costs for raw materials and other inputs emerged during the interim period as a factor behind lower profit despite higher sales in the domestic business of the Seasonings and Foods segment. - FY2024WorsenedAnnual report
「●Deterioration in profitability due to higher raw-material and fuel costs resulting from advancing inflation」
The risk from fluctuations in raw-material and fuel prices was integrated and disclosed as an extremely material business risk, defined as the risk of deteriorating profitability associated with conflict and inflation. - FY2024-Q3MaterialisedAnnual report
「Japan recorded higher sales but lower profit because of the impact of higher costs for raw materials and other inputs.」
Higher costs for raw materials and other inputs emerged during the cumulative third-quarter period as a factor behind lower profit despite higher sales in the domestic business of the Seasonings and Foods segment. - FY2024-Q2MaterialisedAnnual report
「Japan recorded higher sales but lower profit because of the impact of higher costs for raw materials and other inputs.」
Higher costs for raw materials and other inputs emerged during the cumulative second-quarter period as a factor behind lower profit in the domestic business of the Seasonings and Foods segment. - FY2024-Q1MaterialisedAnnual report
「Sales in the Seasonings and Foods segment amounted to ¥200.1 billion, ¥15.7 billion above the same period of the previous year and 108.6% of that level, owing to higher selling prices and the impact of translation foreign exchange, among other factors. Business profit was ¥30.9 billion, ¥6.7 billion above the same period of the previous year and 127.7% of that level, despite the impact of higher costs for raw materials and other inputs, owing to the effects of higher sales, among other factors.」
Higher costs for raw materials and other inputs continued to emerge as a factor weighing on profit in the Seasonings and Foods segment. However, business profit in the segment increased because of the benefits of higher sales, among other factors. - FY2023MaterialisedAnnual report
「Business profit was ¥135.3 billion, ¥14.4 billion above the previous fiscal year and 111.9% of that level, as the effects of translation foreign exchange and higher sales in the Healthcare and other segments more than offset the impact of higher costs for raw materials and other inputs.」
Higher costs for raw materials and other inputs continued to weigh on full-year profit, but were partially absorbed through product pricing, higher sales and foreign exchange, among other factors, and the emergence of raw-material and fuel cost risk was disclosed. - FY2023-Q3MaterialisedAnnual report
「Sales in the Seasonings and Foods segment amounted to ¥586.6 billion, ¥88.8 billion above the same period of the previous year and 117.8% of that level, owing to higher overseas unit prices and sales volume, in addition to the impact of translation foreign exchange. Business profit was ¥72.5 billion, ¥1.6 billion below the same period of the previous year and 97.8% of that level, as the impact of higher costs for raw materials and other inputs outweighed the effects of translation foreign exchange and higher sales.」
Higher costs for raw materials and other inputs emerged during the cumulative third-quarter period as a factor weighing on business profit, which fell to 97.8% of the previous year's level despite higher sales in the Seasonings and Foods segment. - FY2023-Q2MaterialisedAnnual report
「Sales in the Seasonings and Foods segment amounted to ¥372.7 billion, ¥56.7 billion above the same period of the previous year and 118.0% of that level, owing to the impact of translation foreign exchange, higher overseas sales and higher unit prices, among other factors. Business profit was ¥43.0 billion, ¥2.0 billion below the same period of the previous year and 95.5% of that level, as the impact of higher costs for raw materials and other inputs outweighed the benefits of higher sales and translation foreign exchange.」
Higher costs for raw materials and other inputs emerged as a factor weighing on business profit, which fell to 95.5% of the previous year's level despite higher sales in the Seasonings and Foods segment. - FY2023-Q1MaterialisedAnnual report
「Business profit was ¥40.5 billion, ¥1.5 billion above the same period of the previous year and 104.1% of that level, as the effects of translation foreign exchange and higher sales in the Healthcare and other segments more than offset the impact of higher costs for raw materials and other inputs.」
Higher costs for raw materials and other inputs actually emerged as a factor weighing on business profit in the first quarter. - FY2022WorsenedAnnual report
「●Deterioration in profitability due to higher raw-material and fuel costs ○Improvement in profitability through appropriate product pricing」
Inflation was assessed as an extremely material new financial risk, and timely reflection of higher raw-material and fuel prices in product prices, product revisions and cost reductions were identified as responses. - FY2022-Q3MaterialisedAnnual report
「Seasonings recorded lower profit despite higher sales, owing to higher prices for raw materials and other inputs and the strategic use of marketing expenses, among other factors.」
Higher prices for raw materials and other inputs emerged during the cumulative third-quarter period as a factor behind lower profit despite higher sales in the Seasonings business. - FY2022-Q2MaterialisedAnnual report
「Seasonings recorded lower profit despite higher sales, owing to higher prices for raw materials and other inputs and the strategic use of marketing expenses, among other factors.」
Higher prices for raw materials and other inputs also emerged during the cumulative second-quarter period as a factor behind lower profit in the Seasonings business. - FY2022-Q1MaterialisedAnnual report
「Solutions & Ingredients recorded a substantial decline in overall profit despite higher sales, as processing-use umami seasonings were affected by higher raw-material and fuel prices.」
Higher raw-material and fuel prices weighed on profit from processing-use umami seasonings and emerged during the first quarter as a factor behind the substantial decline in profit at Solutions & Ingredients. - FY2021-Q3RestatedAnnual report
「No new business or other risks arose during the cumulative third-quarter period. There were also no material changes to the business and other risks described in the securities report for the previous fiscal year.」
It states that there have been no material changes concerning fluctuations in raw-material and fuel prices and the inability to pass on costs. - FY2021-Q2RestatedAnnual report
「No new business or other risks arose during the cumulative second-quarter period. There were also no material changes to the business and other risks described in the securities report for the previous fiscal year.」
It states that there have been no material changes concerning fluctuations in raw-material and fuel prices and the inability to pass on costs. - FY2020-Q3MaterialisedAnnual report
「Primarily because the profitability of the dairy business in Algeria had deteriorated owing to higher costs for milk raw materials and stagnation in the domestic economy, and an early recovery of the business was expected to be difficult, its carrying amount was reduced to its recoverable amount, measured at fair value less costs of disposal.」
In the Algerian dairy business, higher milk-raw-material costs continue to emerge as factors behind deteriorating profitability and impairment of PH's investment. - FY2020-Q2MaterialisedAnnual report
「Primarily because the profitability of the dairy business in Algeria had deteriorated owing to higher costs for milk raw materials and stagnation in the domestic economy, and an early recovery of the business was expected to be difficult, its carrying amount was reduced to its recoverable amount, measured at fair value less costs of disposal.」
At PH's Algerian dairy business, higher milk-raw-material costs emerged as a factor behind deteriorating profitability and impairment of the investment. - FY2020-Q1RestatedAnnual report
「No new business or other risks arose during the cumulative first-quarter period. There were also no material changes to the business and other risks described in the securities report for the previous fiscal year.」
It states that there have been no material changes concerning fluctuations in raw-material and fuel prices and the inability to pass on costs. - FY2019MaterialisedAnnual report
「Seasonings and Processed Foods (Overseas) benefited from higher sales, but overall profit was broadly in line with the previous fiscal year because of an impairment loss at PH, the negative impact of translation foreign exchange and higher prices for fermentation raw materials and fuels, among other factors.」
Higher prices for fermentation raw materials and fuels emerged over the full fiscal year as a factor weighing on profit in overseas foods. - FY2019-Q3MaterialisedAnnual report
「In Seasonings and Processed Foods (Japan), household-use products were broadly in line with the previous year, while profit from food-service products declined because of the impact of higher raw-material and fuel prices, among other factors.」
Higher raw-material and fuel prices emerged as a factor behind lower profit in the food-service business of the domestic Seasonings and Processed Foods segment during the cumulative third-quarter period as well. - FY2019-Q2MaterialisedAnnual report
「In Seasonings and Processed Foods (Japan), household-use products were broadly in line with the previous year, but overall profit declined because of the impact of higher raw-material and fuel prices in the food-service business, among other factors.」
Higher raw-material and fuel prices continued to emerge as a factor behind lower profit in the domestic Seasonings and Processed Foods business. - FY2019-Q1MaterialisedAnnual report
「In Seasonings and Processed Foods (Japan), household-use products were broadly in line with the previous year, but overall profit declined because of the impact of higher raw-material and fuel prices in the food-service business, among other factors.」
Higher raw-material and fuel prices emerged as a factor behind lower profit in the domestic Seasonings and Processed Foods business. Lower profit in overseas foods due to higher prices for fermentation raw materials and fuels was also reported. - FY2018MaterialisedAnnual report
「Net sales for the consolidated fiscal year amounted to ¥1,150.2 billion, ¥59.0 billion above the previous fiscal year and 105.4% of the previous year's level, owing to higher sales of seasonings and processed foods overseas on a local-currency basis and the impact of foreign exchange, despite lower sales of coffee products. Business profit was ¥97.3 billion, broadly in line with the previous fiscal year and 100.5% of the previous year's level, as higher prices for fermentation raw materials and lower profit from overseas frozen foods and coffee products offset other factors.」
Higher prices for fermentation raw materials affected cost of sales and business profit, with the risk from raw-material and fuel price fluctuations becoming evident in full-year results. - FY2018-Q3RestatedAnnual report
「No new business or other risks arose during the nine months ended 31 December. There were also no material changes to the business and other risks described in the securities report for the previous fiscal year.」
It states that there have been no material changes concerning fluctuations in raw-material and fuel prices and the inability to pass on costs. - FY2018-Q1RestatedAnnual report
「During the first quarter 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.」
It states that there have been no material changes concerning fluctuations in raw-material and fuel prices and the inability to pass on costs. - FY2017WorsenedAnnual report
「In addition to poor crop yields caused by abnormal weather associated with global warming and rising grain prices resulting from increased ethanol demand, these commodities have also become the subject of speculative trading, increasing the factors driving raw-material and fuel price fluctuations compared with the past.」
It explicitly states that the factors driving raw-material and fuel price fluctuations have increased from the past, including abnormal weather, ethanol demand and speculative trading. - FY2017-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.」
It states that there have been no material changes concerning fluctuations in raw-material and fuel prices and the inability to pass on costs. - FY2017-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.」
It states that there have been no material changes concerning fluctuations in raw-material and fuel prices and the inability to pass on costs. - FY2017-Q1RestatedAnnual report
「During the first quarter 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.」
It explicitly states that there have been no material changes overall in the risks associated with fluctuations in raw-material and fuel prices and the inability to pass on costs. - FY2016First statedAnnual report
「If the prices of these raw materials and fuels rise sharply, manufacturing costs will increase. If the increase cannot be fully absorbed through cost reductions from the introduction of new technologies and other activities, or cannot be passed on to selling prices because of market conditions, it may adversely affect the Group's operating results.」
Cost reductions, the introduction of new technologies and passing costs on to selling prices were identified as responses.