Risks of Insufficient Domestic Vegetable Supplies and Price Volatility
First written in FY2023. 5 of 11 entries say "Materialised", first in FY2025-Q1. Latest entry: FY2027-H1.
The whole theme swung hardest in 2022: 45 of 64 companies on the "Worse" side.
26 other companies' latest entry also says "Materialised".
- FY2027-H1MaterialisedAnnual report
「Profit declined as a result of lower sales and higher manufacturing costs for packaging materials and other items, as well as the impact of higher prices for raw-material vegetables caused by adverse weather, including lower yields of Chinese cabbage due to extreme summer heat and low rainfall and delayed cucumber growth due to rainy and cool weather in early summer.」
Lower Chinese cabbage yields due to extreme heat and low rainfall and delayed cucumber growth due to rainy and cool weather occurred, and the resulting surge in raw-material vegetable prices is stated to have directly affected profit in the interim period. - FY2026MitigatedAnnual report
「Profit increased because purchase prices for vegetables used as raw materials were more stable than initially forecast, the planned optimization of sales conditions, including product price revisions and discounts for products such as Gohan ga Susumu Kimchi, proceeded as scheduled, and raw material, labor and logistics costs and other expenses were contained.」
Regarding the profit pressure from surging prices for vegetables used as raw materials that had actually occurred through the previous fiscal year, the company states that purchase prices were more stable than initially forecast and related costs were also contained. - 2026-04-14MitigatedEarnings
「The purchase prices of raw vegetables stabilized at lower levels than initially forecast.」
The disclosure states that raw vegetable prices, which had affected profit through the previous period, were more stable during the current period than initially forecast. - FY2026-H1MitigatedAnnual report
「Profit increased due to the effect of higher sales, more stable purchase prices for vegetables used as raw materials than initially forecast, the planned progress in optimizing sales conditions, including product price revisions and discounts for products such as Gohan ga Susumu Kimchi, and the containment of raw material, labor and logistics costs.」
The company states that purchase prices for vegetables used as raw materials were more stable than initially forecast, relatively reducing the profit pressure from surging vegetable prices that had actually occurred through the previous year. - FY2025MaterialisedAnnual report
「Profit declined due to higher prices for vegetables used as raw materials, including Chinese cabbage and cucumbers, caused by high temperatures, unsettled weather from summer onward and stronger demand amid shortages of leafy vegetables, as well as higher logistics and labor costs and lower sales.」
The company states that high temperatures, unsettled weather and shortages of leafy vegetables drove up prices for vegetables used as raw materials, including Chinese cabbage and cucumbers, and actually contributed to lower full-year profit. - FY2025-H1MaterialisedAnnual report
「Profit declined due to higher prices for vegetables used as raw materials, including Chinese cabbage and cucumbers, caused by weather factors such as unsettled weather in early spring and high temperatures in summer, as well as lower sales and higher logistics and labor costs.」
The company states that unsettled weather in early spring and high summer temperatures drove up prices for vegetables used as raw materials, including Chinese cabbage and cucumbers, and, together with higher logistics and labor costs, actually contributed to lower interim profit. - FY2025-Q1MaterialisedAnnual report
「Profit declined due to higher prices for vegetables used as raw materials, including Chinese cabbage and cucumbers, caused by weather factors such as a mild winter and unsettled weather in early spring, as well as lower sales and higher logistics costs.」
The company states that a mild winter and unsettled weather in early spring drove up prices for vegetables used as raw materials, including Chinese cabbage and cucumbers, affecting profit. - FY2024WorsenedAnnual report
「In recent years, the frequency of abnormal weather has increased due to global warming and other factors, and the scale of such events has also expanded. The likelihood of prolonged and widespread effects on the growth of domestically grown vegetables is increasing. If manufacturing cost increases are prolonged, including as a result of persistently high purchase prices for domestically grown vegetables, profit margins may decline for an extended period and the group may incur an operating loss, which could affect its operating results and financial condition.」
The risk description for abnormal weather has been expanded to cover increases in frequency and scale, prolonged and widespread effects, prolonged manufacturing cost increases and the possibility of operating losses. - FY2023First statedAnnual report
「If abnormal weather, such as heavy rainfall or insufficient sunshine in raw material-producing regions, causes poor or delayed growth of domestically grown vegetables, the company may be unable to secure the quantities required, resulting in lost sales opportunities. Higher purchase prices and lower yields may also increase manufacturing costs.」
While describing measures such as contract cultivation and diversification of production areas, the company identifies difficulty securing volumes, higher purchase prices and lower yields due to abnormal weather as risks.