Excess inventory caused by misjudging demand
First written in FY2016. 7 of 26 entries say "Mitigated", first in FY2025. Latest entry: 2026-09-30.
Bruno moved to the "Worse" side of this theme in 2018, 4 years before the typical company in this theme (2022).
The whole theme swung hardest in 2022: 14 of 40 companies on the "Worse" side.
16 other companies' latest entry also says "Restated".
- 2026-09-30RestatedManagement Planning
「需要動向を見誤った場合、余分な在庫を抱える可能性、および滞留在庫について滞留期間や販売可能価額を基準として評価減を実施しているため、滞留在庫が増加する可能性」
需要見誤りによる過剰・滞留在庫のリスクと、発注数量の最小化による対応を再確認している。 - FY2026MitigatedAnnual report
「This was due to a decrease in merchandise and finished goods (¥1,048 million), among other factors.」
The merchandise and finished goods balance decreased by ¥1,048 million, from ¥2,739 million to ¥1,690 million, while cash flows from operating activities also improved from an inflow of ¥497 million to an inflow of ¥2,692 million. - FY2026-H1MitigatedAnnual report
「This was mainly due to decreases in inventories (¥1,146 million), and increases in trade payables and other liabilities (¥681 million) and contract liabilities (¥88 million), among other factors, despite an increase in trade receivables and other receivables (¥822 million).」
Merchandise and finished goods decreased by ¥1,126 million, and cash flows from operating activities improved from an outflow of ¥599 million in the same period of the previous year to an inflow of ¥1,896 million, due to the reduction in inventories. - FY2025MitigatedAnnual report
「Merchandise and finished goods 2,756 2,739 Raw materials and supplies 261 271」
The merchandise and finished goods balance decreased from ¥2,756 million to ¥2,739 million, while the write-down of carrying value related to inventory valuation also declined from ¥74 million in the previous period to ¥41 million. - FY2025-H1Decrease in merchandise inventoryAnnual report
「This was due to increases in notes and accounts receivable (¥927 million), raw materials and supplies (¥35 million), and other current assets (¥174 million), among other factors, despite decreases in cash and deposits (¥126 million), merchandise and finished goods (¥132 million), and short-term loans (¥500 million).」
Merchandise and finished goods decreased by ¥132 million, while raw materials and supplies increased by ¥35 million. The company does not explicitly describe this as excess inventory. - FY2024Uncertainty in inventory valuation and write-downs of carrying valueAnnual report
「Merchandise and finished goods ¥2,756 million Raw materials and supplies ¥261 million」
The company recorded ¥2,756 million in merchandise and finished goods and ¥261 million in raw materials and supplies, and explained that additional valuation losses may arise if net realizable value declines due to demand forecasts or inventory becoming slow-moving. - FY2024-Q3Continued decrease in merchandise inventoryAnnual report
「Merchandise and finished goods amounted to ¥2,763 million, and raw materials and supplies amounted to ¥252 million.」
At the end of the third quarter, merchandise and finished goods amounted to ¥2,763 million and raw materials and supplies to ¥252 million. The merchandise inventory balance decreased from the previously disclosed ¥2,888 million, but the company does not explicitly describe this as excess inventory. - FY2024-Q2Decrease in merchandise inventory and recognition of raw materials balanceAnnual report
「The main components were cash and deposits of ¥1,611 million, notes and accounts receivable of ¥2,001 million, merchandise and finished goods of ¥2,888 million, and short-term loans of ¥1,569 million.」
Merchandise and finished goods decreased from ¥3,467 million in the first quarter reported after the change in the scope of consolidation to ¥2,888 million in the second quarter. Raw materials and supplies amounted to ¥379 million, with the composition of inventories disclosed. - FY2024-Q1Inventory balance after the change in the scope of consolidationAnnual report
「The main components were cash and deposits of ¥2,454 million, notes and accounts receivable of ¥1,373 million, merchandise and finished goods of ¥3,467 million, and short-term loans of ¥1,169 million.」
Under the new scope of consolidation, which includes Japan Gals, the company recorded ¥3,467 million in merchandise and finished goods and ¥313 million in raw materials and supplies. Since the previous consolidated fiscal year was not consolidated, no simple comparison was made. - FY2023Continued Increase in InventoriesAnnual report
「Current assets amounted to ¥7,642 million, compared with ¥5,568 million at the end of the previous fiscal year, an increase of ¥2,074 million. This was due to increases in cash and deposits (¥1,147 million) and merchandise and finished goods (¥108 million), among other factors, despite a decrease in accounts receivable (¥83 million).」
Merchandise and finished goods increased by ¥108 million. Inventories continue to rise, but the company does not explicitly describe this as excess inventory. - FY2023-Q3Continued Increase in InventoriesAnnual report
「Merchandise and finished goods increased from ¥2,189 million to ¥2,316 million.」
Merchandise and finished goods increased by ¥127 million from the end of the previous fiscal year. The company does not explicitly describe this as excess inventory. - FY2023-Q2Continued Increase in InventoriesAnnual report
「Current assets amounted to ¥8,268 million, compared with ¥7,476 million at the end of the previous consolidated fiscal year, an increase of ¥791 million. This was due to increases in cash and deposits (¥38 million), resulting from higher borrowings and other factors, notes and accounts receivable (¥750 million), and merchandise and finished goods (¥75 million), among other factors.」
Merchandise and finished goods increased by ¥75 million, and inventories continue to rise. However, the company does not explicitly describe this as excess inventory. - FY2023-Q1Continued Increase in InventoriesAnnual report
「Current assets amounted to ¥8,732 million, compared with ¥7,476 million at the end of the previous consolidated fiscal year, an increase of ¥1,255 million. This was due to increases in cash and deposits (¥335 million), resulting from higher borrowings and other factors, accounts receivable (¥69 million), and merchandise and finished goods (¥803 million), among other factors.」
Merchandise and finished goods increased by ¥803 million, and the increase in inventories and its funding burden continue. However, the company does not explicitly describe this as excess inventory. - FY2022Increase in inventories and explicit disclosure of valuation uncertaintyAnnual report
「Merchandise and finished goods: ¥2,692 million」
Merchandise and finished goods increased from ¥1,895 million to ¥2,692 million. The company provides detailed discussion of uncertainty regarding slow-moving inventory and forecasts of future demand, as well as the possibility of additional valuation losses, as significant accounting estimates concerning inventory valuation. - FY2022-Q3Continued Increase in InventoriesAnnual report
「Current assets amounted to ¥7,631 million, compared with ¥6,848 million at the end of the previous consolidated fiscal year, an increase of ¥782 million. This was due to increases in accounts receivable (¥334 million), merchandise and finished goods (¥982 million), and other current assets (¥315 million), among other factors, despite a decrease in cash and deposits (¥923 million).」
Merchandise and finished goods increased by ¥982 million, and the asset and funding burden from higher inventories continues. The company does not explicitly describe this as excess inventory. - FY2022-Q2Cash outflow due to an increase in inventoriesAnnual report
「Current assets amounted to ¥8,856 million, compared with ¥6,848 million at the end of the previous consolidated fiscal year, an increase of ¥2,008 million. This was due to increases in notes and accounts receivable (¥912 million) and merchandise and finished goods (¥1,092 million), among other factors, despite a decrease in cash and deposits (¥264 million).」
Merchandise and finished goods increased by ¥1,092 million, and the increase in inventories was a ¥1,073 million use of cash in cash flows from operating activities. The company does not explicitly describe this as excess inventory. - FY2020MaterialisedAnnual report
「This was due to a decrease in merchandise and finished goods inventories (¥603 million), among other factors, as a result of thorough inventory management and reductions in slow-moving inventory.」
Inventory balances decreased by ¥603 million, while write-downs of the carrying value of inventories due to declining profitability amounted to ¥82 million, indicating that the impact of excess and slow-moving inventory occurred over the full year. - FY2019MaterialisedAnnual report
「The write-downs of the carrying value of inventories held for ordinary sales due to declining profitability (△ represents reversals) were as follows. Cost of sales: ¥27 million」
The company recorded a ¥27 million write-down of the carrying value of inventories related to excess and slow-moving inventory. - FY2018MaterialisedAnnual report
「The Group writes down slow-moving inventory based on the period it has been held and its net realizable value. If slow-moving inventory increases, this may affect the Group's operating results. The write-downs of the carrying value of inventories held for ordinary sales due to declining profitability (△ represents reversals) were as follows. Cost of sales: ¥43 million」
As a measure to address inventory risk, the company actually recorded a ¥43 million write-down of the carrying value of inventories due to declining profitability. - FY2017RestatedAnnual report
「Despite the company's measures, excess inventory may arise.」
The company reiterates the risk of excess inventory if demand trends are misjudged, along with measures involving minimized order quantities and write-downs of slow-moving inventory. - FY2016First statedAnnual report
「Despite the company's measures, excess inventory may arise.」
The company identifies minimizing order quantities and writing down slow-moving inventory as measures to address the issue.