Inventory Holding-Period and Slow-Moving Inventory Risks Associated with Retail Sales Expansion
First written in FY2017. 10 of 12 entries say "Mitigated", first in FY2020. Latest entry: 2026-10-05.
The whole theme swung hardest in 2022: 14 of 40 companies on the "Worse" side.
14 other companies' latest entry also says "Mitigated".
- FY2026-H1MitigatedAnnual report
「By thoroughly managing the progress of inventory listed on the website and enhancing its inventory management structure, we achieved an improvement in inventory turnover.」
The company states that it improved inventory turnover by enhancing its inventory management structure, as a response to the former risks of inventory remaining unsold and being held. - 2026-06-29MitigatedRevision of earnings forecasts
「Improving inventory turnover through more sophisticated inventory management」
The company describes more sophisticated inventory management and improved inventory turnover, indicating a reduction in inventory accumulation risk. - FY2023MitigatedAnnual report
「To maintain sound management and achieve management focused on cash flow, we will work to optimize inventory levels through thorough inventory control.」
As a response to the risk of long-held inventory, the company has stated its policy of thoroughly managing inventory and optimizing inventory levels. - FY2022-Q3MitigatedAnnual report
「However, higher unit sales prices for vehicles resulting from retail expansion and other factors, as well as expanded sales channels to motorcycle users, have produced actual sales and profit realization even for vehicles with long inventory periods. Accordingly, the Company changed its estimation method to a more refined approach that takes into account sales performance and other factors.」
The company continues to use a more refined method for estimating inventory write-downs that reflects its track record of selling long-held inventory and securing profits. - FY2022-Q2MitigatedAnnual report
「However, higher unit sales prices for vehicles resulting from retail expansion and other factors, as well as expanded sales channels to motorcycle users, have produced actual sales and profit realization even for vehicles with long inventory periods. Accordingly, the Company changed its estimation method to a more refined approach that takes into account sales performance and other factors.」
On the assumption that there is a track record of selling long-held inventory and securing profits, the company is refining its method for estimating inventory write-downs. - FY2022-Q1MitigatedAnnual report
「However, higher unit sales prices for vehicles resulting from retail expansion and other factors, as well as expanded sales channels to motorcycle users, have produced actual sales and profit realization even for vehicles with long inventory periods. Accordingly, the Company changed its estimation method to a more refined approach that takes into account sales performance and other factors.」
Based on confirmed sales and profit realization for long-held inventory, it has refined its method for assessing the risk of slow-moving inventory. - FY2020MitigatedAnnual report
「The Company is strengthening its inventory monitoring functions because expanding retail sales results in a certain inventory holding period compared with the previous wholesale business model. However, if a large volume of inventory with long holding periods arises, it could affect the Company's business performance and financial condition.」
While continuing to disclose the risk of long-stagnant inventory associated with retail expansion, it explicitly identifies strengthening inventory monitoring as a mitigation measure. - FY2019RestatedAnnual report
「Expanding retail sales results in a certain inventory holding period compared with the previous business model of wholesale sales. If a large volume of inventory with long holding periods arises, it could affect the Company's business performance and financial condition.」
It continues to disclose the risk of longer inventory holding periods and slow-moving inventory associated with retail expansion. - FY2017First statedAnnual report
「Expanding retail sales results in a certain inventory holding period compared with the previous business model of wholesale sales through dealer auctions. If a large volume of inventory with long holding periods arises, it could affect the Company's business performance and financial condition.」
With the expansion of retail sales, it identifies longer inventory holding periods than in wholesale and the potential emergence of long-stagnant inventory as new risks.