Decline in Profitability and Impairment Losses in the Carbon Fiber Composite Materials Business
First written in FY2018-Q3. 16 of 34 entries say "Mitigated", first in FY2020-Q1. Latest entry: 2026-08-06.
1 other company's latest entry also says "Mitigated".
- FY2026WorsenedAnnual report
「Aerospace applications are recovering steadily, but general industrial applications, including pressure vessel applications, entered an adjustment phase, while recovery in wind turbine blade applications was also delayed.」
Although the recovery of aerospace applications continued in the carbon fiber composite materials business, business profit declined due to adjustments in pressure vessel and wind turbine blade applications. - FY2026-H1WorsenedAnnual report
「Actual demand in aerospace applications was recovering, but the business was affected by inventory adjustments in the supply chain and an adverse foreign exchange impact due to the stronger yen. In general industrial applications, pressure vessel applications entered an adjustment phase. As a result, total revenue for the carbon fiber composite materials business decreased 11.4% year on year to ¥135.4 billion, while business profit decreased 19.6% to ¥9.4 billion.」
Although actual demand in aerospace recovered, profitability in the carbon fiber composite materials business deteriorated year on year due to inventory adjustments, the stronger yen and adjustments in pressure vessel applications. - FY2025MitigatedAnnual report
「As a result, total revenue for the carbon fiber composite materials business increased 3.3% from the previous fiscal year to ¥300.0 billion, while business profit increased 70.7% to ¥22.5 billion.」
With the recovery of aerospace applications and wind turbine blade applications, business profit in the carbon fiber composite materials business increased from ¥13.2 billion in the previous fiscal year to ¥22.5 billion despite the decline in profitability. - FY2025-H1MitigatedAnnual report
「Aerospace applications continued to recover steadily, while wind turbine blade applications also showed a gradual recovery. As a result, total revenue for the carbon fiber composite materials business increased 8.3% year on year to ¥152.8 billion, while business profit increased 54.4% to ¥11.7 billion.」
With the continued recovery of aerospace applications and a gradual recovery in wind turbine blade applications, business profit increased 54.4% year on year in the carbon fiber composite materials business despite the decline in profitability. - FY2024WorsenedAnnual report
「The carrying amounts of goodwill, customer-related assets and other assets related to the carbon fiber composite materials business in Missouri, U.S., and elsewhere (Zoltek Companies, Inc.) have been reduced to their recoverable amounts due to declining profitability resulting from weak demand for wind turbine blade applications.」
In the carbon fiber composite materials business, an impairment loss of ¥19,178 million was recorded on Zoltek-related goodwill, customer-related assets and other assets due to weak demand for wind turbine blade applications. Business profit also fell 17.2% year on year to ¥13.2 billion. - FY2024-Q3MitigatedAnnual report
「Product warranty costs include the costs recognized for replacing and repairing certain products for general industrial applications that our company previously manufactured and sold in the Carbon Fiber Composite Materials business and that may have defects.」
Product warranty expenses related to past carbon fiber composite materials products totaled ¥1,810 million, down from ¥3,452 million in the same period of the previous year. - FY2024-Q2MitigatedAnnual report
「Although wind turbine blade applications entered an adjustment phase, demand in aerospace applications showed signs of recovery, while pressure vessel applications expanded in general industrial applications. As a result, total revenue for the carbon fiber composite materials business increased 0.8% year on year to ¥141.1 billion, while business profit increased 35.9% to ¥7.6 billion.」
Due to the recovery trend in aerospace applications and the expansion of pressure vessel applications, business profit in the carbon fiber composite materials business increased 35.9% year on year, and improvement from the decline in profitability continued. - FY2024-Q1MitigatedAnnual report
「As a result, for the carbon fiber composite materials business as a whole, revenue increased 0.2% year on year to ¥68.7 billion, while business profit increased 13.8% to ¥2.7 billion.」
Business profit in the carbon fiber composite materials business increased 13.8% year on year, and the improvement from the decline in profitability through the previous fiscal year continued into the first quarter. - FY2023MitigatedAnnual report
「As a result, total revenue for the carbon fiber composite materials business increased 30.9% from the previous fiscal year to ¥281.7 billion, while business profit increased by ¥14.3 billion to ¥15.9 billion.」
Business profit in the carbon fiber composite materials business increased from ¥1.6 billion in the previous fiscal year to ¥15.9 billion, and the decline in profitability was mitigated by the recovery of aerospace applications, the expansion of pressure vessel applications and the pass-through of higher prices. Product warranty expenses for past products were recorded separately. - FY2023-Q3MitigatedAnnual report
「Demand in aerospace applications showed signs of recovery, while pressure vessel applications expanded in general industrial applications. The company also promoted price pass-through in response to higher raw material and fuel prices. As a result, total revenue for the carbon fiber composite materials business increased 37.9% year on year to ¥211.2 billion, while business profit increased by ¥13.7 billion to ¥11.8 billion.」
Business profit in the carbon fiber composite materials business improved from a loss in the previous year to ¥11.8 billion due to the expansion of aerospace and pressure vessel applications and the pass-through of higher prices. Product warranty expenses, however, were recorded separately. - FY2023-Q2WorsenedAnnual report
「Product warranty costs include the estimated future costs of replacing and repairing certain products for general industrial applications that our company previously manufactured and sold in the Carbon Fiber Composite Materials business and that may have defects.」
Although business profit in the carbon fiber composite materials business improved, product warranty expenses of ¥3,452 million were recorded for replacement and repair costs related to the possibility of defects in past products, giving concrete form to new quality and profitability risks. - FY2023-Q1MitigatedAnnual report
「As a result, for the carbon fiber composite materials business as a whole, revenue increased 41.4% year on year to ¥68.6 billion, while business profit increased ¥4.5 billion to ¥2.4 billion.」
Although the low build rate for aerospace applications and higher raw material and fuel prices remained, business profit improved from a loss in the previous year to a profit of ¥2.4 billion due to the expansion of general industrial and sporting applications and the pass-through of higher prices. - FY2022MitigatedAnnual report
「As a result, total revenue for the carbon fiber composite materials business increased 17.7% from the previous fiscal year to ¥215.2 billion, while business profit increased by ¥9.1 billion to ¥1.6 billion.」
Although weak aerospace applications and higher raw material prices remained, business profit improved from a loss in the previous fiscal year to a profit of ¥1.6 billion due to the expansion of wind turbine blade, pressure vessel and sporting applications. - FY2022-Q3MitigatedAnnual report
「Although the business was affected by higher raw material prices and the decline in the build rate of commercial passenger aircraft in aerospace applications, wind turbine blade applications continued to expand in general industrial applications, while sports applications remained strong. The company also promoted price pass-through. As a result, total revenue for the carbon fiber composite materials business increased 13.5% year on year to ¥153.2 billion, while business profit increased by ¥1.8 billion to a loss of ¥1.9 billion.」
Although declining profitability due to weak aircraft demand and higher raw material prices has continued, the loss in business profit narrowed from ¥3.7 billion in the previous year to ¥1.9 billion due to the expansion of wind turbine blade applications, strong sporting applications and the pass-through of higher prices. - FY2022-Q2WorsenedAnnual report
「In general industrial applications, wind turbine blade and sports applications performed well, but aerospace applications were affected by a decline in the build rate of commercial passenger aircraft. The business was also affected by higher raw material prices. As a result, total revenue for the carbon fiber composite materials business increased 10.8% year on year to ¥98.9 billion, while business profit decreased by ¥3.3 billion to a loss of ¥3.6 billion.」
Although revenue in the carbon fiber composite materials business increased, business profit was a loss of ¥3.6 billion due to weak aerospace applications and higher raw material prices, making the decline in profitability more pronounced. - FY2022-Q1WorsenedAnnual report
「In general industrial applications, wind turbine blade and sporting applications performed well, but aerospace applications were affected by a decline in the build rate for commercial passenger aircraft. The business was also affected by higher raw material prices. As a result, for the carbon fiber composite materials business as a whole, revenue increased 6.9% year on year to ¥48.5 billion, while business profit was a loss of ¥2.1 billion, down ¥3.8 billion year on year.」
Weak aircraft demand continued to affect profitability, as in the previous fiscal year, and higher raw material prices also contributed, resulting in a loss for the carbon fiber composite materials business. - FY2021WorsenedAnnual report
「As a result, total revenue for the carbon fiber composite materials business decreased 22.8% from the previous fiscal year to ¥182.9 billion, while business profit decreased by ¥30.1 billion to a loss of ¥7.5 billion.」
In the carbon fiber composite materials business, whose profitability had improved in the previous fiscal year, business profit turned negative due to weak aircraft demand, and an impairment loss on equipment was also recorded. - FY2021-Q3WorsenedAnnual report
「During the cumulative third-quarter period, in the carbon fiber composite materials business, the carrying amounts of tangible fixed assets and other assets of a US subsidiary were reduced to their recoverable amounts because profitability declined as a result of sluggish aircraft demand. The resulting reduction of ¥24,981 million was recognized as an impairment loss under other expenses in the condensed interim consolidated statement of profit or loss. The recoverable amount was measured based on value in use.」
Declining profitability has continued in the carbon fiber composite materials business, and impairment losses at a U.S. subsidiary have totaled ¥24,981 million. Business profit has also fallen ¥21.8 billion year on year into negative territory. - FY2021-Q2WorsenedAnnual report
「During the cumulative second-quarter period, in the carbon fiber composite materials business, the carrying amounts of tangible fixed assets and other assets of a US subsidiary were reduced to their recoverable amounts because profitability declined as a result of sluggish aircraft demand. The resulting reduction of ¥24,004 million was recognized as an impairment loss under other expenses in the condensed interim consolidated statement of profit or loss. The recoverable amount was measured based on value in use.」
Profitability in the carbon fiber composite materials business, which had improved in the previous fiscal year, deteriorated again due to weak aircraft demand, and an impairment loss of ¥24,004 million was recorded. - FY2021-Q1WorsenedAnnual report
「In general industrial applications, wind turbine blade and enclosure applications remained solid, but aerospace applications were affected by a decline in the build rate of large passenger aircraft. As a result, total revenue for the carbon fiber composite materials business decreased 26.2% year on year to ¥45.4 billion, while business profit decreased 73.4% to ¥1.7 billion.」
In the carbon fiber composite materials business, whose profitability had improved in the previous fiscal year, business profit fell 73.4% year on year due to a decline in the build rate for large passenger aircraft caused by the impact of COVID-19, and the risk of declining profitability worsened again. - FY2020MitigatedAnnual report
「As a result, total revenue for the carbon fiber composite materials business increased 9.7% from the previous fiscal year to ¥236.9 billion, while operating income increased 81.6% to ¥21.0 billion.」
Although profitability in the carbon fiber composite materials business had declined during the previous fiscal year due to higher raw material prices, intensified competition and acquisition-related costs, among other factors, the business recorded higher revenue and operating income, with operating income increasing 81.6%. - FY2020-Q3MitigatedAnnual report
「As a result, for the carbon fiber composite materials business as a whole, revenue increased 16.8% year on year to ¥180.2 billion, while operating income increased 98.5% to ¥16.6 billion.」
Although profitability had declined through the previous fiscal year due to higher raw material prices, intensified competition and acquisition-related costs, among other factors, revenue and operating income increased during the nine-month period, with operating income up 98.5% year on year. - FY2020-Q2MitigatedAnnual report
「As a result, for the carbon fiber composite materials business as a whole, revenue increased 24.9% year on year to ¥120.5 billion, while operating income increased 79.9% to ¥10.7 billion.」
Although profitability had declined through the previous fiscal year due to higher raw material prices, intensified competition and acquisition-related costs, among other factors, revenue and operating income increased this quarter, with operating income up 79.9% year on year. - FY2020-Q1MitigatedAnnual report
「As a result, for the carbon fiber composite materials business as a whole, revenue increased 34.4% year on year to ¥61.5 billion, while operating income increased 90.4% to ¥5.9 billion.」
Although profitability had declined through the previous fiscal year due to higher raw material prices and intensified competition, revenue and operating income increased this quarter, with operating income up 90.4% year on year. - FY2019WorsenedAnnual report
「As a result, for the carbon fiber composite materials business as a whole, revenue increased 21.3% from the previous fiscal year to ¥215.9 billion, while operating income fell 44.4% to ¥11.5 billion.」
Although the carbon fiber composite materials business expanded its revenue base following the acquisition, operating income fell 44.4% due to higher raw material prices, intensified competition and new-project launch costs, among other factors, and the decline in profitability worsened in the full-year results. - FY2019-Q3RestatedAnnual report
「In addition to the effects of higher raw material prices and intensified competition, costs associated with launching new projects increased at overseas composites subsidiaries, and costs related to the acquisition of all shares of TenCate Advanced Composites Holding B.V. were also incurred. As a result, for the carbon fiber composite materials business as a whole, revenue increased 20.4% year on year to ¥154.3 billion, while operating income fell 44.4% to ¥8.4 billion.」
Although revenue increased in the carbon fiber composite materials business, declining profitability due to higher raw material prices, intensified competition, new-project launch costs and acquisition-related costs has continued. - FY2019-Q2RestatedAnnual report
「In addition to the effects of higher raw material prices and intensified competition, costs associated with launching new projects increased at overseas composites subsidiaries, and costs related to the acquisition of all shares of TenCate Advanced Composites Holding B.V. were also incurred. As a result, for the carbon fiber composite materials business as a whole, revenue increased 13.7% year on year to ¥96.5 billion, while operating income fell 43.0% to ¥6.0 billion.」
Although the carbon fiber composite materials business recorded higher revenue, declining profitability due to higher raw material prices, intensified competition, new-project launch costs and acquisition-related costs has continued. - FY2019-Q1WorsenedAnnual report
「In addition to the effects of higher raw material prices and intensified competition, costs related to the acquisition of all shares of TenCate Advanced Composites Holding B.V. were incurred. As a result, for the carbon fiber composite materials business as a whole, revenue increased 7.0% year on year to ¥45.7 billion, while operating income fell 45.7% to ¥3.1 billion.」
Although the carbon fiber composite materials business recorded higher revenue, operating income fell 45.7% year on year due to higher raw material prices, intensified competition and acquisition-related costs, and declining profitability has continued. - FY2018WorsenedAnnual report
「During the fiscal year, the carrying amounts of business-use assets, primarily those whose profitability had declined, were reduced to their recoverable amounts, and the resulting decrease of ¥3,944 million was recorded as an impairment loss under extraordinary losses.」
Impairment losses in the carbon fiber composite materials business totaled ¥2,924 million for the year, while operating income in the business also fell 13.3% year on year, indicating that the risk of declining profitability increased in the full-year results. - FY2018-Q3MaterialisedAnnual report
「During the nine-month period ended 31 December, the carrying amounts of business-use assets whose profitability had declined in the carbon fiber composite materials business were reduced to their recoverable amounts, and the resulting decrease of ¥2,617 million was recorded as an impairment loss under extraordinary losses.」
The carbon fiber composite materials business incurred an actual decline in the profitability of its business-use assets, resulting in an impairment loss of ¥2,617 million.