Raw Material and Fuel Price Volatility
First written in FY2016. 14 of 28 entries say "Materialised", first in FY2019-Q2. Latest entry: 2026-08-07.
Tokushu Tokai Paper moved to the "Worse" side of this theme in 2018, 1 year after the typical company in this theme (2017).
The whole theme swung hardest in 2025: 5 of 6 companies on the "Worse" side.
0 other companies' latest entry also says "Materialised".
- 2026-08-07MaterialisedEarnings
「For our core products, containerboard and kraft paper, sales volumes exceeded the previous year’s level because sales to Nippon Tokai Industrial Paper Supply Co., Ltd. remained firm. Profit, however, was below the previous year’s level owing to higher costs for raw materials and fuel.」
Higher raw material and fuel costs reduced profit in the industrial materials business year on year. - FY2026MaterialisedAnnual report
「Profit declined year on year due to higher raw material costs in addition to lower sales.」
Higher raw material costs actually emerged as a factor behind the decline in profit in the specialty materials business for the fiscal year. - 2026-05-14MaterialisedEarnings
「Profit declined year on year due to higher raw material costs in addition to lower sales.」
Higher raw material costs emerged as a factor behind lower profit in the specialty materials business. - FY2026-H1MaterialisedAnnual report
「In terms of profit, profit declined year on year due to lower revenue and higher raw fuel and material costs.」
Higher raw fuel and material costs actually became a factor behind the decline in profit in the specialty materials business. - FY2025MitigatedAnnual report
「In terms of profit, raw material costs trended upward during the period due to pulp market conditions, the weaker yen and other factors, but profit increased year on year due to a combination of factors, including sales volume, unit prices and fixed costs.」
While raw material costs continued to rise due to pulp market conditions and the weaker yen, a combination of factors, including sales volume, unit prices and fixed costs, resulted in higher profit in the specialty materials business. - FY2025-H1MitigatedAnnual report
「In terms of profit, raw material costs trended upward during the period due to pulp market conditions, the weaker yen and other factors, but profit increased year on year due to a combination of factors, including sales, materials and fixed costs.」
Although raw material costs trended upward due to pulp market conditions and the weaker yen, a combination of factors related to sales, materials and fixed costs resulted in higher profit in the specialty materials business year on year. - FY2024-Q3MaterialisedAnnual report
「In terms of profit, profitability has been recovering since the third quarter as price revisions took effect. However, because the yen remained weak, the issue price of imported pulp to the plants did not decline as much as assumed, resulting in lower profit year on year.」
Profitability began to recover following the price revisions, but the weaker yen prevented the issue price of imported pulp from declining as much as assumed, resulting in lower profit. - FY2024-Q2MaterialisedAnnual report
「In terms of profit, the continued depreciation of the yen and the increased cost of sales resulting from the release of inventory manufactured using raw fuels and materials purchased at high prices in the previous fiscal year resulted in lower profit year on year.」
The weaker yen and the increase in the cost of sales from inventory manufactured using high-priced raw fuels and materials in the previous fiscal year actually resulted in lower profit in the specialty materials business. - FY2024-Q1MaterialisedAnnual report
「In terms of profit, the continued depreciation of the yen and the increased cost of sales resulting from the release of inventory manufactured using raw fuels and materials purchased at high prices in the previous fiscal year resulted in lower profit year on year.」
The weaker yen and the release of inventory manufactured using high-priced raw fuels and materials in the previous fiscal year increased the cost of sales, which actually resulted in lower profit in the specialty materials business. - FY2023MaterialisedAnnual report
「In terms of profit, the Company pursued thorough cost reductions, but profit fell below the level recorded in the same period of the previous year due to the substantial increase in prices for pulp, fuel and other items.」
Higher prices for pulp, fuel and other items reduced profit in the specialty materials business year on year despite cost-reduction efforts. - FY2023-Q3MaterialisedAnnual report
「On the cost side, the Company pursued thorough cost reductions, but profit fell below the level recorded in the same period of the previous year due to higher prices for pulp, fuel and other items.」
Higher prices for pulp, fuel and other items reduced profit year on year despite cost-reduction efforts. The Company also reported lower profit in the household products business due to higher raw fuel and material prices and other factors. - FY2023-Q2WorsenedAnnual report
「On the cost side, the Company pursued thorough cost reductions, but profit fell below the level recorded in the same period of the previous year due to the impact of sharply higher purchase prices for pulp, fuel, papermaking chemicals and other items.」
Papermaking chemicals are explicitly included among the raw fuels and materials affected by price surges. Despite efforts to reduce costs, operating profit in the specialty materials business was ¥718 million, down 48.4% year on year. - FY2023-Q1MaterialisedAnnual report
「On the cost side, the Company pursued thorough cost reductions, but profit fell below the level recorded in the same period of the previous year due to higher purchase prices for pulp, fuel and other items.」
The Company states that higher purchase prices for pulp, fuel and other items actually reduced profit year on year. - FY2022WorsenedAnnual report
「Amid rapidly changing geopolitical risks and recent foreign exchange trends, uncertainty surrounding Japanese companies' procurement of raw fuel and materials has risen sharply. As a result, prices for various raw fuels and materials, including heavy fuel oil, have surged, posing a profit pressure factor and a risk for the Group's paper business as a whole. The Group recognizes this as an issue requiring attention.」
Against a backdrop of geopolitical risks and foreign exchange trends, raw fuel and material prices have continued to rise sharply, clearly emerging as a factor weighing on profit. - FY2022-Q3WorsenedAnnual report
「The sharp rise in raw fuel and material prices has gradually begun to affect the Group's earnings since the third quarter. Together with concerns about logistics, including container shipping, this could weigh on earnings not only in the fourth quarter but also into the next fiscal year.」
The impact of sharply higher raw fuel and material prices began to emerge in earnings from the third quarter, and, together with logistics concerns, may weigh on earnings from the fourth quarter into the following fiscal year. - FY2022-Q2MaterialisedAnnual report
「The business environment surrounding the Group during the six months ended the second quarter improved substantially from the previous fiscal year, which was affected by COVID-19, and demand recovered. As a result, revenue increased year on year. In terms of profit, although the impact of sharply higher raw fuel and material prices began to emerge, operating profit increased substantially year on year, supported by the overall recovery in sales volume and the effects of cost and fixed-cost reductions implemented across the Group in the previous fiscal year.」
The Company states that the impact of sharply higher raw fuel and material prices had begun to emerge. At the same time, operating profit increased substantially due to the recovery in sales volume and the effects of cost and fixed-cost reductions. - FY2022-Q1WorsenedAnnual report
「On the cost side, although pulp purchase prices were trending upward, the Company pursued thorough cost reductions, and profit substantially exceeded the level recorded in the same period of the previous year.」
The Company states that pulp purchase prices were trending upward, again highlighting the risk of higher raw fuel and material prices. At the same time, cost reductions limited the impact on profit. - FY2021-Q3MitigatedAnnual report
「On the cost side, the Company reduced costs through lower prices for major raw fuel and materials, including pulp, and thorough expense reductions. As a result, profit declined only slightly from the same period of the previous year.」
Lower prices for major raw fuel and materials and cost savings from expense reductions supported the improvement in profit, easing the pressure from higher raw fuel and material prices. - FY2021-Q2MitigatedAnnual report
「In terms of profit, lower prices for major raw materials, including pulp, and the cost savings from expense reductions had a positive effect, but profit declined due in part to the substantial decrease in revenue.」
Lower prices for major raw materials and cost savings from expense reductions supported profit, easing the pressure from higher raw fuel and material prices. However, profit declined in the specialty materials business due to lower revenue. - FY2021-Q1MitigatedAnnual report
「In terms of profit, despite a substantial decline in revenue, profit increased due to lower prices for major raw materials, including pulp, ongoing cost reductions, and the substantial allocation of manufacturing fixed costs to inventory resulting from the significant decline in sales volume.」
Lower prices for major raw materials contributed to the increase in profit, while the pressure from higher raw fuel and material prices eased during the quarter. - FY2020-Q3RestatedAnnual report
「In terms of profit, earnings declined substantially due in part to inventory write-downs under the lower-of-cost-or-market method associated with the softening of pulp market conditions from the summer onward, as well as higher depreciation and other expenses associated with the start-up of the new gas engine at the Mishima Plant.」
Inventory write-downs under the lower-of-cost-or-market method associated with softer pulp market conditions, together with raw material and equipment-related costs, continued to be major factors behind the substantial decline in earnings in the Specialty Materials business. - FY2020-Q2WorsenedAnnual report
「In terms of profit, earnings declined substantially due in part to the use of high-cost inventories of raw materials, including pulp, inventory write-downs under the lower-of-cost-or-market method following the deterioration of pulp market conditions from the summer onward, and higher depreciation expense associated with the start-up of the new gas engine at the Mishima Plant.」
In addition to the use of high-cost inventories of raw materials, inventory write-downs under the lower-of-cost-or-market method arose from the deterioration of pulp market conditions from the summer onward, becoming major factors behind the substantial decline in earnings in the Specialty Materials business. - FY2020-Q1MaterialisedAnnual report
「In terms of profit, earnings declined substantially due in part to the use of high-cost inventories of raw materials, including pulp, and higher depreciation expense associated with the start-up of the new gas engine at the Mishima Plant.」
The use of high-cost inventories of raw materials became a major factor behind the substantial decline in earnings in the Specialty Materials business, and the impact of raw material prices materialized in operating results. - FY2019-Q3MaterialisedAnnual report
「In terms of profit, both products reported lower earnings due to soaring raw material prices, among other factors.」
Soaring raw material prices, among other factors, continued to weigh on earnings for both paper towels and toilet paper. - FY2019-Q2MaterialisedAnnual report
「Sales volume and prices for toilet paper remained stable. As a result, segment net sales were ¥8,948 million, down 0.1% year on year, while operating profit was ¥118 million, down 69.6% year on year, due to higher raw material and fuel prices, among other factors.」
Higher raw material and fuel prices, among other factors, reduced operating profit in the Consumer Products business, resulting in a 69.6% year-on-year decline. The impact of raw material and fuel price fluctuations has materialized in operating results. - FY2018RestatedAnnual report
「Waste paper, wood chips, pulp, heavy oil, and other raw materials and fuels used in the Group's main business, papermaking, are heavily affected by international market conditions and domestic supply and demand. Fluctuations in their prices resulting from these factors could affect the Group's operating results and financial position.」
The company continues to identify fluctuations in the prices of raw materials and fuels, including waste paper, wood chips, pulp, and heavy oil, as a risk. - FY2017RestatedAnnual report
「Rising prices of raw materials and fuels, including waste paper」
The company continues to recognize fluctuations and increases in raw material and fuel prices as risks in the operating environment. - FY2016First statedAnnual report
「Waste paper, wood chips, pulp, heavy oil, and other raw materials and fuels used in the Group's main business, papermaking, are heavily affected by international market conditions and domestic supply and demand. Fluctuations in their prices resulting from these factors could affect the Group's operating results and financial position.」
The company identifies price fluctuations for waste paper, wood chips, pulp, and heavy oil as business risks.