Deterioration in product demand and market conditions due to the sluggish domestic economy and intensifying competition
First written in FY2016. 15 of 27 entries say "Materialised", first in FY2018-Q1. Latest entry: FY2026.
Rengo moved to the "Worse" side of this theme in 2017, 8 years before the typical company in this theme (2025).
0 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「In the paperboard industry, production volume fell below the previous year's level due to changes in packaging formats, continued lightweighting and other factors. In the corrugated packaging industry, production volume was slightly below the previous year's level due to the entrenched trend toward saving amid higher prices and the effects of record heat and other factors. In the paperboard packaging industry, production volume fell below the previous year's level because demand for food was sluggish and the gift-related market continued to contract.」
Changes in packaging formats and lightweighting, higher prices, record heat, weak food demand and contraction of the gift market, among other factors, actually resulted in paperboard, corrugated packaging and paperboard packaging production volumes falling below the previous year's levels. - FY2026-H1MaterialisedAnnual report
「In the paperboard industry, production volume fell below the previous year's level due to weaker consumer sentiment and sluggish exports. In the corrugated packaging industry, production volume was slightly below the previous year's level because demand for fresh produce was weak due to unfavorable weather and other factors, despite firm demand for daily necessities and mail-order and delivery applications. In the paperboard packaging industry, production volume fell below the previous year's level as demand for food and daily necessities remained firm, but consumers continued to refrain from purchasing luxury goods due to higher prices and the gift-related market continued to contract. In the heavy packaging industry, production volume fell below the previous year's level as agriculture- and petrochemical-related demand declined.」
Weak demand for exports, fresh produce, luxury goods and gifts, and agriculture- and petrochemical-related products has actually materialized in production volumes below the previous year's levels for multiple products. - FY2025RestatedAnnual report
「In the paperboard industry, production volume was at the previous year's level, supported by firm domestic demand despite sluggish exports. In the corrugated packaging industry, production volume was at the previous year's level as demand for processed foods, including beverages, remained strong, while demand for fresh produce was weak due to unfavorable weather. In the paperboard packaging industry, production volume was at the previous year's level as packaging demand for souvenirs and regional specialty products remained firm due to increased human mobility, despite the continued contraction of the gift-related market.」
Domestic demand is being supported by food, processed food and human-mobility-related applications, while exports, fresh produce and gifts remain weak, and demand continues to diverge by field. - FY2025-H1Diverging demand trends by fieldAnnual report
「In the paperboard industry, production volume was at the previous year's level, supported by signs of an economic recovery despite some stagnation in personal consumption. In the corrugated packaging industry, production volume was also at the previous year's level as demand remained firm across a broad range of areas, although demand for fresh produce was weak due to unfavorable weather. In the paperboard packaging industry, production volume was at the previous year's level as demand associated with increased human mobility and for displays such as POP materials and promotional products recovered, despite the continued contraction of the gift-related market. In the flexible packaging industry, production volume exceeded the previous year's level due to the recovery in inbound tourism and event-related demand. In the heavy packaging industry, production volume fell below the previous year's level as demand related to petrochemicals declined.」
Paperboard, corrugated packaging and paperboard packaging were generally at the previous year's levels, while flexible packaging increased. Heavy packaging fell below the previous year's level due to lower petrochemical-related demand, indicating divergent demand trends by field. - FY2024MaterialisedAnnual report
「For paperboard products, production volume was 2,427 thousand tonnes, or 96.2% of the previous year's level, due to declining demand for corrugated products. For corrugated products, production volume was 4,217 million sq. m for corrugated board, or 97.3%, and 3,531 million sq. m for corrugated boxes, or 97.9%, as demand remained weak across a broad range of areas.」
Declining demand for corrugated products and weak demand across a broad range of areas were reflected in production volumes below the previous year's levels for paperboard, corrugated board and corrugated boxes. - FY2024-Q3MaterialisedAnnual report
「The heavy packaging-related business posted lower revenue and lower profit because demand related to petrochemicals declined. As a result, segment revenue was ¥33,614 million, or 98.2% of the previous year's level, and operating profit was ¥834 million, or 91.1%.」
The decline in petrochemical-related demand materialized as lower revenue and lower profit in the heavy packaging-related business, with revenue at 98.2% and operating profit at 91.1% of the previous year's levels. - FY2024-Q2MaterialisedAnnual report
「In the paperboard industry, production volume fell below the previous year's level amid declining demand for corrugated products and sluggish exports. In the corrugated packaging industry, production volume fell below the previous year's level as demand remained weak across a broad range of areas despite firm performance in the food and mail-order and delivery fields. In the paperboard packaging industry, production volume fell below the previous year's level due to declining demand, including for gift products. In the heavy packaging industry, production volume fell below the previous year's level because demand related to petrochemicals declined.」
While some demand, including for food, mail-order and delivery applications, remained firm, declines in demand and production volume below the previous year's level actually occurred in paperboard, corrugated packaging, paperboard packaging and heavy packaging. - FY2023MitigatedAnnual report
「In response, in addition to orders for food products, for which stable demand is expected, the Group is working to build good relationships with customers across a broad range of industries to relatively reduce the impact of declines in demand in specific industries and other factors. It is also promoting consultative sales through the development of higher-value-added packaging to enhance competitiveness and minimize risk.」
The Group has specified measures to address demand and market-condition risks by securing food-related demand, diversifying customer industries, and pursuing value-added packaging and consultative sales. - FY2023-Q2Recovery in domestic demand alongside declining demand for heavy packagingAnnual report
「In the corrugated packaging industry, production volume was at the previous year's level as strong performance in the food and mail-order and delivery fields offset weakness in industrial products and electrical and mechanical equipment. In the heavy packaging industry, production volume fell below the previous year's level as demand related to petrochemicals declined due to the downturn in the Chinese economy and other factors.」
While demand for food, mail-order and delivery applications is supportive, demand for industrial products and heavy packaging related to petrochemicals remains weak, and differences in demand trends by field continue. - FY2022-Q3Demand recovery alongside declines in some areasAnnual report
「The heavy packaging-related business posted lower revenue and lower profit due to weaker demand for commercial food products and higher raw material prices. As a result, segment revenue was ¥31,725 million, or 97.8% of the previous year's level, and operating profit was ¥1,341 million, or 89.4%.」
While demand recovery after the economic downturn is evident overall, weaker demand for commercial food products materialized as lower revenue and lower profit in the heavy packaging-related business, indicating that domestic demand trends are uneven. - FY2022-Q2MitigatedAnnual report
「In the paperboard industry, production volume exceeded the previous year's level, supported by signs of an economic recovery. In the corrugated packaging industry, production volume also exceeded the previous year's level as industrial products and electrical and mechanical equipment remained firm and demand across a broad range of areas, including food, mail-order and delivery, remained strong.」
The impact of domestic demand and market-condition risks eased as paperboard and corrugated production volume exceeded the previous year's level, supported by an economic recovery and demand for food, mail-order and delivery applications. - FY2022-Q1MitigatedAnnual report
「The paperboard and paper converting-related business posted higher revenue and higher profit as sales volume increased. As a result, segment revenue was ¥110,826 million, or 105.0% of the previous year's level, and operating profit was ¥8,299 million, or 118.0%.」
Demand began to recover from the previous year's economic downturn, with the increase in sales volume and higher revenue and profit in the paperboard and paper converting-related business reflected in the figures. - FY2021-Q3WorsenedAnnual report
「The paperboard and paper converting-related business posted lower revenue and lower profit despite firm demand for food, mail-order and delivery applications, due to the effects of worsening economic conditions. As a result, segment revenue was ¥328,194 million, down 4.7% year on year, and operating profit was ¥22,986 million, down 12.8%.」
Demand and market-condition risks arising from worsening economic conditions have continued to materialize as a 4.7% decline in revenue and a 12.8% decline in operating profit in the paperboard and paper converting-related business. - FY2021-Q2WorsenedAnnual report
「The paperboard and paper converting-related business posted lower revenue and lower profit despite firm demand for food, mail-order and delivery applications, due to the effects of worsening economic conditions associated with the spread of COVID-19. As a result, segment revenue was ¥212,055 million, down 6.4% year on year, and operating profit was ¥13,070 million, down 18.5%.」
The worsening economic conditions associated with the spread of COVID-19 affected the paperboard and paper converting-related business, resulting in a 6.4% decline in revenue and an 18.5% decline in operating profit. - FY2021-Q1WorsenedAnnual report
「The paperboard and paper converting-related business posted lower revenue and lower profit despite firm demand for food, mail-order and delivery applications, due to the effects of worsening economic conditions. As a result, segment revenue was ¥105,590 million, down 6.3% year on year, and operating profit was ¥7,036 million, down 14.4%.」
Demand and market-condition risks arising from worsening economic conditions materialized as a 6.3% decline in revenue and a 14.4% decline in operating profit in the paperboard and paper converting-related business, with the impact quantified. - FY2020MaterialisedAnnual report
「In the paperboard industry, production volume fell below the previous year's level because demand declined due to natural disasters and other factors.」
The risk of declining demand materialized over the full fiscal year in the form of paperboard production volume falling below the previous year's level due to natural disasters and other factors. - FY2020-Q3MaterialisedAnnual report
「The heavy packaging-related business posted lower revenue and lower profit, mainly because sales volume of resin products declined. As a result, segment revenue was ¥30,329 million, down 2.7% year on year, and operating profit was ¥1,198 million, down 6.0%.」
The risk of declining demand has materialized in the form of lower sales volume of resin products, a 2.7% decline in revenue in the heavy packaging-related business and a 6.0% decline in operating profit. - FY2020-Q2MaterialisedAnnual report
「In the paperboard industry, production volume fell below the previous year's level because demand declined due to the effects of the prolonged rainy season and other factors.」
Lower demand caused by unfavorable weather and other factors has materialized in the paperboard industry's production volume falling below the previous year's level. - FY2020-Q1MaterialisedAnnual report
「The heavy packaging-related business posted lower revenue and lower profit, mainly because sales volume of resin products declined. As a result, segment revenue was ¥9,770 million, down 5.5% year on year, and operating profit was ¥416 million, down 24.6%.」
The risk of declining demand has materialized in the form of lower sales volume of resin products and lower revenue and profit in the heavy packaging-related business. - FY2019MaterialisedAnnual report
「In the heavy packaging industry, production volume fell below the previous year's level because agriculture-related demand declined.」
The risk of declining demand materialized over the full fiscal year in the form of lower agriculture-related demand and lower production volume in the heavy packaging industry. - FY2019-Q2MaterialisedAnnual report
「In the heavy packaging industry, production volume fell below the previous year's level because of weaker agriculture-related demand.」
The risk of declining demand has materialized in the form of lower agriculture-related demand and lower production volume in the heavy packaging industry. - FY2018MaterialisedAnnual report
「In the heavy packaging industry, production volume fell below the previous year's level, mainly because demand for container bags declined as decontamination work related to nuclear power plant accidents came to an end.」
The risk of declining demand materialized in the form of lower demand for container bags following the completion of decontamination work and lower revenue and profit in the heavy packaging-related business. - FY2018-Q3MaterialisedAnnual report
「The heavy packaging-related business posted lower revenue and lower profit because demand for decontamination container bags declined.」
The risk of declining demand continued to materialize. Revenue in the heavy packaging-related business was ¥29,515 million and operating profit was ¥1,424 million, down 1.7% and 31.4%, respectively, from the same period a year earlier. - FY2018-Q2MaterialisedAnnual report
「The heavy packaging-related business posted lower revenue and lower profit because demand for decontamination container bags declined. As a result, segment revenue was ¥19,694 million, down 2.0% year on year, and operating profit was ¥914 million, down 33.4%.」
The risk of declining demand has materialized in the form of lower demand for decontamination container bags and lower revenue and profit in the heavy packaging-related business. - FY2018-Q1MaterialisedAnnual report
「The heavy packaging-related business posted lower revenue and lower profit, mainly because demand for decontamination container bags declined.」
The risk of declining demand has materialized in the form of lower demand for decontamination container bags and lower revenue and profit in the heavy packaging-related business. - FY2017RestatedAnnual report
「The Group's core products, paperboard and corrugated products, are significantly affected by domestic economic trends. A decline in demand resulting from an economic downturn and deterioration in market conditions caused by intensified competition and other factors could affect the Group's operating results and financial condition.」
The risks of deterioration in market conditions due to domestic economic conditions, declining demand and intensifying competition continue to be described. - FY2016First statedAnnual report
「The Group's core products, paperboard and corrugated products, are significantly affected by domestic economic trends. A decline in demand resulting from an economic downturn and deterioration in market conditions caused by intensified competition and other factors could affect the Group's operating results and financial condition.」
The risk that demand for core products is affected by domestic economic conditions and the competitive environment is described.