Profitability risks in the machinery business from intensifying competition, higher raw material prices and rising construction costs
First written in FY2016. 5 of 23 entries say "Restated". Latest entry: FY2026.
No other company in this theme has enough history to compare yet.
- FY2026Higher orders alongside lower sales and earningsAnnual report
「For the machinery segment as a whole, in addition to the impact of the transfer of control of the Steelmaking Business to another company in the previous consolidated fiscal year, product sales in the Industrial Machinery Business declined and product sales in the Molding Machine Business also remained sluggish, resulting in lower sales and earnings.」
The machinery segment reported lower sales and earnings, with sales of ¥68.414 billion and operating profit of ¥6.242 billion. Meanwhile, orders totaled ¥82.484 billion, up 9.8% year on year, and the order backlog stood at ¥57.786 billion, up 13.7%. - 2026-05-11WorsenedRevisions to earnings forecasts
「売上高及び営業利益は、機能品セグメント、樹脂・化成品セグメントなど全てのセグメントにおいて、主要製品の需要が想定に届かないことなどから、前回予想を下回る見込みです。」
機械セグメントの売上高予想は740億円から684億円、営業利益予想は65億円から62億円へ下方修正されました。 - FY2026-H1Transfer of the Steelmaking Business alongside a decline in large industrial machinery projectsAnnual report
「For the machinery segment as a whole, the transfer of control of the Steelmaking Business to another company in the third quarter of the previous fiscal year, together with sluggish product sales in the Industrial Machinery Business and other factors, resulted in lower sales and earnings.」
In addition to the exclusion of the Steelmaking Business from the scope of consolidation, sluggish product sales in the Industrial Machinery Business contributed to lower sales and earnings for the machinery segment. Meanwhile, molding machine sales and after-sales service remained firm. - FY2025-H1MitigatedAnnual report
「For the machinery segment as a whole, sales and earnings increased due in particular to strong after-sales service in the Molding Machine Business and firm product sales. As a result, consolidated sales for the segment increased by ¥388 million from the previous interim consolidated accounting period to ¥43.041 billion, while consolidated operating profit increased by ¥821 million to ¥2.973 billion.」
Firm after-sales service and product sales of molding machines resulted in higher sales and earnings for the machinery segment. The impact of the previously identified earnings risks relating to demand, competition and raw material prices was mitigated during the interim consolidated accounting period. - FY2024MitigatedAnnual report
「Orders in the machinery business totaled ¥81.931 billion, up 10.2% year on year, while the order backlog stood at ¥57.267 billion, up 9.6%.」
Orders and the order backlog in the machinery business increased year on year, mitigating the previously identified risks from slower capital investment and weaker demand on the order front. - FY2024-Q3Recovery in orders alongside lower sales and higher earningsAnnual report
「The Molding Machine Business reported lower sales as capital investment in the automotive industry remained weak, although orders are currently showing signs of recovery. The Industrial Machinery Business reported higher sales as services such as maintenance for machinery products remained firm. The Steelmaking Business reported lower sales as sales volumes declined due to weaker domestic and overseas demand. For the machinery segment as a whole, consolidated sales declined due to significant decreases in sales in the Molding Machine and Steelmaking Businesses. However, consolidated operating profit increased as services remained firm in both the Molding Machine and Industrial Machinery Businesses, while raw material prices declined in the Steelmaking Business.」
While sluggish capital investment in molding machines and weaker demand for steel products resulted in lower sales, operating profit increased due to firm services in the Molding Machine and Industrial Machinery Businesses and lower raw material prices in the Steelmaking Business. Orders for molding machines are showing signs of recovery. - FY2024-Q2Declining demand alongside firm services and lower costsAnnual report
「The Molding Machine Business reported lower sales as capital investment in the automotive industry slowed. The Industrial Machinery Business reported higher sales as services such as maintenance for machinery products remained firm. The Steelmaking Business reported lower sales as sales volumes declined due to weaker domestic and overseas demand. For the machinery segment as a whole, consolidated sales declined due to significant decreases in sales in the Molding Machine and Steelmaking Businesses. However, consolidated operating profit increased as services remained firm in both the Molding Machine and Industrial Machinery Businesses, while raw material prices declined in the Steelmaking Business.」
While multiple businesses reported lower sales due to slower capital investment in the automotive industry and weaker domestic and overseas demand, segment operating profit increased on the strength of services and lower raw material prices in the Steelmaking Business. - FY2024-Q1MitigatedAnnual report
「For the machinery segment as a whole, sales in the Molding Machine Business remained firm, while lower raw material prices in the Steelmaking Business also contributed to higher sales and earnings.」
The machinery segment reported higher sales and earnings due to firm molding machine sales and lower raw material prices in the Steelmaking Business, mitigating the impact of earnings risks through the previous quarter. - FY2023-Q2Recovery in molding machines alongside deterioration in industrial machinery and steelmakingAnnual report
「The Molding Machine Business reported higher sales as demand from the automotive industry recovered and sales increased. The Industrial Machinery Business reported lower sales as large projects, including conveying equipment for electric power companies, reached completion. The Steelmaking Business reported higher sales as selling prices increased due to the impact of rising raw material prices and other factors. For the machinery segment as a whole, although sales of molding machines increased, lower sales in the Industrial Machinery Business and higher energy costs in the Steelmaking Business had a significant impact, resulting in lower sales and earnings.」
Sales of molding machines increased as demand from the automotive industry recovered, but the completion of large projects affected the Industrial Machinery Business and higher energy costs affected the Steelmaking Business, resulting in lower sales and earnings for the machinery segment as a whole. - FY2023-Q1WorsenedAnnual report
「The Molding Machine Business reported lower sales as product shipments declined due to delays in procuring components caused by the semiconductor shortage and other factors. The Industrial Machinery Business reported lower sales as large projects, including conveying equipment for electric power companies, reached completion.」
Shipments and sales of molding machines and industrial machinery declined due to delays in procuring components caused by the semiconductor shortage and the completion of large projects, resulting in lower sales and earnings for the machinery segment. - FY2022-Q2RestatedAnnual report
「For the machinery segment as a whole, firm sales of molding machines and industrial machinery and higher selling prices in the Steelmaking Business had a significant impact, resulting in higher sales and earnings. As a result, consolidated sales for the segment increased by ¥10.423 billion from the same period of the previous year to ¥45.361 billion, while consolidated operating profit increased by ¥2.116 billion to ¥2.368 billion.」
The machinery segment reported higher sales and earnings due to firm sales of molding machines and industrial machinery and higher selling prices in the Steelmaking Business. The previous earnings risks relating to competition, demand and raw material prices continue to be contained. - FY2022-Q1MitigatedAnnual report
「For the machinery segment as a whole, firm sales of industrial machinery and higher selling prices in the Steelmaking Business had a significant impact, resulting in higher sales and earnings. As a result, consolidated sales for the segment increased by ¥4.717 billion from the same period of the previous year to ¥21.441 billion, while consolidated operating profit increased by ¥492 million to ¥742 million.」
The machinery segment reported higher sales and earnings due to firm industrial machinery sales and higher selling prices in the Steelmaking Business, mitigating the impact of risks relating to competition, demand and raw material prices during the quarter. - FY2021RestatedAnnual report
「Demand is currently showing signs of recovery, and needs for vehicle lightweighting and electrification are expected to continue increasing.」
Although sluggish sales during the fiscal year were noted for the machinery business, the policy of capturing recovering demand and demand for vehicle lightweighting and electrification was reconfirmed. - FY2021-Q3WorsenedAnnual report
「For the machinery segment as a whole, sluggish sales of molding machines and steel products had a significant impact, resulting in lower sales and earnings.」
The machinery segment reported lower sales and earnings due to sluggish sales of molding machines and steel products. Operating profit was ¥1.065 billion, down ¥1.872 billion year on year. - FY2021-Q1WorsenedAnnual report
「For the machinery segment as a whole, sluggish sales of molding machines and lower selling prices in the Steelmaking Business had a significant impact, resulting in lower sales and earnings.」
Sales of molding machines were sluggish against a difficult operating environment in the automotive industry, while selling prices in the Steelmaking Business declined in line with lower raw material prices. - FY2020-Q3RestatedAnnual report
「The economic slowdown stemming from US-China trade tensions spread to capital investment worldwide, reducing product shipments in the industrial machinery business. However, the Services Business remained firm, and improved profitability in the Steelmaking Business also contributed to higher earnings despite lower sales.」
The decline in shipments caused by slower capital investment following US-China trade tensions coexisted with the firm Services Business and improved profitability in the Steelmaking Business; this situation was reconfirmed. - FY2020-Q2Lower demand alongside improved profitabilityAnnual report
「The economic slowdown stemming from US-China trade tensions affected capital investment worldwide, reducing product shipments in both the molding machine and industrial machinery businesses. However, the Services Business remained firm, and improved profitability in the Steelmaking Business also contributed to higher earnings despite lower sales.」
While shipments of molding machines and industrial machinery declined due to the economic slowdown originating from US-China trade tensions, the machinery segment reported lower sales but higher earnings, supported by the firm Services Business and improved profitability in the Steelmaking Business. - FY2020-Q1MitigatedAnnual report
「For the machinery segment as a whole, sales of molding machines and industrial machinery remained firm, while the decline in scrap prices, a raw material for the Steelmaking Business, also contributed to higher sales and earnings.」
The impact of the previously identified risks relating to competition and rising raw material prices was mitigated in the quarter, as sales of molding machines and industrial machinery remained firm and scrap prices declined. - FY2019MaterialisedAnnual report
「The Steelmaking Business pursued corrective action on selling prices but was affected by rising raw material prices.」
The risk of rising raw material prices appeared in the full-year results as lower operating profit in the machinery segment, which reported higher sales but lower earnings. - FY2019-Q3RestatedAnnual report
「For the machinery segment as a whole, the impact of persistently high raw material prices and construction costs was significant, resulting in higher sales but lower earnings.」
The continuing situation in which persistently high raw material prices and construction costs were a factor behind lower earnings in the machinery segment was noted. - FY2019-Q1MaterialisedAnnual report
「For the machinery segment as a whole, the impact of soaring raw material and other construction-related costs was significant, resulting in higher sales but lower earnings.」
The risk of soaring raw material and construction costs materialized as lower earnings in the machinery segment. - FY2018RestatedAnnual report
「Selling prices may decline due to intensifying competition, while raw material and construction costs may rise.」
Risks relating to competition, selling prices, and raw material and construction costs in the machinery business were reiterated. - FY2016First statedAnnual report
「However, if risks such as lower selling prices due to intensifying competition and surging raw material and construction costs materialize, they may adversely affect the Group's operating results and financial position.」
This was presented alongside the policy of expanding earnings in global markets by strengthening coordination between products and services.