Profit Pressure from Higher Depreciation Costs
First written in FY2019-Q3. 1 of 2 entries say "Materialised", first in FY2019. Latest entry: FY2019.
Gun Ei Chemical Industry moved to the "Worse" side of this theme in 2019, 1 year before the typical company in this theme (2020).
The whole theme swung hardest in 2026: 6 of 14 companies on the "Worse" side.
1 other company's latest entry also says "Materialised".
- FY2019MaterialisedAnnual report
「Higher raw material prices and increased depreciation expenses and other costs associated with capital investment will continue to affect the performance of this business.」
Higher depreciation expenses and other costs associated with capital investment weighed on profit in the Chemicals business for the current fiscal year and are also cited as a factor that will affect future performance. - FY2019-Q3First statedAnnual report
「In terms of profitability, affected by the increased depreciation burden, higher raw material prices, higher logistics costs and other factors, operating profit decreased 29.6% year on year to ¥1,391 million, ordinary profit decreased 29.9% to ¥1,510 million, and net profit attributable to owners of the parent decreased 26.6% to ¥1,047 million.」
The company explicitly identified higher depreciation expenses as a factor behind the decline in profit for the first time and quantified the impact, including a 29.6% decline in operating profit.