Fluctuations in prices of fats and petrochemical raw materials

「The purchase prices of plant-based oil and fat raw materials may rise as a result of poor harvests caused by climate change and expanding demand for biofuels. In addition, the purchase prices of petrochemical raw materials are affected by international crude oil and naphtha market conditions.」

「ナフサや植物油脂等の原料価格の高騰に加え、汎用品分野でのアジアメーカーとの競合激化など、引き続き厳しい事業環境が続くと想定しております。」

「The Group's business environment remains uncertain, as oil and fat prices, a major raw material cost, remain high due to fluctuations in the supply-demand balance, while competition continues in selling prices against imported products, primarily from China.」

「The purchase prices of oil and fat raw materials and petrochemical raw materials, which are the principal raw materials used by the Group, are affected by fluctuations in domestic and overseas market conditions. The purchase prices of plant-based oil and fat raw materials may rise as a result of poor harvests caused by climate change and expanding demand for biofuels.」

「However, the outlook remains uncertain, as energy prices continue to fluctuate against a backdrop of heightened international tensions, while concerns remain over the impact of increasingly frequent extreme weather events on palm oil production.」

「The purchase prices of oil and fat raw materials are affected by various factors. Prices of plant-based oil and fat raw materials are influenced by weather conditions in producing regions, while prices of animal-based oil and fat raw materials may be affected by supply reductions resulting from epidemics and other factors. In addition, the purchase prices of petrochemical raw materials are affected by international crude oil and naphtha market conditions.」

「Profitability was also adversely affected, and we were forced to operate under challenging conditions due to factors including deterioration in profitability caused by persistently high fuel prices and higher equipment maintenance costs resulting from soaring material prices.」

「In the environment surrounding our group, crude oil and fats prices, which are raw materials, remained relatively stable, in addition to」

「Although crude oil and vegetable oil prices, the raw materials, were on a downward trend, the Group was forced to operate under difficult business conditions due to the impact of surging energy prices.」

「Although crude oil and vegetable oil prices were on a downward trend, the Group was forced to operate under difficult business conditions due to changes in raw-material suppliers caused by supply chain disruptions and higher raw-material prices resulting from the yen's depreciation.」

「The Group was forced to operate under difficult business conditions due to surging crude oil and vegetable oil prices, difficulties procuring raw materials caused by supply chain disruptions, and the impact of reduced automotive production.」

「Meanwhile, surging crude oil and fats prices have pushed up raw material prices, leaving companies' business activities in a difficult situation.」

「Meanwhile, raw material market conditions remained challenging, with procurement of vegetable oils and fats and other materials constrained by lockdowns in Southeast Asia, while naphtha prices continued to surge.」

「Although raw-material prices temporarily surged, they remained low for the full year, causing selling prices to decline and revenue to fall below the previous year.」

「Surfactants and unsaturated alcohols continued to perform well, while glycerin remained weak. As raw-material prices also remained stable at low levels, revenue fell below the previous year.」

「Surfactants and unsaturated alcohols performed well among oleochemical products, while glycerin was weak. Selling prices across the product portfolio declined due to raw-material price trends, resulting in revenue below the previous year.」

「Revenue from oleochemical products fell below the previous year because selling prices declined in response to fluctuations in raw-material market prices for both fatty-acid and alcohol products.」

「Demand in the electrical wire segment of the housing material applications served by the Company’s major customers remained weak, causing sales volumes to stagnate. However, net sales exceeded the previous year, partly due to the effect of product price revisions in response to soaring raw material prices.」

「Demand in the electrical wire segment of the housing material applications served by the Company’s major customers failed to recover, causing sales volumes to decline. However, net sales increased because product prices were revised in response to soaring raw material prices.」

「Demand in the electrical wire segment of the housing material applications served by the Company’s major customers remained weak, but net sales of plasticizers increased as product prices were revised in response to higher raw material prices.」

「We take measures such as passing the above fluctuations in raw material prices through to selling prices, but if fluctuations are too large to address fully, they may affect our business performance.」

「Plasticizers benefited from firm demand for housing material applications, the Company’s major sales channel, which increased sales volumes, while net sales also increased as product prices were revised in response to higher raw material prices.」

「However, as product-price revisions progressed in response to fluctuations in raw-material prices, revenue was approximately at the previous year's level.」

「Plasticizers outperformed the previous year because the Company revised product prices in line with fluctuations in raw material prices and demand for housing material applications, one of its major sales channels, showed signs of recovery.」

「The purchase prices of fats and petrochemical raw materials, which are major raw materials for our group, are affected by fluctuations in domestic and overseas market conditions.」