Improving Productivity and Reducing Manufacturing Costs
First written in FY2016. 14 of 29 entries say "Worsened", first in FY2018-Q2. Latest entry: 2026-07-30.
Eiken Chemical moved to the "Worse" side of this theme in 2022, 1 year before the typical company in this theme (2023).
11 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「Cost of sales was ¥25,723 million and the cost-of-sales ratio was 61.4%, up 2.1 percentage points from the previous consolidated fiscal year.」
The cost-of-sales ratio rose 2.1 percentage points year on year to 61.4%, while operating profit fell 2.7% year on year. The company stated that changes in the sales mix and fluctuations in overseas markets affected earnings. - FY2025WorsenedAnnual report
「Cost of sales was ¥24,027 million and the cost-of-sales ratio was 59.3%, up 1.0 percentage point from the previous consolidated fiscal year.」
The cost-of-sales ratio rose 1.0 percentage point year on year to 59.3%, while operating profit was ¥2,999 million, down 11.2% year on year. The company indicated that it would improve production efficiency and rebuild its product portfolio in response to higher raw-material and logistics costs, among other factors. - FY2025-H1WorsenedAnnual report
「In terms of earnings, changes in the sales mix, including lower sales of novel coronavirus detection reagents and fecal occult blood testing reagents for overseas markets, resulted in operating profit of ¥1,566 million, down 27.1% year on year, ordinary profit of ¥1,698 million, down 23.7%, and interim net profit attributable to owners of the parent of ¥1,309 million, down 19.1%.」
Changes in the sales mix, including lower sales of novel coronavirus detection reagents and fecal occult blood testing reagents for overseas markets, resulted in year-on-year declines in operating profit and other earnings. - FY2024-Q3WorsenedAnnual report
「In terms of earnings, lower sales of the high-margin novel coronavirus detection reagents and lower patent royalty income from the LAMP method resulted in operating profit of ¥3,417 million, down 51.2% year on year, ordinary profit of ¥3,497 million, down 50.8%, and net profit attributable to owners of the parent of ¥2,571 million, down 52.0%.」
Operating profit, ordinary profit and net profit attributable to owners of the parent declined significantly year on year due to lower sales of the high-margin novel coronavirus detection reagents and lower patent royalty income from the LAMP method. - FY2024-Q1WorsenedAnnual report
「In terms of earnings, lower sales of the high-margin novel coronavirus detection reagents and lower patent royalty income from the LAMP method resulted in operating profit of ¥1,052 million, down 62.4% year on year, ordinary profit of ¥1,087 million, down 61.8%, and net profit attributable to owners of the parent of ¥770 million, down 64.5%.」
Operating profit and other earnings declined significantly due to lower sales of the high-margin novel coronavirus detection reagents and lower patent royalty income from the LAMP method. - FY2023WorsenedAnnual report
「Cost of sales was ¥22,765 million and the cost-of-sales ratio was 52.6%, up 0.4 percentage points from the previous consolidated fiscal year. Selling, general and administrative expenses increased by ¥864 million from the previous consolidated fiscal year to ¥13,049 million.」
The cost-of-sales ratio rose 0.4 percentage points year on year, while selling, general and administrative expenses also increased by ¥864 million. Operating profit fell 11.1% year on year. - FY2022WorsenedAnnual report
「Cost of sales was ¥22,431 million and the cost-of-sales ratio was 52.2%, up 0.1 percentage points from the previous consolidated fiscal year.」
The cost-of-sales ratio was 52.2%, up 0.1 percentage points year on year. Meanwhile, the operating margin rose 2.4 percentage points to 19.5%. - FY2021AdvancedAnnual report
「Reflecting changes in the sales mix, cost of sales was ¥20,137 million and the cost-of-sales ratio was 52.1%, down 3.6 percentage points from the previous consolidated fiscal year.」
Changes in the sales mix reduced the cost-of-sales ratio by 3.6 percentage points year on year to 52.1%. - FY2021-Q2WorsenedAnnual report
「In terms of earnings, despite efforts to control expenses, including selling expenses, lower revenue resulted in operating profit of ¥2,724 million, down 10.5% year on year, ordinary profit of ¥2,794 million, down 9.9%, and net profit attributable to owners of the parent of ¥2,151 million, down 8.2%.」
Despite continued expense controls, lower revenue led to year-on-year declines in operating profit, ordinary profit and net profit attributable to owners of the parent. - FY2020AdvancedAnnual report
「Reflecting changes in the sales mix, cost of sales was ¥20,355 million and the cost-of-sales ratio was 55.6%, down 0.5 percentage points from the previous consolidated fiscal year.」
The cost-of-sales ratio was 55.6%, down 0.5 percentage points year on year. Meanwhile, selling, general and administrative expenses increased, mainly due to higher research and development expenses. - FY2020-Q2AdvancedAnnual report
「In terms of earnings, higher revenue and efforts to control selling, general and administrative expenses resulted in operating profit of ¥3,043 million, up 19.6% year on year, ordinary profit of ¥3,101 million, up 19.2%, and net profit attributable to owners of the parent of ¥2,344 million, up 19.0%.」
Higher revenue and control of selling, general and administrative expenses resulted in year-on-year increases in operating profit and other earnings. - FY2020-Q1AdvancedAnnual report
「In terms of earnings, higher profit from increased revenue and control of selling, general and administrative expenses resulted in operating income of ¥1,490 million, up 15.0% year on year; ordinary income of ¥1,514 million, up 14.1%; and profit attributable to owners of the parent of ¥1,131 million, up 14.7%.」
Operating income, ordinary income and profit attributable to owners of the parent increased year on year due to higher revenue and control of selling, general and administrative expenses. - FY2019AdvancedAnnual report
「As changes in the sales mix improved the cost of sales ratio, cost of sales was ¥20,069 million and the cost of sales ratio was 56.1%, down 1.9 percentage points from the previous consolidated fiscal year. The company worked to use selling, general and administrative expenses efficiently, which decreased by ¥140 million from the previous consolidated fiscal year to ¥11,080 million.」
Changes in the sales mix lowered the cost of sales ratio to 56.1%, a decline of 1.9 percentage points, while selling, general and administrative expenses decreased by ¥140 million. - FY2019-Q3AdvancedAnnual report
「Although selling, general and administrative expenses increased, the lower cost of sales ratio resulting from changes in the sales mix led to operating income of ¥4,278 million, up 22.1% year on year; ordinary income of ¥4,340 million, up 21.7%; and profit attributable to owners of the parent of ¥3,231 million, up 27.4%.」
The cost of sales ratio declined as a result of changes in the sales mix, and operating income, ordinary income and profit attributable to owners of the parent increased year on year. - FY2019-Q2AdvancedAnnual report
「In terms of earnings, although selling, general and administrative expenses increased, the lower cost of sales ratio resulting from changes in the sales mix led to operating income of ¥2,544 million, up 14.8% year on year; ordinary income of ¥2,601 million, up 15.4%; and profit attributable to owners of the parent of ¥1,969 million, up 20.6%.」
The cost of sales ratio declined as a result of changes in the sales mix, and operating income, ordinary income and profit attributable to owners of the parent increased year on year. - FY2019-Q1AdvancedAnnual report
「In terms of earnings, although selling, general and administrative expenses increased, the lower cost of sales ratio resulting from changes in the sales mix led to operating income of ¥1,296 million, up 16.7% year on year; ordinary income of ¥1,326 million, up 17.2%; and profit attributable to owners of the parent of ¥986 million, up 20.1%.」
The cost of sales ratio declined as a result of changes in the sales mix, and operating income, ordinary income and profit attributable to owners of the parent increased year on year. - FY2018WorsenedAnnual report
「Due to higher depreciation from investments in manufacturing equipment, cost of sales was ¥20,290 million and the cost of sales ratio was 58.0%, up 0.6 percentage points from the previous consolidated fiscal year. Although efforts were made to use selling, general and administrative expenses efficiently, these expenses increased by ¥1,033 million from the previous consolidated fiscal year to ¥11,220 million, reflecting an increase in research and development expenses, including approximately ¥700 million recorded following the substantial completion of development of the compact fully automated genetic testing device.」
Higher depreciation from capital investment and increased Simprova-related research and development expenses caused the cost of sales ratio to rise by 0.6 percentage points, while operating income fell 12.5% year on year. - FY2018-Q3AdvancedAnnual report
「In terms of earnings, recognition of development costs for the compact fully automated genetic testing device, scheduled for the second quarter, was deferred to the fourth quarter, while efforts to use expenses efficiently also contributed. Operating income was ¥3,504 million, up 3.6% year on year; ordinary income was ¥3,568 million, up 3.0%; and profit attributable to owners of the parent was ¥2,536 million, up 2.5%.」
Operating income, ordinary income and profit attributable to owners of the parent increased year on year, driven by efficient expense use and the deferral of development cost recognition. No improvement in the manufacturing cost ratio was reported. - FY2018-Q2WorsenedAnnual report
「In terms of earnings, recognition of development costs for the compact fully automated genetic testing device, scheduled for the second quarter, was deferred to the fourth quarter. However, the cost of sales ratio rose due to higher manufacturing costs for in-house products and changes in the product sales mix, while selling, general and administrative expenses increased, mainly because of other research and testing expenses. As a result, operating income was ¥2,215 million, down 4.7% year on year; ordinary income was ¥2,255 million, down 3.8%; and profit attributable to owners of the parent was ¥1,633 million, down 4.7%.」
Higher manufacturing and cost of sales ratios, together with increased selling, general and administrative expenses, mainly research expenses, resulted in lower operating income and other profit measures year on year. - FY2018-Q1RestatedAnnual report
「In terms of earnings, efficient use of expenses overall resulted in operating income of ¥1,111 million, up 4.7% year on year; ordinary income of ¥1,131 million, up 5.7%; and profit attributable to owners of the parent of ¥821 million, up 6.0%.」
The company continued to use expenses efficiently overall, reporting increases in operating income, ordinary income and profit attributable to owners of the parent. - FY2017AdvancedAnnual report
「As a result of efforts to reduce manufacturing costs, cost of sales was ¥19,110 million and the cost of sales ratio was 57.4%, down 0.9 percentage points from the previous consolidated fiscal year.」
The cost of sales ratio decreased by 0.9 percentage points year on year as a result of manufacturing cost reductions. - FY2017-Q3RestatedAnnual report
「In terms of earnings, we continued working to reduce manufacturing costs for in-house products and use expenses efficiently. In addition, some research and development expenses expected during the cumulative third quarter of the current consolidated fiscal year were deferred or not incurred. Operating income was ¥3,382 million, up 19.1% year on year; ordinary income was ¥3,464 million, up 20.5%; and profit attributable to owners of the parent was ¥2,474 million, up 31.7%.」
Manufacturing cost reductions and more efficient expense management continued. In addition to higher profit, the deferral or non-incurrence of research and development expenses was cited as a contributing factor. - FY2017-Q2RestatedAnnual report
「In terms of earnings, we worked to reduce manufacturing costs for in-house products and use expenses efficiently. In addition, some research and development expenses expected to be incurred during the cumulative second quarter of the current consolidated fiscal year were deferred to the third quarter or later. Operating income was ¥2,325 million, up 18.7% year on year; ordinary income was ¥2,343 million, up 18.1%; and profit attributable to owners of the parent was ¥1,715 million, up 35.8%.」
Manufacturing cost reductions and more efficient expense management continued. Although profit increased, the deferral of research and development expenses was also cited as a contributing factor. - FY2017-Q1AdvancedAnnual report
「In terms of earnings, efforts to reduce manufacturing costs for in-house products and use expenses efficiently resulted in operating income of ¥1,061 million, up 22.8% year on year; ordinary income of ¥1,071 million, up 21.3%; and profit attributable to owners of the parent of ¥775 million, up 25.5%.」
Manufacturing cost reductions and more efficient expense management were implemented, and operating income and other profit measures increased year on year. - FY2016First statedAnnual report
「③ Improving productivity: We continued working to reduce manufacturing costs, and the cost of sales ratio decreased by 0.2 percentage points from the previous fiscal year.」
The report indicates improved productivity through cost reductions, factory construction and manufacturing equipment upgrades.