Rising Raw-Material Costs Amid Yen Depreciation
First written in FY2017-Q1. 16 of 32 entries say "Worsened", first in FY2017-Q3. Latest entry: 2026-08-07.
Kansai Paint moved to the "Worse" side of this theme in 2016, 6 years before the typical company in this theme (2022).
The whole theme swung hardest in 2022: 33 of 58 companies on the "Worse" side.
7 other companies' latest entry also says "Worsened".
- 2026-08-07WorsenedEarnings
「Operating profit was ¥10.492 billion, down 14.3% year on year, due mainly to delays in passing higher raw material prices through to selling prices and higher fixed costs.」
Delays in passing higher raw material prices through to selling prices and higher fixed costs weighed on first-quarter operating profit, with the pressure on profitability reflected in the results. - FY2026MitigatedAnnual report
「Domestic naphtha prices were 64,800 in the first half and 65,700 in the second half of the current consolidated fiscal year, compared with 78,000 and 73,300, respectively, in the first and second halves of the previous consolidated fiscal year.」
Domestic naphtha prices remained lower than the previous year, partially easing the earnings pressure from higher raw material prices. However, the risks from price fluctuations and insufficient pass-through continue. - FY2026-H1MitigatedAnnual report
「Segment profit was lower than the previous year because fixed costs, including personnel expenses, increased due to inflation, despite stable raw material prices and an improvement in equity-method investment losses.」
Raw material prices remained stable, partially easing the earnings pressure from higher raw material prices. Meanwhile, higher fixed costs due to inflation reduced profit. - FY2025-H1MitigatedAnnual report
「Profit exceeded the previous year, partly because lower prices for some raw materials and higher sales in the marine transportation sector contributed to results.」
Lower prices for some raw materials were cited as a factor behind improved profit, partially easing the earnings pressure from higher raw material costs. - FY2024MitigatedAnnual report
「The main factors behind the increases in sales and profit were the synergistic effects of improved price levels and lower raw material price levels, which resulted in higher profit.」
Lower raw material prices and improved selling prices had a combined positive effect on profit, partially easing the earnings pressure from higher raw material costs. - FY2024-Q3MitigatedAnnual report
「Profit exceeded the previous year, partly because some raw material prices had begun to decline and the company worked to improve selling prices.」
Lower prices for some raw materials and improved selling prices partially eased the earnings pressure from higher raw material costs. - FY2024-Q2MitigatedAnnual report
「Profit exceeded the previous year, partly because some raw material prices had begun to decline and the company worked to improve selling prices.」
Lower prices for some raw materials and improved selling prices partially eased the profit pressure from higher raw material costs. - FY2024-Q1MitigatedAnnual report
「Profit exceeded the previous year, partly because some raw material prices had begun to decline and the company worked to improve selling prices.」
Lower prices for some raw materials and improved selling prices partially eased the profit pressure from higher raw material costs. - FY2023WorsenedAnnual report
「Operating profit was ¥32,077 million, up 6.6% year on year, as the company pursued profit improvement measures, including passing higher costs through to selling prices, while the impact of soaring raw material prices continued and selling expenses increased alongside higher sales.」
Soaring raw material and energy costs, among others, weighed on profit for the full year. Meanwhile, operating profit increased due to the pass-through of higher costs to selling prices and cost reductions. - FY2023-Q3WorsenedAnnual report
「However, profit was lower than the previous year due to soaring raw material and energy costs and the impact of applying hyperinflation accounting in Turkey, among other factors.」
The impact of soaring raw material and energy costs continued in Europe and elsewhere, reducing profit even as sales increased. - FY2023-Q2WorsenedAnnual report
「However, profit was lower than the previous year due to soaring raw material and energy costs and the impact of applying hyperinflation accounting in Turkey, among other factors.」
Soaring raw material and energy costs reduced profit in Europe, and earnings pressure from higher raw material costs continued. The impact of soaring raw material prices is also noted in Asia and other regions. - FY2023-Q1WorsenedAnnual report
「Operating profit was ¥8,487 million, broadly in line with the previous fiscal year and down 2.8% year on year, as the company pursued profit improvement measures, including passing higher costs through to selling prices, while the impact of soaring raw material prices continued and selling expenses increased alongside higher sales.」
The impact of soaring raw material prices continued, and operating profit fell 2.8% year on year despite higher sales. Meanwhile, the company is also pursuing profit improvements by passing higher costs through to selling prices. - FY2022-Q3WorsenedAnnual report
「Profit was lower than the previous year due to the impact of soaring raw material prices.」
Soaring raw material prices reduced profit in Japan and India, again highlighting the impact of profit falling below the previous year even as sales increased. - FY2022-Q2WorsenedAnnual report
「However, profit increased only slightly due to the impact of soaring raw material prices.」
In India, revenue increased 56.5% year on year, but soaring raw material prices restrained profit, again highlighting the earnings pressure from higher raw material costs. - FY2021MitigatedAnnual report
「In addition, the raw materials used by the Group are affected mainly by fluctuations in crude oil and naphtha prices. If sharp fluctuations in raw material prices cannot be adequately reflected in selling prices, the Group's business activities and results may be affected.」
While lower raw material prices contributed to improved profit during the period, the risks from fluctuations in crude oil and naphtha prices and insufficient price pass-through continue. - FY2021-Q2MitigatedAnnual report
「Although lower raw material prices and strengthened cost-cutting efforts led to improvements in profit, earnings came under pressure because the impact of lower sales was significant.」
Lower raw material prices partially eased the pressure from rising raw material prices, but earnings pressure from lower sales, currency depreciation and price competition, among other factors, remains in Africa. - FY2021-Q1MitigatedAnnual report
「Profit increased partly because raw material prices declined.」
In Europe, lower raw material prices contributed to higher profit, partially easing the earnings pressure from rising raw material prices. In Africa, however, pressure from currency depreciation and price competition remains. - FY2020-Q3MitigatedAnnual report
「Although raw material prices have declined, earnings came under significant pressure due to continued currency depreciation and intensifying price competition, among other factors.」
Raw material prices declined, partially easing the pressure from rising raw material prices, but earnings pressure from currency depreciation and price competition continues in Africa. - FY2020-Q2MitigatedAnnual report
「In addition, profit increased partly because raw material prices remained stable, but results on a yen basis were negatively affected by foreign exchange translation.」
In India, stable raw material prices contributed to higher profit, partially easing the earnings pressure from rising raw material prices. However, the impact of foreign exchange translation remains. - FY2020-Q1MitigatedAnnual report
「Profit also increased, partly because raw material prices remained stable.」
In India, stable raw material prices contributed to higher profit, partially easing the earnings pressure from rising raw material prices. - FY2019WorsenedAnnual report
「In addition, the raw materials used by the Group are affected mainly by fluctuations in crude oil and naphtha prices. If sharp fluctuations in raw material prices cannot be adequately reflected in selling prices, the Group's business activities and results may be affected.」
The company explicitly identifies fluctuations in crude oil and naphtha prices and insufficient pass-through to selling prices as factors affecting earnings for the full year. - FY2019-Q3WorsenedAnnual report
「The economy continued to grow, led mainly by domestic demand. In the automotive sector, vehicle production increased and sales grew. In the construction sector as well, we worked to promote sales activities amid continued expansion in demand, and sales grew. However, results were affected by soaring raw material prices and the impact of currency depreciation on foreign exchange translation.」
In India, sales in the automotive and construction sectors grew, but ordinary profit fell 15.1% year on year due to the effects of soaring raw material prices and currency depreciation on foreign exchange translation. Soaring raw material prices are also weighing on profit in Japan and Europe. - FY2019-Q2WorsenedAnnual report
「As a result, sales for the segment as a whole were slightly higher than the previous year, but profit declined due to higher raw material prices and higher selling, general and administrative expenses. Revenue was ¥77,885 million, up 0.7% year on year, and ordinary profit was ¥8,699 million, down 27.5%.」
The impact of soaring raw material prices also extended to the Japan segment, with ordinary profit down 27.5% year on year. Similar effects continue in India and Africa. - FY2019-Q1WorsenedAnnual report
「As a result, sales for the segment as a whole were slightly higher than the previous year, but profit declined due to higher raw material prices and higher selling, general and administrative expenses. Revenue was ¥38,315 million, up 1.1% year on year, and ordinary profit was ¥4,618 million, down 24.8%.」
The impact of soaring raw material prices reduced domestic profit, and ordinary profit in the Japan segment fell 24.8% year on year. - FY2018WorsenedAnnual report
「Due to higher raw material prices and increases in selling, general and administrative expenses, the amount was ¥35.802 billion, up 1.4% from the previous fiscal year.」
Soaring raw material prices weighed on consolidated operating profit, affecting multiple regions, including India and Africa. - FY2018-Q3WorsenedAnnual report
「Although affected by higher raw material prices, the company worked to reduce costs, and profit increased.」
The impact of higher raw material prices emerged in India, while higher raw material prices also weighed on profit in Asia and Africa, broadening the affected regions. - FY2018-Q2WorsenedAnnual report
「Higher raw material prices due to currency depreciation, intensifying price competition and the occurrence of one-off expenses significantly weighed on earnings, causing profit to fall below the previous year.」
In Africa, higher raw material prices due to currency depreciation and other factors continued to weigh on earnings, while higher raw material prices also reduced profit in Asia, with the impact spreading across multiple regions. - FY2018-Q1RestatedAnnual report
「However, higher raw material prices due to currency depreciation, intensifying price competition and the occurrence of one-off expenses significantly weighed on earnings, causing profit to fall below the previous year.」
In Africa, higher raw material prices due to currency depreciation, price competition and one-off expenses continued to weigh on earnings, resulting in an ordinary loss of ¥1.173 billion. - FY2017WorsenedAnnual report
「Higher raw material prices due to currency depreciation and the occurrence of one-off expenses significantly weighed on earnings, causing performance to fall below the previous year.」
Pressure on earnings from higher raw material prices due to currency depreciation and other factors continued in Africa, resulting in an ordinary loss of ¥3.732 billion. The text also describes the impact of currency depreciation on raw material prices in Turkey, Europe. - FY2017-Q3WorsenedAnnual report
「Higher raw material costs due to the weaker South African rand, increased sales promotion expenses and other factors, and the occurrence of one-off expenses significantly weighed on earnings, causing performance to fall below the previous year. As a result, sales in this segment were ¥20.236 billion, down 15.8% year on year, while ordinary profit and loss, including goodwill amortization, was an ordinary loss of ¥2.566 billion (year-on-year change: -%).」
The pressure on earnings from higher raw material costs due to the weaker South African rand continued, resulting in an ordinary loss in Africa. The text also describes the impact of a weaker Turkish lira on raw material prices, indicating similar risks in another region. - FY2017-Q2MaterialisedAnnual report
「Amid sluggish economic conditions in South Africa and neighboring countries, efforts to promote sales resulted in sales for the cumulative period exceeding the previous year on a local-currency basis. However, higher raw material costs due to the weaker South African rand, increased sales promotion expenses and other factors, and the occurrence of one-off expenses weighed on earnings, while results were also significantly affected by foreign exchange translation, causing performance to fall below the previous year.」
Higher raw material prices, sales promotion expenses, one-off expenses and foreign exchange translation weighed on earnings, resulting in an ordinary loss of ¥1.767 billion in the Africa segment. - FY2017-Q1First statedAnnual report
「Higher raw material costs due to the weaker South African rand, increased sales promotion expenses and other factors weighed on earnings, while results were also significantly affected by foreign exchange translation, causing performance to fall below the previous year.」
The company explained that higher raw material costs weighed on earnings in the African business, but did not disclose the amount of the impact.