Risk of Rising Raw Material Prices
First written in FY2019-Q1. 5 of 14 entries say "Restated". Latest entry: FY2026.
Nippon Air Conditioning Services moved to the "Worse" side of this theme in 2022, the same year as the typical company in this theme.
The whole theme swung hardest in 2022: 31 of 48 companies on the "Worse" side.
13 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「Operating profit for the consolidated fiscal year increased by 15.5% from the previous consolidated fiscal year to ¥4,191 million. This was despite higher costs resulting from increases in procurement prices for equipment and materials, personnel expenses and other factors, as orders at appropriate prices based on the provision of high-quality services, eased competition and the acquisition of profitable projects proved effective.」
Higher procurement prices for equipment and materials and higher personnel expenses continued to increase costs, while orders at appropriate prices and the acquisition of profitable projects were cited as factors behind the increase in operating profit. - FY2025MaterialisedAnnual report
「Operating profit for the consolidated fiscal year increased by 15.5% from the previous consolidated fiscal year to ¥4,191 million. This was despite higher costs resulting from increases in procurement prices for equipment and materials, personnel expenses and other factors, as orders at appropriate prices based on the provision of high-quality services to customers proved effective.」
Higher procurement prices for equipment and materials and higher personnel expenses were reflected in actual results as increased costs, while orders at appropriate prices were cited as a factor behind the increase in operating profit. - FY2024-Q3RestatedAnnual report
「During the third quarter cumulative period, Japan’s economy recovered as supply constraints eased and COVID-19 was reclassified as a Class 5 infectious disease. Although signs of stagnation were seen in some areas due to high prices and stagnant production activity, the economy recovered gradually.」
The company continues to recognize that high prices and stagnant production activity are factors causing the economy to lose momentum. - FY2024-Q2RestatedAnnual report
「During the second quarter cumulative period, Japan’s economy recovered gradually despite the impact of previously elevated resource prices and other factors, supported by easing supply constraints and a recovery in personal consumption following the removal of restrictions on economic activity during the COVID-19 pandemic.」
The company continues to recognize that previously elevated resource prices are affecting the economic environment. - FY2024-Q1RestatedAnnual report
「During the first quarter cumulative period, Japan’s economy recovered despite the impact of previously elevated resource prices and other factors, supported by a gradual increase in personal consumption against a backdrop of easing supply constraints and the removal of restrictions on economic activity during the COVID-19 pandemic.」
The company continues to recognize that previously elevated resource prices are affecting the economic environment. - FY2023-Q3MaterialisedAnnual report
「Operating profit was ¥1,465 million, down 8.9% year on year, due to lower profit margins resulting from soaring raw material prices, mainly in the building facilities construction segment, and higher personnel expenses.」
Soaring raw material prices, together with higher personnel expenses and other factors, were reflected in third-quarter results through lower profit margins, with operating profit at ¥1,465 million, down 8.9% from the same period of the previous year. - FY2023-Q2MaterialisedAnnual report
「Operating profit was ¥673 million, down 26.2% year on year, due to lower profit margins resulting from soaring raw material and other prices, mainly in the building facilities construction segment. Ordinary profit was ¥821 million, down 16.8% year on year, partly because foreign exchange gains of ¥70 million arose from the weaker yen.」
Soaring raw material and other prices were reflected in second-quarter results as a factor behind lower profit margins, with operating profit at ¥673 million, down 26.2% from the same period of the previous year. - FY2023-Q1MaterialisedAnnual report
「Operating profit was ¥106 million, down 51.5% year on year, due to lower profit margins resulting from soaring raw material and other prices, mainly in the building facilities construction segment.」
Rising raw material prices, which had previously been disclosed as a concern, were reflected in first-quarter results as a factor behind lower profit margins and lower operating profit. - FY2022MaterialisedAnnual report
「Operating profit for the consolidated fiscal year decreased by 13.0% from the previous consolidated fiscal year to ¥2,617 million, due mainly to higher personnel expenses resulting from the active recruitment of new graduates as an important upfront investment contributing to the enhancement of human capital value over the medium to long term, as well as soaring raw material prices.」
Rising raw material prices, which had previously been disclosed as a concern, were reflected in actual results as a factor behind the decrease in operating profit. - FY2022-Q3Risk disclosed againAnnual report
「The outlook remains uncertain because the end of the infectious disease cannot be foreseen, while equipment delivery delays, including those resulting from the global semiconductor shortage, and soaring raw material prices are affecting conditions.」
Since FY2019, rising raw material prices had no longer been disclosed as a separate risk, but they have again been explicitly identified, together with equipment delivery delays, as a concern in the economic environment. - FY2019DroppedAnnual report
「As uncertainty continues due to concerns about the Chinese economic slowdown, the UK's withdrawal from the EU, U.S. trade policy, fluctuations in financial and capital markets, and other factors, both private-sector companies and government agencies are increasingly focused on reducing and reviewing facility maintenance and management costs. We expect the challenging business environment to continue.」
The risk of rising prices for raw materials, including crude oil, which had been disclosed through the previous quarter, has been removed from the discussion of the business environment and business risks for the current fiscal year. - FY2019-Q3RestatedAnnual report
「During the first nine months of the fiscal year, there were no new business risks and no material changes to the business risks described in the previous fiscal year's securities report.」
The company states that there has been no new occurrence or significant change in the risk of rising prices for raw materials, including crude oil. - FY2019-Q2RestatedAnnual report
「Japan's economy during the cumulative second quarter under review has remained on a recovery trend, supported by a recovery in exports against a backdrop of a gradual recovery in the global economy. At the same time, concern remains over the impact of higher prices for crude oil and other raw materials, as well as higher personnel expenses due to labor shortages, and the outlook remains uncertain.」
The company continues to identify rising prices for raw materials, including crude oil, as a concern for the outlook. - FY2019-Q1First statedAnnual report
「The outlook remains uncertain due to concerns over the impact of rising prices for raw materials, including crude oil, and higher personnel expenses associated with labor shortages.」
The company has for the first time explicitly identified rising prices for raw materials, including crude oil, as a concern for the outlook. The text describes these as potential impacts of concern, not as events that have actually occurred.