Inflation risk in raw materials, utilities, labor and other costs
First written in FY2023. 7 of 13 entries say "Restated". Latest entry: FY2027-H1.
Nippon Shikizai moved to the "Worse" side of this theme in 2026, 5 years after the typical company in this theme (2021).
The whole theme swung hardest in 2022: 64 of 102 companies on the "Worse" side.
44 other companies' latest entry also says "Worsened".
- FY2027-H1WorsenedAnnual report
「In particular, in the makeup sector, price pass-through of various cost increases has not progressed sufficiently, and the industry is presumed to be experiencing a negative impact on profitability as a result.」
Price pass-through of higher costs has not progressed sufficiently, and a negative impact on industry profitability, including in the makeup sector, was described. - FY2026-H1RestatedAnnual report
「Overall inflation, hiring difficulties, rising personnel expenses, fluctuations in interest rates and exchange rates also continue, while geopolitical risks such as Russia's invasion of Ukraine and the situation in the Middle East, as well as various policy risks such as U.S. trade policy, remain elevated, so uncertainty over the outlook for the economy as a whole persists.」
The continued inflation, hiring difficulties, fluctuations in personnel expenses, interest rates and exchange rates, geopolitical risks, and policy risks such as U.S. trade policy are reaffirmed. - FY2025-H1RestatedAnnual report
「Overall inflation, hiring difficulties, rising personnel expenses, higher interest rates and exchange-rate fluctuations also continue, while geopolitical risks such as Russia's invasion of Ukraine and the situation in the Middle East remain elevated, so uncertainty over the outlook for the economy as a whole persists.」
The continued inflation, hiring difficulties, fluctuations in personnel expenses, interest rates and exchange rates, and geopolitical risks are reaffirmed. - FY2025-Q1RestatedAnnual report
「Overall inflation, hiring difficulties, rising personnel expenses, higher interest rates and exchange-rate fluctuations also continue, while geopolitical risks such as Russia's invasion of Ukraine and the situation in the Middle East remain elevated, so uncertainty over the outlook for the economy as a whole persists.」
The continued inflation, hiring difficulties, fluctuations in personnel expenses, interest rates and exchange rates, and geopolitical risks are reaffirmed. - FY2024-Q3RestatedAnnual report
「Prices in general and energy prices continue to rise, as do hiring difficulties and personnel expenses accompanying the recovery and normalization of the economy. In addition, geopolitical risks such as Russia's invasion of Ukraine and the situation in the Middle East remain high, so uncertainty over the outlook for the economy as a whole persists.」
The continued pressures from prices in general, energy prices, personnel expenses, hiring difficulties and geopolitical risks, together with continued uncertainty across the economy, are reaffirmed. - FY2024-Q2RestatedAnnual report
「Increases in prices in general and energy prices triggered in part by Russia's invasion of Ukraine, as well as hiring difficulties and rising personnel expenses accompanying the recovery and normalization of the economy, continue,」
The continued increases in prices in general, energy prices and personnel expenses, together with hiring difficulties, are factors affecting profitability. - FY2024-Q1RestatedAnnual report
「Cosmetics demand is expected to recover as society continues to transition to and normalize in the with-/post-COVID environment. However, prices in general, energy prices and personnel expenses continue to rise, triggered in part by Russia's invasion of Ukraine, and uncertainty over the outlook for the economy as a whole remains.」
The continued increases in prices in general, energy prices and personnel expenses, and the resulting impact on the business environment and continued uncertainty across the economy are reaffirmed. - FY2023First statedAnnual report
「Price increases and inflation affecting raw materials, utilities and various expenses, resulting from economic factors such as global inflation and the weaker yen, as well as tight supply and demand, natural disasters, geopolitical issues and reductions in suppliers' supply for various reasons, could adversely affect the financial position and operating results of the Group. Recently, energy prices and global inflation, affected by COVID-19 in recent years and Russia's invasion of Ukraine, have affected the Company's business performance.」
The Company first identified higher prices for raw materials, utilities and other expenses, including reduced supplier supply, as a standalone risk and disclosed that these factors are already affecting performance.