Stockouts and Excess Inventory Due to Discrepancies in Sales Forecasts for New and Limited-Edition Products
First written in FY2022. 1 of 3 entries say "Materialised", first in FY2023. Latest entry: FY2025.
The whole theme swung hardest in 2022: 14 of 40 companies on the "Worse" side.
14 other companies' latest entry also says "Mitigated".
- FY2025MitigatedAnnual report
「This was mainly due to decreases of ¥105 million in cash and deposits, ¥305 million in accounts receivable, and ¥109 million in products.」
Product inventories decreased by ¥109 million, and no inventory write-downs were recorded in the current fiscal year for the write-downs incurred in the previous fiscal year, indicating a quantitative easing of inventory risk. - FY2023MaterialisedAnnual report
「Sales of some products fell below the sales plan, resulting in inventory remaining unsold. Accordingly, to maintain a robust financial position and establish a firm foundation for renewed growth, we recorded inventory write-downs in the fourth quarter of the consolidated fiscal year, as in the third quarter, taking into account the sales performance of certain products.」
Inventory remained unsold because sales fell short of the plan, resulting in an inventory write-down of ¥1,350,218 thousand. - FY2022First statedAnnual report
「However, if sales forecasts for new and limited-edition products differ substantially from actual demand, stockouts or excess inventory may result, potentially affecting our group's business and operating results.」
The company newly identified the risk of stockouts and excess inventory resulting from deviations in demand forecasts for new and limited-edition products, with measures including supply-and-demand forecasting based on market trends and POS data and order management.