Production Delays, Higher Purchase Prices, and Increased Freight Costs at Overseas Suppliers
First written in FY2018-Q3. 4 of 13 entries say "Worsened", first in FY2021-Q2. Latest entry: 2026-04-10.
Asahi Eito Holdings moved to the "Worse" side of this theme in 2021, the same year as the typical company in this theme.
2 other companies' latest entry also says "Restated".
- 2026-04-10RestatedOccurring Fact
「However, due to higher cost of sales resulting from soaring raw material prices and the impact of the weaker yen, the company was unable to restore profitability.」
原材料価格高騰及び円安による原価上昇が、当四半期の収益回復を阻む要因として引き続き記載されている。 - FY2025WorsenedAnnual report
「Both domestic and overseas businesses have yet to achieve sufficient earnings power or improve their financial positions, having been affected by factors including global geopolitical uncertainty and soaring raw material prices resulting from the sharp depreciation of the yen.」
Higher raw material prices due to yen depreciation continue to appear in the explanation of actual results as a factor behind the lack of improvement in profitability and financial strength in both the domestic and overseas businesses. - FY2024-Q1Additional energy and transportation cost factors arising from the situation in the Middle EastAnnual report
「Uncertainty remains high due to soaring raw material and transportation costs resulting from the Russia-Ukraine situation and tensions in the Middle East, as well as the yen’s depreciation.」
In addition to the previously cited deterioration in procurement conditions caused by raw material prices, logistics costs and the weaker yen, the company identifies rising energy prices due to the situation in the Middle East as a factor driving increases in raw material and transportation costs. - FY2023-Q1RestatedAnnual report
「Selling, general and administrative expenses associated with higher raw material prices, price increases, and organizational changes have increased from the same quarter of the previous year, and difficult conditions continue.」
Amid continued pressure from procurement and raw material costs, higher SG&A expenses resulting from price increases and organizational changes have also emerged, and the challenging business environment continues. - FY2022MaterialisedAnnual report
「The outlook remains uncertain because of soaring raw-material and transportation costs resulting from energy issues and other factors caused by the prolonged situation in Ukraine, as well as the rapid depreciation of the yen.」
The report states that the risk of higher overseas procurement and logistics costs has materialized in the form of surging raw material and transportation costs. - FY2022-Q1WorsenedAnnual report
「In addition to soaring raw material prices, the company continues to face difficult conditions, including delays in deliveries of housing equipment caused by delays in the supply of parts resulting from restrictions on economic activity in Southeast Asian countries and elsewhere due to the impact of COVID-19.」
In addition to the existing procurement and logistics problems, delays in parts supplies caused by restrictions on economic activity in Southeast Asia and delays in delivery of housing equipment have actually occurred. - FY2021WorsenedAnnual report
「The situation remains highly uncertain, with shortages in the supply of bidet toilet seats and water heaters due to the impact of lockdowns related to COVID-19 in Vietnam and semiconductor shortages, among other factors.」
In addition to the previously cited increases in logistics and material costs, the company explicitly cites supply shortages of bidet toilet seats and water heaters caused by Vietnam's lockdowns and the semiconductor shortage. - FY2021-Q2WorsenedAnnual report
「In the housing equipment-related industry, which is closely connected to the Group, there are positive factors such as increased investment in housing due to the impact of COVID-19 and the launch of the Green Housing Points system. However, negative factors have also emerged, including global logistics problems, soaring prices for materials such as steel sheets and lumber, and semiconductor supply shortages, resulting in an uncertain outlook.」
In addition to production and supply problems at its existing overseas suppliers and increases in procurement prices and freight costs, the Company identifies global logistics problems, soaring material prices and semiconductor shortages as new adverse factors affecting supply and procurement. - FY2020-Q2MitigatedAnnual report
「The shortage of products supplied to the market that occurred temporarily has been easing as production activities resume in China and other Asian countries, although」
Regarding the disruption to overseas production and supply described since the previous fiscal year, it states that temporary product shortages are moving toward resolution as production activities resume in China and other Asian countries. - FY2020-Q1MaterialisedAnnual report
「The housing equipment industry, which is closely related to our group, has also experienced difficulties procuring and producing parts and products from China and other Asian countries due to the impact of COVID-19, causing major problems throughout the industry in supplying products to the market. Our company has not experienced any major delays so far, but the situation remains uncertain.」
The Company states that disruptions to the procurement and production of parts and products from overseas are actually occurring across the industry. However, the Company itself has not experienced any significant delays to date. - FY2019ReframedAnnual report
「Although demand conditions are stable for inbound demand, the minpaku business, and remodeling, selling prices across the housing equipment industry, particularly for standard products, have shown little growth. In the standard and general-purpose product fields, which are the Company’s main markets, the business environment is becoming one in which the Company cannot absorb risk costs arising from higher freight and other material costs and increasingly sophisticated customer requirements.」
The disclosure has been broadened from individual issues involving production delays and higher procurement prices and freight costs at existing overseas suppliers to wider risks in the earnings environment, namely cost pressures from freight, materials and customer requirements for mass-market and general-purpose products. - FY2018RestatedAnnual report
「Sales of core products such as toilets declined because production delays at overseas suppliers reduced the supply of sanitary ware, and the Company scaled back and withdrew from sales of low-margin products. As a result, revenue for the fiscal year under review decreased from the previous fiscal year. In terms of profit, despite efforts to reduce various expenses, the operating loss and ordinary loss for the fiscal year under review increased from the previous fiscal year due to the decline in revenue described above, as well as higher purchase prices charged by overseas suppliers and increased freight costs.」
Delays in production by overseas suppliers, higher purchase prices and increased freight costs have emerged as factors contributing to the annual decline in sales, operating loss and expansion of ordinary loss. - FY2018-Q3MaterialisedAnnual report
「Sales for the nine months ended 30 September declined only marginally year on year, as delays in the production of sanitary ware by overseas suppliers reduced sales of the company's main toilet products. Although the company worked to reduce various expenses, operating loss and ordinary loss for the nine months ended 30 September increased slightly from the same period a year earlier due to price increases by overseas suppliers and higher freight costs.」
Production delays at an overseas supplier of sanitary ware resulted in lower sales of the company's main products. Higher purchase prices and freight costs also contributed to larger operating and ordinary losses.