Slowing growth in existing chemical product markets and the impact of environmental regulations and alternative technologies
First written in FY2020. 7 of 19 entries say "Worsened", first in FY2021-Q2. Latest entry: FY2026.
Kunimine Industries moved to the "Worse" side of this theme in 2025, 2 years after the typical company in this theme (2023).
The whole theme swung hardest in 2023: 13 of 23 companies on the "Worse" side.
6 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「Although demand increased mainly for Kunipia applications in cosmetics and daily necessities, export demand for general industrial applications declined. In addition, the impact of inventory write-downs due to the disposal of off-specification products and other factors resulted in lower revenue and profit.」
In addition to declining demand in the existing sales markets, inventory write-downs due to the disposal of off-specification products and other factors were reflected in performance, increasing the impact on the Clay Science business's slowing growth and profitability. - FY2026-H1WorsenedAnnual report
「Revenue declined mainly because of the impact of lower demand for KUNIPIA clay products for general industrial applications destined for export. As a result, segment revenue was ¥883 million, down 13.1% year on year, and segment profit was ¥81 million, down 58.1%.」
The continuing decline in export demand for Kunipia for general industrial applications, an existing chemicals sales market, is becoming evident in decreases in revenue and segment profit. - FY2025WorsenedAnnual report
「In this area, we are also developing new applications to maximize the latent benefits inherent in clay, but the time required for social implementation remains an issue.」
The risks and challenges facing the Clay Science business were identified as including environmental regulations, alternative technologies, and the time required to achieve social implementation of new applications. - FY2025-H1MitigatedAnnual report
「In addition to the recovery in demand for KUNIPIA clay products for general industrial applications destined for export, the effects of price revisions implemented across various fields since the previous fiscal year resulted in higher revenue and profit. As a result, segment revenue was ¥1,016 million, up 31.4% year on year, and segment profit was ¥193 million, compared with a segment loss of ¥22 million in the same period of the previous year.」
Export demand in Kunipia's existing sales markets recovered, and revenue and profit improved, aided by the effects of price revisions. The impact of slower growth in the existing sales markets eased during the six-month period. - FY2024Revenue increased following price revisions despite declining demand, but profit fell sharply.Annual report
「Although demand for Kunipia exports for general industrial applications declined, revenue increased slightly as price revisions progressed from the second half onward. Profit fell sharply because manufacturing costs increased.」
Demand in the existing sales markets continued to decline, but revenue increased slightly following price revisions. Meanwhile, profit continued to deteriorate because of higher manufacturing costs. - FY2024-Q3WorsenedAnnual report
「In addition to lower demand for KUNIPIA clay products for general industrial applications destined for export, higher manufacturing costs resulted in a substantial decrease in both revenue and profit. As a result, revenue in this field was ¥960 million, down 6.3% year on year, and operating loss was ¥20 million, compared with operating profit of ¥107 million in the same period of the previous year.」
The decline in export demand for Kunipia for general industrial applications, an existing chemicals sales market, and higher manufacturing costs were reflected in a 6.3% decrease in revenue and a change from operating profit to an operating loss of ¥20 million. - FY2024-Q1WorsenedAnnual report
「In addition to lower demand for KUNIPIA clay products for general industrial applications destined for export, higher manufacturing costs resulted in a substantial decrease in both revenue and profit. As a result, revenue in this field was ¥281 million, down 12.9% year on year, and operating loss was ¥52 million, compared with operating profit of ¥40 million in the same period of the previous year.」
The decline in export demand for Kunipia for general industrial applications, an existing chemicals sales market, became evident in a 12.9% decrease in revenue and a change from operating profit in the same period of the previous fiscal year to an operating loss of ¥52 million. - FY2023-Q3WorsenedAnnual report
「In the fine chemicals field, demand declined across various areas, mainly for KUNIPIA clay products for general industrial applications destined for export, resulting in lower revenue and profit. As a result, segment revenue was ¥1,145 million, down 16.4% year on year, and segment profit was ¥103 million, down 57.5%.」
The continuing decline in demand in the existing chemicals sales markets quantified the impact of slower growth more significantly than in the previous quarter, with revenue down 16.4% and segment profit down 57.5%. - FY2023-Q2MaterialisedAnnual report
「In the fine chemicals field, demand declined across various areas, mainly for KUNIPIA clay products for general industrial applications destined for export, resulting in lower revenue and profit. As a result, segment revenue was ¥777 million, down 14.0% year on year, and segment profit was ¥95 million, down 34.7%.」
The decline in demand in the existing chemicals sales markets was reflected in performance as a 14.0% decrease in revenue and a 34.7% decrease in segment profit. - FY2023-Q1MaterialisedAnnual report
「In the fine chemicals field, demand declined across various areas, mainly for KUNIPIA clay products for general industrial applications destined for export, resulting in lower revenue and profit. As a result, segment revenue was ¥370 million, down 20.7% year on year, and segment profit was ¥36 million, down 54.4%.」
The decline in demand in the existing chemicals sales markets was reflected in performance as a 20.7% decrease in revenue and a 54.4% decrease in profit. - FY2022MitigatedAnnual report
「In the fine chemicals field, demand increased across various areas, mainly for exports of Kunipia for general industrial applications, resulting in substantial increases in revenue and profit. As a result, segment revenue was ¥1,770 million, up 25.4%, and segment profit was ¥269 million, up 130.6%.」
Demand in the existing sales markets, which had declined through the previous fiscal year, increased, mainly for Kunipia exports, resulting in a substantial improvement in both revenue and profit. - FY2022-Q3MitigatedAnnual report
「In the fine chemicals field, demand increased across various areas, mainly for KUNIPIA clay products for general industrial applications destined for export, resulting in a substantial increase in both revenue and profit. As a result, segment revenue was ¥1,369 million, up 43.3% year on year, and segment profit was ¥243 million, up 804.8%.」
In the existing chemicals sales markets, demand increased, mainly for Kunipia exports, resulting in a 43.3% increase in revenue and an 804.8% increase in segment profit. The impact of declining demand and slower growth therefore eased. - FY2022-Q2MitigatedAnnual report
「In the fine chemicals field, demand increased across various areas, mainly for KUNIPIA clay products for general industrial applications destined for export, resulting in a substantial increase in both revenue and profit. As a result, segment revenue was ¥904 million, up 68.5% year on year, and segment profit was ¥146 million, compared with a segment loss of ¥34 million in the same period of the previous year.」
Demand, which had declined in the existing chemicals sales markets through the previous fiscal year, increased, mainly for Kunipia exports. Revenue rose 68.5%, and the segment turned from a loss in the same period of the previous fiscal year to a profit. The impact of slower growth in the existing sales markets eased during the quarter. - FY2022-Q1MitigatedAnnual report
「In the fine chemicals business, demand increased across sectors, particularly for Kunipia for general industrial applications destined for export, resulting in significantly higher revenue and earnings. As a result, segment net sales were ¥467 million, up 77.0% year on year, and segment profit was ¥81 million, compared with a segment loss of ¥24 million in the same period of the previous year.」
Demand, which had declined in the existing chemicals sales markets through the previous fiscal year, increased, mainly for Kunipia exports. Revenue rose 77.0%, and the segment turned from a loss to a profit. The impact of slower growth in the existing sales markets eased during the quarter. - FY2021MitigatedAnnual report
「In fine chemicals, demand declined sharply through the second quarter, mainly for exports of Kunipia for general industrial applications, but it began to recover from the third quarter onward, resulting in a slight decline in revenue for the full fiscal year.」
Demand in existing chemical-product sales fields began to recover from the third quarter onward, limiting the full-year revenue decline to 4.3%. - FY2021-Q3MitigatedAnnual report
「In the fine chemicals field, demand in various areas, mainly for exports of Kunipia for general industrial applications, was recovering, but the sharp decline through the second quarter continued to weigh on results, resulting in lower revenue and profit. As a result, segment revenue was ¥956 million, down 14.0%, and segment profit was ¥26 million, down 59.9%.」
Demand was trending toward recovery and the impact was partly mitigated as the segment returned to profit from a loss in the previous quarter. However, revenue declined by 14.0% and profit by 59.9%, indicating that growth in existing sales fields continued to slow. - FY2021-Q2WorsenedAnnual report
「In the fine chemicals field, demand declined across various fields, mainly for exports of Kunipia for general industrial applications, resulting in lower revenue and profit. As a result, segment revenue was ¥537 million, down 25.5%, and the segment recorded a loss of ¥34 million, compared with segment profit of ¥47 million in the same period of the previous year.」
The decline in demand in existing chemical-product sales fields was quantified, with the impact of slowing growth and changes in the business environment becoming clearer through a 25.5% decline in revenue and a shift from profit to loss. - FY2021-Q1MaterialisedAnnual report
「In the fine chemicals business, demand declined across sectors, particularly for Kunipia for general industrial applications destined for export, resulting in lower revenue and earnings.」
Declining demand in the existing sales fields for chemical products actually occurred and appeared in business performance as lower revenue and lower profit. - FY2020First statedAnnual report
「In the chemical-products business, limited prospects for future growth in existing sales fields that had grown to date have become a challenge. In fine chemicals, changes in market needs resulting from stricter environmental regulations and the emergence of alternative technologies and materials could affect business performance.」
For the chemical-products business, the Company explicitly identified reduced growth potential in existing sales fields, changes in needs due to stricter environmental regulations, and the emergence of alternative technologies and materials as new risks and challenges.