Logistics Cost Increases Due to the 2024 Logistics Problem
First written in FY2024. 2 of 4 entries say "Materialised", first in FY2025-H1. Latest entry: FY2026-H1.
Hokuetsu Metal moved to the "Worse" side of this theme in 2024, 1 year before the typical company in this theme (2025).
The whole theme swung hardest in 2024: 13 of 37 companies on the "Worse" side.
9 other companies' latest entry also says "Materialised".
- FY2026-H1MaterialisedAnnual report
「The business environment became challenging as a result of a series of factors, including labor shortages in the construction industry, a major customer industry, reduced construction capacity due to extreme heat, and reviews of construction plans prompted by surging prices for various materials and labor costs. Demand for steel products for construction fell substantially.」
In addition to weak demand associated with reviews of construction plans and other factors, surging prices for various materials and labor costs are described as actual business-environment factors. There is no new mention of logistics costs. - FY2025RestatedAnnual report
「Although the price of steel scrap, the principal raw material, remained on a downward trend, the company worked to maintain selling prices and pass on increases in logistics, labor and other costs under these conditions. As a result, the metal spread, the difference between steel scrap prices and selling prices, widened.」
Costs including logistics and labor costs have continued to rise, and the company is working to pass them on through selling prices. The disclosure states that the metal spread widened as a result of this pass-through. - FY2025-H1MaterialisedAnnual report
「The business environment became challenging due to rising logistics and labor costs, among other factors.」
Regarding the risk of rising logistics costs due to the 2024 logistics problem, the disclosure describes the increase in logistics costs as an actual business-environment factor. Rising labor costs are also mentioned. - FY2024First statedAnnual report
「Looking ahead, it is difficult to continue expecting a substantial recovery in construction demand. In addition, rising logistics costs due to the 2024 logistics problem and other factors are expected to result in a challenging operating environment.」
For the first time, rising logistics costs due to the 2024 logistics problem have been explicitly identified as a future operating-environment risk alongside weak construction demand.