Risk of Delayed Commissioning and Failure to Realize Benefits from Capital Investments
First written in FY2021. 7 of 9 entries say "Mitigated", first in FY2022. Latest entry: FY2026.
The whole theme swung hardest in 2026: 1 of 6 companies on the "Worse" side.
2 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「In February this year, the company began operating the energy-saving, low-CO2 electric furnace at the Sakai Plant and has been implementing capital investments at each site as planned.」
The company disclosed that operations began in February 2026 at the electric furnace, for which the risk of delayed start-up had materialized following a revision to the construction schedule. - FY2026-H1MaterialisedAnnual report
「Regarding the installation of the energy-saving, low-CO2 electric furnace at the Sakai Plant, the construction schedule was revised following adjustments to the construction process, and work is proceeding with start-up planned during the current fiscal year,」
The construction schedule was revised from the previous planned completion date of October 2025, and the start-up timing was changed. The risk of delayed start-up of the capital investment has materialized as an actual change to the construction schedule. - FY2025MitigatedAnnual report
「We continued steady improvements in yield and energy intensity centered on shop-floor activities and carried out planned capital investments at each site, including starting the main construction work for the energy-saving, low-CO2 electric furnace at the Sakai Plant, scheduled for completion in 2025, and completing the new product warehouse at the West Japan Kumamoto Plant.」
The company disclosed that capital investment projects are progressing as planned, including the start of main construction on the electric furnace at the Sakai Plant and completion of the warehouse at the Kumamoto Plant. - FY2025-H1MitigatedAnnual report
「Regarding capital investment, foundation work has begun on the energy-saving, low-CO2 electric furnace at the Sakai Plant, for which a decision was made last fiscal year and completion is scheduled for fiscal 2025. The product warehouse at the West Japan Kumamoto Plant was completed in July this year, and we are improving truck drivers' working conditions by shortening loading times. Investment plans are progressing as scheduled.」
The company disclosed progress and completion as planned for the electric furnace at the Sakai Plant and the product warehouse at the Kumamoto Plant, indicating that measures to address the risk of delays in launching capital investments are progressing. - FY2024MitigatedAnnual report
「During the fiscal year, the company decided to install an energy-saving, low-CO2 electric furnace at the Sakai Plant, build a new product warehouse and expand solar power generation facilities at the Kumamoto Plant, and transfer rail-processing equipment at the Onkajima Plant. It is working to minimize risks by establishing project structures to ensure start-up as planned.」
For multiple capital investment projects, the company has established project structures aimed at start-up as planned and explicitly disclosed measures to address the risk of delayed start-up and unrealized benefits. - FY2022MitigatedAnnual report
「Construction work to strengthen the rolling line at the Osaka Operations Office was completed in fiscal 2020, and certification and approval for major product types were completed in fiscal 2021. As commercial production began, we worked to improve the direct-delivery rate of hot billets from steelmaking to rolling as a result of production consolidation, and energy-saving effects have also begun to emerge.」
For the approximately ¥9.0 billion rolling-line strengthening investment, equipment construction, certification and approval, and the start of commercial production have progressed, and the investment benefits have begun to materialize. Measures to address the risk of delayed start-up and unrealized benefits are therefore progressing. - FY2021First statedAnnual report
「Steelmaking is a capital-intensive industry that requires substantial capital expenditures and equipment repair spending on an ongoing basis. When replacing aging equipment, the company carries out the work while incorporating as much functional improvement and energy-saving measures as possible. However, if these projects do not start up as planned and their benefits are not fully realized, the Group's results and financial position could be adversely affected.」
The company newly identified the risk that capital investments may not start up as planned and their benefits may not materialize. Approximately ¥9.0 billion is being invested in measures to strengthen the rolling line at the Osaka Works, with the start of commercial production targeted for fiscal 2021.