Decline in Ferronickel Sales Due to a Shift in Raw Material Sourcing to Nickel Pig Iron and Other Materials
First written in FY2021-Q1. 9 of 16 entries say "Restated". Latest entry: 2026-08-06.
Pacific Metals moved to the "Worse" side of this theme in 2020.
0 other companies' latest entry also says "Restated".
- 2026-08-06RestatedRevisions to earnings forecasts
「Demand for ferronickel remained weak, as procurement shifted to nickel pig iron, which offered a price advantage in addition to the conditions described above, and stainless steel scrap blending ratios were reviewed with carbon neutrality in mind.」
The company reconfirms weak ferronickel demand against a backdrop of procurement shifting to nickel pig iron and reviews of stainless steel scrap blending ratios. - FY2026WorsenedAnnual report
「In addition to the previously described conditions, ferronickel demand has been trending lower as procurement has shifted toward nickel pig iron, which offers a relative price advantage, and as stainless steel scrap blending ratios have been reviewed with carbon neutrality in mind.」
The shift in procurement toward nickel pig iron was described as a "shift" rather than a "partial" shift, while the review of scrap blending ratios continued, indicating a slowdown in ferronickel demand. - FY2026-H1WorsenedAnnual report
「In addition to the previously described conditions, ferronickel demand is affected by the shift in procurement toward nickel pig iron, which offers a relative price advantage」
Regarding raw material procurement by overseas stainless steel producers, the description changed from "partial shift" to "shift," indicating that the transition toward nickel pig iron is continuing. Against this backdrop, sales volume declined 42.4% from the previous interim period. - FY2025-H1RestatedAnnual report
「The price of nickel pig iron, which offers the previously described relative price advantage, has come to affect our selling prices, and we continue our policy of strategically limiting volumes so as not to impair a certain level of profitability」
Assuming that nickel pig iron prices affect ferronickel selling prices, we continue to strategically limit volumes in order to maintain profitability. - FY2024RestatedAnnual report
「Because the price of nickel pig iron, which offers a relative price advantage, has come to affect our selling prices, our pricing levels are determined with partial reference to nickel pig iron prices in addition to LME nickel prices and foreign exchange rates」
We have reconfirmed the risk that nickel pig iron prices may affect ferronickel selling prices and, consequently, projected earnings and sales volume. - FY2024-Q3RestatedAnnual report
「As nickel pig iron prices, which offer the price advantages described above, continued to affect our selling prices, we continued our policy of strategic volume controls that would not compromise a certain level of profitability. As a result, sales to both domestic and overseas markets declined from the same quarter of the previous year, resulting in an overall decrease of 52.7% year on year.」
We have reconfirmed the situation in which nickel pig iron prices affect our selling prices and our resulting policy of strategically limiting volumes. - FY2024-Q2RestatedAnnual report
「The price of nickel pig iron, which offers the previously described relative price advantage, has come to affect our selling prices」
We have reconfirmed the situation in which the price of nickel pig iron, which offers a price advantage, affects our selling prices. - FY2024-Q1RestatedAnnual report
「Overseas stainless steel producers have partially shifted procurement toward nickel pig iron, which offers a relative price advantage, and nickel pig iron prices have come to affect our selling prices. Accordingly, we continued our policy of strategically limiting volumes so as not to impair a certain level of profitability」
We have reconfirmed the partial shift by overseas stainless steel producers toward nickel pig iron and the situation in which its price affects our selling prices. In light of this, we continue our policy of strategically limiting volumes. - FY2023-Q2WorsenedAnnual report
「Ferronickel products account for most of our group's sales. Although their selling prices are set with reference to LME nickel prices and foreign exchange rates, the price of nickel pig iron, which offers a relative price advantage, has come to affect our selling prices as well. Accordingly, our pricing levels are now determined with partial reference to nickel pig iron prices in addition to LME nickel prices and foreign exchange rates. If nickel pig iron prices have a pronounced impact, we may be unable to secure projected earnings.」
The impact of nickel pig iron prices on selling price formation was explicitly stated, expanding the perceived risk that projected earnings may not be secured based solely on LME prices and foreign exchange rates. - FY2023-Q1RestatedAnnual report
「The shift by overseas stainless steel producers toward nickel pig iron and other alternatives, which offer a relative price advantage, continued in part」
The partial shift by overseas stainless steel producers toward nickel pig iron and other alternatives continued and became a factor behind the decline in sales volume. - FY2022RestatedAnnual report
「Although overseas stainless steel producers have partially shifted raw material procurement toward nickel pig iron and other alternatives, which offer a relative price advantage」
The partial shift in raw material procurement toward nickel pig iron and other alternatives continued, but sales volume increased 30.1% year on year. - FY2022-Q3RestatedAnnual report
「Although overseas stainless steel producers have partially shifted raw material procurement toward nickel pig iron and other alternatives, which offer a relative price advantage, sales increased both domestically and overseas against the backdrop of the stainless steel industry's previously described conditions, rising 31.9% year on year overall.」
The partial shift in raw material procurement toward nickel pig iron and other alternatives continued, but ferronickel sales volume increased 31.9% year on year. - FY2022-Q1SoftenedAnnual report
「Against this backdrop, although overseas stainless steel producers have partially shifted their raw material sourcing toward nickel pig iron and other materials offering relatively greater price advantages, our ferronickel sales increased to both domestic and overseas markets from the same quarter of the previous year, resulting in an overall increase of 41.4% year on year.」
The shift by overseas stainless steel producers toward nickel pig iron and other alternatives was described as "partial," and sales volume recovered, increasing 41.4% year on year. - FY2021-Q3WorsenedAnnual report
「In terms of volume, although some overseas parts of the stainless steel industry, the main source of demand for the nickel business, are on a recovery trend, the shift in raw-material procurement to nickel pig iron and other materials offering relatively greater price competitiveness has slowed the recovery in ferronickel demand, and conditions are expected to remain challenging.」
The shift in raw material procurement toward nickel pig iron and other alternatives continues, while the recovery in ferronickel demand remains weak. Conditions are expected to remain challenging. - FY2021-Q2WorsenedAnnual report
「The overseas stainless steel producers' raw-material procurement shifted to nickel pig iron and other materials offering relatively greater price competitiveness, resulting in a challenging sales environment.」
The description changed from the previous quarter's "temporary shift" to a shift in overseas stainless steel producers' raw-material procurement toward nickel pig iron and other materials, resulting in a challenging sales environment that led to a 35.0% year-on-year decline in sales volume. - FY2021-Q1First statedAnnual report
「The overseas stainless steel producers' raw-material procurement temporarily shifted to nickel pig iron and other materials offering relatively greater price competitiveness, resulting in a challenging sales environment.」
The temporary shift by overseas stainless steel producers in their raw-material procurement to nickel pig iron and other materials with a price advantage was cited for the first time as a factor worsening the ferronickel sales environment.