Risk of Fluctuations in Housing Starts and Construction Demand
First written in FY2016. 18 of 30 entries say "Worsened", first in FY2018-Q3. Latest entry: FY2026.
Lixil moved to the "Worse" side of this theme in 2023, 3 years after the typical company in this theme (2020).
The whole theme swung hardest in 2020: 21 of 39 companies on the "Worse" side.
8 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「The number of new housing starts fell sharply, down 12.9% year on year, as the effects of amendments to housing-related laws coincided with supply constraints for key construction materials and higher construction costs caused by global inflation.」
The Company explains that new housing starts declined 12.9% year on year, indicating that housing demand volatility risk worsened further in the full-year results. - FY2026-H1RestatedAnnual report
「In housing investment, government housing energy-efficiency support measures continued to create demand in the window renovation market, particularly for insulation products. However, new housing starts remained weak in the new-build market because rising housing prices caused by persistently high construction material prices and other factors weakened sentiment toward purchasing homes.」
While subsidies continued to generate demand for window renovations, new housing starts remained weak because rising housing prices weakened sentiment toward purchasing homes. - FY2025-H1WorsenedAnnual report
「In housing investment, demand was created in the window renovation market, particularly for insulation products, through large-scale government housing energy-efficiency support measures. However, new housing starts, particularly for owner-occupied housing, remained weak in the new-build market because rising housing prices caused by persistently high construction material prices and other factors weakened sentiment toward purchasing homes.」
While subsidies created demand for window renovations, new housing starts, particularly owner-occupied housing, remained weak in the new-build market because rising housing prices weakened sentiment toward purchasing homes. - FY2024-Q1WorsenedAnnual report
「In addition, in housing investment, rental housing and homes for sale remained relatively firm, but the decline in owner-occupied housing showed no sign of easing because of concern about higher mortgage rates and the sustained impact of elevated construction material prices, among other factors. New housing starts remained weak, leaving the outlook uncertain.」
The decline in demand for owner-occupied housing showed no sign of easing, and new housing starts were also described as weak, indicating that the challenging housing demand environment has persisted and worsened. - FY2023WorsenedAnnual report
「In addition, in housing investment, rental housing and homes for sale remained relatively firm, but owner-occupied housing continued to decline because of concern about higher mortgage rates and the sustained impact of elevated construction material prices, among other factors. New housing starts remained weak, leaving the outlook uncertain.」
Housing starts remained weak, with continued uncertainty including declining demand for owner-occupied housing and the impact of interest rates and material prices. - FY2023-Q2WorsenedAnnual report
「In addition, in housing investment, new housing starts remained generally weak. Although rental housing and homes for sale showed resilience, owner-occupied housing continued to trend weakly, partly because of rising construction material prices, leaving the outlook uncertain.」
The Company explains that overall housing starts remained weak and that owner-occupied housing continued to weaken, indicating that housing demand volatility risk has persisted and worsened. - FY2023-Q1WorsenedAnnual report
「In addition, in housing investment, new housing starts turned negative year on year from May. Although rental housing and homes for sale remained relatively firm, owner-occupied housing continued to trend weakly, leaving the outlook uncertain.」
The Company explains that housing investment, which had been viewed as recovering in the previous fiscal year, turned negative year on year from May and that weakness in owner-occupied housing has continued. - FY2022MitigatedAnnual report
「Housing investment remained solid, supported by stronger housing demand during the COVID-19 pandemic and various government measures to support home purchases. New housing starts increased for the first time in 3 years to 866 thousand units, up 6.6% year on year, indicating signs of recovery, although concern remains about the impact of longer construction periods and delays in property handovers caused by difficulties procuring materials and parts from overseas.」
New housing starts increased for the first time in 3 years to 866 thousand units, up 6.6% year on year, indicating a recovery in the housing investment environment. However, delays caused by difficulties procuring materials and parts remain. - FY2022-Q3MitigatedAnnual report
「In housing investment, new housing starts continued to increase year on year for 10 consecutive months from March of the previous year, showing signs of a recovery centered on owner-occupied and rental housing, although concern remains about the impact of longer construction periods and delays in property handovers caused by difficulties procuring materials and parts from overseas.」
New housing starts increased year on year for 10 consecutive months, and the housing investment environment continued to recover. However, difficulties procuring materials and parts remain a concern because of delays in construction schedules and property handovers. - FY2022-Q2MitigatedAnnual report
「In housing investment, new housing starts increased year on year for 6 consecutive months from April onward, showing signs of a recovery centered on owner-occupied and rental housing, although concern remains about the impact of continued shortages in material supplies.」
New housing starts increased year on year for 6 consecutive months from April onward, indicating a recovery in housing investment centered on owner-occupied and rental housing. However, shortages in material supplies remain a concern. - FY2022-Q1MitigatedAnnual report
「In housing investment, new housing starts in all three categories, owner-occupied, rental and for-sale housing, turned positive year on year from April onward and showed signs of recovery, although concern remains about the impact of material shortages caused by the wood shock and other factors.」
New housing starts for owner-occupied, rental and for-sale housing turned positive year on year from April onward, indicating a recovery in the housing investment environment. The impact of material shortages is identified as a concern. - FY2021WorsenedAnnual report
「In housing investment, rental housing and homes for sale continued to remain below the previous year's level. Although owner-occupied housing has recently shown some bright spots, new housing starts are expected to continue declining over the medium to long term, and the environment remains challenging for the Company.」
While owner-occupied housing showed some bright spots, rental housing and homes for sale continued to fall below the previous year's level, indicating an expected medium- to long-term decline in new housing starts. - FY2021-Q2MitigatedAnnual report
「In housing investment, new housing starts for owner-occupied, rental and for-sale housing all remained below the year-earlier level and continued at low levels, but the market has recently been on a gradual recovery trend, with signs of pent-up demand for new construction and renovation work.」
While housing starts remained low and continued to fall below the previous year's level, pent-up demand for new construction and renovation work indicated a gradual recent recovery in the housing investment environment. - FY2021-Q1WorsenedAnnual report
「In housing investment, new housing starts declined by more than 10% year on year in each of the 3 months from April through June, representing a significant drop. The decline was particularly pronounced in owner-occupied housing because of construction delays caused by the impact of COVID-19 and weaker consumer sentiment, among other factors, and the environment remains challenging for the Company, along with delays in renovation work.」
New housing starts declined by more than 10% year on year for 3 consecutive months from April through June, compounded by delays in owner-occupied housing starts, weaker consumer sentiment and delays in renovation work. - FY2020WorsenedAnnual report
「New housing starts fell to 884 thousand units, down 7.3% year on year, and are expected to continue declining over the medium to long term, leaving the Company in a challenging environment.」
The decline in housing starts was greater than in the previous fiscal year, and a medium- to long-term decline is also expected. - FY2020-Q3WorsenedAnnual report
「In addition to owner-occupied housing falling below the previous year's level from August onward and rental housing continuing to decline, homes for sale, which had previously been growing, also fell below the previous year's level. As a result, the overall market is beginning to weaken more than before, and the challenging environment continues for the Company.」
In addition to owner-occupied and rental housing, homes for sale also fell below the previous year's level, intensifying the weakness in overall new housing starts compared with the previous quarter. - FY2020-Q2WorsenedAnnual report
「In housing investment, new housing starts for owner-occupied housing, which had driven the overall market, fell below the year-earlier level in the second quarter, while homes for sale continued to increase. However, overall housing starts are expected to remain below the previous year's level, and the environment remains challenging for the Company.」
New housing starts for owner-occupied housing fell below the year-earlier level, and the challenging housing demand environment is expected to continue, with the overall market also likely to remain below the previous year's level. - FY2020-Q1WorsenedAnnual report
「As stated above, the cumulative first-quarter results for the current fiscal year got off to a solid start, but demand is expected to decline from the second quarter onward as a result of fewer new housing starts in Japan, making it necessary to continue transforming the business structure so that it is less susceptible to changes in the external environment.」
While the first quarter was solid, demand is expected to decline from the second quarter onward as a result of fewer new housing starts, indicating concern about a downturn in the housing demand environment. - FY2019MitigatedAnnual report
「Housing investment saw rental housing continue to decline from the previous fiscal year, while owner-occupied housing and homes for sale increased, resulting in new housing starts of 953 thousand units, up 0.7% year on year.」
While rental housing continued to decline, growth in owner-occupied housing and homes for sale lifted new housing starts by 0.7% year on year, indicating a recovery in the housing investment environment. - FY2019-Q3MitigatedAnnual report
「In addition, in housing investment, new housing starts for rental housing continued to decline, while owner-occupied housing and homes for sale both increased, indicating signs of recovery in the environment for the Company's domestic business.」
While rental housing continued to decline, owner-occupied housing and homes for sale increased, indicating signs of recovery in the domestic housing investment environment. - FY2019-Q2WorsenedAnnual report
「However, in housing investment, new housing starts for homes for sale increased, while owner-occupied and rental housing continued to trend downward, and the challenging environment remains in place.」
The downward trend in new housing starts, centered on owner-occupied and rental housing, and the challenging housing investment environment continued into the second quarter. - FY2019-Q1WorsenedAnnual report
「In housing investment, the downward trend in new housing starts, centered on owner-occupied and rental housing, continued from the previous fiscal year, and the environment remains challenging for the Company.」
The decline in new housing starts continued into the first quarter, reaffirming the challenging housing investment environment. - FY2018MaterialisedAnnual report
「Housing investment declined, as the number of new housing starts fell to 946 thousand units, down 2.8% year on year, after owner-occupied and rental housing had increased in the previous fiscal year.」
The decline in new housing starts emerged in the full-year market results, confirming that housing demand volatility risk had materialized as an actual change in the business environment. - FY2018-Q3WorsenedAnnual report
「In housing investment, the latest number of new housing starts has declined, but the remodeling market has been on a recovery trend from the previous year, supported by measures such as subsidies under the government's housing stock circulation support program.」
While the remodeling market is described as recovering, the latest number of new housing starts has declined, indicating a deterioration factor for overall housing demand. - FY2018-Q2MitigatedAnnual report
「In housing investment, the number of new housing starts has remained firm, while the remodeling market has been on a recovery trend from the previous year, supported by measures such as subsidies under the government's housing stock circulation support program.」
Housing starts and remodeling demand are described as firm and recovering, indicating an improvement in the current situation regarding the risk of fluctuations in housing demand. - FY2017RestatedAnnual report
「Significant fluctuations in the number of housing starts and the value of construction orders received by construction companies could adversely affect the Group's operating results and financial condition.」
We continue to disclose our dependence on domestic housing starts and construction demand, as well as the related fluctuation risk. - FY2016First statedAnnual report
「Significant fluctuations in the number of housing starts and the value of construction orders received by construction companies could adversely affect the Group's operating results and financial condition.」
The risk arising from the fact that most domestic operating revenue is affected by demand in Japan is disclosed.