Risk of Raw Material Supply Constraints and Price Spikes
First written in FY2024. 1 of 2 entries say "Raised", first in FY2026. Latest entry: FY2026.
The whole theme swung hardest in 2021: 42 of 70 companies on the "Worse" side.
0 other companies' latest entry also says "Raised".
- FY2026Expansion of raw material procurement risk factorsAnnual report
「Our group purchases raw materials and other items from multiple external suppliers. If stable procurement becomes difficult because of market fluctuations, tight supply and demand, geopolitical risks, natural disasters, logistics disruptions or other factors, or if production costs rise because of a surge in raw material prices, these circumstances may have a material impact on our group's operating results and financial condition.」
In addition to the existing risks of supplier shutdowns, supply capacity constraints and price increases, the company explicitly identified market conditions, tight supply and demand, geopolitical risks, natural disasters and logistics disruptions as procurement risk factors. - FY2024First statedAnnual report
「Our group purchases raw materials and other items from multiple external suppliers. If we become unable to procure the necessary raw materials because of a supplier's suspension of operations or supply capacity constraints, or if production costs rise because of a surge in raw material prices, these circumstances may have a material impact on our group's operating results and financial condition.」
For procurement from multiple external suppliers, the company separately listed supplier shutdowns, supply capacity constraints and rising production costs caused by higher raw material prices as major risks.