Improvement in gross profit margin and control of selling, general and administrative expenses
First written in FY2017-Q1. 11 of 33 entries say "Worsened", first in FY2019. Latest entry: 2026-10-30.
Shima Seiki Mfg. moved to the "Worse" side of this theme in 2019, the same year as the typical company in this theme.
The whole theme swung hardest in 2017: 3 of 22 companies on the "Worse" side.
2 other companies' latest entry also says "Worsened".
- 2026-10-30WorsenedEarnings
「売上総利益率は改善したものの売上高減少により営業損失21億85百万円（前年同期は営業損失79百万円）」
売上総利益率は改善したが、売上高減少により営業損失が拡大した。 - FY2026AdvancedAnnual report
「In terms of earnings, the previous fiscal year included substantial one-off expenses and losses, including an inventory valuation loss (cost of sales), an increase in the provision for doubtful accounts (selling, general and administrative expenses), a foreign exchange loss (non-operating expenses) and an impairment loss (extraordinary loss). As these items were significantly lower in the current fiscal year than in the previous fiscal year, the company recorded an operating loss of ¥1,720 million, compared with an operating loss of ¥11,914 million in the previous fiscal year.」
Gross profit increased from ¥8,633 million in the previous fiscal year to ¥11,897 million, while selling, general and administrative expenses declined from ¥20,548 million to ¥13,617 million. The operating loss narrowed substantially but remained a loss. - FY2026-H1WorsenedAnnual report
「Although sales increased, the deterioration in the gross profit margin caused by lower selling prices amid intensifying competition resulted in an operating loss of ¥79 million, compared with an operating loss of ¥1,938 million in the same period of the previous year.」
Although the operating loss narrowed from the same period of the previous year, the gross profit margin deteriorated due to lower selling prices amid intensifying competition. - FY2025WorsenedAnnual report
「The company recorded an operating loss of ¥11,914 million, compared with operating income of ¥430 million in the previous fiscal year, due to lower sales and the recognition of an inventory valuation loss and a provision for doubtful accounts.」
Lower sales, an inventory valuation loss and the recognition of a provision for doubtful accounts caused operating income to deteriorate into an operating loss of ¥11,914 million. - FY2024AdvancedAnnual report
「In terms of earnings, operating income was ¥430 million, compared with an operating loss of ¥2,184 million in the previous fiscal year; ordinary income was ¥1,018 million, compared with an ordinary loss of ¥1,700 million; and net income attributable to owners of the parent was ¥1,030 million, compared with a net loss attributable to owners of the parent of ¥5,644 million. Each level of profit turned positive, driven by improvements in the gross profit margin and control of selling, general and administrative expenses.」
Improvements in the gross profit margin and control of selling, general and administrative expenses turned operating income, ordinary income and net income attributable to owners of the parent from losses in the previous fiscal year to profits. - FY2024-Q3RestatedAnnual report
「In terms of earnings, operating income was ¥758 million, compared with an operating loss of ¥644 million in the same period of the previous year; ordinary income was ¥1,198 million, compared with an ordinary loss of ¥405 million; and quarterly net income attributable to owners of the parent was ¥985 million, compared with a quarterly net loss attributable to owners of the parent of ¥1,058 million. Each level of profit turned positive, driven by improvements in the gross profit margin and control of selling, general and administrative expenses.」
The company continues to identify improvements in the gross profit margin and control of selling, general and administrative expenses as factors behind the improvement in earnings, reaffirming that each level of profit remained positive. - FY2024-Q2AdvancedAnnual report
「In terms of earnings, operating income was ¥367 million, compared with an operating loss of ¥435 million in the same period of the previous year; ordinary income was ¥564 million, compared with an ordinary loss of ¥207 million; and quarterly net income attributable to owners of the parent was ¥368 million, compared with a quarterly net loss attributable to owners of the parent of ¥511 million. Each level of profit turned positive, driven by improvements in the gross profit margin and control of selling, general and administrative expenses.」
Improvements in the gross profit margin and control of selling, general and administrative expenses turned each level of profit from a loss in the same period of the previous year to a profit. - FY2024-Q1AdvancedAnnual report
「In terms of earnings, operating income was ¥695 million, compared with an operating loss of ¥712 million in the same period of the previous year; ordinary income was ¥918 million, compared with an ordinary loss of ¥516 million; and net income attributable to owners of the parent was ¥740 million, compared with a net loss attributable to owners of the parent of ¥686 million. Each level of profit turned positive, driven by improvements in the gross profit margin and control of selling, general and administrative expenses.」
Improvements in the gross profit margin and control of selling, general and administrative expenses turned operating income, ordinary income and quarterly net income attributable to owners of the parent from losses in the same period of the previous year to profits. - FY2023AdvancedAnnual report
「Despite the impact of higher component and raw material prices and logistics costs amid the COVID-19 pandemic, the gross profit margin showed signs of recovery as plant operating rates improved and the company pursued ongoing cost reductions. The operating loss was ¥2,184 million, compared with an operating loss of ¥4,268 million in the previous fiscal year.」
Amid higher component and raw material prices and logistics costs, improved plant operating rates and ongoing cost reductions put the gross profit margin on a recovery trend and reduced the operating loss. - FY2023-Q3AdvancedAnnual report
「In terms of earnings, despite the impact of higher component and raw material prices and logistics costs amid the COVID-19 pandemic, the gross profit margin showed signs of recovery as plant operating rates improved and the company pursued ongoing cost reductions. The operating loss improved to ¥644 million, compared with an operating loss of ¥2,994 million in the previous fiscal year.」
Amid higher component and raw material prices and logistics costs, improved plant operating rates and ongoing cost reductions put the gross profit margin on a recovery trend and reduced the operating loss from the same period of the previous year. - FY2023-Q2MitigatedAnnual report
「In terms of earnings, despite the impact of higher component and raw material prices and logistics costs amid the COVID-19 pandemic, the gross profit margin showed signs of recovery as plant operating rates improved and the company pursued ongoing cost reductions. The operating loss improved to ¥435 million, compared with an operating loss of ¥1,355 million in the previous fiscal year.」
Amid higher component and raw material prices and logistics costs, improved plant operating rates and ongoing cost reductions put the gross profit margin on a recovery trend and reduced the operating loss from the same period of the previous year. - FY2023-Q1WorsenedAnnual report
「Although the company worked to reduce costs and improve productivity, higher component and raw material prices amid the COVID-19 pandemic lowered the gross profit margin, while higher global ocean freight costs and other factors resulted in an operating loss of ¥762 million, compared with an operating loss of ¥644 million in the previous fiscal year.」
Despite efforts to reduce costs and improve productivity, higher component and raw material prices and ocean freight costs lowered the gross profit margin, widening the operating loss from ¥644 million in the same period of the previous year to ¥762 million. - FY2022-Q3AdvancedAnnual report
「In terms of earnings, despite the impact of higher logistics and raw material costs, the gross profit margin showed signs of recovery as plant operating rates improved. In addition, efforts to control selling, general and administrative expenses reduced the operating loss to ¥3,183 million, compared with an operating loss of ¥6,555 million in the same quarter of the previous year.」
Despite the impact of higher logistics and raw material costs, improved plant operating rates and control of selling, general and administrative expenses reduced the operating loss from ¥6,555 million in the same period of the previous year to ¥3,183 million. - FY2022-Q2AdvancedAnnual report
「As a result, sales for the six months ended the second quarter totaled ¥15,814 million, up 56.2% year on year. In terms of earnings, the gross profit margin showed signs of recovery as plant operating rates improved, and efforts to control selling, general and administrative expenses reduced the operating loss to ¥1,558 million, compared with an operating loss of ¥4,183 million in the same quarter of the previous year.」
Improved plant operating rates and control of selling, general and administrative expenses reduced the operating loss from ¥4,183 million in the same period of the previous year to ¥1,558 million. - FY2022-Q1MitigatedAnnual report
「The gross profit margin showed signs of recovery as plant operating rates improved, and although selling expenses increased with higher sales, ongoing cost reductions and other measures reduced the operating loss to ¥644 million, compared with an operating loss of ¥1,970 million in the same quarter of the previous year.」
The gross profit margin showed signs of recovery as plant operating rates improved, and ongoing cost reductions also helped reduce the operating loss from the same period of the previous year. - FY2021WorsenedAnnual report
「In terms of earnings, the company recorded an operating loss of ¥9,143 million, compared with an operating loss of ¥5,602 million in the same quarter of the previous year, due in part to a substantial decline in sales, lower selling prices and a deterioration in the gross profit margin following production adjustments.」
The operating loss widened from the previous fiscal year due to lower sales, lower selling prices and a deterioration in the gross profit margin following production adjustments. - FY2021-Q3WorsenedAnnual report
「In terms of earnings, the company recorded an operating loss of ¥6,555 million, compared with an operating loss of ¥3,856 million in the same quarter of the previous year, as a substantial decline in sales and lower selling prices, together with production adjustments, lowered plant operating rates and deteriorated the gross profit margin. Although the company worked to reduce costs, the ratio of selling, general and administrative expenses to sales rose as sales declined.」
Despite efforts to reduce costs, the deterioration in the gross profit margin caused by lower selling prices and plant operating rates and the higher ratio of selling, general and administrative expenses to sales continued, widening the operating loss from ¥3,856 million in the same period of the previous year to ¥6,555 million. - FY2021-Q2WorsenedAnnual report
「In terms of earnings, the company recorded an operating loss of ¥4,183 million, compared with an operating loss of ¥2,710 million in the same quarter of the previous year, as a substantial decline in sales and lower selling prices, together with production adjustments, lowered plant operating rates and deteriorated the gross profit margin. Although the company worked to reduce costs, the ratio of selling, general and administrative expenses to sales rose as sales declined.」
Despite efforts to reduce costs, the deterioration in the gross profit margin caused by lower selling prices and plant operating rates and the higher ratio of selling, general and administrative expenses to sales continued, widening the operating loss. - FY2021-Q1WorsenedAnnual report
「In terms of earnings, production adjustments, including temporary plant closures due to the spread of COVID-19, lowered plant operating rates and deteriorated the gross profit margin. Although the company worked to reduce costs, the ratio of selling, general and administrative expenses to sales rose as sales declined, resulting in an operating loss of ¥1,970 million, compared with an operating loss of ¥872 million in the same quarter of the previous year.」
Production adjustments involving temporary plant closures lowered plant operating rates, and the resulting deterioration in the gross profit margin and higher ratio of selling, general and administrative expenses to sales widened the operating loss. - FY2020-Q3RestatedAnnual report
「The company recorded an operating loss of ¥3,856 million, compared with operating income of ¥5,601 million in the same quarter of the previous year, as a substantial decline in sales continued, along with a deterioration in the gross profit margin caused by lower selling prices and plant operating rates.」
The deterioration in the gross profit margin caused by lower selling prices and plant operating rates has continued, resulting in conditions running counter to the previous trend of cost reductions and gross profit margin improvements. - FY2020-Q2WorsenedAnnual report
「In terms of earnings, the company recorded an operating loss of ¥2,710 million, compared with operating income of ¥4,343 million in the same quarter of the previous year, due to a substantial decline in sales, a deterioration in the gross profit margin caused by lower selling prices and plant operating rates, and increases in the provision for doubtful accounts and development and research expenses.」
Lower selling prices, a deterioration in the gross profit margin caused by lower plant operating rates, and increases in the provision for doubtful accounts and development and research expenses resulted in an operating loss. - FY2020-Q1WorsenedAnnual report
「In terms of earnings, the company recorded an operating loss of ¥872 million, compared with operating income of ¥3,307 million in the same quarter of the previous year, as lower plant operating rates led to a deterioration in the gross profit margin and the ratio of selling, general and administrative expenses to sales rose as sales declined.」
The deterioration in the gross profit margin caused by lower plant operating rates and the higher ratio of selling, general and administrative expenses to sales resulting from lower sales caused a shift from operating income to an operating loss. - FY2019WorsenedAnnual report
「In terms of earnings, operating income was ¥4,638 million, down 68.9% year on year, due in part to a substantial decline in sales, a deterioration in the gross profit margin following production adjustments, and an increase in the provision for doubtful accounts in response to delayed payments by certain customers.」
In addition to lower sales, a deterioration in the gross profit margin resulting from production adjustments and an increase in the provision for doubtful accounts weighed on earnings, marking a deterioration from the previous focus on gross profit margin improvements and cost reductions. - FY2019-Q3ReframedAnnual report
「In terms of earnings, operating income was ¥5,601 million, down 50.2% year on year, due in part to a substantial decline in sales and a lower gross profit margin resulting from lower operating rates.」
The explanation for the deterioration in earnings has shifted from the previous focus on the benefits of increased production and an improved gross profit margin to a lower gross profit margin resulting from lower sales and operating rates. - FY2019-Q2ReframedAnnual report
「In terms of earnings, although the gross profit margin improved slightly from the same quarter of the previous year, operating income was ¥4,343 million, down 46.1% year on year, due to a substantial decline in sales and higher selling, general and administrative expenses.」
The company explains that the substantial decline in sales and higher selling, general and administrative expenses weighed on operating income despite a slight improvement in the gross profit margin. - FY2019-Q1ReframedAnnual report
「In terms of earnings, although the gross profit margin improved from the same quarter of the previous year, operating income was ¥3,307 million, down 11.7% year on year, due to higher selling, general and administrative expenses; ordinary income was ¥3,670 million, down 12.2%; and net income attributable to owners of the parent was ¥2,571 million, down 15.6%.」
The company explains that higher selling, general and administrative expenses weighed on earnings despite the improvement in the gross profit margin, indicating a shift from the previous focus on the benefits of increased production and cost reductions. - FY2018RestatedAnnual report
「In the next fiscal period, we will continue to promote proactive business development through collaboration among Group companies in markets worldwide, while pursuing further cost reductions to improve performance and strengthen earnings power.」
The company has reaffirmed its policy of continuing cost reductions and efforts to strengthen profitability in the next fiscal year and beyond. - FY2018-Q3RestatedAnnual report
「In terms of earnings, operating income increased to ¥11,254 million, up 75.9% year on year, due in part to an improved gross profit margin resulting from the benefits of increased production, in addition to higher sales.」
The company continues to cite higher sales and an improved gross profit margin resulting from the benefits of increased production as factors behind the improvement in earnings. - FY2018-Q2ReframedAnnual report
「In terms of earnings, operating income increased to ¥8,060 million, up 46.5% year on year, due in part to an improved gross profit margin resulting from the benefits of increased production, in addition to higher sales.」
The explanation for the improvement in earnings emphasizes an improved gross profit margin resulting from the benefits of increased production, in addition to the previous factors of cost reductions and a lower ratio of selling, general and administrative expenses to sales. - FY2017RestatedAnnual report
「As described above, we will actively develop detailed proposals tailored to customer needs in each region of global markets, and aim to revitalize the industry as a whole and achieve growth for our group by continuing to supply high-value-added products supported by advanced technological capabilities. We will also continue to pursue thorough cost reductions and expense cuts to enhance profitability.」
The company identifies improving profitability through cost reductions and expense cuts as an ongoing initiative. - FY2017-Q3RestatedAnnual report
「In terms of earnings, operating income increased substantially to ¥6,399 million, up 137.9% year on year, as the gross profit margin improved due to cost reductions from increased production volumes despite the impact of a stronger yen, while the ratio of selling, general and administrative expenses to sales declined as sales increased.」
The company continues to cite cost reductions from increased production volumes, an improved gross profit margin and a lower ratio of selling, general and administrative expenses to sales as factors behind the improvement in earnings. - FY2017-Q2ReframedAnnual report
「In terms of earnings, operating income increased substantially to ¥5,500 million, up 176.0% year on year, due to higher sales and cost reductions associated with increased production volumes.」
The explanation for the improvement in earnings has shifted from the previous focus on an improved gross profit margin and control of selling, general and administrative expenses to an explanation that includes cost reductions associated with increased production volumes. - FY2017-Q1First statedAnnual report
「In terms of earnings, operating income increased substantially to ¥3,791 million, up 217.9% year on year, due to an improved gross profit margin and control of selling, general and administrative expenses.」
The company cites an improved gross profit margin and control of selling, general and administrative expenses as factors behind the improvement in operating income.