Risk of lower orders associated with build-to-order production
First written in FY2016. 19 of 34 entries say "Restated". Latest entry: 2026-05-14.
Seiko moved to the "Worse" side of this theme in 2022, 1 year after the typical company in this theme (2021).
The whole theme swung hardest in 2023: 9 of 16 companies on the "Worse" side.
1 other company's latest entry also says "Materialised".
- 2026-05-14MaterialisedRevision of earnings forecasts
「The machine-tool components business was affected by adjustments resulting from production cuts by major customers and consequently performed below the level of the same period of the previous year.」
The impact of production cuts by major customers on orders and sales actually materialised as a decline in the performance of the cold forging business. - FY2026-H1MaterialisedAnnual report
「Machining tool component sales fell below the same period of the previous year due to the impact of inventory adjustments at major customers. Automotive and industrial machinery components were affected by lower exports by customers but were approximately at the same level as in the same period of the previous year. Sales of prototypes and dies also exceeded the same period of the previous year. As a result, sales fell 3.4% year on year to ¥784 million, and segment profit (operating profit) fell 23.4% year on year to ¥53 million.」
The impact of inventory adjustments at major customers and lower exports associated with the make-to-order business has materialized as declines in revenue and profit in the cold forging business. - FY2025-H1MitigatedAnnual report
「In the cold forging business, production and sales increased as inventory adjustments at major customers progressed and orders remained firm, among other factors.」
Regarding the risk of lower orders due to inventory adjustments at major customers, the company states that production and sales in the cold forging business recovered as inventory adjustments progressed and orders strengthened. - FY2024MaterialisedAnnual report
「During the current consolidated fiscal year, orders for the industrial machinery business fell 13.8% year on year to ¥6,488 million, the order backlog fell 23.0% to ¥3,499 million, and orders for the cold forging business fell 22.9% to ¥1,312 million.」
Fluctuations in orders associated with the make-to-order business became apparent in the annual results, resulting in lower orders for the industrial machinery and cold forging businesses and a smaller order backlog in the industrial machinery business. - FY2024-Q3MaterialisedAnnual report
「In the cold forging business, orders remained sluggish as inventory adjustments at major customers continued, resulting in declines in production, orders and sales.」
The decline in orders, production and sales resulting from inventory adjustments at major customers of the make-to-order business materialized. Orders were down 26.9% year on year, while the order backlog was down 2.7%. - FY2024-Q2MaterialisedAnnual report
「In the first 6 months of the current consolidated fiscal year, group revenue exceeded the level recorded in the same period of the previous year, supported by steady performance in FA-related equipment in the electrical equipment business and new-vehicle sales in the vehicle-related business. Meanwhile, the industrial machinery business fell below the previous year's level due to a decline in large-scale projects, while the cold forging business was affected by inventory adjustments and production cuts at major customers.」
The make-to-order business has experienced actual declines in orders and sales due to a decrease in large-scale projects and inventory adjustments and production cuts at major customers. - FY2024-Q1MaterialisedAnnual report
「During the first quarter of the current consolidated fiscal year, the industrial machinery business recorded declines across its results because there were fewer large-scale liquid filling line projects than in the same period of the previous year. The cold forging business was affected by inventory adjustments at major customers that had continued from the previous year, resulting in declines in orders and sales.」
The make-to-order business experienced a decline in large-scale projects and inventory adjustments at major customers, resulting in a 25.9% decline in orders for the industrial machinery business and a 32.3% decline in orders for the cold forging business. - FY2023-Q3MaterialisedAnnual report
「Orders for power tool components remained sluggish due to inventory adjustments at major customers, and therefore fell well below the level recorded in the same period of the previous year. Automotive components also fell below the previous year's level, as major customers adjusted production in response to the semiconductor shortage.」
The decline in orders and sales resulting from inventory and production adjustments at major customers of the make-to-order business materialized, leading to weaker performance in the cold forging business. - FY2023-Q2MaterialisedAnnual report
「The Cold Forging Business performed below the same period of the previous year due to the impact of inventory adjustments and other factors at major customers.」
The decline in orders and sales resulting from inventory adjustments at major customers of the make-to-order business materialized, leading to lower revenue and profit in the cold forging business. - FY2023-Q1RestatedAnnual report
「During the three-month period ended [the current first quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new or material changes to existing business risks, including the risk of declining orders associated with build-to-order production. - FY2022MaterialisedAnnual report
「The Industrial Machinery Business performed below the previous consolidated fiscal year because sales of large liquid filling lines were lower.」
Fluctuations in the presence or absence of large projects and sales timing associated with build-to-order production materialized, resulting in a 13.3% decline in sales in the Industrial Machinery Business. Meanwhile, order backlog increased 37.7%. - FY2022-Q3RestatedAnnual report
「During the nine-month period ended [the current third quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new or material changes to existing business risks, including the risk of declining orders associated with build-to-order production. - FY2022-Q2MaterialisedAnnual report
「The Industrial Machinery Business performed below the same period of the previous year because the COVID-19 pandemic caused delays in the progress of some construction work for large liquid filling lines.」
Fluctuations in project progress and sales timing associated with build-to-order production materialized, and delays in construction of large liquid filling lines led to lower sales in the Industrial Machinery Business. - FY2022-Q1RestatedAnnual report
「During the three-month period ended [the current first quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new or material changes to existing business risks, including the risk of declining orders associated with build-to-order production. - FY2021RestatedAnnual report
「Because many of the products in the Industrial Machinery Business and Cold Forging Business are made to order, the Company works to win orders by shortening delivery times and strengthening quality assurance. However, orders may decline due to changes in customers’ management policies, inventory adjustments and other factors, potentially affecting business performance.」
The policy of addressing the risk of declining orders and fluctuations in business performance associated with build-to-order production through shorter delivery times and stronger quality assurance continues. - FY2021-Q3RestatedAnnual report
「During the nine-month period ended [the current third quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new or material changes to existing business risks, including the risk of declining orders associated with build-to-order production. - FY2021-Q2RestatedAnnual report
「During the six-month period ended [the current second quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new or material changes to existing business risks, including the risk of declining orders associated with build-to-order production. - FY2021-Q1RestatedAnnual report
「During the three-month period ended [the current first quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new or material changes to existing business risks, including the risk of declining orders associated with build-to-order production. - FY2020RestatedAnnual report
「Because many of the products in the Industrial Machinery Business and Cold Forging Business are made to order, the Company works to win orders by shortening delivery times and strengthening quality assurance. However, orders may decline due to changes in customers’ management policies, inventory adjustments and other factors, potentially affecting business performance.」
The Company continues to disclose the risk of declining orders and fluctuations in business performance associated with build-to-order production, along with the policy of addressing these risks through shorter delivery times and stronger quality assurance. - FY2020-Q3RestatedAnnual report
「During the nine-month period ended [the current third quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new or material changes to existing business risks, including the risk of declining orders associated with build-to-order production. - FY2020-Q2RestatedAnnual report
「During the six-month period ended [the current second quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new or material changes to existing business risks, including the risk of declining orders associated with build-to-order production. - FY2020-Q1RestatedAnnual report
「During the three-month period ended [the current first quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new or material changes to existing business risks, including the risk of declining orders associated with build-to-order production. - FY2019-Q3RestatedAnnual report
「During the nine-month period ended [the current third quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new business risks or material changes to existing risks. - FY2019-Q2RestatedAnnual report
「During the six-month period ended [the current second quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new business risks or material changes to existing risks. - FY2019-Q1RestatedAnnual report
「During the three-month period ended [the current first quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new business risks or material changes to existing risks. - FY2018RestatedAnnual report
「Because many of the products in the Industrial Machinery Business and Cold Forging Business are made to order, the Company works to win orders by shortening delivery times and strengthening quality assurance. However, orders may decline due to changes in customers’ management policies, inventory adjustments and other factors, potentially affecting business performance.」
The policy of addressing the risk of declining orders and fluctuations in business performance associated with build-to-order production by shortening delivery times and strengthening quality assurance continues. - FY2018-Q3RestatedAnnual report
「During the nine-month period ended [the current third quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new business risks or material changes to existing risks. - FY2018-Q2RestatedAnnual report
「During the six-month period ended [the current second quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that there were no new business risks or material changes to existing risks. - FY2018-Q1RestatedAnnual report
「During the three-month period ended [the current first quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The Company states that no new business or other risks have arisen and that there have been no material changes to existing risks. - FY2017MaterialisedAnnual report
「The Industrial Machinery Business performed slightly below the same period of the previous year due to lower sales of large machines, while the Cold Forging Business performed below the same period of the previous year as a result of customers transferring production overseas.」
The effects of project mix and order volatility in the build-to-order business were reflected in full-year results due to lower sales of large machines. - FY2017-Q3MaterialisedAnnual report
「Although sales of small and medium-sized machines remained firm, sales declined 12.1% year on year to ¥2.6 billion because there were no sales of large machines of the kind recorded in the same period of the previous year and sales from some projects were carried over to the fourth quarter.」
Sales volatility associated with build-to-order production materialized due to the absence of large machines and projects being carried over to the fourth quarter, resulting in a 12.1% year-on-year decline in sales in the Industrial Machinery Business. - FY2017-Q2RestatedAnnual report
「Although sales of small and medium-sized machines remained firm, sales declined 1.8% year on year to ¥1,903 million because there were no sales of large machines of the kind recorded in the same period of the previous year.」
Order and sales volatility due to the presence or absence of large projects continues, but no new changes in this risk have been indicated. - FY2017-Q1MaterialisedAnnual report
「The Group’s sales increased 3.2% year on year to ¥5,568 million. In terms of earnings, the ordinary loss was ¥111 million, compared with a loss of ¥159 million in the same period of the previous year, and the quarterly net loss attributable to owners of the parent was ¥107 million, compared with a loss of ¥148 million in the same period of the previous year. The Industrial Machinery Business had no large projects of the kind recorded in the same period of the previous year, while the Cold Forging Business was affected by the transfer of overseas production by customers, and both businesses performed below the same period of the previous year.」
The build-to-order businesses again underperformed the same period of the previous year due to the absence of large projects and the transfer of customers’ production overseas. - FY2016First statedAnnual report
「Because many of the products in the Industrial Machinery Business and Cold Forging Business are made to order, the Company works to win orders by shortening delivery times and strengthening quality assurance. However, orders may decline due to changes in customers’ management policies, inventory adjustments and other factors, potentially affecting business performance.」
A decline in orders due to changes in customers’ management policies and inventory adjustments is disclosed as a risk.