Inventory Valuation and Excess and Slow-Moving Inventory
First written in FY2020. 5 of 18 entries say "Restated". Latest entry: FY2026.
The whole theme swung hardest in 2022: 14 of 43 companies on the "Worse" side.
8 other companies' latest entry also says "Other".
- FY2026Inventory decreased; contribution to operating cash flowAnnual report
「This was due to a decrease in trade receivables of ¥249 million and a decrease in inventories of ¥189 million, among other items.」
Inventory reduced cash flow by ¥189.128 million and, reversing the increase in the previous fiscal year, contributed to operating cash flow. - FY2026-H1Increase in inventory; pressure on operating cash flowAnnual report
「This was mainly due to interim net income before taxes of ¥41 million, an increase in trade payables of ¥327 million and a decrease in trade receivables of ¥95 million, despite an increase in inventories of ¥143 million and an increase in prepaid pension costs of ¥68 million, among other items.」
The ¥143 million increase in inventories was a negative factor in operating cash flow. This represented a change from the decrease in inventory and contribution to operating cash flow recorded through the previous fiscal year. - FY2025Inventory decreased; contribution to operating cash flowAnnual report
「Change in inventories (△ indicates an increase) ¥98,440 thousand」
Inventory reduced cash flow by ¥98 million and, reversing the ¥170 million increase in the previous fiscal year, contributed to operating cash flow. The balance of merchandise and finished goods also decreased from ¥999,975 thousand to ¥953,176 thousand. - FY2025-H1Continued increase in inventoriesAnnual report
「This was mainly due to interim net income before taxes of ¥288 million and a decrease in trade receivables of ¥574 million, despite an increase in inventories of ¥351 million, a decrease in trade payables of ¥327 million and payments of ¥195 million for corporate taxes and other taxes, among other items.」
The ¥351 million increase in inventories was a negative factor in operating cash flow. In addition, the balance of merchandise and finished goods increased by ¥284 million from the end of the previous fiscal year. - FY2024Increase in inventory balanceAnnual report
「Merchandise and finished goods 809,477 999,975 Work in progress 184,583 176,743 Raw materials and supplies 417,600 405,058」
While the balance of merchandise and finished goods increased from the end of the previous fiscal year, work in progress and raw materials and supplies decreased. No inventory valuation loss was reported. - FY2024-Q3Increase in inventory balanceAnnual report
「This was mainly due to increases of ¥806 million in electronically recorded monetary claims, ¥460 million in merchandise and finished goods, and ¥334 million in other accounts receivable, respectively, and a decrease of ¥613 million in notes and accounts receivable.」
Merchandise and finished goods increased by ¥460 million from the end of the previous fiscal year, and an increase in the inventory balance was disclosed. - FY2024-Q1Increase in inventory balanceAnnual report
「Merchandise and finished goods 809,477 1,067,005 Work in progress 184,583 185,359 Raw materials and supplies 417,600 513,469」
Compared with the end of the previous fiscal year, balances of merchandise and finished goods, work in progress, and raw materials and supplies increased. No inventory valuation loss was reported. - FY2023Continued increase in inventoriesAnnual report
「This was due to an increase in trade receivables of ¥835 million, payments of ¥225 million for corporate taxes and other taxes, among other items.」
Inventory increased by ¥168,759 thousand year on year and, together with the increase in trade receivables, was a negative factor in operating cash flow. - FY2023-Q3Continued increase in inventoriesAnnual report
「This was mainly due to increases of ¥785 million in electronically recorded monetary claims and ¥342 million in merchandise and finished goods, respectively, and a decrease of ¥622 million in cash and deposits.」
Merchandise and finished goods increased by ¥342 million from the end of the previous fiscal year. No inventory valuation loss was reported. - FY2023-Q2Increase in inventory; deterioration in operating cash flowAnnual report
「This was mainly due to pretax net income of ¥414 million and an increase in trade payables of ¥340 million, despite an increase in trade receivables of ¥713 million and an increase in inventories of ¥356 million, among other items.」
The ¥356 million increase in inventories was cited as a factor reducing cash flow from operating activities. - FY2023-Q1Increase in inventory balanceAnnual report
「Merchandise and finished goods 781,851 933,444 Work in progress 139,389 142,730 Raw materials and supplies 321,661 400,482」
Compared with the end of the previous fiscal year, balances of merchandise and finished goods, work in progress, and raw materials and supplies increased. No inventory valuation loss was reported. - FY2022Higher inventoriesAnnual report
「This mainly reflected pretax net income of ¥591 million, depreciation and amortization of ¥243 million, an increase in trade payables of ¥230 million and an increase in inventories of ¥145 million, among other items.」
Inventory increased by ¥145 million for cash-flow purposes, but no inventory valuation loss was reported for the fiscal year. - FY2022-Q3RestatedAnnual report
「During the nine months ended the third quarter, there were no new business or other risks and no material changes to the business and other risks described in the securities report for the previous fiscal year.」
It was stated that there had been no material change in the risk relating to inventory valuation and excess or slow-moving inventory. - FY2022-Q2RestatedAnnual report
「During the cumulative second quarter, there were no new business or other risks and no material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
It was stated that there had been no material change in the risk relating to inventory valuation and excess or slow-moving inventory. - FY2022-Q1RestatedAnnual report
「During the cumulative first quarter, there were no new business or other risks and no material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
It was stated that there had been no material change in the risk relating to inventory valuation and excess or slow-moving inventory. - FY2021RestatedAnnual report
「The Company is working to reduce inventory by standardizing components, shortening lead times for procuring components and other materials, improving the accuracy of production and sales planning, and producing a wide range of products in small quantities. However, if shipments cannot be made during the peak selling season due to seasonality, weather fluctuations, competition with other companies or other factors, causing sales to fall below the sales plan, excess or slow-moving inventory may arise.」
The Company continued to cite standardizing components, shortening procurement lead times, improving the accuracy of production and sales plans, and producing a wide range of products in small quantities as measures to reduce inventory. - FY2021-Q2RestatedAnnual report
「During the cumulative second quarter, there were no new business or other risks and no material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
It was stated that there had been no material change in the risk relating to inventory valuation and excess or slow-moving inventory. - FY2020First statedAnnual report
「If shipments cannot be made during the peak selling season due to seasonality, weather fluctuations, competition with other companies or other factors, causing sales to fall below the sales plan, excess or slow-moving inventory may arise. If profitability declines such that the net realizable value of inventory falls below its carrying amount, or if excess or slow-moving parts cannot be effectively used in other products, an inventory valuation loss may arise. Such events may affect the Company's operating results and financial position.」
The risk of inventory valuation losses due to failure to meet the sales plan, excess or slow-moving inventory and declines in net realizable value was newly disclosed as a separate item. Countermeasures cited include standardizing components, shortening procurement lead times, improving the accuracy of production and sales plans, and producing a wide range of products in small quantities.