Supply Chain Constraints and Rising Raw Material and Logistics Costs
First written in FY2022-Q3. 5 of 10 entries say "Worsened", first in FY2023-Q1. Latest entry: FY2026.
PHC Holdings moved to the "Worse" side of this theme in 2025, 3 years after the typical company in this theme (2022).
The whole theme swung hardest in 2022: 99 of 155 companies on the "Worse" side.
30 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「Factors included temporary revenue in the diagnostics business in the same period of the previous year, an impact of negative ¥1,207 million from the previously described review of head-office functions, and an approximately ¥1 billion impact from tariffs.」
The risk associated with tariff policy materialized over the full fiscal year as an approximately ¥1 billion impact on operating profit in the diagnostics and life sciences business. - FY2026-H1MaterialisedAnnual report
「Factors included the impact of temporary revenue in the diagnostics business in the same period of the previous year, an impact of negative ¥551 million from the previously described review of head-office functions, and an approximately ¥800 million impact from tariffs.」
A risk previously presented as a potential consequence of tariff policy materialized as an approximately ¥800 million impact on operating profit in the diagnostics and life sciences business. - FY2025WorsenedAnnual report
「Recent developments in US government tariff policy, including the imposition of high tariffs on imports from specific countries and regions, are having a significant impact on the international trading environment, and tariff policies in other countries may also change.」
In addition to the existing risks related to supply constraints, raw material costs and logistics costs, the company explicitly identified the potential for higher procurement costs, reduced price competitiveness and supply chain disruption resulting from changes in tariff policy. - FY2024MitigatedAnnual report
「Revenue increased as product supply stabilized compared with the same period of the previous year, when the supply chain was constrained.」
The company explained that product supply in the pathology business had stabilized from the supply constraints of the previous year, with supply-side constraints easing in part. However, cost increases associated with inflation remain. - FY2024-Q3WorsenedAnnual report
「The decline in profit margins was attributable to the end of sales of the transitional-measures portion of the online eligibility verification system, higher purchase prices for IT equipment, and increased growth investment in hiring, development and other areas in the healthcare IT solutions business.」
Higher purchase prices for IT equipment, together with increased growth investment and other factors, have materialized as lower profit margins in the healthcare IT solutions business. - FY2024-Q2MitigatedAnnual report
「Equipment sales increased in Europe and the Asia-Pacific region compared with the same period of the previous year, when product shortages caused by COVID-19 had an impact, although product shortages had gradually begun to ease from the year-earlier period.」
The product shortages that had become apparent in the same period of the previous year had gradually begun to ease. However, because the impact of the shortages remained, the revenue growth rate decreased from the previous quarter. - FY2023-Q3WorsenedAnnual report
「Operating profit was ¥21,429 million, down 10.9% year on year. In addition to the impact of lower medical reimbursement rates for the PCR tests described above, inflationary effects on raw material, shipping and other costs resulted in lower profit.」
The inflationary impact of raw material, shipping and other costs continues to appear in results as a factor reducing consolidated operating profit. Meanwhile, the diagnostics and life sciences business also reports mitigating effects from cost reductions and passing higher costs through to product prices. - FY2023-Q2WorsenedAnnual report
「In the pathology business, the company recorded temporary revenue associated with the termination of service contracts and saw the effects of measures to improve profit margins emerge, but these were insufficient to offset the impact of the Shanghai lockdown in China in the first quarter and inflation.」
The impact of the Shanghai lockdown continued to affect shipments to the European market, while inflation and higher raw material and transportation costs also weighed on profit margins. Improvement measures and temporary revenue were insufficient to absorb the impact. - FY2023-Q1WorsenedAnnual report
「In the pathology business, the Shanghai plant suspended operations for 2 months in April and May due to the lockdown in Shanghai caused by the spread of COVID-19, affecting equipment sales in the European and US markets.」
The Shanghai lockdown halted plant operations for 2 months and affected sales in Europe and the US. The cost ratio also deteriorated due to higher raw material and transportation costs. - FY2022-Q3First statedAnnual report
「Shipments in the Americas and Europe were affected in part by supply chain issues, but revenue increased year on year.」
In addition to the impact on some shipments from supply chain issues, the disclosure also cites higher raw material costs and increased selling-related expenses, including logistics costs, indicating that supply and cost risks have materialized in actual operations.