Profit Pressure from Surging and Volatile Raw Material Prices
First written in FY2018. 6 of 12 entries say "Worsened", first in FY2019-Q3. Latest entry: 2026-09-09.
The whole theme swung hardest in 2022: 122 of 167 companies on the "Worse" side.
- FY2026-H1MitigatedAnnual report
「In the electronic components business, demand for automotive and information-device products declined, but temporary growth in demand for consumer products and the pass-through of higher key raw material prices resulted in sales of ¥28,753 million, up 2.3% year on year.」
The company passed higher key raw material prices through to customers and reported that this supported sales, indicating that the impact of higher raw material prices was partly addressed. - FY2025-H1MaterialisedAnnual report
「In the electronic components business, sales increased 0.3% year on year to ¥28,107 million despite the impact of delayed recovery in semiconductor end demand, supported by the yen's depreciation and other factors. Operating profit declined 15.9% year on year to ¥2,391 million, affected by the timing of passing higher key raw material prices through to customers.」
The company reported that the timing of passing higher key raw material prices through to customers actually affected the decline in operating profit in the electronic components business. - FY2023MitigatedAnnual report
「For raw materials whose prices fluctuate excessively rapidly, the Group is taking measures to minimize the impact on the Group, including asking customers to bear an appropriate portion of the increased costs.」
The company describes specific measures to mitigate the impact of raw material price volatility, including asking customers to bear part of the increased costs. - FY2023-Q2WorsenedAnnual report
「The economic environment surrounding the Group remained uncertain due to global inflation, driven by supply chain disruptions caused by lockdowns in China and the emergence of geopolitical risks in Europe.」
In addition to soaring raw material and energy prices, supply chain disruptions and accelerating global inflation were identified as sources of uncertainty in the business environment. - FY2023-Q1WorsenedAnnual report
「Although economic activity in Japan was gradually returning to normal, conditions became challenging due to the prolonged COVID-19 pandemic, supply chain disruptions, semiconductor shortages and soaring raw material and energy prices.」
In addition to higher raw material prices, soaring energy prices, supply chain disruptions and semiconductor shortages were explicitly identified as factors affecting the business environment. - FY2022WorsenedAnnual report
「Although economic activity in Japan was gradually returning to normal, uncertainty persisted due to the resurgence of COVID-19, disruptions in supply chains, semiconductor shortages and soaring raw material prices.」
In addition to higher raw material prices, supply chain disruptions and soaring raw material prices were explicitly identified as factors affecting the business environment. - FY2019-Q3WorsenedAnnual report
「In addition, higher prices for key raw materials and the yen's appreciation contributed to an operating loss of ¥191 million, compared with operating profit of ¥1,283 million in the same period of the previous year.」
Higher prices for key raw materials, together with inventory adjustments and the yen's appreciation, contributed to the electronic components business's operating loss, making the impact on earnings clear. - FY2018MaterialisedAnnual report
「In the electronic components business, robust orders for products for automotive applications, environmentally friendly products and information devices, including smartphones, where growth is expected, resulted in net sales of ¥42,611 million, up 18.7% from the previous fiscal year. Although the business was affected by higher raw material prices in the second half of the year, operating profit increased 35.3% to ¥1,382 million, supported by continued efforts to improve productivity and reduce costs at each production site.」
The company identified higher raw material prices as an actual factor affecting the electronic components business in the second half of the year.