Profitability Risk from Product Price Fluctuations
First written in FY2019-Q2. 8 of 16 entries say "Materialised", first in FY2019-Q3. Latest entry: 2026-10-28.
Tokai Rika moved to the "Worse" side of this theme in 2019, 2 years before the typical company in this theme (2021).
The whole theme swung hardest in 2021: 22 of 32 companies on the "Worse" side.
13 other companies' latest entry also says "Worsened".
- FY2026MitigatedAnnual report
「Consolidated operating income for the fiscal year increased by ¥15,623 million, due mainly to higher revenue and progress, particularly in North America, in recovering higher raw-material and other costs.」
Progress in recovering higher raw-material costs, particularly in North America, is reflected in the increase in operating income versus the earnings forecast, indicating that the impact of price fluctuations on profitability is trending toward mitigation. - 2026-05-15MaterialisedEarnings presentation materials
「減益要因 ・売価変動 7 ・原材料価格影響 18」
売価変動による7億円の減益要因が記載され、製品価格変動による収益性への負の影響が当期実績として現れている。 - FY2025-H1MitigatedAnnual report
「Operating income was ¥4,027 million, up ¥1,499 million (59.3%) from the same period of the previous year, due mainly to progress in passing higher raw-material costs through to selling prices.」
In North America, the pass-through to selling prices of higher raw-material costs progressed, resulting in a 59.3% year-on-year increase in operating income. The impact of price fluctuations on profitability continues to trend toward mitigation. - FY2024MitigatedAnnual report
「(North America) Revenue was ¥164,167 million, up ¥30,648 million (23.0%) from the previous fiscal year, due mainly to higher customer production volumes and progress in passing higher raw-material costs through to selling prices. Operating income was ¥9,646 million, up ¥6,299 million (188.2%) from the previous fiscal year, due mainly to progress in recovering higher raw-material costs.」
In North America, recovery of higher raw-material costs and their pass-through to selling prices progressed, resulting in a 188.2% year-on-year increase in operating income. The impact of price fluctuations on profitability is trending toward mitigation. - FY2024-Q3MitigatedAnnual report
「(North America) Sales increased to ¥120,706 million, up ¥25,233 million (26.4%) from the same quarter of the previous year, mainly because production volumes for customers increased and the higher cost of raw materials was increasingly passed through to selling prices. Operating income increased to ¥7,152 million, up ¥9,230 million year on year, mainly because of higher sales.」
In North America, the pass-through to selling prices of higher raw-material costs progressed, resulting in a ¥9,230 million year-on-year increase in operating income. The impact of product-price fluctuations on profitability is trending toward mitigation as price pass-through progresses. - FY2024-Q2MitigatedAnnual report
「Operating income was ¥2,528 million, compared with ¥2,383 million in the same quarter of the previous year, mainly because production volumes for customers increased and the higher cost of raw materials was increasingly passed through to selling prices.」
In North America, the pass-through to selling prices of higher raw-material costs has progressed, and conditions have changed from those in which the profitability risk related to product-price fluctuations was weighing on profit to those accompanied by an increase in operating income. - FY2021-Q2MaterialisedAnnual report
「Operating income was ¥7,145 million, down ¥1,648 million (18.7%) from the same quarter of the previous year, due mainly to lower revenue, the impact of selling-price fluctuations and higher production preparation costs.」
The impact of selling-price fluctuations emerged as a factor behind the decline in operating income in Asia, and the profitability risk arising from product-price fluctuations materialised during the quarter as well. - FY2020MaterialisedAnnual report
「(Asia) Revenue was ¥132,514 million, down ¥3,587 million (2.6%) from the previous fiscal year, due mainly to lower sales to major customers following the spread of infectious diseases. Operating income was ¥13,494 million, down ¥3,519 million (20.7%) from the previous fiscal year, despite streamlining efforts, due mainly to lower revenue and the impact of selling-price fluctuations.」
The impact of selling-price fluctuations continued to emerge as a factor behind the decline in operating income, while Asia was also affected by lower sales to major customers due to the spread of infectious diseases. - FY2020-Q3MaterialisedAnnual report
「Operating income was ¥687 million, down ¥646 million (48.5%) from the same quarter of the previous year, due mainly to the impact of selling-price fluctuations. Operating income was ¥11,174 million, down ¥2,158 million (16.2%) from the same quarter of the previous year, despite higher revenue and streamlining efforts, due mainly to the impact of selling-price fluctuations.」
The impact of selling-price fluctuations emerged as a factor behind the decline in operating income in North America and Asia, with operating income down 48.5% in North America and 16.2% in Asia. - FY2020-Q2MaterialisedAnnual report
「(North America) Net sales were ¥51,893 million, down ¥1,950 million (3.6%) year on year, mainly due to changes to revenue recognition standards in the United States and other factors. Operating profit was ¥576 million, down ¥892 million (60.7%), mainly due to the impact of sales price fluctuations. (Asia) Net sales were ¥67,984 million, down ¥141 million (0.2%) year on year, mainly due to lower customer production volumes in Thailand and India. Operating profit was ¥7,145 million, down ¥1,648 million (18.7%), due to lower net sales, the impact of sales price fluctuations, higher production preparation costs and other factors.」
In North America and Asia, the impact of sales price fluctuations emerged as a factor behind lower operating profit, with North American operating profit down 60.7%. - FY2020-Q1MaterialisedAnnual report
「Despite higher net sales, operating profit was ¥3,620 million, down ¥706 million (16.3%) year on year, mainly due to higher production preparation costs and sales price fluctuations.」
In Asia, higher production preparation costs and sales price fluctuations became factors reducing operating profit despite higher net sales. - FY2019WorsenedAnnual report
「(Japan) Despite higher net sales and rationalization efforts, operating profit was ¥9,120 million, down ¥1,592 million (14.9%) from the previous fiscal year, mainly due to the impact of product price fluctuations. (North America) Operating profit was ¥1,520 million, down ¥2,261 million (59.8%) from the previous fiscal year, mainly due to the impact of product price fluctuations.」
The impact of product price fluctuations remained a factor behind lower operating profit in Japan and North America for the full year, with North American operating profit down 59.8%. - FY2019-Q3MaterialisedAnnual report
「(Japan) Net sales were ¥226,117 million, up ¥20,390 million (9.9%) year on year, mainly due to expanded sales of new vehicle models. Despite rationalization efforts, operating profit was ¥5,925 million, down ¥780 million (11.6%), mainly due to the impact of product price fluctuations. (North America) Net sales were ¥79,388 million, up ¥363 million (0.5%) year on year, mainly due to expanded sales of new vehicle models. Operating profit was ¥1,333 million, down ¥1,428 million (51.7%), mainly due to the impact of product price fluctuations.」
In Japan and North America, the impact of product price fluctuations continued to be a factor behind lower operating profit despite higher net sales. - FY2019-Q2First statedAnnual report
「(Japan) Net sales were ¥144,441 million, up ¥11,623 million (8.8%) year on year, driven by expanded sales of new vehicle models and other factors. Despite rationalization efforts, operating profit was ¥3,405 million, down ¥299 million (8.1%), mainly due to the impact of product price fluctuations. (North America) Net sales were ¥53,843 million, up ¥862 million (1.6%) year on year, mainly due to an increase in customer production volumes. Operating profit was ¥1,468 million, down ¥501 million (25.4%), mainly due to the impact of product price fluctuations.」
In Japan and North America, product price fluctuations were explicitly identified as factors behind lower operating profit, resulting in lower profits despite higher net sales.