Risk of limited sourcing options and rising material prices
First written in FY2016. 3 of 10 entries say "Restated". Latest entry: 2026-05-12.
Mitsubishi Heavy Industries moved to the "Worse" side of this theme in 2020, 1 year before the typical company in this theme (2021).
The whole theme swung hardest in 2025: 5 of 18 companies on the "Worse" side.
13 other companies' latest entry also says "Mitigated".
- 2026-05-12MitigatedFinancial results presentation
「ターボチャージャは販売台数が減少したものの、サプライチェーンの混乱が収束し増益」
ターボチャージャ事業について、サプライチェーンの混乱が収束したことを増益要因として記載した。会社全体の調達制約リスクについては、同事業に関する具体的な記載である。 - FY2025WorsenedAnnual report
「In addition, changes in the economic environment have occurred, including the resulting deterioration in market conditions and higher production costs due to soaring material and transportation costs.」
It explicitly identified the increase in production costs caused by soaring transportation costs, in addition to material prices, as a deterioration in the business environment related to procurement and supply constraints. - FY2023MaterialisedAnnual report
「Although profitability continued to be affected by higher material and transportation costs and semiconductor shortages, profits increased as a result of various measures, initiatives to restore earnings power and the effects of the weaker yen.」
It states that soaring material and transportation costs and the semiconductor shortage continued from the previous fiscal year to affect actual profitability. - FY2023-Q2RestatedAnnual report
「Close attention must also be paid to the effects of inflation, supply constraints and volatility in financial and capital markets.」
The Group continues to identify inflation, supply constraints and volatility in financial and capital markets as downside factors for the global and domestic economies. - FY2023-Q1RestatedAnnual report
「Amid concerns over a prolonged situation in Ukraine and restrictions on economic activity in China, close attention must be paid to downside risks arising from higher raw material prices, supply constraints and volatility in financial and capital markets.」
The Group continues to identify higher raw material prices and supply constraints, together with the situation in Ukraine, restrictions on economic activity in China and volatility in financial and capital markets, as downside risks. - FY2022MaterialisedAnnual report
「Although the Group was affected by higher material and logistics costs and production adjustments by automakers due to semiconductor shortages,」
Higher material and logistics costs and semiconductor shortages actually affected profits in the logistics, thermal management and drive systems businesses. The previously identified risks of procurement constraints and rising prices continue to materialize. - FY2020MaterialisedAnnual report
「The effects of supply chain disruptions and lower operating rates have also begun to emerge in other medium-volume production businesses.」
With respect to previously identified procurement and supply constraints, supply chain disruptions and lower operating rates have materialized. - FY2019RestatedAnnual report
「Regarding material cost trends, in addition to addressing rising prices for steel, non-ferrous metals and crude oil, standardizing designs, sharing components, promoting the adoption of standard products, expanding blanket contracts and overseas production, the Group will strengthen relationships with materials suppliers, exchange information more closely than before and pursue further cost reductions.」
The Group continues to implement design standardization, component sharing, blanket contracts, overseas production and information exchange with suppliers as measures addressing rising material prices and procurement constraints. - FY2017MitigatedAnnual report
「In addition to addressing rising prices for steel, non-ferrous metals and crude oil, standardizing designs, sharing components, promoting the adoption of standard products, expanding blanket contracts and overseas production, the Group will strengthen relationships with materials suppliers, exchange information more closely than before and pursue further cost reductions.」
The Group identified design standardization, component sharing, blanket contracts, overseas production and information exchange with suppliers as specific measures addressing rising material prices and procurement constraints. - FY2016First statedAnnual report
「Quality problems, supply shortages, delivery delays and production stoppages caused by disasters involving these raw materials and components could affect the Group’s business. In addition, surging procurement prices for raw materials and components due to changes in supply and demand could affect the Group’s financial results.」
The Group identifies components with limited sources of supply due to their specialized nature, as well as price increases, as procurement risks.