Price Pass-Through and Margin Improvement
First written in FY2024. 7 of 9 entries say "Advanced", first in FY2025-H1. Latest entry: 2026-08-14.
The whole theme swung hardest in 2020: 2 of 17 companies on the "Worse" side.
69 other companies' latest entry also says "Advanced".
- FY2026AdvancedAnnual report
「Significant revenue growth from winning multiple large projects and improved profit margins through initiatives including negotiations to pass on higher costs have brought us one step closer to achieving the “growth and improved profitability” identified as the most important theme in the new medium-term management plan announced in July 2024.」
Winning large projects and negotiating to pass on higher costs raised the operating profit margin from 4.1% to 4.7%. - FY2026-H1AdvancedAnnual report
「Although the number of temporary staff declined, revenue increased due to negotiations on temporary staffing rates and an increase in contract projects. Meanwhile, segment profit fell below the same period of the previous year because regular salary increases and base-pay increases raised personnel expenses. We intend to seek a recovery in profit by negotiating rates with clients going forward.」
Revenue increased due to negotiations on temporary staffing rates and an increase in contract projects, but profit declined as personnel expenses rose. It indicates that profit recovery will be pursued through additional rate negotiations going forward. - FY2025AdvancedAnnual report
「During the previous fiscal year, we worked to appropriately pass on increases in procurement costs and selling, general and administrative expenses and achieved a certain level of results, so we intend to continue these efforts.」
It reports a certain level of results from passing on higher costs and identifies controlling outsourcing expenses, skills training and remote support as ongoing measures to improve profitability. The operating profit margin was 4.1%. - FY2025-H1AdvancedAnnual report
「For clients with whom we concluded negotiations on temporary staffing rates during the previous fiscal year, we began providing staffing services at the revised rates in April. As a result, both revenue and segment profit exceeded the same period of the previous year.」
Regarding temporary staffing rate negotiations concluded in the previous fiscal year, it explains that staffing at the revised rates began in April and that revenue and segment profit exceeded the same period of the previous year. - FY2024First statedAnnual report
「Going forward, we will work to appropriately pass on increases in procurement costs and selling, general and administrative expenses. In the previous fiscal year, some projects generated profit margins below initial expectations. To improve profitability going forward, we will work to increase productivity by upgrading engineers’ skills through skills education and training, and by using remote support systems.」
It separately identifies passing on increases in procurement costs and selling, general and administrative expenses, and improving productivity through training and remote support, as measures to improve profitability for the first time.