Higher Labor Costs and Lower Productivity Due to Tight U.S. Labor Market
First written in FY2017-Q1. 11 of 19 entries say "Mitigated", first in FY2018-Q1. Latest entry: FY2024-Q3.
The whole theme swung hardest in 2023: 8 of 11 companies on the "Worse" side.
4 other companies' latest entry also says "Mitigated".
- FY2024-Q3MitigatedAnnual report
「Operating loss was ¥891 million, an improvement of ¥307 million year on year, due to the impact of higher production volumes, despite higher labor costs and increased preparation costs for the launch of new vehicles in Mexico.」
Higher labor costs and increased preparation costs for the launch of new vehicles in Mexico were factors, but Americas operating loss improved by ¥307 million year on year due to higher production volumes. However, a loss of ¥891 million remained. - FY2024-Q2WorsenedAnnual report
「② Americas: Revenue increased 33.8% year on year to ¥36,162 million, mainly due to higher production volumes and the translation impact of the weaker yen. Operating loss was ¥578 million, down ¥149 million year on year, due to higher labor costs and increased preparation costs for the launch of new vehicles in Mexico, among other factors.」
In the Americas, revenue increased, but operating loss deteriorated by ¥149 million year on year to ¥578 million due to higher labor costs and other factors. - FY2023WorsenedAnnual report
「Operating loss was ¥1,152 million, down ¥242 million from the previous fiscal year, reflecting the impact of lower production volumes.」
Americas operating loss was ¥1,152 million due to lower production volumes, deteriorating from the ¥909 million loss in the previous fiscal year. - FY2023-Q2MitigatedAnnual report
「Operating loss was ¥429 million, although it improved by ¥117 million year on year, mainly due to improved profitability in the United States.」
Americas operating loss improved by ¥117 million year on year due to improved profitability in the United States, but a loss of ¥429 million remained. - FY2023-Q1Profitability improved, but lower production kept the segment in the redAnnual report
「Operating loss was ¥162 million, down ¥37 million year on year, mainly due to lower production volumes despite improved profitability in the United States.」
Americas operating loss was ¥162 million, as lower production volumes outweighed improved profitability in the United States. - FY2022MitigatedAnnual report
「Operating income and loss improved by ¥1,592 million from the previous fiscal year, mainly due to improved profitability in the United States, but the Company still posted a loss of ¥909 million.」
Improved profitability in the United States improved the Americas operating loss by ¥1,592 million from the previous fiscal year, but a loss of ¥909 million remained. - FY2022-Q3MitigatedAnnual report
「Operating income and loss improved by ¥1,508 million year on year due to improved profitability in the United States, but the Company still posted a loss of ¥974 million.」
Improved profitability in the United States improved the Americas operating loss by ¥1,508 million year on year. However, an operating loss of ¥974 million remained. - FY2022-Q2MitigatedAnnual report
「Operating income and loss improved by ¥1,545 million year on year due to the impact of higher sales and improved profitability in the United States and Mexico, but the Company still posted a loss of ¥546 million.」
Profitability improved in the United States and Mexico, improving the Americas operating loss by ¥1,545 million year on year, but a loss of ¥546 million remained. - FY2020-Q2MitigatedAnnual report
「In terms of earnings, the Company posted an operating loss of ¥926 million, despite a ¥134 million improvement from the same period of the previous year, due mainly to substantial improvement in profitability at the Tennessee facility in the United States and the completion of start-up costs at the Alabama facility, although it did not return to profitability.」
Improved profitability at the Tennessee facility and the completion of start-up costs at the Alabama facility improved the Americas operating loss by ¥134 million year on year, but a loss of ¥926 million remained. - FY2019MitigatedAnnual report
「In terms of earnings, the Company posted an operating loss of ¥2,088 million, almost unchanged from the previous fiscal year, as substantial improvement in profitability at its Tennessee facility in the United States offset the impact of higher start-up costs associated with the full-scale operation of its Alabama facility and higher depreciation expenses resulting from the expansion of two plants in Mexico.」
Profitability improved substantially at the Tennessee facility in the United States. However, the Americas still posted an operating loss of ¥2,088 million due to start-up costs at the Alabama facility and other factors. - FY2019-Q2MitigatedAnnual report
「In terms of earnings, although substantial improvement in profitability was achieved at YOROZU Automotive Tennessee, Inc. (YAT) in the United States,」
The Company stated that YAT had achieved substantial improvement in profitability, reconfirming partial improvement in the deterioration caused by tight labor market conditions in the United States. - FY2019-Q1MitigatedAnnual report
「In terms of earnings, despite substantial improvement in profitability at YOROZU Automotive Tennessee, Inc. (YAT) in the United States, the Company posted an operating loss of ¥714 million, down ¥4 million from the same period of the previous year, due to the impact of higher depreciation expenses resulting from the expansion of two plants in Mexico and other factors.」
The Company stated that YAT had achieved substantial improvement in profitability. However, the Americas as a whole continued to post an operating loss of ¥714 million due to the depreciation burden associated with the expansion of two facilities in Mexico. - FY2018-Q3RestatedAnnual report
「In terms of earnings, the increase in employee turnover and resulting decline in productivity amid tight labor market conditions in the United States are improving, but」
The Company maintained its explanation that increased employee turnover and lower productivity in the United States were improving. - FY2018-Q2MitigatedAnnual report
「In terms of earnings, the increase in employee turnover and resulting decline in productivity amid tight labor market conditions in the United States are improving, but the Company posted an operating loss of ¥845 million, down ¥121 million from the same period of the previous year, due to start-up costs at YAA, which began operations in January 2017, and higher depreciation expenses resulting from the expansion of two plants in Mexico.」
The Company stated that increased employee turnover and lower productivity in the United States were improving. However, the Americas operating loss was ¥845 million due to YAA start-up costs and the depreciation burden associated with the two facilities in Mexico. - FY2018-Q1MitigatedAnnual report
「In terms of earnings, the increase in employee turnover and resulting decline in productivity amid tight labor market conditions in the United States are improving, but the Company posted an operating loss of ¥710 million, down ¥158 million from the same period of the previous year, due mainly to start-up costs at YOROZU Automotive Alabama, Inc. (YAA), which began operations in January 2017.」
The Company explained that increased employee turnover and lower productivity in the United States were improving, but the Americas posted an operating loss of ¥710 million due to start-up costs at YAA and other factors. - FY2017WorsenedAnnual report
「In the United States, tight labor market conditions have driven up wages, worsening YAT's earnings, and improving profitability has become an urgent priority.」
YAT's earnings continued to deteriorate due to tight labor market conditions, soaring wages, employee turnover and lower productivity in the United States, resulting in an operating loss of ¥1,863 million for the Americas segment. - FY2017-Q3WorsenedAnnual report
「In terms of earnings, the Company posted an operating loss of ¥1,200 million, down ¥2,691 million from the same period of the previous year, due mainly to higher labor costs resulting from an increase in employee turnover amid tight labor market conditions in the United States and the resulting decline in productivity.」
Increased employee turnover, lower productivity and higher labor costs in the United States continued, and the operating loss in the Americas widened to ¥1,200 million. - FY2017-Q2WorsenedAnnual report
「In terms of earnings, the Company posted an operating loss of ¥723 million, down ¥1,489 million from the same period of the previous year, due mainly to higher labor costs resulting from an increase in employee turnover amid tight labor market conditions in the United States and the resulting decline in productivity.」
Increased employee turnover, lower productivity and higher labor costs in the United States continued, and the operating loss in the Americas was ¥723 million. - FY2017-Q1MaterialisedAnnual report
「The Company posted an operating loss of ¥551 million, down ¥863 million from the same period of the previous year, due mainly to higher labor costs resulting from an increase in employee turnover amid tight labor market conditions in the United States and the resulting decline in productivity.」
The Company explained that increased employee turnover, lower productivity and higher labor costs in the United States resulted in an operating loss in the Americas segment.