Impact of soaring crude oil prices on demand and procurement costs

「A decline in crude oil supply would have a significant impact on the production of petroleum-related products, restricting the quantities of products handled by our Group that we can procure and making stable supply to service stations difficult. In addition, a sharp rise in crude oil prices would not only reduce the frequency of customers' visits to service stations, but would also be reflected in the purchase costs of the products we handle, potentially adversely affecting our Group's operating results and financial position.」

「Crude oil prices remained unstable due to energy-related issues arising from the situation in the Middle East, among other factors. Although government subsidies continued intermittently throughout the year, fuel prices remained high.」

「Although the government subsidy program was restarted and remains in place, fuel prices have remained high because crude oil prices have been unstable due to the unstable situation in the Middle East and other factors.」

「In the service-station (SS) industry, which is the sales channel for our Group's car-care products, government subsidies were gradually reduced from 19 December 2024, reaching a subsidy rate of 0% on 16 January 2025. After the program ended, fuel prices rose over a short period, and, together with price increases for daily necessities and food products, this further strengthened users' tendency to economize. Demand for car-care products, which are non-fuel items, remained weak.」

「Government subsidies have continued and market conditions are stable, but fuel prices remain elevated. Together with price increases for daily necessities and food, this has further strengthened users' preference for thrift, and the purchasing environment for non-fuel car-care products remained difficult.」

「In the service-station (SS) industry, which is the sales channel for our Group's car-care products, government subsidies have continued to prevent a significant surge in fuel prices, but prices have remained high. Successive product price increases resulting from higher raw-material costs have encouraged users to economize, and demand for car-care products, which are non-fuel items, remained weak.」

「In the service-station (SS) industry, the destination market for the Group's car-care products, government subsidies continue to curb a sharp increase in fuel prices, but prices remain elevated, general prices are trending even higher, and users' consumer sentiment continues to deteriorate.」

「In the service-station (SS) industry, the destination market for the Group's car-care products, users' preference for thrift has continued as persistently high fuel prices have increased the burden of living expenses amid rising general prices, and the purchasing environment for non-fuel car-care products remained difficult.」

「In the service station industry, persistently high fuel prices, higher utility and raw material costs, and product price increases have increased the burden of living expenses. Users’ preference for saving has intensified, and the environment for purchasing non-fuel car-care products remained challenging.」

「In the service-station (SS) industry, the destination market for the Group's car-care products, government subsidies continue to curb a sharp increase in fuel prices, but prices remain elevated, general prices continue to trend higher, and users' sluggish consumer sentiment persists.」

「In the service-station (SS) industry, the destination market for the Group's car-care products, government subsidies continue to curb a sharp increase in fuel prices, but prices remain elevated, general prices are trending even higher, and users' consumer sentiment continues to deteriorate.」

「In the service-station (SS) industry, the destination market for the Group's car-care products, government subsidies have curbed a sharp increase in fuel prices, but prices have remained elevated and, together with higher general prices, have reduced users' interest in car-care products.」

「In the service-station (SS) industry, the destination market for the Group's core car-care products, persistently high fuel prices, together with higher prices caused by surging raw-material and transportation costs, reduced consumers' willingness to purchase non-fuel car-care products.」

「Although fuel prices are trending higher, users have not postponed purchases, and price normalization has continued.」

「In the service station industry, the sales channel for our car-care products, a certain level of profit was secured through the normalization of fuel prices. However, car-care services remained challenging due to customers refraining from activities and other effects of the COVID-19 pandemic.」

「Net sales fell 3.4% from the previous consolidated fiscal year to ¥7,120 million, due to factors including unfavorable weather during the peak season, natural disasters, rising fuel prices and consumers holding back on purchases of car-care products.」

「In addition to persistently high fuel prices, the consumption tax increase from October added further pressure, resulting in an even more challenging environment.」

「However, fuel prices remained high, and sales of car-care products continued to be sluggish as users remained focused on saving.」

「However, unfavorable weather during the peak season, natural disasters and persistently high fuel prices sustained consumers’ preference for saving and reduced their interest in car-care products.」

「However, the continued surge in fuel prices, together with damage from typhoons and torrential rains in Kyushu, Chugoku-Shikoku, Kinki and Chubu and the Hokkaido Eastern Iburi earthquake, cast a shadow over sales of non-fuel products.」

「Earnings were affected by delays in passing higher procurement prices through to selling prices and changes in the sales mix, but improved significantly from the previous fiscal year.」

「Consumers have continued to hold back on purchases as fuel prices have remained high due to the rise in crude oil prices,」

「Purchases have remained subdued as consumers have continued to favor saving, compounded by the surge in fuel prices since this summer,」

「A sharp rise in crude oil prices could reduce the frequency of customer visits to service stations and be reflected in the procurement costs of products handled, potentially adversely affecting business performance and financial condition.」

「A sharp rise in crude oil prices could reduce the frequency of customer visits to service stations and be reflected in the procurement costs of products handled, potentially adversely affecting business performance and financial condition.」