Risk of Inventory Write-Downs Due to Slow-Moving Inventories of Multiple Products Held in Fixed Quantities
First written in FY2024. 1 of 4 entries say "Mitigated", first in FY2025. Latest entry: FY2026.
Suzuden moved to the "Worse" side of this theme in 2026, 4 years after the typical company in this theme (2022).
The whole theme swung hardest in 2022: 13 of 37 companies on the "Worse" side.
6 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「The period-end inventory balance is stated after being written down to reflect the decline in profitability, and the following inventory valuation losses are included in cost of sales: Previous consolidated fiscal year: ¥36.725 million; Current consolidated fiscal year: ¥162.685 million」
Regarding the risk of slow-moving inventory and write-downs associated with holding a broad range of products and a certain level of inventory, the inventory valuation loss increased from ¥36.725 million in the previous fiscal year to ¥162.685 million. - 2026-06-02RestatedGeneral Meetings of Shareholders
「These estimates may be affected by uncertain future market conditions and other factors, and could affect the consolidated financial statements for the following consolidated fiscal year.」
The company reconfirmed that the carrying value of inventories, ¥3,871,178 thousand, may be written down because of declining profitability and may be affected by future market conditions. - FY2025MitigatedAnnual report
「To maintain appropriate inventory levels, the Group regularly identifies and reviews products for which there have been no orders for a certain period and products held in excessive quantities, and works to reduce inventory. It also works to prevent excess inventory and lost sales opportunities by strengthening coordination with suppliers to obtain production lead-time information and collecting information on customers' production plans.」
Measures described to address the risk of slow-moving inventory and write-downs arising from holding a broad range of products and a certain level of inventory include maintaining appropriate inventory levels, reviewing inventory, and collecting information from suppliers and customers. - FY2024First statedAnnual report
「To ensure customer convenience and avoid lost sales opportunities, the Group handles a broad range of products and maintains a certain level of inventory. If inventory becomes slow-moving due to the impact of rapid changes in the operating environment, demand trends or other factors, the Group's financial position and operating results may be affected through inventory write-downs and other measures.」
The risk of slow-moving inventory and inventory write-downs due to changes in demand is identified for the first time as a standalone risk associated with holding inventory to ensure a stable supply.