Reliance on Used-Car Auto Auctions for Sales and Competition in Appraisals and Pricing
First written in FY2017. 6 of 12 entries say "Restated". Latest entry: 2026-10-14.
2 other companies' latest entry also says "Worsened".
- FY2026-H1MaterialisedAnnual report
「Gross profit per retail vehicle declined year on year because high-cost inventory remained unsold amid a sharp drop in auto auction prices.」
The previously disclosed risk of fluctuations in auto auction prices materialised as a sharp decline in prices and the retention of high-cost inventory, affecting gross profit per retail vehicle. - FY2025RestatedAnnual report
「Amid fluctuating used-car prices, we have established a system for assessing the condition and market value of each vehicle, purchasing at appropriate prices and selling at appropriate prices, and are working to reduce the impact of auction prices. However, unexpected fluctuations such as sharp rises or falls could affect our group's operating results and financial position in the short term.」
The company continues to disclose the risk that daily fluctuations in auto auction prices could affect operating results in the short term in the event of a sharp rise or fall. It also describes efforts to reduce the impact through a vehicle purchasing and sales system based on assessments of vehicle value. - FY2025-H1RestatedAnnual report
「The Japan segment reported higher revenue and higher profit, mainly due to higher retail and wholesale unit prices resulting from rising auto auction prices and an increase in gross profit per retail vehicle.」
While fluctuations in auto auction prices affect retail and wholesale unit prices, the Japan segment reported higher revenue and higher profit during the interim consolidated accounting period, owing to rising auction prices and increased gross profit per retail vehicle. - FY2025-Q1RestatedAnnual report
「The main factors were steady gross profit per vehicle in both retail and wholesale, supported by continued appropriate pricing, and steady performance in ancillary retail revenue, particularly at large stores.」
The company continues to explain that continued appropriate pricing has kept gross profit per vehicle in both retail and wholesale steady. - FY2024MitigatedAnnual report
「Amid fluctuating used-car prices, we have established a system for assessing the condition and market value of each vehicle, purchasing at appropriate prices and selling at appropriate prices. Accordingly, the impact of changes in auction prices is limited.」
The company identified the risk that approximately 8 million vehicles are traded annually through auto auctions and that prices fluctuate daily, while adding that its system for purchasing and selling vehicles based on assessments of their value limits the impact. - FY2021RestatedAnnual report
「To secure an appropriate profit margin, our group must purchase and sell merchandise at appropriate and fair prices under proper inventory management.」
The recognition of the need to secure profit margins through proper inventory management and appropriate purchase and selling prices continues. - FY2021-Q1MaterialisedAnnual report
「In addition, gross profit per wholesale vehicle declined due to a sharp drop in auction prices in April and May.」
A sharp decline in auction prices actually occurred and affected operating results through a decrease in gross profit per wholesale vehicle. - FY2020RestatedAnnual report
「To secure an appropriate profit margin, our group must purchase and sell merchandise at appropriate and fair prices under proper inventory management.」
Securing profit margins through proper inventory management and appropriate purchase and selling prices continues to be identified as an important business matter. - FY2018RestatedAnnual report
「To secure an appropriate profit margin when selling vehicles purchased by us to general consumers and others, we must appraise purchase prices appropriately based on the condition of each vehicle and market prices, and conclude purchase agreements at prices that customers accept while allowing our stores to secure an appropriate profit margin amid price competition with other companies.」
The appropriateness of vehicle appraisals and the ability to secure profit margins amid price competition continue to be identified as important business matters. - FY2017First statedAnnual report
「Because we sell primarily through used-car auctions, securing an appropriate profit margin requires us to appraise purchase prices appropriately based on the condition of each vehicle and market prices, and to conclude purchase agreements at prices that customers accept while allowing our stores to secure an appropriate profit margin amid price competition with other companies.」
In an auction-focused sales channel, appropriate purchase appraisals and the ability to secure profit margins amid price competition are necessary, and the impact on operating results if trading conditions deteriorate is identified as a risk.