Operating Cash Flow Pressure from Higher Inventories
First written in FY2017. 20 of 32 entries say "Mitigated", first in FY2018-Q2. Latest entry: FY2027-H1.
The whole theme swung hardest in 2022: 38 of 139 companies on the "Worse" side.
32 other companies' latest entry also says "Mitigated".
- FY2027-H1MitigatedAnnual report
「The main components included interim net income before income taxes of ¥7,652 million, depreciation of ¥2,904 million, an increase in trade receivables of ¥5,774 million, and a decrease in inventories of ¥7,305 million.」
The ¥7,305 million decrease in inventories contributed to cash inflows from operating activities, while the value of merchandise also decreased by ¥3,149 million from the end of the previous fiscal year. The cash-flow pressure from higher inventories eased during the interim period. - FY2026MitigatedAnnual report
「The main factors behind the decrease were increases in trade receivables, other operating assets, and inventories, and income tax payments.」
The operating cash flow outflow due to the increase in inventories was ¥4,790 million, substantially down from ¥28,561 million in the previous fiscal year. The pressure on cash from the increase in inventories eased. - 2026-04-13MitigatedEarnings
「Change in inventories (△ indicates an increase) △28,561 △4,790」
The operating cash flow outflow resulting from an increase in inventories narrowed from the previous fiscal year, although the inventory balance itself increased. - FY2026-H1MitigatedAnnual report
「The main components included profit before income taxes for the six-month period of ¥7,554 million, depreciation of ¥1,881 million, an increase in trade receivables of ¥9,318 million, an increase in accrued consumption taxes and other items of ¥2,500 million, and a decrease in inventories of ¥4,956 million.」
The ¥4,956 million decrease in inventories contributed to operating cash flow, easing the pressure on cash from the increase in inventories during the six-month period. The merchandise inventory balance also declined from ¥114,588 million at the end of the previous fiscal year to ¥109,589 million. - FY2025-H1WorsenedAnnual report
「The main components included profit before income taxes for the six-month period of ¥9,530 million, depreciation of ¥2,409 million, an increase in trade receivables of ¥3,183 million, an increase in inventories of ¥11,463 million, and a decrease in accrued consumption taxes and other items of ¥1,724 million.」
The increase in inventories resulted in an operating cash flow outflow of ¥11,463 million, while the merchandise inventory balance increased by ¥11,497 million from the end of the previous fiscal year. The pressure on cash from the increase in inventories has resurfaced. - FY2025-Q1WorsenedAnnual report
「Merchandise inventory 85,994 87,534」
The merchandise inventory balance increased by ¥1,540 million, from ¥85,994 million at the end of the previous fiscal year to ¥87,534 million. Although an increase in inventory was confirmed, no cash flow statement was prepared for the first quarter, and the impact on operating cash flow was not disclosed. - FY2024MitigatedAnnual report
「Change in inventories (△ indicates an increase): ¥3,559 million」
The operating cash flow outflow due to the increase in inventories was ¥3,559 million, substantially down from ¥24,349 million in the previous fiscal year. The disclosure indicates that the pressure on cash from inventories was easing. - FY2024-Q2MitigatedAnnual report
「The main components included profit before income taxes for the quarter of ¥6,853 million, depreciation of ¥1,269 million, an increase in trade receivables of ¥4,381 million, a decrease in inventories of ¥8,174 million, and an increase in accrued consumption taxes and other items of ¥2,190 million.」
The ¥8,174 million decrease in inventories contributed to operating cash flow. The merchandise inventory balance also declined by ¥8,130 million from the end of the previous fiscal year, and the pressure on cash from the increase in inventories continued to ease. - FY2024-Q1MitigatedAnnual report
「Current assets amounted to ¥115,159 million, down 12.4% from the end of the previous fiscal year, mainly due to decreases of ¥3,503 million in cash and deposits and ¥12,114 million in merchandise inventory.」
The merchandise inventory balance declined by ¥12,114 million from the end of the previous fiscal year, and the factor pressuring cash through the increase in inventories in the previous fiscal year had begun to ease as of the end of the first quarter. - FY2023Coexistence of a slight decline in ending inventory and operating cash outflows from an increase in inventoriesAnnual report
「This was mainly attributable to profit before income taxes of ¥18,752 million, depreciation of ¥2,581 million, an increase in inventories of ¥24,349 million, and a decrease in trade receivables of ¥4,660 million.」
The merchandise inventory balance declined from ¥85,363 million to ¥84,432 million, while operating cash flow for the current fiscal year included an outflow of ¥24,349 million due to an increase in inventories. A smaller inventory balance coexisted with inventory-related cash outflows during the period. - FY2023-Q3MitigatedAnnual report
「Current assets amounted to ¥133,000 million, down 5.8% from the end of the previous fiscal year, mainly due to decreases of ¥2,712 million in notes and accounts receivable and ¥7,296 million in merchandise inventory.」
The merchandise inventory balance declined by ¥7,296 million from the end of the previous fiscal year to ¥78,066 million, continuing the reduction in inventory balances. No cash flow statement was prepared for the nine months ended the third quarter, and inventory-related cash outflows during the period were not disclosed. - FY2023-Q2Coexistence of lower inventory balances and cash outflows during the periodAnnual report
「Current assets amounted to ¥131,215 million, down 7.0% from the end of the previous fiscal year, mainly due to a decrease of ¥18,936 million in merchandise inventory, despite an increase of ¥10,806 million in cash and deposits and a decrease of ¥2,745 million in notes and accounts receivable. The main components included profit before income taxes for the quarter of ¥9,181 million, depreciation of ¥1,322 million, cash inflows of ¥1,919 million from a decrease in trade receivables, an outflow of ¥6,296 million due to an increase in inventories, and cash inflows of ¥1,703 million from an increase in trade payables.」
The merchandise inventory balance at the end of the period declined by ¥18,936 million from the end of the previous fiscal year, while the six-month operating cash flow included an outflow of ¥6,296 million due to an increase in inventories. A smaller inventory balance coexisted with inventory-related cash outflows during the period. - FY2023-Q1WorsenedAnnual report
「Current assets amounted to ¥150,640 million, up 6.7% from the end of the previous fiscal year, mainly due to increases of ¥5,825 million in cash and deposits and ¥3,598 million in merchandise inventory.」
The merchandise inventory balance increased by ¥3,598 million from the end of the previous fiscal year, again increasing inventory exposure. However, no cash flow statement was prepared for the first quarter, and no direct impact on operating cash flow was disclosed. - FY2022WorsenedAnnual report
「Current assets amounted to ¥141,146 million, up 11.5% from the end of the previous fiscal year, mainly due to increases of ¥2,491 million in cash and deposits and ¥12,450 million in merchandise inventory.」
The merchandise inventory balance increased by ¥12,450 million from the end of the previous fiscal year to ¥85,363 million, while the increase in inventories resulted in an operating cash flow outflow of ¥13,978 million. The pressure on cash from the increase in inventories has resurfaced. - FY2022-Q2MitigatedAnnual report
「Current assets amounted to ¥126,745 million, up 0.1% from the end of the previous fiscal year, mainly due to an increase of ¥4,323 million in cash and deposits, despite decreases of ¥2,947 million in notes and accounts receivable and ¥1,418 million in merchandise inventory.」
The merchandise inventory balance declined by ¥1,418 million from the end of the previous fiscal year, and the factor pressuring cash through an increase in inventories continued to ease. - FY2022-Q1MitigatedAnnual report
「Current assets amounted to ¥128,091 million, up 1.2% from the end of the previous fiscal year, mainly due to an increase of ¥4,114 million in cash and deposits, despite decreases of ¥1,811 million in notes and accounts receivable and ¥1,367 million in merchandise inventory.」
The merchandise inventory balance declined by ¥1,367 million from the end of the previous fiscal year, and the factor pressuring operating cash flow through an increase in inventories continued to ease. No cash flow statement was prepared for the first quarter. - FY2021MitigatedAnnual report
「This was mainly attributable to profit before income taxes of ¥4,524 million, depreciation of ¥2,951 million, impairment losses of ¥4,486 million, and a decrease in inventories of ¥8,514 million.」
The ¥8,514 million decrease in inventories contributed to operating cash flow, representing an improvement from the pressure on cash caused by the increase in inventories in the previous fiscal year. The merchandise inventory balance also declined from ¥79,119 million to ¥72,913 million. - FY2021-Q3MitigatedAnnual report
「Current assets amounted to ¥120,319 million, down 6.1% from the end of the previous fiscal year, mainly due to a decrease of ¥9,784 million in merchandise inventory.」
The merchandise inventory balance declined by ¥9,784 million from the end of the previous fiscal year to ¥69,335 million, further easing the pressure on cash from the increase in inventories. - FY2021-Q2MitigatedAnnual report
「The main components included cash inflows of ¥2,717 million from profit before income taxes for the quarter and ¥15,638 million from a decrease in inventories.」
The decrease in inventories generated ¥15,638 million of operating cash flow, while the merchandise inventory balance declined by ¥14,879 million from ¥79,119 million at the end of the previous fiscal year to ¥64,240 million. The pressure on cash from the increase in inventories eased in the first half. - FY2021-Q1MitigatedAnnual report
「In anticipation of a decline in customer visits due to the COVID-19 pandemic, we restricted inventory purchases, resulting in a decrease in merchandise inventory and an increase in cash and deposits.」
In anticipation of a decline in customer visits, inventory purchases were restricted. As a result, the merchandise inventory balance declined by ¥15,189 million from the end of the previous fiscal year, while cash and deposits increased by ¥16,958 million. - FY2020Increase in merchandise inventory balance, with reduced pressure on cashAnnual report
「Current assets amounted to ¥128,115 million, up 13.5% from the end of the previous fiscal year, mainly due to increases of ¥14,246 million in cash and deposits and ¥5,029 million in merchandise inventory.」
The merchandise inventory balance increased by ¥5,029 million, from ¥74,090 million to ¥79,119 million, while the operating cash flow outflow due to the increase in inventories was ¥5,539 million, down from ¥26,865 million in the previous fiscal year. - FY2020-Q3Renewed increase in merchandise inventory balance (cash flow impact not disclosed)Annual report
「Merchandise inventory 74,090 76,904」
The merchandise inventory balance increased by ¥2,814 million, from ¥74,090 million at the end of the previous consolidated fiscal year to ¥76,904 million. No cash flow statement was prepared for the nine months ended the third quarter of the current consolidated fiscal year, and no direct impact of the inventory increase on operating cash flow was disclosed. - FY2020-Q2MitigatedAnnual report
「Change in inventories (△ indicates an increase) △ 113 Merchandise inventory 74,090 72,836」
The impact of inventories on operating cash flow was limited to an outflow of ¥113 million, a substantial reduction from the ¥12,361 million outflow in the same period of the previous year. The merchandise inventory balance also declined from ¥74,090 million at the end of the previous fiscal year to ¥72,836 million. - FY2020-Q1MitigatedAnnual report
「Merchandise inventory 74,090 72,172」
The merchandise inventory balance declined from ¥74,090 million at the end of the previous consolidated fiscal year to ¥72,172 million. As no cash flow statement was prepared for the first quarter, the impact on operating cash flow was not disclosed. - FY2019-Q3WorsenedAnnual report
「Current assets amounted to ¥104,843 million, up 36.2% from the end of the previous fiscal year, mainly due to an increase of ¥30,698 million in merchandise inventory.」
The merchandise inventory balance increased by ¥30,698 million from the end of the previous fiscal year, significantly increasing inventory exposure. No cash flow statement was prepared for the nine months ended the third quarter, and no direct impact of the inventory increase on operating cash flow was disclosed. - FY2019-Q2MaterialisedAnnual report
「The main components included income tax payments of ¥1,733 million, an outflow of ¥12,361 million due to an increase in inventories, and an outflow of ¥1,913 million due to a decrease in accrued consumption taxes and other items.」
An outflow of ¥12,361 million due to the increase in inventories occurred, resulting in an outflow of ¥15,707 million in cash flow from operating activities. The pressure on cash flow from the increase in inventories, which had eased once in the previous fiscal year, has now materialised. - FY2019-Q1Increase in merchandise inventory balance (no impact disclosed)Annual report
「Current assets amounted to ¥82,826 million, up 7.6% from the end of the previous fiscal year, mainly due to increases of ¥4,117 million in cash and deposits and ¥2,372 million in merchandise inventory.」
The merchandise inventory balance increased by ¥2,372 million from the end of the previous fiscal year. However, no cash flow statement was prepared for the first quarter, and no direct impact on operating cash flow was disclosed. - FY2018MitigatedAnnual report
「The main components included profit before income taxes of ¥5,221 million, cash inflows of ¥3,044 million due to increased depreciation, and an outflow of ¥3,525 million due to an increase in inventories.」
The outflow due to the increase in inventories declined from ¥8,916 million in the previous fiscal year to ¥3,525 million, while cash flow from operating activities was an inflow of ¥6,989 million. - FY2018-Q2MitigatedAnnual report
「The main components included an outflow of ¥867 million due to an increase in trade receivables, while profit before income taxes for the quarter was ¥1,876 million, depreciation was ¥1,497 million, and the decrease in inventories generated ¥4,047 million of cash.」
Unlike the increase in inventories that pressured operating cash flow in the previous fiscal year, the decrease in inventories generated ¥4,047 million of cash during the six months ended the second quarter of the current consolidated fiscal year. - FY2017First statedAnnual report
「The main components included profit before income taxes of ¥3,692 million, an outflow of ¥8,916 million due to an increase in inventories, and an outflow of ¥2,299 million due to a decrease in trade payables.」
The company states that cash flow from operating activities was an outflow of ¥4,632 million, mainly due to an outflow of ¥8,916 million from the increase in inventories.