Risk of Rising Raw Material Prices, Including Cotton and Petrochemical Products
First written in FY2016. 8 of 18 entries say "Worsened", first in FY2021. Latest entry: 2026-10-15.
The whole theme swung hardest in 2022: 122 of 167 companies on the "Worse" side.
- FY2026-H1MitigatedAnnual report
「The company strengthened production management at its overseas locations and inspections of overseas suppliers' factories, working to reduce procurement and management costs and improve product quality, while also promoting CSR procurement. In addition, anticipating higher demand for seasonal products from the third quarter onward, it increased product inventories and strengthened procurement of raw materials required during the hot-weather season, seeking to secure the raw materials needed for the foreseeable future at appropriate prices.」
To address the risk of surging raw material prices, the company strengthened supplier management, increased inventories and worked to secure necessary raw materials at appropriate prices. - FY2024-Q3WorsenedAnnual report
「The company continued various internal efforts during the fiscal year to minimize the impact of the yen's depreciation. However, because the increased burden caused by the yen's depreciation progressing far beyond expectations became unavoidable, it implemented its fourth product price increase, for orders received from January 2024.」
The burden of raw materials and procurement caused by the yen's depreciation exceeded the effects of the company's internal efforts, resulting in its fourth product price increase for orders received from January 2024. - FY2024-Q2MitigatedAnnual report
「We increased the frequency of inspections at overseas supplier factories, promoting improvements in product quality and reductions in product losses. In addition, by developing new overseas suppliers and domestic procurement sources, we worked to maintain and improve profit margins through further strengthening price competitiveness.」
The company addressed raw material and procurement costs by inspecting suppliers, reducing product losses and developing new suppliers. - FY2024-Q1MitigatedAnnual report
「We increased the frequency of inspections at overseas supplier factories, promoting improvements in product quality and reductions in product losses. In addition, by developing new overseas suppliers and domestic procurement sources, we worked to maintain and improve profit margins through further strengthening price competitiveness.」
To address raw material and procurement costs, the company developed suppliers, inspected factories and reduced product losses, seeking to maintain and improve margins. - FY2023-Q2WorsenedAnnual report
「Under these circumstances, the company raised prices for products under its core MARKLESS STYLE brand due to the increased burden caused by the yen's depreciation progressing far beyond expectations. It also raised printing and processing fees from January 2023 due to rising domestic manufacturing costs.」
In addition to the burden from the yen's depreciation and higher raw material costs, rising domestic manufacturing costs materialized as increases in printing and processing fees. - FY2023-Q1WorsenedAnnual report
「However, the upward trend in costs associated with manufacturing at the Group’s domestic factories, including higher prices for ink and other raw materials used in printing and higher electricity charges, has intensified, making it a challenge to address the increased burden going forward.」
The company identified rising manufacturing costs caused by higher ink and other raw material costs and electricity charges at its domestic plants, in addition to overseas procurement, as a specific challenge. - FY2022WorsenedAnnual report
「However, as the increased burden from the accelerating depreciation of the yen and higher raw material and transport costs exceeded the range that could be absorbed through the Group’s own efforts, the Group raised prices for products under its core “MARKLESS STYLE” brand by approximately 6% to 10% for deliveries from mid-April onward.」
The burden from higher raw material and transport costs exceeded the range that could be absorbed through the Group’s own efforts, leading to price increases for products under its core brand. - FY2022-Q3WorsenedAnnual report
「In addition to the weaker yen, higher raw material prices, lockdowns at production locations and supply-chain disruption, further increases in energy and raw material prices due to the prolonged and worsening situation in Ukraine, as well as higher transport costs」
In addition to higher raw material prices, the Group expressly identifies further increases in energy and raw material prices and higher transport costs resulting from the situation in Ukraine. - FY2022-Q2WorsenedAnnual report
「Deterioration in the terms of trade due to a weaker yen and higher raw material prices」
Higher raw material prices continue to be described as a deterioration in the terms of trade, and further increases associated with Russia’s invasion of Ukraine were also a concern. - FY2021WorsenedAnnual report
「In addition, to prepare for higher raw material prices, the Group is promoting the optimization of production bases in China and other Asian countries」
Higher raw material prices are identified as a factor requiring a response in the future, with the optimization of production bases indicated as a countermeasure. - FY2021-Q3RestatedAnnual report
「The Group handles many sewn products, such as eco-bags, and molded products, such as designed general merchandise. If the prices of raw materials such as cotton and petrochemical products rise sharply, this could affect procurement prices.」
The risk of higher procurement prices resulting from higher prices for raw materials such as cotton and petrochemical products continues to be disclosed. - FY2017RestatedAnnual report
「If the prices of raw materials such as cotton and petrochemical products rise sharply, this could affect procurement costs. Taking full advantage of its “mobile fabless” model, the Group selects low-cost production locations in China and other Asian countries and takes measures such as reviewing product prices. However, if raw material prices rise unexpectedly, this could affect the Group’s business performance.」
The risks of higher raw material prices and the Group’s ongoing response through production-location selection and product-price reviews continue to be disclosed. - FY2016First statedAnnual report
「If the prices of raw materials such as cotton and petrochemical products rise sharply, this could affect procurement costs.」
The Group expressly identifies higher raw material prices as a risk that could raise procurement costs, and describes production-location selection and product-price reviews as countermeasures.