Risk of Profit Pressure from Soaring Material Prices
First written in FY2019-Q1. 9 of 12 entries say "Materialised", first in FY2019-Q2. Latest entry: FY2024.
Takano moved to the "Worse" side of this theme in 2018, 3 years before the typical company in this theme (2021).
The whole theme swung hardest in 2022: 64 of 103 companies on the "Worse" side.
28 other companies' latest entry also says "Materialised".
- FY2024MaterialisedAnnual report
「In terms of profit, operating profit was ¥880 million, down ¥118 million, or 11.9%, from the previous consolidated fiscal year, due to margin deterioration resulting from inventory adjustments and higher fixed costs, including increased labor costs and a larger workforce associated with strengthening sales capabilities.」
Inventory adjustments, higher labor costs and increased fixed costs resulting from a larger workforce actually emerged as margin deterioration and lower operating profit. - FY2024-Q2MaterialisedAnnual report
「In terms of profit, gross margin has deteriorated due to higher manufacturing costs resulting from increases in raw material prices and other factors,」
Higher raw material prices increased manufacturing costs, actually pressuring profit through margin deterioration. - FY2024-Q1MaterialisedAnnual report
「Gross margin deteriorated due to inventory write-downs and increases in expenses such as electricity charges,」
Inventory write-downs and increases in expenses such as electricity charges actually caused margin deterioration and increased the loss of the residential and lifestyle equipment business. - FY2023MaterialisedAnnual report
「In terms of profit, operating profit was ¥999 million, down ¥143 million, or 12.6%, from the previous consolidated fiscal year, due to margin deterioration resulting from higher raw material and energy prices and increased fixed costs, including personnel and advertising expenses, associated with strengthening sales capabilities.」
Higher raw material and energy prices actually led to margin deterioration and weighed on operating profit. - FY2023-Q3MaterialisedAnnual report
「Meanwhile, on the profit front, gross profit increased with higher sales, but the deterioration in margins due to rising raw material prices and increased operating expenses following the easing of COVID-19 activity restrictions, among other factors, resulted in operating income of ¥124 million (a ¥76 million decrease, or a 38.2% decline, from the same quarter of the previous year)」
Higher raw material prices actually pressured profit through margin deterioration, and consolidated operating profit declined 38.2% year on year. Measures to address component shortages and pass through higher prices are continuing. - FY2023-Q2Explicit measures to address component shortages and pass through higher pricesAnnual report
「In this environment, to meet growing demand related to semiconductors, the Company worked to develop its production capabilities and shift its business structure, while also taking measures to address component shortages and pass increases in raw material and procurement prices on to the prices of its products.」
Specific measures to address higher raw material and procurement prices were explicitly stated, including responses to component shortages and passing the increases through to product prices. - FY2023-Q1WorsenedAnnual report
「In this environment, to meet growing demand related to semiconductors, the Company worked to develop its production capabilities and shift its business structure, while also taking measures to address soaring raw material prices and component shortages.」
In addition to soaring material prices, component shortages were explicitly identified as a business issue requiring a response, broadening the range of risks relating to production inputs. - FY2022-Q2MaterialisedAnnual report
「The outlook remains uncertain, owing in part to continued increases in raw material prices.」
Higher raw material prices continued to be cited as an actual concern in the business environment. - FY2019MaterialisedAnnual report
「In terms of profit, although material price inflation had an impact, the increase in gross profit from higher sales resulted in operating profit of ¥1,136 million, an increase of ¥25 million, or 2.3%, from the previous consolidated fiscal year.」
Material price inflation was cited as a factor affecting full-year profit. At the same time, operating profit increased due to higher gross profit from increased sales. - FY2019-Q3MaterialisedAnnual report
「In terms of profit, although material price inflation had an impact, the increase in gross profit from higher sales resulted in operating profit of ¥402 million, an increase of ¥132 million, or 49.3%, year on year.」
Material price inflation continued to affect profit, but operating profit exceeded the year-earlier level due to higher gross profit from increased sales. - FY2019-Q2MaterialisedAnnual report
「In terms of profit, although material price inflation had an impact, the increase in gross profit from higher sales resulted in operating profit of ¥359 million, an increase of ¥58 million, or 19.5%, year on year.」
Material price inflation continued to affect profit, but operating profit exceeded the year-earlier level due to higher gross profit from increased sales. - FY2019-Q1First statedAnnual report
「In terms of profit, although material price inflation had an impact, the increase in gross profit from higher sales resulted in operating profit of ¥251 million, an increase of ¥130 million, or 108.4%, year on year.」
Material price inflation was identified for the first time as a factor affecting profit for the quarter.