Higher Freight Costs and Raw-Material Supply Shortages Due to Container Shortages
First written in FY2021. 2 of 7 entries say "Worsened", first in FY2022-Q3. Latest entry: FY2024.
Nankai Plywood moved to the "Worse" side of this theme in 2024, the same year as the typical company in this theme.
The whole theme swung hardest in 2021: 13 of 25 companies on the "Worse" side.
6 other companies' latest entry also says "Materialised".
- FY2024MaterialisedAnnual report
「In this segment, the company worked to strengthen sales by developing new customers and expanding small-lot sales in response to the declining trend in new construction projects contributing to the electrical materials industry in regional areas. However, the business environment became extremely challenging, as procurement prices for electrical materials remained high and shortages of wire from wire manufacturers temporarily constrained sales activities, resulting in a decline in the segment profit margin.」
Insufficient supplies from wire manufacturers became an actual constraint on sales activities, and segment profit in the wire-related business fell 37.2% year on year. - FY2024-Q3MaterialisedAnnual report
「In this segment, in response to the declining trend in new construction of projects contributing to the electrical materials industry in regional areas, we strengthened sales efforts by developing new customers and expanding small-lot sales. However, the business environment became extremely challenging as sales activities were constrained by shortages of wire supplied by wire manufacturers, in addition to persistently high procurement prices for electrical materials.」
The supply shortage has become an actual constraint on sales activities due to insufficient supplies of wire from wire manufacturers, rather than remaining a general concern. - FY2023WorsenedAnnual report
「Cost-push inflation is progressing and continuing both in Japan and overseas, and the operating environment is expected to become extremely challenging, particularly for domestic-demand-oriented manufacturers, due to higher procurement, logistics and energy costs.」
Disruptions in supply and logistics and soaring prices were presented as a challenging environment in which higher procurement, logistics and energy costs continue. - FY2023-Q3MitigatedAnnual report
「In the wire and cable industry, prices for a range of materials, including copper, iron, nylon and rubber, remain high, while shortages of semiconductors and electronic components have continued despite showing some recovery compared with an earlier period, raising concerns over future sales declines and pressure on earnings.」
It explained that although soaring material prices and supply shortages continue, shortages of semiconductors and electronic components are recovering compared with an earlier period. - FY2023-Q1RestatedAnnual report
「In the wire and cable industry, prices for a range of materials, including copper, iron, nylon and rubber, have risen sharply, while shortages of semiconductors and electronic components have become more severe, raising concerns over future sales declines and pressure on earnings.」
The wire and cable industry continues to face soaring prices for multiple materials and shortages of semiconductors and electronic components, along with concerns over lower sales and pressure on earnings. - FY2022-Q3WorsenedAnnual report
「In the wire and cable industry, prices for a range of materials, including copper, iron, nylon and rubber, have risen sharply, while shortages of semiconductors and electronic components have become more severe, raising concerns over future sales declines and pressure on earnings.」
The risks of higher raw material prices and supply shortages have spread to materials such as iron, nylon and rubber, as well as semiconductors and electronic components, in the wire and cable industry, with worsening shortages and pressure on earnings indicated. - FY2021First statedAnnual report
「There are concerns over higher transportation costs due to container shortages, as well as soaring prices and supply shortages for other raw materials.」
Against a backdrop of rising wood demand accompanying the global economic recovery, the Company disclosed higher logistics costs due to container shortages and raw material supply shortages as new risks.