Instrument demand slows as stay-at-home demand runs its course and prices rise
First written in FY2024-Q1. 8 of 13 entries say "Worsened", first in FY2025-H1. Latest entry: 2026-11-12.
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- FY2026WorsenedAnnual report
「Although measures including efforts to raise awareness are showing results in the musical instrument education business, sales volume declined in China, where the impact of the “double reduction” policy continues, and in Europe, where price competition is intensifying. As a result, revenue was ¥56,492 million, down 3.2% year on year, and the operating loss was ¥852 million, ¥150 million worse than in the same period of the previous year.」
Demand in China and Europe continued to slow and competition intensified, resulting in lower revenue in the music education business and a ¥150 million year-on-year deterioration in operating loss. - FY2026-H1WorsenedAnnual report
「Although the effects of various initiatives, including efforts to raise brand awareness, were visible in the instrument education business, sales volumes declined in China, where the impact of the dual-circulation policy continued, and in Europe and the United States, where consumer sentiment deteriorated due to higher prices. Together with the decline in the number of students at domestic music and physical education schools, this resulted in net sales of ¥27,362 million, down 6.9% year on year, and an operating loss of ¥853 million, compared with an operating loss of ¥647 million in the previous year.」
In addition to China’s “double reduction” policy and higher prices and deteriorating consumer sentiment in Europe and the United States, the continued decline in the number of students at domestic schools led revenue in the musical instrument education business to fall 6.9%, while the operating loss widened from ¥647 million to ¥853 million. - FY2025WorsenedAnnual report
「In the musical instrument education business, the reaction to stay-at-home demand during the spread of COVID-19 and deterioration in consumer sentiment amid rising prices resulted in net sales of ¥58,379 million, down 11.1% year on year. The impact of production cuts to optimize inventory levels and higher material costs resulted in an operating loss of ¥701 million, compared with operating profit of ¥2,353 million in the same period of the previous year.」
The reaction to stay-at-home demand and deterioration in consumer sentiment due to higher prices continued throughout the fiscal year, with revenue in the musical instrument education business declining 11.1% and operating profit turning into an operating loss of ¥701 million. - FY2025-H1WorsenedAnnual report
「In the musical instrument education business, the reaction to stay-at-home demand during the spread of COVID-19 and deterioration in consumer sentiment amid rising prices resulted in net sales of ¥29,382 million, down 12.9% year on year. The impact of production cuts to optimize inventory levels and higher material costs resulted in an operating loss of ¥647 million, compared with operating profit of ¥1,451 million in the same period of the previous year.」
The reaction to stay-at-home demand and slower demand due to higher prices continued, with revenue in the musical instrument education business declining 12.9% and operating profit turning into an operating loss of ¥647 million. - FY2024-Q3RestatedAnnual report
「In the musical instrument education business, domestic sales of grand pianos, including “Shigeru Kawai,” remained strong, as in the previous fiscal year. However, the slowdown in China’s economic activity, the easing of stay-at-home demand to some extent and deterioration in consumer sentiment amid rising prices resulted in net sales of ¥49,715 million, down 8.4% year on year. Operating profit was ¥2,114 million, down 21.3% year on year, due to higher material costs and other factors.」
The slowdown in economic activity in China, the end of stay-at-home demand and deterioration in consumer sentiment accompanying price increases continue to drive declines in revenue and operating profit in the musical instrument education business. - FY2024-Q2RestatedAnnual report
「In the musical instrument education business, domestic sales of grand pianos, including “Shigeru Kawai,” remained strong, as in the previous fiscal year. However, the suspension of economic activity following a sharp increase in COVID-19 infections in China at the beginning of the year, the easing of stay-at-home demand to some extent and deterioration in consumer sentiment amid rising prices resulted in net sales of ¥33,731 million, down 4.5% year on year. Operating profit was ¥1,451 million, down 17.8% year on year, due to higher material costs and other factors.」
The suspension of economic activity in China, the end of stay-at-home demand and deterioration in consumer sentiment accompanying price increases continue to drive declines in revenue and operating profit in the musical instrument education business. - FY2024-Q1First statedAnnual report
「In the musical instrument education business, domestic sales of grand pianos, including “Shigeru Kawai,” remained strong, as in the previous fiscal year. However, economic activity in China was suspended following a sharp increase in COVID-19 infections at the beginning of the year, stay-at-home demand eased to some extent, and consumer sentiment deteriorated amid rising prices. As a result, net sales were ¥16,444 million, down 6.0% year on year, while operating profit was ¥649 million, down 18.0% year on year, due to higher material costs and other factors.」
The suspension of economic activity in China, the end of stay-at-home demand and deterioration in consumer sentiment accompanying price increases are reflected in actual declines in revenue and operating profit in the musical instrument education business.