Raw Material Price Volatility and Procurement Risk
First written in FY2017. 9 of 18 entries say "Materialised", first in FY2018-Q2. Latest entry: FY2026.
Valqua moved to the "Worse" side of this theme in 2017, 6 years before the typical company in this theme (2023).
The whole theme swung hardest in 2018: 5 of 17 companies on the "Worse" side.
3 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「Our group purchases components and raw materials in Japan and overseas to manufacture products. For some components and raw materials, our pursuit of the high quality and performance required to meet market needs may make it impossible to secure alternative suppliers or sufficient volumes when supply is disrupted. Other potential risks include global increases in energy prices and supply constraints caused by terrorism, conflict, tariff policies and other factors.」
It specifies higher raw material and energy prices, tariff policies and supply constraints as procurement risks, and expands the scope of items subject to critical management. - 2026-05-15WorsenedResults
「世界的な設備投資の減速、半導体関連市場の拡大ペースの鈍化、エネルギー及び原材料の不足や価格の高騰、人材不足による稼働率の悪化など、先行きに対する懸念材料が存在しております。」
原材料・エネルギー価格の上昇に加え、エネルギー及び原材料の不足、人材不足による稼働率悪化を懸念材料として列挙している。 - FY2025RestatedAnnual report
「Our group is advancing multiple sourcing and securing appropriate inventory levels at the right time. We also regularly evaluate key suppliers and work to mitigate procurement risks.」
It continues to identify supply constraints for raw materials and components and higher energy prices as risks, while responding through multiple sourcing, inventory reserves and supplier evaluations. - FY2024-Q3MaterialisedAnnual report
「In Japan, personal consumption grew less than expected under the impact of higher prices, while production in some manufacturing fields, including automotive-related fields, recovered. However, higher costs related to energy, raw materials and logistics became negative factors, leaving the manufacturing sector lacking momentum overall.」
Higher energy, raw material and logistics-related costs are identified as actual negative factors in the manufacturing operating environment. - FY2024-Q2MaterialisedAnnual report
「In Japan, personal consumption grew less than expected under the impact of higher prices, while production in some manufacturing fields, including automotive-related fields, recovered. However, higher costs related to energy, raw materials and logistics became negative factors, leaving the manufacturing sector lacking momentum overall.」
It states that higher energy, raw material and logistics-related costs have actually emerged as negative factors in the manufacturing operating environment. - FY2024-Q1Component shortages easing, but higher resource prices and persistent inflationAnnual report
「During the first quarter of the fiscal year, the recovery from COVID-19 leveled off, and the global economy as a whole struggled to grow amid higher resource prices resulting from Russia's invasion of Ukraine and the impact of inflation in major countries. In Japan, personal consumption grew less than expected under the impact of higher prices. However, in the manufacturing industries to which our group belongs, production trends across a broad range of fields showed a steady recovery as shortages of semiconductors and components began to ease.」
While semiconductor and component shortages are said to have begun to ease, higher resource prices, higher consumer prices and inflation have continued, indicating that procurement and raw material conditions have been uneven. - FY2023RestatedAnnual report
「Our group purchases components and raw materials in Japan and overseas to manufacture products, and works to build an optimal supply chain through multiple sourcing and the timely securing of appropriate inventory levels. We are also pursuing decisive supply-chain reform in response to rising geopolitical risks in accordance with the medium-term management plan NF2023. However, when supply is disrupted, we may be unable to secure alternative suppliers or sufficient volumes.」
While higher raw material prices and difficulty obtaining materials have actually emerged, it continues to respond through multiple sourcing, inventory reserves and supply-chain reform. - FY2023-Q3MaterialisedAnnual report
「Although the Japanese economy was expected to recover from the damage caused by COVID-19, personal consumption showed marked weakness under the impact of higher prices caused in part by the yen's depreciation. In the manufacturing industries to which our group belongs, overseas lockdowns, shortages of semiconductors and components, and higher raw material prices and greater difficulty obtaining raw materials temporarily disrupted production in some industries.」
It states that higher raw material prices and greater difficulty obtaining raw materials, semiconductor and component shortages, overseas lockdowns and other supply constraints, including logistics disruptions, have actually resulted in production problems in some industries. - FY2023-Q2MaterialisedAnnual report
「Although the Japanese economy was expected to recover from the damage caused by COVID-19, personal consumption showed marked weakness under the impact of higher prices. In the manufacturing industries to which our group belongs, overseas lockdowns, shortages of semiconductors and components, and higher raw material prices and greater difficulty obtaining raw materials temporarily disrupted production in some industries.」
It states that higher raw material prices and greater difficulty obtaining raw materials, semiconductor and component shortages, and lockdowns have actually resulted in production problems in some industries. - FY2023-Q1MaterialisedAnnual report
「In the manufacturing industries to which our group belongs, overseas lockdowns, shortages of semiconductors and components, increasing difficulty in obtaining raw materials and logistics disruptions caused production problems in some industries.」
It states that greater difficulty obtaining raw materials, component shortages and logistics disruptions have actually resulted in production problems. - FY2022WorsenedAnnual report
「We are currently pursuing decisive supply-chain reform in response to rising geopolitical risks in accordance with the medium-term management plan NF2023. However, for some components and raw materials supplied by our group, our pursuit of the high quality and performance required to meet market needs may make it impossible to secure alternative suppliers or sufficient volumes when supply is disrupted.」
As higher raw material prices and supply constraints have emerged in actual results, it identifies the difficulty of securing alternative suppliers and sufficient volumes amid rising geopolitical risks as a specific risk. - FY2022-Q3MaterialisedAnnual report
「Higher logistics costs and resource prices, together with the renewed spread of infections caused by variants, weighed on the economy.」
It states that higher logistics costs and resource prices have emerged as actual factors hindering the recovery of overseas economies. - FY2022-Q2MaterialisedAnnual report
「Although personal consumption and corporate production in overseas economies, particularly in the United States and other developed countries, began to recover as vaccination progressed, concerns about the spread of infections caused by new variants remained unresolved, and higher resource prices also hindered the recovery.」
It states that higher resource prices have emerged as an actual factor hindering the recovery of overseas economies. - FY2021RestatedAnnual report
「Our group will work to secure stable procurement while focusing on sourcing raw materials at low cost. However, tight supply and demand or price fluctuations could affect our group's operating results and financial position.」
While advancing stable, low-cost procurement, it continues to identify the potential impact of tight supply and demand and raw material price fluctuations. - FY2019-Q2WorsenedAnnual report
「However, for the outlook, trade issues between Japan and the United States and between the United States and China, raw material prices and geopolitical issues remained factors of concern. In addition, concerns about a slowdown in semiconductor-related capital investment meant that Japanese companies were becoming increasingly cautious about the outlook.」
It explicitly identifies raw material prices as a factor warranting caution going forward, continuing to refer to raw material price volatility risks. - FY2018-Q3MaterialisedAnnual report
「In the functional resin products business, sales increased to ¥9,144 million, up 8.4% year on year, driven by expanded sales in the equipment and plant markets. However, reflecting the impact of higher raw material prices and the amortization of goodwill from M&A, segment profit was ¥351 million, down 37.9% year on year.」
Higher raw material prices became an actual factor weighing on profit in the functional resin products business, with segment profit down 37.9% year on year. - FY2018-Q2MaterialisedAnnual report
「The Functional Resin Products business reported net sales of ¥605.4 million, up 10.8% year on year, as sales to the equipment and plant markets expanded. Segment profit, however, fell 44.6% to ¥18.5 million due to higher raw material prices and goodwill amortization.」
Higher raw material prices emerged as an actual factor weighing on profit in the functional resin products business, with segment profit down 44.6% year on year. - FY2017First statedAnnual report
「Our group will work to secure stable procurement while focusing on sourcing raw materials at low cost. However, tight supply and demand or price fluctuations could affect our group's operating results and financial position.」
While advancing stable, low-cost procurement, it describes the potential impact of tight supply and demand and raw material price fluctuations on operating results and financial position.