Earnings volatility due to declines in new housing starts and public works
First written in FY2016. 20 of 36 entries say "Restated". Latest entry: FY2026.
KUWAZAWA Holdings moved to the "Worse" side of this theme in 2026, 6 years after the typical company in this theme (2020).
The whole theme swung hardest in 2020: 26 of 46 companies on the "Worse" side.
3 other companies' latest entry also says "Other".
- FY2026Construction demand environment updatedAnnual report
「In the construction-related industries in which our group operates, the operating environment remained challenging as construction costs stayed high due to continued increases in labor costs and material prices. New housing starts were affected by their medium- to long-term declining trend, as well as by longer review periods resulting from mandatory energy-efficiency standards and the narrowing of the Type 4 special exemption, while private and public investment remained firm.」
The company updates its assessment of the environment, noting continued high construction costs due to rising labor costs and material prices and a medium- to long-term decline in new housing starts, as well as the effects of mandatory energy-efficiency standards and the narrowing of the Type 4 special exemption. Private and public investment remain firm. - 2026-05-15WorsenedResults
「新設住宅着工戸数の減少傾向に加え、労務費や資材価格の上昇継続などから建設コストが高水準で推移しており、近時資材供給の不安定化懸念も生じるなど、取り巻く経営環境は予断を許さない状況が続くものと予想されます。」
住宅着工戸数の減少、労務費・資材価格の上昇に加え、資材供給の不安定化懸念を業界環境の下押し要因として具体化している。 - FY2026-H1Construction demand environment updatedAnnual report
「In the construction-related industries in which our group operates, labor costs and material prices remained elevated. Residential investment continued to decline due to longer review periods resulting from mandatory energy-efficiency standards and the narrowing of the Type 4 special exemption, while private non-residential investment remained resilient and public investment remained stable.」
The company newly identifies longer review periods resulting from mandatory energy-efficiency standards and the narrowing of the Type 4 special exemption as specific factors weighing on residential investment, amid continued elevated labor costs and material prices and declining residential investment. Private non-residential investment remained resilient, while public investment remained stable. - FY2025Construction demand environment updatedAnnual report
「In the construction-related industries in which our group operates, the operating environment remained challenging as construction costs stayed high due to rising labor costs and persistently high material prices. New housing starts continued to decline, while private and public investment remained firm.」
The company describes the year's environment as one in which high construction costs resulting from rising labor costs and persistently high material prices and declining new housing starts continued, while private and public investment remained firm. - FY2025-H1Construction demand environment updatedAnnual report
「In the construction-related industries in which our group operates, the operating environment remained challenging as construction costs rose due to soaring labor costs and persistently high material prices. New housing starts continued to decline, while private and public investment remained firm.」
The company updates its assessment of the environment, noting that high construction costs resulting from soaring labor costs and persistently high material prices and the decline in new housing starts continue, while private and public investment remain firm. - FY2024Construction demand environment updatedAnnual report
「Looking ahead, private investment is expected to remain firm and public investment resilient. However, with new housing starts continuing to decline and construction costs remaining high due to soaring material prices and rising labor costs, the challenging operating environment surrounding the construction industry is expected to persist, with the outlook remaining uncertain.」
The company notes the strength of private and public investment, while updating the factors weighing on the construction demand environment to include declining new housing starts, rising material prices and labor costs, and high construction costs. - FY2024-Q2Construction demand environment updatedAnnual report
「In the challenging operating environment of rising construction costs, including due to soaring labor costs and persistently high material prices, new housing starts declined, while private and public investment remained firm.」
The company updates its assessment of the environment, noting that high construction costs resulting from soaring labor costs and persistently high material prices and the decline in new housing starts continue, while private and public investment remain firm. - FY2024-Q1Construction demand environment updatedAnnual report
「In the construction-related industries in which our group operates, the operating environment remained challenging as construction costs rose, including due to persistently high material prices. New housing starts declined, while private and public investment remained firm.」
The company describes a construction demand environment in which construction costs continue to rise and new housing starts continue to decline, while private and public investment remain firm. - FY2023RestatedAnnual report
「Our group's business is conducted mainly in areas related to construction work and related activities, and is affected by trends in private capital investment, housing starts, and public works in Japan.」
The company reconfirms the risk of performance fluctuations resulting from trends in private capital investment, new housing starts, and public works. - FY2023-Q3RestatedAnnual report
「In the challenging operating environment of rising construction costs, including due to soaring material prices and labor costs, new housing starts declined and public investment remained weak, while private investment remained firm.」
The company notes rising construction costs, declining new housing starts, weak public investment, and firm private investment, reconfirming the risk that fluctuations in construction demand may affect performance. - FY2023-Q2RestatedAnnual report
「In the challenging operating environment of rising construction costs, including due to soaring material prices and labor costs, new housing starts and public investment weakened, while private investment remained resilient.」
The company notes rising construction costs, weak new housing starts and public investment, and resilient private investment, reconfirming the risk that fluctuations in construction demand may affect performance. - FY2023-Q1WorsenedAnnual report
「In the challenging operating environment of rising construction costs, including due to soaring material prices and labor costs, new housing starts and public investment weakened, while private investment remained resilient.」
The company states that new housing starts and public investment weakened as construction costs continued to rise, indicating that downside factors affecting construction demand remain in place. - FY2022WorsenedAnnual report
「In the construction-related industries in which our group operates, the operating environment remained challenging as construction costs rose, including due to soaring material prices. Public investment weakened, while private investment and new housing starts showed signs of recovery.」
The company notes the recovery in private investment and new housing starts, while also noting rising construction costs due to soaring material prices and weak public investment, underscoring the challenging demand and cost environment. - FY2022-Q3WorsenedAnnual report
「In the construction-related industries in which our group operates, the operating environment remained challenging as construction costs rose, including due to soaring material prices. Public investment weakened, while private investment and new housing starts showed signs of recovery.」
The company explains that public investment, previously considered resilient, weakened as construction costs continued to rise due to soaring material prices. Meanwhile, private investment and new housing starts showed signs of recovery. - FY2022-Q2RestatedAnnual report
「In the construction-related industries in which our group operates, construction costs continued to rise due to soaring material prices and other factors. Public investment remained resilient, while private investment and new housing starts showed signs of recovery.」
The company explains that construction costs continued to rise due to soaring material prices, while public investment remained resilient and private investment and new housing starts showed signs of recovery. - FY2022-Q1RestatedAnnual report
「In the construction-related industries in which our group operates, downside risks, including rising construction costs resulting from soaring material prices, were a concern. Meanwhile, public investment remained resilient, and private investment and new housing starts showed signs of recovery.」
The company describes the downside risk from rising construction costs, while explaining that public investment, private investment, and new housing starts are showing signs of recovery. - FY2021RestatedAnnual report
「Looking ahead, new housing starts and capital investment are declining due in part to the effects of COVID-19, and the operating environment surrounding the construction industry is expected to become even more challenging.」
The company reconfirms the decline in new housing starts and capital investment and the challenging construction demand environment resulting from COVID-19. - FY2021-Q3RestatedAnnual report
「In the construction-related industries in which our group operates, new housing starts and private investment declined as the real economy weakened due to the spread of COVID-19. Public investment for the renovation and development of social infrastructure, however, remained firm.」
The company notes the decline in new housing starts and private investment alongside the strength of public investment for social infrastructure renovation and development, reconfirming the risk that fluctuations in construction demand may affect performance. - FY2021-Q2RestatedAnnual report
「In the construction-related industries in which our group operates, public investment for the renovation and development of social infrastructure remained relatively firm. However, the spread of COVID-19 accelerated the decline in new housing starts, while private investment showed signs of caution amid the downturn in the real economy.」
While public investment remained relatively firm, the company describes a declining trend in new housing starts and more cautious private investment, reconfirming the risk that fluctuations in construction demand may affect performance. - FY2021-Q1WorsenedAnnual report
「In the construction-related industries in which our group operates, construction demand remained firm, centered on public investment for the development of social infrastructure and disaster preparedness, despite constraints on business activity resulting from the spread of COVID-19, including an accelerating decline in new housing starts due to stagnant orders.」
The company states that constraints on business activity and stagnant orders resulting from COVID-19 accelerated the decline in new housing starts. Meanwhile, construction demand centered on public investment remained firm. - FY2020WorsenedAnnual report
「Looking ahead, the operating environment surrounding the construction industry is expected to become even more challenging, as new housing starts are expected to decline and capital investment is expected to fall due in part to the effects of the government's declaration of a state of emergency in response to the spread of COVID-19.」
The company newly identifies the spread of COVID-19 and the declaration of a state of emergency as factors behind declines in new housing starts and capital investment, and indicates that the construction demand environment is expected to become even more challenging. - FY2020-Q3RestatedAnnual report
「In the construction-related industries in which our group operates, public and private investment remained firm. However, the number of new housing starts continued to decline, while labor costs per worker continued to rise due to labor shortages and construction costs continued to increase as a result of soaring construction material prices, leaving no room for optimism.」
While public and private investment remained firm, the company reconfirms the challenging environment in which new housing starts continued to decline and labor costs per worker, construction material prices, and construction costs continued to rise. - FY2020-Q2RestatedAnnual report
「In the construction-related industries in which our group operates, public investment recovered as implementation of the fiscal 2018 supplementary budget gathered pace, while capital investment also expanded, mainly reflecting demand related to labor shortages and aging facilities. On the other hand, although owner-occupied housing increased on front-loaded demand ahead of the October consumption tax increase, rental housing declined as demand ran its course, causing residential investment to fall. The sharp increases in labor costs and construction material prices also created a challenging operating environment.」
The company reconfirms the challenging environment created by the decline in residential investment, mainly rental housing, and soaring labor costs and construction material prices, despite the recovery and expansion of public and capital investment. - FY2020-Q1RestatedAnnual report
「In the construction-related industries in which our group operates, public investment recovered as implementation of the fiscal 2018 supplementary budget gathered pace, while capital investment also expanded, mainly reflecting demand related to labor shortages and aging facilities. On the other hand, although owner-occupied housing increased on front-loaded demand ahead of the consumption tax increase, rental housing declined as demand ran its course, causing residential investment to fall. The sharp increases in labor costs and construction material prices also created a challenging operating environment.」
The company reconfirms the challenging environment created by the recovery and expansion of public and capital investment, on the one hand, and the decline in residential investment and soaring labor costs and construction material prices, on the other. - FY2019-Q3RestatedAnnual report
「In the construction-related industries in which our group operates, capital investment remained strong, supported by demand for labor-saving and information technology investment. However, public works weakened as the boost from implementation of the fiscal 2016 supplementary budget ran its course, while residential investment remained on a declining trend following the peak in rental housing. The sharp increases in labor costs and construction material prices also created a challenging operating environment.」
The company reconfirms the challenging environment created by weaker public works, declining residential investment, and soaring labor costs and construction material prices. - FY2019-Q2WorsenedAnnual report
「In the construction-related industry in which our group operates, capital investment remained firm, supported by growth in machinery investment. However, public works weakened as the boost from implementation of the 2016 supplementary budget faded, and residential investment was on a downward trend, mainly following a peak in rental housing demand related to inheritance-tax planning. Rising labor costs and construction material prices also contributed to a challenging operating environment.」
Public investment, which had been described as recovering in the previous quarter, turned weaker, while residential investment was also described as being on a declining trend. Together with rising labor and construction material costs, this reflects a challenging environment. - FY2019-Q1RestatedAnnual report
「In the construction-related industry in which our group operates, for-sale housing increased as new condominium starts rose, but owner-occupied housing remained weak and rental housing also declined as demand waned. Residential investment therefore remained weak. Meanwhile, public investment showed signs of recovery, and capital investment increased, mainly in maintenance and replacement, rationalization and labor-saving investment, against a backdrop of high corporate earnings, resulting in generally firm construction investment.」
Residential investment remained weak, while public and capital investment either recovered or increased, reaffirming the premise that changes in construction demand may affect operating performance. - FY2018RestatedAnnual report
「In the construction-related industry in which our group operates, capital investment remained strong against a backdrop of demand for labor-saving and information technology investment. However, public works declined as the boost from implementation of the 2016 supplementary budget faded, and residential investment was also weakening following a peak in rental housing demand. Rising construction labor costs further contributed to a challenging operating environment.」
Capital investment remained strong, while weakening public works and residential investment and rising construction labor costs have kept the business environment challenging. - FY2018-Q3WorsenedAnnual report
「In the construction-related industry in which our group operates, capital investment remained strong against a backdrop of demand for labor-saving and information technology investment. However, public works declined as the boost from implementation of the 2016 supplementary budget faded, and residential investment was also on a downward trend following a peak in rental housing demand. Rising construction labor costs further contributed to a challenging operating environment.」
Public works, which had been described as increasing in the previous quarter, turned downward, while residential investment was also described as being on a declining trend. Together with rising construction labor costs, this indicates a worsening demand environment. - FY2018-Q2RestatedAnnual report
「Capital investment remained strong, driven by improved corporate earnings and labor-saving investment to address labor shortages, and public works also increased as implementation of the 2016 supplementary budget gathered pace. However, residential investment declined as rental housing demand waned after the peak in demand for inheritance-tax planning, and rising construction labor costs also contributed to a challenging operating environment.」
The Company presents increases in capital investment and public works alongside a challenging environment caused by declining rental housing demand and rising construction labor costs, reaffirming the risk that changes in construction demand may affect operating performance. - FY2018-Q1RestatedAnnual report
「In the construction-related industry in which our group operates, owner-occupied and rental housing remained positive, but residential investment stagnated as for-sale housing declined amid rising prices for newly built condominiums. Meanwhile, construction investment remained firm as public investment was supported by the effects of economic measures under the second FY2017 supplementary budget and Olympic-related infrastructure development, while capital investment was recovering, mainly in rationalization and labor-saving investment, against a backdrop of improved corporate earnings.」
The Company presents stagnation in residential investment alongside firm construction investment supported by public and capital investment, reaffirming the premise that changes in construction demand may affect operating performance. - FY2017RestatedAnnual report
「If private-sector capital investment or new housing starts decline in the future due to trends in the economy, tax policy, interest rates or real estate market conditions, or if national or local governments reduce public works, the resulting decline in construction demand could affect our group's operating performance and financial condition.」
The Company has reiterated the risk that declines in private-sector capital investment, new housing starts and public works could affect operating performance and financial condition. - FY2017-Q3RestatedAnnual report
「Public works increased as reconstruction and recovery demand following the earthquake was supplemented by implementation of the second FY2017 supplementary budget, while residential investment remained firm, particularly in rental housing, amid low mortgage rates. However, capital investment increased only slightly as companies remained cautious about new investment against a backdrop of uncertainty in the domestic and overseas economies. Construction labor costs also continued to rise amid a persistent sense of labor shortages, resulting in a challenging operating environment.」
Public works and residential investment increased or remained firm, while weak capital investment and rising construction labor costs have kept the operating environment challenging. - FY2017-Q2RestatedAnnual report
「Public works increased following the implementation of the FY2015 supplementary budget and the FY2016 supplementary budget related to earthquake recovery and reconstruction, while residential investment remained at a high level despite a pause in its growth following the postponement of the consumption-tax increase. However, capital investment remained weak due to sluggish exports, and construction labor costs also rose, resulting in a challenging operating environment.」
Public works increased and residential investment remained at a high level, while weak capital investment and rising construction labor costs have kept the operating environment challenging. - FY2017-Q1RestatedAnnual report
「The rush demand anticipated ahead of the consumption tax increase was postponed, but new housing starts showed signs of recovery as mortgage rates remained low. Public investment was on an upward trend, helped by the FY2015 supplementary budget and the early implementation of the FY2016 budget. However, capital investment lacked strength as corporate performance deteriorated amid the yen's appreciation, and the increase in labor costs also contributed to a generally challenging operating environment.」
The Company describes signs of recovery in new housing starts and increases in public investment, while noting a challenging environment that includes weak capital investment and rising labor costs. - FY2016First statedAnnual report
「The operating performance of our group may be significantly affected by increases or decreases in new housing starts and public works.」
During the fiscal year, revenue decreased 4.7% year on year, partly due to a decline in public works, and the text states that this risk factor affected operating performance.