Decline in Gross Profit Margin Due to Increase in Small-Scale System Projects
First written in FY2023-Q1. 2 of 7 entries say "Worsened", first in FY2023-Q2. Latest entry: FY2026-H1.
Mitani Sangyo moved to the "Worse" side of this theme in 2022, 3 years before the typical company in this theme (2025).
The whole theme swung hardest in 2022: 2 of 6 companies on the "Worse" side.
0 other companies' latest entry also says "Dropped".
- FY2026-H1DroppedAnnual reportIn the explanation of the information systems-related business for the six-month consolidated period, there was no direct reference to a decline in profit due to increased sales of relatively low-value-added purchased products; instead, the company described progress in orders and deliveries and higher profit.
- FY2025-H1MaterialisedAnnual report
「Sales increased 3.0% year on year to ¥4,722 million, owing to smooth deliveries to customers in the Hokuriku region. Operating profit fell 9.4% year on year to ¥444 million, as sales of relatively low-value-added purchased products increased compared with the same period of the previous year, while costs associated with expanding the workforce and other expenses also increased.」
The increase in sales of relatively low-value-added purchased products, which had been described through the third quarter of the previous fiscal year, re-emerged as a factor behind the decline in profit, and operating profit fell 9.4%. - FY2024-Q3DroppedAnnual reportIn the explanation of the information systems-related business for the third quarter, there was no direct reference to a decline in profit due to increased sales of relatively low-value-added purchased products; instead, the company reported higher sales and profit driven by strong orders and deliveries.
- FY2023WorsenedAnnual report
「On the other hand, operating profit fell 21.5% year on year to ¥746 million, as sales of relatively low-value-added purchased products increased compared with the previous fiscal year.」
The decline in the profit margin resulting from increased sales of relatively low-value-added purchased products continued for the full fiscal year, and operating profit fell 21.5% year on year. - FY2023-Q3RestatedAnnual report
「On the other hand, operating profit fell 1.1% year on year to ¥460 million, as sales of relatively low-value-added purchased products increased compared with the same period of the previous year.」
The increase in sales of relatively low-value-added purchased products continues to be a factor behind the decline in profit in the information systems-related business. - FY2023-Q2WorsenedAnnual report
「On the other hand, operating profit fell 33.7% year on year to ¥323 million, as sales of relatively low-value-added purchased products increased compared with the same period of the previous year.」
The decline in the profit margin of the information systems-related business, previously attributed to an increase in small-scale projects, has now emerged as a decline in profit caused by an increase in sales of relatively low-value-added purchased products. - FY2023-Q1First statedAnnual report
「On the other hand, operating loss was ¥49 million, as the gross margin on sales temporarily declined because small-scale projects increased compared with the same period of the previous year.」
The increase in small-scale projects temporarily reduced the gross margin on sales, resulting in an operating loss of ¥49 million in the information systems-related business.