Declining profitability due to CO2 reduction costs and surging procurement prices
First written in FY2021. 2 of 4 entries say "Worsened", first in FY2022. Latest entry: 2026-05-13.
Tokyu 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 2021: 4 of 17 companies on the "Worse" side.
15 other companies' latest entry also says "Worsened".
- 2026-05-13WorsenedResults briefing materials
「Higher investment burden due to rising construction costs and delays to competing redevelopment projects」
In addition to the previously identified risk of cost increases, the Company specified a higher investment burden and delays to competing redevelopment projects as risks associated with higher financing and construction costs. - FY2024ReframedAnnual report
「The Group is reducing costs based on market price trends for raw materials, labor and other inputs. However, if procurement costs such as construction costs rise, the Group's business performance and financial position may be adversely affected. In response, the Group is working to strengthen its ability to respond to market changes through value engineering, cost reductions, diversification of procurement channels and ongoing reviews of construction specifications, among other measures.」
Procurement risks, including CO2 reduction costs and semiconductor shortages, were reorganized around the risk of higher construction and other costs, and countermeasures were made more specific. - FY2022WorsenedAnnual report
「The Group is reducing costs based on market price trends for raw materials, labor and other inputs. However, if raw material costs rise because of logistics disruptions caused by geopolitical issues, market changes associated with semiconductor shortages, or increased costs associated with CO2 reduction, the Group's business performance and financial position may be adversely affected.」
In addition to raw material and labor costs and CO2 reduction costs, logistics disruptions caused by geopolitical factors and semiconductor shortages were added as factors that could increase procurement costs. - FY2021First statedAnnual report
「The Group is reducing costs based on market price trends for raw materials, labor and other inputs. However, if raw material costs rise because of market changes or increased costs associated with CO2 reduction, the Group's business performance and financial position may be adversely affected.」
In addition to market changes in raw material and labor costs, the Company identified higher procurement costs resulting from increased CO2 reduction costs as a risk.