Impact of Standard Freight Rate Normalization and Reliance on Recovery Through Shipper Negotiations
First written in FY2021-Q2. 5 of 9 entries say "Mitigated", first in FY2025-H1. Latest entry: FY2026.
0 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「Regarding the outlook, although the impact of the increasingly unstable situation in the Middle East on the domestic transportation, international logistics and energy businesses remains uncertain, we expect full-year revenue of ¥9,061 million, operating income of ¥146 million, ordinary income of ¥176 million and net income attributable to owners of the parent of ¥108 million, through measures including strengthening existing businesses, promoting operational efficiency and passing through costs by introducing fuel surcharges and other measures.」
In addition to negotiations for appropriate freight rates and price revisions, the company has identified passing through costs, including the introduction of fuel surcharges, as measures for the next period. - 2026-05-14MitigatedEarnings
「Price revisions resulting from freight-rate negotiations aimed at collecting appropriate freight rates resulted in increases in both sales and earnings.」
Although transportation volumes declined and vehicle repair costs increased, price revisions resulting from freight-rate negotiations contributed to higher sales and earnings in the domestic transportation business. - FY2026-H1MitigatedAnnual report
「Although repair costs increased due to breakdowns of the company’s vehicles, price revisions resulting from freight-rate negotiations aimed at collecting appropriate freight rates led to higher revenue and profit.」
Amid higher vehicle repair costs and lower transportation volumes, price revisions aimed at collecting appropriate freight rates contributed to higher revenue and profit in the domestic transportation business. - FY2025MitigatedAnnual report
「Although vehicle repair costs increased and demand for domestic products and chemical shipment volumes declined significantly, revenue and profit increased following price revisions resulting from freight-rate negotiations. As a result, revenue was ¥3,852 million, up ¥250 million (7.0%) from the previous consolidated fiscal year, while segment profit (operating profit) was ¥254 million, up ¥31 million (13.8%).」
Freight-rate negotiations and price revisions aimed at securing appropriate freight rates contributed to higher revenue and profit in the domestic transportation business despite lower volumes and higher vehicle repair costs. - FY2025-H1MitigatedAnnual report
「Under these circumstances, the Group’s revenue increased by ¥46 million, or 1.1%, year on year to ¥4,135 million. In the domestic transportation business, this reflected price revisions resulting from freight-rate negotiations aimed at collecting appropriate freight rates, using the “standard freight rates” indicated by the Ministry of Land, Infrastructure, Transport and Tourism as a reference, as well as an increase in orders in the tank-cleaning business.」
Freight-rate negotiations and price revisions using the “standard freight rates” were implemented, contributing to higher revenue and profit in the domestic transportation business and higher company-wide revenue. - FY2024RestatedAnnual report
「We will pursue new customer development, deepen existing business relationships and create new businesses, while working to expand sales and secure appropriate freight rates.」
The company continues initiatives on pricing and sales, including securing appropriate freight rates, in response to the 2024 logistics problem and soaring fuel costs. - FY2024-Q3Price negotiations based on the standard freight rates were conducted, but their effect was insufficient.Annual report
「Regarding earnings, we made every effort to negotiate prices based on the “standard freight rates” announced by the Ministry of Land, Infrastructure, Transport and Tourism in order to address the 2024 logistics problem.」
The company explained that although it advanced price negotiations based on the standard freight rates to address the 2024 logistics problem, the overall result was insufficient as the decline in shipment volumes and high fuel prices continued. - FY2021Signs of improvement alongside continuing shortagesAnnual report
「The "Standard Freight Rates for General Motor Truck Transportation Business" were promulgated in April last year, and although there was movement toward improving working conditions, no change was seen in the chronic shortage of drivers,」
Following the announcement of the standard freight rates, measures to improve working conditions were reported, but the driver shortage persists. - FY2021-Q2First statedAnnual report
「On 24 April, the "Standard Freight Rates for General Motor Truck Transportation Business" were promulgated, raising expectations for fairer transactions, stable logistics, and improved working conditions for drivers. However, the business environment remains challenging because economic and performance recovery is essential for negotiations with shippers.」
While the promulgation of standard freight rates is expected to promote fair transactions, maintain logistics services, and improve drivers' working conditions, the Company presents a new view of the operating environment that economic and performance recovery and negotiations with shippers are necessary to achieve these goals.