Rising Electricity Rates, Labor Costs and Construction Material Prices, among Other Costs
First written in FY2017. 6 of 11 entries say "Worsened", first in FY2019. Latest entry: FY2025.
Kyushu Railway Company moved to the "Worse" side of this theme in 2019, 3 years before the typical company in this theme (2022).
The whole theme swung hardest in 2017: 4 of 12 companies on the "Worse" side.
6 other companies' latest entry also says "Worsened".
- FY2025WorsenedAnnual report
「The Group regards soaring prices in Japan, the declining working-age population and the need to improve compensation in response to changing workers' values as developments requiring close attention. In addition, in view of policy trends in other countries and fluctuations in financial and capital markets, the Group believes that caution is warranted regarding the future economic outlook.」
In addition to the previously identified risks of rising raw-material and energy prices, the disclosure explicitly addresses soaring prices, a declining working-age population, the need to improve compensation and policy trends in other countries. - FY2024-Q3RestatedAnnual report
「During the first nine months of the current fiscal year, Japan's economy showed signs of recovery, centred on personal consumption, as employment and income conditions improved. However, the economic outlook is expected to remain somewhat uncertain due to the effects of rising prices and fluctuations in financial and capital markets, among other factors.」
The disclosure continues to address uncertainty in the economic environment due to rising prices and fluctuations in financial and capital markets. - FY2024-Q2RestatedAnnual report
「However, the economic outlook is expected to remain somewhat uncertain due to the effects of rising raw-material prices associated with yen depreciation and fluctuations in financial and capital markets, among other factors.」
The disclosure continues to address uncertainty in the economic environment due to yen depreciation, rising raw-material prices and fluctuations in financial and capital markets. - FY2024-Q1RestatedAnnual report
「However, the economic outlook is expected to remain somewhat uncertain due to the effects of rising raw-material prices associated with the prolonged situation in Ukraine and yen depreciation, among other factors.」
The disclosure continues to address rising raw-material prices in relation to the prolonged situation in Ukraine and yen depreciation. - FY2023WorsenedAnnual report
「The Group may also be affected by domestic and overseas conditions, including foreign-exchange trends, political factors such as the situation involving Russia and Ukraine, natural disasters, abnormal weather, accidents and infectious-disease outbreaks. These factors may cause fluctuations in the number of tourists from overseas, particularly South Korea, China, Taiwan, Hong Kong and other neighbouring Asian countries and regions, as well as in the procurement prices of materials and energy.」
The disclosure continues to address risks from fluctuations in raw-material and energy procurement prices, including their relationship with foreign-exchange movements, the situation involving Russia and Ukraine, and natural disasters. - FY2023-Q2WorsenedAnnual report
「During the first six months of the current fiscal year, Japan's economy showed signs of a gradual recovery centred on personal consumption as restrictions on activities were eased and socioeconomic activity moved towards normalisation, despite the continuing impact of COVID-19. However, the economic outlook is expected to remain uncertain due to the effects of rising raw-material prices associated with the prolonged situation in Ukraine and yen depreciation, among other factors.」
The disclosure explicitly links the risk of rising raw-material prices to the prolonged situation in Ukraine and yen depreciation, while noting that the economic environment remains uncertain. - FY2023-Q1WorsenedAnnual report
「The outlook for the economy remains uncertain, as the number of new COVID-19 cases turned upward from late June and the effects of rising raw-material prices associated with the prolonged situation in Ukraine and other factors have emerged. The Group expects its operating environment to remain challenging.」
The disclosure addresses rising raw-material prices, including their connection with the prolonged situation in Ukraine. - FY2022WorsenedAnnual report
「Increases in construction costs resulting from higher construction-material prices and personnel expenses, as well as various external factors beyond the Group's control, including interest-rate levels and monetary policy, may increase the time and investment required for completion and may result in projects failing to generate the expected returns.」
The disclosure addresses cost-increase risks arising not only from personnel expenses and material prices, but also from external factors such as interest-rate levels, monetary policy and energy procurement prices. - FY2019WorsenedAnnual report
「The Group may face intensifying competition in the labour market as the population continues to decline and age, making it necessary to improve employment conditions to secure personnel. In addition, in the Distribution and Food Services Group, if it is difficult to pass increases in raw-material and other costs on to the prices of the services and products provided by the Group, or if costs increase due to inflation in Japan and overseas or yen depreciation, the Group's businesses, business performance and financial position may be affected.」
In addition to the previously identified risks of rising electricity charges, personnel expenses and construction-material prices, the disclosure explicitly addresses intensifying labour-market competition, inflation, yen depreciation and the difficulty of passing on increases in raw-material costs. - FY2018RestatedAnnual report
「Higher construction costs resulting from increases in construction-material prices and personnel expenses in the Construction and Station Buildings and Real Estate Groups could put pressure on the Group's business performance and financial position. They could also force delays in capital investment and affect the business performance and financial position of the Construction Group.」
The disclosure continues to address increases in electricity charges, personnel expenses, construction-material prices and raw-material costs, as well as the difficulty of passing these costs on to prices. - FY2017First statedAnnual report
「If electricity charges increase due to surging fuel prices or a stronger yen, this will affect the Group's businesses generally, particularly its railway business. In addition, personnel expenses have generally been trending upward in Japan in recent years.」
The disclosure identifies the possibility that increases in electricity charges, personnel expenses, construction-material prices and raw-material costs could put pressure on profits and capital investment.