Risk of Being Unable to Pass Rising Materials Costs on to Selling Prices
First written in FY2025. 1 of 2 entries say "Mitigated", first in FY2026-H1. Latest entry: FY2026-H1.
The whole theme swung hardest in 2021: 18 of 28 companies on the "Worse" side.
12 other companies' latest entry also says "Mitigated".
- FY2026-H1MitigatedAnnual report
「We are also addressing fluctuations in purchase prices and logistics costs through diversified sourcing and price optimization, while limiting foreign exchange risk and uncertainty in the supply chain.」
Diversified sourcing and price optimization are described as measures to address fluctuations in purchase prices and logistics costs, as well as foreign exchange risk and supply chain uncertainty. - FY2025First statedAnnual report
「If increases in the prices of components and other items cannot be adequately reflected in the selling prices of our products, or if reductions in the selling prices of our products cannot be adequately reflected in the purchase prices of components and other items, this may affect the performance of our Group.」
The impact on performance caused by a mismatch between rising procurement costs and the ability to pass them through to selling prices is disclosed as a standalone risk. The Company is addressing it through supplier relationships, product design reviews and manufacturing process optimization.