Profitability pressured by higher maintenance costs
First written in FY2018-Q3. 4 of 6 entries say "Worsened", first in FY2020. Latest entry: 2026-05-26.
No other company in this theme has enough history to compare yet.
- 2026-05-26WorsenedGeneral Meetings of Shareholders
「Against a backdrop of a pronounced trend toward higher maintenance outsourcing fees due to a shortage of mechanics and rising labor costs, as well as continued steep increases in the prices of various maintenance-related parts, our Group also expects maintenance costs to increase to some extent.」
The company reaffirmed its outlook for higher costs due to mechanic shortages, rising labor costs, higher outsourcing fees and higher parts prices. - FY2024WorsenedAnnual report
「Outsourcing fees for vehicle maintenance have been rising markedly against a backdrop of shortages of mechanics and higher labor costs in the automotive repair industry. In addition, prices of various materials related to maintenance have continued to rise sharply, and the group expects maintenance costs to increase to a certain extent.」
The company explicitly stated that, in addition to the existing shortage of mechanics and higher outsourcing fees, labor costs have risen and prices of various materials have continued to surge, reaffirming its expectation of higher costs. - FY2022WorsenedAnnual report
「In addition, prices of automotive parts and other items related to maintenance have been trending higher due to the situation in Ukraine and other factors, and the group also expects maintenance costs to increase to a certain extent.」
In addition to higher outsourcing fees due to shortages of mechanics and succession issues, the company added higher automotive parts prices resulting from the situation in Ukraine and other factors, along with the expected increase in costs going forward. - FY2020WorsenedAnnual report
「In outsourced automotive maintenance, maintenance outsourcing fees have been trending higher nationwide against a backdrop of increasing business closures due to shortages of mechanics and succession issues in the automotive repair industry. The group also expects maintenance costs to increase to a certain extent.」
In addition to the previously noted increase in maintenance costs, the company explicitly identified higher outsourcing fees resulting from labor shortages, succession issues and closures of repair businesses, as well as the expected increase in costs going forward. - FY2019MitigatedAnnual report
「The company will seek to improve profitability by reducing procurement costs, setting appropriate rates based on mileage, containing maintenance costs and diversifying vehicle disposal methods.」
The company explicitly identified cost containment as one measure to improve profitability in response to higher maintenance costs. - FY2018-Q3First statedAnnual report
「Although the number of contracted vehicles for outsourced automotive maintenance increased, maintenance costs also increased.」
The company identified separately for the first time the simultaneous increase in the number of contracted vehicles for outsourced maintenance and maintenance costs as a factor affecting earnings.