Risk of Difficulty in Securing Raw Materials and Surging Purchase Prices

「Although the food service industry continues on a gradual recovery trend, soaring raw material prices and higher utility, logistics and construction costs are having a significant impact on the business environment.」

「However, in addition to soaring raw material prices, particularly for rice, we face a challenging business environment due to higher personnel expenses resulting from increases in the minimum wage and base-pay raises.」

「We face a challenging business environment due to higher raw material prices and personnel expenses, as well as continued inflation, which is heightening consumers' desire to economize.」

「The outlook remains uncertain due to expected increases in utility and logistics costs and continued rises in raw material costs, and we continue to work to reduce food waste and control expenses appropriately.」

「The oyakodon planned for sale in April was postponed until the end of August due to a shortage of eggs, but we responded flexibly by launching the beef-and-barley-with-tororo set meal earlier than usual.」

「Although affected by higher raw material and utility costs, appropriate expense controls and revenue growth resulted in segment profit of ¥1.573 billion, up 6.0% year on year.」

「Because the food ingredients used by the group companies are diverse, we will continue to pursue risk mitigation measures such as developing new sources of raw materials and diversifying procurement. However, disease outbreaks, adverse weather, natural disasters, the suspension of imports and exports due to conflicts, and the effects of COVID-19 and other infectious diseases may make it difficult to maintain a stable supply of the required quantities of raw materials. In addition, fluctuations in feed prices, market prices and foreign exchange rates may drive up procurement costs and increase the cost of sales, potentially having a significant impact on the performance of the group.」

「Although we continued appropriate expense controls and implemented nimble measures such as price revisions for core products in October, segment profit was ¥4.34 billion, down 16.3% year on year, due to soaring raw material prices, particularly for beef, and higher utility costs.」

「Regarding costs, the outlook remains extremely uncertain due to soaring raw material prices, including beef, as well as rising utility costs, geopolitical risks and the weakening yen, but we continue to work to reduce food waste and strengthen expense controls.」

「Costs remain subject to extreme uncertainty due to soaring raw material prices, including beef, and higher utility costs, as well as geopolitical risks and the continuing depreciation of the yen. We nevertheless continue to work to reduce food waste and strengthen expense controls.」

「Because the food ingredients used by the group companies are diverse, we will continue to pursue risk mitigation measures such as developing new sources of raw materials and diversifying procurement. However, disease outbreaks, adverse weather, natural disasters, the suspension of imports and exports due to conflicts, the spread of COVID-19 and other events may make it difficult to maintain a stable supply of the required quantities of raw materials.」

「We also implemented measures flexibly, including revising the prices of our main products in October in response to soaring raw material prices.」

「Because the food ingredients used by the group companies are diverse, we will continue to pursue risk mitigation measures such as developing new sources of raw materials and diversifying procurement. However, disease outbreaks, adverse weather, natural disasters, the spread of COVID-19 and other events may make it difficult to maintain a stable supply of the required quantities of raw materials. In addition, fluctuations in market prices and foreign exchange rates may drive up procurement costs and increase the cost of sales, potentially affecting business performance.」

「Although the operating environment remains challenging due to factors including rising seafood and other food ingredient prices and higher labor costs resulting from increases in part-time wages, revenue growth outpaced the increase in costs, resulting in higher profit.」

「Profit declined due to higher raw material prices, particularly for beef and rice, from the beginning of the fiscal year, as well as higher personnel expenses resulting from labor shortages and increases in hourly wages for part-time workers.」

「During the nine months ended 31 December, many stores were forced to shorten their operating hours or close due to the typhoon in September, the 2018 Hokkaido Eastern Iburi earthquake and other events. In addition, profit declined due to higher raw material prices, particularly for beef and rice, from the beginning of the fiscal year, as well as higher personnel expenses resulting from labor shortages and increases in hourly wages for part-time workers.」

「Operating profit declined due to higher labor costs resulting from soaring food material prices, particularly for meat and rice, labor shortages, and higher hourly wages for part-time workers.」

「Profit declined due in part to higher food material prices, particularly for meat and rice, higher recruitment and training costs to secure labor, and higher hourly wages for part-time workers, which increased labor costs.」

「Because the food ingredients used by the group companies are diverse, we will continue to pursue risk mitigation measures such as developing new sources of raw materials and diversifying procurement. However, disease outbreaks, adverse weather, natural disasters and other events may make it difficult to secure the required quantities of raw materials, while fluctuations in market prices and foreign exchange rates may drive up procurement costs and increase the cost of sales, potentially affecting business performance.」