Risk of an impact on business performance from outsourced logistics and rising domestic delivery costs
First written in FY2017. 4 of 15 entries say "Restated". Latest entry: FY2026.
The whole theme swung hardest in 2024: 3 of 7 companies on the "Worse" side.
2 other companies' latest entry also says "Other".
- FY2026Decision made to consolidate outsourced logistics warehouses into a single locationAnnual report
「The company recognized a ¥62 million loss on warehouse closures after deciding to transition from two outsourced distribution centers to a single nationwide facility, scheduled for around the end of 2026.」
The company decided to consolidate its outsourced logistics warehouses into a single nationwide facility by around the end of 2026 and recognized a ¥62 million loss on warehouse closures. - FY2024-Q1MitigatedAnnual report
「Segment profit was ¥140 million (up 67.8% year on year). As described above, the company implemented price revisions to pass through appropriate costs, although the price increases were not fully reflected because of advance demand before the revisions. Earnings also benefited from the review of the logistics system, which had been underway since the prior year, and reductions in fixed costs such as labor expenses.」
The company continues to review its logistics structure and states that, together with fixed-cost reductions, this has led to improved profitability. The response to the risk of rising logistics costs is reflected in business performance. - FY2023RestatedAnnual report
「In addition, the receipt and dispatch, storage and delivery of the Group's products are outsourced to logistics providers. Further increases in domestic delivery costs and other expenses may affect business performance going forward.」
The company continues to face the risk of an impact on business performance from outsourcing logistics and further increases in domestic delivery costs and other expenses. - FY2022RestatedAnnual report
「Further increases in domestic delivery costs and other expenses may affect business performance going forward.」
The company continues to disclose its reliance on logistics providers and the risk of higher domestic delivery costs. It has also reduced shipping and storage expenses and selling expenses, but the risk itself remains. - FY2021RestatedAnnual report
「The company also outsources the receipt and shipment, storage and delivery of its products to logistics providers. Further increases in domestic delivery costs and other expenses may affect the company's operating results.」
The possibility of higher logistics outsourcing and domestic delivery costs continues to be disclosed. Cost reductions, including changes in transportation companies from the previous fiscal year, are also being implemented. - FY2020MitigatedAnnual report
「Selling, general and administrative expenses were reduced to ¥7,044 million, a reduction of ¥306 million (4.2% year on year), due in part to lower shipping costs following the change in the logistics provider and the decision to refrain from planned sales and promotional activities because of COVID-19.」
The company reduced product shipping costs by changing transportation companies, and shipping and storage expenses decreased from ¥1,266 million in the previous fiscal year to ¥1,190 million. The response to the risk of rising delivery costs can be confirmed quantitatively. - FY2019MitigatedAnnual report
「During the fiscal year, the company worked to reduce company-wide expenses, including selling expenses and other costs, as well as logistics costs through a review of its logistics system. As a result, earnings improved relative to the initial earnings target.」
The company reduced logistics costs by reviewing its logistics system and cut company-wide expenses. Shipping and storage expenses decreased from ¥1,314 million to ¥1,266 million, but earnings fell below the previous year due to lower sales and increased inventory losses. - FY2019-Q1WorsenedAnnual report
「Lower revenue and higher costs, including shipping expenses, resulting from increased delivery charges led to an operating loss of ¥154 million, compared with operating profit of ¥168 million in the same quarter of the previous year. Ordinary loss was ¥152 million, compared with ordinary profit of ¥173 million, and quarterly net loss was ¥111 million, compared with quarterly net profit of ¥145 million.」
The impact of delivery charge increases that had already occurred continued into the first quarter, and the increase in shipping and other costs was one factor behind the company moving into the red. - FY2018WorsenedAnnual report
「In terms of earnings, the increase in delivery charges from September had a significant impact, but the company worked to reduce expenses. Operating income was ¥537 million, down 18.0%, and ordinary income was ¥558 million, down 17.9%. ... Further increases in domestic delivery costs and other expenses may affect the company's operating results and financial condition.」
Higher delivery rates were a factor in the full-year decline in earnings, and shipping and storage expenses increased by ¥338 million from the previous fiscal year. The company disclosed the possibility of further increases in addition to the actual cost increases. - FY2018-Q3WorsenedAnnual report
「In terms of earnings, the company worked to reduce expenses, but operating income was ¥616 million, down 17.8% year on year, ordinary income was ¥635 million, down 17.6%, and quarterly net income was ¥267 million, down 25.0%, due mainly to the impact of higher delivery charges starting in September and other factors.」
The impact of delivery rate increases that had already occurred by the previous quarter was explicitly identified as a factor behind the decline in earnings in the third quarter. Despite efforts to reduce expenses, operating income and other measures were below the previous year. - FY2018-Q2MaterialisedAnnual report
「Cost reductions implemented to address the increase in delivery unit prices from September resulted in operating profit of ¥473 million, up 77.1% from the same quarter of the previous year, ordinary profit of ¥486 million, up 71.9%, and quarterly net profit of ¥307 million, up 116.5%.」
The increase in domestic delivery costs, previously disclosed as a potential future development, actually occurred as higher delivery rates starting in September. The company is responding by cutting expenses. No amount has been disclosed for the risk itself. - FY2018-Q1RestatedAnnual report
「No new business or other risks arose during the first quarter. In addition, there were no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The company states that there have been no material changes in the risk of an earnings impact from outsourcing the receipt and shipment, storage and delivery of products to logistics providers or from rising domestic delivery costs. - FY2017First statedAnnual report
「The company outsources the receipt and shipment, storage and delivery of its products to logistics providers. Future increases in domestic delivery costs and other expenses may affect the company's operating results and financial condition.」
The company newly disclosed that it outsources the receipt and shipment, storage and delivery of its products to logistics providers, and that future increases in domestic delivery costs may have an impact.