Pressure on Beverage Manufacturing Profitability from Surging Energy and Raw Material Prices
First written in FY2023-Q1. 7 of 11 entries say "Restated". Latest entry: FY2027-H1.
The whole theme swung hardest in 2022: 126 of 167 companies on the "Worse" side.
- FY2027-H1MaterialisedAnnual report
「Meanwhile, in the tea leaf processing business, performance was soft during the interim consolidated accounting period due to a temporary slowdown in processing volumes resulting from fluctuations in domestic tea leaf prices.」
Fluctuations in domestic tea-leaf prices temporarily slowed tea-leaf processing volumes, with the impact of raw material price volatility becoming evident in weaker performance in the tea-leaf processing business. - FY2026MitigatedAnnual report
「The company will reliably implement appropriate price pass-through and revise transaction terms in line with rising costs, with the aim of improving margins.」
Amid continued pressure on profitability from surging raw material and energy prices, the company identified price pass-through and revised transaction terms as countermeasures. Segment profit in the beverage manufacturing business increased 28.9% year on year. - FY2025-H1RestatedAnnual report
「In the beverage manufacturing business, the company improved profitability by revising prices in response to higher raw material, material and fuel costs, updating equipment and reducing electricity costs through the installation of solar panels, while preparing for the efficient operation of two plants in eastern and western Japan ahead of the business reorganisation scheduled for 1 October. Strong performance in the tea-leaf processing business of 静岡ローストシステム株式会社 lifted segment results, while profitability temporarily deteriorated at the two alcoholic beverage and beverage manufacturing companies due to sluggish production volumes and front-loaded reorganisation costs. As a result, revenue from the beverage manufacturing business was ¥5,417 million, up 10.9% year on year, and segment profit was ¥564 million, down 17.1%.」
The company is proceeding with price revisions, equipment upgrades and electricity cost reductions through solar-panel installation, but segment profit declined 17.1% due to sluggish production volumes and front-loaded reorganisation costs, and pressure on profitability from surging energy and raw material prices continues. - FY2024RestatedAnnual report
「In the beverage manufacturing business, we set prices in response to higher raw material, supplies and fuel costs and worked to improve profitability, while also strengthening sales capabilities through a two-site east-west structure for carbonated can production lines.」
The company continues to recognise pressure on profitability from higher raw material, material and fuel costs and is responding through pricing and a two-site structure in eastern and western Japan. Segment profit in the beverage manufacturing business declined 0.9% year on year. - FY2024-Q3RestatedAnnual report
「In the beverage manufacturing business, the company is improving profitability by setting prices in response to higher raw material, material and fuel costs, while strengthening sales capabilities through a two-site structure for carbonated can production in eastern and western Japan. As a result, revenue from the beverage manufacturing business was ¥6,766 million, up 13.0% year on year, and segment profit was ¥845 million, up 5.1%.」
Amid continued increases in raw material, material and fuel costs, the company continues to improve profitability through pricing and maintain a two-site structure in eastern and western Japan. Revenue from the beverage manufacturing business increased 13.0% year on year, and segment profit increased 5.1%. - FY2024-Q2RestatedAnnual report
「In the beverage manufacturing business, the company is improving profitability by setting prices in response to higher raw material, material and fuel costs, while strengthening sales capabilities through a two-site structure for carbonated can production in eastern and western Japan. As a result, revenue from the beverage manufacturing business was ¥4,625 million, up 10.0% year on year, and segment profit was ¥687 million, down 0.7%.」
The company continues to set prices in response to higher raw material, material and fuel costs and maintain a two-site structure in eastern and western Japan. Revenue increased 10.0% year on year, while segment profit declined 0.7%, indicating continued cost inflation pressure. - FY2024-Q1MitigatedAnnual report
「In the Beverage Manufacturing Business, we are improving profitability by setting prices in response to higher raw-material, packaging-material and fuel costs, while strengthening sales capabilities through a two-site eastern and western production structure for canned carbonated beverages.」
Amid continued increases in raw material, material and fuel costs, the company is responding by reviewing pricing to improve profitability. - FY2023RestatedAnnual report
「The vending-machine retail business continues to face a challenging operating environment due to intensifying competition from companies in other industries and higher costs resulting from labour-related issues. In the beverage manufacturing business, although higher material and raw material prices and electricity and fuel costs make the outlook uncertain, the company will work to strengthen ODM sales and establish a stable and efficient production system while implementing appropriate price pass-through, and will seek to improve margins by manufacturing soft-pouch beverages.」
The company continues to recognise pressure on profitability from higher material, raw material, electricity and fuel costs, and has reconfirmed its policy of responding through price pass-through, ODM sales, production efficiency improvements and soft-pouch manufacturing. - FY2023-Q3RestatedAnnual report
「In the beverage manufacturing business, while reviewing manufacturing expenses in response to soaring electricity and gas prices, orders remained strong and revenue exceeded that of the same quarter of the previous year.」
Electricity and gas prices continue to rise, but the company is responding by reviewing manufacturing expenses. It explains that orders remain strong. - FY2023-Q2RestatedAnnual report
「Energy-related costs, including electricity and fuel expenses, continue to rise, placing the company in a challenging profitability environment, but」
The company has reconfirmed that higher energy-related costs, including electricity and fuel expenses, and a challenging profitability environment are continuing. - FY2023-Q1MaterialisedAnnual report
「Energy prices, including electricity, rose faster than could be absorbed, leaving profit below the prior-year quarter. The Group will continue to improve production efficiency and negotiate appropriate price revisions.」
Higher prices for energy, including electricity, have in fact become a factor causing profit in the beverage manufacturing business to fall below the level of the same quarter of the previous year. The company also describes responses including improving production efficiency and negotiating price revisions.