External Environment Risks from Emerging-Market Economic Slowdown, Financial Market Volatility and Yen Appreciation
First written in FY2017-Q1. 25 of 40 entries say "Worsened", first in FY2017-Q2. Latest entry: FY2027-H1.
Morozoff Limited moved to the "Worse" side of this theme in 2018, 1 year before the typical company in this theme (2019).
The whole theme swung hardest in 2022: 124 of 167 companies on the "Worse" side.
64 other companies' latest entry also says "Worsened".
- FY2027-H1WorsenedAnnual report
「In addition to soaring energy and raw material prices due to the situation in the Middle East and the weaker yen, prices continue to rise amid the impact of factors including higher wages. Consumers are becoming increasingly inclined to save, and their selectivity in choosing products is intensifying further.」
In addition to its previous concerns about rising prices and consumer sentiment, it explicitly cites the situation in the Middle East, the weaker yen, and higher wages, and states that consumers have become significantly more selective about products. - FY2026WorsenedAnnual report
「As prices continue to trend upward, consumers are becoming increasingly inclined to save, and their scrutiny of products and prices is intensifying.」
It states that rising prices have further strengthened consumers' inclination to save and their scrutiny of products and prices. - 2026-03-13RestatedRevision of earnings forecasts
「The business environment surrounding our group remains difficult.」
The company continues to characterize the business environment as difficult in its full-year outlook. - FY2026-H1WorsenedAnnual report
「However, as rising prices and the downward trend in real wages continue, consumers are becoming increasingly inclined to save, and their scrutiny of products and prices is intensifying.」
Against a backdrop of rising prices and the downward trend in real wages, consumers are becoming more inclined to save and more selective about products and prices, indicating increasing risks in the consumer environment. - FY2025-H1WorsenedAnnual report
「During the interim consolidated accounting period (1 February 2024 to 31 July 2024), the environment surrounding the Group improved moderately as socioeconomic activity moved further toward normalization and the employment and income environment improved. However, the outlook remains uncertain, with consumer sentiment showing signs of cooling against a backdrop of further increases in raw material prices and persistently high energy prices, which have pushed up prices.」
While describing socioeconomic activity and improvements in the employment and income environment, it explicitly cites further increases in raw material prices, persistently high energy prices, and cooling consumer sentiment, indicating mounting external-environment pressures. - FY2025-Q1RestatedAnnual report
「The economy recovered moderately as personal consumption picked up due to the recovery in foot traffic accompanying the normalization of social activity and improvements in the employment and income environment. However, the outlook remains uncertain due to soaring raw material prices, concerns that rising prices will weaken consumer sentiment, and the worsening labor shortage caused by difficulties in hiring.」
While describing the recovery in social activity and personal consumption, it continues to recognize an uncertain outlook, citing soaring raw material prices, rising prices, concerns about deteriorating consumer sentiment, and labor shortages. - FY2024RestatedAnnual report
「However, the outlook remains uncertain due to soaring raw material prices, the worsening labor shortage caused by difficulties in hiring, and concerns that rising prices will weaken consumer sentiment.」
It continues to cite raw material prices, labor shortages, and concerns that rising prices will weaken consumer sentiment as external-environment risks. - FY2024-Q3WorsenedAnnual report
「However, the outlook remains uncertain due to soaring raw material and energy prices, rising prices resulting from the worsening labor shortage, and sluggish real wage growth, while customers' willingness to spend has shown signs of stalling.」
While describing the recovery in socioeconomic activity and personal consumption, it newly cites sluggish real wage growth and explains that the recovery in consumer sentiment has stalled. - FY2024-Q2WorsenedAnnual report
「However, the outlook remains uncertain due to soaring raw material and energy prices and rising prices resulting from the worsening labor shortage.」
While describing the normalization of socioeconomic activity and the recovery in personal consumption, it explicitly cites the worsening labor shortage in addition to soaring raw material and energy prices, indicating increasing external-environment risks. - FY2024-Q1WorsenedAnnual report
「As a result, personal consumption recovered gradually, but the outlook remained uncertain due to tight egg supplies caused by avian influenza and rising prices resulting from surging raw material and energy prices.」
While describing the recovery in foot traffic and personal consumption following the easing of activity restrictions, it identifies tight egg supplies due to avian influenza and soaring raw material and energy prices as new external-environment risks. - FY2023WorsenedAnnual report
「However, the outlook remained uncertain amid latent concerns over COVID-19 and fears that consumer sentiment would weaken due to rising prices resulting from surging raw material and energy prices and the effects of yen depreciation.」
While describing the recovery in foot traffic following the easing of restrictions on movement, the company also notes latent concerns over the infectious disease and fears of weaker consumer sentiment caused by surging raw material and energy prices, yen depreciation and rising prices. - FY2023-Q3SoftenedAnnual report
「During the cumulative third-quarter period, the environment surrounding the Group remained uncertain. After the sixth wave of COVID-19 infections subsided in late March, the seventh wave spread on an unprecedented scale and at unprecedented speed, peaking in late August. However, foot traffic generally recovered as measures shifted toward maintaining social activity. Nevertheless, concerns that rising prices caused by surging raw material and energy prices would dampen consumer sentiment persisted, and the outlook remained uncertain.」
While concerns over the spread of the seventh wave and the resulting weakening of consumer sentiment due to rising prices continued, the company states that foot traffic entered a recovery trend as measures shifted toward maintaining social activity, weakening the uniformly negative language used in the previous quarter. - FY2023-Q2WorsenedAnnual report
「However, the outlook remained uncertain amid rising prices resulting from surging raw material and energy prices, as well as a sharp increase in COVID-19 cases in July.」
While the economy was gradually recovering, rising prices caused by surging raw material and energy prices and the sharp increase in COVID-19 cases in July were explicitly identified as new external environmental factors, and uncertainty over the outlook continued. - FY2023-Q1WorsenedAnnual report
「However, the outlook remained uncertain amid heightened international tensions, including Russia's invasion of Ukraine, the rapid depreciation of the yen, and surging raw material and energy prices.」
In addition to the uncertainty caused by COVID-19 and other factors, Russia's invasion of Ukraine, the rapid depreciation of the yen, and surging raw material and energy prices are explicitly identified as new external environmental factors. - FY2022WorsenedAnnual report
「However, infections caused by the Omicron variant continued to spread rapidly from the beginning of the year, causing personal consumption to decline again, and the outlook remained uncertain.」
After economic activity resumed and personal consumption recovered, the company states that the rapid spread of the Omicron variant caused personal consumption to decline again, indicating that external environmental risks had deteriorated once more. - FY2022-Q3SoftenedAnnual report
「During the cumulative nine-month period, Japan's economy remained in a severe condition due to the effects of COVID-19. However, new infections declined rapidly as vaccinations progressed, and signs of a gradual recovery emerged in economic activity, which had been restricted for an extended period.」
Although the severe conditions caused by COVID-19 continued, the company emphasizes the decline in infections associated with vaccinations and signs of a recovery in economic activity, weakening the risk-focused language used through the previous quarter. - FY2022-Q2WorsenedAnnual report
「During the cumulative second-quarter period, economic activity was restricted for an extended period as the state of emergency and priority preventive measures were repeatedly imposed across Japan in response to the ebb and flow of COVID-19 infections. Although vaccinations gradually progressed, the outlook for containing the pandemic remained unclear due to the spread of the Delta variant, and the situation remained unpredictable.」
In addition to the prolonged restriction of economic activity caused by repeated states of emergency and priority measures, the company describes the spread of the Delta variant and the lack of a clear outlook for containing the pandemic, indicating that external environmental risks have intensified. - FY2022-Q1WorsenedAnnual report
「During the cumulative first-quarter period, Japan's economy remained unpredictable. Although the second state of emergency declared due to the spread of COVID-19 was lifted in March, a third state of emergency was declared in late April, further weakening business sentiment.」
The company states that the reissuance of a state of emergency further weakened business sentiment, reaffirming the deterioration in the external economic environment. - FY2021RestatedAnnual report
「After economic activity resumed gradually, signs of a moderate recovery emerged, partly due to the effects of various government measures. However, the outlook remained uncertain, as the economy weakened from December onward amid the renewed spread of infections.」
The company describes both the resumption of economic activity and signs of recovery and the uncertainty over the outlook caused by the renewed spread of infections, maintaining the existing external environmental risk structure. - FY2021-Q3RestatedAnnual report
「After economic activity resumed gradually in the latter half of the period, signs of a moderate recovery emerged, partly due to the effects of various government measures. However, the outlook remained uncertain as infections began to spread again.」
The company describes the resumption of economic activity and signs of a moderate recovery while also noting uncertainty over the outlook due to the renewed spread of infections, with no substantive change in the external environmental risk structure from the previous quarter. - FY2021-Q2WorsenedAnnual report
「During the cumulative second-quarter period, Japan's economy deteriorated rapidly as economic activity was restricted in response to the spread of COVID-19, increasing uncertainty over the outlook.」
Restrictions on economic activity caused by COVID-19 continued and became more pronounced in the form of a rapid deterioration in the domestic economy and increased uncertainty over the outlook. - FY2021-Q1WorsenedAnnual report
「During the cumulative first-quarter period, Japan's economy was significantly depressed by the spread of COVID-19, leaving the outlook uncertain.」
In addition to the previously cited overseas economic slowdown and trade friction, the company explicitly identifies the severe downturn in the domestic economy and the uncertain outlook caused by the spread of COVID-19, indicating that external environmental risks have intensified. - FY2020WorsenedAnnual report
「During the fiscal year, Japan's economy remained at a standstill. Although personal consumption remained firm against a backdrop of improving employment and income conditions, exports and private-sector demand lacked momentum due to the overseas economic slowdown and growing uncertainty surrounding trade friction.」
The overseas economic slowdown and uncertainty surrounding trade friction are described as causing weak exports and private-sector demand and leaving the economy at a standstill, indicating that the impact of external environmental risks continues. - FY2020-Q3WorsenedAnnual report
「During the cumulative nine-month period, Japan's economy remained at a standstill. Overseas economic weakness resulting from prolonged US-China trade friction weighed on exports and private-sector demand, while personal consumption grew only modestly despite a rush in demand ahead of the consumption tax increase.」
The company states that prolonged US-China trade friction and the resulting overseas economic slowdown affected exports and private-sector demand, while personal consumption grew only modestly despite a rush in demand ahead of the consumption tax increase, indicating continued stagnation in the external environment. - FY2020-Q2WorsenedAnnual report
「During the cumulative second-quarter period, Japan's economy remained firm, albeit with weak growth, due to solid domestic demand such as personal consumption and capital investment. However, the outlook became uncertain as the global economy slowed, amid the effects of US-China trade friction, growing concerns over a no-deal Brexit and the sluggish European economy.」
In addition to the previously cited US-China trade friction and global economic slowdown, concerns over a no-deal Brexit and the sluggish European economy are explicitly identified, increasing uncertainty over the external environment. - FY2020-Q1WorsenedAnnual report
「During the cumulative first-quarter period, Japan's economy lacked momentum despite maintaining positive growth, as exports and capital investment stagnated due to the global economic slowdown and uncertainty over US-China trade friction.」
The global economic slowdown and uncertainty over US-China trade friction are described together with their actual economic effects, namely weak exports and capital investment. - FY2019RestatedAnnual report
「During the fiscal year, Japan's economy remained on a moderate recovery trend, supported by improving corporate earnings and a recovery in personal consumption against a backdrop of improving employment and income conditions, despite the effects of successive natural disasters and heightened downside risks to the economy resulting from unstable overseas political and economic conditions.」
While citing natural disasters, unstable overseas political and economic conditions and downside economic risks, the company also describes a recovery in corporate earnings and personal consumption, maintaining the existing external environmental risk structure. - FY2019-Q3WorsenedAnnual report
「During the cumulative nine-month period, Japan's economy was on a moderate recovery trend, supported by improving corporate earnings and a recovery in personal consumption against a backdrop of improving employment and income conditions. However, personal consumption remained weak amid a series of natural disasters, including typhoons and earthquakes.」
While describing the economy's recovery trend, the company explains that personal consumption remained weak due to a series of natural disasters, including typhoons and earthquakes, adding factors to external environmental risks. - FY2019-Q2WorsenedAnnual report
「However, the outlook remained uncertain amid concerns over escalating trade friction resulting from the United States' protectionist trade policies.」
In addition to the previously cited uncertainty surrounding overseas economic and political conditions, the company identifies US protectionist trade policy and concerns over escalating trade friction as new external environmental factors. - FY2019-Q1RestatedAnnual report
「During the cumulative first-quarter period, the global economy remained firm, supported by stable economic conditions in Europe and the United States and solid conditions in China and other emerging markets. Japan's economy continued on a moderate recovery trend, supported by solid corporate earnings and a recovery in personal consumption against a backdrop of improving employment and income conditions.」
The company describes a recovery trend in the economies of Europe, the United States, China and other emerging markets, as well as in domestic consumption, with no substantive change in its description of the external environment from the previous fiscal year. - FY2018SoftenedAnnual report
「During the fiscal year, the global economy showed signs of recovery in China and other emerging markets, in addition to solid economic conditions in Europe and the United States. Japan's economy remained on a moderate recovery trend, with corporate earnings remaining solid and personal consumption recovering gradually against a backdrop of improving employment and income conditions.」
The company emphasizes the recovery trend in the global and domestic economies, including China and other emerging markets, weakening the risk-focused language centered on uncertainty and an unclear outlook used through the previous quarter. - FY2018-Q3RestatedAnnual report
「During the cumulative nine-month period, Japan's economy remained on a moderate recovery trend. Despite concerns over uncertainty in overseas political and economic conditions, personal consumption recovered against a backdrop of improving corporate earnings and employment and income conditions.」
While uncertainty and an unclear outlook for overseas political and economic conditions are noted, the company also describes a moderate recovery trend supported by improvements in corporate earnings, employment and income conditions, and personal consumption, with no substantive change from the previous quarter. The company states that there have been no new risks or significant changes in business and other risks. - FY2018-Q2RestatedAnnual report
「Although concerns over uncertainty in the political and economic conditions of Europe, the United States and East Asia created an unclear outlook, the economy remained on a moderate recovery trend, supported by improving corporate earnings and a recovery in personal consumption against a backdrop of improving employment and income conditions.」
While uncertainty surrounding political and economic conditions in Europe, the United States and East Asia is noted, the company also describes a moderate recovery trend in the global and domestic economies, with no substantive change from the previous quarter. - FY2018-Q1SoftenedAnnual report
「During the cumulative first-quarter period, the global economy continued to recover moderately overall, although the outlook remained uncertain amid concerns over political and economic uncertainty in Europe and the United States. In Japan, the economy remained on a moderate recovery trend, supported by improving corporate earnings and a recovery in consumer confidence against a backdrop of improving employment and income conditions.」
While uncertainty surrounding political and economic conditions in Europe and the United States continues to be noted, the company emphasizes the moderate recovery of the global and domestic economies, weakening the risk-focused language used in the previous fiscal year. The business and other risks section states that there are no new risks or significant changes. - FY2017WorsenedAnnual report
「However, the outlook remained uncertain due to the slowdown in emerging-market economies, including China, the UK's EU withdrawal issue, and growing uncertainty over US economic policy.」
In addition to the previously cited slowdown in emerging-market economies, the UK's EU withdrawal issue, financial market volatility and yen appreciation, uncertainty over US economic policy is explicitly identified, broadening the scope of external environmental risks. - FY2017-Q3RestatedAnnual report
「Business sentiment and personal consumption remained weak, affected by the slowdown in emerging-market economies, including China, the sluggishness of equity markets caused by the UK's EU withdrawal issue, and the continued appreciation of the yen.」
The external environmental factors of slowing emerging-market economies, the UK's EU withdrawal issue, sluggish equity markets and yen appreciation are cited, as in the previous quarter. The company states that there have been no new risks or significant changes in business and other risks. - FY2017-Q2WorsenedAnnual report
「Business sentiment and personal consumption remained weak, affected by the slowdown in emerging-market economies, including China, the sluggishness of equity markets caused by the UK's EU withdrawal issue, and the continued appreciation of the yen.」
In addition to the previously cited slowdown in emerging-market economies, sluggish financial markets and yen appreciation, the UK's EU withdrawal issue is explicitly identified as an external environmental factor, broadening the range of risk factors. Meanwhile, the business and other risks section states that there are no new risks and no significant changes to existing risks. - FY2017-Q1First statedAnnual report
「Business sentiment and consumer confidence remained weak, affected by the economic slowdown in emerging markets, including China, as well as financial market volatility stemming from the downturn in equity markets and the continued appreciation of the yen.」
The slowdown in emerging-market economies, the downturn in equity markets and the continued appreciation of the yen are described as actual economic conditions. Meanwhile, the business and other risks section states that there have been no new risks or significant changes.