High Dependence on Overseas Revenue and Profit, and Foreign-Exchange and Political Risks in Overseas Markets
First written in FY2017. 7 of 15 entries say "Restated". Latest entry: FY2024.
Wedge Holdings moved to the "Worse" side of this theme in 2021, 2 years after the typical company in this theme (2019).
The whole theme swung hardest in 2025: 72 of 117 companies on the "Worse" side.
46 other companies' latest entry also says "Worsened".
- FY2024WorsenedAnnual report
「In addition to international litigation costs involving a specific counterparty and the resulting poor business performance, the business experienced a difficult five-year period, including lengthy periods of being effectively unable to operate due to the COVID-19 pandemic and the civil war in Myanmar.」
The explanation of country risks in the overseas business was expanded to include the difficult five-year period resulting from the civil war in Myanmar and the impact of international litigation, in addition to previous political upheavals and infectious diseases. - FY2023-Q3RestatedAnnual report
「During the nine-month period of the current fiscal year, conditions diverged sharply between Cambodia and Thailand, which had entered recovery from the COVID-19 pandemic, and Myanmar, Laos and Sri Lanka, which were experiencing economic hardship due to extreme currency depreciation and political instability.」
The company continues to explain the structure in which differences in economic conditions, currencies and political situations across overseas countries determine the business environment, citing recovery in Cambodia and Thailand and economic hardship in Myanmar, Laos and Sri Lanka. - FY2022WorsenedAnnual report
「In Myanmar, Laos and Sri Lanka, which are experiencing economic hardship, the prices of imported motorcycles and other products have risen sharply, in some cases to more than double. Potential customers' willingness to buy and their relative repayment capacity have declined, and conditions are not suitable for expanding leasing and similar businesses.」
The company explains that economic hardship and currency depreciation in countries where overseas operations are based are affecting the business through surging prices for imported motorcycles and other products, reduced willingness to buy and lower repayment capacity. - FY2022-Q3RestatedAnnual report
「From October 2021 onward, restrictions were eased and entry controls were relaxed in each country, and signs of economic recovery have emerged. We believe these developments will improve the business environment going forward.」
Although there are signs of easing restrictions and economic recovery in countries where overseas operations are based, the company continues to explain the risks associated with overseas dependence, including foreign-exchange and political risks. - FY2022-Q2WorsenedAnnual report
「As a result, economic conditions deteriorated in both countries, while the Myanmar kyat, Lao kip and other currencies depreciated sharply. This rapidly pushed up the prices of motorcycles, the group's main products in both countries, which are 100% imported, reducing customers' willingness to buy.」
The company explains that deteriorating economic conditions and sharp currency depreciation in countries where overseas operations are based actually affected the business through higher prices for imported motorcycles and lower customer willingness to buy. - FY2021ReframedAnnual report
「From the fiscal year ended September 2022 onward, the business's results are no longer included in sales or operating income or loss, but are reflected in equity-method investment income or loss within non-operating income or loss. As a result, the impact on ordinary income has become relatively greater.」
The route and presentation of the overseas business dependence risk changed from a direct impact on consolidated sales and operating income or loss to an impact on ordinary income through equity-method investment income or loss. - FY2021-Q3RestatedAnnual report
「Regarding the impact of the coup in Myanmar, although there has been no direct damage to date, conditions are extremely difficult for conducting normal operations, and we intend to make a careful determination regarding the continuation of the business going forward.」
Regarding the coup in Myanmar, the company continues to state that there has been no direct damage, while acknowledging that conditions are extremely difficult for continuing normal operations and maintaining its policy of carefully assessing business continuity. - FY2021-Q2WorsenedAnnual report
「Regarding the impact of the coup in Myanmar, although there has been no direct damage to date, conditions are extremely difficult for conducting normal operations, and we intend to make a careful determination regarding the continuation of the business going forward.」
Regarding the coup in Myanmar, the company states that there has been no direct damage, while acknowledging that conditions are extremely difficult for continuing normal operations and that it has reached the stage of carefully assessing business continuity. - FY2021-Q1MaterialisedAnnual report
「The coup in Myanmar in February and the resurgence of COVID-19 infections in Thailand have not led us to change the conservative policy described above, and at present there has been no significant impact. We will continue to monitor developments carefully.」
In connection with political and social risks in countries where overseas operations are based, the company states that a coup occurred in Myanmar. At the same time, it indicates that, in its assessment, there has been no significant impact at present. - FY2020RestatedAnnual report
「Overseas revenue accounts for more than 90% of total revenue, and most of our profit depends on overseas subsidiaries. Accordingly, exchange-rate movements may affect the consolidated financial statements when translated into yen, while country risks such as major political upheaval, terrorism and social unrest in the countries where we operate may affect the Group's results of operations and financial condition.」
The company continues to identify as risks its high dependence on overseas sales and earnings and the potential effects of exchange rates and political and social conditions in countries where overseas operations are based. - FY2019RestatedAnnual report
「Overseas revenue accounts for more than 90% of total revenue, and most of our profit depends on overseas subsidiaries. Accordingly, exchange-rate movements may affect the consolidated financial statements when translated into yen, while country risks such as major political upheaval, terrorism and social unrest in the countries where we operate may affect the Group's results of operations and financial condition.」
The company continues to identify as risks its high dependence on overseas sales and earnings and the potential effects of exchange rates and political and social conditions in countries where overseas operations are based. - FY2019-Q3RestatedAnnual report
「At the same time, in 2018, in addition to the trend toward a stronger yen, the undervaluation of emerging-market currencies, including those of the Democratic Socialist Republic of Sri Lanka, the Republic of the Union of Myanmar and the Republic of Indonesia, was a major factor depressing revenue and profit.」
The company continues to explain that currency fluctuations in countries where overseas operations are based actually pressured sales and earnings. - FY2019-Q2MaterialisedAnnual report
「At the same time, in 2018, in addition to the trend toward a stronger yen, the undervaluation of emerging-market currencies, including those of the Democratic Socialist Republic of Sri Lanka, the Republic of the Union of Myanmar and the Republic of Indonesia, was a major factor depressing revenue and profit.」
Currency fluctuations in countries where overseas operations are based are cited as an actual factor that pressured sales and earnings this time. - FY2018RestatedAnnual report
「Overseas revenue accounts for more than 90% of total revenue, and most of our profit depends on overseas subsidiaries. Accordingly, exchange-rate movements may affect the consolidated financial statements when translated into yen, while country risks such as major political upheaval, terrorism and social unrest in the countries where we operate may affect the Group's results of operations and financial condition.」
The company continues to identify as risks its high dependence on overseas sales and earnings and the potential effects of exchange rates, political conditions, terrorism and social unrest. - FY2017First statedAnnual report
「Overseas revenue accounts for more than 90% of total revenue, and most of our profit depends on overseas subsidiaries. Accordingly, exchange-rate movements may affect the consolidated financial statements when translated into yen, while country risks such as major political upheaval, terrorism and social unrest in the countries where we operate may affect the Group's results of operations and financial condition.」
The company identifies its dependence on overseas revenue and profit, together with potential effects from exchange rates, political developments, terrorism and social unrest, as risks.