Sharp Exchange-Rate Fluctuations and Sluggish Growth in Personal Consumption
First written in FY2017-Q1. 8 of 27 entries say "Worsened", first in FY2020-Q1. Latest entry: FY2027-H1.
Fuji Oil moved to the "Worse" side of this theme in 2017, 5 years before the typical company in this theme (2022).
The whole theme swung hardest in 2020: 47 of 67 companies on the "Worse" side.
6 other companies' latest entry also says "Materialised".
- FY2027-H1MaterialisedAnnual report
「In Japan, consumer prices have continued to rise, affecting personal consumption, but spending trends have remained firm, supported by improvements in employment and income conditions, among other factors.」
While rising consumer prices have had a tangible impact on personal consumption, spending trends have remained firm as employment and income conditions have improved. - FY2026-H1MaterialisedAnnual report
「In Japan, consumer prices continued to rise and affected personal consumption, but consumption trends remained resilient, supported by improvements in employment and income conditions and other factors.」
The report states that the impact of rising prices on personal consumption is actually evident, while consumption trends remain resilient due to improvements in employment and income conditions. - FY2024RestatedAnnual report
「During the fiscal year, the business environment surrounding our group remained uncertain due to global inflation, persistently high interest rates and social unrest caused by heightened international tensions. In Japan, the yen continued to depreciate and some food prices continued to rise as monetary easing continued. However, business conditions remained solid, partly because consumption in service sectors such as food services and accommodation recovered as the number of tourists from Japan and overseas increased.」
The report continues to indicate a business environment in which inflation, interest rates, yen depreciation and higher prices coexist with recovering demand driven by an increase in tourists and other factors. - FY2024-Q2RestatedAnnual report
「During the six months ended the second quarter, concerns about an economic slowdown continued in the business environment surrounding our group due to inflation and policy rate movements in Europe and the United States and the rapid slowdown in the Chinese economy. In Japan, the yen continued to depreciate and food prices continued to rise as monetary easing continued. However, business conditions remained solid, partly because consumption in service sectors such as food services and accommodation recovered as increases in raw material prices paused and the number of tourists from Japan and overseas increased.」
The report continues to describe the coexistence of yen depreciation and higher food prices with recovering consumption in service sectors driven by an increase in tourists and other factors. - FY2024-Q1Yen depreciation and higher prices coexist with recovering demandAnnual report
「In Japan, the yen continued to depreciate and food prices rose as monetary easing continued. However, business conditions remained solid, partly because accommodation and food-service businesses recovered significantly as the flow of people recovered and the number of foreign tourists increased with the transition to the post-COVID period, while increases in raw material prices paused.」
While yen depreciation and rising food prices continued, the report notes a recovery in accommodation and food-service businesses driven by the recovery in the flow of people and an increase in foreign tourists, indicating that conflicting factors relating to the previous demand and foreign-exchange risks coexist. - FY2023-Q3RestatedAnnual report
「During the nine months ended the third quarter, economic activity in the global economy continued to normalise from the impact of COVID-19, but the outlook remained uncertain as countries successively raised policy interest rates in response to global inflation.」
Economic activity continued to normalise, but, as in the previous quarter, the report notes an uncertain outlook due to global inflation and policy rate hikes in various countries. - FY2023-Q2WorsenedAnnual report
「During the six months ended the second quarter, economic activity in the global economy continued to normalise from the impact of COVID-19, but the outlook remained uncertain as countries successively raised policy interest rates in response to global inflation.」
Economic activity continued to normalise, but uncertainty in the external economic environment persisted due to global inflation and policy rate hikes in various countries. - FY2023-Q1WorsenedAnnual report
「The global economy remained uncertain despite expectations of economic normalisation following policy changes concerning COVID-19 in Europe and the United States and the containment of infections. Recovery in consumption was delayed by soaring energy prices and rising inflation, while policy interest rates were raised. In Japan, consumer prices rose as the yen depreciated sharply and procurement costs increased.」
Despite expectations for an economic recovery, soaring energy prices, inflation, policy rate hikes, a sharp yen depreciation and higher procurement costs were explicitly identified, indicating continuing external risks relating to demand, foreign exchange and costs. - FY2022WorsenedAnnual report
「During the fiscal year, the outlook for the global economy remained uncertain. Business sentiment improved gradually, but the emergence of COVID-19 variants led to restrictions on activity, while supply chain disruptions, surging raw material prices, rising inflation and higher interest rates also persisted.」
In addition to the previous demand and foreign-exchange risks, variants, supply chain disruptions, higher raw material prices, inflation and rising interest rates were all explicitly identified, increasing uncertainty in the external environment. - FY2022-Q3WorsenedAnnual report
「In Japan and Southeast Asia, demand recovery has been delayed, but proposals tailored to increasingly diverse demand are being made. In China, the product lineup is being expanded to address growth in the bakery market. In the Americas, the business environment has been affected by labour shortages, supply chain disruptions and currency depreciation in Brazil, among other factors.」
In addition to delayed demand recovery, labour shortages and supply chain disruptions in the Americas and currency depreciation in Brazil are identified as factors affecting the business environment, giving more specific regional form to the previous demand and foreign-exchange risks. - FY2022-Q2RestatedAnnual report
「In Japan, states of emergency and other measures were in place through the end of September, but business sentiment continued to improve, as reflected in improving economic indicators. In the Americas and Europe, business sentiment improved and demand continued to recover, although supply chain disruptions and labour shortages in the United States persisted.」
Business sentiment and demand continued to recover in Japan, the Americas and Europe, while states of emergency, supply chain disruptions and labour shortages were also noted, indicating that the previous concerns persisted by region. - FY2022-Q1SoftenedAnnual report
「In Japan, despite declarations of a state of emergency and other measures, business sentiment improved as corporate performance and household conditions improved. In the United States, business sentiment improved as COVID-19 vaccinations became more widespread, although employment improved only gradually. In Brazil, the number of COVID-19 cases remained high, but demand remained resilient, while the real remained stronger than at the end of the previous fiscal year.」
The report indicates improving business sentiment in Japan and the United States and a recovery in demand in Brazil, with some of the previous concerns about personal consumption and economic stagnation easing. - FY2021-Q3WorsenedAnnual report
「Personal consumption had returned to a gradual recovery trend, but infections have been increasing since the year-end, and the timing of the end of the spread of infections remains impossible to predict, leaving the outlook uncertain.」
Personal consumption temporarily returned to a recovery trend, but the renewed spread of infections since the year-end has made the timing of the end of the outbreak impossible to predict, increasing uncertainty over the outlook for consumption and the economy. - FY2021-Q1WorsenedAnnual report
「The global economy has fallen sharply due to the spread of COVID-19. In Japan, the economy has declined substantially as exports fell sharply against the backdrop of the global downturn, inbound demand decreased as travel restrictions from overseas continued, and domestic consumption declined because people refrained from going out.」
The previous concerns about economic stagnation and weaker personal consumption have deepened into declining exports, falling inbound demand and lower domestic consumption caused by people refraining from going out amid the COVID-19 pandemic. - FY2020WorsenedAnnual report
「The previously solid performance of the US economy, supported by favourable employment conditions and expanding personal consumption, and the recovery trend in the global economy have changed substantially. Our group has also been affected by the stagnation of economic activity resulting from lockdowns and restrictions on movement in cities around the world.」
The assessment has shifted from the previous trend of solid personal consumption and economic recovery to a situation affected by lockdowns, restrictions on movement and the stagnation of economic activity caused by COVID-19. - FY2020-Q3MaterialisedAnnual report
「During the nine months ended the third quarter, personal consumption in Japan had recently fallen short of expectations due to the impact of the consumption tax increase, but was expected to return to a moderate upward trend once the decline following the rush in demand had run its course.」
The report states that the recent weakness in personal consumption was actually occurring due to the impact of the consumption tax increase. It also notes the expected recovery once the decline following the rush in demand has run its course. - FY2020-Q2SoftenedAnnual report
「During the six months ended the second quarter, domestic demand in Japan showed resilience, supported by continued growth in corporate capital investment and gradually rising personal consumption, and a moderate economic recovery is expected to continue.」
The report indicates resilient domestic demand and a continuing economic recovery, with weaker expressions of concern about domestic personal consumption and the economy than in the previous quarter. In the United States, it also notes manufacturing weakness caused by slowing external demand and a slowdown in the growth rate. - FY2020-Q1WorsenedAnnual report
「During the three months ended the first quarter, domestic demand in Japan showed resilience, supported by continued increases in capital investment and gradually rising personal consumption. However, the economy remained distinctly stagnant against a backdrop of weakness in manufacturing caused by weaker-than-expected exports. In the United States, the self-sustaining economic recovery is expected to continue, driven by expanding personal consumption amid favourable employment and income conditions and a gradual increase in capital investment supported by solid corporate earnings growth, although the growth rate is expected to slow as the effects of expansionary fiscal policy fade.」
Although personal consumption is described as increasing gradually, the report newly specifies a sense of economic stagnation in Japan stemming from weaker-than-expected exports and an expected slowdown in the US growth rate. - FY2019-Q3SoftenedAnnual report
「During the nine months ended the third quarter, Japan's economy continued to recover. The impact of natural disasters, which had been a temporary concern, diminished from October, consumption continued to improve against a backdrop of favourable employment and income conditions, and corporate earnings remained solid, supported by steadily rising exports. In the United States, stable growth continued, driven by an expansion in personal consumption amid favourable employment and income conditions, exports to China showing signs of bottoming out, and the boost to the economy from tax reform.」
The report notes improving consumption in Japan and expanding personal consumption in the United States, while concerns about sluggish personal consumption continue to be expressed in relatively weak terms. - FY2019-Q1SoftenedAnnual report
「During the cumulative consolidated period of the current first quarter, the Japanese economy continued to recover, with consumption showing signs of recovery against a backdrop of improving employment and income conditions, while corporate earnings remained firm on the back of gradually rising exports.」
In contrast to the previous concern over sluggish personal consumption, the recovery in employment and income and the rebound in consumption are described, softening the expression of risk awareness. - FY2018-Q3RestatedAnnual report
「During the cumulative consolidated period of the current third quarter, the Japanese economy was on a gradual recovery trend as personal consumption gradually recovered against a backdrop of firm employment and income conditions. The U.S. economy was on a moderate expansion trend, supported by improving employment conditions and a recovery in personal consumption.」
The company reiterates its view that employment and personal consumption in Japan and the United States remain on a recovery trend. - FY2018-Q2RestatedAnnual report
「During the cumulative consolidated period of the current second quarter, the Japanese economy was on a gradual recovery trend as personal consumption gradually recovered against a backdrop of firm employment and income conditions. The U.S. economy was on a moderate expansion trend, supported by improving employment conditions and a recovery in personal consumption.」
The company reiterates its view that employment and personal consumption in Japan and the United States remain on a recovery trend. - FY2018-Q1SoftenedAnnual report
「During the cumulative consolidated period of the current first quarter, the Japanese economy was on a gradual recovery trend as personal consumption gradually recovered against a backdrop of firm employment and income conditions. The U.S. economy was on a moderate expansion trend, supported by improving employment conditions and a recovery in personal consumption.」
In contrast to the previous concern over sluggish personal consumption, the recovery in employment and personal consumption in Japan and the United States is described, softening the expression of concern. - FY2017MaterialisedAnnual report
「Overseas, the yen value of overseas group companies' results declined due to the stronger yen, but revenue increased as palm oil sales grew in the Americas.」
The decline in the yen value of overseas group companies' results due to the stronger yen is again described as an actual factor affecting performance in the current fiscal year. - FY2017-Q3MaterialisedAnnual report
「Overseas, sales of palm oil grew mainly in the Americas, but revenue declined due to the decrease in the yen value of overseas group companies' results caused by the stronger yen.」
While concerns about personal consumption had eased in the previous quarter, this quarter the decline in the yen value of overseas group companies' results due to the stronger yen was cited as an actual factor behind the revenue decline. - FY2017-Q2SoftenedAnnual report
「Employment and income conditions remained firm, and personal consumption was beginning to bottom out, while the economy entered a pause.」
The previous expression, “sluggish personal consumption,” has been changed to “personal consumption was beginning to bottom out,” softening the expression of concern regarding personal consumption. - FY2017-Q1First statedAnnual report
「The business environment surrounding the Group remained challenging due to sharp fluctuations in foreign exchange rates and sluggish personal consumption.」
The company states that foreign exchange movements and stagnant personal consumption have made the actual business environment challenging.