Dependence on Overseas Device Manufacturers and Procurement Difficulties
First written in FY2020. 1 of 3 entries say "Mitigated", first in FY2021. Latest entry: FY2023.
GMO Financial Gate moved to the "Worse" side of this theme in 2023, 1 year after the typical company in this theme (2022).
The whole theme swung hardest in 2018: 3 of 16 companies on the "Worse" side.
1 other company's latest entry also says "Worsened".
- FY2023WorsenedAnnual report
「If economic security concerns (Note 1), the emergence of geopolitical risks, natural disasters, infectious diseases or other factors disrupt a manufacturer's production system for payment terminals, or if the manufacturer withdraws from the business, is acquired by another company, or revises its business strategy, an unforeseen event could make it difficult to procure payment terminals and affect the Group's business performance.」
While maintaining diversified procurement channels through contracts with multiple manufacturers, the company explicitly identifies economic security concerns and geopolitical risks, in addition to the existing factors of production stoppages, withdrawals and acquisitions, as causes of procurement difficulties. - FY2021MitigatedAnnual report
「When procuring payment terminals from overseas manufacturers, the company diversifies its procurement channels by entering into procurement agreements with multiple manufacturers.」
While restating the risk of procurement difficulties caused by production stoppages, withdrawals or acquisitions by overseas manufacturers, the company describes diversifying procurement channels through contracts with multiple domestic and overseas manufacturers as a specific countermeasure. - FY2020First statedAnnual report
「If natural disasters, infectious diseases or other factors disrupt a manufacturer's production system for payment terminals, or if the overseas manufacturer withdraws from the Japanese market, is acquired by another company, or revises its business strategy, an unforeseen event could make it difficult to procure payment terminals and affect the Group's business performance.」
The company identifies the possibility of procurement difficulties caused by production stoppages, withdrawals or acquisitions, given that it mainly procures terminals from overseas manufacturers.