Foreign Exchange Risk and Its Mitigation Through Hedging
First written in FY2016. 3 of 6 entries say "Materialised", first in FY2017-Q1. Latest entry: FY2021.
Ube moved to the "Worse" side of this theme in 2016, 4 years before the typical company in this theme (2020).
The whole theme swung hardest in 2020: 3 of 15 companies on the "Worse" side.
20 other companies' latest entry also says "Restated".
- FY2021RestatedAnnual report
「The Group is working to mitigate the impact by broadly balancing receivables and payables and entering into forward exchange contracts as appropriate.」
The policy of balancing receivables and payables and hedging with forward exchange contracts against foreign exchange movements was reconfirmed. - FY2018RestatedAnnual report
「The Group mitigates foreign exchange and interest rate risk to a certain extent through hedging transactions such as forward exchange contracts and interest rate swaps, but may be affected by financial market movements exceeding forecasts.」
The policy of mitigating foreign exchange risk through hedging was reconfirmed. - FY2017-Q3MaterialisedAnnual report
「During the cumulative third quarter of the fiscal year, the business was affected by a sharp appreciation of the yen, declining domestic demand for cement and a deterioration in the export environment, among other factors.」
It was stated that the sharp appreciation of the yen, together with declining domestic demand for cement and a deterioration in the export environment, actually affected results during the cumulative third quarter. - FY2017-Q2MaterialisedAnnual report
「During the cumulative second quarter of the fiscal year, the business was affected by a sharp appreciation of the yen, weak market conditions for caprolactam, declining domestic demand for cement and a deterioration in the export environment, among other factors.」
It was stated that the sharp appreciation of the yen, together with weak caprolactam market conditions and weaker cement demand and export conditions, actually affected results during the cumulative quarter. - FY2017-Q1MaterialisedAnnual report
「The business was affected by a sharp appreciation of the yen, weak market conditions for caprolactam, declining domestic demand for cement and a deterioration in the export environment, among other factors.」
It was explicitly stated that the sharp appreciation of the yen affected results during the quarter. - FY2016First statedAnnual report
「The Group mitigates foreign exchange risk to a certain extent by matching receivables and payables and using hedging transactions such as forward exchange contracts. However, exchange rate movements exceeding short-, medium- and long-term forecasts may adversely affect the Group's operating results and financial position.」
Translation risk at overseas subsidiaries and US dollar-denominated interest-bearing debt at the Thai operating company were also noted.