Product Defect and Product Liability Risks
First written in FY2016. 2 of 4 entries say "Restated". Latest entry: FY2025.
Asahi Yukizai moved to the "Worse" side of this theme in 2025, 2 years after the typical company in this theme (2023).
The whole theme swung hardest in 2026: 11 of 57 companies on the "Worse" side.
12 other companies' latest entry also says "Materialised".
- FY2025MaterialisedAnnual report
「We have recorded the recall of certain electric ball valve products and related costs as losses related to product recalls. These consisted of ¥80 million in product recall costs and ¥26 million in losses on the disposal of inventories.」
A recall of certain electric ball valve products actually occurred, and we recorded ¥80 million in product recall costs and ¥26 million in losses on the disposal of inventories, for a total of ¥106 million. - FY2021RestatedAnnual report
「If a product defect occurs, we may incur liability for direct and indirect damages arising from the defect that is not fully covered by product liability insurance, as well as substantial costs for countermeasures.」
We continue to disclose the risks of product defects, recalls, quality problems, product liability, and deterioration in brand image. We have also described quality control based on ISO 9001 and measures to prevent recurrence. - FY2019RestatedAnnual report
「Defects in products that could result in substantial product liability claims could have a significant impact on costs and the reputation of our Group, potentially leading to lower sales and adversely affecting the Group's business performance and financial position.」
We continue to disclose the risks of product defects, product liability claims, and insufficient insurance coverage. - FY2016First statedAnnual report
「Defects in products that could result in substantial product liability claims could have a significant impact on costs and the reputation of our Group, potentially leading to lower sales and adversely affecting the Group's business performance and financial position.」
While complying with quality-control standards, we disclose that defects and liability cannot be fully prevented and that insurance may not provide sufficient coverage.