Recession in Major Markets and Risk of Shrinking Demand
First written in FY2016. 19 of 36 entries say "Materialised", first in FY2017-Q1. Latest entry: FY2026.
Asahi Yukizai moved to the "Worse" side of this theme in 2019, the same year as the typical company in this theme.
The whole theme swung hardest in 2022: 124 of 167 companies on the "Worse" side.
64 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「Overseas, manufacturing companies in the US continued to take a cautious approach to capital investment amid uncertainty over trade policy and the outlook for financial and foreign-exchange markets. In China, capital investment continued to lack momentum as weak domestic demand persisted.」
Uncertainty over US trade policy and financial and foreign-exchange market trends, along with continued weak domestic demand and stagnant capital investment in China, emerged as factors behind lower revenue and profit company-wide. - FY2026-H1MaterialisedAnnual report
「The business environment surrounding the Group remained supported by strong demand in China for equipment deliveries to newly built semiconductor factories. However, in Japan and overseas, projects in the semiconductor factory construction sector continued to be reviewed or postponed due to labor shortages and uncertainty in the US economic environment, resulting in lower revenue overall. In addition, higher fixed costs, including labor costs and depreciation, led to lower profit.」
Continued reviews and postponements of semiconductor factory construction projects due to labor shortages and uncertainty in the US economic environment caused the risk of shrinking demand to materialize as lower revenue and profit company-wide. - FY2025MaterialisedAnnual report
「The business environment surrounding the Group showed signs of bottoming out in domestic capital investment, which had continued to stagnate, driven particularly by the delivery of equipment to newly built semiconductor factories. In the US, water treatment, waste treatment plants, and other areas remained firm, but semiconductor-related operations were significantly affected by reviews and postponements of factory construction due to higher material prices, labor shortages, and other factors. These factors resulted in lower revenue, while increased fixed costs, including labor costs and depreciation, led to lower profit.」
Stagnant capital investment and reviews and postponements of semiconductor factory construction in the US emerged as actual factors behind lower revenue and profit. - FY2025-H1MaterialisedAnnual report
「However, the business environment surrounding the Group remained challenging in Japan, where companies continued to take a cautious stance toward capital investment and distributors continued to adjust inventories of piping products. In the US, water treatment, landfill, and other areas remained firm, but semiconductor-related operations were significantly affected by reviews and postponements of factory construction due to higher material prices, labor shortages, and other factors. These factors resulted in lower revenue, while increased fixed costs, including labor costs and depreciation, led to lower profit.」
The cautious stance toward domestic capital investment, inventory adjustments by distributors, and reviews and postponements of semiconductor-related factory construction in the US emerged as actual factors behind lower revenue and profit. - FY2024-Q3WorsenedAnnual report
「In the Piping Systems business, domestic capital investment related to core products was beginning to settle overall compared with the previous fiscal year. Overseas, demand for electronics-related factory construction continued to increase, while the prolonged weakness in demand in the semiconductor manufacturing equipment market related to Dymatrix products continued from the second half of the previous fiscal year. In the Plastics business, the prolonged weakness in the semiconductor device market for electronic material products continued from the latter part of the second half of the previous fiscal year. Domestic automobile sales related to the market for engineered materials products remained firm, but uncertainty increased due to the slowdown in the Chinese market.」
The company reported that domestic capital investment had settled, weakness in the semiconductor manufacturing equipment and semiconductor device markets continued, and uncertainty increased due to the slowdown in the Chinese market, strengthening the risk of shrinking demand in key markets. - FY2024-Q2RestatedAnnual report
「In the Piping Systems business, domestic capital investment related to core products remained generally firm. Overseas, demand for semiconductor-related factory construction continued to increase, while demand in the semiconductor manufacturing equipment market related to Dymatrix products continued to slow from the second half of the previous fiscal year. In the Plastics business, the market for semiconductor devices used in electronic material products remained stagnant from the latter part of the second half of the previous fiscal year, and demand slowed.」
Domestic capital investment and demand for semiconductor-related factory construction remained firm or increased, while slowing demand in the semiconductor manufacturing equipment market and stagnation and slowing demand in the semiconductor device market continued. - FY2024-Q1MaterialisedAnnual report
「Overseas, demand in the semiconductor manufacturing equipment market began to weaken in the second half of the previous fiscal year, although demand for semiconductor-related factory construction continued to increase. Demand for semiconductor device applications slowed from the latter part of the second half of the previous fiscal year.」
The business environment was described as showing weakening demand in the semiconductor manufacturing equipment market and slowing demand for semiconductor device applications. Meanwhile, demand for semiconductor-related factory construction increased. - FY2023-Q3WorsenedAnnual report
「During the cumulative third quarter under review, domestic capital investment remained firm, particularly in semiconductor-related industries, as in the previous fiscal year. Overseas, although some demand in the semiconductor manufacturing equipment market began to weaken, demand for semiconductor-related factory construction continued to increase. Demand for semiconductor devices remained relatively firm, although a slowdown was seen in some memory segments.」
Although overall semiconductor-related investment was described as firm, weakening demand in parts of the overseas semiconductor manufacturing equipment market and a slowdown in the memory segment newly became evident. - FY2023-Q2MitigatedAnnual report
「Domestic automobile production was affected by the continuing semiconductor shortage even after the Shanghai lockdown was lifted, but production volumes were approximately at the previous year's level. Domestic construction machinery production also remained firm.」
Although the semiconductor shortage continued to have an effect, domestic automobile production recovered to approximately the previous year's level, and construction machinery production remained firm. The impact of the risk of shrinking demand eased somewhat. - FY2023-Q1MaterialisedAnnual report
「Domestic automobile production fell below the previous year because parts procurement was disrupted by the semiconductor shortage and the Shanghai lockdown, while domestic construction machinery production remained firm. Domestic housing starts declined from the previous year.」
Disruptions to parts procurement caused by the semiconductor shortage and the Shanghai lockdown were reflected in domestic automobile production falling below the previous year, while domestic housing starts also declined. Meanwhile, semiconductor-related capital investment and construction machinery production remained firm. - FY2022MitigatedAnnual report
「During the consolidated fiscal year under review, domestic capital investment remained firm as semiconductor-related industries continued to perform well, while some signs of recovery also emerged in other industries. Overseas, capital investment increased, particularly in semiconductor-related industries.」
Semiconductor-related investment and overseas capital investment increased, and some recovery was seen in other industries, partially easing the risk of shrinking demand. Meanwhile, domestic automobile production fell below the previous year due to the semiconductor shortage and other factors. - FY2022-Q3MaterialisedAnnual report
「During the cumulative third quarter under review, domestic automobile production fell below the previous year because of the continuing semiconductor shortage from the second quarter and disruptions to parts supplies from Southeast Asia caused by COVID-19.」
The impact of the semiconductor shortage and disruptions to parts supplies from Southeast Asia, which caused domestic automobile production to fall below the previous year, continued. Meanwhile, semiconductor-related capital investment in Japan and overseas increased. - FY2022-Q2MaterialisedAnnual report
「Although production exceeded the previous year after entering the cumulative second quarter under review, it was affected by the semiconductor shortage and disruptions to parts supplies from Southeast Asia caused by COVID-19. In domestic capital investment, semiconductor-related industries remained firm, while other industries continued to take a cautious stance because of the spread of COVID-19.」
The semiconductor shortage, disruptions to parts supplies from Southeast Asia, and the cautious stance toward capital investment in other industries were reflected in actual business conditions. Meanwhile, domestic automobile production exceeded the previous year, and overseas semiconductor-related investment increased. - FY2022-Q1MitigatedAnnual report
「During the cumulative first quarter under review, domestic automobile production exceeded the previous year but did not reach production volumes comparable to fiscal 2019 due to the impact of the semiconductor shortage. Domestic capital investment remained cautious because of the spread of COVID-19, and demand for equipment renewals showed only signs of recovery. Overseas, capital investment increased, particularly in semiconductor-related industries.」
Although automobile production and overseas semiconductor-related investment showed signs of recovery, automobile production did not return to fiscal 2019 levels, and the recovery in domestic demand for equipment renewals remained limited. The risk of shrinking demand eased somewhat, but the semiconductor shortage and cautious stance toward capital investment remained. - FY2021MaterialisedAnnual report
「Demand for equipment renewals remained weak throughout the year because planned periodic repairs and other work were postponed or reviewed.」
Against a backdrop including COVID-19, demand for equipment renewals actually remained weak throughout the year as periodic repairs were postponed or their scale was reviewed. - FY2021-Q3MaterialisedAnnual report
「Although capital investment projects already under way progressed as scheduled, periodic repairs and other work not yet started were postponed or reviewed, causing demand for equipment renewals to languish. Semiconductor demand, including demand related to 5G and data centers, remained firm. Investment in semiconductor manufacturing equipment also remained generally firm.」
Demand for equipment renewals actually weakened as periodic repairs and other work not yet started were postponed or reviewed. Meanwhile, automobile production recovered to approximately the previous year's level, and semiconductor demand and investment in semiconductor manufacturing equipment were generally firm. - FY2021-Q2MaterialisedAnnual report
「Automobile production showed signs of recovery but had not returned to normal seasonal levels. Capital investment projects already under way progressed as scheduled, but demand began to weaken as periodic repairs and other work scheduled for the future were postponed or their scale was reviewed.」
Although automobile production showed signs of recovery after activity restrictions were lifted, demand did not return to normal levels, and demand actually declined as periodic repairs and other work were postponed or their scale was reviewed. - FY2021-Q1MaterialisedAnnual report
「During the cumulative first quarter under review, the Group's business environment was affected by restrictions on activities, including travel, intended to prevent the spread of COVID-19, which began in early 2020. Automobile sales fell sharply, and manufacturers continued to adjust production. In capital investment, projects already under way progressed as scheduled, but demand for future periodic repairs and other work began to decline as projects were postponed or their scale was reviewed. Meanwhile, semiconductor demand, including demand related to 5G and data centers, remained firm, and investment in semiconductor manufacturing equipment continued without being affected by COVID-19.」
Restrictions on activities associated with COVID-19 led to a sharp decline in automobile sales and production adjustments by manufacturers, while demand for capital investment also declined as periodic repairs were postponed or their scale was reviewed. The company explained that semiconductor demand and investment in semiconductor manufacturing equipment remained firm. - FY2020-Q3RestatedAnnual report
「During the cumulative third quarter under review, the business environment for the Group continued to be affected by the slowdown in automobile sales, particularly in China. At the same time, positive developments, including the resumption of semiconductor investment in East Asia, particularly Japan, began to emerge.」
The company explained that although the slowdown in automobile sales, particularly in China, continued to have an effect, positive developments such as the resumption of semiconductor investment in East Asia had begun to emerge. - FY2020-Q2MaterialisedAnnual report
「During the cumulative second quarter under review, the business environment for the Group remained uncertain, as the effects of delayed semiconductor investment in East Asia and slowing automobile sales continued. Although affected by the slowdown in investment, the Group secured sales and profits in other areas.」
The continued postponement of semiconductor investment in East Asia and the slowdown in automobile sales affected actual sales and profits. - FY2020-Q1WorsenedAnnual report
「Overseas, uncertainty about the outlook intensified further due to the effects of global economic uncertainty, including the prolonged US-China trade friction, the slowdown in the Chinese economy, and heightened tensions in the Middle East.」
The prolonged US-China trade friction, the slowdown in the Chinese economy, and heightened tensions in the Middle East added to uncertainty about the economic and demand environment in key markets, further increasing uncertainty about the outlook. - FY2019WorsenedAnnual report
「Overseas, global conditions became increasingly unstable due to issues including US-China trade friction and the UK's withdrawal from the EU, and uncertainty about the outlook continued.」
In addition to US-China trade friction, the UK's withdrawal from the EU was cited, with global instability and uncertainty about the outlook increasing. - FY2019-Q3WorsenedAnnual report
「Overseas, US-China trade friction was steadily adversely affecting the Chinese economy, and the outlook remained uncertain.」
The company indicated that US-China trade friction was steadily adversely affecting the Chinese economy, increasing uncertainty regarding economic and demand conditions in key markets. - FY2019-Q2RestatedAnnual report
「Overseas economies in general were on a recovery trend, and capital investment in the US and China remained solid. However, conditions remained uncertain, including concerns about trade friction resulting from protectionist policies in other countries.」
Although capital investment in the US and China remained solid, concerns over trade friction resulting from protectionist policies persisted. The company explained that demand conditions in key markets were not deteriorating uniformly, but remained uncertain going forward. - FY2019-Q1RestatedAnnual report
「Overseas, although the outlook remained uncertain due to issues surrounding protectionist trade policies and rising geopolitical risks, business remained firm, supported by strong capital investment appetite in the electronics sector in China and South Korea.」
Although there are uncertain factors in the overseas economy, the company explained that capital investment in the electronics industry in China and South Korea remained firm and that demand conditions in key markets were not deteriorating uniformly. - FY2018-Q3RestatedAnnual report
「During the cumulative third quarter under review, Japan's economy remained firm, as in the second quarter, against a backdrop of improving corporate earnings and increased IT investment. Exports also remained firm, supported by strong capital investment appetite in China and South Korea for the electronics industry. The US economy likewise remained firm, underpinned by favorable employment conditions and improving consumer sentiment.」
The company continued to describe economic conditions in Japan, export markets in Asia, and the US as firm, maintaining a positive view of the business environment regarding the risk of shrinking demand in key markets. - FY2018-Q2MitigatedAnnual report
「During the second quarter of the current consolidated cumulative period, Japan's economy continued to recover gradually. Corporate capital investment remained firm, supported by a recovery in production, improved corporate earnings, and increased IT investment. Exports also remained firm, driven in part by the expansion of capital investment in the electronics industry in Asia, including China and South Korea.」
The company reported a recovery in the domestic economy, firm capital investment, and solid exports to Asia, indicating an improvement in the business environment from the sluggish sales caused by the risk of weak demand through the prior period. - FY2018-Q1MitigatedAnnual report
「During the first quarter of the current consolidated cumulative period, the domestic economy remained on a gradual recovery track, with improvements in corporate earnings and employment conditions. Overseas, conditions remained firm in Asia, including China and South Korea, as capital investment in the electronics industry expanded.」
The company reported a recovery in the domestic economy, firm capital investment, solid conditions in the Asian region, and a recovery in exports, indicating an improvement in the business environment from the prior year's sluggish sales caused by weak demand. At the same time, it continued to refer to uncertainty over U.S. policy and the impact of terrorism in Europe. - FY2017-Q3MaterialisedAnnual report
「In this business environment, the Group worked to capture and strengthen domestic demand and secure sales by expanding its overseas distribution channels, but sales remained sluggish because of weak domestic and overseas demand and the stronger yen.」
Weak domestic and overseas demand and the appreciation of the yen continued to weigh on sales, indicating that the risk of shrinking demand in key markets affected actual business performance. - FY2017-Q2MaterialisedAnnual report
「Against this business backdrop, the Group worked to capture domestic demand and expand its overseas sales channels, but sales struggled to grow due to weak domestic and overseas demand and the appreciation of the yen.」
Weak domestic and overseas demand and the appreciation of the yen continued to weigh on sales, with the effects reflected in actual results. - FY2017-Q1MaterialisedAnnual report
「Against this business backdrop, the Group worked to capture domestic demand and expand its overseas sales channels, but sales struggled to grow due to the slowdown in domestic capital investment.」
The slowdown in domestic capital investment and sluggish sales indicate that the risk of shrinking demand in key markets affected actual business performance. - FY2016First statedAnnual report
「An economic downturn in the Group's key markets and the resulting decline in demand may adversely affect the Group's business performance and financial condition.」
The company has disclosed the economic conditions in its sales countries and regions, economic downturns, and shrinking demand as risks to business performance and financial condition.