Regulatory and Economic Conditions Risks Associated with Expansion into China
First written in FY2019. 2 of 5 entries say "Restated". Latest entry: FY2026.
2 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「In light of the decline in the profitability of the subsidiary accompanying the downturn in China’s real estate construction market, the company comprehensively considered the appropriateness of continuing the business and the allocation of resources within the group. It resolved to transfer the shares of the subsidiary in order to optimize its business portfolio.」
To address the risk arising from the downturn in China’s real estate market, all equity interests in 溜博高見澤混凝土有限公司 were transferred, reducing the group’s exposure to the subsidiary. 山東建澤混凝土有限公司 remains an affiliated company. - FY2025WorsenedAnnual report
「Although China's zero-COVID policy was lifted in 2023, the recovery has been slow. In addition, the downturn in China's real estate and construction industry has left more projects for customers such as developers unfinished, with construction progress stalled, resulting in significant delays in the collection of receivables.」
The previously identified regulatory and economic risks in China have materialized in the form of a downturn in the Chinese real estate and construction industry and delays in collecting receivables. - FY2023RestatedAnnual report
「The Group has entered China by establishing 2 joint ventures there for the manufacture and sale of ready-mixed concrete. Regulations and economic conditions in China may affect the Group's business performance.」
The company continues to describe the risk that local regulations and economic conditions could affect the performance of its 2 joint ventures in China. - FY2021RestatedAnnual report
「The Group has entered China by establishing 2 joint ventures there for the manufacture and sale of ready-mixed concrete. Regulations and economic conditions in China may affect the Group's business performance.」
The company continues to describe the risk that local regulations and economic conditions could affect the performance of its 2 joint ventures in China. - FY2019First statedAnnual report
「The Group has entered China by establishing 2 joint ventures there for the manufacture and sale of ready-mixed concrete. Regulations and economic conditions in China may affect the Group's business performance.」
For the Group's 2 joint ventures in China, the company has for the first time separately identified the possibility that local regulations and economic conditions could affect business performance as a risk.