Reducing Foreign Exchange Risk Through Export/Import Offsetting and Forward Contracts
First written in FY2016. 4 of 8 entries say "Advanced", first in FY2017. Latest entry: FY2026.
The whole theme swung hardest in 2020: 3 of 13 companies on the "Worse" side.
2 other companies' latest entry also says "Advanced".
- FY2026AdvancedAnnual report
「Forward exchange contracts Sell position Euros Accounts receivable 89,751 － △7,654」
To manage exchange rate risk, the contract amount of forward exchange contracts with euro sell positions was ¥89.751 million, up from ¥14.397 million in the previous year. - FY2023AdvancedAnnual report
「Forward exchange contracts Sell position Euros Accounts receivable 21,485 － △461」
To manage foreign exchange risk, the contract amount of forward exchange contracts with euro sell positions increased from ¥18.151 million in the previous year to ¥21.485 million. - FY2022Updated forward foreign-exchange contract balanceAnnual report
「Forward exchange contracts Sell position Euros Accounts receivable 18,151 － △810」
To manage foreign exchange risk, the Company entered into forward exchange contracts with euro sell positions totaling ¥18.15 million. The currency and contract amount changed from the previous year's US dollar sell positions totaling ¥41.76 million. - FY2020RestatedAnnual report
「The Group's foreign-currency transactions are conducted mainly in US dollars and euros. The Group seeks to limit foreign exchange risk by offsetting imports of raw materials and other items against exports of products. However, it is difficult to eliminate exchange rate risk completely, and exchange rate movements may affect the Group's business performance.」
The Company continues its policy of managing foreign exchange risk through offsetting imports and exports and, when necessary, entering into forward exchange contracts. - FY2019AdvancedAnnual report
「Current consolidated fiscal year (31 March 2019) Forward exchange contracts Sell position EUR Accounts receivable 115,091 Fair value 640 Forward exchange contracts Buy position US dollars Accounts payable 14,664 Fair value 212 Total 129,756 Fair value 853」
In addition to offsetting imports and exports, the Company entered into forward exchange contracts with a total contract amount of ¥129 million, consisting of euro sell positions and US dollar buy positions. The scale of hedging transactions increased from the previous year's contract amount of ¥3.41 million. - FY2018RestatedAnnual report
「The Group's foreign-currency transactions are conducted mainly in US dollars and euros. The Group seeks to limit foreign exchange risk by offsetting imports of raw materials and other items against exports of products. However, it is difficult to eliminate exchange rate risk completely, and exchange rate movements may affect the Group's business performance.」
The Group continues its policy of managing foreign exchange risk through offsetting imports and exports and, when necessary, entering into forward exchange contracts. - FY2017AdvancedAnnual report
「Forward exchange contracts Buy position US dollars Accounts payable 6,601 － 31」
In addition to offsetting imports and exports, the Company entered into forward exchange contracts against US dollar payables with a contract amount of ¥6.601 million and recorded a fair value of ¥31 thousand in the current year. - FY2016First statedAnnual report
「The Company seeks to limit foreign exchange risk by offsetting imports of raw materials and other items against exports of products.」
The Company uses offsetting of foreign currency inflows and outflows from imports and exports, as well as forward exchange contracts when necessary, to manage foreign exchange risk.