Foreign-Exchange Risk
First written in FY2016. 9 of 22 entries say "Materialised", first in FY2017-Q1. Latest entry: FY2026.
The whole theme swung hardest in 2025: 72 of 160 companies on the "Worse" side.
- FY2026RestatedAnnual report
「The Group is working to minimise the impact of exchange-rate movements and reduce foreign-exchange risk by monitoring conditions at each overseas location, entering into hedging contracts, and providing capital increases to overseas locations that have implemented parent-subsidiary loans and other measures.」
The Group continues to recognise the foreign-exchange exposure associated with its overseas operations and has reconfirmed measures to mitigate the impact using hedging contracts, parent-subsidiary loans and capital increases. - FY2025-H1MaterialisedAnnual report
「In addition, interim net income attributable to owners of the parent amounted to ¥32 million, down ¥890 million (96.5%) year on year, due to the recognition of a foreign-exchange loss on foreign-currency-denominated assets caused by exchange-rate movements and an extraordinary loss associated with the withdrawal from the German spring business.」
A foreign-exchange loss on foreign-currency-denominated assets caused by exchange-rate movements actually occurred, and a ¥788 million foreign-exchange loss was recognised as a non-operating expense. - FY2024-Q3WorsenedAnnual report
「In terms of procurement costs, raw-material markets, which had been showing signs of stabilisation, have recently begun rising again. In addition to higher raw-material import costs due to the yen's depreciation and persistently elevated energy prices, logistics and labour costs and other expenses have also increased.」
Imported raw-material costs continue to rise as the yen depreciates, while logistics and labour costs and other expenses have also increased, in addition to energy prices. - FY2024-Q2WorsenedAnnual report
「The yen's depreciation has increased the cost of importing raw materials, while energy prices also remain elevated.」
The yen's depreciation emerged as higher imported raw-material costs, and energy prices also remain elevated, strengthening the impact of foreign-exchange exposure on performance. - FY2024-Q1WorsenedAnnual report
「Although the iron ore and coking coal markets are trending lower, the yen has again been weakening, pushing up the prices of imported raw materials. Energy prices also remain elevated.」
While the iron ore and coking coal markets are trending lower, renewed yen depreciation has pushed up imported raw-material prices, and energy prices remain elevated. The impact of foreign-exchange exposure on performance has intensified again. - FY2023MaterialisedAnnual report
「Operating loss widened by ¥338 million from the previous fiscal year to ¥2,166 million, compared with an operating loss of ¥1,827 million in the previous fiscal year. The main factor was higher procurement costs due to the weaker yen.」
Higher procurement costs due to the weaker yen emerged in the results as a factor behind the wider operating loss in the Spring segment. The consolidated statement of income also included a ¥942 million foreign-exchange loss. - FY2023-Q3MitigatedAnnual report
「Although the iron ore and coking coal markets, which had been elevated, have recently stabilised relative to an earlier period, and the rapid yen depreciation seen last year is showing signs of easing, procurement costs remain high compared with the same period of the previous year.」
The rapid depreciation of the yen is said to be easing, indicating some improvement in the foreign-exchange environment. Procurement costs, however, remain high, and the impact is not stated to have been eliminated. - FY2023-Q2WorsenedAnnual report
「Operating loss in the Spring segment widened by ¥1,139 million year on year to ¥2,032 million, compared with an operating loss of ¥893 million in the same period of the previous year. This reflected continued lower productivity and emergency transportation measures at the North American subsidiary due to production disruptions that had continued since the second half of the previous fiscal year, as well as the further widening of the subsidiary's loss due to the weaker yen.」
The widening loss at the North American subsidiary due to the weaker yen emerged as a factor behind the wider loss for the Spring segment as a whole. The loss widened by ¥1,139 million year on year, resulting in an operating loss of ¥2,032 million. - FY2023-Q1WorsenedAnnual report
「However, procurement costs have risen, in addition to the surge in raw-material and energy prices, due to the rapid depreciation of the yen, and passing further cost increases on to selling prices has become a major challenge.」
The rapid depreciation of the yen, combined with surging raw-material and energy prices, was explicitly identified as a factor behind higher procurement costs and the challenge of passing costs on to selling prices. The impact of foreign-exchange risk on performance has intensified further. - FY2021-Q3MaterialisedAnnual report
「Foreign-exchange loss 685」
The impact of exchange-rate movements emerged in the results for the nine-month period of the current consolidated fiscal year as a ¥685 million foreign-exchange loss. - FY2021-Q1MaterialisedAnnual report
「In addition, the quarterly net loss attributable to owners of the parent was ¥1,998 million, compared with a quarterly net loss attributable to owners of the parent of ¥200 million in the same period of the previous year, mainly because a foreign-exchange loss of ¥902 million was recognised on foreign-currency-denominated borrowings as the Indonesian subsidiary experienced a sharp depreciation of the rupiah.」
The sharp depreciation of the rupiah at the Indonesian subsidiary actually resulted in a ¥902 million foreign-exchange loss on foreign-currency-denominated borrowings and became the primary cause of the quarterly net loss attributable to owners of the parent. - FY2019-Q3MaterialisedAnnual report
「At the end of the third quarter of the current consolidated fiscal year, net assets amounted to ¥68,063 million, down ¥4,140 million from the end of the previous consolidated fiscal year, due to decreases in valuation differences on other securities and, mainly as a result of exchange-rate movements, the foreign currency translation adjustment account and non-controlling interests.」
The decrease in the foreign currency translation adjustment account attributable to exchange-rate movements, together with decreases in non-controlling interests and other items, emerged in the results as a factor behind the ¥4,140 million decline in net assets. - FY2019-Q2MaterialisedAnnual report
「At the end of the second quarter of the current consolidated fiscal year, net assets amounted to ¥70,204 million, down ¥2,000 million from the end of the previous consolidated fiscal year, mainly due to decreases in the foreign currency translation adjustment account and non-controlling interests attributable to exchange-rate movements, despite an increase in valuation differences on other securities.」
The decrease in the foreign currency translation adjustment account attributable to exchange-rate movements emerged in the results as one of the primary causes of the ¥2,000 million decline in net assets, indicating that foreign-exchange risk continues to materialise. - FY2019-Q1MaterialisedAnnual report
「At the end of the first quarter of the current consolidated fiscal year, net assets amounted to ¥70,634 million, down ¥1,569 million from the end of the previous consolidated fiscal year, mainly due to a decrease in the foreign currency translation adjustment account attributable to exchange-rate movements and a decrease in total non-controlling interests, despite an increase in valuation differences on other securities.」
The decrease in the foreign currency translation adjustment account attributable to exchange-rate movements, together with the decrease in non-controlling interests and other factors, emerged in the results as a primary cause of the ¥1,569 million decline in net assets. - FY2018RestatedAnnual report
「Because the Group conducts foreign-currency transactions for imports of raw materials and other items and exports of products and other items, and holds foreign-currency-denominated receivables and payables, fluctuations in foreign exchange rates may affect its performance.」
The Group has reconfirmed the risk that exchange-rate movements associated with imports and exports and foreign-currency-denominated receivables and payables may affect performance. - FY2018-Q2RestatedAnnual report
「In the Spring segment, demand for construction machinery and automobiles recovered, while exchange-rate effects at overseas subsidiaries also contributed. Net sales amounted to ¥24,110 million, up ¥2,795 million (13.1%) year on year.」
The exchange-rate effects at overseas subsidiaries continue to be cited as a performance factor, indicating ongoing foreign-exchange exposure. - FY2018-Q1RestatedAnnual report
「At the end of the first quarter of the current consolidated fiscal year, net assets amounted to ¥66,984 million, down ¥89 million from the end of the previous consolidated fiscal year, as a decrease in the foreign currency translation adjustment account attributable to exchange-rate movements more than offset an increase in retained earnings.」
The decrease in the foreign currency translation adjustment account attributable to exchange-rate movements was cited as a factor behind the decline in net assets, indicating that the impact of exchange rates continues. No expansion of new risks from the previous fiscal year was indicated. - FY2017MaterialisedAnnual report
「Operating profit amounted to ¥619 million, down ¥386 million (38.4%) from the previous fiscal year, due to lower sales of power equipment and weaker export profitability caused by the stronger yen.」
The deterioration in export profitability caused by the stronger yen emerged in the full-year results as a factor behind the 38.4% decline in operating profit in the Equipment and Machinery segment. - FY2017-Q3RestatedAnnual report
「In the Equipment and Machinery segment, net sales amounted to ¥6,535 million, down ¥484 million (6.9%) year on year, due to lower sales of power equipment and forging and press machinery. Operating profit was ¥342 million, down ¥511 million (59.9%), reflecting lower sales and weaker export profitability due to the stronger yen in the first half.」
The deterioration in export profitability caused by the stronger yen in the first half continues to weigh on operating profit in the Equipment and Machinery segment. - FY2017-Q2RestatedAnnual report
「In the spring business, sales in North America remained firm, but sales were affected by foreign exchange movements at overseas subsidiaries, lower domestic sales of mini vehicles, and declining exports of passenger and commercial vehicles. Sales were ¥21,314 million, down ¥2,542 million, or 10.7%, year on year. Despite ongoing cost improvements, operating profit was significantly affected by lower domestic sales and higher purchasing costs at the Canadian subsidiary due to foreign exchange movements, and was ¥318 million, down ¥174 million, or 35.4%.」
Foreign exchange effects at overseas subsidiaries and higher purchasing costs at the Canadian subsidiary continued to contribute to the 10.7% decline in sales and 35.4% decline in operating profit in the spring business. - FY2017-Q1MaterialisedAnnual report
「In the equipment and machinery business, the order environment for power equipment-related products and forging and pressing machinery deteriorated. Sales were ¥2,055 million, down ¥146 million, or 6.7%, year on year. Operating profit was ¥157 million, down ¥54 million, or 25.5%, due to lower sales and the impact of yen appreciation.」
The impact of yen appreciation materialized as a factor behind the decline in operating profit, and foreign exchange losses of ¥346 million were also recorded in the quarterly income statement. - FY2016First statedAnnual report
「Because we conduct foreign-currency transactions when importing raw materials and other items and exporting products and other items, and because we hold foreign-currency-denominated receivables and payables, fluctuations in foreign exchange rates could affect business performance.」
The Company discloses the impact on business performance of foreign exchange fluctuations arising from imports and exports and foreign-currency-denominated receivables and payables.