Decline in Demand and Production Stoppages Due to the Spread of COVID-19
First written in FY2020. 6 of 15 entries say "Worsened", first in FY2021-Q1. Latest entry: FY2024.
The whole theme swung hardest in 2020: 103 of 175 companies on the "Worse" side.
- FY2024ReframedAnnual report
「If the spread of a large-scale global infectious disease such as COVID-19 causes automakers to suspend operations and demand for new vehicles to remain sluggish, the group's financial position, operating results, and cash flows from the following consolidated fiscal year onward may be materially affected.」
The wording has been broadened from a focus on COVID-19 to the risk of production stoppages and sluggish demand caused by large-scale global infectious diseases generally, such as COVID-19. - FY2024-Q1MitigatedAnnual report
「During the cumulative first quarter, automobile production volumes by major customers increased both in Japan and overseas from the same quarter of the previous year, as production adjustments due to semiconductor shortages and other factors eased and markets recovered as the impact of COVID-19 diminished.」
The easing of the pandemic's impact and market recovery increased automobile production by major customers in Japan and overseas, partially mitigating the impact of risks related to declining demand and production stoppages. - FY2023Update: annual market recovery and production cuts in ChinaAnnual report
「During the consolidated fiscal year, automobile production volumes related to the Group's business were approximately the same as in the previous year overall. In Japan, production adjustments due to semiconductor shortages and other factors continued, while overseas production in Asia remained strong, although a sharp production cut in China from the latter half of the third quarter had an impact.」
Market recovery from the impact of the pandemic contributed to higher revenue in North America and Asia, while production adjustments due to semiconductor shortages in Japan and sharp production cuts in China occurred, leaving pandemic- and supply constraint-related risks in place. - FY2023-Q3WorsenedAnnual report
「Automobile production volumes in the fourth quarter are expected to decline, mainly due to production cuts resulting from the spread of COVID-19 in China, leading to an expected decrease in revenue.」
The company expects production cuts resulting from the spread of COVID-19 in China to reduce fourth-quarter revenue, indicating that pandemic-related demand and operating risks have again become more severe. - FY2023-Q2WorsenedAnnual report
「During the cumulative second quarter, production adjustments by major customers in Japan led to factory production stoppages and other disruptions, primarily due to shortages of semiconductors and other parts associated with the spread of COVID-19. Automobile production volumes consequently declined from the same period of the previous year.」
Shortages of semiconductors and other parts, production adjustments by major customers, and factory production stoppages occurred in Japan as COVID-19 spread, continuing to affect the business through lower automobile production. - FY2023-Q1WorsenedAnnual report
「During the first quarter of the fiscal year, automotive production volumes declined from the same quarter of the previous year as major customers successively adjusted production and suspended plant operations due to the impact of COVID-19, while production cuts at overseas plants resulting from lockdowns in China also occurred. Of the decrease in net sales, approximately ¥2.1 billion reflected the pass-through of higher steel prices and the impact of foreign exchange movements, among other factors. In real terms, the decline in automotive production volumes at major customers resulted in a ¥2.1 billion decrease in net sales.」
Customer production adjustments and factory production stoppages resulting from the pandemic, along with production cuts due to lockdowns in China, resurfaced, causing an effective revenue decline of approximately ¥2.1 billion due to lower production volumes at major customers. - FY2022MitigatedAnnual report
「Revenue from major customers is recovering from the impact of production stoppages caused by the spread of COVID-19. However, if semiconductor supply problems worsen or the spread of COVID-19 deteriorates further, causing automakers to suspend operations and demand for new vehicles to remain sluggish, the group's financial position, operating results, and cash flows from the following consolidated fiscal year onward may be materially affected.」
The company explains that revenue from major customers is recovering from the impact of production stoppages. However, the risk of production stoppages and sluggish demand due to semiconductor supply problems or a worsening of the pandemic remains. - FY2022-Q3WorsenedAnnual report
「It was a quarter marked by numerous changes in production, including unstable customer production due to difficulties procuring parts amid the pandemic, as well as cost headwinds from soaring steel and logistics costs.」
In relation to the impact of the pandemic, unstable customer production due to difficulties procuring parts has emerged as an actual business condition. The company states that uncertainty surrounding difficulties procuring parts and production cuts by major customers remains in the fourth quarter. - FY2022-Q2MitigatedAnnual report
「As automotive production and sales volumes by major customers increased from the previous fiscal year, which was affected by the novel coronavirus pandemic, revenue was ¥29,027 million, up 17.8% from the same quarter of the previous year, and operating income was ¥1,029 million, compared with an operating loss of ¥21 million in the same quarter of the previous year.」
Production and sales at major customers increased from the previous fiscal year, which was affected by the pandemic. In Japan, revenue rose 17.8% year on year and operating results recovered from a loss to a profit. The company explained that the impact of pandemic-related declines in demand and production stoppages was partially mitigated. - FY2022-Q1MitigatedAnnual report
「During the cumulative first quarter, automobile production and sales volumes by major customers recovered as markets recovered from COVID-19, with sales of passenger cars and kei cars increasing steadily in Japan and sales increasing at all overseas operations.」
The company reported that the recovery of markets from COVID-19 increased automobile production and sales by major customers in Japan and overseas, as well as revenue, partially mitigating the impact of pandemic-related declines in demand and production stoppages. - FY2021MitigatedAnnual report
「Revenue from major customers is recovering from the impact of production stoppages caused by the spread of COVID-19. However, if semiconductor supply problems worsen or the spread of COVID-19 deteriorates further, causing automakers to suspend operations and demand for new vehicles to remain sluggish, the group's financial position, operating results, and cash flows from the following consolidated fiscal year onward may be materially affected.」
Revenue from major customers is recovering from the impact of production stoppages, indicating partial risk mitigation. However, the risk of future production stoppages and sluggish demand due to semiconductor supply problems or a worsening of the pandemic remains. - FY2021-Q3MitigatedAnnual report
「Although uncertainty surrounding COVID-19 remains, automobile production volumes at the group's major customers are expected to exceed the previous year's level in the fourth quarter.」
Although uncertainty surrounding COVID-19 remains, automobile production volumes at major customers are expected to exceed the previous year's level in the fourth quarter, indicating a partial recovery in demand and operating conditions. - FY2021-Q2WorsenedAnnual report
「During the cumulative second quarter, the global spread of COVID-19 led to successive factory production stoppages and production adjustments, and automobile production and sales volumes fell substantially from the previous year. Under these conditions, the group's revenue for the cumulative second quarter was ¥31,518 million, down ¥10,540 million, or 25.1%, from the same period of the previous year.」
Factory production stoppages and production adjustments caused by the spread of COVID-19 continued, as did the substantial decline in automobile production and sales, resulting in a 25.1% year-on-year decrease in revenue. The company also recorded an operating loss of ¥845 million, an ordinary loss of ¥462 million, and a quarterly net loss attributable to owners of the parent of ¥574 million. - FY2021-Q1WorsenedAnnual report
「During the cumulative first quarter, the global spread of COVID-19 led to a succession of factory shutdowns and production adjustments, resulting in a substantial year-on-year decline in automobile production and sales volumes.」
Factory production stoppages and production adjustments occurred successively as COVID-19 spread, causing a substantial decline in automobile production and sales. Revenue also fell 38.8% year on year, indicating that the impact of previously disclosed risks had become more severe. - FY2020First statedAnnual report
「Since April 2020, we have adjusted operations in response to sluggish demand for new vehicles among automakers due to the impact of COVID-19, which has reduced revenue. In addition, some overseas subsidiaries have suspended or adjusted operations in response to stay-at-home measures and other restrictions overseas, as well as customers' operating adjustments resulting from sluggish demand for new vehicles. These subsidiaries have also been affected by declining revenue.」
The company disclosed COVID-19 as a standalone risk for the first time, explaining that sluggish demand for new vehicles, operating adjustments and production stoppages in Japan and overseas, and declining revenue had already occurred. It stated that the amount of the impact was difficult to calculate reasonably.