Risk of an impact on performance from automaker plant shutdowns and production cuts
First written in FY2020-Q2. 5 of 17 entries say "Restated". Latest entry: 2026-05-13.
3 other companies' latest entry also says "Restated".
- 2026-05-13RestatedEarnings
「Because our core engineering and development outsourcing business is positioned in the upstream stages of production, we believe the possibility that automakers’ plant shutdowns or production cuts will directly affect contract cancellations and similar matters is low. However, if downside risks to the economy associated with the international situation intensify, they could affect business performance, so we need to monitor industry developments closely.」
The company maintains its view that plant shutdowns and production cuts are unlikely to have a direct impact, while continuing to monitor downside risks to the economy stemming from the international situation. - FY2025Impact of trade policy becomes apparentAnnual report
「The global drive toward decarbonization continues, and research and development investment in next-generation technologies is expected to continue. As our core design and development outsourcing business is positioned upstream in the production process, we believe it is unlikely that automakers suspending plant operations or reducing production will directly affect contract cancellations or similar matters. However, a worsening downside risk to the economy due to developments in trade policy and other factors could affect performance, making it necessary to closely monitor industry trends.」
While maintaining the view that investment in next-generation technology development and R&D will continue and that the direct impact of plant shutdowns and production cuts is limited, the company identifies an economic downturn caused by trade policy as a new key factor that could affect performance. - FY2025-H1Additional U.S. tariff policiesAnnual report
「As our core design and development outsourcing business is positioned upstream in the production process, we believe it is unlikely that automakers suspending plant operations or reducing production will directly affect contract cancellations or similar matters. However, the impact of U.S. tariff policies and a worsening slowdown in overseas economies could affect performance, making it necessary to closely monitor industry trends.」
While maintaining the view that plant shutdowns and production cuts are unlikely to directly affect contract cancellations or similar matters, the company newly identifies U.S. tariff policies as a factor that could affect performance and continues to highlight the need to remain alert to a slowdown in overseas economies. - FY2024-Q1RestatedAnnual report
「As our core design and development outsourcing business is positioned upstream in the production process, we believe it is unlikely that automakers suspending plant operations or reducing production will directly affect contract cancellations or similar matters. However, a worsening slowdown in overseas economies could affect performance, making it necessary to closely monitor industry trends.」
While maintaining the view that the direct impact of automakers suspending plant operations or reducing production is limited, the company continues to identify the possibility of an impact on performance if the slowdown in overseas economies worsens. - FY2023-Q3Potential impact on performance from a slowdown in overseas economiesAnnual report
「As our core design and development outsourcing business is positioned upstream in the production process, we believe it is unlikely that automakers suspending plant operations or reducing production will directly affect contract cancellations or similar matters. However, a worsening slowdown in overseas economies could affect performance.」
While maintaining the view that automakers suspending plant operations or reducing production is unlikely to directly affect contract cancellations or similar matters, the company specifically identifies a worsening slowdown in overseas economies as a factor that could affect performance. - FY2023-Q2RestatedAnnual report
「Because the company's core design and development outsourcing business is positioned upstream in the production process, it believes that automakers' plant shutdowns and production cuts are unlikely to have a direct impact, such as contract cancellations. However, recovery in billable hours to pre-pandemic levels is expected to take some time, and a further slowdown in overseas economies could affect business performance, so it is necessary to continue monitoring industry trends closely.」
While maintaining the view that plant shutdowns and production cuts will have limited direct impact, the company continues to indicate that recovery in billable hours to pre-pandemic levels is expected to take some time and that a slowdown in overseas economies could affect business performance. - FY2023-Q1Addition of a slowdown in overseas economiesAnnual report
「In the automotive and automotive parts industries, where the Group operates its core businesses, some production adjustments are being made because of tight supply and demand for semiconductors and other components, but the global trend toward decarbonization continues, and research and development aimed at next-generation technologies is expected to accelerate further. Because the company's core design and development outsourcing business is positioned upstream in the production process, it believes that automakers' plant shutdowns and production cuts are unlikely to have a direct impact, such as contract cancellations. However, further fluctuations in financial and capital markets, rising raw material prices, or a slowdown in overseas economies could affect business performance, so it is necessary to continue monitoring industry trends closely.」
While maintaining the previous explanation regarding production adjustments due to semiconductor shortages, decarbonization, and next-generation technology development, the company adds a slowdown in overseas economies as a factor that could affect business performance. - FY2022RestatedAnnual report
「Because the company's core design and development outsourcing business is positioned upstream in the production process, it believes that automakers' plant shutdowns and production cuts are unlikely to have a direct impact, such as contract cancellations. However, fluctuations in financial and capital markets, rising raw material prices, or a further worsening of the COVID-19 situation could affect business performance, so it is necessary to continue monitoring industry trends closely.」
While maintaining the view that plant shutdowns and production cuts will have limited direct impact, the company continues to identify financial markets, raw material prices, and a worsening infectious disease situation as factors that could affect business performance. - FY2022-Q3Attention to financial markets, raw material prices, and a worsening infectious disease situationAnnual report
「Because the company's core design and development outsourcing business is positioned upstream in the production process, it believes that automakers' plant shutdowns and production cuts are unlikely to have a direct impact, such as contract cancellations. However, fluctuations in financial and capital markets, rising raw material prices, or a further worsening of the COVID-19 situation could affect business performance, so it is necessary to continue monitoring industry trends closely.」
While maintaining the view that plant shutdowns and production cuts will have limited direct impact on the design and development outsourcing business, the company newly identifies fluctuations in financial and capital markets, rising raw material prices, and a worsening infectious disease situation as factors that could affect business performance. - FY2022-Q2RestatedAnnual report
「In the automotive and automotive parts industries, where the Group operates its core businesses, some production adjustments are being made because of tight supply and demand for semiconductors and other components, but the global trend toward decarbonization continues, and research and development aimed at next-generation technologies is expected to accelerate further. Because the company's core design and development outsourcing business is positioned upstream in the production process, it believes that automakers' plant shutdowns and production cuts are unlikely to have a direct impact, such as contract cancellations. However, recovery in billable hours to pre-pandemic levels is expected to take time.」
While continuing to describe tight supply and demand for semiconductors and other components and production adjustments, the company maintains its view that plant shutdowns and production cuts will have limited direct impact on the design and development business, as well as its expectation that recovery in billable hours will take time, and continues to identify the acceleration of next-generation technology development. - FY2022-Q1Acceleration of next-generation technology development and continued delay in the recovery of billable hoursAnnual report
「In the automotive and automotive parts industries, where the Group operates its core businesses, some production adjustments are being made because of semiconductor shortages, but research and development aimed at next-generation technologies is expected to accelerate further worldwide. Because the company's core design and development outsourcing business is positioned upstream in the production process, it believes that automakers' plant shutdowns and production cuts are unlikely to have a direct impact, such as contract cancellations. However, recovery in billable hours to pre-pandemic levels is expected to take time.」
While continuing to describe production adjustments due to semiconductor shortages and delayed recovery in billable hours to pre-pandemic levels, the company explains that industry research and development aimed at next-generation technologies is accelerating. - FY2021Semiconductor shortages continue; recovery in billable hours delayedAnnual report
「Because the company's core design and development outsourcing business is positioned upstream in the production process, it believes that automakers' plant shutdowns and production cuts are unlikely to have a direct impact, such as contract cancellations. However, recovery in billable hours to pre-pandemic levels is expected to take time.」
While maintaining the view that plant shutdowns and production cuts will have limited direct impact, the company indicates for the full fiscal year that recovery in billable hours to pre-pandemic levels is expected to take time. - FY2021-Q3Expectations for recovery from production cuts and delayed recovery in billable hoursAnnual report
「Although some production adjustments due to semiconductor shortages continue, a recovery from production cuts is expected, and research and development budgets are expected to be maintained to achieve the government's stated goal of carbon neutrality and develop CASE technologies. Because the company's core design and development outsourcing business is positioned upstream in the production process, it believes that automakers' plant shutdowns and production cuts are unlikely to have a direct impact, such as contract cancellations. However, recovery in billable hours to pre-pandemic levels is expected to take time.」
The company maintains its expectations for a recovery in automotive demand and research and development budgets, as well as its view that plant shutdowns and production cuts will have limited direct impact on the design and development outsourcing business. Meanwhile, it states that production adjustments due to semiconductor shortages continue and that recovery in billable hours to pre-pandemic levels is expected to take time. - FY2021-Q2Expectations for recovery from production cuts and delayed recovery in billable hoursAnnual report
「Although some production adjustments are being made because of semiconductor shortages, demand lost through the spread of COVID-19 is gradually recovering, and research and development budgets are expected to be maintained for the development of CASE technologies. Because the company's core design and development outsourcing business is positioned upstream in the production process, it believes that automakers' plant shutdowns and production cuts are unlikely to have a direct impact, such as contract cancellations. However, recovery in billable hours to pre-pandemic levels is expected to take time.」
The company continues to believe that automotive demand will gradually recover and that plant shutdowns and production cuts will have limited direct impact on its design and development outsourcing business. Meanwhile, it newly states explicitly that recovery in billable hours to pre-pandemic levels is expected to take time. - FY2021-Q1Demand recovery and production adjustments due to the semiconductor shortageAnnual report
「In the automotive and automotive parts industries, where the Group operates its core businesses, some production adjustments are being made because of semiconductor shortages, but the decline in demand caused by the spread of COVID-19 is recovering. Production is expected to return to levels in line with the original plan, and research and development budgets are also expected to be maintained. Because the company's core design and development outsourcing business is positioned upstream in the production process, it believes that automakers' plant shutdowns and production cuts are unlikely to have a direct impact, such as contract cancellations. However, if COVID-19 persists or becomes more severe, it could affect business performance, so it is necessary to continue monitoring industry trends closely.」
While recovery in automotive demand and production activity is indicated, some production adjustments due to semiconductor shortages are identified as a new factor requiring attention. The view that plant shutdowns and production cuts will have limited direct impact on the design and development outsourcing business is maintained. - FY2020-Q3WorsenedAnnual report
「In the automotive and automotive parts industries, where the Group operates its core businesses, production adjustments have continued in response to the global decline in demand following the spread of COVID-19, leaving the outlook uncertain. Because the company's core design and development outsourcing business is positioned upstream in the production process, it believes that automakers' plant shutdowns and production cuts are unlikely to have a direct impact, such as contract cancellations. However, if the infectious disease persists or becomes more severe, it could affect business performance, so it is necessary to continue monitoring industry trends closely.」
The scope of the concern has expanded from domestic plant shutdowns and production cuts to the continued production adjustments resulting from a global decline in demand. However, the company continues to believe that the direct impact on its design and development outsourcing business, such as contract cancellations, is limited. - FY2020-Q2First statedAnnual report
「In the automotive and automotive parts industries where our Group operates its core business, it remains unclear how much impact the suspension of operations at domestic automakers' plants will have. Because our core design and development outsourcing business is positioned upstream of production, we believe that plant shutdowns and production cuts at automakers will have limited direct impact. However, prolonged or further worsening outbreaks of infectious disease could affect our business performance, so we need to continue monitoring industry trends.」
While domestic automakers have suspended plant operations, the company believes that the direct impact on its design and development outsourcing business is limited. It has newly described the possibility of an impact on business performance if plant shutdowns and production cuts are prolonged or the infectious disease becomes more severe.