Risks Related to Business Practices, Geopolitics and Receivables Collection Associated with the Expansion of Overseas Transactions
First written in FY2021. 1 of 3 entries say "Mitigated", first in FY2025. Latest entry: FY2026.
Nakamura Choukou moved to the "Worse" side of this theme in 2026.
0 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「Overseas sales accounted for 49.7% of our group's consolidated revenue in the fiscal year ending March 2026. Overseas transactions will temporarily decline significantly because the spinning nozzles for man-made fibers business, which had a high overseas sales ratio, was separated from our group. However, as we plan to increase overseas sales volumes of diamond wire in the D-Next business, it will remain necessary to address risks related to overseas transactions.」
The overseas sales ratio rose from 45.2% to 49.7%. The plan to expand overseas sales in the D-Next business following the separation of the spinning nozzles for man-made fibers business was disclosed, and the need to continue addressing overseas transaction risks was expressly stated. - FY2025MitigatedAnnual report
「Overseas sales accounted for a high 45.2% of our group's consolidated revenue in the fiscal year ended March 2025. In view of market trends for the products handled by our group, we believe our overseas focus will continue to intensify. Accordingly, we are strengthening legal reviews of various contracts to prevent problems arising from differences in business practices and implementing thorough credit management, including increasing the proportion of advance payments to ensure the security of accounts receivable collection.」
While the overseas sales ratio remained high at 45.2%, it declined from 47.1% in the previous disclosure, and specific management measures, including stronger legal reviews and a higher proportion of advance payments, were described. - FY2021First statedAnnual report
「Overseas sales accounted for a high 47.1% of our group's consolidated revenue during the fiscal year. In view of market trends for the products handled by our group, we believe our overseas focus will continue to intensify. However, overseas transactions may also give rise to unexpected problems due to geopolitical and other factors. If such problems materialize, they could affect our group's performance and financial position.」
With overseas sales accounting for 47.1%, risks associated with overseas transactions, including differences in business practices, geopolitical factors and collection of accounts receivable, were identified separately. Legal reviews and credit management measures, including increasing the proportion of advance payments, were also described.