Risk of a Decline in Capital Investment in Secondary Battery Manufacturing Equipment and Other Products
First written in FY2018. 6 of 13 entries say "Mitigated", first in FY2021-Q2. Latest entry: FY2023.
Klass moved to the "Worse" side of this theme in 2019, the same year as the typical company in this theme.
The whole theme swung hardest in 2019: 13 of 26 companies on the "Worse" side.
13 other companies' latest entry also says "Mitigated".
- FY2023MitigatedAnnual report
「In the Industrial Equipment segment, repeat orders for the main product, secondary-battery production equipment, were extremely strong, and inquiries for other production equipment projects also increased. The order backlog for secondary-battery production equipment also accumulated toward the end of the fiscal year.」
In response to the risk of weak orders caused by lower customer capital investment, repeat orders and the order backlog for secondary-battery production equipment increased, and Industry segment sales rose 49.5% year on year. - FY2023-Q2MitigatedAnnual report
「The industrial equipment business continued to benefit from increased repeat orders for our main product, secondary-battery manufacturing equipment, and increased inquiries for other production-equipment projects from the first quarter of the fiscal year. We secured orders exceeding our annual sales target and completed and shipped existing orders as scheduled.」
In response to the risk of weak orders caused by lower customer capital investment, repeat orders and inquiries increased, and the company secured orders exceeding its annual sales target. - FY2022MitigatedAnnual report
「Along with the completion of the Production Headquarters Building and New Assembly Building in April 2022, inquiries and orders from major customers have increased steadily.」
Against weak orders caused by lower customer capital investment, inquiries and orders from major customers increased following completion of the new plant. Industry segment orders received totaled ¥1,499 million, and the order backlog was ¥716 million. - FY2022-Q1MitigatedAnnual report
「In the industrial equipment business, repeat orders for our main product, secondary-battery manufacturing equipment, increased, while inquiries for other production-equipment projects also increased.」
In response to weak orders for secondary-battery production equipment due to lower customer capital investment, inquiries for repeat orders and other production equipment projects increased. - FY2021MitigatedAnnual report
「Orders for the company’s main product, secondary-battery production equipment, are expected to increase steadily as investment in EVs expands further. During the consolidated fiscal year, shipments of secondary-battery production equipment began to recover, while shipments of other industrial equipment also remained strong.」
Against weak orders caused by declining customer capital investment since the previous fiscal year, shipments of secondary-battery production equipment recovered, and expectations were expressed for higher orders accompanying expanded EV investment. - FY2021-Q3RestatedAnnual report
「Although the automotive industry was beginning to recover, inquiries for the company had not recovered, and segment sales during the quarter were ¥439 million, with an operating loss of ¥12 million.」
Although the automotive industry was beginning to recover, inquiries for ROSECC had not yet recovered, and the New Industry segment posted an operating loss. - FY2021-Q2MitigatedAnnual report
「During the quarter, despite the impact of COVID-19 on its primary target market, the automotive industry, the segment benefited from several large-scale projects. Segment sales were ¥357 million and operating profit was ¥3 million.」
The previous quarter showed stagnation in capital investment and declining orders in the automotive industry, ROSECC’s principal sales market, but the segment benefited from large-scale projects during the quarter, and the New Industry segment became profitable. - FY2021-Q1WorsenedAnnual report
「This segment consists of ROSECC, which became a subsidiary on 1 October 2020. ROSECC is a fabless company that primarily plans, develops and sells various automation systems for the automotive industry using water-jet and robotics technologies. It aims to expand into industries where these technologies can be applied, and because it has both business affinity and complementary potential with the company’s operations, the company has high expectations for future business expansion through synergies. During the quarter, capital investment stagnated and orders declined in the automotive industry, its principal sales market, due in part to the impact of COVID-19.」
Capital investment stagnated in the automotive industry, ROSECC’s principal sales market, and the risk of lower capital investment newly materialized as a decline in orders. - FY2020MaterialisedAnnual report
「Because investment declined amid changes in conditions including deteriorating US-China relations, orders for secondary-battery production equipment from major engineering companies fell below plan, while orders for other equipment projects were broadly sluggish.」
Lower capital investment by customer companies materialized as orders for secondary-battery production equipment and related products falling short of plan, along with a sharp decline in industrial equipment sales. - FY2020-Q3RestatedAnnual report
「In the Industrial Equipment Business, orders received were shipped and recorded as sales as scheduled, but orders for equipment related to secondary battery manufacturing equipment had not recovered.」
Weak order intake due to lower customer investment in secondary-battery production equipment and related products continues, and orders have not recovered. - FY2020-Q2WorsenedAnnual report
「Orders for equipment related to secondary battery manufacturing equipment fell sharply as investment by Chinese companies declined.」
The decline in investment by Chinese companies materialized as a decline in orders related to secondary-battery production equipment, making the risk of lower capital investment more specific than in the previous quarter. - FY2019WorsenedAnnual report
「During the fiscal year, orders received totaled ¥977.785 million, or 63.5% of the year-earlier period, while the order backlog totaled ¥156.438 million, or 30.9% of the year-earlier period.」
Order intake and the order backlog in the Industry segment, which includes secondary-battery production equipment, fell below the year-earlier period. While concerns over the US-China trade friction were also expressed, the company stated that orders and sales for projects planned for the period were carried out reliably. - FY2018First statedAnnual report
「If major manufacturers of secondary-battery production equipment and related products, which currently continue to receive strong orders, reduce their capital investment, this may affect the company’s performance.」
The strong order intake in the Industry segment is shown to depend in part on capital investment by customer companies.