Declining Overseas Price Competitiveness During Yen Appreciation and Foreign Exchange Risk
First written in FY2016. 3 of 14 entries say "Worsened", first in FY2024-Q3. Latest entry: FY2026-H1.
The whole theme swung hardest in 2025: 13 of 16 companies on the "Worse" side.
3 other companies' latest entry also says "Other".
- FY2026-H1Decrease in foreign exchange lossesAnnual report
「Foreign exchange losses 13,338 6,943」
Foreign exchange losses decreased from ¥13,338 thousand in the same period of the previous year to ¥6,943 thousand in the current interim consolidated accounting period, but foreign exchange losses continued to be recorded. - FY2025WorsenedAnnual report
「Foreign exchange losses 10,661 14,956」
Consolidated foreign exchange losses increased from ¥10,661 thousand in the previous fiscal year to ¥14,956 thousand, expanding realized losses from exchange-rate fluctuations. - FY2025-H1WorsenedAnnual report
「Foreign exchange losses - 13,338」
Foreign exchange losses of ¥13,338 thousand were recorded for the current interim consolidated accounting period, despite no such loss having been recorded in the same period of the previous year, increasing non-operating expenses from foreign exchange losses attributable to overseas unpaid taxes. - FY2024MitigatedAnnual report
「However, during the current fiscal year, the Japanese economy as a whole has been affected by historically weak yen. As long as this situation continues, the impact on our performance will be limited, as described above, because our overseas procurement ratio is low and procurement is primarily domestic.」
It explains that even while historically weak yen continues, the impact on performance is limited because procurement is primarily domestic. - FY2024-Q3WorsenedAnnual report
「Foreign exchange losses 4,077 14,392」
Foreign exchange losses increased from ¥4,077 thousand in the same period of the previous year to ¥14,392 thousand, turning from foreign exchange gains through the previous quarter to foreign exchange losses. - FY2024-Q2Change to a foreign exchange gainAnnual report
「Foreign exchange gains 6,207 6,634」
Foreign exchange gains of ¥6,634 thousand were recorded for the cumulative second-quarter period of the current fiscal year, compared with ¥6,207 thousand in the same period of the previous year. - FY2024-Q1Decrease in foreign exchange lossesAnnual report
「Foreign exchange losses 5,132 989」
Foreign exchange losses decreased from ¥5,132 thousand in the same period of the previous year to ¥989 thousand in the first quarter of the current fiscal year, but losses from exchange-rate fluctuations continued to be recorded. - FY2023-Q3MaterialisedAnnual report
「Foreign exchange losses - 4,077」
Foreign exchange losses of ¥4,077 thousand were recorded for the nine-month consolidated period of the current fiscal year, confirming a realized loss from exchange-rate fluctuations. - FY2023-Q1MaterialisedAnnual report
「Foreign exchange losses 974 5,132」
Foreign exchange losses increased from ¥974 thousand in the same period of the previous year to ¥5,132 thousand in the first quarter of the current fiscal year, confirming that losses from exchange-rate fluctuations were recorded. - FY2022MitigatedAnnual report
「However, during the current fiscal year, the Japanese economy as a whole has been affected by historically weak yen. As long as this situation continues, the impact on our performance will be limited, as described above, because our overseas procurement ratio is low and procurement is primarily domestic.」
Although the yen has weakened historically, it explains that the impact on performance is limited because procurement is primarily domestic and the overseas procurement ratio is low. - FY2022-Q3ReframedAnnual report
「The record-breaking weakness of the yen is affecting the economy as a whole.」
It describes a change in the foreign exchange environment, with record yen weakness affecting the economy as a whole in addition to the previously stated decline in overseas price competitiveness when the yen strengthens and foreign exchange fluctuation risk. - FY2020ReframedAnnual report
「Our Group conducts transactions with numerous overseas companies, and overseas sales account for more than 80% of total sales. Accordingly, if the yen trends stronger, foreign exchange losses may arise, and our price competitiveness may decline relative to overseas competitors, potentially adversely affecting performance.」
In addition to foreign exchange losses and reduced price competitiveness resulting from yen appreciation, it explicitly states that overseas sales account for more than 80% and presents higher overseas procurement costs when the yen weakens as an additional risk. - FY2017RestatedAnnual report
「In these yen-denominated transactions, we may be at a disadvantage relative to overseas manufacturers in terms of price competitiveness when the yen strengthens. In exceptional cases involving foreign-currency-denominated transactions, we generally enter into forward exchange contracts as a measure against foreign exchange risk. However, sudden exchange-rate fluctuations may give rise to foreign exchange risk.」
It reiterates the risk of reduced price competitiveness when the yen strengthens and sudden exchange-rate fluctuations in foreign-currency-denominated transactions. - FY2016First statedAnnual report
「In these yen-denominated transactions, we may be at a disadvantage relative to overseas manufacturers in terms of price competitiveness when the yen strengthens. In exceptional cases involving foreign-currency-denominated transactions, we generally enter into forward exchange contracts as a measure against foreign exchange risk. However, sudden exchange-rate fluctuations may give rise to foreign exchange risk, which could affect the performance of our Group.」
It identifies reduced competitiveness in yen-denominated transactions when the yen strengthens and sudden exchange-rate fluctuations in foreign-currency-denominated transactions as risks.