Dependence on LCD-Related Fields and Risk of Demand Slowdown from the Shift to OLED
First written in FY2022. 6 of 17 entries say "Worsened", first in FY2023. Latest entry: FY2027-H1.
Ishii Hyoki moved to the "Worse" side of this theme in 2023, 1 year after the typical company in this theme (2022).
The whole theme swung hardest in 2023: 5 of 6 companies on the "Worse" side.
2 other companies' latest entry also says "Worsened".
- FY2027-H1WorsenedAnnual report
「In the LCD-related sector, demand for LCD panels has not recovered substantially enough to generate new demand for manufacturing equipment. Sales of production consumables increased as customers' factory utilization rates improved, among other factors, but net sales decreased year on year because there were no sales of LCD panel manufacturing equipment.」
There was no substantial recovery in demand for LCD panels. Although sales of production consumables increased, there were no sales of LCD panel manufacturing equipment, resulting in lower net sales in the LCD-related sector than in the same period of the previous year. - FY2026-H1WorsenedAnnual report
「In the liquid crystal-related field, there was no significant recovery in liquid crystal panel demand. Although customer demand for replacement production consumables increased, sales of liquid crystal panel manufacturing equipment declined, causing sales to decrease compared with the same period of the previous year.」
Liquid crystal panel demand did not recover significantly. Although demand for replacement consumables increased, sales of manufacturing equipment and sales in the field declined. - FY2025-H1ReframedAnnual report
「In the liquid crystal-related field, demand for liquid crystal panels remained stagnant and production adjustments by panel manufacturers continued. However, sales exceeded the same period of the previous year as sales of liquid crystal panel manufacturing equipment increased by capturing demand from new market entrants.」
While liquid crystal panel demand remained stagnant and production adjustments continued, the business shifted toward sales growth in liquid crystal panel manufacturing equipment driven by demand from new market entrants offsetting these factors. - FY2025-Q1RestatedAnnual report
「In the liquid crystal-related field, production adjustments by panel manufacturers continued as demand for liquid crystal panels declined. Sales of both production consumables and liquid crystal panel manufacturing equipment decreased, among other factors, causing sales to fall below the same period of the previous year.」
Declining liquid crystal panel demand and continued production adjustments by panel manufacturers have reduced sales of both production consumables and liquid crystal panel manufacturing equipment. - FY2024WorsenedAnnual report
「In the liquid crystal-related field, demand for liquid crystal panels for mobile monitors and other applications declined during the current consolidated fiscal year as stay-at-home and telework demand subsided. Production adjustments by panel manufacturers continued, and sales of both production consumables and liquid crystal panel manufacturing equipment decreased, resulting in lower sales. Over the longer term, demand for liquid crystal panels is expected to slow further as OLED adoption expands in display panels used in liquid crystal televisions and high-end smartphones.」
Declining liquid crystal panel demand and production adjustments reduced sales of both production consumables and manufacturing equipment. In addition, the Company indicated that liquid crystal demand is expected to slow further over the long term as OLED adoption expands. - FY2024-Q3WorsenedAnnual report
「In the liquid crystal-related field, production adjustments by panel manufacturers continued as liquid crystal panel demand declined following the end of stay-at-home demand. Sales of both production consumables and liquid crystal panel manufacturing equipment decreased, causing sales to fall below the same period of the previous year.」
As declining liquid crystal panel demand and production adjustments by panel manufacturers continued, sales that had previously been supported by large manufacturing equipment sales also declined in both production consumables and liquid crystal panel manufacturing equipment. - FY2024-Q2RestatedAnnual report
「In the liquid crystal-related field, panel manufacturers continue to adjust production as demand for liquid crystal panels has declined following the end of stay-at-home demand. Revenue increased through sales of large liquid crystal panel manufacturing equipment, but profit margins declined due to competition with other companies and surging raw material prices.」
Although demand for liquid crystal panels and production adjustments by panel manufacturers continued to decline, sales increased through sales of large manufacturing equipment. However, competition and higher raw material prices have reduced margins. - FY2024-Q1ReframedAnnual report
「In the liquid crystal-related field, sales increased year on year as the company sold large liquid crystal panel manufacturing equipment. However, profit margins declined due to competition with other companies and higher raw material prices.」
Although sales increased due to sales of large liquid crystal panel manufacturing equipment amid continued contraction in liquid crystal demand and lower sales of production consumables, pressure on profits became apparent due to competition and rising raw material prices. - FY2023WorsenedAnnual report
「In the liquid crystal-related field, demand for liquid crystal panels contracted as stay-at-home and telework demand subsided, and sales of production consumables declined. However, sales of production equipment for this field increased, resulting in higher overall sales. As demand for liquid crystal panels is expected to contract further, investment in large liquid crystal panels is also expected to decline.」
The contraction in liquid crystal panel demand and the decline in sales of production consumables materialized, while a future decline in investment in large liquid crystal panels was also explicitly indicated. - FY2023-Q3RestatedAnnual report
「In the liquid crystal panel market, sales of production consumables in this field continued to decline as production cuts resulting from falling panel prices continued.」
The decline in sales of production consumables associated with falling liquid crystal panel prices and production cuts is continuing. - FY2023-Q2RestatedAnnual report
「In the liquid crystal panel market, sales of production consumables in this field continued to decline as production cuts resulting from falling panel prices continued.」
Sales of production consumables continued to decline due to falling liquid crystal panel prices and production cuts. - FY2023-Q1MaterialisedAnnual report
「Sales of production consumables in the liquid crystal-related field decreased due in part to production cuts prompted by falling panel prices.」
The risk of dependence on the liquid crystal-related field and slowing demand materialized as falling panel prices, production cuts and lower sales of production consumables. - FY2022First statedAnnual report
「During the current consolidated fiscal year, production panel output remained high as demand for liquid crystal panels for mobile monitors and other applications increased due to stay-at-home demand and other factors. As a result, sales of production consumables increased, and the Group's profit dependence on the liquid crystal-related field grew. If the adoption of other display panels, such as OLED panels, expands and demand related to liquid crystal panels slows, sales of products in this field may decline and affect the Group's operating results and other aspects of its business.」
The Company identified for the first time, as a separate major risk, its increasing profit dependence on the liquid crystal-related field and the possibility that demand for liquid crystal panels could slow as OLED adoption expands.