Political, Regulatory and Human Resources Risks Associated with Overseas Business Expansion
First written in FY2018. 3 of 8 entries say "Worsened", first in FY2024. Latest entry: FY2026.
MS&Consulting moved to the "Worse" side of this theme in 2021, 1 year before the typical company in this theme (2022).
The whole theme swung hardest in 2024: 11 of 19 companies on the "Worse" side.
14 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「The amount of negative net worth at the insolvent company was ¥79.513 million as of the end of February 2026.」
The Thailand subsidiary's negative net worth increased from ¥67.545 million in the previous fiscal year to ¥79.513 million, increasing the financial risk of the overseas business. - FY2025WorsenedAnnual report
「The amount of negative net worth at the insolvent company was ¥67.545 million as of the end of February 2025.」
The Thailand subsidiary's negative net worth increased from ¥64.842 million in the previous fiscal year to ¥67.545 million. - FY2024WorsenedAnnual report
「The amount of negative net worth at the insolvent company was ¥64.842 million as of the end of February 2024.」
The disclosure identified the Thailand subsidiary's negative net worth of ¥64.842 million as a structural risk in the overseas business as of the end of February 2024. - FY2022MaterialisedAnnual report
「In Thailand during the fiscal year ended December 2021 and Taiwan during the fiscal year ended February 2022, as in Japan, postponements or cancellations of MSR and consulting occurred in both countries due to the spread of COVID-19, resulting in a severe impact on full-year performance.」
Social and infectious disease risks associated with overseas expansion materialized as the postponement or cancellation of MSR and consulting services at both subsidiaries in Thailand and Taiwan, with a significant impact on full-year results. - FY2021MaterialisedAnnual report
「In Thailand during the fiscal year ended December 2020, as in Japan, postponements or cancellations of MSR and consulting occurred due to the spread of COVID-19, resulting in a severe impact on full-year performance.」
Risks related to infectious diseases and the social environment in the overseas business actually materialized as postponements or cancellations of MSR and consulting at the Thai subsidiary and a severe impact on full-year performance. - FY2020RestatedAnnual report
「If business plans are delayed due to political instability, changes in legal systems such as customs and tax laws, changes in various financial and import/export regulations, strikes, terrorism, riots, difficulty securing personnel, or unforeseeable events in the social environment, or if the number of customer companies declines due to a failure to respond appropriately, resulting in damage to the Group’s reputation and corporate image, this could affect the Group’s operating results and financial condition.」
The risks of delays in business plans and a decline in customers due to political conditions, institutions, regulations, the social environment, and difficulty securing personnel associated with overseas business remain ongoing. - FY2019RestatedAnnual report
「If business plans are delayed due to political instability, changes in legal systems such as customs and tax laws, changes in various financial and import/export regulations, strikes, terrorism, riots, difficulty securing personnel, or unforeseeable events in the social environment, this could affect the Group’s operating results and financial condition.」
The risk of delays in business plans due to political conditions, institutions, regulations, the social environment, and difficulty securing personnel in connection with overseas business remains ongoing. - FY2018First statedAnnual report
「The Group carefully monitors developments in overseas markets and seeks to respond appropriately. However, if business plans are delayed due to political instability, changes in legal systems such as customs and tax laws, changes in various financial and import/export regulations, strikes, terrorism, riots, difficulty securing personnel, or unforeseeable events in the social environment, this could affect the Group’s operating results and financial condition.」
The disclosure indicates that uncertainty in political conditions, legal systems, regulations, the social environment, and personnel recruitment associated with overseas expansion could lead to delays in business plans and a decline in customers.