Risk of declining demand due to global economic fluctuations
First written in FY2017. 12 of 14 entries say "Worsened", first in FY2019. Latest entry: FY2026-H1.
Japan Display moved to the "Worse" side of this theme in 2019, 2 years before the typical company in this theme (2021).
The whole theme swung hardest in 2023: 44 of 69 companies on the "Worse" side.
7 other companies' latest entry also says "Worsened".
- FY2026-H1WorsenedAnnual report
「In addition to the structural downturn in the display industry, the business environment surrounding the group remains challenging because of US tariff policies and an unstable international situation, among other factors.」
Regarding the risk of declining demand due to fluctuations in the global economy, the Company cited the prolonged structural downturn in the display industry, U.S. tariff policies and continued instability in international affairs as contributing factors. - FY2025-H1WorsenedAnnual report
「Sales in the smartwatches, VR and other fields for the six-month consolidated period were ¥30,526 million, down 23.9% year on year. Their share of total sales fell to 29.7% from 33.4% in the same period of the previous year.」
The challenging global consumer environment and declining demand for VR displays materialized as a 23.9% year-on-year decline in sales in the smart-watch, VR and other fields. - FY2024-Q2WorsenedAnnual report
「The business environment became difficult, as forecast at the beginning of the fiscal year, due to consumers postponing purchases of consumer electronics amid global inflation and persistently high materials and energy costs, among other factors.」
Global inflation manifested itself in reduced consumer-electronics purchases, and the risk of declining demand continued. - FY2024-Q1WorsenedAnnual report
「As sluggish demand for consumer electronics against a backdrop of global inflation and continued increases in material and energy costs made conditions challenging, the situation was as severe as forecast in May.」
Global inflation and rising material and energy costs continued to result in sluggish demand for consumer electronics and a challenging business environment. - FY2023WorsenedAnnual report
「Demand for displays for VR equipment and wearable devices declined due to higher prices and manufacturers' product price increases, among other factors, resulting in lower sales than in the previous fiscal year.」
Global inflation and higher prices manifested themselves in declining demand for consumer equipment, and sales in the non-mobile segment fell 15.3% year on year. - FY2023-Q3WorsenedAnnual report
「Slowing demand for consumer devices due to surging global inflation」
Worldwide accelerating inflation slowed demand for consumer equipment, and sales of displays for VR equipment fell sharply in the non-mobile segment. The decline in demand caused by fluctuations in the global economy became more evident in actual results. - FY2023-Q1WorsenedAnnual report
「On the other hand, soaring global raw-material costs against the backdrop of the recent international situation surrounding Ukraine, higher power and transportation costs due to tight energy supply and demand, some constraints on the procurement of components owing to continued shortages of semiconductors, and declining global consumption may delay a return to profitability through an early recovery in performance and have a material impact on the Group's cash management. In light of these factors, material uncertainty regarding the going concern assumption exists at this time.」
The situation in Ukraine, rising raw-material, energy and transportation costs, semiconductor supply shortages and a global decline in consumption were specified as factors delaying the recovery in performance and affecting cash management. - FY2022WorsenedAnnual report
「If economic conditions in Japan and overseas deteriorate, demand for the company’s products incorporated into those finished goods may decline, for example, making the business environment surrounding the Group more challenging and potentially affecting its business, performance and financial position.」
Risks from fluctuations in the global economy materialized in the year's business environment as deterioration in demand and supply conditions due to semiconductor shortages, higher prices and the situation in Ukraine, among other factors. - FY2021-Q1WorsenedAnnual report
「Sales in the automotive business, centered on automotive displays such as instrument clusters and head-up displays, totaled ¥14.769 million, accounting for 16.8% of total sales and down 42.1% year on year.」
The global decline in demand for automotive displays amid major production adjustments in the automotive industry was reflected in a 42.1% year-on-year decrease in automotive sales. - FY2020WorsenedAnnual report
「Revenue from the automotive sector was ¥103,562 million, accounting for 20.5% of total revenue, down 7.8% year on year. Demand for automotive displays stagnated against a backdrop of sluggish automobile sales in major regions due to the slowdown in the Chinese economy and the impact of US–China trade friction, among other factors.」
The slowdown in automobile demand in the global economy, particularly in China, Europe and the United States, was reflected in a 7.8% year-on-year decline in automotive sales, and the impact of demand-decline risk increased. - FY2020-Q1WorsenedAnnual report
「Although the number of displays installed in vehicles and display sizes are increasing in the automotive display market, revenue in this segment declined both year on year and quarter on quarter against the backdrop of slowing vehicle sales in China, followed by Europe and the United States.」
Slowing vehicle sales in China, Europe and the United States resulted in year-on-year and quarter-on-quarter declines in automotive sales. The company stated that the risk of declining demand due to fluctuations in the global economy had also extended to the automotive segment. - FY2019WorsenedAnnual report
「Shipments of display products remained sluggish as global market growth slowed due to the slowdown in the Chinese economy and longer replacement cycles, among other factors.」
The slowdown in the global economy, particularly China’s economy, became evident in sluggish growth in display demand and shipment volumes. - FY2018RestatedAnnual report
「Because the Group operates around the world, fluctuations in the global economy may cause demand for display products to rise or fall and may affect its business, operating results and financial condition.」
The company reiterated the risk that fluctuations in the global economy could affect demand and business performance. - FY2017First statedAnnual report
「Because the Group operates around the world, fluctuations in the global economy may cause demand for display products to rise or fall and may affect its business, operating results and financial condition.」
The company identified the impact of fluctuations in the global economy on demand for small- and medium-sized displays, business performance, and financial position as a new risk item.