Foreign Exchange Risk Arising from Overseas Sales
First written in FY2016. 16 of 33 entries say "Worsened", first in FY2017-Q1. Latest entry: FY2026-H1.
Icom moved to the "Worse" side of this theme in 2023, 4 years after the typical company in this theme (2019).
The whole theme swung hardest in 2019: 11 of 22 companies on the "Worse" side.
4 other companies' latest entry also says "Other".
- FY2026-H1Lower proportion of overseas sales alongside the impact of yen appreciationAnnual report
「The average exchange rates applied during the period were ¥146.42 to the US dollar and ¥165.35 to the euro, respectively. Compared with the same period of the previous year, the yen remained 4.7% stronger against the US dollar and 0.6% stronger against the euro.」
The overseas sales ratio fell from 70.1% in the same period of the previous year to 64.3%, while the yen remained stronger than expected, becoming a factor behind the decline in sales in overseas markets. Although the scale of foreign-exchange exposure is trending downward, the impact of yen appreciation on operating results continues. - FY2025-H1WorsenedAnnual report
「The average exchange rates applied during the period were ¥153.70 to the US dollar and ¥166.35 to the euro, respectively. Compared with the same period of the previous year, the yen remained 10.9% weaker against the US dollar and 10.6% weaker against the euro.」
While yen depreciation provided a tailwind for sales, the company incurred a foreign-exchange loss of ¥373 million in the interim period, compared with a foreign-exchange gain of ¥589 million in the same period of the previous year. The overseas sales ratio remained high at 70.1%, and the impact of foreign-exchange exposure on earnings has become more adverse. - FY2024-Q3WorsenedAnnual report
「Overseas total 17,180 68.4 19,773 71.7 15.1」
The overseas sales ratio rose from 68.4% in the same period of the previous year to 71.7%, expanding the sales base exposed to exchange-rate fluctuations. The company recorded a foreign-exchange gain of ¥308 million due to yen depreciation, but foreign-exchange exposure itself has expanded. - FY2024-Q2WorsenedAnnual report
「The average exchange rates applied during the period were ¥138.56 to the US dollar and ¥150.45 to the euro, respectively. Compared with the same period of the previous year, the yen remained 6.7% weaker against the US dollar and 10.0% weaker against the euro.」
The overseas sales ratio rose from 66.8% in the same period of the previous year to 71.7%, expanding the sales base exposed to exchange-rate fluctuations. Yen depreciation generated a foreign-exchange gain of ¥589 million during the period, but foreign-exchange exposure itself has expanded. - FY2024-Q1WorsenedAnnual report
「Overseas total 4,973 61.9 6,214 71.8 25.0 Total 8,035 100.0 8,656 100.0 7.7」
The overseas sales ratio rose from 61.9% in the same period of the previous year to 71.8%, expanding the sales base exposed to exchange-rate fluctuations. The yen was weaker against both the US dollar and the euro than in the same period of the previous year, and the company recorded a foreign-exchange gain of ¥406 million. - FY2023WorsenedAnnual report
「Overseas sales accounted for a high proportion of the Group’s consolidated net sales, at 56.2% in the fiscal year ended March 2021, 63.3% in the fiscal year ended March 2022 and 67.0% in the fiscal year ended March 2023」
The overseas sales ratio rose from 63.3% in the previous fiscal year to 67.0%, expanding the sales base exposed to exchange-rate fluctuations. The Group has continued to expand the procurement of raw materials through foreign-currency payments as a countermeasure. - FY2023-Q3MitigatedAnnual report
「The average exchange rates applied during the period were ¥134.72 to the US dollar and ¥139.24 to the euro, respectively. Compared with the same period of the previous year, the yen remained 21.9% weaker against the US dollar and 6.5% weaker against the euro.」
The yen was weaker against both the US dollar and the euro than in the same period of the previous year, and the company recorded a foreign-exchange gain of ¥128 million, mitigating the impact on earnings for the cumulative period of the current quarter compared with the same period of the previous year. Meanwhile, the overseas sales ratio rose to 68.4%, and foreign-exchange exposure remains. - FY2023-Q2MitigatedAnnual report
「The average exchange rates applied during the period were ¥129.81 to the US dollar and ¥136.80 to the euro, respectively. Compared with the same period of the previous year, the yen remained 18.5% weaker against the US dollar and 4.6% weaker against the euro.」
The yen was weaker against both the US dollar and the euro than in the same period of the previous year, and the company recorded a foreign-exchange gain of ¥591 million. Although foreign-exchange exposure related to overseas sales remains, the impact on earnings for the cumulative period of the current quarter was mitigated by yen depreciation. - FY2023-Q1MitigatedAnnual report
「The average exchange rates applied during the period were ¥123.95 to the US dollar and ¥134.11 to the euro, respectively. Compared with the same period of the previous year, the yen remained 13.8% weaker against the US dollar and 2.7% weaker against the euro.」
The yen was weaker against both the US dollar and the euro than in the same period of the previous year, and the company recorded a foreign-exchange gain of ¥417 million. Although foreign-exchange exposure related to overseas sales remains, the impact on earnings in the current quarter was mitigated by yen depreciation. - FY2022WorsenedAnnual report
「Overseas sales accounted for a high proportion of the consolidated net sales of the Group, at 56.5% in the fiscal year ended March 2020, 56.2% in the fiscal year ended March 2021 and 63.3% in the fiscal year ended March 2022. Although the Group has taken measures including expanding the procurement of raw materials through foreign-currency payments, fluctuations in exchange rates may affect the Group’s operating results and financial position.」
The overseas sales ratio rose to 63.3%, expanding foreign-exchange exposure from 56.2% in the previous fiscal year. The Group has continued to expand the procurement of raw materials through foreign-currency payments as a countermeasure. - FY2022-Q3MitigatedAnnual report
「The average exchange rates applied during the period were ¥110.48 to the US dollar and ¥130.70 to the euro, respectively. Compared with the same period of the previous year, the yen remained 3.9% weaker against the US dollar and 7.0% weaker against the euro.」
The exchange-rate environment changed from yen appreciation in the same period of the previous year to yen depreciation against both the US dollar and the euro, and the company recorded a foreign-exchange gain of ¥101 million. Although foreign-exchange exposure related to overseas sales remains, the exchange-rate environment and its impact on earnings for the cumulative period of the current quarter were less adverse than in the same period of the previous year. - FY2022-Q2MitigatedAnnual report
「The average exchange rates applied during the period were ¥109.52 to the US dollar and ¥130.82 to the euro, respectively. Compared with the same period of the previous year, the yen remained 2.3% weaker against the US dollar and 8.5% weaker against the euro.」
The exchange-rate environment changed from yen appreciation in the same period of the previous year to yen depreciation against both the US dollar and the euro. Although foreign-exchange exposure related to overseas sales remains, the exchange-rate environment in the current quarter was less adverse than in the same period of the previous year. - FY2022-Q1MitigatedAnnual report
「The average exchange rates applied during the period were ¥108.94 to the US dollar and ¥130.64 to the euro, respectively, with the yen trading 1.3% weaker against the US dollar and 11.0% weaker against the euro than in the same period of the previous year.」
The exchange-rate environment changed from yen appreciation against the US dollar and euro in the same period of the previous year to yen depreciation against both currencies in the current quarter. Although foreign-ex exchange exposure related to overseas sales remains, the exchange-rate environment has become less adverse than in the same period of the previous year. - FY2021RestatedAnnual report
「Overseas sales accounted for a high proportion of the Group's consolidated net sales, at 55.0% in the fiscal year ended March 2019, 56.5% in the fiscal year ended March 2020 and 56.2% in the fiscal year ended March 2021. Although the Group is taking measures such as expanding the procurement of raw materials denominated in foreign currencies, fluctuations in foreign-exchange rates may affect the Group's operating results and financial position.」
Overseas sales accounted for 56.2%, a high proportion, and expanding the procurement of foreign-currency-denominated raw materials is identified as a measure. No material change in foreign-exchange exposure itself is indicated. - FY2021-Q3RestatedAnnual report
「The average exchange rates applied during the period were ¥106.36 to the US dollar and ¥122.13 to the euro, respectively, with the yen trading 2.4% stronger against the US dollar and 0.2% weaker against the euro than in the same period of the previous year.」
The yen appreciated against the US dollar but depreciated slightly against the euro, and the company continues to identify foreign-exchange exposure arising from overseas sales. A foreign-exchange gain of ¥12 million was also recorded, with no material change in the risk indicated. - FY2021-Q2WorsenedAnnual report
「The average exchange rates applied during the period were ¥107.05 to the US dollar and ¥120.62 to the euro, respectively, and the yen traded 2.1% and 1.9% stronger against the US dollar and euro, respectively, than in the same period of the previous year.」
The yen was at a stronger-yen level against both the US dollar and euro year on year, and the impact of foreign exchange and other factors contributed to the decrease in gross profit. Ordinary loss was ¥225 million, and the impact on performance of foreign-exchange exposure arising from overseas sales continues. - FY2021-Q1WorsenedAnnual report
「The average exchange rates applied during the cumulative first quarter were ¥107.58 to the US dollar and ¥117.68 to the euro, respectively, and the yen traded 3.1% and 5.5% stronger against the US dollar and euro, respectively, than in the same period of the previous year.」
The yen was at a stronger-yen level against both the US dollar and euro year on year, and the impact of foreign exchange and other factors was identified as a factor behind the decrease in gross profit. The impact on performance of foreign-exchange exposure arising from overseas sales continues. - FY2020WorsenedAnnual report
「The average exchange rates applied during the consolidated fiscal year were ¥109.08 to the US dollar and ¥121.73 to the euro, respectively, with the yen at stronger-yen levels of 0.5% and 4.6%, respectively, compared with the same period of the previous year.」
Overseas sales accounted for 56.5%, a high proportion, and the yen was at a stronger-yen level against both the US dollar and euro year on year. A foreign-exchange loss of ¥181 million was also recorded, indicating that the impact of foreign exchange continued in the fiscal-year results. - FY2020-Q3WorsenedAnnual report
「The average exchange rates applied during the cumulative third quarter were ¥108.93 to the US dollar and ¥121.92 to the euro, respectively, with both currencies at stronger-yen levels than in the same period of the previous year, by 0.5% for the US dollar and 5.0% for the euro.」
The yen was at a stronger-yen level against both the US dollar and euro year on year, and a foreign-exchange loss of ¥87 million was recorded. The impact on performance of foreign-exchange movements arising from overseas sales had again materialised in the results. - FY2020-Q2WorsenedAnnual report
「The average exchange rates applied during the cumulative second quarter were ¥109.32 to the US dollar and ¥122.97 to the euro, respectively, with the US dollar at a 0.8% weaker-yen level and the euro at a 4.3% stronger-yen level compared with the same period of the previous year.」
Against a ¥217 million foreign-exchange gain in the same period of the previous year, a ¥177 million foreign-exchange loss was incurred in the current period. The stronger-yen level against the euro was also evident, and the impact on performance of foreign-exchange movements arising from overseas sales had again materialised in the results. - FY2020-Q1WorsenedAnnual report
「The average exchange rates applied during the cumulative first quarter were ¥111.03 to the US dollar and ¥124.57 to the euro, respectively, with the US dollar at a 3.9% weaker-yen level and the euro at a 3.7% stronger-yen level compared with the same period of the previous year. Ordinary income was ¥341 million, down 1.4% year on year, due in part to the recording of a foreign-exchange loss」
Against a ¥100 million foreign-exchange gain in the same period of the previous year, a ¥119 million foreign-exchange loss was incurred in the current quarter. The US dollar was at a weaker-yen level and the euro at a stronger-yen level, worsening the impact of foreign-exchange movements on ordinary income compared with the same period of the previous year. - FY2019MitigatedAnnual report
「Overseas sales accounted for a high proportion of the Group's consolidated net sales, at 66.9% in the fiscal year ended March 2017, 67.6% in the fiscal year ended March 2018 and 55.0% in the fiscal year ended March 2019, and fluctuations in foreign-exchange rates may affect the Group's operating results.」
The proportion of overseas sales declined to 55.0%, but the company continues to identify foreign-exchange risk as high. While both the US dollar and euro were at stronger-yen levels year on year, the company recorded a ¥165 million foreign-exchange gain in the current period. - FY2019-Q3RestatedAnnual report
「The average exchange rates applied during the cumulative third quarter were ¥109.43 to the US dollar and ¥128.38 to the euro, respectively, and the yen traded 1.1% stronger against the US dollar and 1.8% weaker against the euro than in the same period of the previous year.」
The yen appreciated against the US dollar but depreciated against the euro, with the direction differing by currency. Although foreign-exchange exposure arising from overseas sales continues, the company does not state that there was any material change in the risk. - FY2019-Q2RestatedAnnual report
「The average exchange rates applied during the cumulative second quarter were ¥108.46 to the US dollar and ¥128.54 to the euro, respectively, and the yen traded 1.7% stronger against the US dollar and 4.7% weaker against the euro than in the same period of the previous year.」
The yen appreciated against the US dollar but depreciated against the euro, with the direction differing by currency. The foreign-exchange gain was ¥217 million, and although foreign-exchange exposure arising from overseas sales continues, no material change in the risk is reported. - FY2019-Q1RestatedAnnual report
「The average exchange rates applied during the cumulative first quarter were ¥106.89 to the US dollar and ¥129.42 to the euro, respectively, and the yen traded 3.5% stronger against the US dollar and 8.6% weaker against the euro than in the same period of the previous year.」
The impact of yen appreciation and depreciation differed by currency, and a ¥100 million foreign-exchange gain was recorded. Foreign-exchange exposure arising from overseas sales continues, with no material change in the overall risk indicated. - FY2018-Q3MitigatedAnnual report
「The average exchange rates applied during the cumulative third quarter were ¥110.68 to the US dollar and ¥126.12 to the euro, respectively, and the yen traded 5.1% and 7.7% weaker against the US dollar and euro, respectively, than in the same period of the previous year.」
The yen shifted from the appreciation phase seen through the same period of the previous year to weaker levels, resulting in a ¥252 million foreign-exchange gain. Foreign-exchange exposure arising from overseas sales remains, but the impact of foreign exchange on profit and loss was lower on a cumulative basis for the current quarter. - FY2018-Q2MitigatedAnnual report
「Following a ¥195 million foreign-exchange gain, the ordinary loss was ¥130 million, compared with an ordinary loss of ¥183 million in the same period of the previous year, an improvement of ¥52 million from the same period of the previous year」
Against a ¥469 million foreign-exchange loss in the same period of the previous year, a ¥195 million foreign-exchange gain was recorded in the current quarter, reducing the impact of foreign exchange on the ordinary loss compared with the same period of the previous year. - FY2018-Q1MitigatedAnnual report
「As the ¥420 million foreign-exchange loss recorded in the same period of the previous year became a ¥92 million foreign-exchange gain in the current period, the loss improved by ¥6 million year on year to ¥210 million,」
The ¥420 million foreign-exchange loss incurred in the same period of the previous year became a ¥92 million foreign-exchange gain in the current quarter. Foreign-exchange exposure arising from overseas sales remains, but the impact of foreign exchange on profit and loss was lower than in the same period of the previous year. - FY2017WorsenedAnnual report
「Overseas sales accounted for a high proportion of the Group's consolidated net sales, at 68.4% in the fiscal year ended March 2015, 67.1% in the fiscal year ended March 2016 and 66.9% in the fiscal year ended March 2017, and fluctuations in foreign-exchange rates may affect the Group's performance.」
Overseas sales accounted for 66.9%, a high proportion, and the rapid appreciation of the yen in the first half of the fiscal year had a significant impact on performance. For the full fiscal year, net sales decreased 10.4%, operating income decreased 69.1%, and ordinary income decreased 69.2%, confirming the impact of foreign-exchange movements in the fiscal-year results. - FY2017-Q3WorsenedAnnual report
「During the cumulative third quarter, the yen appreciated sharply against other currencies throughout the first half, although conditions remained unstable, with the yen turning weaker toward the end of the third quarter. The Group was in a position where a sharp appreciation of the yen would have a significant impact on performance.」
The yen appreciated throughout the first half, and the company states that sharp foreign-exchange movements had a significant impact on performance. Cumulative net sales decreased 12.7% year on year, operating income decreased 93.1%, and ordinary income decreased 94.4%, quantifying the deterioration in performance, including the impact of foreign exchange. - FY2017-Q2WorsenedAnnual report
「During the cumulative second quarter, the yen appreciated sharply against other currencies, and its impact was spreading broadly. Ordinary income decreased by ¥1,022 million year on year to an ordinary loss of ¥183 million, due in part to foreign-exchange valuation losses of ¥469 million.」
The impact of yen appreciation extended broadly, and foreign-exchange valuation losses and other items of ¥469 million were incurred. The foreign-exchange risk was quantified, and its impact on performance had actually materialised. - FY2017-Q1WorsenedAnnual report
「During the cumulative first quarter, the yen appreciated sharply against foreign currencies, and its impact may extend broadly going forward.」
The company expressed concern that the impact of yen appreciation could extend broadly, and an actual foreign-exchange loss of ¥420 million was recorded. Operating income decreased 22.8% year on year, while ordinary income was a loss of ¥217 million. The impact of the risk had expanded from the previous fiscal year. - FY2016MaterialisedAnnual report
「Overseas sales accounted for a high proportion of the Group's consolidated net sales, at 68.5% in the fiscal year ended March 2014, 68.4% in the fiscal year ended March 2015 and 67.1% in the fiscal year ended March 2016, and fluctuations in foreign-exchange rates may affect the Group's performance.」
The exchange rate shifted toward yen appreciation in the latter half of the period, and the company states that a ¥376 million foreign-exchange gain changed to a ¥76 million foreign-exchange loss.