Risks related to laws and regulations, tax systems and terrorism associated with overseas business activities
First written in FY2017. 3 of 6 entries say "Raised", first in FY2019. Latest entry: FY2024.
The whole theme swung hardest in 2022: 55 of 110 companies on the "Worse" side.
58 other companies' latest entry also says "Restated".
- FY2024RestatedAnnual report
「As part of its global business operations, the group's overseas subsidiaries seek to cooperate with and build mutual trust with local communities. However, overseas business activities entail the following risks and may adversely affect the group's operating results and financial position, among other factors.」
The company continues to disclose risks associated with laws and regulations, tax systems, national security and export controls, economic friction, terrorism and war in its overseas business. - FY2023RaisedAnnual report
「Approximately 70% of the group's consolidated sales are generated overseas, and the group enters into transactions to hedge foreign exchange risk, primarily through forward exchange contracts, as necessary to address fluctuations in exchange rates. However, medium- to long-term exchange-rate movements may affect the group's operating results and financial position.」
The overseas sales ratio was updated from approximately 60% to approximately 70%, increasing the group's exposure to foreign exchange movements. - FY2021RaisedAnnual report
「As part of its global business operations, the group's overseas subsidiaries seek to cooperate with and build mutual trust with local communities. However, overseas business activities entail the following risks and may adversely affect the group's operating results and financial position, among other factors. ① Unforeseen laws and regulations and changes in tax systems that have an adverse impact ② Export control regulations imposed by countries for national security reasons and economic friction ③ Social disruption caused by terrorism and war」
In addition to the previously listed risks related to laws, regulations, tax systems and terrorism, the company explicitly identified export control regulations arising from national security considerations and economic friction as overseas business risks. - FY2019RaisedAnnual report
「Approximately 60% of the group's consolidated sales are generated overseas, and the group enters into transactions to hedge foreign exchange risk, primarily through forward exchange contracts, as necessary to address fluctuations in exchange rates. However, medium- to long-term exchange-rate movements may affect the group's operating results and financial position.」
The stated overseas sales ratio rose from approximately 50% to approximately 60%, increasing the group's exposure to foreign exchange movements. - FY2018RestatedAnnual report
「Approximately 50% of the group's consolidated sales are generated overseas, and the group enters into transactions to hedge foreign exchange risk, primarily through forward exchange contracts, as necessary to address fluctuations in exchange rates.」
In addition to risks from economic fluctuations in overseas markets, changes in laws, regulations and tax systems, and terrorism and war, the company disclosed that approximately 50% of sales are generated overseas and that it hedges foreign exchange risk. - FY2017First statedAnnual report
「The company is increasingly exposed to economic fluctuations in the United States, Europe, China and Southeast Asia, its main sales markets. Overseas business activities also entail risks of social disruption caused by unforeseen laws and regulations, changes in tax systems that have an adverse impact, terrorism and war.」
In connection with the expansion of overseas markets, the company lists not only economic fluctuations but also local laws and regulations, tax systems, and social disruption caused by terrorism and war as risks.