Foreign Exchange Risk
First written in FY2016. 8 of 20 entries say "Mitigated", first in FY2021-Q2. Latest entry: FY2026.
Mitsubishi Motors moved to the "Worse" side of this theme in 2016, 3 years before the typical company in this theme (2019).
The whole theme swung hardest in 2024: 14 of 31 companies on the "Worse" side.
13 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「Foreign exchange gain 2,943」
The impact of foreign exchange fluctuations on earnings shifted from a foreign exchange loss of ¥31.541 billion in the previous fiscal year to a foreign exchange gain of ¥2.943 billion in the current fiscal year. - 2026-05-08MitigatedRevisions to earnings forecasts
「Non-operating income and expenses also exceeded expectations due, among other factors, to an improvement in foreign exchange gains and losses, resulting in a figure above the previous forecast.」
An improvement in foreign exchange gains and losses was cited as a reason for the variance from the earnings forecast, indicating that the negative impact of exchange-rate movements on earnings was better than expected. - FY2026-H1MitigatedAnnual report
「Foreign exchange loss 25,732 159」
The foreign exchange loss declined sharply from ¥25.732 billion in the previous year's interim period to ¥0.159 billion in the current interim period, reducing the negative impact of foreign exchange fluctuations on earnings. - FY2025WorsenedAnnual report
「From the second half onward, the Thai baht, which is a cost currency for the Group, strengthened on its own, and foreign exchange became a negative factor.」
Foreign exchange shifted from a tailwind through the previous fiscal year to a headwind from the second half onward, mainly due to the stronger Thai baht, and a foreign exchange loss of ¥31.5 billion was recorded in full-year non-operating expenses. - FY2025-H1WorsenedAnnual report
「Foreign exchange loss － 25,732」
The impact of foreign exchange fluctuations on earnings deteriorated, shifting from a foreign exchange gain of ¥13.99 billion in the same period of the previous year to a foreign exchange loss of ¥25.732 billion in the current interim period. - FY2024-Q1RestatedAnnual report
「Foreign exchange gain 17,288 14,521」
Although the foreign exchange gain decreased from ¥17.288 billion in the same period of the previous year to ¥14.521 billion, foreign exchange movements continued to support profit. - FY2023-Q1MitigatedAnnual report
「Foreign exchange gain 17,288」
The impact of foreign exchange fluctuations shifted from a foreign exchange loss in the same period of the previous year to a foreign exchange gain of ¥17.288 billion in the current quarter, eliminating the negative impact on earnings. - FY2022-Q2MitigatedAnnual report
「Operating profit improved year on year due to the recovery from the sharp decline in unit sales caused by the spread of COVID-19 in the previous fiscal year, the effect of cost controls from structural reforms, and improved foreign exchange effects resulting from the acceleration of the overall trend toward a weaker yen.」
Improved foreign exchange effects resulting from the acceleration of the weaker-yen trend contributed to the increase in operating profit, with foreign exchange effects that had reduced profit through the previous fiscal year contributing to an improvement in the current quarter. - FY2022-Q1MitigatedAnnual report
「The increase in operating profit resulted from a degree of recovery from the sharp decline in unit sales caused by the spread of COVID-19 in the previous fiscal year, an improved model mix and selling prices, the effect of cost controls from structural reforms, and improved foreign exchange rates.」
Improved foreign exchange rates were identified as a factor behind the increase in operating profit, with foreign exchange effects that had reduced profit through the previous fiscal year contributing to an improvement in the current quarter. - FY2021-Q3MitigatedAnnual report
「Foreign exchange loss 9,425 3,873」
The foreign exchange loss decreased from ¥9.425 billion in the same period of the previous year to ¥3.873 billion, reducing the impact of foreign exchange fluctuations on earnings in the cumulative third quarter compared with the same period of the previous year. - FY2021-Q2MitigatedAnnual report
「Foreign exchange loss 12,084 1,259」
The foreign exchange loss decreased from ¥12.084 billion in the same period of the previous year to ¥1.259 billion in the cumulative second quarter, reducing the impact on earnings during the period. - FY2020WorsenedAnnual report
「In fiscal 2019, the yen appreciated by ¥7 against the euro and ¥6 against the Australian dollar compared with the previous consolidated fiscal year. In addition, the stronger Thai baht against foreign-currency-denominated liabilities became a factor, resulting in a total ¥45.1 billion deterioration in consolidated operating profit.」
The stronger yen against the euro and Australian dollar and the stronger Thai baht quantified the impact of foreign exchange fluctuations as a factor reducing consolidated operating profit by ¥45.1 billion. - FY2020-Q2WorsenedAnnual report
「Foreign exchange loss 12,084」
The impact of foreign exchange fluctuations on earnings deteriorated, as the foreign exchange loss shifted from ¥1.673 billion in the same period of the previous year to ¥12.084 billion in the cumulative second quarter. - FY2020-Q1WorsenedAnnual report
「In addition, foreign exchange effects such as the weaker euro and Australian dollar further weighed on profit.」
The foreign exchange impact of the weaker euro and Australian dollar reduced profit. A foreign exchange loss of ¥7.305 billion was recorded in the first quarter, and the impact of foreign exchange fluctuations continued to appear in actual results. - FY2019MaterialisedAnnual report
「Foreign exchange loss 6,909」
A foreign exchange loss of ¥6.909 billion was recorded as a non-operating expense for the fiscal year, and the impact of foreign exchange risk appeared in full-year earnings. - FY2019-Q3MaterialisedAnnual report
「Foreign exchange loss 4,840」
A foreign exchange loss of ¥4.840 billion was recorded as a non-operating expense for the cumulative third quarter, and the impact of foreign exchange fluctuations appeared in actual earnings. - FY2018-Q1ReframedAnnual report
「Overseas sales account for approximately 80% of the Group's consolidated net sales for the previous fiscal year. With respect to foreign-currency-denominated receivables and payables, the Group has taken appropriate measures as necessary while monitoring trends in the Thai baht, its principal foreign-currency-denominated liability, and the US dollar and euro, its principal foreign-currency-denominated receivables. However, significant fluctuations in foreign exchange rates could have a material impact on the Group's results of operations or financial condition.」
The description of foreign exchange risk changed from mitigating it through 'forward exchange contracts and other measures' to monitoring trends in the Thai baht, US dollar and euro and taking necessary measures. - FY2017MaterialisedAnnual report
「Although the decline in unit sales was compounded by adverse foreign exchange movements and higher market action costs, cost-reduction efforts enabled the company to secure operating profit of ¥5.1 billion, down ¥133.3 billion year on year, or 96%.」
Adverse foreign exchange movements appeared in actual results as a factor reducing full-year operating profit, alongside lower unit sales and market action costs. - FY2017-Q2MaterialisedAnnual report
「Operating profit was a loss of ¥31.6 billion, down ¥90.0 billion year on year, due to the impact of production and sales suspensions resulting from the fuel-economy testing misconduct in Japan, higher market action costs, and the adverse foreign exchange impact of the stronger yen.」
The adverse foreign exchange impact of the stronger yen appeared in actual results as a factor contributing to the operating loss. - FY2016First statedAnnual report
「Overseas sales account for approximately 80% of the Group's consolidated net sales for the current fiscal year. Although the Group seeks to mitigate the risk relating to foreign-currency-denominated receivables and payables through forward exchange contracts and other measures, fluctuations in foreign exchange rates could have a material impact on the Group's results of operations or financial condition.」
Against a backdrop of overseas sales accounting for approximately 80% of sales, foreign exchange fluctuations are identified as a risk, and measures such as forward exchange contracts are described for mitigating the risk relating to foreign-currency-denominated receivables and payables.