Foreign Exchange Risk in the Overseas Real Estate Business
First written in FY2021. 1 of 4 entries say "Mitigated", first in FY2023-Q2. Latest entry: FY2025.
0 other companies' latest entry also says "Dropped".
- FY2025DroppedAnnual reportThe foreign-exchange risk of the US real estate subsidiaries is not described in the business overview or business and other risks section of this filing.
- FY2023-Q2MitigatedAnnual report
「Broad-minded America Properties, Inc. and Broad-minded Texas, LLC were liquidated during the second quarter of the current consolidated fiscal year and consequently ceased to qualify as affiliated companies.」
Two US subsidiaries were excluded from the scope of consolidation following completion of their liquidation. The foreign currency translation adjustment account also decreased by ¥46.076 million as a result, indicating that the overseas real estate and foreign-exchange exposure associated with these subsidiaries was being wound down. - FY2023-Q1Translation adjustment due to yen depreciationAnnual report
「This was mainly because, although retained earnings decreased by ¥84.318 million due to dividend payments from surplus, retained earnings increased by ¥79.173 million due to the recognition of net income attributable to owners of the parent, and the foreign currency translation adjustment account increased by ¥43.850 million as the yen depreciated.」
The company disclosed that the foreign currency translation adjustment account increased by ¥43.850 million as the yen depreciated. - FY2021First statedAnnual report
「The overseas real estate business, one of the Group's businesses, is affected by fluctuations in the US dollar exchange rate.」
The company hedges foreign-exchange risk by holding receivables and payables denominated in foreign currencies through foreign-currency borrowings, but states that an impact may remain if exchange rates diverge materially from assumptions.