The Silicon Cycle in the Semiconductor and Electronic Components Market
First written in FY2016. 7 of 28 entries say "Worsened", first in FY2019-Q2. Latest entry: 2026-10-19.
Nanyo moved to the "Worse" side of this theme in 2018, the same year as the typical company in this theme.
The whole theme swung hardest in 2022: 5 of 8 companies on the "Worse" side.
4 other companies' latest entry also says "Mitigated".
- FY2026MaterialisedAnnual report
「Except for some areas that remained strong, such as generative AI and data centers, conditions remained difficult, with capital investment restraint continuing and factory operating rates sluggish against a backdrop of developments in US tariff policy, the delayed recovery of the Chinese economy and rising geopolitical risks.」
Market volatility risk in the semiconductor and electronic components markets has been reflected in full-year results through restrained capital investment and sluggish factory operating rates, except in some generative AI and data center areas. - 2026-05-12RestatedEarnings
「The business remained in a difficult environment as capital investment restraint continued and factory operating rates remained low.」
The company reconfirms the restraint on capital investment and low factory operating rates in the industrial equipment-related market. - FY2026-H1MaterialisedAnnual report
「In the Industrial Equipment business, conditions remained difficult. Except for some areas that remained strong, such as generative AI and data centers, companies continued to take a cautious stance toward capital investment and maintained a trend toward production cuts, against a backdrop of developments in US tariff policy, the delayed recovery of the Chinese economy and rising geopolitical risks,」
Market-cycle risk in the semiconductor and electronic components markets has become evident in the form of cautious capital investment and production cuts, except in some strong-performing areas. - FY2025WorsenedAnnual report
「In the Industrial Equipment business, while capital investment aimed at upgrading capabilities and reducing labor requirements remained firm, conditions remained difficult. Some segments of the semiconductor and robotics markets curtailed investment and experienced sluggish factory operating rates because of the weak Chinese economy and worsening US-China relations.」
Although some areas continued to see firm investment in upgrading capabilities and reducing labor requirements, investment restraint and sluggish factory operating rates in some semiconductor and robotics markets were reported against a backdrop of the weak Chinese economy and worsening US-China relations. - FY2025-H1AI demand growth alongside the lack of recovery across the overall marketAnnual report
「In the Industrial Equipment business, some semiconductor companies made active capital investments against a backdrop of growing AI-related demand. However, the overall market had not recovered because of the acceleration of semiconductor localization in China and worsening US-China relations, while other markets remained in an adjustment phase, resulting in continued instability,」
While growth in AI-related demand and active investment by some companies are noted, the acceleration of semiconductor localization in China, worsening US-China relations, the lack of recovery across the overall market and adjustment phases in other markets are also cited. - FY2024-Q3RestatedAnnual report
「While capital investment aimed at upgrading capabilities and reducing labor requirements remained firm, conditions remained unstable, with factory operating rates in the semiconductor and robotics markets sluggish because of the downturn in the Chinese economy and worsening US-China relations,」
Although some areas continued to see firm investment in upgrading capabilities and reducing labor requirements, operating rates in the semiconductor and robotics markets remained sluggish because of the downturn in the Chinese economy and worsening US-China relations. - FY2024-Q2WorsenedAnnual report
「While capital investment aimed at upgrading capabilities and reducing labor requirements remained firm, conditions remained unstable, with operating rates in the semiconductor and robotics markets sluggish because of the downturn in the Chinese economy and worsening US-China relations,」
Although some areas continued to see firm capital investment, operating rates in the semiconductor and robotics markets were sluggish because of the downturn in the Chinese economy and worsening US-China relations, indicating that market risk had materialized. - FY2024-Q1Improving semiconductor shortages alongside weak smartphone demandAnnual report
「In the Industrial Equipment business, conditions remained unstable. Although semiconductor shortages were improving in some markets, some industries continued to be affected by weak smartphone demand and ongoing production adjustments,」
While semiconductor shortages were improving in some markets, weak smartphone demand and ongoing production adjustments persisted in some industries, indicating both easing and emergence of market-cycle risk. - FY2023WorsenedAnnual report
「In the Industrial Equipment business, conditions remained unstable. Against a backdrop of global inflation and the slowdown in the Chinese economy, some segments of the previously strong semiconductor market began adjusting production and experiencing weaker demand. In addition, longer lead times caused by component shortages had not yet been fully resolved.」
Although the semiconductor market remained strong overall, some segments began adjusting production and experiencing weaker demand against a backdrop of global inflation and the slowdown in the Chinese economy, while longer lead times caused by component shortages had not been resolved. - FY2023-Q2Strong semiconductor market alongside component shortagesAnnual report
「In the Industrial Equipment business, while some industries continued to make active capital investments despite the impact of component shortages, we strengthened consultative sales activities, focusing on the strong semiconductor-related market,」
While the impact of component shortages continued, active capital investment in some industries and the strength of the semiconductor-related market are noted together. - FY2023-Q1WorsenedAnnual report
「While active capital investment in the semiconductor industry supported strong performance in some industries, conditions remained unstable as industries affected by semiconductor shortages and China's lockdowns were forced to make production adjustments,」
While capital investment in the semiconductor industry remained active, production adjustments occurred because of semiconductor shortages and China's lockdowns, increasing the instability of market-cycle risk. - FY2022-Q3WorsenedAnnual report
「In the Industrial Equipment business, economic activity began to resume as the spread of COVID-19 showed signs of stabilizing. However, conditions remained unstable amid concerns over production adjustments resulting from shortages of semiconductors and components, as well as the impact of the slowdown in the Chinese economy,」
While the COVID-19 situation stabilized and economic activity resumed, production adjustments caused by shortages of semiconductors and components and concerns over the slowdown in the Chinese economy were noted, indicating increased instability in market risk. - FY2022-Q2MitigatedAnnual report
「In the Industrial Equipment business, supply chains stagnated because of lockdowns overseas and other effects of the COVID-19 pandemic, while investment sentiment recovered in the semiconductor, automotive and robotics-related industries and conditions remained strong,」
While supply-chain disruptions continued, investment sentiment recovered in the semiconductor, automotive and robotics-related industries, indicating some easing of market-cycle risk in the semiconductor and electronic components market. - FY2022-Q1MitigatedAnnual report
「In the Industrial Equipment business, the economic recoveries in China and the United States led to increased production in the semiconductor and robotics industries, particularly in memory and 5G-related products, and capital investment became more active,」
Capital investment in the semiconductor and robotics industries became more active, driven by economic recoveries in China and the United States and increased production of memory and 5G-related products, indicating some easing of market-cycle risk. - FY2021Recovery in some markets alongside the lack of recovery in investment sentimentAnnual report
「Although some industries remained cautious about capital investment because of the impact of restrictions on activities during the COVID-19 pandemic and uncertainty over the outlook, capital investment by semiconductor manufacturers became more active after economic activity resumed, driven by semiconductor shortages across industries, while robot demand in China began to recover.」
While caution toward capital investment continued because of COVID-19 and uncertainty over the outlook, investment by semiconductor manufacturers became more active amid semiconductor shortages, and robot demand in China also began to recover. - FY2021-Q2Some markets show signs of recoveryAnnual report
「In the Industrial Equipment business, conditions remained difficult, with production activity stagnating amid the COVID-19 pandemic and some sectors forced to review production plans and business strategies because of the impact of US-China trade friction. We gradually resumed visits to domestic customers after implementing infection-control measures and strengthened consultative sales activities, focusing on some markets, including robotics and semiconductors, where signs of recovery had begun to emerge.」
While difficult conditions continued, including production-plan revisions resulting from COVID-19 and US-China trade friction, some markets, including robotics and semiconductors, began to show signs of recovery. - FY2021-Q1MaterialisedAnnual report
「In the Industrial Equipment business, production activity has been affected by the stagnation caused by the COVID-19 pandemic, while investment sentiment has weakened owing to the slowdown in the global economy. At the same time, some semiconductor segments, including memory and 5G-related products, have remained firm,」
While some semiconductor segments remained firm, the stagnation of production activity caused by COVID-19 and weaker investment sentiment resulting from the global economic slowdown have become evident in the demand environment for the Industrial Equipment business. - FY2020-Q3Inventory adjustments show signs of bottoming outAnnual report
「While some segments of the semiconductor industry remain sluggish, inventory adjustments in the robotics industry have begun to show signs of bottoming out,」
While some semiconductor segments remain sluggish, inventory adjustments in the robotics industry have begun to show signs of bottoming out, indicating that the risk profile now includes some easing. - FY2020-Q2MaterialisedAnnual report
「In the Industrial Equipment Business, as inventory adjustments and restrained capital investment continued in the robot, electronic components and semiconductor industries due to the decline in smartphone demand, we worked to develop new products and strengthen consultative sales, while also expanding sales of new production and consumable parts. However, in addition to continued inventory adjustments and restrained capital investment by some customers, delivery of some equipment and machinery was postponed to the second half of the fiscal year. As a result, revenue was ¥9,250 million, down 25.2% year on year, and segment profit was ¥375 million, down 50.8%.」
Inventory adjustments and restrained capital investment, triggered by the downturn in smartphone demand, have continued. Combined with delayed deliveries, they have resulted in lower revenue and profit in the Industrial Equipment business. - FY2020-Q1MaterialisedAnnual report
「However, as some customers in the robotics, electronic components and semiconductor industries continued to adjust inventories and restrain capital investment due to the decline in smartphone demand, revenue was ¥5,090 million, down 8.4% year on year, and segment profit was ¥276 million, down 25.8%.」
Continued inventory adjustments and restraint in capital investment triggered by the decline in smartphone demand have emerged as actual declines in revenue and profit in the industrial equipment business. - FY2019MaterialisedAnnual report
「In the industrial equipment business, demand related to automation of production equipment showed signs of slowing due to the slowdown in the Chinese market, while demand related to smartphones, which had remained strong, also showed signs of a pause.」
The slowdown in the Chinese market and the pause in smartphone-related demand have emerged as an actual slowdown in demand in the industrial equipment business, reflecting cyclical risks in the semiconductor and electronic components market. - FY2019-Q3WorsenedAnnual report
「While the decline in smartphone demand in China caused signs of weakness in orders and production activity in the robotics, electronic components and semiconductor industries, demand for automotive semiconductors for the automotive industry remained solid in Japan,」
The previously described weakness in production activity for the Chinese market has developed into specific weakness in orders and production activity in the robotics, electronic components and semiconductor industries due to the decline in smartphone demand in China. - FY2019-Q2WorsenedAnnual report
「Although signs of weakness began to emerge in production activity for the Chinese market, production activity among companies remained solid, particularly in the electronic components and semiconductor industries, where conditions continued to be strong,」
The disclosure describes production activity related to semiconductors and electronic components as solid, while noting that signs of weakness have begun to emerge in production activity for the Chinese market. - FY2018RestatedAnnual report
「Meanwhile, the industrial equipment business is affected by market fluctuations known as the silicon cycle in the semiconductor and electronic components market. During recessions, restrained private-sector capital investment and production and inventory adjustments could have a material impact on the Company's financial position and operating results.」
The semiconductor and electronic components market cycle and its effects on capital investment, production and inventory adjustments are disclosed again as risks. - FY2017RestatedAnnual report
「The industrial equipment business is affected by market fluctuations known as the silicon cycle in the semiconductor and electronic components market. During recessions, restrained private-sector capital investment and production and inventory adjustments could have a material impact on the Company's financial position and operating results.」
The Company continues to identify the semiconductor market cycle and its effects on capital investment and production adjustments as a risk. - FY2016First statedAnnual report
「The industrial equipment business is affected by market fluctuations known as the silicon cycle in the semiconductor and electronic components market. During recessions, restrained private-sector capital investment and production and inventory adjustments could have a material impact on the Company's financial position and operating results.」
The business identifies the effects of market cycles on capital investment, production and inventory adjustments as a risk.