Deterioration of the Business Environment Due to Yen Appreciation, Slowing Emerging-Market Economies and the Kumamoto Earthquake
First written in FY2017-Q1. 11 of 37 entries say "Restated". Latest entry: FY2027-H1.
Naito & moved to the "Worse" side of this theme in 2022, 3 years after the typical company in this theme (2019).
The whole theme swung hardest in 2019: 7 of 15 companies on the "Worse" side.
3 other companies' latest entry also says "Other".
- FY2027-H1Capital investment recovered, while tungsten prices surged and supply concerns intensified.Annual report
「During the current interim consolidated accounting period (1 March 2026 to 31 August 2026), the economic environment surrounding the Company remained uncertain due to continued inflation and labour shortages, persistently high raw material and energy prices against a backdrop of US policy developments and heightened tensions in the Middle East, and surging prices and supply concerns for tungsten, a key raw material for cutting tools, following China's tighter export controls on strategic minerals. Meanwhile, corporate earnings were improving, and capital investment showed signs of recovery, particularly in labour-saving and automation equipment and semiconductor-related fields.」
In addition to the previously cited factors of high prices, labour shortages, US policy and the situation in the Middle East, the Company added surging tungsten prices and supply concerns as specific business-environment factors. It also stated that corporate earnings and capital investment in labour-saving and automation equipment and semiconductor-related fields were showing signs of recovery. - FY2026WorsenedAnnual report
「Going forward, we recognize that uncertainty affecting the business environment will continue, including high prices and labor shortages, as well as U.S. government policy trends and fluctuations in crude oil prices associated with heightened tensions in the Middle East, leaving little room for optimism.」
In addition to the existing uncertainty over U.S. trade policy and rising prices, it explicitly cited labor shortages, heightened tensions in the Middle East, and fluctuations in crude oil prices as new sources of uncertainty. - FY2026-H1Uncertainty Over U.S. Trade Policy and Higher Costs Due to InflationAnnual report
「During the six-month interim consolidated period ended 31 August 2025 (1 March 2025 to 31 August 2025), the gradual recovery trend continued, but conditions remained uncertain due to uncertainty over U.S. trade policy and increased costs accompanying rising prices.」
While indicating a gradual recovery trend, it cited uncertainty over U.S. trade policy and increased costs accompanying rising prices as factors contributing to an uncertain outlook. New factors have been added to the existing risks of higher costs and weaker overseas economies. - FY2025-H1Gradual Economic Recovery, but Uncertainty Continued Due to Automakers’ Production Suspensions and Higher Raw-Material CostsAnnual report
「During the six-month interim consolidated period ended 31 August 2024 (1 March 2024 to 31 August 2024), the economy was generally on a gradual recovery trend, but conditions remained uncertain due to the impact of production and shipment stoppages at some automobile manufacturers and increased costs resulting from soaring raw material prices.」
While describing the overall economy as being on a gradual recovery trend, it cited the impact of production and shipment stoppages at some automobile manufacturers and increased costs due to soaring raw material prices, with uncertainty about the outlook continuing. - FY2025-Q1WorsenedAnnual report
「During the three-month period ended 31 May 2024 (1 March 2024 to 31 May 2024), the impact of shortages of automotive semiconductors was easing, but conditions remained uncertain due to factors including stagnant automobile production resulting from an automobile certification misconduct issue, persistently high raw material prices, and increased costs associated with addressing the 2024 logistics problem.」
While the impact of shortages of automotive semiconductors was easing, it cited stagnant automobile production due to an automobile certification misconduct issue, persistently high raw material prices, and increased costs associated with addressing the 2024 logistics problem as new downside factors. - FY2024-Q3RestatedAnnual report
「During the nine-month period ended 30 November 2023 (1 March 2023 to 30 November 2023), automobile production recovered as shortages of automotive semiconductors eased, but conditions remained uncertain due to factors including pressure on corporate earnings from higher raw material prices and energy costs and downside risks in overseas economies.」
While recognizing a recovery in automobile production as shortages of automotive semiconductors eased, it continued to cite pressure on corporate earnings from higher raw material prices and energy costs and downside risks in overseas economies. - FY2024-Q2Automotive Production Recovered, but Cost Pressures and Downside Risks in Overseas Economies ContinuedAnnual report
「During the six-month period ended 31 August 2023 (1 March 2023 to 31 August 2023), automobile production recovered as shortages of automotive semiconductors eased, but conditions remained uncertain due to factors including pressure on corporate earnings from higher raw material prices and energy costs and downside risks in overseas economies.」
While confirming a recovery in automobile production as shortages of automotive semiconductors eased, it continued to cite pressure on corporate earnings from higher raw material prices and energy costs and downside risks in overseas economies. - FY2024-Q1Automotive Semiconductor Shortage Eased, but Cost Pressures and Downside Risks in Overseas Economies ContinuedAnnual report
「During the three-month period ended 31 May 2023 (1 March 2023 to 31 May 2023), shortages of automotive semiconductors eased and stagnation in the automobile industry gradually began to resolve, but conditions remained uncertain due to factors including pressure on corporate earnings from higher raw material prices and energy costs and downside risks in overseas economies.」
While indicating that shortages of automotive semiconductors were easing and stagnation in the automobile industry was beginning to resolve, it cited pressure on corporate earnings from higher raw material prices and energy costs and downside risks in overseas economies as new factors in the business environment; uncertainty about the outlook continues. - FY2023WorsenedAnnual report
「Going forward, we recognize that conditions are likely to remain uncertain due to factors including declining exports resulting from a slowdown in the U.S. and European economies, deterioration in corporate earnings caused by higher raw material prices and energy costs, and stagnation in the automobile industry due to shortages of automotive semiconductors.」
In addition to the previous pandemic, weaker yen and soaring prices, it adds specific future downside factors, including a slowdown in the U.S. and European economies, higher raw material and energy costs, and shortages of automotive semiconductors. - FY2023-Q3RestatedAnnual report
「Although capital investment and production activity showed signs of recovery, the economic outlook remained uncertain due to downside risks, including the status of COVID-19 infections, the depreciation of the yen, soaring prices, the Russia-Ukraine situation, and difficulties procuring components, production cuts and suspension of operations at automobile plants caused by China's lockdowns.」
While recognizing a recovery in capital investment and production activity, it continued to cite the pandemic, the weaker yen, soaring prices, the Russia-Ukraine situation, and difficulties procuring components, production cuts and suspension of operations at automobile plants associated with China's lockdowns as downside risks. - FY2023-Q2RestatedAnnual report
「Although capital investment and production activity showed signs of recovery, the economic outlook remained uncertain due to downside risks, including the status of COVID-19 infections, the depreciation of the yen, soaring prices, the Russia-Ukraine situation, and difficulties procuring components, production cuts and suspension of operations at automobile plants caused by China's lockdowns.」
While recognizing a recovery in capital investment and production activity, it continued to cite the pandemic, the weaker yen, soaring prices, the Russia-Ukraine situation, and difficulties procuring components, production cuts and suspension of operations at automobile plants associated with China's lockdowns as downside risks. - FY2023-Q1WorsenedAnnual report
「Although capital investment and production activity showed signs of recovery, the outlook for the economy remained uncertain due to downside risks, including the status of COVID-19 infections, the depreciation of the yen, soaring prices, the Russia-Ukraine situation, and difficulties procuring components, production cuts and suspension of operations at automobile plants caused by China's lockdowns.」
While recognizing a recovery in capital investment and production activity, it expanded the description of specific downside factors in the business environment, including the weaker yen, soaring prices, difficulties procuring components due to China's lockdowns, and production cuts and suspension of operations at automobile plants. - FY2022Continued Production Cuts Due to Supply Shortages Despite Recovery TrendAnnual report
「In the first half, the economy was led by increased exports by manufacturing industries, including automobiles and semiconductors. In the second half, although automobile production was affected by shortages of semiconductors and components related to automobiles, the economy was generally on a gradual recovery trend.」
The first half saw increased exports by manufacturing industries, while the second half saw automobile production cuts due to shortages of semiconductors and components; for the full year, it explained that the economy was on a gradual recovery trend. - FY2022-Q3WorsenedAnnual report
「From September onward, conditions remained uncertain due to the impact of production cuts in the automobile industry caused by component shortages, including semiconductors, and downside risks to the economy from the continuing impact of COVID-19 and other factors.」
In contrast to the manufacturing recovery trend in the first half, it described production cuts in the automobile industry caused by component shortages from September onward, along with downside risks to the economy from COVID-19, indicating heightened uncertainty in the business environment. - FY2022-Q2Higher Raw-Material Costs and Variant Risk Cited Alongside Recovery TrendAnnual report
「The economic environment surrounding the Company followed a steadily improving trend, led by an increase in exports by manufacturing industries, including automobiles and semiconductors. On the other hand, concerns remained, including soaring raw material prices resulting from increased demand accompanying the rapid economic recoveries in the United States and China, and downside risks to the economy from the spread of COVID-19 variants.」
While stating that business sentiment improved due to increased exports by manufacturing industries, it identified soaring raw material prices and downside risks to the economy from the spread of COVID-19 variants as continuing concerns. - FY2022-Q1MitigatedAnnual report
「During the three-month period ended 31 May 2021 (1 March 2021 to 31 May 2021), although there were downside risks from the COVID-19 pandemic, the economy followed a gradual recovery trend from the downturn caused by the pandemic, led by the recovery of manufacturing industries, including automobiles and semiconductors, and a recovery in capital investment demand.」
While downside risks from COVID-19 remain, the economy is described as being on a gradual recovery trend, driven by the recovery of manufacturing industries, including automobiles and semiconductors, and a recovery in capital investment demand. - FY2021Shift from Severe First-Half Impact to a Recovery Trend in the Second HalfAnnual report
「In the first half, conditions remained extremely challenging, as exports, production activity and other areas were substantially affected and corporate earnings deteriorated rapidly. From the second half onward, despite uncertainty stemming from the status of COVID-19 infections and the continuing impact of U.S.-China trade friction, domestic economic conditions followed a recovery trend as economic activity resumed.」
While confirming the substantial impact of COVID-19 in the first half, it explains that domestic economic conditions entered a recovery trend from the second half onward as economic activity resumed. Uncertainty related to infection trends and U.S.-China trade friction remains. - FY2021-Q3Domestic Economy Recovered in the Second Half, but Difficult Conditions ContinuedAnnual report
「During the nine-month period ended 30 November 2020 (1 March 2020 to 30 November 2020), the first half remained extremely challenging, as the COVID-19 pandemic had a substantial impact on exports, production activity and other areas, while corporate earnings deteriorated rapidly. Although domestic economic conditions gradually recovered in the second half, conditions remained challenging.」
It noted the substantial impact of COVID-19 in the first half and a recovery in domestic economic conditions in the second half. Meanwhile, the business environment was described as remaining challenging. - FY2021-Q1MaterialisedAnnual report
「The economic environment surrounding the Company remained extremely challenging, as the COVID-19 pandemic had a substantial impact on exports, production activity and other areas, while corporate earnings deteriorated rapidly.」
It states that the risk previously recognized as an uncertain outlook materialized, with the COVID-19 pandemic having a substantial impact on exports, production activity and corporate earnings. - FY2020-Q3RestatedAnnual report
「During the nine-month period ended 30 November 2019 (1 March 2019 to 30 November 2019), the economic environment surrounding the Company remained uncertain, with exports and production activity showing weakness due to deteriorating business conditions resulting from U.S.-China trade friction and other factors.」
It continues to recognize deterioration in business conditions due to U.S.-China trade friction, weakness in exports and production activity, and uncertainty about the outlook. - FY2020-Q2RestatedAnnual report
「During the six-month period ended 31 August 2019 (1 March 2019 to 31 August 2019), the economic environment surrounding the Company remained uncertain, with exports and production activity showing weakness due to deteriorating business conditions resulting from U.S.-China trade friction and other factors.」
It continues to recognize deterioration in business conditions due to U.S.-China trade friction, weakness in exports and production activity, and uncertainty about the outlook. - FY2020-Q1WorsenedAnnual report
「During the three-month period ended 31 May 2019 (1 March 2019 to 31 May 2019), the economic environment surrounding the Company remained uncertain, with exports and production activity showing weakness due to deteriorating business conditions resulting from U.S.-China trade friction and the reduced number of operating days caused by the extended holiday period.」
In addition to the previous concerns about overseas economies and raw material costs, deterioration in business conditions due to U.S.-China trade friction and the reduction in operating days caused by the extended holiday period were explicitly cited, heightening concerns about weakness in exports and production activity and the uncertain outlook. - FY2019RestatedAnnual report
「During the consolidated fiscal year, the economic environment surrounding the Company saw moves to raise product prices due to soaring raw material costs and other factors, but capital investment and production activity remained resilient, while corporate earnings in Japan also remained strong.」
It continues to assess the business environment as one in which, while recognizing moves to raise product prices in response to soaring raw material costs, capital investment, production activity and corporate earnings in Japan are strong. - FY2019-Q3RestatedAnnual report
「During the nine-month period ended 30 November 2018 (1 March 2018 to 30 November 2018), the economic environment surrounding the Company saw moves to raise product prices due to soaring raw material costs and other factors, but capital investment and production activity remained resilient, while corporate earnings in Japan also remained strong.」
It continues to assess the business environment as one in which, while recognizing moves to raise product prices in response to soaring raw material costs, capital investment and production activity remain resilient and corporate earnings in Japan are strong. - FY2019-Q2RestatedAnnual report
「During the six-month period ended 31 August 2018, the economic environment surrounding the Company saw moves to raise product prices due to soaring raw material costs and other factors, but capital investment and production activity remained resilient, while corporate earnings in Japan also remained strong.」
It continues to assess the business environment as one in which, while recognizing moves to raise product prices in response to soaring raw material costs, capital investment and production activity remain resilient and corporate earnings in Japan are strong. - FY2019-Q1New Recognition of the Impact of Higher Raw-Material CostsAnnual report
「During the three-month period ended 31 May 2018 (1 March 2018 to 31 May 2018), the economic environment surrounding the Company saw moves to raise product prices due to soaring raw material costs and other factors, but capital investment, exports and production activity remained resilient, while corporate earnings in Japan also remained strong.」
The description of the business environment newly adds moves to raise product prices in response to soaring raw material costs. Meanwhile, capital investment, exports and production activity remained resilient, and corporate earnings in Japan were described as strong. - FY2018SoftenedAnnual report
「During the consolidated fiscal year, the economic environment surrounding the Company remained on a gradual recovery trend, with capital investment, exports and production activity maintaining the strong performance seen since the second half of the previous year, supported by resilient domestic and overseas demand.」
The description cites resilient demand, strong capital investment, exports and production activity, and a recovery trend, indicating an improvement in the assessment of the business environment from the previous focus on concerns and downside risks. - FY2018-Q3SoftenedAnnual report
「Although there were concerns about U.S. economic policy and economic conditions in emerging and resource-producing countries and other overseas markets, capital investment, exports and production activity remained resilient.」
References to U.S. economic policy and overseas economic conditions continue, but the wording has been softened from the previous “downside risks” to “concerns”; capital investment, exports and production activity are described as having remained resilient. - FY2018-Q2RestatedAnnual report
「Although there were downside risks from U.S. economic policy and overseas economic trends in emerging-market and resource-rich countries, the economic environment surrounding the Company remained generally firm in terms of capital investment, exports and production activities.」
It continues to explain that, while recognizing downside risks from U.S. economic policy and overseas economies, capital investment, exports and production activity remained resilient. - FY2018-Q1SoftenedAnnual report
「Although there were downside risks from U.S. economic policy and overseas economic trends in emerging-market and resource-rich countries, the economic environment surrounding the Company remained generally firm in terms of capital investment, exports and production activities.」
It explains that, while recognizing downside risks from U.S. economic policy and overseas economies, capital investment, exports and production activity remained resilient. - FY2017ReframedAnnual report
「The Company's main product groups, namely cutting tools, measuring instruments, industrial equipment and machine tools, are closely linked to the automotive industry, and the Company's performance is strongly affected by trends in that industry's production activities, capital investment and other areas.」
In addition to the explanation of near-term deterioration in the business environment due to slowing emerging-market economies and other factors, we specified dependence on production activity and capital investment in the automotive industry as a structural business-environment risk. - FY2017-Q3SoftenedAnnual report
「Although production and export activities were weak due to slowing emerging-market economies and other factors, the economic environment surrounding the Company remained such that signs of recovery could be seen in some industries, including transportation equipment and electronic components, from the summer onward.」
While weakness in production and export activities due to slowing emerging-market economies continued, some industries showed signs of recovery from the summer onward. References to the appreciation of the yen and the Kumamoto earthquake, which had been specified previously, are absent. - FY2017-Q2RestatedAnnual report
「During the cumulative second-quarter consolidated period, the economic environment surrounding the Company remained uncertain, with export and production activities showing weakness due to the appreciation of the yen, slowing emerging-market economies and other factors.」
We continue to indicate weakness in export and production activities and uncertainty about the outlook due to the appreciation of the yen, slowing emerging-market economies and other factors. - FY2017-Q1First statedAnnual report
「Export and production activities showed weakness due to the appreciation of the yen, slowing emerging-market economies and the Kumamoto earthquake, and conditions remained uncertain going forward.」
The appreciation of the yen, slowing emerging-market economies and the Kumamoto earthquake were reflected in weak export and production activities, indicating uncertainty in the business environment.