Exchange Rate Fluctuations and Valuation Losses on Foreign Exchange Derivatives
First written in FY2016. 17 of 40 entries say "Mitigated", first in FY2017-Q1. Latest entry: FY2026.
The whole theme swung hardest in 2025: 8 of 19 companies on the "Worse" side.
9 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「The actual exchange rate for purchases during the fiscal year was ¥148.22 to the US dollar, representing a stronger yen than in the previous fiscal year. Together with lower procurement costs, this resulted in a gross profit margin of 32.3%, up 2.4 percentage points year on year.」
The gross profit margin improved 2.4 percentage points year on year to 32.3% due to the stronger yen and lower procurement costs. No foreign exchange losses were incurred, while a foreign exchange gain of ¥6 million was recorded. - FY2026-H1MitigatedAnnual report
「Regarding foreign exchange conditions, the actual purchase exchange rate for the current interim consolidated fiscal year was ¥147.67 to the US dollar, indicating a stronger yen than in the same period of the previous year. In addition, lower manufacturing costs resulting from a review of manufacturing and procurement costs resulted in a gross margin of 32.0%, up 2.3 percentage points from the same period of the previous year. The company also recorded equity-method investment income of ¥25 million as non-operating income, down 40.4% from the same period of the previous year, and foreign exchange gains of ¥3 million, compared with foreign exchange losses of ¥10 million in the same period of the previous year.」
The stronger yen and lower manufacturing costs resulting from a review of manufacturing and procurement costs improved the gross margin by 2.3 percentage points year on year. Foreign exchange losses in the same period of the previous year turned into foreign exchange gains of ¥3 million, also improving the impact of foreign exchange movements on profit and loss. - FY2025Yen depreciation continued and the gross margin improved, but foreign exchange losses were recordedAnnual report
「The actual purchase exchange rate for the current consolidated fiscal year was ¥151.39 to the US dollar, indicating a weaker yen than in the previous fiscal year, but lower procurement costs resulted in a gross margin of 29.9%, up 0.2 percentage points from the previous fiscal year. The company also recorded equity-method investment income of ¥82 million as non-operating income, down 38.3% from the previous fiscal year, and foreign exchange losses of ¥15 million as non-operating expenses, compared with foreign exchange gains of ¥19 million in the previous fiscal year.」
Yen depreciation continued, but lower procurement costs improved the gross margin by 0.2 percentage points to 29.9%. Foreign exchange gains of ¥19 million in the previous fiscal year turned into foreign exchange losses of ¥15 million. - FY2025-H1Yen depreciation continued and the gross margin declined, but foreign exchange losses contractedAnnual report
「Regarding foreign exchange conditions, the actual purchase exchange rate for the current interim consolidated fiscal year was ¥152.07 to the US dollar, indicating a weaker yen than in the same period of the previous year. Meanwhile, overall selling prices improved due to price increases implemented from October 2022, while lower overseas logistics costs also contributed, resulting in a gross margin of 29.7%, down 1.3 percentage points from the same period of the previous year. The company also recorded equity-method investment income of ¥42 million as non-operating income, down 34.7% from the same period of the previous year, and foreign exchange losses of ¥10 million as non-operating expenses, down 31.1%.」
The actual purchase exchange rate was ¥152.07 to the US dollar, indicating further yen depreciation, and the gross margin declined by 1.3 percentage points year on year. Meanwhile, foreign exchange losses were ¥10 million, down 31.1% year on year, so the impact was not one-directional. - FY2024MitigatedAnnual report
「The actual purchase exchange rate for the current consolidated fiscal year was ¥146.19 to the US dollar, indicating a weaker yen than in the previous fiscal year. Meanwhile, overall selling prices improved due to price increases implemented from October 2022, while lower product costs and overseas logistics costs also contributed, resulting in a gross margin of 29.7%, up 1.2 percentage points from the previous fiscal year.」
Yen depreciation continued, but higher selling prices following price increases and lower product and overseas logistics costs improved the gross margin by 1.2 percentage points from the previous fiscal year. - FY2024-Q3MitigatedAnnual report
「Regarding foreign exchange conditions, the actual purchase exchange rate for the cumulative third quarter of the current consolidated fiscal year was ¥144.90 to the US dollar, indicating a weaker yen than in the same quarter of the previous year. Meanwhile, overall selling prices improved due to price increases implemented from October 2022, while lower overseas logistics costs also contributed, resulting in a gross margin of 29.7%, up 2.2 percentage points from the same quarter of the previous year. The company also recorded equity-method investment income of ¥98 million as non-operating income, up 32.9% from the same quarter of the previous year, and foreign exchange gains of ¥15 million, compared with foreign exchange losses of ¥33 million in the same quarter of the previous year.」
Yen depreciation continued, but higher selling prices following price increases and lower overseas logistics costs improved the gross margin by 2.2 percentage points year on year. Foreign exchange losses in the same period of the previous year turned into foreign exchange gains of ¥15 million, improving the impact of foreign exchange movements on profit and loss. - FY2024-Q1Yen depreciation continued, while the gross margin improved and foreign exchange gains contractedAnnual report
「Regarding foreign exchange conditions, the actual purchase exchange rate for the cumulative first quarter of the current consolidated fiscal year was ¥140.64 to the US dollar, indicating a weaker yen than in the same quarter of the previous year. Meanwhile, overall selling prices improved due to price increases implemented from October 2022, while lower overseas logistics costs also contributed, resulting in a gross margin of 32.1%, up 6.8 percentage points from the same quarter of the previous year. The company also recorded equity-method investment income of ¥31 million as non-operating income, up 207.5% from the same quarter of the previous year, and foreign exchange gains of ¥13 million, down 72.6%.」
Although the actual purchase exchange rate was ¥140.64 to the US dollar, indicating yen depreciation, the gross margin improved to 32.1% due to higher selling prices following price increases and lower overseas logistics costs. Foreign exchange gains contracted to ¥13 million. - FY2023WorsenedAnnual report
「The actual purchase exchange rate for the current consolidated fiscal year was ¥134.97 to the US dollar, indicating a yen depreciation of more than ¥22 compared with the previous fiscal year. In addition, higher overseas logistics costs and raw material prices contributed to a gross margin of 28.5%, down 5.5 percentage points from the previous fiscal year.」
Substantial yen depreciation and higher logistics and raw material costs reduced the gross margin to 28.5%. Foreign exchange gains contracted to ¥19 million, indicating that foreign exchange risk related to procurement costs has become apparent in actual results. - FY2023-Q3WorsenedAnnual report
「Regarding foreign exchange conditions, the actual purchase exchange rate for the cumulative third quarter of the current consolidated fiscal year was ¥135.25 to the US dollar, indicating a yen depreciation of more than ¥22 compared with the same quarter of the previous year. In addition, higher overseas logistics costs and raw material prices contributed to a gross margin of 27.5%, down 7.1 percentage points from the same quarter of the previous year. The company also recorded equity-method investment income of ¥74 million as non-operating income, up 84.4% from the same quarter of the previous year, foreign exchange losses of ¥33 million as non-operating expenses, compared with foreign exchange gains of ¥88 million in the same quarter of the previous year, and valuation losses on derivatives of ¥37 million.」
The actual purchase exchange rate of ¥135.25 to the US dollar, together with higher logistics and raw material costs, resulted in a 7.1-percentage-point year-on-year decline in the gross margin to 27.5%. The company also recorded foreign exchange losses of ¥33 million and valuation losses on derivatives of ¥37 million. - FY2023-Q2WorsenedAnnual report
「Regarding foreign exchange conditions, the actual purchase exchange rate for the cumulative second quarter of the current consolidated fiscal year was ¥135.05 to the US dollar, indicating a yen depreciation of more than ¥26 compared with the same quarter of the previous year. In addition, higher overseas logistics costs and raw material prices contributed to a gross margin of 26.2%, down 10.0 percentage points from the same quarter of the previous year. The company also recorded equity-method investment income of ¥49 million as non-operating income, up 76.6% from the same quarter of the previous year, foreign exchange losses of ¥27 million as non-operating expenses, and valuation losses on derivatives of ¥71 million,」
Yen depreciation progressed, and the company recorded foreign exchange losses of ¥27 million and valuation losses on derivatives of ¥71 million. - FY2023-Q1WorsenedAnnual report
「Regarding foreign exchange conditions, the actual purchase exchange rate for the cumulative first quarter of the current consolidated fiscal year was ¥132.57 to the US dollar, indicating a weaker yen than in the same quarter of the previous year. In addition, the effects of higher overseas logistics costs and raw material prices resulting from the spread of COVID-19 overlapped, resulting in a gross margin of 25.3%, down 11.5 percentage points from the same quarter of the previous year.」
In addition to yen depreciation, higher overseas logistics costs and raw material prices led to a 11.5-percentage-point year-on-year decline in the gross margin to 25.3%. Foreign exchange gains increased to ¥49 million, but the impact of foreign exchange on procurement costs has become apparent. - FY2022Foreign exchange gains increased substantially amid yen depreciationAnnual report
「The company also recorded equity-method investment income of ¥69 million as non-operating income, down 46.3% from the previous fiscal year, foreign exchange gains of ¥186 million, up 753.8%, and insurance surrender value of ¥31 million,」
Foreign exchange gains increased substantially from ¥21 million in the previous fiscal year to ¥186 million. At the same time, the yen depreciation trend increased cost of sales on a yen basis, and the company stated that the gross margin declined. - FY2022-Q3MitigatedAnnual report
「The company also recorded equity-method investment income of ¥40 million as non-operating income, down 62.5% from the same quarter of the previous year, foreign exchange gains of ¥88 million, up 281.3%, and insurance surrender value of ¥31 million,」
The company recorded foreign exchange gains of ¥88 million, exceeding the amount in the same period of the previous year, and the impact of foreign exchange movements on profit and loss remained on the gains side. - FY2022-Q2MitigatedAnnual report
「Foreign exchange gains − 34,311」
For the cumulative second quarter of the current consolidated fiscal year, foreign exchange losses of ¥28 million in the same period of the previous year turned into foreign exchange gains of ¥34 million. The actual purchase exchange rate was ¥108.82 to the US dollar, indicating a weaker yen than in the same period of the previous year. - FY2021MitigatedAnnual report
「In light of these circumstances, the company recorded foreign exchange gains of ¥21 million, up 1142.1% from the previous fiscal year.」
Foreign exchange gains increased from ¥1 million in the previous fiscal year to ¥21 million in the current fiscal year, with the company recording gains rather than foreign exchange losses. Its hedging policy, including the use of forward exchange contracts, also continued. - FY2021-Q3MitigatedAnnual report
「The company also recorded equity-method investment income of ¥107 million as non-operating income, up 20.6% from the same quarter of the previous year, and foreign exchange gains of ¥23 million, up 390.6% from the same quarter of the previous year,」
Foreign exchange gains increased from ¥4 million in the same period of the previous year to ¥23 million, improving the impact of foreign exchange movements on profit and loss toward gains. - FY2021-Q2WorsenedAnnual report
「The company also recorded equity-method investment income of ¥70 million as non-operating income, up 20.9% from the same quarter of the previous year, and foreign exchange losses of ¥28 million as non-operating expenses, compared with foreign exchange gains of ¥8 million in the same quarter of the previous year,」
Foreign exchange gains of ¥8 million in the same period of the previous year turned into foreign exchange losses of ¥28 million in the current quarter, worsening the impact of foreign exchange movements on profit and loss. The actual purchase exchange rate was ¥105.93 to the US dollar, indicating a stronger yen than in the same period of the previous year. - FY2021-Q1WorsenedAnnual report
「The company recorded foreign exchange losses of ¥13 million as non-operating expenses, compared with foreign exchange gains of ¥2 million in the same quarter of the previous year.」
Foreign exchange gains in the same period of the previous year turned into foreign exchange losses of ¥13 million in the current quarter, worsening the impact of foreign exchange movements on profit and loss. - FY2020Substantial contraction in full-year foreign exchange gainsAnnual report
「In light of these circumstances, the company recorded foreign exchange gains of ¥1 million, down 96.4% from the previous fiscal year.」
Foreign exchange gains continued, but contracted substantially from ¥49 million in the previous fiscal year to ¥1 million. - FY2020-Q3Continued contraction in foreign exchange gainAnnual report
「In light of these circumstances, the company recorded foreign exchange gains of ¥4 million, down 91.4% from the same quarter of the previous year.」
Foreign exchange gains were ¥4 million, down 91.4% year on year. Gains continued, but their scale contracted substantially. - FY2020-Q2Continued contraction in foreign exchange gainAnnual report
「In response to these circumstances, the company recorded a foreign exchange gain of ¥8 million, down 80.3% year on year.」
Foreign exchange gains were ¥8 million, down 80.3% year on year. Although gains continued from the same period of the previous year, their scale has contracted substantially. - FY2020-Q1Sharp contraction in foreign exchange gainAnnual report
「In response to these circumstances, the company recorded a foreign exchange gain of ¥2 million, down 92.0% year on year.」
The foreign exchange gain contracted sharply from ¥26 million in the corresponding quarter of the previous fiscal year to ¥2 million, but the company did not shift to a foreign exchange loss in the current quarter. - FY2019MitigatedAnnual report
「In response to these circumstances, the company recorded a foreign exchange gain of ¥49 million, up 48.2% year on year.」
The full-year foreign exchange gain was ¥49 million, up 48.2% year on year. The hedging policy using foreign exchange forward contracts, currency swaps and currency options is also described. - FY2019-Q3MitigatedAnnual report
「In response to these circumstances, the company recorded a foreign exchange gain of ¥55 million (compared with a foreign exchange loss of ¥4 million in the corresponding quarter of the previous fiscal year).」
The company shifted from a foreign exchange loss in the corresponding quarter of the previous fiscal year to a ¥55 million foreign exchange gain. Currency swap transactions had a contract amount of ¥162.750 million and a valuation gain of ¥1.811 million, improving the impact of foreign exchange movements on earnings in the current quarter. - FY2019-Q2Increase in foreign exchange gain and valuation loss on currency swapsAnnual report
「In response to these circumstances, the company recorded a foreign exchange gain of ¥41 million, up 33.9% year on year.」
The foreign exchange gain increased 33.9% year on year to ¥41 million, while a currency swap transaction of ¥325.500 million and a valuation loss of ¥602,000 arose at the end of the current quarter. - FY2019-Q1Increase in quarterly foreign exchange gain and re-emergence of currency swapsAnnual report
「In response to these circumstances, the company recorded a foreign exchange gain of ¥26 million, up 44.6% year on year.」
While the company recorded a foreign exchange gain exceeding that of the same period of the previous year, currency swap transactions of ¥488.250 million and a valuation gain of ¥2.671 million were recorded at the end of the current quarter. - FY2018Full-year foreign exchange gain continued but narrowedAnnual report
「In response to these circumstances, the company recorded a foreign exchange gain of ¥33 million, down 43.1% year on year.」
For the full year, the company continued to record a foreign exchange gain, as it had in the previous year, but the amount decreased 43.1% year on year. The hedging policy using foreign exchange forward contracts and other instruments continues. - FY2018-Q3WorsenedAnnual report
「In response to these circumstances, the company recorded a foreign exchange loss of ¥4 million (compared with a foreign exchange gain of ¥46 million in the corresponding quarter of the previous fiscal year).」
The company shifted from a foreign exchange gain in the corresponding quarter of the previous fiscal year to a foreign exchange loss in the current quarter. Foreign exchange forward contracts at period-end had a contract amount of ¥457.691 million and a valuation gain or loss of -¥13.457 million, worsening the impact of foreign exchange movements on earnings. - FY2018-Q2RestatedAnnual report
「In response to these circumstances, the company recorded a foreign exchange gain of ¥30 million (compared with a foreign exchange gain of ¥60 million in the corresponding quarter of the previous fiscal year).」
The company continued to record a foreign exchange gain. Foreign exchange forward contracts, which had a zero balance at the end of the previous fiscal year, remained outstanding at the end of the current quarter, with a contract amount of ¥592.398 million and a valuation gain of ¥13.132 million. - FY2018-Q1Re-emergence of foreign exchange forward contractsAnnual report
「In response to these circumstances, the company recorded a foreign exchange gain of ¥18 million (compared with a foreign exchange gain of ¥2 million in the corresponding quarter of the previous fiscal year).」
While the company continued to record a foreign exchange gain, foreign exchange forward contracts, which had a zero balance at the end of the previous fiscal year, re-emerged at the end of the current quarter, with a contract amount of ¥799.334 million and a valuation gain of ¥17.315 million. - FY2017MitigatedAnnual report
「In response to these circumstances, the company recorded a foreign exchange gain of ¥58 million (compared with a foreign exchange loss of ¥143 million in the previous fiscal year).」
The company shifted from a foreign exchange loss in the previous fiscal year to a ¥58 million foreign exchange gain in the current fiscal year. The balance of foreign exchange derivative transactions at fiscal year-end was also zero. - FY2017-Q3RestatedAnnual report
「The company recorded a foreign exchange gain of ¥46 million from foreign exchange derivative transactions intended to hedge foreign exchange risk, as the yen had depreciated, with the actual rate at the end of March 2017 of ¥112.19 per US dollar compared with ¥102.91 at the end of the previous fiscal year (the corresponding quarter of the previous fiscal year recorded a foreign exchange loss of ¥77 million).」
The company recorded a ¥46 million foreign exchange gain due to the yen's depreciation, continuing to record a gain after the foreign exchange loss in the corresponding quarter of the previous fiscal year. - FY2017-Q2MitigatedAnnual report
「As the yen had depreciated, with the actual rate at the end of December 2016 of ¥116.49 per US dollar compared with ¥102.91 at the end of the previous fiscal year, the company recorded a foreign exchange gain of ¥60 million (the corresponding quarter of the previous fiscal year recorded a foreign exchange loss of ¥16 million).」
The shift to a weaker yen resulted in a ¥60 million foreign exchange gain in the current quarter, compared with a foreign exchange loss in the corresponding quarter of the previous fiscal year. - FY2017-Q1MitigatedAnnual report
「The company recorded a foreign exchange gain of ¥2 million from foreign exchange derivative transactions intended to hedge foreign exchange risk, despite the yen's appreciation, with the actual rate at the end of September 2016 of ¥101.12 per US dollar compared with ¥102.91 at the end of the previous fiscal year (the corresponding quarter of the previous fiscal year recorded a foreign exchange loss of ¥42 million).」
Although the yen was appreciating, the company shifted from a foreign exchange loss in the corresponding quarter of the previous fiscal year to a foreign exchange gain in the current quarter, mitigating the impact of foreign exchange movements on earnings. - FY2016MaterialisedAnnual report
「In particular, due to the sharp appreciation of the yen in the fiscal year ended June 2016, a valuation loss on foreign exchange derivatives of ¥392.703 million was recorded at fiscal year-end.」
The company recorded a foreign exchange loss of ¥143 million and a derivative valuation loss of ¥392 million due to the yen's appreciation.