External Environment Risks, Including Yen Appreciation, Overseas Economic Conditions and Sluggish Personal Consumption
First written in FY2017-Q1. 17 of 35 entries say "Reframed", first in FY2018-Q1. Latest entry: FY2027-H1.
The whole theme swung hardest in 2022: 131 of 176 companies on the "Worse" side.
- FY2027-H1ReframedAnnual report
「In the retail industry, personal consumption showed signs of recovery, but the continued rise in prices meant that the recovery in consumer sentiment remained weak. While demand for high-priced goods, particularly among affluent consumers, remained firm, the preference for saving and lower-priced products also remained strong, resulting in further consumer polarization.」
Describes an external environment in which the recovery in personal consumption and firm demand for high-priced goods coexist with rising prices, weak consumer sentiment, frugality and preference for lower-priced products, and consumer polarization. - 2026-07-10RestatedEarnings
「At the same time, the uncertain outlook continued because of continued inflation and heightened geopolitical risks.」
Continues to cite inflation and geopolitical risks as external-environment risk factors. - FY2026ReframedAnnual report
「In the retail industry, demand for high-priced goods among affluent consumers expanded against a backdrop of firm share prices, while wage growth continued to lag behind rising prices, consumers maintained a strong preference for saving and lower-priced products, and consumer polarization progressed. In addition, partly due to exchange-rate movements and international conditions, some weakness was observed in inbound demand at department stores and other retailers.」
Lists the expansion of affluent consumers' demand for high-priced goods alongside the middle class's preference for saving and lower-priced products and consumer polarization, and adds some weakness in inbound demand to the external environment. - FY2026-H1ReframedAnnual report
「During the interim consolidated accounting period (1 March 2025 to 31 August 2025), Japan's economy remained on a gradual recovery trend, supported by improvements in the employment and income environment, despite some impact from US trade policies and other factors. However, the outlook remained uncertain due to a decline in consumer sentiment resulting from continued price increases and heightened geopolitical risks. In the retail industry, demand for high-priced goods among affluent consumers expanded against a backdrop of firm share prices, while the middle class maintained a strong preference for saving and lower-priced products due to declining real wages, and consumer polarization continued.」
The external environment risk factors have been updated to include US trade policy, continued price increases, geopolitical risks, declining real wages, frugality and preference for lower-priced products, and consumer polarization. Some of these risk factors actually emerged in the business environment during the interim consolidated accounting period. No quantitative disclosure of risk exposure is provided. - FY2025-H1RestatedAnnual report
「In the retail industry, consumption of high-priced goods continued to perform well and inbound demand increased. At the same time, wage growth failed to keep pace with rising prices, real wages were trending downward, consumers continued to favor saving and lower-priced products, and consumer polarization continued to intensify.」
Continues to describe an external environment in which increased consumption of high-priced goods and inbound demand coexist with declining real wages, frugality and preference for lower-priced products, and consumer polarization. - FY2025-Q1ReframedAnnual report
「During the first quarter of the fiscal year (1 March 2024 to 31 May 2024), Japan's economy remained on a gradual recovery trend, supported by improvements in corporate earnings and the employment and income environment. However, the outlook remained uncertain due to rising prices caused by higher raw material costs and the depreciation of the yen, as well as heightened geopolitical risks. In the retail industry, sales of high-priced goods continued to perform well and inbound demand expanded, while wage growth failed to keep pace with rising prices. With real wages trending downward, consumers continued to favor saving and lower-priced products, and consumer polarization continued to intensify.」
Notes improvements in corporate earnings and the employment and income environment, as well as expanding demand for high-priced goods and inbound demand, while identifying higher raw material costs, yen depreciation, rising prices, geopolitical risks, declining real wages, frugality and preference for lower-priced products, and consumer polarization as new components of the external environment. - FY2024ReframedAnnual report
「In the retail industry, sales of high-priced goods continued to perform well and inbound demand expanded. At the same time, wage growth failed to keep pace with rising prices, real wages were trending downward, and consumers continued to favor saving and lower-priced products, resulting in further polarization.」
Notes the recovery in high-priced goods and inbound demand, while identifying rising prices, declining real wages, frugality and preference for lower-priced products, and consumer polarization as new components of the external environment. - FY2024-Q3ReframedAnnual report
「During the third quarter consolidated cumulative period (1 March 2023 to 30 November 2023), the gradual recovery trend continued after restrictions were lifted. However, uncertainty about the outlook continued amid concerns over the impact of prolonged price increases, domestic and overseas monetary policy, and exchange-rate fluctuations on the domestic economy. In the retail industry, consumption of high-priced goods remained strong and inbound demand continued to expand. However, factors such as stagnant real wage growth caused by higher prices remained a concern regarding a full recovery in consumer sentiment.」
It describes the lifting of restrictions and the expansion of consumption of high-priced goods and inbound demand, while identifying price increases, monetary policy, exchange-rate fluctuations and stagnant real wage growth as new sources of uncertainty. - FY2024-Q2ReframedAnnual report
「During the second quarter consolidated cumulative period (1 March 2023 to 31 August 2023), economic activity normalized and the economy entered a gradual recovery phase after restrictions imposed to prevent the spread of the novel coronavirus disease were lifted. However, uncertainty about the outlook continued amid concerns over rising prices due to higher costs and the impact of monetary policy in the US and Europe on the domestic economy. In the retail industry, consumption of high-priced goods remained strong and inbound demand increased, indicating a recovery in private consumption. However, wages continued to lag behind rising prices, leaving some uncertainty over a future recovery in consumption.」
It describes the lifting of restrictions, the normalization of economic activity, and increased consumption of high-priced goods and inbound demand, while identifying higher costs and prices, monetary policy in the US and Europe, and wages failing to keep pace with rising prices as new sources of uncertainty. - FY2024-Q1ReframedAnnual report
「During the first quarter consolidated cumulative period (1 March 2023 to 31 May 2023), economic activity normalized and the economy entered a gradual recovery phase after restrictions imposed to prevent the spread of the novel coronavirus disease were lifted. However, uncertainty about the outlook continued amid rising prices due to higher costs and concerns over a global recession caused by the impact of monetary policy in the US and Europe. In the retail industry, consumption of high-priced goods remained strong and inbound demand gradually recovered, providing some positive signs. However, successive price increases heightened consumers' defensive spending mindset on essential goods, and conditions remained unpredictable.」
It describes the normalization of economic activity following the lifting of restrictions and the recovery in consumption of high-priced goods and inbound demand, while identifying higher costs and prices, concerns over a global recession and a defensive spending mindset caused by price increases as new sources of uncertainty. - FY2023-Q3ReframedAnnual report
「During the third quarter consolidated cumulative period (1 March 2022 to 30 November 2022), economic activity normalized and the economy showed gradual signs of recovery as restrictions on activities related to the novel coronavirus disease were eased. However, soaring resource and energy prices and continued yen depreciation continued to affect corporate activity. In the retail industry, opportunities to go out increased and foot traffic was recovering, but rising consumer preference for economy due to successive price increases was a concern, and uncertainty about the outlook continued.」
It describes the easing of restrictions and the recovery in foot traffic and economic activity, while identifying soaring resource and energy prices, yen depreciation and rising consumer preference for economy caused by price increases as new sources of uncertainty. - FY2023-Q2ReframedAnnual report
「During the second quarter consolidated cumulative period (1 March 2022 to 31 August 2022), economic activity normalized despite a temporary increase in the number of novel coronavirus infections. However, soaring resource and energy prices and rapid yen depreciation affected corporate activity. In the retail industry, private consumption showed signs of recovery as easing restrictions on activities increased opportunities to go out, but further deterioration in consumer sentiment due to successive price increases remained a concern, and uncertainty about the outlook continued.」
It describes the normalization of economic activity and a recovery in private consumption despite a temporary increase in infections, while also citing soaring resource and energy prices, rapid yen depreciation and deterioration in consumer sentiment caused by price increases as new sources of uncertainty. - FY2023-Q1WorsenedAnnual report
「During the first quarter consolidated cumulative period (1 March 2022 to 31 May 2022), economic activity was gradually moving toward normalization as the number of novel coronavirus infections declined, but conditions remained unpredictable amid soaring resource and energy prices due to international developments and rapid yen depreciation. In the retail industry, the lifting of priority preventive measures increased opportunities to go out, and private consumption showed signs of recovery. However, further deterioration in consumer sentiment due to successive price increases was a concern, and uncertainty about the outlook continued.」
While describing some easing of the impact of the infectious disease and a recovery in private consumption, it explicitly identifies soaring resource and energy prices, rapid yen depreciation and deterioration in consumer sentiment caused by price increases as new concerns. - FY2022WorsenedAnnual report
「The impact of the novel coronavirus disease is expected to continue in the retail industry. In addition, corporate earnings may be squeezed by higher raw material costs, and further deterioration in consumer sentiment due to rising prices is a concern, so difficult operating conditions are expected to continue.」
In addition to the continuing impact of the infectious disease, it explicitly identifies pressure on corporate earnings from higher raw material costs and deterioration in consumer sentiment due to rising prices as new concerns. - FY2022-Q3WorsenedAnnual report
「The retail industry was affected by requests to refrain from going out and store closures and reduced operating hours. In addition, employment and income conditions did not improve even after the lifting of states of emergency and other measures, and private consumption remained sluggish as consumer sentiment deteriorated further, leaving the outlook uncertain.」
It states that, although states of emergency and other measures were lifted, employment and income conditions did not improve, while further deterioration in consumer sentiment and sluggish private consumption were observed in the actual environment. - FY2022-Q2WorsenedAnnual report
「During the second quarter consolidated cumulative period (1 March 2021 to 31 August 2021), economic activity was significantly restricted, as the end of the novel coronavirus disease could not be foreseen, states of emergency and priority preventive measures remained in place for an extended period, and the number of infections temporarily rose sharply. Conditions therefore remained difficult.」
It describes restrictions on economic activity resulting from the lack of visibility on the end of the infectious disease, the prolonged states of emergency and other measures, and the temporary sharp increase in infections. - FY2022-Q1WorsenedAnnual report
「During the first quarter consolidated cumulative period (1 March 2021 to 31 May 2021), conditions remained difficult as the end of the novel coronavirus disease could not be foreseen and states of emergency and priority preventive measures were declared intermittently. The retail industry was also affected by requests to refrain from going out and store closures and reduced operating hours. Private consumption remained sluggish as consumer sentiment deteriorated further due to worsening employment and income conditions, and uncertainty about the outlook continued.」
It describes the lack of visibility on the end of the infectious disease, the continuation of states of emergency and other measures, store closures, worsening employment and income conditions, and further deterioration in consumer sentiment, indicating a worsening external environment. - FY2021RestatedAnnual report
「The retail industry was affected by requests to refrain from going out and store closures and reduced operating hours. In addition, further deterioration in consumer sentiment due to worsening employment and income conditions remained a concern, and uncertainty about the outlook continued.」
It continues to describe a difficult external environment involving the infectious disease, store closures and reduced operating hours, worsening employment and income conditions, and deteriorating consumer sentiment. - FY2021-Q3RestatedAnnual report
「During the third quarter consolidated cumulative period (1 March 2020 to 30 November 2020), the Japanese economy remained extremely difficult as economic activity was restricted by the novel coronavirus disease, while corporate performance deteriorated and private consumption declined. The retail industry was also affected by requests to refrain from going out and store closures and reduced operating hours. Even after the lifting of the state of emergency, further deterioration in consumer sentiment due to worsening employment and income conditions remained a concern, and uncertainty about the outlook continued.」
It continues to describe a difficult external environment involving restrictions on economic activity caused by the infectious disease, deteriorating corporate performance, declining private consumption and store closures. - FY2021-Q2WorsenedAnnual report
「The retail industry was affected by requests to refrain from going out and store closures and reduced operating hours. In addition, even after the lifting of the state of emergency, further deterioration in consumer sentiment due to worsening employment and income conditions was a concern, and conditions remained extremely difficult and uncertain.」
In addition to store closures and other effects caused by the novel coronavirus disease, it identifies further deterioration in consumer sentiment against a backdrop of worsening employment and income conditions as a concern. - FY2021-Q1MaterialisedAnnual report
「During the first quarter consolidated cumulative period, the Japanese economy deteriorated rapidly as economic activity stagnated due to the impact of the novel coronavirus disease, leaving conditions extremely difficult. The retail industry also remained in an extremely difficult environment due to requests to refrain from going out and the impact of store closures and reduced operating hours.」
It describes the stagnation of economic activity caused by the novel coronavirus disease, requests to refrain from going out, and the impact of store closures and reduced operating hours as the actual business environment. - FY2020MaterialisedAnnual report
「The retail industry also remained in a difficult environment amid continued consumer preference for economy driven by concerns about the future, as well as declining consumer sentiment due to natural disasters and sluggish inbound demand caused by the novel coronavirus disease.」
In addition to the previously cited consumption tax rate increase, consumer preference for economy and natural disasters, it describes sluggish inbound demand caused by the novel coronavirus disease as part of the actual business environment. - FY2020-Q3MaterialisedAnnual report
「In the retail industry, consumption declined due to the consumption tax rate increase and the impact of natural disasters such as typhoons, while consumer preference for economy driven by concerns about the future persisted, leaving conditions difficult.」
It states that consumption actually declined as a result of the consumption tax rate increase and the impact of natural disasters such as typhoons. - FY2019-Q3ReframedAnnual report
「During the third quarter consolidated cumulative period, the Japanese economy was on a gradual recovery path due to improvements in corporate earnings and the employment environment, but remained uncertain partly because of the impact of trade issues on the global economy. In the retail industry, consumption declined due to the impact of natural disasters, while consumer preference for economy driven by concerns about the future persisted, leaving conditions difficult.」
In addition to trade issues, it explicitly identifies a decline in consumption caused by natural disasters as a source of uncertainty in the external environment. It explains that consumer preference for economy also persisted. - FY2019-Q2ReframedAnnual report
「During the second quarter consolidated cumulative period, the Japanese economy was on a gradual recovery path due to improvements in corporate earnings and the employment environment, but remained uncertain partly because of the impact of trade issues on the global economy. In the retail industry, there were signs of improvement in private consumption and spending by visitors to Japan was strong, but consumer preference for economy driven by concerns about the future persisted, leaving conditions difficult.」
It newly identifies the impact of trade issues as a source of uncertainty in the external environment. It explains that private consumption and spending by visitors to Japan showed improvement or remained strong, while consumer preference for economy persisted. - FY2019-Q1ReframedAnnual report
「During the first quarter consolidated cumulative period, the Japanese economy was on a gradual recovery path due to improvements in corporate earnings and the employment environment, but remained uncertain because of concerns including political uncertainty and geopolitical risks overseas. In the retail industry, spending by visitors to Japan was strong, but conditions remained difficult due to the diversification of consumer purchasing behavior and continued consumer preference for economy.」
It points to the domestic recovery trend and strong spending by visitors to Japan, while identifying overseas political and geopolitical risks, diversified purchasing behavior and consumer preference for economy as sources of uncertainty and industry pressures. - FY2018-Q3RestatedAnnual report
「During the third quarter consolidated cumulative period, the Japanese economy was on a gradual recovery path due to improvements in corporate earnings and the employment environment, but remained uncertain, with many concerns overseas, including unstable political developments and rising geopolitical risks. In the retail industry, there were signs of improvement in private consumption and spending by visitors to Japan increased, but consumer preference for economy driven by concerns about the future persisted, leaving conditions unstable.」
It explains that the domestic economy and spending by visitors to Japan showed signs of improvement or increased, while overseas political and geopolitical risks and consumer preference for economy persisted. - FY2018-Q2ReframedAnnual report
「During the second quarter consolidated cumulative period, the Japanese economy was on a gradual recovery path due to improvements in corporate earnings and the employment environment, but remained uncertain, with many concerns overseas, including unstable political developments and rising geopolitical risks. In the retail industry, there were signs of improvement in private consumption and spending by visitors to Japan increased, but consumer preference for economy driven by concerns about the future persisted, leaving conditions unstable.」
It explains that the domestic economy and spending by visitors to Japan showed signs of improvement or increased, while overseas political and geopolitical risks and consumer preference for economy persisted, updating the external environment factors. - FY2018-Q1ReframedAnnual report
「During the first quarter consolidated cumulative period, the Japanese economy was on a gradual recovery path due to improvements in corporate earnings and the employment environment, but remained uncertain, with many concerns overseas, including unstable political developments and rising geopolitical risks. The retail industry also remained in a difficult environment amid continued consumer preference for economy and changes in spending patterns among visitors to Japan.」
It describes the domestic economy as being on a recovery path due to improvements in corporate earnings and the employment environment, while identifying overseas political and geopolitical risks and changes in spending by visitors to Japan as sources of uncertainty, revising the composition of external environment risks. - FY2017RestatedAnnual report
「During the consolidated fiscal year, the Japanese economy remained uncertain amid continued weakness in private consumption, sharp exchange-rate fluctuations, the UK's withdrawal from the EU, the impact of the US presidential election and concerns over an economic slowdown in emerging economies, including China.」
It continues to cite sluggish private consumption, exchange-rate fluctuations, the UK's withdrawal from the EU, the US presidential election and concerns over a slowdown in emerging economies as external environment risks. - FY2017-Q3WorsenedAnnual report
「During the third quarter consolidated cumulative period, the Japanese economy remained uncertain amid continued weakness in private consumption, sharp exchange-rate fluctuations, the UK's withdrawal from the EU, the impact of the US presidential election and concerns over an economic slowdown in emerging economies, including China. The retail industry also remained in a difficult environment, as consumption declined due to continued consumer preference for economy and slowing inbound demand.」
In addition to the previously cited weak consumption, the UK's withdrawal from the EU, the slowdown in emerging economies, consumer preference for economy and slowing inbound demand, it lists sharp exchange-rate fluctuations and the impact of the US presidential election, indicating broader sources of uncertainty in the external environment. - FY2017-Q2WorsenedAnnual report
「During the second quarter consolidated cumulative period, the Japanese economy remained uncertain, amid rapid yen appreciation, prolonged weakness in private consumption, emerging signs of deterioration in corporate earnings, the UK's withdrawal from the EU and concerns over an economic slowdown in emerging economies, including China. The retail industry also remained in a difficult environment, as consumption declined due to continued consumer preference for economy and slowing inbound demand.」
In addition to the previously cited yen appreciation, weak consumption and slowing inbound demand, it explicitly mentions the UK's withdrawal from the EU and concerns over an economic slowdown in emerging economies, expanding the range of external environment risks identified. - FY2017-Q1First statedAnnual report
「During the first quarter consolidated cumulative period, the Japanese economy remained uncertain, amid rapid yen appreciation, concerns over a downturn in overseas economies, particularly China, prolonged weakness in private consumption and emerging signs of deterioration in corporate earnings. The retail industry also remained in a difficult environment, as consumption declined due to continued consumer preference for economy and slowing inbound demand.」
It describes yen appreciation, concerns over overseas economic conditions, sluggish private consumption, consumer preference for economy and slowing inbound demand as the actual business environment.