Fluctuations in Foreign Exchange Rates
First written in FY2016. 17 of 33 entries say "Mitigated", first in FY2018-Q1. Latest entry: FY2026.
Sanshin Electronics moved to the "Worse" side of this theme in 2021, 3 years after the typical company in this theme (2018).
The whole theme swung hardest in 2019: 68 of 119 companies on the "Worse" side.
38 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「In addition to exports denominated in foreign currencies, the Company also conducts domestic transactions settled in foreign currencies. Approximately 70% of sales are denominated in US dollars. In procurement, in addition to imports denominated in foreign currencies, the Company conducts domestic transactions settled in foreign currencies, with approximately 75% of procurement denominated in US dollars.」
US dollar-denominated transactions account for approximately 70% of sales and 75% of procurement, so foreign exchange exposure remains substantial. The foreign exchange loss was ¥585 million, down from ¥604 million in the previous period, and the impact on profit and loss in the current period decreased slightly. - FY2025-H1MitigatedAnnual report
「During the current interim consolidated accounting period, the yen weakened, and operating profit increased because the expenses eliminated through offsetting exceeded the corresponding revenue. The same amount was adjusted as a foreign exchange loss under non-operating expenses, however, so there was no impact on ordinary profit.」
Although a foreign exchange loss resulted from the yen's depreciation, the foreign exchange loss for the current interim consolidated accounting period was ¥103 million, down from ¥537 million in the same period last year. Foreign exchange risk remains, but its impact on profit and loss has decreased. - FY2024WorsenedAnnual report
「Approximately 70% of sales are denominated in US dollars. Approximately 80% of procurement is denominated in US dollars.」
The Company disclosed that approximately 70% of sales and 80% of procurement are denominated in US dollars, indicating that foreign currency exposure has increased from the previously disclosed levels of approximately 50% and 70%, respectively. The foreign exchange loss for the current period was also ¥1,077 million, up from ¥690 million in the previous period. - FY2024-Q3MitigatedAnnual report
「During the cumulative third quarter of the current consolidated period, the yen weakened, and operating profit increased because the expenses eliminated through offsetting substantially exceeded the corresponding revenue. The same amount was adjusted as a foreign exchange loss under non-operating expenses, however, so there was no impact on ordinary profit.」
The foreign exchange loss decreased from ¥1,044 million in the same period last year to ¥754 million. The impact of foreign exchange fluctuations on profit and loss remains, but has decreased from the same period last year. - FY2024-Q2MitigatedAnnual report
「During the cumulative second quarter of the current consolidated period, the yen weakened, and operating profit increased because the expenses eliminated through offsetting substantially exceeded the corresponding revenue. The same amount was adjusted as a foreign exchange loss under non-operating expenses, however, so there was no impact on ordinary profit.」
The foreign exchange loss for the cumulative second quarter was ¥537 million, down from ¥1,161 million in the same period last year. The impact on profit and loss from foreign exchange fluctuation risk remains, but the foreign exchange loss was smaller than in the same period last year. - FY2024-Q1MitigatedAnnual report
「Foreign exchange loss 757 222」
The foreign exchange loss for the cumulative first quarter of the current period was ¥222 million, down from ¥757 million in the same period last year. The impact on profit and loss from foreign exchange fluctuation risk remains, but has decreased from the same period last year. - FY2023-Q3WorsenedAnnual report
「During the cumulative third quarter of the current consolidated period, the yen remained on a weakening trend, and operating profit increased because the expenses eliminated through offsetting substantially exceeded the corresponding revenue. The same amount was adjusted as a foreign exchange loss under non-operating expenses, however, so there was no impact on ordinary profit." Foreign exchange loss 398 1,044」
The foreign exchange loss increased from ¥398 million in the same period last year to ¥1,044 million in the cumulative third quarter of the current period, expanding the fluctuation in foreign exchange gains and losses. However, the Company explains that there was no impact on ordinary profit because the adjustment corresponded to the elimination of intercompany transactions. - FY2023-Q2WorsenedAnnual report
「Foreign exchange loss 169 1,161」
The foreign exchange loss for the cumulative second quarter of the current consolidated period was ¥1,161 million, up from ¥169 million in the same period last year. The Company explains that foreign exchange translation differences on intercompany transactions resulting from the sharp depreciation of the yen were adjusted as non-operating expenses, with no impact on ordinary profit, but the fluctuation in foreign exchange gains and losses has expanded. - FY2023-Q1WorsenedAnnual report
「In addition, ordinary profit was ¥1,165 million, as foreign exchange losses arose mainly from the elimination of intercompany transactions due to exchange-rate fluctuations, an increase of 249.6% year on year.」
Foreign exchange losses arose due to exchange-rate fluctuations, and foreign exchange losses in the quarterly consolidated statement of profit and loss increased from ¥133 million in the same period last year to ¥757 million. - FY2022-Q3WorsenedAnnual report
「Foreign exchange loss 178 398」
The foreign exchange loss increased from ¥178 million in the cumulative period of the same period last year to ¥398 million in the cumulative third quarter of the current period, expanding the adverse impact of foreign exchange fluctuations on profit and loss. - FY2022-Q2WorsenedAnnual report
「Foreign exchange loss 90 169」
The foreign exchange loss for the cumulative second quarter of the current consolidated period was ¥169 million, up from ¥90 million in the same period last year. The adverse impact of foreign exchange fluctuations on profit and loss has expanded. - FY2022-Q1MaterialisedAnnual report
「Foreign exchange gain 12 — Foreign exchange loss — 133」
The first quarter resulted in a foreign exchange loss of ¥133 million, a deterioration from the ¥12 million foreign exchange gain in the same period last year. The impact of foreign exchange fluctuations on profit and loss has re-emerged in the results. - FY2021-Q3MaterialisedAnnual report
「Foreign exchange gain 55 — Foreign exchange loss — 178」
The Company swung from a ¥55 million foreign exchange gain in the same period last year to a ¥178 million foreign exchange loss in the cumulative third quarter of the current period. The deterioration in profit and loss resulting from foreign exchange fluctuations has re-emerged in the results. - FY2021-Q2MaterialisedAnnual report
「Foreign exchange gain 63 — Foreign exchange loss — 90」
The cumulative second quarter of the current consolidated period resulted in a foreign exchange loss of ¥90 million, a deterioration from the ¥63 million foreign exchange gain in the same period last year. The impact of foreign exchange fluctuations on profit and loss has actually re-emerged. - FY2021-Q1Decline in Foreign Exchange GainsAnnual report
「Foreign exchange gain 57 12」
The first quarter resulted in a foreign exchange gain of ¥12 million, down from ¥57 million in the same period last year. However, the Company did not swing to a foreign exchange loss. - FY2020MitigatedAnnual report
「In addition to exports denominated in foreign currencies, the Company also conducts domestic transactions settled in foreign currencies. Approximately 50% of sales are denominated in US dollars. In procurement, in addition to imports denominated in foreign currencies, the Company conducts transactions settled in foreign currencies, with approximately 70% of procurement denominated in US dollars. The Group uses forward foreign exchange contracts, foreign exchange matching and foreign-currency-denominated borrowings to mitigate the impact of exchange-rate fluctuations on profit and loss and is working to hedge the risks.」
While explicitly disclosing that approximately 50% of sales and 70% of procurement are denominated in US dollars, the Company continues to hedge using forward foreign exchange contracts, foreign exchange matching and foreign-currency-denominated borrowings. A foreign exchange gain of ¥91 million was recorded in the current period. - FY2020-Q3MitigatedAnnual report
「Foreign exchange gain 87 55」
The cumulative third quarter of the current period resulted in a foreign exchange gain of ¥55 million, down from ¥87 million in the same period last year, but no foreign exchange loss was recorded. Foreign exchange fluctuation risk itself remains. - FY2020-Q2MitigatedAnnual report
「Foreign exchange gain — 63」
The cumulative second quarter of the current consolidated period resulted in a foreign exchange gain of ¥63 million. Compared with the ¥0 million foreign exchange loss in the same period last year, no deterioration in profit and loss resulted from foreign exchange fluctuations. Foreign exchange risk itself remains. - FY2020-Q1MitigatedAnnual report
「Foreign exchange gain — 57」
The Company recorded a foreign exchange gain of ¥57 million in the first quarter, improving the impact on profit and loss from the ¥36 million foreign exchange loss in the same period last year. Foreign exchange fluctuation risk itself remains. - FY2019MitigatedAnnual report
「Foreign exchange gain 116」
The Company recorded a foreign exchange gain of ¥116 million in the current period, and no deterioration in profit and loss resulted from foreign exchange fluctuations. Foreign exchange risk itself remains, but its impact on profit and loss in the current period has been reduced. - FY2019-Q3MitigatedAnnual report
「Foreign exchange gain 15 87」
The foreign exchange gain for the cumulative third quarter was ¥87 million, up from ¥15 million in the same period last year. Foreign exchange fluctuation risk remains, but there was no adverse impact on profit and loss during the period. - FY2019-Q2MitigatedAnnual report
「Foreign exchange loss — 0」
The foreign exchange loss for the cumulative second quarter of the current consolidated period was ¥0 million. Although the impact on profit and loss changed from the ¥8 million foreign exchange gain in the same period last year, the ¥36 million foreign exchange loss recorded in the immediately preceding quarter has not continued. - FY2019-Q1MaterialisedAnnual report
「Foreign exchange loss — 36」
The Company swung from a foreign exchange gain in the same period last year to a foreign exchange loss of ¥36 million in the first quarter. The impact of foreign exchange fluctuation risk on profit and loss has re-emerged. - FY2018MitigatedAnnual report
「This was mainly due to a recovery in performance resulting from an improved gross margin through a higher proportion of high-margin businesses, lower fixed costs through the consolidation of business locations and appropriate staffing levels, and reduced foreign exchange losses.」
As a result of reduced foreign exchange losses, the Company recorded a foreign exchange gain in the current period, compared with a foreign exchange loss of ¥1,745 million in the previous period. The adverse impact of foreign exchange fluctuations on profit and loss has decreased. - FY2018-Q3MitigatedAnnual report
「Meanwhile, earnings benefited from an improved gross profit margin, substantial reductions in inventory valuation losses and foreign-exchange losses, and the effects of reducing fixed costs, including through the consolidation and closure of business locations」
Foreign exchange losses were significantly reduced, and a foreign exchange gain of ¥15 million was recorded for the cumulative third quarter. Foreign exchange fluctuation risk remains, but its adverse impact on profit and loss has decreased from the same period last year. - FY2018-Q2MitigatedAnnual report
「In terms of profit and loss, the improvement in the gross profit margin and significant reductions in inventory valuation losses and foreign exchange losses resulted in segment profit of ¥32.3 million, compared with a segment loss of ¥200.3 million in the year-earlier period.」
The foreign-exchange loss was substantially reduced, and a foreign-exchange gain of ¥8 million was recorded in the consolidated income statement. Foreign-exchange risk remains, but its adverse impact on earnings in the current quarter was lower than in the previous period. - FY2018-Q1MitigatedAnnual report
「Foreign-exchange losses and inventory valuation losses incurred in the same period of the previous year were substantially reduced」
The foreign-exchange loss incurred in the same period of the previous year was substantially reduced, and a foreign-exchange gain of ¥27 million was recorded in the current quarter. Foreign-exchange risk remains, but its impact on earnings in the current quarter was lower than in the previous period. - FY2017-Q3MaterialisedAnnual report
「In the device business, sales remained sluggish and earnings deteriorated as the exchange rate followed a yen-appreciation trend over the period. In the solutions business, earnings also fell below the previous year’s level. A foreign-exchange loss of ¥1,749 million resulted in an ordinary loss of ¥1,328 million, compared with ordinary income of ¥1,346 million in the same period of the previous year. Net loss attributable to owners of the parent was ¥1,716 million, compared with net income attributable to owners of the parent of ¥906 million.」
Earnings deteriorated as the yen-appreciation trend continued, quantified as a foreign-exchange loss of ¥1,749 million, an ordinary loss of ¥1,328 million and a net loss attributable to owners of the parent of ¥1,716 million. - FY2017-Q2MaterialisedAnnual report
「In the device business, sales remained sluggish and the sharp appreciation of the yen significantly worsened earnings. In the solutions business, both sales and profit declined year on year, resulting in difficult conditions. A foreign-exchange loss of ¥1,506 million resulted in an ordinary loss of ¥1,684 million, compared with ordinary income of ¥1,151 million in the same period of the previous year.」
The deterioration in earnings due to the sharp appreciation of the yen continued, quantified as a foreign-exchange loss of ¥1,506 million and an ordinary loss of ¥1,684 million. - FY2017-Q1MaterialisedAnnual report
「The rapid appreciation of the yen also reduced profit. Consolidated results for the three-month period ended [current first quarter] were net sales of ¥39,061 million, down 16.2% year on year, and an operating loss of ¥470 million, compared with operating income of ¥281 million in the same period of the previous year. A foreign-exchange loss of ¥1,050 million resulted in an ordinary loss of ¥1,494 million, compared with ordinary income of ¥174 million in the same period of the previous year. Net loss attributable to owners of the parent was ¥1,066 million, compared with net income attributable to owners of the parent of ¥75 million.」
The rapid appreciation of the yen reduced profit, resulting in an actual foreign-exchange loss of ¥1,050 million and an ordinary loss of ¥1,494 million. - FY2016First statedAnnual report
「The Group’s operating performance and financial position are affected by fluctuations in foreign exchange rates. The Group’s consolidated financial statements are presented in yen, and exchange-rate fluctuations affect the yen-converted amounts of foreign-currency-denominated assets, liabilities, income and expenses, as well as the foreign-currency financial statements of overseas consolidated subsidiaries.」
The Group explicitly identifies foreign-exchange exposure arising from foreign-currency transactions and the yen translation of overseas subsidiaries.