As the yen strengthens, companies are also fighting, and sales forecasts are revised August 7th 5:02
In response to the appreciation of the yen against the dollar in the foreign exchange market, companies are moving to review the current exchange rate for the current fiscal year in the direction of yen appreciation. If the yen further increases, it will inevitably have an impact on the business performance, mainly by manufacturers.
Toyota Motor Corporation revised its assumed exchange rate, which is the premise of the forecast for the current fiscal year, from the previous 1 dollar = 110 yen to 1 dollar = 106 yen in the direction of the yen appreciation.
This reflects the recent appreciation of the yen against the US dollar, and accordingly, sales and operating income forecasts for the year have been revised downward. Sony also revised the assumed exchange rate from around 110 yen per dollar to around 108 yen per dollar in this announcement of financial results.
Manufacturers have been making efforts to reduce the impact of exchange rate fluctuations, such as increasing the ratio of overseas production.
However, there is still an impact, and if the yen appreciation of 1 yen has advanced against the dollar, when looking at the annual operating profit, Toyota will be 40 billion yen, Nissan will be 11 billion yen, Hitachi will be 2.5 billion yen Is to do.
Sony also expects operating profit to decline by 5 billion yen if the yen appreciation of 1 yen against the euro progresses.
If the yen appreciation further progresses, the impact on the performance of domestic companies, especially manufacturers, is inevitable, and for the time being, each company will closely watch the trend of the exchange market and the background of the confrontation between the United States and China. The
What do professionals see?
Regarding the impact of the yen's appreciation on the Japanese economy, Koichi Fujishiro's chief economist at the Dai-ichi Life Economic Research Institute said, "We need to be careful about the rapid appreciation of the yen."
Also, “In the face of an increase in the consumption tax rate in October, private consumption is in a difficult phase. Companies are expected to play a role in supporting the Japanese economy, but if the economic uncertainty in the US-China trade war increases, `` We will postpone the investment and the driving force will be absent. This is very risky, '' he said, cautioning companies to be cautious with the appreciation of the yen and trade friction between the United States and China. .