Company: SEAH
Filing Date: 2025-11-24
Form Type: F-1/A
Source: 0001213900-25-113788
Chunk: 82

Company: Seahawk Recycling Holdings, Inc.
Filing Date: 2025-11-24
Form: F-1/A
Chunk 82
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 Entity’s functional currency is JPY. As a result, we are exposed to foreign exchange risk as our results of operations may be affected by fluctuations in the exchange rate between JPY and USD. If JPY depreciates against the USD, the value of our JPY revenues, earnings, and assets, as expressed in our USD financial statements, will decline. We have not entered into any hedging transactions in an effort to reduce our exposure to foreign exchange risk. Currently, these risks are not material to our financial condition or results of operations. As we expand internationally, our exposure to foreign currency translation and transaction risks may become more significant. 53 INDUSTRY All the information and data presented in this section have been derived from Frost & Sullivan Limited (“Frost & Sullivan”)’s industry report commissioned by us entitled “Metal and Paper Recycling Market Study” (the “Frost & Sullivan Report”) unless otherwise noted. Frost & Sullivan has advised us that the statistical and graphical information contained herein is drawn from its database and other sources. The following discussion contains projections for future growth, which may not occur at the rates that are projected or at all. Overview of Macro Economic Environment Nominal GDP and Growth Rate According to the International Monetary Fund (the “IMF”), Japan’s nominal GDP experienced a decline from $5,118.0 billion in 2019 to $4,030.0 billion in 2024, representing a Compound Annual Growth Rate (“CAGR”) of -4.7%, mainly attributed to a decrease in consumption caused by high inflation rates. However, the economic growth rate for 2025 is projected to rebound, which is expected to be driven by the resumption of inbound tourism and increased automobile output. Additionally, the ongoing trend of wage hikes, coupled with planned income tax cuts, is anticipated to contribute to the revival of domestic demand in the near future. Looking ahead, Japan’s nominal GDP is predicted to reach $4,830.0 billion with a CAGR of 3.6% from 2025 to 2029, due to increased economic activity, improved consumer confidence, and the implementation of strategic government initiatives. Source: International Monetary Fund, The Frost & Sullivan Report Nominal GDP Per Capita and Growth Rate From 2019 to 2024, the nominal GDP per capita in Japan decreased from $40,584.0 in 2019 to $32,500.0 in 2024, at a CAGR of -4.3%, following the decline of nominal GDP during