Risk of prolonged COVID-19 and further spread of infectious disease
First written in FY2020. 7 of 12 entries say "Restated". Latest entry: FY2025.
The whole theme swung hardest in 2020: 103 of 175 companies on the "Worse" side.
50 other companies' latest entry also says "Restated".
- FY2025RestatedAnnual report
「The Company recognises that if COVID-19 begins to resurge, the resulting renewed stagnation in economic activity could reduce construction project inquiries and trigger another period of intense competition over contract prices.」
The Company continues to recognise the possibility that a resurgence of infectious disease could stall economic activity, reduce construction project inquiries and reignite competition over contract prices. - FY2024ReframedAnnual report
「If a major natural disaster occurs or an infectious disease spreads, causing a sudden deterioration in economic conditions, supply chain disruptions, construction stoppages or significant delays due to requests from government agencies, damage to facilities held or a decline in the number of employees, the Group's business performance and financial condition may be adversely affected.」
The key risks section no longer identifies COVID-19 by name, instead classifying it under general risks related to natural disasters and infectious diseases. Meanwhile, the analysis of operating results continues to recognise a decline in construction project inquiries due to a resurgence of infectious disease. - FY2024-Q3RestatedAnnual report
「Although economic activity is gradually recovering towards the post-COVID period, the possibility of a resurgence in infections remains a concern. Accordingly, the Company assumed that the pandemic would not be fully contained during the consolidated fiscal year and」
While recognising the recovery in economic activity, the Company continues to make accounting estimates assuming a resurgence in infections and that the pandemic will not be fully contained, with no material change in its treatment of COVID-19 risk. - FY2023-Q3RestatedAnnual report
「Although it remains difficult to predict when the effects of the spread of COVID-19 will end and the extent of its impact, the Group is making accounting estimates, including impairment of property, plant and equipment and estimates of the recoverability of deferred tax assets, based on currently available information and assuming that the impact will continue for a certain period.」
It remains difficult to predict when the impact of COVID-19 will end and the extent of its impact, and the Company continues to make accounting estimates assuming that the impact will persist for a certain period. - FY2023-Q1WorsenedAnnual report
「In addition, if the seventh wave of COVID-19 becomes full-blown and the number of infections rises sharply, social and economic activity may again be subject to restrictions, adding to uncertainty over the outlook for the domestic economy.」
The Company states that a sharp rise in infections during the seventh wave of COVID-19 could lead to renewed restrictions on social and economic activity, heightening concern about the risks of a prolonged or resurgent pandemic. - FY2022RestatedAnnual report
「If a major natural disaster occurs, or if the COVID-19 pandemic is prolonged or resurges, or another infectious disease spreads, causing a sudden deterioration in economic conditions, supply chain disruptions, construction stoppages or significant delays due to requests from government agencies, damage to facilities held or a decline in the number of employees, the Group's business performance and financial condition may be adversely affected.」
The Company continues to disclose the risks of construction stoppages and delays and supply chain disruptions resulting from natural disasters, a prolonged or resurgent COVID-19 pandemic and the spread of infectious diseases. - FY2022-Q3WorsenedAnnual report
「The outlook for economic conditions remains uncertain, as soaring energy and resource prices coincide with the spread of a new COVID-19 variant.」
The Company describes the continued spread of a new COVID-19 variant alongside soaring energy and resource prices, reflecting growing concern about the economic and business environment as the infectious disease persists and resurges. - FY2021RestatedAnnual report
「If a major natural disaster occurs, or if the COVID-19 pandemic is prolonged or resurges, or another infectious disease spreads, causing a sudden deterioration in economic conditions, supply chain disruptions, construction stoppages or significant delays due to requests from government agencies, damage to facilities held or a decline in the number of employees, the Group's business performance and financial condition may be adversely affected.」
The Company continues to disclose the risks associated with infectious diseases, including a prolonged or resurgent COVID-19 pandemic, and the potential impacts of construction stoppages and delays and supply chain disruptions. - FY2021-Q3RestatedAnnual report
「If the impact is prolonged because containment is delayed, it may affect impairment testing of property, plant and equipment and estimates of the recoverability of deferred tax assets.」
For COVID-19, the Company assumed that the spread of infection would be contained and demand would recover during the following consolidated fiscal year, while continuing to disclose the potential impact of delayed containment on impairment and deferred tax assets. - FY2021-Q2RestatedAnnual report
「If the impact is prolonged because containment is delayed, it may affect impairment testing of property, plant and equipment and estimates of the recoverability of deferred tax assets.」
For COVID-19, the Company assumed that the pandemic would be contained and demand would return to normal by the end of the consolidated fiscal year, while continuing to disclose the potential accounting impact if containment were delayed. It stated that there had been no new risks or material changes concerning business and other risks. - FY2021-Q1WorsenedAnnual report
「In the construction industry, the Group’s core business, some general contractors suspended construction work between the issuance and lifting of the state of emergency, but the impact on operating performance was limited and the earnings environment did not deteriorate significantly. In contrast, the order environment has gradually become more restrained, particularly in private-sector capital investment.」
While the impact of the infectious disease on business performance is described as limited, restraints on private-sector capital investment are gradually intensifying, and the impact of the infectious disease on the order environment is continuing and expanding. The risks related to the business and other matters section state that there are no new risks or material changes. - FY2020MaterialisedAnnual report
「Although the impact of the spread of COVID-19 on construction investment in the welfare sector, including nursing care, is minor, new investments in other industrial sectors have generally been postponed or cancelled. The decline in inquiries for construction projects has intensified competition over contract prices, and the Company recognises that this may have a material impact on the Group's order-taking activities.」
COVID-19 was identified separately as a key risk for the first time, with the Company explaining that postponements and cancellations of new investments, fewer construction project inquiries and intensified competition over contract prices had already occurred. It also anticipates a sharp slowdown in private-sector construction investment if the pandemic is prolonged, as well as work stoppages and delays and supply chain disruptions.