Impact on Consumption from the Consumption Tax Rate Hike and Introduction of the Reduced Tax Rate
First written in FY2020-Q2. 1 of 4 entries say "Materialised", first in FY2020-Q3. Latest entry: FY2027-H1.
Eat&Holdings moved to the "Worse" side of this theme in 2019, 1 year before the typical company in this theme (2020).
The whole theme swung hardest in 2026: 4 of 7 companies on the "Worse" side.
5 other companies' latest entry also says "Reframed".
- FY2027-H1ReframedAnnual report
「Uncertainty remains due to factors including the impact on the restaurant industry of the consumption-tax cut on food products scheduled for April 2027.」
It reframed the issue from the previous impact of consumption-tax increases and reduced tax rates to the new policy environment involving the impact on the restaurant industry of the consumption-tax cut on food products scheduled for April 2027. - FY2020-Q4SoftenedAnnual report
「With respect to the consumption tax increase, food and beverages other than alcoholic beverages and certain other items were subject to the reduced tax rate, and no particular direct impact was observed from front-loaded demand before the increase or the subsequent reaction.」
The disclosure states that the reduced tax rate meant there was no particular direct impact from the consumption tax increase on food and beverages, limiting how the risk manifested in the food industry. At the same time, it describes sluggish growth in overall personal consumption resulting from the reaction before and after the tax increase. - FY2020-Q3MaterialisedAnnual report
「Regarding general consumer trends, front-loaded demand ahead of the consumption tax rate increase appears to have supported personal consumption to a reasonable extent, although the effect is expected to have been limited compared with 2014. In addition, because of the impact of wind-related disasters such as typhoons, overall personal consumption grew relatively slowly.」
While the boost to personal consumption from front-loaded demand before the consumption tax rate increase was actually observed, the effect is expected to have been limited. The impact after the increase will continue to be assessed. - FY2020-Q2First statedAnnual report
「Regarding general consumer trends, the change of era to Reiwa and the extended holiday period around it had a reasonably positive effect on consumer sentiment. However, the impact of the consumption tax rate increase scheduled for October this year requires continued monitoring, including the effects of front-loaded demand beforehand, the subsequent reaction, and various economic measures such as the introduction of a reduced tax rate.」
The scheduled October 2019 consumption tax rate increase is identified as a new factor requiring attention, including its impact on consumption from front-loaded demand, the subsequent reaction and the introduction of a reduced tax rate.