COVID-19-Related Demand and Production Shutdown Risk
First written in FY2020. 8 of 15 entries say "Mitigated", first in FY2022-Q2. Latest entry: FY2024.
KENKO Mayonnaise moved to the "Worse" side of this theme in 2020, the same year as the typical company in this theme.
The whole theme swung hardest in 2020: 103 of 175 companies on the "Worse" side.
51 other companies' latest entry also says "Mitigated".
- FY2024MitigatedAnnual report
「Consumption of services such as dining out and travel recovered as COVID-19 was reclassified to Category 5.」
Demand constraints caused by COVID-19 declined relatively, and consolidated sales rose 7.7% year on year against a backdrop of recovering food-service and travel demand. - FY2024-Q2MitigatedAnnual report
「Services consumption, including dining and travel, and inbound demand recovered as COVID-19 was reclassified as a Category 5 disease.」
Restrictions on socioeconomic activity caused by COVID-19 have declined relatively following the move to Category 5, and demand for food service, travel and inbound tourism has recovered. - FY2024-Q1MitigatedAnnual report
「Sales, particularly in the food-service sector, recovered partly due to the reclassification of COVID-19 under the Infectious Diseases Control Law as Category 5 and the increase in foreign visitors,」
Although demand constraints caused by COVID-19 remain, sales in the food-service sector have recovered against a backdrop of the move to Category 5 and the increase in foreign visitors, and the impact of COVID-19 risk has declined relatively. - FY2023MitigatedAnnual report
「From fiscal 2023 onward, restrictions on social and economic activity caused by COVID-19 are expected to be largely eliminated, and the economy is expected to recover on domestic demand and inbound tourism.」
The company now believes that demand constraints caused by COVID-19 have been largely resolved, and that the risk impact has declined relatively against a backdrop of recovering food-service and services consumption. - FY2023-Q2MitigatedAnnual report
「Net sales increased year on year as sales recovered, particularly in the food-service sector, following the lifting of restrictions on activity such as restaurant closures and reduced operating hours, as the number of COVID-19 cases recently declined, and as we expanded sales mainly in the fast-food sector.」
Although COVID-19 continues to affect food-service demand, sales in the food-service sector recovered as activity restrictions were lifted and the number of infections declined, resulting in higher sales year on year. - FY2023-Q1RestatedAnnual report
「The group has been affected by COVID-19, particularly in the food-service sector, but expects the impact to be limited.」
Although the impact of COVID-19 remains, particularly in the food-service sector, the company expects it to be limited. Sales rose 9.9% year on year due in part to the recovery in food-service demand. - FY2022MitigatedAnnual report
「Although sales were affected by the closure of restaurants and other establishments, reduced operating hours and tighter activity restrictions, including bans on serving alcoholic beverages, to prevent the spread of COVID-19, the impact was limited compared with the previous consolidated fiscal year.」
Although the risk of demand declines and production stoppages due to COVID-19 remains, the company explained that the impact for the full fiscal year was less severe than in the previous year and that sales recovered. - FY2022-Q3MitigatedAnnual report
「Net sales recovered to the level of the same quarter two years earlier, before the impact of COVID-19, as sales to fast-food customers remained strong and sales, particularly in the food-service sector, recovered after October, when restrictions on activity were lifted.」
Although the decline in food-service demand due to COVID-19 persisted, sales, particularly in the food-service sector, recovered after restrictions on activity were lifted and returned to pre-pandemic levels. - FY2022-Q2MitigatedAnnual report
「Although sales were affected by restaurant closures, reduced operating hours and other stricter restrictions on activity, including bans on serving alcoholic beverages, to prevent the spread of COVID-19, the impact was limited compared with the same quarter of the previous year. As sales recovered in the food-service sector and elsewhere, and as we expanded sales mainly to fast-food customers, revenue increased year on year.」
Although COVID-19 continued to affect food-service demand, the impact was less severe than in the same period of the previous year, and sales increased year on year. - FY2022-Q1MaterialisedAnnual report
「Sales were affected by factors including the closure of restaurants and other establishments and reduced operating hours to prevent the spread of COVID-19, but the impact was limited compared with the same quarter of the previous year. As sales recovered in the food-service and other sectors and we expanded sales, particularly in the fast-food sector, sales increased year on year, although they did not reach the level of the same quarter two years earlier, before the impact of COVID-19.」
Although closures and reduced operating hours continued to reduce sales as a result of the pandemic, the impact was less severe than in the previous year, and the company reported recovery in the food-service and other sectors and higher sales year on year. - FY2021MaterialisedAnnual report
「As a result, sales declined from the previous consolidated fiscal year, but exceeded the sales forecast announced on 11 August 2020.」
Although the impact of COVID-19 on food-service and takeout demand resulted in a full-year decline in sales, sales exceeded the announced forecast. - FY2021-Q3MaterialisedAnnual report
「However, sales in the food-service sector have been materially affected by the closure of restaurants, commercial facilities and other establishments and reduced operating hours accompanying the spread of COVID-19.」
The decline in food-service demand due to COVID-19 continued through the nine months ended the third quarter, with consolidated sales down 9.0% and consolidated ordinary profit down 34.8% year on year. - FY2021-Q2MaterialisedAnnual report
「However, sales in the food-service sector have been materially affected by the closure of restaurants, commercial facilities and other establishments and reduced operating hours accompanying the spread of COVID-19.」
The decline in food-service demand due to COVID-19 continued to affect first-half results, with consolidated sales down 11.2% year on year. However, the rate of decline narrowed compared with the first quarter. - FY2021-Q1MaterialisedAnnual report
「However, sales in the food-service sector have been materially affected by the closure of restaurants, commercial facilities and other establishments and reduced operating hours accompanying the spread of COVID-19.」
The decline in food-service demand due to COVID-19 was reflected in first-quarter results: consolidated sales fell 15.1% year on year and an ordinary loss of ¥36 million was recorded. Uncertainty remains regarding the amount of the impact from the infection. - FY2020First statedAnnual report
「“The COVID-19 outbreak could, depending on the situation, force the group's production plants to suspend operations.” “However, sales have declined in the food-service industry and elsewhere due to a sharp decrease in visitors to Japan, refraining from travel and going out, and event cancellations, as well as fewer opportunities to purchase takeout meals because of working from home.” “For the fiscal year ending March 2021, we have established a special task force and implemented measures to secure the best possible profit, but the extent of the impact remains unclear at this point, making it difficult to reasonably estimate and quantify the effect on performance.”」
The company has for the first time identified COVID-19 as a separate risk, explicitly noting the possibility of production plant shutdowns, declining demand for food-service and takeout meals, and an impact on sales. It states that the decline in sales has already occurred, while the impact on the fiscal year ending March 2021 cannot be estimated quantitatively.