Front-loaded Demand and Subsequent Pullback Following a Consumption Tax Increase
First written in FY2020-Q2. 1 of 4 entries say "Restated". Latest entry: FY2021.
The whole theme swung hardest in 2026: 4 of 7 companies on the "Worse" side.
32 other companies' latest entry also says "Dropped".
- FY2021DroppedAnnual reportThe explanation of operating results and business risks for the fiscal year contains no explicit new reference to pre-hike demand or a post-hike decline resulting from the consumption tax increase.
- FY2020MaterialisedAnnual report
「The gross profit margin was 19.7%, down 0.2 percentage point from the previous consolidated fiscal year, despite continued efforts to strengthen initiatives for value-added products and negotiate lower procurement costs. This was due, among other factors, to the decision to leave tax-inclusive prices unchanged when the consumption tax was raised in October 2019 and the sharp increase in sales of food products, which have a relatively low gross margin, in the fourth quarter.」
The decision to leave tax-inclusive prices unchanged when the consumption tax was raised emerged in the results as a factor, along with changes in the product mix, that reduced the gross profit margin by 0.2 percentage point. - FY2020-Q3RestatedAnnual report
「During the nine-month period ended 29 February 2020, the Japanese economy became difficult to forecast because of the cooling effect of the consumption tax increase on consumer sentiment and the spread of COVID-19.」
The Company continues to identify the impact of a consumption tax hike on consumer sentiment as a business risk. - FY2020-Q2First statedAnnual report
「In particular, consumers became more price-sensitive following the consumption tax increase in October, resulting in unexpected pre-hike demand in September and a post-hike decline in October.」
The Company states that the consumption tax hike resulted in unexpected pre-hike demand in September before the tax increase and a subsequent decline in demand in October.