Decline in Travel Demand Due to Infectious Diseases, Economic Conditions, Disasters and Other Factors

「According to the Japan Tourism Agency's Accommodation Travel Statistics Survey (final figures), the total number of guest nights in 2025 was 661.11 million, up 0.3% year on year. Of this total, guest nights by Japanese nationals were 481.18 million, down 2.7%, while guest nights by foreign nationals were 179.92 million, up 9.4%.」

「In 2023, total guest nights were 617.47 million, up 37.1% year on year. Of this total, guest nights by Japanese nationals were 499.72 million, up 15.2%, while guest nights by international visitors were 117.75 million, up 613.5%. The industry as a whole had returned to pre-pandemic levels.」

「Domestic guest nights in fiscal 2023 totaled 592.75 million, up 31.6% year on year. Of this total, Japanese guest nights were 478.42 million, up 10.2%, and foreign guest nights were 114.34 million, up 592.8%, bringing the total to nearly pre-pandemic levels.」

「According to the preliminary results of the same survey, total guest nights in September 2023 were 50.28 million, up 27.8% year on year. Of this total, Japanese guest nights were 40.74 million, up 5.8%, and foreign guest nights were 9.53 million, up 1,054.7%. The recovery in travel demand has continued following the reclassification of COVID-19 as a Class 5 infectious disease.」

「According to the Tourism Agency's "Accommodation Travel Statistics Survey Report" (preliminary figures), domestic guest nights in fiscal 2022 totaled 453.97 million, up 42.9% year on year. Of this total, Japanese guest nights were 437.21 million, up 39.5%, while foreign guest nights were 16.76 million, up 288.2%, indicating a marked recovery from the effects of the spread of COVID-19.」

「According to the preliminary results of the same survey, total guest nights in December 2022 alone increased 20.0% year on year to 47.03 million, while foreign guest nights increased 1,695.8% to 5.93 million, indicating substantial recovery from the prior year.」

「According to the preliminary results of the same survey, total guest nights in September 2022 alone increased 71.9% year on year to 39.14 million, while foreign guest nights increased 179.7% to 820,000, indicating substantial recovery from the prior year.」

「Total guest nights in fiscal 2021 were 317.77 million, down 46.7% from 2019 and 4.2% year on year. Of this total, Japanese guest nights were 313.46 million, down 34.7% from 2019 but up 0.7% year on year, while foreign guest nights were 4.32 million, down 96.3% from 2019 and 78.8% year on year. The industry as a whole continued to be affected by the spread of COVID-19, as in the previous year. Meanwhile, according to the preliminary results of the same survey, total guest nights in June 2022 alone increased 73.4% year on year to 34.51 million, showing substantial signs of recovery from the prior year.」

「In fiscal 2021, domestic guest nights totaled 314.97 million, down 47.1% from 2019 and 5.0% year on year. Of this total, guest nights by Japanese nationals were 310.76 million, down 35.3% from 2019 and 0.2% year on year, while guest nights by international visitors were 4.21 million, down 96.4% from 2019 and 79.3% year on year. Overall domestic guest nights continued to decline, as in 2020. In March 2022, domestic guest nights totaled 33.38 million, up 22.3% year on year, while guest nights by international visitors totaled 340,000, up 28.0% year on year. Both figures are preliminary, indicating a recovery trend from the impact of the spread of COVID-19 and other factors.」

「In fiscal 2020, domestic guest nights totaled 331.65 million, down 44.3% year on year. Of this total, guest nights by Japanese nationals were 311.31 million, down 35.2%, while guest nights by international visitors were 20.35 million, down 82.4%, resulting in a substantial overall decline in domestic guest nights. According to a press release issued by the Japan National Tourism Organization (JNTO), the number of international visitors to Japan in fiscal 2020 was 4.115 million, down 87.1% year on year. Although the environment surrounding the Group's core travel business is changing rapidly due to the spread of COVID-19 and other factors, domestic guest nights in December 2021 totaled 39.78 million, up 32.4% from the same month of the previous year, while guest nights by international visitors totaled 320,000, down 42.2% year on year. Both figures are preliminary.」

「Although conditions surrounding the Group’s principal travel business have been changing rapidly due to the spread of COVID-19 and other factors, domestic overnight stays in September 2021 fell 20.5% year on year to 22.69 million, while overnight stays by foreign visitors rose 26.0% to 280,000, both on a preliminary basis.」

「Domestic guest nights in fiscal 2020 totaled 331.65 million, down 44.3% year on year. Of this total, Japanese guest nights were 311.31 million, down 35.2%, and foreign guest nights were 20.35 million, down 82.4%, resulting in a substantial overall decline in domestic guest nights. Meanwhile, in June 2021 alone, domestic guest nights increased 37.6% year on year to 19.57 million, while foreign guest nights increased 44.4% to 260,000, both preliminary figures, indicating signs of recovery from the prior year.」

「Domestic guest nights in fiscal 2020 totaled 304.8 million, down 48.9% year on year. Of this total, Japanese guest nights were 286.77 million, down 40.3%, and foreign guest nights were 18.03 million, down 84.4%. Although the environment surrounding our core travel business is changing rapidly due to the recent spread of COVID-19 and other factors, total guest nights in March 2021 were 27.26 million, a preliminary figure up 13.9% year on year, indicating signs of recovery from the prior year.」

「Meanwhile, amid the ongoing spread of COVID-19, total guest nights in December 2020 were 29.25 million, a preliminary figure down 37.9% year on year. Although recovery was evident compared with the second half of the previous fiscal year, when a state of emergency was declared, the figure remained substantially below the prior year.」

「Meanwhile, amid the ongoing spread of COVID-19, total guest nights in September 2020 were 25.55 million, a preliminary figure down 47.6% year on year. Although recovery was evident compared with the second half of the previous fiscal year, when a state of emergency was declared, the figure remained substantially below the prior year.」

「As of the end of the current consolidated fiscal year, the Group expects the impact of COVID-19 to continue reducing revenue from the next consolidated fiscal year through the consolidated fiscal year after next, followed by a gradual recovery. However, concerns over the increasing risk of an economic recession have intensified uncertainty about the outlook, and the company recognizes that its business risks need to be addressed from both the short- and medium-term perspectives.」

「Meanwhile, conditions surrounding the Group’s principal travel business have deteriorated sharply due to the spread of COVID-19. In March 2020 alone, domestic overnight stays fell 49.6% year on year to 23.61 million, while overnight stays by foreign visitors fell 85.9% to 1.18 million, both on a preliminary basis.」

「In light of the impact of the consumption tax increase and the decline in inbound demand from South Korea, among other factors, the company is not disclosing its performance targets because it is currently difficult to make reasonable profit and loss forecasts based on market and customer trends.」

「If consumer willingness to travel declines as a result of the global emergence and spread of infectious diseases, including in Japan, changes in weather conditions, an economic downturn or other factors, if tourism infrastructure is damaged by changes in the global situation such as terrorism or war, natural disasters or accidents, or if turmoil in the global situation arises from sudden exchange-rate fluctuations, the Group’s business and performance may be affected.」

「If consumer willingness to travel declines as a result of the global emergence and spread of infectious diseases, including in Japan, changes in weather conditions, an economic downturn or other factors, if tourism infrastructure is damaged by changes in the global situation such as terrorism or war, natural disasters or accidents, or if turmoil in the global situation arises from sudden exchange-rate fluctuations, the Group’s business and performance may be affected.」