Demand, supply and liquidity risks arising from the spread of COVID-19
First written in FY2020. 5 of 12 entries say "Materialised", first in FY2021-Q1. Latest entry: FY2026.
The whole theme swung hardest in 2020: 103 of 175 companies on the "Worse" side.
- FY2026DroppedAnnual report
「If a serious epidemic occurs, the Group may be unable to maintain a stable supply of products because production activities could be disrupted by damage to the Group's production sites or employee infections, which could affect operating results and financial position.」
There is no separate disclosure treating the spread of COVID-19 as a standalone risk; epidemic risk has been reorganised under the general category of risks such as disasters and epidemics. - FY2024-Q1Economic normalisation following the reclassification of COVID-19 as a Class 5 disease under the Infectious Diseases Control LawAnnual report
「Japan's economy gradually normalized its economic and social activity as COVID-19 was reclassified under the Infectious Diseases Control Law, and inbound demand also recovered. However, the recovery remained moderate due to soaring raw-material and energy prices, rising prices, and other factors.」
The report describes the normalisation of economic and social activity and the recovery in inbound demand following the reclassification of COVID-19 as a Class 5 disease, while uncertainties including surging raw material and energy prices remain. - FY2023-Q2RestatedAnnual report
「During the second quarter of the fiscal year (1 April 2022 to 30 September 2022), the global economy remained uncertain, owing to soaring raw material and energy prices and parts shortages resulting from the prolonged Russia-Ukraine situation, as well as supply chain disruptions caused by lockdowns in major Chinese cities accompanying the spread of COVID-19.」
The impact of the spread of COVID-19 continues in the form of supply chain disruptions caused by lockdowns in major Chinese cities. - FY2023-Q1MaterialisedAnnual report
「During the first quarter of the fiscal year (1 April 2022 to 30 June 2022), the global economy remained uncertain, owing to parts shortages and soaring energy prices resulting from the Russia-Ukraine situation, as well as logistics disruptions caused by lockdowns in major Chinese cities accompanying the spread of COVID-19.」
The impact of the spread of COVID-19 emerged in the business environment as logistics disruptions caused by lockdowns in major Chinese cities. - FY2022-Q3RestatedAnnual report
「This was because orders and other business were recovering, compared with the same period of the previous year, when production and capital investment demand among major customers, including those in the automotive industry, had declined due to the spread of COVID-19.」
The company continues to explain that orders and other business are recovering from the decline in production and capital investment demand among major customers that emerged in the same period of the previous year. The report also continues to indicate uncertainty caused by the resurgence of infections and restrictions on economic activity. - FY2022-Q2RestatedAnnual report
「Although difficult conditions continued due to the global spread of COVID-19, the economy generally began to recover as a result of economic policies in various countries and progress in vaccinations, particularly in developed countries.」
The report describes a recovery in demand driven by economic policies and progress in vaccination, while also indicating throughout that restrictions on economic activity and uncertainty over the outlook due to the resurgence of infections continue. - FY2022-Q1Demand Recovery alongside Risk of Further SpreadAnnual report
「This was because orders and other business were recovering, compared with the same period of the previous year, when production and capital investment demand among major customers, including those in the automotive industry, had declined due to the spread of COVID-19.」
As orders and other business began to recover from the decline in demand that emerged in the same period of the previous year, orders received during the quarter increased 40.5% year on year and net sales increased 23.3%. Meanwhile, restrictions on economic activity due to the resurgence of infections and uncertainty over the outlook continued. - FY2021MaterialisedAnnual report
「Order intake for the consolidated fiscal year was ¥189,875 million, down 17.2% year on year, and net sales were ¥193,399 million, down 14.6%. Operating income was ¥8,896 million, down 44.9%, ordinary income was ¥11,026 million, down 34.0%, and net income attributable to owners of the parent was ¥8,706 million, down 24.8%.」
The impact of COVID-19 extended to all reportable segments and was reflected in full-year results as declines in orders received, net sales and operating profit, among other items. - FY2021-Q3MaterialisedAnnual report
「All of the Group's reportable segments were affected by the COVID-19 pandemic. In this environment, orders received during the cumulative third quarter were ¥133,756 million, down 23.6% year on year, while net sales were ¥137,531 million, down 18.7%. Operating profit was ¥4,301 million, down 65.9%; ordinary profit was ¥5,956 million, down 55.2%; and profit attributable to owners of the parent was ¥5,120 million, down 46.8%.」
The impact of COVID-19 extended to all reportable segments and was reflected in cumulative third-quarter results as a 23.6% decrease in orders received, an 18.7% decrease in net sales, and a 65.9% decrease in operating profit. - FY2021-Q2MaterialisedAnnual report
「All of the Group's reportable segments were affected by the spread of COVID-19.」
The impact of the spread of COVID-19 extended to all reportable segments and was reflected in cumulative second-quarter results as a 30.6% decrease in orders received, a 22.6% decrease in net sales, and a 63.0% decrease in operating profit. - FY2021-Q1MaterialisedAnnual report
「All segments of the Group were affected by the spread of COVID-19. In this environment, orders received during the cumulative first quarter were ¥39,608 million, down 41.8% year on year, while net sales were ¥40,829 million, down 27.0%. This was because orders and other business declined as the global economy slowed rapidly due to the spread of COVID-19, reducing production and demand for capital investment among major customers, including those in the automotive industry.」
The decline in demand caused by the spread of COVID-19 affected all segments and was reflected in a 41.8% decrease in orders received and a 27.0% decrease in net sales, owing to lower production and capital investment demand among major customers. - FY2020First statedAnnual report
「The spread of COVID-19 has not subsided, amid concerns over a second wave of infections. If the time required for the situation to subside is prolonged, it may have a material impact on the Group's operating results and financial position through a further economic downturn, lower personal consumption and reduced capital investment.」
The spread of COVID-19 was identified for the first time as a standalone risk, with potential impacts including lower demand, reduced capital investment, supply chain disruptions, production stoppages and liquidity constraints. The spread of the infection itself had already occurred during the fiscal year.