Business and Performance Risks Arising from the Spread of COVID-19
First written in FY2020. 6 of 12 entries say "Worsened", first in FY2022-Q1. Latest entry: FY2023.
The whole theme swung hardest in 2020: 103 of 175 companies on the "Worse" side.
- FY2023SoftenedAnnual report
「Although restrictions on activity have been eased and economic activity is returning to normal in various countries, a clear economic recovery remains difficult to foresee. In addition, downside risks remain from the impact of a renewed spread of COVID-19 in some regions,」
Regarding COVID-19-related risks, the Company described an improved environment resulting from the easing of activity restrictions and normalization of economic activity, while downside risks from a renewed spread continued. - FY2023-Q3MaterialisedAnnual report
「Although production volumes partially declined because the easing of China’s zero-COVID policy in December 2022 was followed by a spread of infections and lower operating rates at Chinese factories,」
COVID-19-related risks appeared in actual operations as infections spread following the easing of China’s zero-COVID policy, operating rates at Chinese factories declined, and production volumes partially decreased. - FY2023-Q2WorsenedAnnual report
「In China, the economy declined because large-scale lockdowns implemented under the zero-COVID policy restricted activity.」
Regarding COVID-19-related risks, restrictions on activity and economic decline caused by large-scale lockdowns in China appeared in the business environment during the quarter, and the impact on supply and production continued. - FY2023-Q1WorsenedAnnual report
「In China, growth stagnated because lockdowns implemented under the zero-COVID policy constrained supply.」
Regarding COVID-19-related risks, lockdowns under China’s zero-COVID policy appeared in the business environment during the quarter as supply constraints and sluggish growth. - FY2022WorsenedAnnual report
「In addition, depending on circumstances such as a renewed spread of COVID-19, there is a downside risk from severe measures such as China’s zero-COVID policy. If such developments occur beyond the scope assumed by the Company, they may affect the Group’s performance and financial condition.」
Regarding COVID-19 risks, the Company specified downside risks from severe measures such as China’s zero-COVID policy, in addition to variants and a renewed spread of infections. - FY2022-Q3WorsenedAnnual report
「Although vaccination has progressed in Europe and the United States, infections with variants have spread. In the ASEAN region, a concentration of parts manufacturers, vaccination rates remain low and lockdowns have spread, leaving the economic outlook uncertain. In the electronic components industry, the impact of semiconductor shortages, which had already become apparent in the previous fiscal year, expanded. In addition, supplies of components other than semiconductors became unstable, further intensifying supply chain disruptions.」
The spread of variants associated with COVID-19, lockdowns in ASEAN, shortages of components including semiconductors, and supply chain disruptions continued and became more severe. - FY2022-Q2WorsenedAnnual report
「Although vaccination has progressed in Europe and the United States, infections with variants have spread. In the ASEAN region, a concentration of parts manufacturers, vaccination rates remain low and lockdowns have spread, leaving the economic outlook uncertain. In the electronic components industry, the impact of semiconductor shortages, which had already become apparent in the previous fiscal year, expanded. In addition, supplies of components other than semiconductors became unstable, further intensifying supply chain disruptions.」
As the spread of COVID-19 continued, shortages of semiconductors and other components, as well as supply chain disruptions, expanded and became more severe, in addition to the spread of variants and lockdowns in ASEAN. - FY2022-Q1WorsenedAnnual report
「However, supply chain disruptions caused by factory shutdowns, increased stay-at-home demand and semiconductor shortages accompanying the rapid economic recovery continued to spread and worsen across regions, particularly in the ASEAN region.」
The Company stated that, as the spread of COVID-19 continued, semiconductor shortages and supply chain disruptions associated with the economic recovery were expanding and worsening, and continued to affect the business environment. - FY2021-Q3MaterialisedAnnual report
「During the cumulative third quarter, the Group was affected by the spread of COVID-19, including through a decline in net sales.」
The impact of the spread of COVID-19 continued through the nine-month cumulative period and appeared in actual performance as deterioration in the electronic components, automotive information equipment and logistics businesses. - FY2021-Q2MaterialisedAnnual report
「During the cumulative second quarter, the Group was affected by the spread of COVID-19, including through a decline in net sales.」
The impact of the spread of COVID-19 continued through the first half and appeared in actual performance as lower sales and profits, and operating losses, in the automotive, mobile and logistics businesses. - FY2021-Q1MaterialisedAnnual report
「The global economy during the cumulative first quarter was sluggish in the United States, where the spread of COVID-19 had a significant impact and consumption declined due to restrictions on going out. In Europe as well, the spread of COVID-19 had a significant impact, consumption declined due to lockdowns in major cities, and economic stagnation continued.」
The risk of COVID-19 spreading affected actual first-quarter performance through lower consumption and economic stagnation in the United States and Europe, as well as lower sales and operating losses in each business. - FY2020First statedAnnual report
「The spread of COVID-19 has had a significant impact on economic activity worldwide, prompting the Group’s customers and business partners to suspend production, scale back operations and take other measures. The Group has also adjusted production at its factories as necessary in response to fluctuations in order values, and suspended or reduced production to ensure employee safety. As a result, the Group has been forced to contend with lower sales and operating rates. At present, global vehicle sales in 2020 are expected to decline 20% year on year, with a particularly significant impact expected on the performance of the automotive business.」
The Company identified the suspension of customer operations and its own factories, declining sales and lower operating rates caused by COVID-19 as new major risks, and also stated that global vehicle sales were expected to decline 20% and that achievement of ITC101 was expected to be delayed by approximately one year.