Economic stagnation and delays in product shipments caused by the spread of COVID-19
First written in FY2020-Q3. 8 of 16 entries say "Worsened", first in FY2021-Q2. Latest entry: FY2025.
The whole theme swung hardest in 2020: 103 of 175 companies on the "Worse" side.
- FY2025RestatedAnnual report
「In addition, although the Company considers the spread of COVID-19 to have subsided, it has established a structure to maintain sales activities while reducing opportunities for contact by using web conferencing systems and remote work as necessary.」
The company continued to report that the spread of COVID-19 had subsided and that it maintained a system for continuing sales activities through web conferences and telework as necessary. - FY2024MitigatedAnnual report
「In addition, although the Company considers the spread of COVID-19 to have subsided, it has established a structure to maintain sales activities while reducing opportunities for contact by using web conferencing systems and remote work as necessary.」
The company indicated that the spread of COVID-19 had subsided and maintained a system for continuing sales activities using web conferences and telework as necessary. - FY2024-Q3MitigatedAnnual report
「During the nine-month period ended the third quarter of the current consolidated fiscal year, Japan's economy showed signs of recovery as COVID-19 subsided. However, prices continued to rise amid the weaker yen and unstable international conditions, raising concerns about downward pressure on the economy.」
The company reported signs of an economic recovery as COVID-19 subsided, indicating that the risk of economic stagnation from the infectious disease had declined from previously. Meanwhile, yen depreciation, high prices and unstable international conditions continued. - FY2023-Q3MitigatedAnnual report
「During the nine-month period ended the third quarter of the current consolidated fiscal year, Japan's economy was at a stage where a degree of visibility had emerged regarding the containment of COVID-19, as the government decided to downgrade its classification under the Infectious Diseases Control Law to Category 5, the same as influenza, from May 2023. Economic activity is therefore expected to be raised in stages.」
The company indicated that a degree of visibility had emerged regarding the containment of COVID-19 following the decision to downgrade it to Category 5 from May 2023, and that economic activity would be raised in stages. - FY2023-Q2WorsenedAnnual report
「In China, continued mobility restrictions under the zero-COVID policy have caused economic activity to stagnate. Disruptions in ocean shipping and semiconductor shortages have also continued, and conditions remain uncertain.」
The company reported that mobility restrictions and economic stagnation resulting from China's zero-COVID policy continued, while disruptions in ocean shipping and semiconductor shortages also persisted. - FY2023-Q1WorsenedAnnual report
「Regarding foreign exchange conditions, the actual purchase exchange rate for the cumulative first quarter of the current consolidated fiscal year was ¥132.57 to the US dollar, indicating a weaker yen than in the same quarter of the previous year. In addition, the effects of higher overseas logistics costs and raw material prices resulting from the spread of COVID-19 overlapped, resulting in a gross margin of 25.3%, down 11.5 percentage points from the same quarter of the previous year.」
The impact of higher overseas logistics costs and raw material prices associated with the spread of COVID-19 continued, and the gross margin on sales declined 11.5 percentage points year on year. Infectious disease-related supply and cost impacts also materialized during the current quarter. - FY2022WorsenedAnnual report
「In overseas markets, the sales activities of our consolidated subsidiary 富若慈（上海）貿易有限公司 were also severely restricted as the renewed spread of COVID-19 in China restricted economic activity through lockdowns. As a result, overseas-market sales for the fiscal year decreased 34.6% year on year to ¥120 million.」
The resurgence of COVID-19 in China and restrictions on economic activity due to lockdowns were reflected over the full fiscal year in restrictions on the Shanghai subsidiary's sales activities and a 34.6% year-on-year decline in overseas sales. - FY2022-Q3WorsenedAnnual report
「At our consolidated subsidiary 富若慈（上海）貿易有限公司, performance declined as the renewed spread of COVID-19 in China restricted economic activity through lockdowns. As a result, overseas-market sales for the cumulative third quarter decreased 15.8% year on year to ¥104 million.」
The resurgence of COVID-19 in China and restrictions on economic activity due to lockdowns were reflected in the Shanghai subsidiary's weaker results and a 15.8% year-on-year decline in overseas sales as actual business impacts. - FY2022-Q2WorsenedAnnual report
「As overseas logistics were disrupted by lockdowns in some regions, the company was also affected in terms of cash flow because it temporarily built up substantial inventories to maintain a stable supply.」
Lockdowns in some regions and disruptions to overseas logistics associated with COVID-19 occurred, and the buildup of inventories to ensure a stable supply affected cash flow. - FY2022-Q1WorsenedAnnual report
「In addition, the impact of higher overseas logistics costs and raw material prices resulting from the spread of COVID-19 contributed to a gross margin on sales of 36.8%, down 5.3 percentage points from the same quarter of the previous year.」
Higher overseas logistics costs and raw material prices associated with the spread of COVID-19 actually occurred, reducing the gross margin on sales by 5.3 percentage points year on year. - FY2021RestatedAnnual report
「In addition to the continued lack of visibility on when the global infectious disease outbreak will subside, as the regions affected by variant viruses expand, new issues such as disruptions in ocean shipping and semiconductor shortages have also emerged, and conditions remain uncertain.」
The company continued to report its view of an uncertain environment, including the expanding regions affected by variant viruses, disruptions in ocean shipping and semiconductor shortages. At the same time, it stated that, for accounting estimates, it had determined that the infectious disease would not have a material impact on results. - FY2021-Q3WorsenedAnnual report
「In addition to the continued lack of visibility on when the global infectious disease outbreak will subside, as the regions affected by variant viruses expand, new issues such as disruptions in ocean shipping and semiconductor shortages have also emerged, and conditions remain uncertain.」
The outlook for the end of the infectious disease outbreak remained uncertain as the regions affected by variant viruses expanded. Disruptions in ocean shipping and semiconductor shortages were also newly identified as issues. - FY2021-Q2WorsenedAnnual report
「Regarding the impact of the spread of COVID-19, the previous consolidated annual securities report's Additional Information assumed that "the outbreak would subside by the end of 2020 and economic activity would normalize from 2021." In light of subsequent infection trends, this assumption was changed to assume that "the impact of the spread of COVID-19 would continue for a certain period of the fiscal year ending June 2021," and accounting estimates were made regarding the recoverability of deferred tax assets and other matters.」
The previous assumption that the impact of the infectious disease would subside by the end of 2020 was changed to assume that it would continue for a certain period of the fiscal year ending June 2021. Overseas market sales also decreased 19.4% year on year due to fewer projects at elderly care facilities, reflecting the prolonged and actualized impact. - FY2021-Q1Restrictions eased in some markets, but the impact continuedAnnual report
「Amid these market conditions, sales activities, including new customer development, were strengthened, but sales activities stagnated as COVID-19 infection-control measures restricted direct visits to and product deliveries to some medical and senior-care facilities. As a result, sales in this market during the first quarter of the current consolidated cumulative period decreased 17.4% year on year to ¥237 million.」
Restrictions on welfare equipment rentals were gradually eased after the state of emergency was lifted, and business activity largely returned to normal. However, restrictions on visits and deliveries to medical and elderly care facilities continued to affect sales. - FY2020MaterialisedAnnual report
「In the welfare equipment distribution market, sales of the Miolet III electric care bed for nursing care, launched in November 2018, were strong. However, measures to prevent the spread of COVID-19 following the declaration of a state of emergency on 7 April 2020 restricted the rental of welfare equipment in some regions, including the installation of electric care beds in homes. As a result, sales in this market for the current consolidated fiscal year increased only 1.5% year on year to ¥4,749 million.」
Restrictions on the rental and installation of welfare equipment actually occurred as a result of the spread of COVID-19 and the declaration of a state of emergency, limiting sales growth in the market to 1.5%. - FY2020-Q3First statedAnnual report
「As the novel coronavirus that emerged in China in early 2020 spread rapidly to the Middle East, Southeast Asia and other regions, in addition to Europe and the United States, infections in Japan began to rise in late March. This led to the postponement of the Tokyo Olympic Games and economic activity stagnated worldwide. Against this backdrop, stock markets also fell sharply around the world, and the outlook remained uncertain. Within the Group, consolidated subsidiary Fuwakushi (Shanghai) Trading Co., Ltd. pursued projects at elderly care facilities in China and conducted sales activities for the care-rental market. However, the spread of COVID-19 restricted economic activity in China, resulting in repeated delays in product shipments. Consequently, overseas market sales for the nine-month period ended the third quarter of the current consolidated fiscal year decreased 6.8% year on year to ¥121 million.」
The company first identified the global spread of COVID-19 and the resulting stagnation in economic activity as external risks, and also reported the actual impact of restrictions on economic activity in China, including delays in product shipments and a 6.8% year-on-year decline in overseas market sales.