Economic stagnation and credit risk caused by COVID-19
First written in FY2021-Q1. 6 of 12 entries say "Restated". Latest entry: FY2024.
The Hyakujushi Bank moved to the "Worse" side of this theme in 2020, 1 year before the typical company in this theme (2021).
The whole theme swung hardest in 2020: 12 of 31 companies on the "Worse" side.
0 other companies' latest entry also says "Worsened".
- FY2024WorsenedAnnual report
「With respect to the impact of repayments beginning on COVID-19 special loans, this risk may materialize depending on customers' circumstances going forward.」
The disclosure specifies that credit risk may materialize depending on customers' circumstances when repayments on COVID-19 special loans begin. - FY2023WorsenedAnnual report
「The Bank has recognized an allowance for loan losses based on the assumption that, although the risk of cash-flow difficulties may increase for some borrowers when repayments begin on COVID-19 special loans, the normalization of corporate activity as COVID-19 subsides, together with the launch of new government-backed refinancing guarantee programs, will not materially affect borrower classifications or other assessments.」
The disclosure newly specifies that the risk of cash-flow difficulties may increase for some borrowers when repayments on COVID-19 special loans begin. - FY2023-Q3RestatedAnnual report
「We assume that the impact of economic activity stagnation accompanying the spread of COVID-19 will continue during the current consolidated fiscal year and will have a certain impact, particularly on the credit risk associated with loans and other assets. There have been no material changes to this assumption from the information disclosed in the previous fiscal year's securities report under “Notes (Significant Accounting Estimates) (Allowance for Loan Losses).” This assumption is uncertain, and if the spread of COVID-19 or its impact on economic activity changes, the allowance for loan losses in the consolidated financial statements for the current consolidated fiscal year (31 March 2023) and thereafter may increase or decrease.」
The assumption that economic activity stagnation caused by COVID-19 will affect credit risk has been maintained, with no material changes from the previous fiscal year. The disclosure also states that the allowance for loan losses may increase or decrease because of uncertainty. - FY2023-Q2RestatedAnnual report
「We assume that the impact of economic activity stagnation accompanying the spread of COVID-19 will continue during the current consolidated fiscal year and will have a certain impact, particularly on the credit risk associated with loans and other assets. There have been no material changes to this assumption from the information disclosed in the previous fiscal year's securities report under “Notes (Significant Accounting Estimates) (Allowance for Loan Losses).”」
The assumption that economic activity stagnation caused by COVID-19 will affect the credit risk associated with loans and other assets has been maintained, with no material changes from the previous fiscal year. - FY2023-Q1RestatedAnnual report
「We assume that the impact of economic activity stagnation accompanying the spread of COVID-19 will continue during the current consolidated fiscal year and will have a certain impact, particularly on the credit risk associated with loans and other assets. There have been no material changes to this assumption from the information disclosed in the previous fiscal year's securities report under “Notes (Significant Accounting Estimates) (Allowance for Loan Losses).”」
The assumption that economic activity stagnation caused by COVID-19 will affect the credit risk associated with loans and other assets has been maintained, with no material changes from the previous fiscal year. - FY2022-Q3RestatedAnnual report
「We assume that the impact of economic activity stagnation accompanying the spread of COVID-19 will continue during the current consolidated fiscal year and will have a certain impact, particularly on the credit risk associated with loans and other assets. There have been no material changes to this assumption from the information disclosed in the previous fiscal year's securities report under “Notes (Significant Accounting Estimates) (Allowance for Loan Losses).”」
The assumption that economic activity stagnation caused by COVID-19 will affect credit risk has been maintained, with no material changes from the previous fiscal year. - FY2022-Q2RestatedAnnual report
「We assume that the impact of economic activity stagnation accompanying the spread of COVID-19 will continue during the current consolidated fiscal year and will have a certain impact, particularly on the credit risk associated with loans and other assets. There have been no material changes to this assumption from the information disclosed in the previous fiscal year's securities report under “Notes (Significant Accounting Estimates) (Allowance for Loan Losses).”」
The assumption that economic activity stagnation caused by COVID-19 will affect credit risk has been maintained, with no material changes from the previous fiscal year. - FY2022-Q1RestatedAnnual report
「We assume that the impact of economic activity stagnation accompanying the spread of COVID-19 will continue during the current consolidated fiscal year and will have a certain impact, particularly on the credit risk associated with loans and other assets. There have been no material changes to this assumption from the information disclosed in the previous fiscal year's securities report under “Notes (Significant Accounting Estimates) (Allowance for Loan Losses).”」
The assumption that economic activity stagnation caused by COVID-19 will affect credit risk has been maintained, with no material changes from the previous fiscal year. - FY2021WorsenedAnnual report
「As the impact of COVID-19 has been prolonged, the risk of an adverse effect on customers' business conditions and the Bank's business continuity framework has increased.」
The impact of COVID-19 has been prolonged, and the disclosure states that risks to customers' business conditions and the business continuity framework have increased. - FY2021-Q3MaterialisedAnnual report
「During the first nine months of the current consolidated fiscal year, the Japanese economy suffered a sharp downturn due to the impact of the spread of COVID-19, although signs of recovery were seen in some areas, including corporate production activities. We assume that the impact of economic activity stagnation accompanying the spread of COVID-19 will continue during the current consolidated fiscal year and will have a certain impact, particularly on the credit risk associated with loans and other assets.」
The impact of COVID-19 on economic activity has continued, and the accounting assumption that it will affect the credit risk associated with loans and other assets has been maintained. - FY2021-Q2MaterialisedAnnual report
「The Group, comprising the Bank and its consolidated subsidiaries, made addressing the impact of COVID-19 on local communities and the economy a priority. In addition to working to prevent infections among employees, the Group worked to fulfill its financial intermediation function by supporting customers with their cash-flow needs. We assume that the impact of economic activity stagnation accompanying the spread of COVID-19 will continue during the current consolidated fiscal year and will have a certain impact, particularly on the credit risk associated with loans and other assets.」
The impact of COVID-19 on local communities and the economy has continued, and the assumption that it will affect credit risk has been maintained. The Group's response, including support for customers' cash-flow needs, is also described. - FY2021-Q1MaterialisedAnnual report
「During the first quarter of the current consolidated fiscal year, the Japanese economy deteriorated further as the spread of COVID-19 affected a wide range of industries, causing declines in corporate production and exports as well as personal consumption. We assume that the impact of economic activity stagnation accompanying the spread of COVID-19 will continue during the current consolidated fiscal year and will have a certain impact, particularly on the credit risk associated with loans and other assets.」
The deterioration in production, exports and personal consumption caused by COVID-19 is described as an actual impact. Meanwhile, the impact on credit risk associated with loans and other assets and changes in the allowance for loan losses are described as accounting assumptions and possibilities. The time horizon extends through the current consolidated fiscal year and from the second quarter onward.