Declining Passenger Demand Due to Demographic Aging and a Falling Birthrate
First written in FY2016. 2 of 6 entries say "Worsened", first in FY2017. Latest entry: FY2026.
Hiroshima Electric Railway moved to the "Worse" side of this theme in 2026, 6 years after the typical company in this theme (2020).
The whole theme swung hardest in 2024: 3 of 12 companies on the "Worse" side.
3 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「In the railway business, which is centered on transporting commuters and students, the profit or loss generated by operating activities in which the railway business asset group is used has remained negative, due in part to the decline in the working and school-going population resulting from Japan’s declining birthrate and aging population.」
The decline in demand due to Japan’s declining birthrate and aging population has materialized as ongoing operating losses in the railway business and an asset-related issue in the form of indications of impairment. - FY2025RestatedAnnual report
「Our Group has identified “providing safe and reliable services” and “enhancing the value of transportation services” as management strategies, and will seek to increase use by older people and others by replacing vehicles with barrier-free models and developing transportation environments that are easy for everyone to use.」
The company continues to recognize the risk of a decline in the commuting and school-going population due to Japan’s declining birthrate and aging population, and has outlined a policy of addressing it through barrier-free vehicles and improvements to the user environment. - FY2019RaisedAnnual report
「In addition, declining working-age population has made it difficult to secure vehicle drivers, and if this makes it difficult to maintain routes, earnings may be affected.」
The company specified the potential impact on passenger transportation, from declining passenger demand due to Japan’s declining birthrate and aging population to difficulties securing drivers and maintaining routes due to the declining working-age population. - FY2018RestatedAnnual report
「The company expects the challenging business environment in the transportation business to continue, due to declining passenger numbers resulting from the declining birthrate and aging population, higher fuel costs caused by fluctuations in crude oil prices, and a shortage of bus drivers.」
The decline in passenger numbers due to Japan’s declining birthrate and aging population continues to be identified as a risk, along with a shortage of bus drivers. - FY2017WorsenedAnnual report
「As the declining birthrate and aging population progress, passenger numbers are trending downward, and the company expects the challenging business environment to continue.」
The company states that declining passenger demand due to the declining birthrate and aging population is not merely a future concern, but is already reflected in a downward trend in passenger numbers. - FY2016First statedAnnual report
「The decline in the working-age and school-age populations resulting from the declining birthrate and aging population will reduce revenue from the rail and tram business and bus business, which are centered on transporting commuters and students.」
The company identifies the decline in the working-age and school-age populations as a risk that will reduce demand for rail, tram and bus services and lower revenue.