Inability to Operate Overseas Tours Due to the Spread of COVID-19 and Its Impact on Earnings and Cash Flow
First written in FY2020-Q2. 7 of 17 entries say "Mitigated", first in FY2022-Q3. Latest entry: FY2024.
Eurasia Travel moved to the "Worse" side of this theme in 2020.
The whole theme swung hardest in 2020: 3 of 6 companies on the "Worse" side.
3 other companies' latest entry also says "Mitigated".
- FY2024MitigatedAnnual report
「The Group has, although not completely, largely emerged from the impact of the spread of COVID-19 that continued from around March 2020.」
The company explains that it has, although not completely, largely emerged from the impact of the spread of COVID-19. This was a fiscal year without restrictions on entry into or departure from Japan, and operating revenue recovered to 80.3% of the full-year pre-COVID level. - FY2024-Q1MitigatedAnnual report
「For the first time since the spread of COVID-19, the Group was able to begin a new consolidated fiscal year without restrictions on entry into or departure from Japan.」
The company states that, for the first time since the spread of COVID-19, there were no institutional restrictions on entry into or departure from Japan or on overseas travel, with the previous restrictions on tour operations eased further. - FY2023MitigatedAnnual report
「On 8 May 2023, COVID-19 was classified as a Category 5 infectious disease under the Act on the Prevention of Infectious Diseases and Medical Care for Patients with Infectious Diseases. This largely eliminated the restrictions on operating overseas tours, accelerating the recovery in demand for overseas travel.」
The reclassification of COVID-19 as a Category 5 infectious disease largely eliminated the institutional restrictions on operating overseas tours. Full-year operating revenue recovered to 51.4% of the same period before COVID-19, but the disclosure does not state that demand had fully recovered. - FY2023-Q3MitigatedAnnual report
「On 11 October 2022, the cap on the number of arrivals, which had been set at 50,000 per day, was lifted. On 8 May 2023, COVID-19 was removed from the category of novel influenza-like infectious diseases, equivalent to Category 2 infectious diseases, under the Act on the Prevention of Infectious Diseases and Medical Care for Patients with Infectious Diseases, and was classified as a Category 5 infectious disease. These easings of border-control measures and COVID-19's classification under the Infectious Diseases Act have largely eliminated the institutional restrictions on operating overseas group tours, and further easing is expected.」
The company explains that the lifting of the cap on arrivals and the reclassification of COVID-19 as a Category 5 infectious disease has largely eliminated the institutional restrictions on operating overseas group tours. - FY2023-Q2MitigatedAnnual report
「The easing of border-control measures for COVID-19 and the disease's classification under the Infectious Diseases Act has largely eliminated the institutional restrictions on operating overseas group tours, and further easing is expected.」
The company explains that the easing of border-control measures and COVID-19's classification under the Infectious Diseases Act has largely eliminated the institutional restrictions on overseas group tours. Demand has recovered since overseas tours resumed, but operating revenue remains at 37.0% of the pre-COVID level, and the potential impact of the recovery in international passenger flights and other factors remains. - FY2023-Q1RestatedAnnual report
「In line with the easing of border-control measures, including the Ministry of Foreign Affairs lowering its overseas infectious disease travel advisory for 106 countries from Level 3 to Level 2 on 1 April 2022, the company resumed overseas group tours subject to certain restrictions. However, demand for overseas travel has yet to fully recover.」
Following the easing of border-control measures, the company resumed overseas group tours subject to certain restrictions, while continuing to explain that demand for overseas travel had not yet fully recovered. - FY2022MitigatedAnnual report
「Following the global spread of COVID-19, overseas travel from Japan had been effectively impossible since 25 March 2020. However, overseas travel became possible subject to certain restrictions after the Ministry of Foreign Affairs lowered its overseas infectious disease travel advisory for 106 countries from Level 3 to Level 2 on 1 April 2022, among other measures. Accordingly, the Group resumed overseas group tours in July 2022. However, a renewed spread of COVID-19, the reintroduction of stricter border-control measures, or customer sentiment toward COVID-19 could delay the recovery of revenue and affect results and other matters.」
The easing of border-control measures made overseas travel possible subject to certain restrictions after it had effectively been impossible to operate. The Group resumed overseas group tours in July 2022. However, the risk that a renewed spread of infections or tighter border-control measures could delay the recovery of revenue remains. - FY2022-Q3MitigatedAnnual report
「In the third-quarter consolidated accounting period, the government's border-control measures were eased and it became possible to operate overseas tours. However, restrictions hindering a full recovery in overseas travel remained, including the requirement to submit a negative test certificate issued within 72 hours before departure when returning to Japan.」
The easing of the government's border-control measures made it possible to operate overseas tours, easing the previous situation in which operations were impossible. However, restrictions hindering a full recovery remained, including the requirement to submit a negative test certificate issued within 72 hours before departure when returning to Japan. - FY2022-Q2RestatedAnnual report
「The company did not operate overseas tours during the cumulative second-quarter consolidated period. It will assess the timing of resumption and respond based on trends in infections, overseas infectious disease travel advisories and other conditions.」
The company did not operate overseas tours during the cumulative second-quarter period, and the situation of determining the timing of resumption based on infection trends and overseas infectious disease travel advisories continued. - FY2022-Q1RestatedAnnual report
「Following the issuance by the Ministry of Foreign Affairs on 25 March 2020 of a Level 2 travel advisory for the entire world in response to the spread of COVID-19, the Group has continued to be unable to operate overseas tours from Japan. Although the uniform Level 2 travel advisory for the entire world was lifted on 30 October 2020, infectious disease travel advisories of Level 2 or higher were issued for all countries and regions on the same day.」
The inability to operate overseas tours from Japan and the issuance of infectious disease travel advisories at Level 2 or higher for all countries and regions continue to be reported. - FY2021WorsenedAnnual report
「The Group remained in an environment in which it was difficult to operate overseas tours throughout the year due to the global spread of COVID-19. As a result, operating revenue for the consolidated fiscal year was ¥224 million, or 9.6% of the previous fiscal year's level, ordinary loss was ¥108 million, compared with ¥61 million in the previous fiscal year, and net loss attributable to owners of the parent was ¥124 million, compared with ¥70 million in the previous fiscal year.」
The difficulty of operating overseas tours continued throughout FY2021. Operating revenue fell to 9.6% of the previous fiscal year's level, while ordinary loss and net loss both widened from the previous fiscal year. - FY2021-Q3RestatedAnnual report
「Subsequently, in place of the Level 2 travel advisory for the entire world, infectious disease travel advisories of Level 2 or higher were issued for all countries and regions. Depending on when the Ministry of Foreign Affairs lifts the Level 2 restrictions for each country and region, the Group's financial position, operating results and cash flow may be affected.」
The situation of infectious disease travel advisories at Level 2 or higher for the entire world and all regions, together with the inability to operate overseas tours, continued, and the potential impact on the financial position, operating results and cash flow continued to be reported. - FY2021-Q2RestatedAnnual report
「On 25 March 2020, the Ministry of Foreign Affairs issued a Level 2 travel advisory for the entire world, stating, “Please refrain from non-essential and non-urgent travel,” making it impossible to operate overseas tours from Japan.」
The inability to operate overseas tours from Japan continues to be reported. The risk section explains that infectious disease travel advisories of Level 2 or higher have been issued for all countries and regions. - FY2021-Q1WorsenedAnnual report
「On 25 March 2020, the Ministry of Foreign Affairs issued a Level 2 travel advisory for the entire world, stating, “Please refrain from non-essential and non-urgent travel,” making it impossible to operate overseas tours from Japan.」
The inability to operate overseas tours continued into the first quarter, with operating revenue of ¥88 million, equivalent to 7.5% of the same quarter of the previous year, and an operating loss of ¥128 million, among other impacts on earnings. - FY2020WorsenedAnnual report
「For the Group, sales and profit continued to track favorably against plan through February, but the global spread of COVID-19 made it difficult to operate overseas tours. Sales and profit declined substantially in March. For the consolidated fiscal year, operating revenue was ¥2,347 million, or 41.0% of the previous fiscal year's level, ordinary loss was ¥61 million, and net loss attributable to owners of the parent was ¥70 million.」
The impact of the spread of COVID-19 extended to full-year results. Operating revenue was 41.0% of the previous fiscal year's level, ordinary loss was ¥61 million, and net loss was ¥70 million. The impact of being unable to operate overseas tours expanded from the quarterly to the full-year period. - FY2020-Q3MaterialisedAnnual report
「For the Group, sales and profit continued to track favorably against plan through February, but the global spread of COVID-19 made it difficult to operate overseas tours. Sales and profit declined substantially in March, and operating revenue fell 99.4% year on year in the third-quarter consolidated accounting period.」
The impact of difficulties operating overseas tours due to the spread of COVID-19 continued, with operating revenue falling 99.4% year on year in the third-quarter consolidated accounting period, indicating that the impact on earnings had materialized. - FY2020-Q2First statedAnnual report
「Amid the global spread of COVID-19, sales and profit declined sharply in March 2020. On 25 March, the Ministry of Foreign Affairs issued a Level 2 infectious disease travel advisory for the entire world, stating, “Please refrain from non-essential and non-urgent travel,” making it impossible to operate overseas tours from Japan. At present, the company is in an environment where it is impossible to establish a definite plan for resuming overseas tours. Depending on when the Ministry of Foreign Affairs lifts the restrictions under the Level 2 travel advisory, the Group's financial position, operating results and cash flow may be affected.」
The spread of COVID-19 caused a sharp decline in sales and profit in March 2020, making it impossible to operate overseas tours from Japan. The timing of resumption could not be determined, and the potential impact on the financial position, operating results and cash flow was identified as a new risk.