Business Continuity Risks from Natural Disasters and Infectious Diseases
First written in FY2021. 1 of 7 entries say "Worsened", first in FY2022-Q1. Latest entry: FY2024.
The whole theme swung hardest in 2020: 28 of 45 companies on the "Worse" side.
2 other companies' latest entry also says "Other".
- FY2024Added the impact of suspending commercials when special programs are broadcast during disastersAnnual report
「If a large-scale disaster associated with climate change or another event occurs, the company may broadcast an emergency special news program, resulting in a decline in revenue because scheduled commercials are suspended. In addition, if a natural disaster or large-scale disaster occurs, advertising revenue may decline in line with economic trends, and the impact of damage to broadcasting facilities and other assets may prevent the company from securing sufficient revenue, potentially affecting the operating results and financial condition of the Group.」
The impact channels of natural disaster and climate change risks were specified as the suspension of scheduled commercials due to emergency special news programs, declining advertising revenue, and insufficient revenue caused by damage to broadcasting facilities. - FY2023Policy clarified for analyzing the risks of climate change-related disasters and declining advertising revenueAnnual report
「In addition, if a natural disaster or large-scale disaster occurs, advertising revenue may decline in line with economic trends, and the impact of damage to broadcasting facilities and other assets may make it impossible to secure sufficient revenue, potentially affecting the operating results and financial condition of the Group. Going forward, the company plans to gather and analyze information on the risks and opportunities that climate change may pose to its business.」
In addition to the potential decline in advertising revenue and the impact of damage to broadcasting facilities caused by natural disasters, the company clarified its policy of gathering and analyzing information on the risks and opportunities that climate change poses to its business. - FY2023-Q3Easing restrictions on activities while containing infections and maintaining economic activityAnnual report
「Although the impact of COVID-19 continued, various restrictions on activities were eased as a result of measures aimed at both containing infections and maintaining social and economic activity, and the domestic economy showed signs of recovery.」
Although the impact of infectious diseases continued, restrictions on activities were eased through measures that balanced infection control with social and economic activity, and the economy showed signs of recovery. - FY2022RestatedAnnual report
「The Group has prepared the safety measures and emergency response manuals required for business continuity. However, it is difficult to avoid all risks arising from infectious diseases and other events, and the increasing scale of disasters associated with climate change in recent years could also cause unforeseen damage.」
Business continuity risks arising from natural disasters and infectious diseases, together with responses based on safety measures and emergency response manuals, were reconfirmed for the full year. - FY2022-Q2MitigatedAnnual report
「Although improvements in infection conditions and an economic recovery are expected as the vaccination rate in Japan rises, we recognize that the outlook for the economy will remain uncertain.」
Improving vaccination rates and conditions surrounding infections gave rise to expectations of a recovery in the impact of infectious diseases on business activities. However, uncertainty about the economic outlook remained. - FY2022-Q1WorsenedAnnual report
「Although an end to the COVID-19 pandemic is expected as vaccination progresses, risks from virus variants have also emerged, and we recognize that domestic economic conditions and corporate earnings will remain uncertain.」
While expectations for the containment of infectious diseases were indicated, new risks arising from mutated viruses were added. - FY2021First statedAnnual report
「However, it is difficult to avoid all risks arising from infectious diseases and other events, and the increasing scale of disasters associated with climate change in recent years could also cause unforeseen damage. In such cases, a reduction in business activities and other factors could affect the operating results and financial condition of the Group.」
The large-scale natural disasters and reduction in business activity caused by infectious diseases were described separately for the first time as major business continuity risks. The spread of COVID-19 was also listed as an event that had actually occurred.