Impact of COVID-19 on the Business Environment and Performance
First written in FY2021-Q1. 5 of 11 entries say "Worsened", first in FY2021-Q2. Latest entry: FY2024-Q1.
The whole theme swung hardest in 2020: 103 of 175 companies on the "Worse" side.
- FY2024-Q1SoftenedAnnual report
「In the home-appliance retail industry, the legal classification of COVID-19 was changed to Category V in May 2023, further advancing the recovery in the movement of people and the normalization of economic activity, while」
The company disclosed the change in the classification of COVID-19 to Category V and the normalization of movement and economic activity, further softening the previous wording concerning its impact on the business environment. - FY2023SoftenedAnnual report
「For the fiscal year ending March 2024, the end of COVID-19 was coming into view, and although social and economic activity was recovering, the slowdown in price increases and corporate capital investment remained firm,」
The company indicated that the end of the infectious disease was coming into view and that social and economic activity would recover, softening the previous description of conditions as extremely uncertain. At the same time, lost sales opportunities due to employee infections occurred during the fiscal year, and the risk itself continued to be disclosed. - FY2023-Q2MaterialisedAnnual report
「Lost sales opportunities due to reduced working hours resulting from employee infections」
The company explained that COVID-19 reduced employees’ working hours and that lost sales opportunities actually occurred as a factor behind the decline in revenue during the cumulative second quarter. - FY2023-Q1WorsenedAnnual report
「During the first quarter of the current consolidated cumulative period, the Japanese economy faced, in addition to the emergence of new COVID-19 variants,」
The company explicitly identified the emergence of new variants as a factor behind the continued infectious-disease risk, and explained that the reversal of stay-at-home demand and consumers’ stronger inclination to save also affected the business environment. - FY2022MaterialisedAnnual report
「Due to the spread of COVID-19, the company recorded ¥208 million as an extraordinary loss attributable to COVID-19, comprising fixed costs related to stores that temporarily closed at the request of local authorities and others, and disinfection costs incurred at stores and other facilities.」
Temporary closures and disinfection costs related to the infectious disease were actually recorded as ¥208 million in extraordinary losses for the full fiscal year. The risk of a renewed spread due to variants was also identified as a key risk for the following fiscal year. - FY2022-Q3RestatedAnnual report
「During the third quarter of the current consolidated cumulative period, the Japanese economy showed signs of recovery in economic activity as vaccinations against COVID-19 progressed and restrictions on activities were eased. However, the risk of a renewed spread of infections, including the emergence of new variants, had not been eliminated, and the situation required attention to developments in Japan and overseas.」
The company acknowledged signs of recovery from vaccinations and the easing of restrictions on activities, while explaining that the risk of a renewed spread of infections due to new variants had not been eliminated. - FY2022-Q1WorsenedAnnual report
「During the first quarter of the current consolidated cumulative period, the Japanese economy began to see the full-scale rollout of COVID-19 vaccinations, but risks of a further spread of infections, including the threat of variants, had not been eliminated. Following the reissuance of a state of emergency, requests to refrain from nonessential and nonurgent outings and restrictions on the operations of restaurants and other businesses continued, and the outlook for the economy remained uncertain.」
The company explained that, even as vaccinations progressed, variants, states of emergency, calls to refrain from going out and operating restrictions continued, leaving business-environment risks from the infectious disease unresolved. - FY2021WorsenedAnnual report
「The end of the infectious disease could not be forecast, and the home-appliance market remained uncertain. In addition, concerns were raised about the reversal of the effects of special fixed benefits and demand for telework and staying at home in the fiscal year ended March 2021.」
With no end to the infectious disease in sight, the company identified, in addition to store closures, shortened operating hours and fewer customer visits, the reversal of demand driven by benefits, telework and staying at home as new concerns. - FY2021-Q3WorsenedAnnual report
「As the infection began to spread again, the outlook remained extremely uncertain.」
The company explained that, as COVID-19 infections showed signs of rising again, the effects of a sharp decline in inbound demand, calls to refrain from going out and the closure of commercial facilities continued. - FY2021-Q2WorsenedAnnual report
「The impact of COVID-19 is continuing at present and remains an influence on the business activities of the Group. Although the timing of the end of COVID-19 remains uncertain and difficult to predict, as of the date of preparation of the consolidated financial statements for the second quarter, it was expected not to end during the current consolidated fiscal year.」
The accounting assumption was changed to reflect the expectation that the impact of the infectious disease would continue and would not end during the current consolidated fiscal year, explicitly indicating that the impact would be prolonged. - FY2021-Q1MaterialisedAnnual report
「The retail industry as a whole is facing severe conditions owing to consumers’ stronger inclination to save as concerns about household finances increase, declining inbound demand due to COVID-19, calls to refrain from going out under states of emergency and other measures, the closure of commercial facilities such as station buildings, particularly in urban areas, shortened operating hours and the cancellation or postponement of various events.」
The actual business environment was affected by declining inbound demand due to COVID-19, calls to refrain from going out, and the closure of commercial facilities and shortened operating hours. The company also recorded a ¥232 million loss attributable to COVID-19 during the quarter.