Japan’s Business Failures in December 2019
(Released by TEIKOKU DATABANK, LTD.)
There were 708 bankruptcies, marking the fourth consecutive month of year-on-year increase.
Liabilities totaled 159,622 million yen, the second consecutive month of year-on-year increase.
| Bankruptcies |
708 |
| Year-to-Year basis |
+12.9% |
| Last Year same month |
627 |
| Liabilities |
159,622 million yen |
| Year-to-Year basis |
+110.8％ |
| Last Year same month |
75,738 million yen |
Highlight and Outstanding Feature
- ■There were 708 bankruptcies (up 12.9% year-on-year), marking the fourth consecutive month of year-on-year increase.
- ■There were three bankruptcies involving a large amount of total liabilities on a scale of 10,000 million yen including AWH Co., Ltd. (formerly Awashima Hotel Co., Ltd. , liabilities of about 40,000 million yen, bankruptcy) and AI Corporation (formerly T.F.K , liabilities of about 19,463.3 million yen , civil rehabilitation). As a result, total liabilities came to 159,622 million yen, up 110.8% year-on-year.
- ■By industry, the number of bankruptcies increased year-on-year in five of seven industries. Of them, the retail industry (162 bankruptcies, up 20.0% year-on-year) was affected by intensifying competition and consumers moving away from eating out, and there was an increase in bankruptcies of food and beverage retailers (28 bankruptcies, up 12.0% year-on-year) and restaurants (64 bankruptcies, up 30.6% year-on-year). In the service industry (172 bankruptcies, up 15.4% year-on-year), the number of bankruptcies in the software industry (17 bankruptcies) was up 2.9 times year-on-year, boosting the number in the overall industry.
- ■In terms of primary cause, recession-induced bankruptcies numbered 563, comprising 79.5% of the total.
- ■In terms of scale, bankruptcies totaling less than 50 million yen numbered 420 and comprised 59.3% of the total. Bankruptcies of companies with liabilities of 100 million yen or more (186 bankruptcies) were up 24.0% year-on-year, boosting the total number of bankruptcies.
- ■By region, six of nine regions experienced year-on-year increases. Among them, in Tohoku (32 bankruptcies, up 88.2% year-on-year), there was a noticeable increase in bankruptcies of companies related to the retail industry such as restaurants. In Kanto (259 bankruptcies, up 17.2% year-on-year), bankruptcies of companies involved in the construction and manufacturing industries increased significantly in Tokyo, boosting the number overall.
- ■The largest amount of liabilities was posted by AWH Co., Ltd. (formerly Awashima Hotel Co., Ltd., Shizuoka, bankruptcy), with liabilities of approximately 40,000 million yen.
Bankruptcy Information TOP