Japan’s Business Failures in August 2024
(Released by TEIKOKU DATABANK, LTD.)
Number of bankruptcies reaches 746, exceeding that of the same month of the previous year for 28 consecutive months
Highest figure for August in the past 10 years
| Bankruptcies |
746 |
| Year-to-Year basis |
+0.5％ |
| Last Year same month |
742 |
| Liabilities |
92,759 million yen |
| Year-to-Year basis |
▲6.8％ |
| Last Year same month |
99,501 million yen |
Highlight and Outstanding Feature
- ■There were 746 bankruptcies (742 bankruptcies in the same month of the previous year, up 0.5% year-on-year), marking the twenty-eighth consecutive month of year-on-year increase. This is the highest figure for August in the past 10 years, surpassing the previous year’s number (742).
- ■The total amount of liabilities came to 92,759 million yen (99,501 million yen in the same month of the previous year, down 6.8%), marking the first year-on-year decrease in two months. Kure Service Co., Ltd. (Former: KANDA SHIPBUILDING Co., Ltd. , Hiroshima Prefecture, special liquidation), which manufactured and repaired steel ships, had the largest amount of liabilities at 10,947 million yen.
- ■By industry, the number of bankruptcies increased year-on-year in three of seven industries. In particular, the service industry (to 197 bankruptcies from 187 in the same month of the previous year, up 5.3%) posted the highest figure. In terms of the rate of increase, the largest increase was in the wholesale industry (to 96 from 79, up 21.5%). Food-related bankruptcies were conspicuous due to an increase in bankruptcies of restaurants in the retail industry (to 72 from 56) and food and beverage wholesalers in the wholesale industry (to 32 from 13).
- ■By region, five of nine regions experienced year-on-year increases. Kanto had the highest number of bankruptcies (to 279 from 294, down 5.1% from the same month of the previous year), with the figure falling for the first time in 19 months. The largest rate of increase was in Shikoku (to 18 bankruptcies from 12 in the same month of the previous year, up 50.0%), reaching an increase rate of at least 50% for the first time in five months. The cumulative total for January-August 2024 has already exceeded the total number for 2023 in five prefectures.
- ■There were 41 cases of “bankruptcies after zero-zero (COVID-19-related) loans,” down for the first time from the same month of the previous year.
- ■There were 22 bankruptcies due to a “labor shortage,” down from the same month of the previous year for the first time in four months.
- ■There were 13 cases of “bankruptcies in arrears of taxes and public dues,” doubling from the same month of the previous year.
- ■There were 64 cases of bankruptcies due to “high prices,” surpassing the same month of the previous year for 30 consecutive months, a run that began in March 2022.
Bankruptcy Information TOP