Japan’s Business Failures in July 2019
(Released by TEIKOKU DATABANK, LTD.)
There were 783 bankruptcies, marking the second consecutive month of year-on-year increase and the highest number this year.
Liabilities totaled 91,690 million yen, the second consecutive month of year-on-year decrease.
|Last Year same month
||91,690 million yen
|Last Year same month
||102,284 million yen
Highlight and Outstanding Feature
Bankruptcy Information TOP
- ■There were 783 bankruptcies (up 13.6% year-on-year), marking the first year-on-year increase for July in six years since 2013 (952 bankruptcies, up 1.0% year-on-year). This was the second consecutive month of year-on-year increase and the highest number this year.
- ■Liabilities totaled 91,690 million yen (down 10.4% year-on-year), marking the second consecutive month of year-on-year decrease. Bankruptcies of companies with liabilities totaling less than 50 million yen exceeded 60% of the total, and this was mainly due to bankruptcies of companies with liabilities of around 100 million yen.
- ■By industry, the number of bankruptcies increased year-on-year in six of seven industries. In the manufacturing industry (78 bankruptcies, up 4.0% year-on-year), there was an increase in bankruptcies of companies in the machinery and equipment manufacturing industry. In the retail industry (208 bankruptcies, up 19.5% year-on-year), the number of bankruptcies of restaurants increased significantly due to rising raw material costs. In the service industry (161 bankruptcies, up 9.5% year-on-year), there was a noticeable increase in bankruptcies of companies involved in software development.
- ■In terms of primary cause, recession-induced bankruptcies numbered 613. The composition ratio of such bankruptcies was 78.3%.
- ■In terms of scale, bankruptcies totaling less than 50 million yen numbered 497 and comprised 63.5% of the total.
- ■By region, seven of nine regions experienced year-on-year increases. Of these, four regions of Tohoku, Kanto, Hokuriku and Chubu marked the highest numbers this year.
- ■There were 14 bankruptcies caused by a labor shortage (up 100.0% year-on-year). This marked the first year-on-year increase in three months.
- ■The largest amount of liabilities was posted by YT Foods Co., Ltd. (Chiba, bankruptcy) with liabilities of 7,175 million yen.