Japan’s Business Failures in July 2025
(Released by TEIKOKU DATABANK, LTD.)
Highest number of bankruptcies this year at 956
First listed company to go bankrupt in eight months
| Bankruptcies |
956 |
| Year-to-Year basis |
+3.9% |
| Last Year same month |
920 |
| Liabilities |
166,473 million yen |
| Year-to-Year basis |
-78.6％ |
| Last Year same month |
776,931 million yen |
Highlight and Outstanding Feature
- ■There were 956 bankruptcies (920 bankruptcies in the same month of the previous year, up 3.9% year-on-year), marking the second consecutive month of year-on-year increase, and the highest number this year. The cumulative total for the January–July 2025 period was 5,959, up 152 or 2.6% from the same period of the previous year (5,807). Alt Inc. (TSE Growth) filed for bankruptcy protection under the Civil Rehabilitation Act, marking the first bankruptcy of a listed company in eight months.
- ■The total amount of liabilities came to 166,473 million yen (776,931 million yen in the same month of the previous year, down 78.6%), marking the third consecutive month of year-on-year decrease. When excluding MSJ Asset Management Company (formerly known as Mitsubishi Aircraft Corporation), which accounted for more than 80% of the liabilities in the previous year (liabilities of 641,300 million yen), it has substantially shifted to an increase. JS Foundry KK., which manufactured wafers for power semiconductors, topped the list of liabilities with 16,100 million yen.
- ■By industry, the number of bankruptcies increased year-on-year in five of seven industries. The service industry had the most cases (to 263 cases from 240 in the same month last year, up 9.6%), the highest number for July since the year 2000. The wholesale industry (to 105 from 84, up 25.0%) saw the highest rate of increase among all industries.
- ■By region, five of nine regions experienced year-on-year increases. The region with the most bankruptcies was Kanto (to 329 bankruptcies from 278 in the same month last year, up 18.3%), the highest number of bankruptcies for July in the past 10 years. The region with the highest rate of increase was Hokuriku (to 41 from 28 a year earlier, up 46.4%).
- ■There were 66 cases of “bankruptcies after zero-zero (COVID-19-related) loans,” down from the same month of the previous year for the third consecutive month.
- ■There were 49 bankruptcies caused by a “labor shortage,” tying the highest number ever.
- ■There were 46 cases of bankruptcy in which it was “difficult to find successors,” bringing the cumulative total for the January–July 2025 period to 313.
- ■There were 90 cases of bankruptcy due to “high prices,” bringing the cumulative total for the January–July 2025 period to 539.
Bankruptcy Information TOP