Ordinary profit of domestic companies decreased by 32% New corona impact Corporate Enterprise Survey June 11 11:19
According to a statistical survey of corporate corporations released by the Ministry of Finance, the ordinary profit of domestic companies from January to March was 32% lower than that of the same period last year. It is said that the service industry such as accommodation and eating and drinking has declined due to the refraining from going out due to the spread of new coronavirus infection.
According to the statistical survey of corporate enterprises conducted by the Ministry of Finance every three months for approximately 30,000 companies with capital of 10 million yen or more, the recurring profit of the enterprises from January to March is 15.13 trillion yen. So, it was 32% below the same period last year.
This is because the number of customers in the service industry such as lodging and eating decreased due to the refraining from going out due to the spread of the new coronavirus and the decrease in demand, and the sales of automobiles fell.
The extent of the decline was the largest since July-September 2009, when the economic downturn continued due to the Lehman shock.
As a result, short-term debt from financial institutions increased by 11.9% compared to the same period last year, and it seems that there has been a growing movement among companies to secure working capital for the time being.
On the other hand, corporate capital investment increased by 4.3% from the same period last year, and in particular, investment in facilities for manufacturing medical devices and research and development facilities to deal with infectious diseases increased.
The Ministry of Finance says, "It is a content that reflects the severe economic environment due to the influence of the new coronavirus."