Approximately half of financial results for the fiscal year ending March ended with a decline in profit

Approximately half of the financial results for the fiscal year ended March 31, 2017 decreased in profit Profit continues to be undecided Corona impact May 8 20:41

The impact of the spread of the new coronavirus is spreading to the performance of major companies. About half of the listed companies that have announced their financial results for the fiscal year ended March 31, had a “decrease in profit”, and nearly 70% of them faced an unusual situation where they could not forecast their business performance for the next year. I will.

Summing up the financial results of 231 companies listed on the First Section of the Tokyo Stock Exchange, which SMBC Nikko Securities had announced by the end of the 7th, about half of the 113 companies had a decrease in recurring profit from a year ago and were “profitable”.

When adding up ordinary income, it decreased by 17% compared to the previous year.

Looking at the recurring profit for the three months from January to March this year, it has decreased by 62% compared to the same period of the previous year, and the decline has become particularly large.

It can be seen that overall sales have been depressed due to a sharp drop in sales due to the spread of the new coronavirus infection, and a sharp decline in the stock price, reducing the value of owned assets.

In addition, although the earnings forecast for the next one year is usually announced in the financial statements, it is difficult to judge when the spread of infection will stop, and nearly 70% of the 155 companies say that the forecast is “undecided”. .

More than half of the companies that have announced their business outlook are forecasting a decline in profits, and not only small and medium-sized companies but also large companies are affected by the spread of infections, which is an unusual situation.

Delays in tabulation due to increased work from home

Many companies have postponed the announcement of financial results.

Of the companies listed on the Tokyo Stock Exchange for the fiscal year ending March, approximately 400, or about 16% as of the end of last month, have decided to postpone the announcement of financial results.

The decision to postpone was made one after another even after the large holidays, and 46 listed companies announced the postponement even on the 8th.

Due to global restrictions on going out, accounting staff of overseas subsidiaries are unable to come to the office, and the number of working from home is increasing in Japan. There is.

Keiichi Ito, chief quants analyst at SMBC Nikko Securities, said, “I don't think this has happened in the past. With the extension of the emergency declaration, the business environment of the company has deteriorated further. Of course, the financial results for the first three months of this year, the three months from April to June, will also be severe for many companies. "