Coronavirus to erase $12bn in earnings from Japan companies

Net profit seen dropping 13% in the fiscal year that ends next week

20200327N JXTG oil

JXTG's Kiire storage terminal in western Japan: The oil company is preparing for the biggest earnings downgrade among the nation's companies. (Photo courtesy of the company)

KEIGO IWAMOTO, Nikkei staff writer

TOKYO -- Corporate Japan is now estimated to take a 1.3 trillion yen ($12 billion) hit in the current fiscal year that ends Tuesday, largely because of the COVID-19 pandemic, which has caused resource prices to plunge, wreaked havoc on supply chains and squeezed consumption.

Combined net profit at listed companies is now estimated to decline 13%, compared with a 6.8% slip projected in November.

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