Japan FY 2019 Corporate Income Down for 1st Time in 10 Yrs

Economy

Tokyo, Nov. 5 (Jiji Press)--Income declared by companies across Japan for fiscal 2019 dropped 11.4 pct from the previous year to 65,005.2 billion yen, down for the first time in 10 years, the National Tax Agency said Thursday.

The drop marked the third-largest-ever level since 1967, when the agency began compiling such statistics, after the falls marked at the time of the global financial crisis triggered by the 2008 collapse of U.S. investment bank Lehman Brothers and the bursting of the economic bubble in the early 1990s.

The agency believes that the decline is due to the slump in economic activity caused by the novel coronavirus pandemic.

Of the total 2,949,000 declarations, income reports from profitable companies accounted for 35.3 pct, up 0.6 percentage point from the previous year. But income per declaration fell 13.5 pct to 62.38 million yen, apparently due to a drop in profits amid the coronavirus crisis among firms closing their books in March.

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