10,425 Corporate Bankruptcies in 2025, Exceeding 10,000 for the 2nd Consecutive Year: High Prices and Labor Shortages Hit SMEs Hard - National Corporate Bankruptcy Report FY2025
Teikoku Databank released the national corporate bankruptcy figures for FY2025. Bankruptcies reached 10,425, exceeding 10,000 for two straight years, driven by inflation and labor shortages.
📋 Article Processing Timeline
- 📰 Published: April 8, 2026 at 22:30
- 🔍 Collected: April 8, 2026 at 14:00
- 🤖 AI Analyzed: April 20, 2026 at 16:58 (290h 57m after Collected)
Teikoku Databank, Ltd. aggregated and analyzed the number of corporate bankruptcies (targeting legal liquidations with liabilities of 10 million yen or more) for fiscal 2025.
Overview and Main Points
- The number of bankruptcies in FY2025 was 10,425 (up 3.5% from 10,070 in the previous year), exceeding the previous year for four consecutive years and topping 10,000 for the second consecutive year.
- Total liabilities amounted to 1,553,781 million yen (down 31.0% from 2,252,572 million yen in the previous year), a significant decrease from the previous year, remaining below the previous year for the second consecutive year. Bankruptcies with liabilities under 50 million yen reached the highest since FY2000 when comparisons became possible, highlighting the prominence of bankruptcies among small and micro-enterprises.
- By industry, five out of seven industries exceeded the previous year. 'Services' (2,638 → 2,677 cases, up 1.5%) was the highest, followed by 'Retail' (2,109 → 2,233 cases, up 5.9%). Both 'Services' and 'Retail' broke records to reach the highest since FY2000.
- By region, eight regions reached their highest levels in the past 10 years, excluding 'Tohoku' (572 → 545 cases, down 4.7%), which was the only region below the previous year. 'Kanto' (3,470 → 3,525 cases, up 1.6%) exceeded the previous year for four consecutive years and accounted for 33.8% of the total. By rate of change, 'Hokuriku' (323 → 375 cases, up 16.1%) was the highest, exceeding the previous year in all prefectures.
- 'Bankruptcies post-Zero-Zero (COVID-19) loans' stood at 625 cases, marking a decrease for two consecutive years.
- 'Bankruptcies due to labor shortages' were 441, surpassing 400 for the first time and significantly breaking the record high.
- 'Bankruptcies due to lack of successors' stood at 533, exceeding the previous year for the first time in two years.
- 'Bankruptcies due to high prices' reached 963, renewing the record high for two consecutive years.
Aggregation period: April 1, 2025 - March 31, 2026
Announcement date: April 8, 2026
Aggregation target: Bankruptcies through legal liquidation with liabilities of 10 million yen or more
The next announcement date (April 2026 report) is scheduled for Wednesday, May 13 at 1:30 PM.
## 'Services' and 'Retail' hit record highs since FY2000
By industry, five out of seven industries exceeded the previous year. 'Services' (2,638 → 2,677 cases, up 1.5%) was the highest, followed by 'Retail' (2,109 → 2,233 cases, up 5.9%). Both 'Services' and 'Retail' broke records to reach the highest since FY2000. 'Construction' (1,932 → 2,041 cases, up 5.6%) and 'Real Estate' (296 → 309 cases, up 4.4%) reached their highest levels in the past 10 years. 'Transport and Communications' (458 → 457 cases, down 0.2%).
Overview and Main Points
- The number of bankruptcies in FY2025 was 10,425 (up 3.5% from 10,070 in the previous year), exceeding the previous year for four consecutive years and topping 10,000 for the second consecutive year.
- Total liabilities amounted to 1,553,781 million yen (down 31.0% from 2,252,572 million yen in the previous year), a significant decrease from the previous year, remaining below the previous year for the second consecutive year. Bankruptcies with liabilities under 50 million yen reached the highest since FY2000 when comparisons became possible, highlighting the prominence of bankruptcies among small and micro-enterprises.
- By industry, five out of seven industries exceeded the previous year. 'Services' (2,638 → 2,677 cases, up 1.5%) was the highest, followed by 'Retail' (2,109 → 2,233 cases, up 5.9%). Both 'Services' and 'Retail' broke records to reach the highest since FY2000.
- By region, eight regions reached their highest levels in the past 10 years, excluding 'Tohoku' (572 → 545 cases, down 4.7%), which was the only region below the previous year. 'Kanto' (3,470 → 3,525 cases, up 1.6%) exceeded the previous year for four consecutive years and accounted for 33.8% of the total. By rate of change, 'Hokuriku' (323 → 375 cases, up 16.1%) was the highest, exceeding the previous year in all prefectures.
- 'Bankruptcies post-Zero-Zero (COVID-19) loans' stood at 625 cases, marking a decrease for two consecutive years.
- 'Bankruptcies due to labor shortages' were 441, surpassing 400 for the first time and significantly breaking the record high.
- 'Bankruptcies due to lack of successors' stood at 533, exceeding the previous year for the first time in two years.
- 'Bankruptcies due to high prices' reached 963, renewing the record high for two consecutive years.
Aggregation period: April 1, 2025 - March 31, 2026
Announcement date: April 8, 2026
Aggregation target: Bankruptcies through legal liquidation with liabilities of 10 million yen or more
The next announcement date (April 2026 report) is scheduled for Wednesday, May 13 at 1:30 PM.
## 'Services' and 'Retail' hit record highs since FY2000
By industry, five out of seven industries exceeded the previous year. 'Services' (2,638 → 2,677 cases, up 1.5%) was the highest, followed by 'Retail' (2,109 → 2,233 cases, up 5.9%). Both 'Services' and 'Retail' broke records to reach the highest since FY2000. 'Construction' (1,932 → 2,041 cases, up 5.6%) and 'Real Estate' (296 → 309 cases, up 4.4%) reached their highest levels in the past 10 years. 'Transport and Communications' (458 → 457 cases, down 0.2%).