[Teikoku Databank Explains] Bankruptcies Decreased in May 2026, but Total Liabilities Increased for 3 Consecutive Months; Price Hike Bankruptcies Remain High Near 100 Cases

Teikoku Databank, Ltd. (Head Office: Minato-ku, Tokyo; President & CEO: Takeo Goto), a corporate credit research firm, has released an explanatory video on its official website regarding the national corporate bankruptcy statistics for May 2026.

This video explains the number of corporate bankruptcies, total liabilities, bankruptcy trends in the painting and waterproofing industry, and future outlook for May 2026. It provides an easy-to-understand explanation of the background of bankruptcies, future risks, and the problems faced by companies, based on the latest data.

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[Video Overview]

Title: [Video] Bankruptcy Statistics Report May 2026 ~Bankruptcies Decreased, but Liabilities Increased for 3 Consecutive Months~

Release Date: June 22, 2026 (Monday) on the company's website

Video URL: https://www.tdb.co.jp/report/economic/20260622-movie-bankruptcy202605/

In May 2026, the number of bankruptcies was 771 (down 7.7% from 835 in the same month last year), marking the first time in six months that it fell below the previous year. However, total liabilities amounted to 111.248 billion yen (up 19.1% from 93.388 billion yen in the same month last year), exceeding the previous year for three consecutive months. The top company by debt was Tosshin Holdings Co., Ltd. (listed on TOKYO PRO Market) with 16.2 billion yen, marking the first bankruptcy of a listed company in 10 months since Alt Co., Ltd. (July 2025, civil rehabilitation).

Bankruptcies due to price hikes numbered 97, continuing to remain at a high level close to 100, following 108 cases in the previous month.

Amidst this situation, some companies whose financial strength had been weakened by the prolonged effects of the COVID-19 pandemic and price hikes experienced further setbacks due to the uncertainty surrounding the Middle East situation, leading to bankruptcy. However, as of the end of May, there were no cases where supply constraints of oil-derived products or sharp price increases were the clear cause of bankruptcy. It is anticipated that the gap between large corporations and small and medium-sized enterprises may widen in addressing naphtha shortages.

Video Table of Contents

0:15 Point 1: Bankruptcy Situation in May 2026

1:27 Point 2: Characteristics of Bankruptcies in May 2026

3:30 Point 3: Bankruptcy Trends in the Painting and Waterproofing Industry

5:03 Point 4: Future Outlook

Key Points of the Explanatory Video

Regarding bankruptcies in May 2026

In May 2026, the number of bankruptcies was 771 (down 7.7% from 835 in the same month last year). Total liabilities were 111.248 billion yen (up 19.1% from 93.388 billion yen in the same month last year), exceeding the previous year for three consecutive months.

Industry Trends

Looking at industry-specific trends, all seven major industries saw a decrease compared to the previous year for the first time in a year. In particular, the construction industry (153 cases), while slightly decreasing from the previous year, showed a notable increase in "specialty contracting" (82 cases), which includes carpentry and interior work, up 20 cases from 62 cases in the same month last year.

Impact of the Middle East Situation

As uncertainty about the future spreads due to the Middle East situation, it is hoped that government initiatives will help alleviate these concerns. However, there is a possibility that the gap between large corporations and small and medium-sized enterprises will further widen in terms of "securing procurement routes," "ability to respond to cost increases," and "ability to pass on prices."

◆ About the Video Commentator

Satoru Shinozuka

Manager, Information Research Department, Information Management Division, Teikoku Databank, Ltd.

After working in the financial industry, he joined Teikoku Databank in 1998 and was assigned to the Information Department. He has covered numerous corporate bankruptcies, from small and medium-sized enterprises to large-scale failures. After serving as Information Department Manager at the Sapporo Branch from 2015, and then as Information Department Manager at the Yokohama Branch, he assumed his current position in April 2026.

He currently leads a team of 10 reporters, conducting interviews with bankrupt and notable companies in Tokyo's 23 wards, exchanging opinions and information with large corporations, financial institutions, media, and government agencies, and conducting seminars (as a lecturer). He also writes articles for "Nikkei Online," "Toyo Keizai Online," and "President Online."

▼ Watch the video here

▼ Click here for the national corporate bankruptcy statistics report for April 2026

▼ Click here for the 2025 National Survey on Corporate "Bankruptcy Risk" Analysis