Market News

Feb. 10, 2020 TSE Handling of Timely Disclosure of the Effects of the Novel Coronavirus Outbreak on Business


Tokyo Stock Exchange Inc. (“TSE”) has notified listed companies about handling of timely disclosure of the effects of the novel coronavirus on business as follows.
The recent spread of the novel coronavirus has affected global economic activity and concern is starting to grow that the business activities of listed companies, including but not limited to those with main operations and business partners in China, will be affected going forward.
In light of the situation, TSE has issued a notice about how listed companies should handle timely disclosure of the effects of the novel coronavirus outbreak on business.
If you are responsible for information management, please forward the notice to relevant parties in your company.
TSE would like to ask for your attention on disclosing material corporate information in a timely and appropriate manner.

1. Disclosure about full year and quarterly financial results
For full year and quarterly financial results, if timely preparation of financial results, etc. becomes difficult due to a delay in accounts closing procedures or other things caused by the novel coronavirus outbreak, disclosure of financial results will be accepted whenever they are settled, regardless of normal deadlines such as "within forty five (45) days" from the end of the fiscal year.
However, if announcement of the financial results, etc. is expected to be delayed significantly due to the novel coronavirus outbreak, listed companies are requested to consider disclosing that information (as well as the expected timing of announcement if known) in a timely manner. 
Also, if listed companies decide to apply for a deadline extension for submission of the Annual Securities Report or Quarterly Report due to the novel coronavirus outbreak, please note that they are also required to disclose said deadline extension application in a timely manner.

2. Disclosure about Impact on Business Activity, etc.
It is expected that the impact of the novel coronavirus outbreak on listed companies’ business activities and business performance will affect investors’ investment decisions and stock price formation, etc.
While TSE will continue striving to ensure fair trading by monitoring the trading on the market and other activities, from the viewpoint of avoiding price formation based on inaccurate/unclear information and of promoting appropriate investment decisions by investors, TSE requests listed companies to consider promptly and actively disclosing information on the impact of the novel coronavirus outbreak, etc. where possible, provided that the first priority is ensuring the health and safety of listed companies’ officers and employees, business partners and other related parties.

3. Disclosure about Earnings Forecasts
If, for instance, listed companies have difficulty making reasonable estimates of earnings forecasts for disclosing financial results, or there are significant changes in preconditions for already disclosed earnings forecasts due to the effects of the novel coronavirus outbreak on business activities and business performance, it will be acceptable for said listed companies to disclose an earnings forecast marked as “undecided” along with information on the situation, before later disclosing the updated information appropriately when reasonable estimates become possible.

4. Others
Other than the items above, if you have any concerns about timely disclosure of material corporate information or other things in relation to the novel coronavirus outbreak, please feel free to consult TSE.

DISCLAIMER: This translation may be used for reference purposes only. This English version is not an official translation of the original Japanese version. In cases where any differences occur between the English version and the original Japanese version, the Japanese version shall prevail. This translation is subject to change without notice. Tokyo Stock Exchange, Inc. shall accept no responsibility or liability for damage or loss caused by any error, inaccuracy, misunderstanding, or changes with regard to this translation.


Tokyo Stock Exchange, Inc. Corporate Disclosure Office, Listing Department