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Tankan Outline (March 2014)

April 1, 2014
Bank of Japan
Research and Statistics Department

Number of Sample Enterprises 
 
                                            Manu-      Nonmanu-      Total      (Response 
                                          facturing    facturing                   rate) 
All Enterprises                                 4,206       6,277       10,483    ( 99.1%) 
of which Large Enterprises                      1,147       1,138        2,285    ( 99.3%) 
         Medium-sized Enterprises               1,128       1,741        2,869    ( 99.1%) 
         Small Enterprises                      1,931       3,398        5,329    ( 98.9%) 
 
[Responding Period: February 24 to March 31] 
 
 
 
Memo: Average of predicted exchange rates expected by large manufacturing enterprises 
(yen per US dollar) 
                           Dec. 2013 Survey          March 2014 Survey 
                    FY2013         96.78                    98.37 
                        1H         97.60                    97.66 
                        2H         95.97                    99.06 
 
                    FY2014            -                     99.48 
                        1H            -                     99.38 
                        2H            -                     99.58 
 
 
 
 
 
[Business Conditions] 
(Diffusion index of "Favorable" minus "Unfavorable", %points) 
 
                             Dec. 2013   March 2014     Change     June 2014    Change 
                                                       between    (Forecast)    between 
                                                       Dec. and                March and 
                                                        March                     June 
[Large Enterprises] 
                                            ( 14) 
   Manufacturing                 16           17         + 1            8         - 9 
                                            ( 17) 
   Nonmanufacturing              20           24         + 4           13         -11 
 
[Medium-sized Enterprises] 
                                            (  3) 
   Manufacturing                  6           12         + 6            3         - 9 
                                            ( 10) 
   Nonmanufacturing              11           17         + 6            5         -12 
 
[Small Enterprises] 
                                            (- 1) 
   Manufacturing                  1            4         + 3          - 6         -10 
                                            (  1) 
   Nonmanufacturing               4            8         + 4          - 4         -12 
 
[All Enterprises] 
                                            (  6) 
   All industries                 8           12         + 4            1         -11 
 
(Notes) 1. FY...fiscal year (April - March of the following year) 
           1H...first half (April - September) 
           2H...second half (October - March of the following year) 
        2. Figures in parentheses are forecasts made in the previous survey. 
 
 
 
[Supply and Demand Conditions, Inventories, and Prices (Manufacturing)] 
(%points) 
                             Dec. 2013   March 2014     Change     June 2014    Change 
                                                       between    (Forecast)    between 
                                                       Dec. and                March and 
                                                        March                     June 
 
Domestic Supply & Demand Conditions for Products and Services (Diffusion index of 
"Excess demand" minus "Excess supply") 
   Large Enterprises            -11          - 8         + 3          -14         - 6 
   Small Enterprises            -21          -17         + 4          -23         - 6 
 
Overseas Supply & Demand Conditions for Products  (Diffusion index of 
"Excess demand" minus "Excess supply") 
   Large Enterprises            - 9          - 9           0          - 7         + 2 
   Small Enterprises            -15          -13         + 2          -13           0 
 
Inventory Level of Finished Goods & Merchandise (Diffusion index of "Excessive or 
somewhat excessive" minus "Insufficient or somewhat insufficient") 
   Large Enterprises             15           13         - 2           -           - 
   Small Enterprises             14           13         - 1           -           - 
 
Wholesalers' Inventory Level (Diffusion index of "Excessive or somewhat 
excessive" minus "Insufficient or somewhat insufficient") 
   Large Enterprises             12           12           0           -           - 
   Small Enterprises             15           12         - 3           -           - 
 
Change in Output Prices (Diffusion index of "Rise" minus "Fall") 
   Large Enterprises            - 4          - 3         + 1          - 3           0 
   Small Enterprises            - 7          - 5         + 2          - 2         + 3 
 
Change in Input Prices (Diffusion index of "Rise" minus "Fall") 
   Large Enterprises             21           22         + 1           22           0 
   Small Enterprises             37           39         + 2           46         + 7 
 
 
 
[Sales] 
(Year-to-year % change) 
                              FY2013      Revision      FY2014     Revision 
                            (Forecast)      rate      (Forecast)     rate 
[Large Enterprises] 
   Manufacturing                 5.4        - 0.3         1.2          - 
   Nonmanufacturing              3.3        + 0.4         1.0          - 
 
[Medium-sized Enterprises] 
   Manufacturing                 3.1        + 0.1         0.7          - 
   Nonmanufacturing              2.4        - 0.4         1.2          - 
 
[Small Enterprises] 
   Manufacturing                 3.9        + 0.7         0.9          - 
   Nonmanufacturing              4.1        + 1.7       - 0.9          - 
 
[All Enterprises] 
   All industries                3.8        + 0.4         0.7          - 
 
(Note) Revision rates are calculated as the percentage change of the figures between 
       the current and the previous survey. 
 
 
[Current Profits] 
(Year-to-year % change) 
                              FY2013      Revision      FY2014     Revision 
                            (Forecast)      rate      (Forecast)     rate 
[Large Enterprises] 
   Manufacturing                43.3        + 6.4       - 1.5          - 
   Nonmanufacturing             16.1        + 1.1       - 3.1          - 
 
[Medium-sized Enterprises] 
   Manufacturing                17.6        + 1.5       - 7.0          - 
   Nonmanufacturing              1.4          0.0       - 2.1          - 
 
[Small Enterprises] 
   Manufacturing                10.0        - 0.5         2.7          - 
   Nonmanufacturing             11.4        + 5.1       - 1.1          - 
 
[All Enterprises] 
   All industries               20.9        + 3.1       - 2.2          - 
 
 
 
[Ratio of Current Profit to Sales] 
(%, %points) 
                              FY2013       Changes      FY2014      Changes 
                            (Forecast)                (Forecast) 
[Large Enterprises] 
   Manufacturing                6.31       + 0.39         6.14         - 
   Nonmanufacturing             4.33       + 0.02         4.16         - 
 
[Medium-sized Enterprises] 
   Manufacturing                4.58       + 0.07         4.23         - 
   Nonmanufacturing             3.03       + 0.01         2.93         - 
 
[Small Enterprises] 
   Manufacturing                3.51       - 0.04         3.57         - 
   Nonmanufacturing             2.79       + 0.09         2.79         - 
 
[All Enterprises] 
   All industries               4.25       + 0.11         4.13         - 
 
 
 
[Fixed Investment including Land Purchasing Expenses *] 
(Year-to-year % change) 
                              FY2013      Revision      FY2014     Revision 
                            (Forecast)      rate      (Forecast)     rate 
[Large Enterprises] 
   Manufacturing                 2.1        - 2.6         3.6          - 
   Nonmanufacturing              4.8        + 0.4       - 1.6          - 
   All industries                3.9        - 0.6         0.1          - 
 
[Medium-sized Enterprises] 
   Manufacturing               - 1.7        - 2.9         8.7          - 
   Nonmanufacturing              4.7        + 4.2       - 5.4          - 
   All industries                2.3        + 1.5       - 0.3          - 
 
[Small Enterprises] 
   Manufacturing                13.3        + 1.4       -16.0          - 
   Nonmanufacturing             14.2        + 7.8       -28.9          - 
   All industries               13.9        + 5.6       -24.7          - 
 
[All Enterprises] 
   Manufacturing                 3.1        - 2.0         1.2          - 
   Nonmanufacturing              6.3        + 2.2       - 6.9          - 
   All industries                5.2        + 0.7       - 4.2          - 
 
   * Excludes Software Investment. Compiled under the new lease accounting standard. 
 
[Software and Fixed Investment excluding Land Purchasing Expenses *] 
(Year-to-year % change) 
                              FY2013      Revision      FY2014     Revision 
                            (Forecast)      rate      (Forecast)     rate 
[Large Enterprises] 
   Manufacturing                 2.8        - 2.5         3.9          - 
   Nonmanufacturing              3.6        - 0.4         1.3          - 
   All industries                3.3        - 1.2         2.2          - 
 
[Medium-sized Enterprises] 
   Manufacturing               - 0.8        - 3.8        10.0          - 
   Nonmanufacturing              8.8        + 0.3       - 0.9          - 
   All industries                5.1        - 1.3         3.1          - 
 
[Small Enterprises] 
   Manufacturing                17.9        + 0.6       -14.4          - 
   Nonmanufacturing             12.7        + 5.0       -18.9          - 
   All industries               14.5        + 3.4       -17.3          - 
 
[All Enterprises] 
   Manufacturing                 4.3        - 2.3         2.1          - 
   Nonmanufacturing              5.7        + 0.5       - 2.1          - 
   All industries                5.2        - 0.5       - 0.7          - 
 
   * Compiled under the new lease accounting standard. 
 
[Production Capacity (Manufacturing)] 
(Diffusion index of "Excessive capacity" minus "Insufficient capacity", %points) 
                             Dec. 2013   March 2014     Change     June 2014    Change 
                                                       between    (Forecast)    between 
                                                       Dec. and                March and 
                                                        March                     June 
 
   Large Enterprises              8            6         - 2            6           0 
 
   Medium-sized Enterprises       9            4         - 5            4           0 
 
   Small Enterprises              7            4         - 3            4           0 
 
   All Enterprises                8            5         - 3            5           0 
 
 
 
 
 
 
[Employment Conditions (All industries)] 
(Diffusion index of "Excessive employment" minus "Insufficient employment", %points) 
                             Dec. 2013   March 2014     Change     June 2014    Change 
                                                       between    (Forecast)    between 
                                                       Dec. and                March and 
                                                        March                     June 
 
   Large Enterprises            - 3          - 6         - 3          - 4         + 2 
 
   Medium-sized Enterprises     - 8          -12         - 4          -10         + 2 
 
   Small Enterprises            -12          -15         - 3          -14         + 1 
 
   All Enterprises              -10          -12         - 2          -11         + 1 
 
 
 
 
[Financial Position (All industries)] 
(Diffusion index of "Easy" minus "Tight", %points) 
                             Dec. 2013   March 2014     Change 
                                                       between 
                                                       Dec. and 
                                                        March 
 
   Large Enterprises             17           18         + 1 
 
   Medium-sized Enterprises      15           14         - 1 
 
   Small Enterprises              1            1           0 
 
   All Enterprises                8            8           0 
 
 
 
 
[Lending Attitude of Financial institutions (All industries)] 
(Diffusion index of "Accommodative" minus "Severe", %points) 
                             Dec. 2013   March 2014     Change 
                                                       between 
                                                       Dec. and 
                                                        March 
 
   Large Enterprises             20           21         + 1 
 
   Medium-sized Enterprises      18           19         + 1 
 
   Small Enterprises              8            9         + 1 
 
   All Enterprises               13           15         + 2 
 
 
[Change in Interest Rate on Loans (All industries)] 
(Diffusion index of "Rise" minus "Fall", %points) 
                             Dec. 2013   March 2014     Change     June 2014    Change 
                                                       between    (Forecast)    between 
                                                       Dec. and                March and 
                                                        March                     June 
 
   Large Enterprises            - 7          - 7           0            1         + 8 
 
   Medium-sized Enterprises     - 6          - 7         - 1            4         +11 
 
   Small Enterprises            - 4          - 6         - 2            4         +10 
 
   All Enterprises              - 5          - 7         - 2            4         +11 
 
 
 
 
[Conditions for CP Issuance (All industries) (Based on CP-Issuing Enterprises*)] 
(Diffusion index of "Easy" minus "Severe", %points) 
                             Dec. 2013   March 2014     Change 
                                                       between 
                                                       Dec. and 
                                                        March 
 
   Large Enterprises             37           29         - 8 
 
 
   * Figures for both the December 2013 survey and the March 2014 survey are based on CP-Issuing Enterprises. 
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