Business failures - France 2019Sep

In August 2019, the number of corporate bankruptcies decreased by 0.7% year-on-year
  • At the end of August 2019, the aggregate number of corporate bankruptcies over the last 12 months amounted to 52,893, down by 0.7% compared to August 2018 (see tables A and B and charts 1 and 2).
Over the past 12 months, the evolution of corporate bankruptcies varies across sectors
  • The information and communication, the wholesale and retail trade, the real estate and the construction sectors recorded the strongest decreases in bankruptcies ( 4.4%, 2.0%, 1.9% and -1.4% respectively, compared to August 2018). Bankruptcies also decreased in the advisory and business support activities ( 0.8%) and in the industry sector ( 0.2%).
  • However, over the same period, corporate bankruptcies increased in some sectors, in particular in the transportation and storage sector (+6.6%), the financial and insurance activities (+4.6%) and in the education, human health and other services sector (+1,6%).
In August 2019, bankruptcies decreased essentially for micro-enterprises and ISEs and large firms
  • Bankruptcies decreased for SMEs as a whole ( 0.6%) as a result of a decrease for micro-enterprises (-1.0%). They also decreased for Intermediate-sized enterprises (ISEs) and large firms ( 7 bankruptcies over 12 months see table B).
The outstanding loan amount of firms filing for bankruptcy over the past 12 months accounts, at the end of August, for around 0.4% of the total outstanding loan amount reported to the Banque de France's Central Credit Register. After an increase in August, this figure declines slightly according to the provisional data for September with the decrease in the number of bankruptcies over 12 months due to a base effect (see chart 3).

The aggregate number of corporate bankruptcies decreased by 1.9% at the end of September 2019 compared to September 2018, according to provisional data (see tables A and B and chart 2).

To find out more: data on business start-ups are reported by the French National Institute of Statistics and Economic Studies (INSEE): Business start-ups on the INSEE's website
A - Corporate bankruptcies by sector
Bankruptcies in number of legal units, year on year change (%)
Aggregate over the last 12 months (a) (gross data) Quater to quater sa/wda (bc) Monthly data sa / wda (c)
Aug. 18 Aug. 19 Aug. 19/Aug. 18 Sep. 19 prov. Sep. 19/Sep. 18 Aug. 19 June 19 July 19 Aug. 19
Business sector
Agriculture, forestry and fishing (AZ) 1,418 1,418 0.0% 1,380 -3.4% 2.6% 120 122 110
Industry (BE) 3,718 3,711 -0.2% 3,671 -1.5% 1.8% 279 254 329
Construction (FZ) 11,701 11,535 -1.4% 11,357 -3.4% 4.8% 984 948 975
Wholesale and retail trade; repair of motor vehicles and motorcycles (g) 11,505 11,273 -2.0% 11,203 -2.5% 1.0% 958 888 912
Transportation and storage (H) 1,941 2,069 6.6% 2,070 5.6% -10.4% 174 148 153
Accommodation and food service activities (I) 7,149 7,155 0.1% 7,015 -3.2% 3.2% 604 577 567
Information and communication (JZ) 1,334 1,275 -4.4% 1,301 -0.7% 10.3% 112 118 109
Financial and insurance activities (KZ) 1,055 1,104 4.6% 1,111 6.7% -0.1% 85 99 89
Real estate activities (LZ) 1,709 1,676 -1.9% 1,657 -2.7% 8.7% 176 132 137
Advisory & Business support activities (MN) 5,990 5,941 -0.8% 5,968 -0.9% -8.7% 493 466 454
Education, human health and social work services, Arts, entertainment and recreation, Other service activities (P to S) 5,276 5,362 1.6% 5,273 -0.8% -2.6% 426 439 419
All firms (d) 53,241 52,893 -0.7% 52,398 -1.9% 0.0% 4,461 4,257 4,219
Source: Banque de France - database: Fiben. Data available at end-October 2019
Calculation : Banque de France - Companies Directorate - Companies Observatory
a Aggregate number of corporate bankruptcies over the past 12 months compared to the same aggregate one year ago
b Aggregate number of corporate bankruptcies over the past 3 months compared to the same aggregate three months ago
c sa : seasonally adjusted - wda : working day adjusted
d The line « All firms » includes legal units whose business sector is not known
B - Corporate bankruptcies by firm size
Bankruptcies in number of legal units, year on year change (%)
Aggregate over the last 12 months (a) (gross data) Quarter to quarter sa/wda (bc) Monthly data sa / wda (c)
Aug. 18 Aug. 19 Aug. 19/Aug. 18 Sep. 19 prov. Sep. 19/Sep. 18 Aug. 19 June 19 July 19 Aug. 19
Size
SME, among them 53,200 52,859 -0.6% 52,360 -1.9% 0.0% 4,459 4,254 4,214
Micro-enterprises and unknown firm's size 50,450 49,963 -1.0% 49,474 -2.3% 0.2% 4,224 4,021 3,993
Very small firms 1,676 1,697 1.3% 1,685 -0.4% -4.8% 132 126 135
Small firms 782 852 9.0% 851 9.0% -1.0% 74 67 60
Medium-size firms 292 347 18.8% 350 18.6% -2.7% 27 33 28
ISE - Large Firms 41 34 -17.1% 38 -2.6%
All firms 53,241 52,893 -0.7% 52,398 -1.9% 0.0% 4,461 4,257 4,219
Source: Banque de France - database: Fiben. Data available at end-October 2019
Calculation : Banque de France - Companies Directorate - Companies Observatory
a Aggregate number of corporate bankruptcies over the past 12 months compared to the same aggregate one year ago
b Aggregate number of corporate bankruptcies over the past 3 months compared to the same aggregate three months ago
c sa : seasonally adjusted - wda : working day adjusted
C - Changes in corporate bankruptcies
1 - Number of bankruptcies
Aggregate number of bankruptcies over the past 12 months
From Dec. 1991 to August 2019
2 - Change in bankruptcies
Year-on-year change in the 12-month aggregate
From Dec. 1991 to August 2019 (+September 2019 provisional)
(in %)
3 - Loan amounts of bankrupt non-Financial firms over loan amount
of all firms
Aggregate over the past 12 months
From Dec. 2006 to August 2019 (+ September 2019 provisional)
(in %)
4 - Loan amounts of bankrupt non-financial firms over loan amount of all firms - broken down by firm size
Aggregate over the past 12 months
From Dec. 2006 to August 2019 (+ September 2019 provisional)

(in %)
Source: Banque de France, Companies Directorate, Data available at end-Octotber 2019

More information on: methodology, time series, calendar
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Corporate bankruptcies
STAT INFO - September 2019
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Business failures - France
  • Published on 11/13/2019
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Published on Wednesday, November 13, 2019