Cyber risks for Japanese companies have been on the rise as they continue to advance with their digital transformation efforts, S&P Global Ratings said in a Thursday release.

Major Japanese firms have seen ransomware attacks in recent years, leading to business suspensions and logistic delays and adversely impacting operations and financial reporting, S&P said.

Cyberattack incidents have revealed weaknesses among globally rated corporate entities' credit profiles, adding to other negative factors such as higher US tariffs and a dampened business environment, the rating agency said.

The credit impact of cyberattacks on rated Japanese companies could become apparent if they result in extended business delays and a drop in financial margins, according to S&P.