Sharp Corp.'s default risk jumped to a two-year high as losses in the past 4½ years topped ¥1.2 trillion ($10 billion).

The cost to insure the Osaka-based company's bonds against default climbed 219 basis points in two weeks to 858 basis points on Oct. 30. The Markit iTraxx Japan credit-default swap index fell five basis points during the period.

The maker of screens for Apple Inc.'s iPhones posted a loss of ¥83.6 billion in the six months ended September as the Chinese smartphone market slowed. Display sales dropped 15 percent.