Goodwill Impairment Risk
First written in FY2024. 5 of 9 entries say "Materialised", first in 2026-03-31. Latest entry: FY2026.
Muscat Group moved to the "Worse" side of this theme in 2025, 2 years after the typical company in this theme (2023).
The whole theme swung hardest in 2019: 5 of 12 companies on the "Worse" side.
2 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「The carrying amount of the goodwill was reduced to its recoverable amount, and the decrease was recognized as an impairment loss.」
A goodwill impairment loss of ¥304,589 thousand was actually recognized for the former RiLi casting and apparel businesses, as their performance was expected to fall below the business plan. - FY2026-H1WorsenedAnnual report
「Goodwill under intangible assets increased from ¥762,434 thousand at the end of the previous consolidated fiscal year to ¥2,110,503 thousand at the end of the interim consolidated accounting period.」
Goodwill arising from acquisitions increased significantly, expanding exposure to goodwill impairment risk. - FY2025WorsenedAnnual report
「Goodwill: ¥762,434 thousand」
The goodwill balance increased from ¥496,695 thousand in the previous consolidated fiscal year to ¥762,434 thousand. The likelihood and impact of goodwill impairment were both described as medium. - FY2024First statedAnnual report
「Goodwill on the consolidated balance sheet as of 31 March 2023: ¥535,333 thousand; goodwill as a percentage of consolidated total assets: 42.6%.」
The Group discloses impairment risk if the recoverable amount falls below the carrying amount due to deteriorating performance or other factors.