Changes in Estimates for Fixed Assets and Asset Retirement Obligations Following the Head Office Relocation
First written in FY2023-Q3. 1 of 3 entries say "Advanced", first in FY2024-Q2. Latest entry: FY2025-H1.
0 other companies' latest entry also says "Mitigated".
- FY2025-H1MitigatedAnnual report
「Regarding profit, although education-related expenses, which represent growth investment, increased, operating profit was ¥496 million (up 9.6% year on year), due in part to the effect of higher revenue and the absence of one-off expenses, including head office relocation costs, in the current period.」
Head office relocation costs incurred in the previous fiscal year were not incurred during the current interim consolidated accounting period, reducing the impact of one-off expenses on profit. - FY2024-Q2AdvancedAnnual report
「Meanwhile, in addition to continuing from the previous fiscal year to invest in solution development from a long-term perspective, invest in human resources development, recruit personnel, and strengthen management, the company incurred costs to restore the former head office to its original condition. As a result, operating profit was ¥453 million, down 9.7% year on year; ordinary profit was ¥487 million, down 9.0%; and net income for the quarter attributable to owners of the parent was ¥326 million, down 9.5%.」
Actual restoration costs for the former head office office were incurred in connection with the head office relocation and recognised as a factor reducing profit for the quarter. - FY2023-Q3First statedAnnual report
「During the current third-quarter consolidated accounting period, the company decided to relocate its head office and determined the timing of the relocation, and consequently changed the estimated useful lives of property, plant and equipment that are not expected to be used after the relocation. In addition, because more precise estimates became possible for the asset retirement obligations recognised as restoration obligations under real estate lease agreements, the estimated amounts were revised.」
Following the decision to relocate the head office and determine the timing, the company revised the estimated useful lives of property, plant and equipment not expected to be used after the relocation, as well as the estimates for asset retirement obligations. As a result, operating profit, ordinary profit, and profit before income taxes for the quarter each decreased by ¥15.665 million.