Determination that deferred tax assets are unrecoverable in light of COVID-19
First written in FY2021-Q3. 3 of 8 entries say "Mitigated", first in FY2022. Latest entry: FY2026.
The whole theme swung hardest in 2026: 5 of 22 companies on the "Worse" side.
6 other companies' latest entry also says "Other".
- FY2026Deferred tax assets fell to ¥26 millionAnnual report
「Amounts recorded in the consolidated financial statements for the current consolidated fiscal year Deferred tax assets ¥44 million ¥26 million」
Deferred tax assets decreased from ¥44 million in the previous period to ¥26 million. The business plan for the following period estimates recoverability based on assumed growth in high-margin DSP advertising and non-pachinko advertising. - FY2025MitigatedAnnual report
「All tax loss carryforwards at the end of the current consolidated fiscal year are expected to be utilized in the following consolidated fiscal year.」
Deferred tax assets increased from ¥4 million in the previous period to ¥44 million, and the valuation allowance related to tax loss carryforwards decreased substantially. The situation changed from the previous period's determination that the assets were not recoverable to one in which amounts were recorded based on expected recoverability. - FY2024WorsenedAnnual report
「The company's performance deteriorated sharply during the fiscal year ending March 2024 due to the impact of new regulations on pachinko hall advertising, and we recognize that uncertainty remains high regarding a recovery in performance during the fiscal year ending March 2025. In light of these circumstances, we estimate expected taxable income to be zero. As a result, we determined that none of the company's deferred tax assets was recoverable and recorded the required valuation allowance.」
Due to the deterioration in performance caused by new regulations on pachinko hall advertising and the uncertainty surrounding the outlook for recovery, the company set expected taxable income at zero and determined that its deferred tax assets were not recoverable in full. Consolidated deferred tax assets fell from ¥63 million to ¥4 million. - FY2024-Q3Partial Reversal of Deferred Tax Assets Affected Net IncomeAnnual report
「Profit attributable to owners of the parent was ¥158 million, down 46.1% year on year, a very difficult result partly due to the impact of the partial reversal of deferred tax assets.」
The company states that the partial reversal of deferred tax assets was a factor behind the decline in profit attributable to owners of the parent. - FY2023MitigatedAnnual report
「As a result, the group recorded the amount of deferred tax assets expected to be highly recoverable.」
Deferred tax assets increased from ¥19 million in the previous period to ¥63 million, and the valuation allowance also decreased. The situation changed from the previous period's determination that the assets were not recoverable to one in which amounts expected to be highly recoverable were recorded. - FY2022MitigatedAnnual report
「Total deferred tax assets ¥2 million ¥19 million」
Consolidated deferred tax assets increased from ¥2 million to ¥19 million, while the valuation allowance related to tax loss carryforwards decreased from ¥148 million to ¥138 million. The situation changed from the previous period's determination that none was recoverable to one in which a certain amount was recognized. - FY2021AdvancedAnnual report
「As a result, the company determined that none of the deferred tax assets of the company and certain consolidated subsidiaries was recoverable and recorded the required valuation allowance.」
Assuming expected taxable income for the fiscal year ending March 2022 was zero, the company definitively stated in its full-year significant accounting estimates that it had determined that deferred tax assets of ¥148 million and other assets were not recoverable in full. - FY2021-Q3First statedAnnual report
「As taxable income for the fiscal year ending March 2021 was estimated to be zero, the company determined, based on the Application Guideline on the Recoverability of Deferred Tax Assets (Accounting Standards Application Guideline No. 26, 28 December 2015), that its deferred tax assets and those of certain consolidated subsidiaries were not recoverable.」
The company states that it determined that the deferred tax assets of the company and certain consolidated subsidiaries were not recoverable, based on projected taxable income that took into account the possibility of a decline in demand caused by the rapid spread of infections in the fourth quarter.