Upfront Cost Burden from the Construction of the Shinagawa Distribution Center
First written in FY2018-Q2. 10 of 15 entries say "Mitigated", first in FY2019. Latest entry: 2026-10-14.
S-Pool moved to the "Worse" side of this theme in 2024.
0 other companies' latest entry also says "Mitigated".
- FY2025MaterialisedAnnual report
「During the consolidated fiscal year, we decided to close the Shinagawa Center and consolidate its operations into the N流山 Center to fundamentally improve the profitability of the logistics outsourcing service within the Business Solutions segment. In connection with this decision, we recorded an impairment loss under “Other expenses” in the consolidated statement of income. The impairment loss represents a write-down of the carrying amount of logistics equipment at the Shinagawa Center, which is being closed, to its recoverable amount.」
The risks related to monetization and profitability improvement at the distribution centers materialized as the closure of the Shinagawa Center, its consolidation into the N流山 Center, and a ¥178 million impairment loss. - FY2025-H1WorsenedAnnual report
「Meanwhile, revenue from the logistics outsourcing service increased slightly as major customers expanded, but profit declined due to delays in improving the profitability of the new center.」
Regarding the previously mitigated risk surrounding monetization of the distribution centers, delays in improving profitability at the new center continue to appear in the form of lower earnings. - FY2023WorsenedAnnual report
「In the logistics outsourcing service, revenue was in line with plan, but profit declined because, in addition to the opening costs for the Nagareyama center established in July 2023, more time and expense than anticipated were required to achieve stable operations.」
Regarding the previously mitigated risk surrounding monetization of the distribution centers, opening costs and front-loaded expenses incurred before the N流山 Center reached stable operations have materialized in the results again. - FY2022MitigatedAnnual report
「In the logistics outsourcing service, profitability has stabilized through the disposal of low-margin projects and other measures, and signs of a recovery toward renewed growth have emerged.」
The company continues to explain that profitability in the logistics business has stabilized through the elimination of low-margin projects and other measures, mitigating the risk of delayed monetization of the distribution center. - FY2022-Q3MitigatedAnnual report
「Profitability has stabilized through the elimination of low-margin projects and other measures, while the acquisition of new projects has also progressed smoothly, indicating signs of a recovery toward renewed growth.」
In response to delayed monetization and upfront cost burdens in logistics outsourcing, including the distribution center, profitability has stabilized through the elimination of low-margin projects and other measures, indicating signs of renewed growth. - FY2021MitigatedAnnual report
「Profitability improvement at the center has been completed, and recovery toward normal levels is now progressing.」
Regarding the upfront costs and delayed monetization of the Shinagawa Distribution Center, the disclosure states that profitability improvement has been completed and recovery toward normal levels has progressed. - FY2021-Q3MitigatedAnnual report
「In the logistics outsourcing service, the effects of operational improvements at the logistics center emerged within a short period, and the operating profit margin had recovered to normal levels on a monthly basis.」
Regarding the risks associated with delayed monetization of the distribution center and upfront cost burden, the disclosure states that the operating margin recovered to its normal level on a monthly basis as a result of operational improvements. - FY2020-Q3MitigatedAnnual report
「In the logistics outsourcing service, the expansion of stay-at-home consumption continued, enabling performance to remain above plan.」
The logistics outsourcing service has performed above plan, and the risks of delayed monetization of the distribution center and upfront cost burden can now be described as having been further mitigated. - FY2019MitigatedAnnual report
「The logistics outsourcing service also returned to profitability as a result of improved profitability.」
Regarding the delayed monetization of the Shinagawa Distribution Center reported through the previous quarter, the disclosure now states that profitability improved and the logistics outsourcing business as a whole returned to profitability. - FY2018-Q3WorsenedAnnual report
「In terms of earnings, monetization of the newly opened Shinagawa Distribution Center has been delayed. However, the segment operating margin improved due to the revenue contribution from growth in the relatively high-margin disability employment support services.」
The nature of the risk has become more specific, shifting from the previously reported upfront cost burden to delayed monetization of the Shinagawa Distribution Center. Meanwhile, the segment operating margin has improved due to higher revenue from disability employment support services. - FY2018-Q2First statedAnnual report
「In terms of earnings, upfront costs were incurred in establishing the Shinagawa Distribution Center. However, the segment operating margin improved due to the revenue contribution from growth in the relatively high-margin disability employment support services.」
The disclosure states that upfront costs associated with establishing the Shinagawa Distribution Center were actually incurred. Meanwhile, the segment operating margin improved due to higher revenue from disability employment support services.