Shortfalls in post-M&A performance and impairment risk
First written in FY2019. 4 of 5 entries say "Materialised", first in FY2020. Latest entry: FY2026.
Yakiniku Sakai Holdings moved to the "Worse" side of this theme in 2020, 4 years before the typical company in this theme (2024).
The whole theme swung hardest in 2024: 40 of 92 companies on the "Worse" side.
50 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「Goodwill Goodwill 19,892」
The company recorded an impairment loss of ¥19.892 million on goodwill related to businesses acquired through M&A and other transactions. Although the amount declined from the previous fiscal year, the risk concerning performance and recoverability continued to materialize as an actual loss. - FY2025MaterialisedAnnual report
「Goodwill Goodwill 37,719」
The company also recorded an impairment loss including ¥37.719 million in goodwill related to businesses acquired through M&A and other transactions. The risk concerning post-M&A profitability and recoverability materialized as an actual loss. - FY2024MaterialisedAnnual report
「In addition, because recoverability was not recognized for the goodwill equivalent amounts related to certain consolidated subsidiaries, the entire amount was recorded as an impairment loss.」
An event occurred in which recoverability was not recognized for goodwill related to subsidiaries acquired through M&A and other transactions, resulting in the recognition of an impairment loss including ¥128.869 million. - FY2020MaterialisedAnnual report
「Because recoverability was not recognized for the goodwill equivalent amounts related to certain consolidated subsidiaries, the entire amount was recorded as an impairment loss.」
An event occurred in which recoverability was not recognized for goodwill related to subsidiaries acquired through M&A and other transactions, resulting in the recognition of an impairment loss. - FY2019First statedAnnual report
「To achieve sustainable growth, our group may conduct M&A transactions and capital and business alliances. Before implementing these transactions, we thoroughly examine the target company's financial and contractual details, assess the risks, and make a decision. However, if we determine that the initially anticipated results cannot be achieved due to changes in the business environment after implementation, or if a capital and business alliance or similar arrangement is terminated or changed, goodwill impairment losses, investment impairment losses, and other factors may affect our group's operating results and financial position.」
The company newly disclosed the risks associated with its increasingly active M&A and capital and business alliances, including failure to achieve anticipated results, termination or change of alliances, and impairment losses on goodwill and investments.