Unprofitable Stores and Widening Losses in China Business
First written in FY2016. 8 of 15 entries say "Worsened", first in FY2017-Q1. Latest entry: FY2020-Q3.
Honeys Holdings moved to the "Worse" side of this theme in 2016.
0 other companies' latest entry also says "Mitigated".
- FY2020-Q3MitigatedAnnual report
「The liquidation proceedings in China were finalized on 11 December 2019, and a gain on liquidation of an affiliated company of ¥955 million was recorded as extraordinary income.」
Following the end of the Chinese retail business, the liquidation proceedings were also completed, and losses and expense burdens attributable to the China business were reduced. - FY2020-Q2MitigatedAnnual report
「Consolidated profit also increased year on year because selling, general and administrative expenses at the Chinese subsidiary whose operations had ended declined, among other factors. The liquidation proceedings in China were completed in December 2019.」
The end of the China business reduced related expenses, and the liquidation proceedings were completed, reducing losses and expense burdens attributable to the China business. - FY2020-Q1MitigatedAnnual report
「Consolidated profit also increased year on year because expenses at the Chinese subsidiary whose operations had ended declined, among other factors. The liquidation proceedings in China are progressing broadly as planned.」
The end of the Chinese retail business reduced related expenses, contributing to higher consolidated profit. The liquidation proceedings are also progressing broadly as planned. - FY2019-Q3MitigatedAnnual report
「Sales in China were ¥1.107 billion, down 77.5% year on year, and the operating result was an operating loss of ¥360 million, compared with an operating loss of ¥736 million in the same period of the previous year. Sales declined because store closures reduced revenue, but the loss narrowed substantially following the cessation of operations.」
Although sales declined substantially following the closure of all stores, the operating loss narrowed from ¥736 million in the same period of the previous year to ¥360 million. - FY2019-Q2MitigatedAnnual report
「Sales in China were ¥1.102 billion, down 67.2% year on year, and the operating result was an operating loss of ¥277 million, compared with an operating loss of ¥435 million in the same period of the previous year. Sales declined because store closures reduced revenue, but the operating loss narrowed by ¥157 million. The number of stores decreased by 312 from the same period of the previous year.」
Although store closures caused a substantial decline in sales, the operating loss narrowed by ¥157 million from the same period of the previous year. - FY2019-Q1WorsenedAnnual report
「Sales in China were ¥852 million, down 55.9% year on year, and the operating result was an operating loss of ¥64 million, compared with an operating loss of ¥50 million in the same period of the previous year. Sales declined because store closures reduced revenue.」
Sales in China declined 55.9%, and the operating loss widened from ¥50 million in the same period of the previous year to ¥64 million. The disclosure cites lower sales resulting from store closures. - FY2018WorsenedAnnual report
「Sales in China were ¥6.064 billion, down 29.4% from the previous consolidated fiscal year, and the operating result was an operating loss of ¥1.011 billion, compared with an operating loss of ¥541 million in the same period of the previous year. Sales declined as the company accelerated the closure of unprofitable stores. The gross profit margin fell to 50.5%, down 7.6 percentage points from the previous consolidated fiscal year, because the company recorded valuation losses on slow-moving inventory and sold products at markdown prices.」
Sales in China declined 29.4%, and the operating loss widened from ¥541 million to ¥1.011 billion. The disclosure cites accelerated store closures, valuation losses on slow-moving inventory and markdown sales. - FY2018-Q3WorsenedAnnual report
「Sales in China were ¥4.916 billion, down 26.1% year on year, and the operating result was an operating loss of ¥736 million, compared with an operating loss of ¥328 million in the same period of the previous year. Sales declined as the company accelerated the consolidation of unprofitable stores amid an increasingly challenging competitive environment. In addition to disposing of long-stagnant inventory, the company recorded higher losses on the disposal of fixed assets and other costs associated with store closures, resulting in lower profit.」
Sales in China declined 26.1% year on year, and the operating loss widened from ¥328 million to ¥736 million. The company also describes the acceleration of unprofitable store consolidation, the disposal of long-stagnant inventory and higher store closure-related costs. - FY2018-Q2WorsenedAnnual report
「Sales in China were ¥3.364 billion, down 24.9% year on year, and the operating result was an operating loss of ¥435 million, compared with an operating loss of ¥207 million in the same period of the previous year. Sales declined as the company accelerated the consolidation of unprofitable stores amid an increasingly challenging competitive environment. In addition to disposing of long-stagnant inventory, the company recorded higher losses on the disposal of fixed assets and other costs associated with store closures. As a result, sales and profit declined.」
Sales in China declined 24.9%, and the operating loss widened from ¥207 million in the same period of the previous year to ¥435 million. The company also describes the acceleration of unprofitable store consolidation, the disposal of long-stagnant inventory and higher store closure-related costs. - FY2018-Q1WorsenedAnnual report
「Sales in China were ¥1.931 billion, down 23.3% year on year, and the operating result was an operating loss of ¥50 million, compared with an operating loss of ¥25 million in the same period of the previous year. Sales and profit declined because department stores and other facilities had weak customer traffic and sales remained sluggish.」
Sales in China declined 23.3% year on year, and the operating loss widened from ¥25 million to ¥50 million. - FY2017MitigatedAnnual report
「Sales in China were ¥8.584 billion, down 34.3% from the previous consolidated fiscal year, and the operating result was an operating loss of ¥541 million, compared with an operating loss of ¥629 million in the same period of the previous year. In addition to sluggish sales, the disposal of slow-moving inventory caused the gross profit margin to decline.」
Although the decline in sales in China and the decrease in the gross profit margin resulting from the disposal of slow-moving inventory continued, the operating loss narrowed from ¥629 million in the previous year to ¥541 million. - FY2017-Q3WorsenedAnnual report
「Sales in China were ¥6.656 billion, down 34.2% year on year, and the operating result was an operating loss of ¥328 million, compared with an operating loss of ¥244 million in the same period of the previous year. Sales and profit declined because department stores and other facilities had weak customer traffic and the competitive environment became more challenging.」
Sales in China declined 34.2% year on year, while the operating loss widened from ¥244 million in the same period of the previous year to ¥328 million, and the declines in sales and profit continued. - FY2017-Q2WorsenedAnnual report
「Sales in China were ¥4.481 billion, down 35.7% year on year, and the operating result was an operating loss of ¥207 million, compared with operating income of ¥14 million in the same period of the previous year. Sales and profit declined because department stores and other facilities had weak customer traffic, the competitive environment became more challenging, and the yuan weakened.」
Sales in China declined 35.7%, and the operating result turned from operating income in the same period of the previous year to an operating loss of ¥207 million. Lower customer traffic, intensifying competition and the yuan's depreciation were cited as factors. - FY2017-Q1WorsenedAnnual report
「Sales in China were ¥2.517 billion, down 32.0% year on year, and the operating result was an operating loss of ¥25 million, compared with operating income of ¥138 million in the same period of the previous year. Sales and profit declined because department stores and other facilities had weak customer traffic and the competitive environment became more challenging.」
In China, the operating result turned from operating income in the same period of the previous year to an operating loss, while sales declined 32.0%. Weak customer traffic and a challenging competitive environment were cited as factors. - FY2016MaterialisedAnnual report
「In addition to sluggish sales, the disposal and impairment of inventories caused the gross profit margin to fall below the initial forecast, resulting in a wider operating loss.」
The China segment recorded sales of ¥13.061 billion and an operating loss of ¥629 million, with the loss widening from ¥163 million in the previous year.