Emergence of Idle Operating Assets and Recognition of Impairment Losses
First written in FY2019-Q3. 3 of 4 entries say "Worsened", first in FY2019. Latest entry: FY2024.
Warabeya Nichiyo Holdings moved to the "Worse" side of this theme in 2019, 1 year before the typical company in this theme (2020).
The whole theme swung hardest in 2019: 6 of 13 companies on the "Worse" side.
0 other companies' latest entry also says "Worsened".
- FY2024WorsenedAnnual report
「Because the recoverable amounts of the assets in Tochigi City, Tochigi Prefecture, Mitsuke City, Niigata Prefecture, and Matsuda Town, Ashigarakami District, Kanagawa Prefecture, were below their carrying amounts, their carrying amounts were reduced to the recoverable amounts, and the reductions were recognized as impairment losses under extraordinary losses.」
In addition to idle assets and assets scheduled for sale, assets in Tochigi City, Tochigi Prefecture, and Matsuda Town, Ashigarakami District, Kanagawa Prefecture, were also subject to impairment, indicating continued issues concerning asset profitability and utilization. - FY2023WorsenedAnnual report
「Because the recoverable amount of the assets in Mitsuke City, Niigata Prefecture, was below their carrying amount, their carrying amount was reduced to the recoverable amount, and the reduction was recognized as an impairment loss under extraordinary losses.」
Impairment losses were recognized on idle assets, including assets in Mitsuke City, Niigata Prefecture, and consolidated impairment losses for the period totaled ¥938 million. - FY2019WorsenedAnnual report
「Assets in Musashimurayama, Tokyo, and elsewhere were scheduled for disposal following a review of the products manufactured. Because their recoverable amount fell below their carrying amount, the carrying amount was reduced to the recoverable amount, and the reduction was recorded as an impairment loss under extraordinary losses.」
It was explicitly disclosed that assets that had become idle would be retired following a review of the products manufactured, and a ¥965 million impairment loss was recognized. - FY2019-Q3First statedAnnual report
「Some of the business assets held by わらべや日洋株式会社 became idle, and the profitability of fixed assets held by the Kushiro Plant declined. Accordingly, their carrying amounts were reduced to their recoverable amounts, and the reductions were recognized as impairment losses under extraordinary losses. The impairment losses recognized during the cumulative third quarter of the current fiscal year were ¥698 million and ¥48 million, respectively.」
The recognition of a ¥698 million impairment loss because some business assets became idle is described as a new structural and accounting fact.