Declining Profitability and Impairment Risk in the Internet Café Business
First written in FY2023-Q3. 2 of 3 entries say "Materialised", first in FY2023-Q3. Latest entry: FY2024-Q1.
The whole theme swung hardest in 2025: 43 of 77 companies on the "Worse" side.
27 other companies' latest entry also says "Mitigated".
- FY2024-Q1MitigatedAnnual report
「In the first quarter, partly because operations at the internet café stores ended at the end of May 2023, revenue was ¥45 million, down 70.7% year on year, and the segment loss was ¥1 million, down 92.3% year on year.」
The previously announced withdrawal from the Internet café business was completed at the end of May 2023, reducing the Group's exposure to declining profitability and impairment risk in the business. - FY2023MaterialisedAnnual report
「As a result of recording an impairment loss of ¥136 million as an extraordinary loss due to the withdrawal from the internet café business at the end of May 2023 and the resulting loss of expected revenue from copyright license fees held by the consolidated subsidiary 娯楽TVメディア・コンテンツ株式会社, net loss attributable to owners of the parent was ¥66 million.」
The policy of withdrawing from the Internet café business was specified as taking place at the end of May 2023, and the business is being downsized in response to declining store profitability and impairment. - FY2023-Q3MaterialisedAnnual report
「At our Jiyu Kukan Otsuka store in Toshima-ku, Tokyo, and Jiyu Kukan Tsudanuma North Exit store in Narashino, Chiba, expected revenue could no longer be anticipated and recoverability declined. Accordingly, the carrying amounts were reduced to their recoverable amounts, and the resulting reductions were recorded as impairment losses under extraordinary losses.」
Expected revenue could no longer be anticipated at 2 stores, and impairment losses were recorded due to the decline in recoverability. The impairment losses included buildings, building fixtures, tools, equipment and fixtures, among other assets.