Substantial Investments in Large-Scale Stores and Fixed Asset Impairment
First written in FY2016. 4 of 9 entries say "Materialised", first in FY2016. Latest entry: FY2026.
Joyful Honda moved to the "Worse" side of this theme in 2016, 8 years before the typical company in this theme (2024).
The whole theme swung hardest in 2020: 5 of 16 companies on the "Worse" side.
7 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「Impairment loss — million」
Regarding impairment risk for large stores and fixed assets, no impairment loss was recorded for the consolidated fiscal year. However, the possibility of future impairment of ¥97.144 billion in store fixed assets and other assets continues to be disclosed as an accounting estimation risk. - FY2023MaterialisedAnnual report
「Impairment loss 394」
Regarding impairment risk for large stores and fixed assets, an impairment loss of ¥394 million was recorded for the fiscal year, again indicating that the risk has materialized. - FY2022MitigatedAnnual report
「To address these risks, we are working to improve profitability by successively introducing newly developed and newly sourced products that reflect trends in discretionary consumption, strengthening cross-merchandising of high-gross-margin product categories, simplifying and improving the efficiency of head-office functions while utilizing remote work and multiple offices, optimizing and reallocating staffing through the integration of sales-floor areas, and reducing selling, general and administrative expenses.」
The disclosure describes measures to improve profitability in response to fixed-asset impairment risk through merchandise and sales-floor initiatives, organizational efficiency improvements, staff reallocation, and reductions in selling, general and administrative expenses. - FY2021MitigatedAnnual report
「Impairment loss: 72」
The impairment loss for the fiscal year was ¥72 million, down from ¥4.833 billion in the previous fiscal year. - FY2020-Q3WorsenedAnnual report
「Impairment loss 4,833」
Impairment losses for the nine-month period totaled ¥4.833 billion, up from ¥2.472 billion in the same period of the previous year. The scale of impairment risk relating to large stores and fixed assets has increased further. - FY2019-Q2WorsenedAnnual report
「Profit attributable to owners of the parent was ¥1.504 billion, down ¥1.283 billion from the same quarter of the previous year, or 46.0%, because an impairment loss of ¥2.472 billion related to the Home Center Chiba store was recorded as an extraordinary loss.」
Regarding impairment risk for large stores and fixed assets, an impairment loss of ¥2.472 billion related to the Home Center Chiba store was recorded, increasing the scale of the impairment from the ¥507 million disclosed in the previous quarter. - FY2018-Q2MaterialisedAnnual report
「Impairment Losses」
An impairment loss of ¥507 million was recorded for the six-month period ended the second quarter, indicating that impairment risk relating to large stores and fixed assets continues to materialize. - FY2017MaterialisedAnnual report
「Because the cash flows generated by operating activities from the asset group above have remained negative and recovery of the carrying amount is not expected, the entire carrying amount as of the end of the consolidated fiscal year was recorded as an impairment loss.」
An impairment loss totaling ¥223 million was recorded for the asset groups at Arakawaoki, Satte, Moriya, Tomisato, and Utsunomiya. - FY2016MaterialisedAnnual report
「Our group operates very large stores and holds significant fixed assets. Although we apply impairment accounting, if store profitability deteriorates or the market prices of assets held decline substantially in the future, impairment losses may be recognized.」
During the fiscal year, the company spent ¥14.13 billion on the acquisition of land for new businesses and other purposes, and recorded an impairment loss of ¥274 million.