Risks Related to Lease Renewals and Recovery of Security Deposits
First written in FY2016. 7 of 9 entries say "Restated". Latest entry: FY2027-H1.
SLD Entertainment moved to the "Worse" side of this theme in 2026, 5 years after the typical company in this theme (2021).
The whole theme swung hardest in 2026: 12 of 30 companies on the "Worse" side.
2 other companies' latest entry also says "Materialised".
- FY2027-H1MaterialisedAnnual report
「Recorded an impairment loss of ¥3 million following the closure of company-operated stores upon the expiration of their fixed-term building lease agreements.」
Company-operated stores were closed following the expiration of lease agreements. The risk to store continuity associated with lease expirations and renewals has materialized in the form of actual closures. - FY2026RestatedAnnual report
「We may be unable to renew a lease for reasons attributable to the landlord. In addition, if a lease is terminated before its expiration for reasons attributable to the landlord, we may be forced to close a store unexpectedly even if its performance is strong.」
The Company continues to disclose the risks of inability to renew leases, early termination, non-recovery of security deposits and unplanned store closures. - FY2025RestatedAnnual report
「We may be unable to renew a lease for reasons attributable to the landlord. In addition, if a lease is terminated before its expiration for reasons attributable to the landlord, we may be forced to close a store unexpectedly even if its performance is strong.」
The Company continues to disclose the risks of inability to renew leases, early termination, non-recovery of security deposits and unplanned store closures. - FY2022RestatedAnnual report
「If a lease is terminated before its expiration for reasons attributable to the landlord, we may be forced to close a store unexpectedly even if its performance is strong. If this occurs, our operating results and financial condition could be affected.」
The Company continues to disclose the risks of non-recovery of security deposits, inability to renew leases and unplanned store closures at the landlord's request. - FY2021RestatedAnnual report
「If a lease is terminated before its expiration for reasons attributable to the landlord, we may be forced to close a store unexpectedly even if its performance is strong. If this occurs, our operating results and financial condition could be affected.」
The Company continues to disclose the risks of non-recovery of security deposits, inability to renew leases and unplanned store closures. - FY2020RestatedAnnual report
「If a lease is terminated before its expiration for reasons attributable to the landlord, we may be forced to close a store unexpectedly even if its performance is strong. If this occurs, our operating results and financial condition could be affected.」
The Company continues to disclose the risks of non-recovery of security deposits, inability to renew leases and unplanned store closures. - FY2018RestatedAnnual report
「If a lease is terminated before its expiration for reasons attributable to the landlord, we may be forced to close a store unexpectedly even if its performance is strong. If this occurs, our operating results and financial condition could be affected.」
The Company continues to disclose the risks of non-recovery of security deposits, inability to renew leases and unplanned store closures. - FY2017RestatedAnnual report
「If a lease is terminated before its expiration for reasons attributable to the landlord, we may be forced to close a store unexpectedly even if its performance is strong. If this occurs, our operating results and financial condition could be affected.」
The Company continues to disclose the risks of non-recovery of security deposits, inability to renew leases and unplanned store closures. - FY2016First statedAnnual report
「Depending on the landlord’s financial condition, all or part of the security deposit may not be returned when a store is closed. In addition, if we terminate a lease early for reasons attributable to us, all or part of the security deposit may not be returned depending on the terms of the agreement.」
The store-leasing business model creates risks relating to security deposits, lease renewals and unplanned closures.