Continuing Losses and Fixed-Asset Impairment in the Herb Garden Business
First written in FY2020. 5 of 12 entries say "Worsened", first in FY2021-Q1. Latest entry: FY2024-Q2.
No other company in this theme has enough history to compare yet.
- FY2024-Q2MitigatedAnnual report
「During the cumulative second quarter of the current fiscal year, the Group, consisting of the company and its affiliated companies, transferred the Herb Garden operations and withdrew from the business.」
The Herb Garden operations business, which had been subject to continued losses and impairment of fixed assets, was transferred and excluded from the scope of consolidation of the Group, reducing the consolidated risks associated with the business. - FY2024-Q1MitigatedAnnual report
「In the Herb Garden operations, wholesale sales were strong because herb production increased at the Herb Garden operated by consolidated subsidiary 大多喜ハーブガーデン. However, demand from visitors to the restaurant and shop, which had been strong in the first quarter of the previous fiscal year after the company captured demand for short-distance travel, was weak in the first quarter of the current fiscal year. As a result, revenue was ¥56.498 million, down 10.3% year on year, while segment profit (operating profit) was ¥1.502 million, up 3.6% year on year.」
The disclosure noted strong wholesale sales due to increased herb production and a swing from an operating loss in the same quarter of the previous year to operating profit of ¥1.502 million, indicating that the risk of continued losses eased in the quarter. Meanwhile, revenue declined due to weak visitor demand. - FY2023-Q3WorsenedAnnual report
「In the Herb Garden operations business, initiatives to attract visitors through social media and capture the recovery in domestic tourism demand at the herb garden operated by consolidated subsidiary 大多喜ハーブガーデン were successful. Revenue from the Herb Garden business recovered to pre-pandemic levels and remained stable, but increased capital expenditure and repair costs resulted in revenue of ¥157.601 million, up 2.3% year on year, and a segment loss (operating loss) of ¥16.030 million, compared with an operating loss of ¥2.335 million in the same quarter of the previous year.」
Revenue recovered to pre-pandemic levels and increased 2.3% year on year, but the operating loss widened from ¥2.335 million in the same quarter of the previous year to ¥16.030 million due to higher capital expenditures and repair costs. - FY2023-Q2WorsenedAnnual report
「At the Herb Garden operated by consolidated subsidiary 大多喜ハーブガーデン, initiatives to attract visitors through social media and capture the recovery in domestic tourism demand proved effective, and revenue from the Herb Garden business remained steady above pre-pandemic levels. However, higher capital investment and repair costs resulted in revenue of ¥113.476 million, up 7.5% year on year, and a segment loss (operating loss) of ¥18.935 million, compared with an operating loss of ¥11.645 million in the same period of the previous year.」
Although revenue increased 7.5% year on year and exceeded pre-pandemic levels, the business recorded an operating loss of ¥18.935 million due to higher capital expenditures and repair costs, widening from an operating loss of ¥11.645 million in the same quarter of the previous year. - FY2023-Q1RestatedAnnual report
「At the Herb Garden operated by consolidated subsidiary 大多喜ハーブガーデン, initiatives to capture demand for outings to a nearby tourist attraction proved effective, and revenue from the Herb Garden business remained steady above pre-pandemic levels. However, higher capital investment and repair costs resulted in revenue of ¥62.966 million, up 11.1% year on year, and a segment loss (operating loss) of ¥6.317 million, compared with an operating loss of ¥4.975 million in the same period of the previous year.」
Revenue from operations within the garden exceeded pre-pandemic levels, increasing 11.1% year on year, but the business continued to record an operating loss due to higher capital expenditures and repair costs. - FY2022-Q3WorsenedAnnual report
「As a result, revenue was ¥154.074 million, up 11.4% year on year, and the segment loss (operating loss) was ¥6.835 million, compared with segment profit of ¥6.939 million in the same quarter of the previous year.」
Although revenue in the Other businesses increased 11.4% year on year, the business swung from segment profit of ¥6.939 million in the same quarter of the previous year to an operating loss of ¥6.835 million, and the earnings performance of the Herb Garden business deteriorated again. - FY2022-Q2WorsenedAnnual report
「As a result, revenue for the business was ¥105.534 million, up 22.8% year on year, and the segment loss (operating loss) was ¥2.536 million, compared with segment profit of ¥5.927 million in the same quarter of the previous year.」
Although revenue in the Other businesses increased 22.8% year on year, the business swung from operating profit of ¥5.927 million in the same quarter of the previous year to an operating loss of ¥2.536 million, and the earnings performance of the Herb Garden business deteriorated again. - FY2022-Q1MitigatedAnnual report
「As a result, revenue was ¥56.655 million, up 49.5% year on year, and segment profit (operating profit) was ¥178 thousand, compared with an operating loss of ¥5.097 million in the same quarter of the previous year.」
The Other businesses, including 大多喜ハーブガーデン, swung from an operating loss in the same quarter of the previous year to operating profit of ¥178 thousand, improving from the state of continued losses. - FY2021-Q3MitigatedAnnual report
「As a result, revenue was ¥138.248 million, down 8.5% year on year, and segment profit (operating profit) was ¥6.939 million, up 216.7% year on year.」
Although the Other businesses, including the Herb Garden business, recorded lower revenue, they posted segment profit of ¥6.939 million, representing an improvement from the state of continued losses. - FY2021-Q2MitigatedAnnual report
「As a result, revenue was ¥85.960 million, down 24.5% year on year, and segment profit (operating profit) was ¥5.927 million, down 44.0% year on year.」
Although the Herb Garden business recorded lower revenue and profit year on year, it recorded segment profit of ¥5.927 million for the six months through the second quarter, improving from the operating loss in the previous quarter. - FY2021-Q1WorsenedAnnual report
「At the herb garden operated by consolidated subsidiary 大多喜ハーブガーデン, the number of visitors fell sharply, down 59% year on year, due to the impact of the declaration of a state of emergency related to COVID-19, requests to refrain from going out and the cancellation of events during Golden Week. In addition, wholesale sales of various herbs to restaurants and other establishments declined substantially because the restaurant companies that were the primary wholesale customers were almost uniformly closed. As a result, revenue was ¥37.899 million, down 39.7% year on year, and the segment loss (operating loss) was ¥5.097 million, compared with operating profit of ¥19.432 million in the same quarter of the previous year.」
Due to the impact of the infectious disease, visitor numbers fell 59% and revenue fell 39.7%, causing the herb business to swing from operating profit in the same quarter of the previous year to an operating loss of ¥5.097 million. - FY2020MaterialisedAnnual report
「Because the profit generated from operating activities at 大多喜ハーブガーデン, a consolidated subsidiary, has remained negative, the carrying amounts of tangible fixed assets were reduced to their recoverable amounts, and the reductions were recognized as impairment losses under extraordinary losses. The breakdown was ¥14,296 thousand for buildings and ¥1,018 thousand for tools, furniture, and fixtures.」
Because operating profit at 大多喜ハーブガーデン remained negative, the Company recognized total impairment losses of ¥15,314 thousand on buildings and tools, furniture, and fixtures.