Risk That New Business Formats and Overseas Expansion Will Not Deliver Expected Results
First written in FY2016. 13 of 30 entries say "Restated". Latest entry: FY2027-H1.
Tokyo Base moved to the "Worse" side of this theme in 2023, 3 years after the typical company in this theme (2020).
The whole theme swung hardest in 2025: 5 of 10 companies on the "Worse" side.
8 other companies' latest entry also says "Mitigated".
- FY2027-H1MitigatedAnnual report
「In the China business, the withdrawal from unprofitable stores was completed by the end of the previous fiscal year, and management resources have been concentrated in Tier-1 cities, Shanghai, Beijing, Shenzhen and Guangzhou. As a result of concentrating personnel and product resources, same-store sales are recovering.」
The company proceeded with the withdrawal from unprofitable stores and concentration of management resources in Tier-1 cities, and stated that same-store sales are showing signs of recovery. - FY2026MitigatedAnnual report
「In the China business, the company completed its withdrawal from unprofitable stores and reviewed its store-opening strategy, opening stores in areas including Fumin Road in Shanghai. As a result, the number of stores stood at 8 at the end of the current consolidated fiscal year, and the operating profit margin recovered to △6.6%, an improvement of 19.2 percentage points from the same period of the previous year.」
In the China business, the company completed its withdrawal from unprofitable stores and review of its store-opening strategy, improving the operating profit margin by 19.2 percentage points from the previous year. - FY2026-H1MitigatedAnnual report
「In the China business, the withdrawal from unprofitable stores was completed by the end of the previous fiscal year, reducing the operation to 6 stores in 4 Tier-1 cities, Shanghai, Beijing, Shenzhen and Guangzhou, at the start of the current fiscal year. As a result of concentrating personnel and product resources, same-store sales are recovering. All of these stores have become profitable, and the company will steadily pursue renewed growth in the China business through further cluster expansion in Tier-1 cities.」
In the China business, the company completed the withdrawal from unprofitable stores and the concentration of resources in Tier-1 cities, and progressed in addressing the risk that overseas expansion would not achieve the expected results, including by making new strategic stores profitable. - FY2025Withdrawal from unprofitable stores alongside recovery in existing-store performanceAnnual report
「In the China business, the company withdrew from unprofitable stores to improve profitability, reducing the number of stores to 6 during the current consolidated fiscal year, a decline of 6 stores from the beginning of the period. As a result, revenue declined 37.4% year on year, while same-store sales recovered, increasing 14.3% year on year.」
In the China business, revenue declined as the store base was reduced, while same-store sales increased 14.3% year on year, indicating that restructuring and improvement at existing stores proceeded in parallel. - FY2025-H1MaterialisedAnnual report
「In the China business, the number of stores stood at 8 at the end of the interim period as the company proceeded with the withdrawal from unprofitable stores, down 9 stores from the same period of the previous year. As a result, revenue declined 35.5% year on year, while same-store sales increased 10.7% year on year.」
In the China business, the number of stores fell by 9 year on year to 8 due to the withdrawal from unprofitable stores, and revenue declined 35.5%. The risk that overseas expansion would not achieve the expected results became concrete in the form of a reduced store base and lower revenue. - FY2025-Q1MitigatedAnnual report
「In the China business, revenue declined following the closure of 13 unprofitable stores in the previous fiscal year. In the China business, the company is promoting structural reform by concentrating its geographic coverage and resources in Tier-1 cities.」
While noting a decline in revenue due to the closure of unprofitable stores in the China business, the company is pursuing concentration in Tier-1 cities and structural reform as countermeasures. No extraordinary losses were recorded in the first quarter after the closure and relocation of the format of Chinese stores. - FY2024MaterialisedAnnual report
「STUDIOUS 24 - 4 △4; UNITED TOKYO 24 - 7 △7; PUBLIC TOKYO 18 - 3 △3. During the current consolidated fiscal year, the Group continued initiatives such as launching new business formats and expanding overseas to expand its target customer base, but if these initiatives fail to achieve the results initially anticipated, this could affect the Group’s business performance.」
During the fiscal year, 14 stores were closed in connection with new business formats in Japan and overseas expansion, and the failure of some stores, including overseas locations, to achieve the expected results became concrete in the form of a reduction in the store base. - FY2024-Q2MaterialisedAnnual report
「Extraordinary losses decreased by ¥11.099 million from the cumulative second quarter of the previous consolidated fiscal year to ¥25.264 million. The main factor was impairment losses resulting from closures in certain areas of the Chinese subsidiaries and exits from certain commercial facilities.」
The company recorded ¥25.264 million in impairment losses associated with closures in certain areas of the Chinese subsidiaries and exits from certain commercial facilities, again making concrete the risk that new business formats and overseas expansion will not achieve the expected results. - FY2024-Q1MaterialisedAnnual report
「Extraordinary losses amounted to ¥27.751 million, compared with ¥204 thousand in the same period of the previous year. The main factor was impairment losses resulting from closures in certain areas of mainland China and exits from certain commercial facilities.」
The company recorded ¥27.751 million in impairment losses associated with closures in certain areas of mainland China and exits from certain commercial facilities, providing further concrete evidence of the continuing risk that overseas expansion will not achieve the expected results. - FY2023MaterialisedAnnual report
「The Group groups stores as the basic units of its asset groups, with stores serving as the smallest units that generate cash flows. Among these asset groups, the carrying amounts of stores for which relocation or closure was decided during the current consolidated fiscal year were reduced to their recoverable amounts, and the reductions were recorded as impairment losses under extraordinary losses. China: ¥206.779 million.」
The company recorded ¥262.631 million in impairment losses at stores scheduled for closure or relocation, including 11 stores in China, making concrete the risk that some new business formats and overseas expansion would not achieve the expected results through store closures and impairment. - FY2022-Q3RestatedAnnual report
「During the 3rd quarter of the current consolidated cumulative period, there were no material changes in the matters related to the business and accounting conditions described in this quarterly report, including the occurrence of major risks that management recognizes could materially affect the consolidated companies’ financial position, operating results or cash flows, or in the “Business and Other Risks” described in the annual securities report for the previous fiscal year.」
It is stated that there have been no material changes in the risk that new business formats and overseas expansion will not achieve the expected results. - FY2021MitigatedAnnual report
「The Group will seek to mitigate these risks by strengthening the management of progress in investment returns based on its business plans and making early decisions to withdraw from unprofitable businesses in accordance with internally established criteria.」
The company presented measures to strengthen the monitoring of investment returns and make early decisions to withdraw from unprofitable businesses. - FY2021-Q3MaterialisedAnnual report
「The company recorded impairment losses of ¥132.913 million and other items as extraordinary losses, including impairment losses on 3 stores in the Causeway Bay district of Hong Kong, namely STUDIOUS TOKYO, UNITED TOKYO and PUBLIC TOKYO, as well as the PUBLIC TOKYO Fukuoka store.」
Impairment losses arose at multiple stores, including overseas locations, and the 3 stores in Hong Kong’s Causeway Bay district were subject to closure and impairment as underperforming stores. - FY2020-Q2RestatedAnnual report
「During the cumulative second quarter, there were no new business or other risks and no material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
It is stated that there have been no material changes in the risk that new business formats and overseas expansion will not achieve the expected results. - FY2020-Q1RestatedAnnual report
「During the cumulative first quarter, there were no new business or other risks and no material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
It is stated that there have been no material changes in the risk that new business formats and overseas expansion will not achieve the expected results. - FY2019-Q2RestatedAnnual report
「During the cumulative second quarter, there were no new business or other risks and no material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
It is stated that there have been no material changes in the risk that new business formats and overseas expansion will not achieve the expected results. - FY2019-Q1RestatedAnnual report
「During the cumulative first quarter, there were no new business or other risks and no material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
It is stated that there have been no material changes in the risk that new business formats and overseas expansion will not achieve the expected results. - FY2018RestatedAnnual report
「The company will continue initiatives such as launching new business formats and expanding overseas to expand its target customer base, but if these initiatives fail to achieve the results initially anticipated, this could affect its business performance.」
The risk that new business formats and overseas expansion will not achieve the expected results continues. - FY2018-Q3RestatedAnnual report
「During the nine months ended the third quarter, there were no new business or other risks and no material changes to the business and other risks described in the securities report for the previous fiscal year.」
It is stated that there have been no material changes in the risk that new business formats and overseas expansion will not achieve the expected results. - FY2018-Q2RestatedAnnual report
「During the cumulative second quarter, there were no new business or other risks and no material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
It is stated that there have been no material changes in the risk that new business formats and overseas expansion will not achieve the expected results. - FY2018-Q1RestatedAnnual report
「During the cumulative first quarter, there were no new business or other risks and no material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
It is stated that there have been no material changes in the risk that new business formats and overseas expansion will not achieve the expected results. - FY2017RestatedAnnual report
「The company will continue initiatives such as launching new business formats and expanding overseas to expand its target customer base, but if these initiatives fail to achieve the results initially anticipated, this could affect its business performance.」
The company continues to disclose the risk that new business formats and overseas expansion will not achieve the expected results. - FY2017-Q3RestatedAnnual report
「During the nine months ended the third quarter, there were no new business or other risks and no material changes to the business and other risks described in the securities report for the previous fiscal year.」
It is stated that there have been no material changes in the risk that new business formats and overseas expansion will not achieve the expected results. - FY2017-Q2RestatedAnnual report
「During the cumulative second quarter, there were no new business or other risks and no material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
It is stated that there have been no material changes in the risk that new business formats and overseas expansion will not achieve the expected results. - FY2017-Q1RestatedAnnual report
「During the cumulative first quarter, there were no new business or other risks and no material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
It is stated that there have been no material changes in the risk that new business formats and overseas expansion will not achieve the expected results. - FY2016First statedAnnual report
「To expand its target customer base, the company launched the UNITED TOKYO business format from the fiscal year ended February 2016. The company will continue initiatives such as launching new business formats and expanding overseas, but if these initiatives fail to achieve the results initially anticipated, this could affect its business performance.」
The company discloses the possibility that the launch of new business formats and overseas expansion may fail to achieve the expected results.