Impairment of Fixed Assets Due to Declining Profitability
First written in FY2018. 8 of 13 entries say "Materialised", first in FY2018. Latest entry: FY2025.
Koryojyuhan moved to the "Worse" side of this theme in 2018, 3 years before the typical company in this theme (2021).
The whole theme swung hardest in 2026: 67 of 129 companies on the "Worse" side.
35 other companies' latest entry also says "Mitigated".
- FY2025MitigatedAnnual report
「During the consolidated fiscal year, the group recognized impairment losses on the following asset groups.」
An impairment loss totaling ¥14,082 thousand was recorded on buildings and land held for rental, parking facilities, and solar power facilities. Impairment continued, but the amount fell substantially from ¥115,261 thousand in the previous fiscal year. - FY2025-H1MitigatedAnnual report
「For the interim consolidated accounting period (from 1 October 2024 to 31 March 2025), there were no applicable matters.」
No impairment loss on fixed assets was recorded during the interim consolidated accounting period. Unlike the impairment of the solar power facilities and other assets recorded in the previous fiscal year, no such loss was recorded during the period. - FY2024MaterialisedAnnual report
「During the consolidated fiscal year, the group recognized impairment losses on the following asset groups.」
The company recognized total impairment losses of ¥115,261 thousand on branch office buildings and equipment, rental parking facilities, software under development for the core system and solar power generation facilities. Both the scope and amount increased from ¥4,486 thousand in the previous fiscal year. - FY2024-Q2MaterialisedAnnual report
「Following the exclusion of equipment theft at solar power generation facilities from insurance coverage in December 2023, the company examined whether impairment losses needed to be recognized. Because total undiscounted future cash flows for the solar power generation facility “KORYO Eco Power Kasama” in Kasama, Ibaraki Prefecture, where there were indications of impairment, were below the carrying amount of the fixed assets, the company recognized an impairment loss of ¥78,791 thousand. In addition, after considering the usability of the software for the next core system, its future earnings outlook and recoverability, the company recognized an impairment loss of ¥10,175 thousand on software under development for that system.」
The company recognized impairment losses of ¥78,791 thousand on the “KORYO Eco Power Kasama” solar power generation facility and ¥10,175 thousand on software under development for the next core system. The exclusion of equipment theft from insurance coverage and the outlook for future cash flows were cited as the background to the impairment recognition. - FY2023MaterialisedAnnual report
「During the consolidated fiscal year, the group recognized impairment losses on the following asset groups.」
The company recognized ¥4,486 thousand in impairment losses on 3 rental parking facilities, realizing the risk of impairment of fixed assets. - FY2022MaterialisedAnnual report
「During the consolidated fiscal year, the group recognized impairment losses on the following asset groups.」
Following the previous fiscal year, the company recognized ¥3,378 thousand in impairment losses on 2 rental parking facilities. - FY2022-Q3MitigatedAnnual report
「For the third quarter of the consolidated cumulative period (from 1 October 2021 to 30 June 2022), there were no applicable matters.」
No impairment losses on fixed assets were recognized for the third quarter of the consolidated cumulative period. There was no recognition during the period following the realization of the impairment risk recognized in the previous fiscal year. - FY2021MaterialisedAnnual report
「Because the company decided to discontinue use of the software and recovery of the investment was considered difficult, the carrying amount was written down to the recoverable amount, and the reduction was recognized as an impairment loss under extraordinary losses.」
The company recognized ¥25,110 thousand in impairment losses on fixed assets during the fiscal year, comprising ¥14,110 thousand for rental parking facilities and ¥11,000 thousand for the crowdfunding system. This represented a shift from zero impairment losses in the previous fiscal year to actual recognition. - FY2021-Q3MaterialisedAnnual report
「Because the company decided to discontinue use of the software described above, its profitability declined. The carrying amount was therefore written down to the recoverable amount, and the reduction was recognized as an impairment loss under extraordinary losses.」
The company decided to discontinue use of the crowdfunding system software and recognized an impairment loss of ¥11,000 thousand. The impairment risk materialized after no impairment losses on fixed assets had been recognized in the previous fiscal year. - FY2020MitigatedAnnual report
「For the consolidated fiscal year (from 1 October 2019 to 30 September 2020), there were no applicable matters.」
The company did not recognize impairment losses on fixed assets during the consolidated fiscal year. However, the possibility of impairment due to declining profitability and falling land prices remains an ongoing risk. - FY2020-Q3WorsenedAnnual report
「However, the impact of the spread of COVID-19 remains subject to considerable uncertainty. If real estate market conditions deteriorate further, the group's financial position, operating results and cash flows may be affected by the recognition of impairment losses and other factors.」
The company additionally stated that further deterioration in real estate market conditions due to the infectious disease could result in impairment losses and other items affecting its financial position, operating results and cash flows. - FY2019MaterialisedAnnual report
「This was mainly due to impairment losses on coin-operated parking lot paving and other facilities.」
The company recognized ¥10,815 thousand in impairment losses on fixed assets during the fiscal year. The assets involved were a self-storage facility in Taito-ku, Tokyo, and rental parking facilities in Mito, Ibaraki Prefecture. - FY2018MaterialisedAnnual report
「If impairment losses on these assets and operating stores are recognized due to declining profitability, falling land prices or other factors, this will affect the operating results and financial position of the group.」
In FY2018, the company recognized total impairment losses of ¥12,004 thousand on operating stores, coin-laundry equipment, rental parking facilities and other assets.