Risks Relating to Store Opening Plans, Locations and Store Sales
First written in FY2016. 4 of 6 entries say "Worsened", first in FY2018. Latest entry: FY2023.
World moved to the "Worse" side of this theme in 2018, 2 years before the typical company in this theme (2020).
The whole theme swung hardest in 2018: 7 of 33 companies on the "Worse" side.
4 other companies' latest entry also says "Worsened".
- FY2023WorsenedAnnual report
「Conversely, under fixed-term lease agreements, it may be difficult to close an unprofitable store promptly at our group’s discretion, or closing it before the lease expires may incur additional costs, which may affect our group’s financial position and results of operations.」
In addition to the existing risks relating to store openings, facility closures and the closure of profitable stores, the company explicitly identifies delays in closing low-profit stores under fixed-term lease agreements and costs associated with early closure. - FY2019WorsenedAnnual report
「Even when a store is opened, its future performance is affected by various factors, including whether we can provide a space consistent with the store’s brand image, establish and maintain the human and physical infrastructure, including personnel, systems and logistics, and respond to changes in sales channels. If an individual store cannot respond appropriately to these factors, this may affect our group’s results of operations and financial position.」
In addition to the existing risks relating to locations, store-opening plans and facility closures, deficiencies in store space, personnel, systems, logistics infrastructure and responses to changes in sales channels are identified as risk factors. - FY2019-Q2WorsenedAnnual report
「In addition, many of our group’s stores, particularly those in shopping centers, operate under fixed-term lease agreements. If a lessor does not agree to renew a lease, or if the layout of sales areas is reviewed or a department store, shopping center or other facility hosting one of our group’s stores is closed, even a profitable store may be forced to close.」
The possibility of profitable stores closing is specified not only in the event of facility closures, but also if a lessor refuses to renew a lease or the layout of sales areas is reviewed. - FY2018WorsenedAnnual report
「If stores cannot be opened as planned, if expected sales cannot be secured because of changes in markets or channels, or if profitable stores are forced to close, including because the facilities in which they operate are closed」
In addition to the existing risks of failing to meet store-opening and sales targets, the risk of profitable stores closing, including because the facilities in which they operate are closed, is explicitly identified. - FY2017RestatedAnnual report
「However, prime locations for new stores are subject to intense competition. If stores cannot be opened as planned, or if expected sales cannot be secured because of changes in markets or channels, this may affect our group’s results of operations and financial position.」
Recognition of risks relating to store-opening plans, competition for locations and store sales continues. - FY2016First statedAnnual report
「If stores cannot be opened as planned or expected sales cannot be secured due to changes in markets or channels, this could affect the performance and financial position of our Group.」
Identified as a risk associated with SPA operations in department stores, shopping centers, station buildings, and fashion buildings.