Risk of impairment of fixed assets due to continuing operating losses in the financial services business
First written in FY2021. 1 of 3 entries say "Mitigated", first in FY2022-Q2. Latest entry: FY2024.
No other company in this theme has enough history to compare yet.
- FY2024DroppedAnnual report
「As the financial services business was also discontinued on 12 May 2023, it has been included in “Other Businesses” from the first quarter of the current fiscal year, and its income has been recorded under non-operating income and expenses.」
The Financial Services Business itself has been discontinued, so the risk of fixed-asset impairment based on recurring operating losses in that business has ceased to be a theme under the former business structure. - FY2022-Q2MitigatedAnnual report
「As a result, segment revenue was ¥2,006 million, compared with ¥41 million in the same period of the previous year, and segment profit (operating profit) was ¥1,029 million, compared with a segment loss (operating loss) of ¥727 million in the same period of the previous year.」
The Financial Services Business, which had been considered at risk of impairment because of recurring operating losses, recorded operating profit of ¥1,029 million for the cumulative period of the current quarter. Although the company did not state that the impairment risk had been eliminated, its performance had improved. - FY2021First statedAnnual report
「As recurring operating losses in the Financial Services Business indicated possible impairment, we compared the total undiscounted future cash flows generated by the asset group with its carrying amount. Because the undiscounted future cash flows exceeded the carrying amount, we determined that recognition of an impairment loss was unnecessary.」
The company stated that recurring operating losses indicated possible impairment of the asset group, including ¥686 million in software and other assets. No impairment loss was recognized this time, but the statement indicates that a loss could arise if future cash flows are revised.