Deterioration in Jiangmen Xinghui Paper Co., Ltd.’s Business Environment and Impairment of Fixed Assets
First written in FY2020-Q3. 2 of 4 entries say "Materialised", first in FY2020-Q3. Latest entry: FY2024.
2 other companies' latest entry also says "Mitigated".
- FY2024MitigatedAnnual report
「After comprehensively considering the outlook for the future business environment and other factors, we concluded that it would be desirable to work with Taisheng (Hong Kong) International Holdings Limited, which has extensive knowledge of China’s paper industry and related sectors, and decided to transfer the shares.」
In light of the poor performance of the Chinese white-coated board business and the outlook for the business environment, the business was excluded from the scope of consolidation through a share transfer, and the company transitioned to collaboration with a company familiar with the local industry. - FY2022MaterialisedAnnual report
「At 江門星輝造紙有限公司, demand for packaging materials, including the company’s products, declined as the economy slowed in China due to the impact of COVID-19 and measures to prevent its spread, as well as measures to curb surging real estate prices. As a result, indications of impairment were identified, net selling value fell below carrying value, and an impairment loss of ¥2,434 million was recognized.」
At 江門星輝造紙有限公司, which had been judged in the previous fiscal year to have improved profitability and no indications of impairment, an impairment loss of ¥2,434 million was incurred due to declining demand. - FY2021MitigatedAnnual report
「Profitability has improved following a review of the sales strategy and an improvement in product market conditions from the third quarter onward. While these sales strategy initiatives will continue, we determined that there were no indications of impairment of fixed assets because we judged that the improved product market conditions since the third quarter would continue.」
Profitability at 江門星輝造紙有限公司 improved following a review of its sales strategy and improved market conditions, and it was determined at the end of the fiscal year that there were no indications of impairment of fixed assets. - FY2020-Q3MaterialisedAnnual report
「Following deterioration in the business environment in China, we reviewed the recoverability of fixed assets held by our consolidated subsidiary Jiangmen Xinghui Paper Co., Ltd. and recognized an impairment loss. The impairment loss recognized for the first three quarters was ¥6,354 million.」
An impairment loss of ¥6,354 million was recognized on Jiangmen Xinghui Paper Co., Ltd.’s fixed assets following deterioration in China’s business environment.