Business downsizing and capital-raising backup plan in the event of deteriorating performance
First written in FY2021. 1 of 3 entries say "Restated". Latest entry: FY2022.
No other company in this theme has enough history to compare yet.
- FY2022DroppedAnnual reportThe FY2022 Annual Securities Report contains no clearly applicable disclosure of the backup plan described through the previous fiscal year, involving category-specific business reductions and private placements or public offerings in the event of deteriorating results.
- FY2022-Q1RestatedAnnual report
「In addition, if revenue and operating profit cannot be secured due to a further deterioration in the business environment or other factors, we have prepared a backup plan that prioritizes securing operating profit by assessing the profitability of each category within the “Everyday Problems” business and optimizing costs by reducing the scale of operations in selected categories. Regardless of whether the backup plan is implemented, if operating profit cannot be secured, the equity ratio (ratio of equity attributable to owners of the parent) may decline further. We will therefore select an appropriate financing plan, such as a private placement or public offering, increase capital, and take measures to stabilize funding and our financial position.」
The company continues to describe a backup plan involving category-specific reductions in the scale of operations and cost optimization if the business environment deteriorates further, together with capital strengthening through private placements, public offerings or other means. - FY2021First statedAnnual report
「In addition, if revenue and operating profit cannot be secured due to a further deterioration in the business environment or other factors, we have prepared a backup plan that prioritizes securing operating profit by assessing the profitability of each category within the “Everyday Problems” business and optimizing costs by reducing the scale of operations in selected categories. Regardless of whether the backup plan is implemented, if operating profit cannot be secured, the equity ratio (ratio of equity attributable to owners of the parent) may decline further. We will therefore select an appropriate financing plan, such as a private placement or public offering, increase capital, and take measures to stabilize funding and our financial position.」
The company disclosed for the first time crisis-response measures including reducing the scale of operations and optimizing costs by category if results deteriorate, as well as strengthening capital through private placements or public offerings.