Fixed-asset impairment arising from uncertainty over projected future earnings
First written in FY2023-Q2. 2 of 6 entries say "Worsened", first in FY2023-Q3. Latest entry: FY2025-H1.
The whole theme swung hardest in 2020: 5 of 15 companies on the "Worse" side.
2 other companies' latest entry also says "Other".
- FY2025-H1No impairment in the interim periodAnnual report
「(Material impairment losses on fixed assets) None.」
No material impairment loss on fixed assets was recognized during the current interim accounting period. - FY2024-Q3No impairment in the current quarterAnnual report
「There were no applicable matters for the cumulative period through the third quarter of the current fiscal year (from 1 July 2023 to 31 March 2024).」
No material impairment loss on fixed assets was recognized during the cumulative period through the third quarter of the current fiscal year. - FY2024-Q2No impairment in the current quarterAnnual report
「(Material impairment losses on fixed assets) None.」
No material impairment loss on fixed assets was recognized during the cumulative period through the second quarter of the current fiscal year. However, this does not state that the uncertainty surrounding projected future revenue has been resolved. - FY2023WorsenedAnnual report
「The Company recognized an impairment loss of ¥454.981 million and wrote down its deferred tax assets during the current fiscal year.」
Due to uncertainty surrounding projected future revenue, the impairment loss increased from ¥452.321 million for the cumulative period through the previous quarter to ¥454.981 million for the full fiscal year, contributing to the net loss of ¥773.815 million. - FY2023-Q3WorsenedAnnual report
「After carefully taking into account the uncertainty surrounding projected future revenue, the Company determined that there were indications of impairment because it expected to report an operating loss for the current fiscal year, following the previous fiscal year. After reassessing the feasibility of its business plan and its target for acquiring new member stores, the Company determined that the revenue initially projected could no longer be expected. It therefore recognized an impairment loss, reduced the carrying amount to the recoverable amount, and recognized the reduction as an impairment loss.」
Following a review of the number of new member stores to be acquired and the business plan, the revenue initially projected could no longer be expected, and the Company recognized an impairment loss of ¥452.321 million. The amount increased from the ¥433.254 million impairment loss in the previous quarter, and future cash flows were assessed as zero. - FY2023-Q2MaterialisedAnnual report
「After carefully taking into account the uncertainty surrounding projected future revenue, the Company determined that there were indications of impairment because it expected to report an operating loss for the current fiscal year, following the previous fiscal year. After reassessing the feasibility of its business plan and its target for acquiring new member stores, the Company determined that the revenue initially projected could no longer be expected. It therefore recognized an impairment loss, reduced the carrying amount to the recoverable amount, and recognized the reduction as an impairment loss.」
As the revenue initially projected could no longer be expected following a review of the business plan and the number of new member stores to be acquired, the Company recognized an impairment loss of ¥433.254 million and wrote down its deferred tax assets.