Risk of valuation losses on equity holdings due to a decline in financial markets
First written in FY2020. 1 of 4 entries say "Materialised", first in FY2024-Q2. Latest entry: FY2025.
Hodogaya Chemical moved to the "Worse" side of this theme in 2023, 4 years after the typical company in this theme (2019).
The whole theme swung hardest in 2019: 66 of 142 companies on the "Worse" side.
30 other companies' latest entry also says "Restated".
- FY2025RestatedAnnual report
「Our group holds marketable securities, including shares, to maintain and promote business relationships with other companies. Accordingly, as share market prices decline, our group may be required to record valuation losses on the shares it holds.」
The risk of valuation losses due to declines in the market prices of held shares continued to be listed as a full-year business risk. - FY2024-Q3WorsenedAnnual report
「Valuation loss on investment securities 8 37」
Valuation losses on investment securities increased from ¥8 million in the same period of the previous year to ¥37 million, indicating that the risk of valuation losses on held shares continued to materialise as an actual loss. - FY2024-Q2MaterialisedAnnual report
「Valuation loss on investment securities - 34」
A ¥34 million valuation loss on investment securities was recorded during the six-month period of the current fiscal year, demonstrating that the risk of valuation losses on held shares had materialised as an actual loss. - FY2020First statedAnnual report
「As share market prices decline, our group may be required to record valuation losses on shares held. In fact, investment securities decreased by ¥1,365 million due to the decline in the stock market, and an ¥79 million valuation loss on investment securities was recorded due to the decline in the market value of held shares.」
The risk of valuation losses on held shares due to financial market volatility was newly identified, and a decrease in investment securities and valuation losses were actually recorded during the fiscal year.