Recovery of investment and impairment risk in the overseas pyrotechnics business
First written in FY2019. 10 of 15 entries say "Worsened", first in FY2020-Q3. Latest entry: FY2026.
Daicel moved to the "Worse" side of this theme in 2019, 1 year before the typical company in this theme (2020).
The whole theme swung hardest in 2017: 9 of 15 companies on the "Worse" side.
8 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「In the construction project for the second plant of consolidated subsidiary TOPAS Advanced Polymers GmbH (the “TAPG company”), the operating start date was reviewed and the investment amount increased. In addition, the timing of demand growth in the environmentally friendly packaging sector was pushed back from the initial assumptions. As a result of revising the business plan, profitability declined, so the carrying amount was reduced to its recoverable amount and the decrease was recognized as an impairment loss.」
Regarding investment recovery and impairment risk, an impairment loss of ¥32.425 billion was recognized due to the review of the second TAPG plant’s operating start date, an increase in the investment amount and delayed demand formation. - FY2024MaterialisedAnnual report
「At consolidated subsidiary Biodiscovery, LLC (the “Arbor company”), the carrying amounts of goodwill and operating assets were reduced to their recoverable amounts, and the decrease was recognized as an impairment loss, as profitability declined due to lower sales to European customers resulting from the prolonged conflict in Ukraine and customer inventory adjustments.」
Regarding investment recovery and impairment risk, Arbor recognized an impairment loss of ¥1,668 million on goodwill and operating assets due to lower sales to Europe and other factors. - FY2023MaterialisedAnnual report
「The company recognized costs and losses arising in connection with the dissolution of Daicel Safety Systems Korea, Inc. as business restructuring losses.」
Regarding investment recovery and impairment risk in the overseas pyrotechnics business, the company recognized ¥548 million in business restructuring losses associated with the dissolution of the Korean subsidiary as its results for the year. Lomapharm GmbH was also excluded from consolidation following the sale of its shares. - FY2023-Q3MaterialisedAnnual report
「Business restructuring losses 864 The company recognized costs and losses arising in connection with the dissolution of Daicel Safety Systems Korea, Inc. as business restructuring losses.」
Regarding investment recovery and impairment risk in the overseas pyrotechnics business, the company recognized ¥864 million in business restructuring losses for costs and losses associated with the dissolution of Daicel Safety Systems Korea, Inc. - FY2023-Q2MaterialisedAnnual report
「Business restructuring losses 719 The company recognized costs and losses arising in connection with the dissolution of Daicel Safety Systems Korea, Inc. as business restructuring losses.」
The company recognized ¥719 million in business restructuring losses for costs and losses associated with the dissolution of Daicel Safety Systems Korea, Inc. - FY2023-Q1WorsenedAnnual report
「The company recognized costs and losses arising in connection with the dissolution of Daicel Safety Systems Korea, Inc. as business restructuring losses.」
Regarding investment recovery and impairment risk in the overseas pyrotechnics business, costs and losses associated with the dissolution of the Korean subsidiary were recognized as business restructuring losses, reflecting the impact of additional business restructuring. - FY2022WorsenedAnnual report
「During the current consolidated fiscal year, the company determined that it could no longer expect to recover sufficient cash flows commensurate with the invested capital in the medical and healthcare business and recognized impairment losses on fixed assets and goodwill. The impairment loss recognized during the current consolidated fiscal year amounted to ¥9,791 million.」
Regarding investment recovery and impairment risk, impairment losses including those on fixed assets in the healthcare business and goodwill at Lomapharm GmbH totaled ¥9,985 million for the year. - FY2022-Q3WorsenedAnnual report
「1. Manufacturing equipment for cosmetic ingredients As the market environment for cosmetics deteriorated due to the impact of COVID-19 in the healthcare business, profitability declined. The company therefore reduced the carrying amount to its recoverable amount and recognized the resulting reduction as an impairment loss. 2. Other The company had recognized goodwill based on expected excess earning power when acquiring shares in consolidated subsidiary Lomapharm GmbH. As the decline in profitability made recovery of the investment difficult, it recognized the full unamortized balance as an impairment loss.」
In addition to automotive safety component-related assets and other assets, the company recognized total impairment losses of ¥9.779 billion on manufacturing equipment for cosmetic ingredients in the healthcare business and goodwill at Lomapharm GmbH due to declining profitability and difficulty recovering the investments. - FY2021WorsenedAnnual report
「The company had recognized goodwill based on expected excess earning power when acquiring shares in consolidated subsidiary パイクリスタル株式会社. Following a review of the business plan, it determined that achieving the originally projected earnings would be difficult and recognized the full unamortized balance as an impairment loss under extraordinary losses.」
Regarding investment recovery and impairment risk, in addition to automotive safety component-related assets, the company recognized an impairment loss of ¥1,832 million on all goodwill related to パイクリスタル株式会社 because the initially projected earnings were not achieved. - FY2021-Q3WorsenedAnnual report
「Impairment loss 1,755」
For manufacturing equipment for automotive airbag inflators, difficulty recovering investments continued in Japan and the United States, and the company recognized impairment losses of ¥1.755 billion for the cumulative third quarter period. - FY2021-Q2WorsenedAnnual report
「As recovery of the investment in the asset group was expected to be difficult, the company reduced its carrying amount to its recoverable amount and recognized the resulting reduction as an impairment loss under extraordinary losses (Japan: ¥2 million for buildings and structures, ¥15 million for machinery and equipment, ¥20 million for tools, furniture and fixtures, ¥938 million for construction in progress and ¥41 million for other assets; United States: ¥20 million for buildings and structures, ¥7 million for machinery and equipment, ¥5 million for tools, furniture and fixtures and ¥477 million for construction in progress).」
For manufacturing equipment for automotive airbag inflators, difficulty recovering investments continued in Japan and the United States, and the company recognized impairment losses of ¥1.530 billion for the cumulative second quarter period. - FY2021-Q1WorsenedAnnual report
「As recovery of the investment in the asset group was expected to be difficult, the company reduced its carrying amount to its recoverable amount and recognized the resulting reduction as an impairment loss under extraordinary losses (Japan: ¥2 million for buildings and structures, ¥15 million for machinery and equipment, ¥20 million for tools, furniture and fixtures, ¥300 million for construction in progress and ¥27 million for other assets; United States: ¥305 million for construction in progress).」
For manufacturing equipment for automotive airbag inflators, difficulty recovering investments continued in Japan and the United States, and the company recognized additional impairment losses totaling ¥672 million. - FY2020WorsenedAnnual report
「In Japan and the United States, as recovery of the investment was deemed difficult due to lower profitability accompanying production reductions, the company reduced the carrying amounts of operating and shared assets at the Harima Plant and in its U.S. operations to their recoverable amounts, and recognized the resulting reductions as impairment losses under extraordinary losses.」
Following the impairment at the Korean operations, difficulty recovering investments spread to automotive safety component-related assets in Japan and the United States, and impairment losses for the year amounted to ¥14.757 billion. - FY2020-Q3WorsenedAnnual report
「In Japan and the United States, as recovery of the investment was deemed difficult due to lower profitability accompanying production reductions, the company reduced the carrying amounts of operating and shared assets at the Harima Plant and in its U.S. operations to their recoverable amounts, and recognized the resulting reductions as impairment losses under extraordinary losses.」
In addition to the existing Korean operations, difficulty recovering investments became evident in automotive safety component-related assets in Japan and the United States, and total impairment losses increased to ¥13.679 billion. - FY2019MaterialisedAnnual report
「As recovery of the investment in the asset group above was expected to be difficult, the company reduced its carrying amount to its recoverable amount and recognized the resulting reduction of ¥1,783 million as an impairment loss under extraordinary losses.」
The company recognized an impairment loss of ¥1,783 million on manufacturing equipment for automotive airbag inflators at Daicel Safety Systems Korea, Inc. because recovery of the investment was expected to be difficult.