Recognition of impairment losses on fixed assets and lower depreciation expenses from the next fiscal year onward
First written in FY2025. 2 of 3 entries say "Cited as achieved", first in FY2026-H1. Latest entry: FY2026.
The whole theme swung hardest in 2020: 69 of 117 companies on the "Worse" side.
1 other company's latest entry also says "Cited as achieved".
- FY2026Cited as achievedAnnual report
「In addition to optimizing personnel expenses through a review of staffing arrangements, the decline in depreciation expenses during the current fiscal year resulting from the fixed-asset impairment treatment carried out at the end of the previous fiscal year helped limit the cost burden for the full fiscal year.」
The company again cites the fixed-asset impairment treatment recognized in the previous fiscal year as a factor behind the decline in depreciation expenses and the reduced cost burden in the current fiscal year. - FY2026-H1Cited as achievedAnnual report
「Although the company increased advertising and sales activity expenses to promote sales, it pursued total cost reductions by optimizing personnel expenses through a review of its workforce structure and benefiting from the effect of impairment charges on fixed assets recognized at the end of the previous fiscal year. As a result, SG&A expenses were ¥628 million, down 3.7% year on year, indicating steady progress in efficiency improvements.」
The company cites the effects of the fixed-asset impairment treatment recognized in the previous fiscal year as a factor in total cost reductions during the interim period. Depreciation and amortization also declined from ¥50.712 million in the same period of the previous year to ¥5.983 million. - FY2025First statedAnnual report
「Because operating results remained negative throughout the current fiscal year, indicators of impairment were identified for the company's fixed assets, and the company assessed whether an impairment loss should be recognized. As the total undiscounted future cash flows from the assets fell below their carrying amount, the carrying amount was reduced to the recoverable amount, and an impairment loss of ¥221.451 million was recognized.」
Against the backdrop of continued operating losses, the company recognized an impairment loss of ¥221.451 million on fixed assets, including buildings, tools, furniture and fixtures, and software, for the first time. The company explains that this is expected to reduce depreciation expenses from the next fiscal year onward and contribute to improved profitability.