Risk of Unrealized Post-Acquisition Synergies and Goodwill Impairment
First written in FY2016. 5 of 6 entries say "Materialised", first in FY2017. Latest entry: FY2026.
The whole theme swung hardest in 2024: 40 of 92 companies on the "Worse" side.
- FY2026MaterialisedAnnual report
「Goodwill 361」
Of the ¥529 million impairment loss recorded during the fiscal year, ¥361 million related to goodwill, and losses associated with a divergence from the post-acquisition earnings plan continued to arise. - FY2025MaterialisedAnnual report
「An impairment loss has been recognized because the originally projected earnings can no longer be expected.」
Of the ¥752 million impairment loss recorded during the fiscal year, ¥552 million related to goodwill, and losses associated with a divergence from the post-acquisition earnings plan and unrealized synergies continued to arise. - FY2022MaterialisedAnnual report
「An impairment loss has been recognized because the originally projected earnings can no longer be expected.」
An impairment loss of ¥392 million, including ¥27 million on goodwill, was recorded during the fiscal year, and the risk associated with a divergence from the post-acquisition earnings plan and unrealized synergies continues to materialize. - FY2021MaterialisedAnnual report
「An impairment loss has been recognized because the originally projected earnings can no longer be expected.」
An impairment loss of ¥360 million, including ¥109 million on goodwill, was recorded during the fiscal year, and the impairment risk associated with a divergence from the post-acquisition earnings plan and unrealized synergies continues to materialize. - FY2017MaterialisedAnnual report
「An impairment loss has been recognized because the originally projected earnings can no longer be expected.」
An impairment loss of ¥237 million on goodwill and other assets was recorded because the originally projected earnings could no longer be expected, and the risk of a divergence from the post-acquisition earnings plan and goodwill impairment materialized. - FY2016First statedAnnual report
「If a gap arises between the business plan and actual results due to changes in economic conditions or the industry environment after an acquisition, or if the originally anticipated synergies are not achieved, losses such as impairment losses on goodwill may arise and affect the Group's performance and financial position.」
This is stated alongside the basic policy of conducting M&A at a level that allows the investment to be recovered within a specified number of years.