Recoverability of Deferred Tax Assets and Assumptions for Returning to Profitability
First written in FY2021. 5 of 9 entries say "Restated". Latest entry: FY2025.
Bank of Innovation moved to the "Worse" side of this theme in 2023, the same year as the typical company in this theme.
The whole theme swung hardest in 2020: 20 of 62 companies on the "Worse" side.
16 other companies' latest entry also says "Worsened".
- FY2025WorsenedAnnual report
「The valuation allowance increased by ¥153 million. This was mainly due to the additional recognition by consolidated subsidiaries of ¥525 million in valuation allowances related to tax loss carryforwards, comprising ¥440 million for 株式会社Koiniwa and ¥85 million for 株式会社バンク・オブ・インキュベーション.」
Additional valuation allowances were recognized for tax loss carryforwards at consolidated subsidiaries, increasing total valuation allowances by ¥153 million from the previous fiscal year. - FY2024WorsenedAnnual report
「The valuation allowance increased by ¥144 million. This was mainly due to the additional recognition by consolidated subsidiaries of ¥137 million in valuation allowances related to tax loss carryforwards, comprising ¥111 million for 株式会社Koiniwa and ¥24 million for 株式会社バンク・オブ・インキュベーション.」
Additional valuation allowances were recognized for tax loss carryforwards at consolidated subsidiaries, increasing concerns over the recoverability of deferred tax assets. - FY2024-Q2RestatedAnnual report
「During the cumulative second quarter, there were no material changes in the descriptions of the accounting estimates and the assumptions used in those estimates in the “Financial Position, Operating Results and Cash Flows” section of the previous fiscal year's securities report.」
The Company reconfirmed that there had been no material changes in the accounting estimates and assumptions, including the recoverability of deferred tax assets and the assumptions for a return to profitability. - FY2024-Q1RestatedAnnual report
「During the cumulative first quarter, there were no material changes in the descriptions of the accounting estimates and the assumptions used in those estimates in the “Analysis of Financial Position, Operating Results and Cash Flows by Management” section of the previous fiscal year's securities report.」
The Company reconfirmed that there had been no material changes in the accounting estimates and assumptions, including the recoverability of deferred tax assets and the assumptions for a return to profitability. - FY2023MaterialisedAnnual report
「Our group had recorded deferred tax assets of ¥496 million related to tax loss carryforwards at the end of the previous consolidated fiscal year. In the current consolidated fiscal year, however, revenue from the Company's new game app “MementoMori” made a significant contribution, and all deferred tax assets related to the Company's tax loss carryforwards were recovered. Meanwhile, following a review of the business plan, all deferred tax assets related to tax loss carryforwards at the consolidated subsidiaries were written down.」
While the Company's deferred tax assets of ¥496 million were fully recovered, those of the consolidated subsidiaries were fully written down following a review of the business plan, meaning that part of the recoverability risk materialized as an actual write-down. - FY2023-Q1RestatedAnnual report
「During the cumulative first quarter, there were no material changes in the descriptions of the accounting estimates and the assumptions used in those estimates in the “Analysis of Financial Position, Operating Results and Cash Flows by Management” section of the previous fiscal year's securities report.」
The Company reconfirmed that there had been no material changes in the accounting estimates and assumptions, including the recoverability of deferred tax assets and the assumptions for a return to profitability. - FY2022-Q3RestatedAnnual report
「During the cumulative third quarter, there were no material changes in the descriptions of the accounting estimates and the assumptions used in those estimates in the “Analysis of Financial Position, Operating Results and Cash Flows by Management” section of the previous fiscal year's securities report.」
The Company reconfirmed that there had been no material changes in the accounting estimates and assumptions, including the recoverability of deferred tax assets and the assumptions for a return to profitability. - FY2022-Q1RestatedAnnual report
「During the cumulative first quarter, there were no material changes in the descriptions of the accounting estimates and the assumptions used in those estimates in the “Analysis of Financial Position, Operating Results and Cash Flows by Management” section of the previous fiscal year's securities report.」
The Company reconfirmed that there had been no material changes in the accounting estimates and assumptions, including the recoverability of deferred tax assets and the assumptions for a return to profitability. - FY2021First statedAnnual report
「Our group recorded deferred tax assets of ¥294.414 million related to tax loss carryforwards at the end of the current consolidated fiscal year, due in part to the significant impact of increased development costs for new game apps and advertising expenses associated with launching new services. If the assumptions used in this estimate need to be revised because, for example, the launch of a new game app is significantly delayed or revenue from each title falls substantially below expectations, the Company may write down deferred tax assets that are not expected to be recovered in the following consolidated fiscal year.」
The Company recorded deferred tax assets of ¥294.414 million related to tax loss carryforwards and disclosed as a new risk the possibility of a write-down in the following fiscal year due to delays in launching new titles or lower-than-expected title revenue.