Impairment Risk in Emerging-Market Businesses and Investments
First written in FY2016. 13 of 27 entries say "Mitigated", first in FY2017-Q1. Latest entry: FY2024.
The whole theme swung hardest in 2020: 13 of 15 companies on the "Worse" side.
7 other companies' latest entry also says "Mitigated".
- FY2024MitigatedAnnual report
「As SP Glass Holdings B.V. liquidated most of its remaining assets, the Group received a dividend of ¥3,350 million from SP Glass Holdings B.V. Following this dividend, the net amount of SP Glass Holdings B.V.’s remaining assets became zero, and the carrying amount of the Group’s investment in SP Glass Holdings B.V. also became zero.」
Following the sale of the Russian subsidiary, liquidation of SP Glass Holdings B.V.’s remaining assets and receipt of a ¥3,350 million dividend reduced the carrying amount of the investment in the company to zero. - FY2024-Q3Update to the gain on reversal of impairment losses related to the sale of the Russian operationsAnnual report
「As a result of SP Glass Holdings B.V.’s sale of its Russian subsidiary, in the first quarter the Group recognized a ¥3.7 billion gain on the reversal of impairment losses previously recognized on financial receivables from an equity-method affiliate, and a ¥1.1 billion gain on the reversal of impairment losses previously recognized on part of its investment, recorded as other income related to equity-method investments.」
The Group disclosed that, in connection with the sale of the Russian subsidiary, it recognized a ¥3.7 billion gain on the reversal of impairment losses on financial receivables and a ¥1.1 billion gain on the reversal of investment impairment losses. - FY2024-Q1MitigatedAnnual report
「As a result of SP Glass Holdings B.V.’s sale of its Russian subsidiary, the Group recognized a ¥3.7 billion gain on the reversal of impairment losses previously recognized on financial receivables from an equity-method affiliate, and a ¥1.2 billion gain on the reversal of impairment losses previously recognized on part of its investment, recorded as other income related to equity-method investments.」
The sale of the Russian subsidiary was completed, and gains were recognized from the reversal of ¥3.7 billion in impairment losses on financial receivables and ¥1.2 billion in investment impairment losses recognized in previous fiscal years. The Group’s response to its investment and impairment exposure relating to the Russian operations has moved from an expected outcome to an actual result. - FY2023MitigatedAnnual report
「After the end of the current consolidated fiscal year, SP Glass Holdings B.V. agreed to sell the Russian operating company. Subsequently, as of the date on which the consolidated financial statements were authorized for issue, the transfer had been legally completed following approval by the relevant Russian authorities. Following completion of the transfer, a gain on reversal of the impairment losses above was recognized, and the transaction as a whole is expected to result in a gain of approximately ¥5.0 billion.」
After impairment risks arose for investments in and financial receivables from the Russian operations, the sale of the Russian subsidiary was legally completed, and a gain of approximately ¥5.0 billion, including the reversal of impairment losses, is now expected. - FY2023-Q2WorsenedAnnual report
「Profit from investments accounted for using the equity method includes share of profit from investments accounted for using the equity method and other losses related to equity-method investments. For the cumulative second quarter of the current consolidated fiscal year, this amounted to ¥2.5 billion on a net basis, down from ¥3.3 billion in the same period of the previous year, mainly due to lower profit at Cebrace, an equity-method affiliate in Brazil’s architectural glass business.」
Net equity-method investment income declined to ¥2.5 billion from ¥3.3 billion in the same period of the previous year, mainly due to lower profit at Cebrace. The immediate impairment of equity-method investment income from the Russian joint venture also continued. - FY2023-Q1MaterialisedAnnual report
「In the previous consolidated fiscal year, the Group recognized an impairment loss on part of its investment. As a result, it immediately impaired its share of profit from investments accounted for using the equity method in its Russian joint venture during the cumulative first quarter of the current consolidated fiscal year.」
In connection with the investment impairment recognized in the previous fiscal year for the Russian joint venture, the Group immediately impaired its equity-method investment income for the current quarter. - FY2022MaterialisedAnnual report
「The Group determined that it was appropriate to recognize an impairment loss of ¥3,422 million on part of its investment in SP Glass Holdings BV. It also recognized a full impairment loss of ¥3,374 million on the financial receivable forming part of its net investment in Pilkington Glass LLC, a subsidiary of SP Glass Holdings BV.」
Following Russia’s invasion of Ukraine and the increasing uncertainty surrounding its Russian operations, the Group recognized impairment losses of ¥3,422 million on its investment in SP Glass Holdings BV and ¥3,374 million on financial receivables from its Russian subsidiary. - FY2022-Q3AdvancedAnnual report
「Equity-method investment income for the nine months ended the third quarter was ¥5.6 billion, compared with ¥0.8 billion in the same period of the previous year, exceeding the previous year's level. This was mainly due to improved performance at Cebrace, the Group's Brazilian equity-method investee in the architectural glass business.」
Improved performance at Cebrace was the main factor behind the increase in equity-method investment income from ¥0.8 billion in the same period of the previous year to ¥5.6 billion. - FY2022-Q2MitigatedAnnual report
「Equity-method investment income for the six months ended the second quarter was ¥3.3 billion, compared with an equity-method investment loss of ¥0.2 billion in the same period of the previous year, exceeding the previous year's level. This was mainly due to improved performance at Cebrace, the Group's Brazilian equity-method investee in the architectural glass business.」
For the emerging-market joint-venture investments, improved performance at Cebrace improved equity-method investment income from a loss of ¥0.2 billion in the same period of the previous year to income of ¥3.3 billion. - FY2022-Q1MitigatedAnnual report
「Equity-method investment income for the three months ended the first quarter was ¥1.5 billion, compared with an equity-method investment loss of ¥0.4 billion in the same period of the previous year, exceeding the previous year's level. The main factor was improved performance at Cebrace, the Group's Brazilian equity-method investee in the architectural glass business.」
For the emerging-market joint-venture investments, improved performance at Cebrace improved equity-method investment income from a loss of ¥0.4 billion in the same period of the previous year to income of ¥1.5 billion. - FY2021MitigatedAnnual report
「Equity-method investment income for the consolidated fiscal year was ¥2.2 billion, compared with ¥1.1 billion in the previous consolidated fiscal year, exceeding the previous year's level. This was particularly due to improved performance at Cebrace, the Group's Brazilian equity-method investee in the architectural glass business.」
For the emerging-market joint-venture investments, improved performance at Cebrace increased equity-method investment income from ¥1.1 billion to ¥2.2 billion. - FY2021-Q3MitigatedAnnual report
「Equity-method investment income for the nine months ended the third quarter was ¥0.8 billion, compared with ¥1.2 billion in the same period of the previous year, and was lower year on year. This reflected severe market conditions caused by the spread of COVID-19 during the first half of the fiscal year, although performance at equity-method investee Cebrace, the Group's Brazilian architectural-glass business, improved particularly in the third quarter.」
Although equity-method investment income from emerging-market joint ventures was below the same period of the previous year, improved performance at Brazil's Cebrace was confirmed in the third quarter. - FY2021-Q2MaterialisedAnnual report
「Equity-method investment loss for the six months ended the second quarter was ¥0.2 billion, compared with equity-method investment income of ¥0.8 billion in the same period of the previous year, and was lower year on year. This was due to worsening market conditions amid the spread of COVID-19.」
For investments in equity-method investees, including those in emerging markets, worsening market conditions caused by COVID-19 turned equity-method investment income of ¥0.8 billion in the same period of the previous year into an equity-method investment loss of ¥0.2 billion. - FY2021-Q1MaterialisedAnnual report
「Cebrace, the Group's Brazilian equity-method investee in the architectural glass business, reported an operating loss, while the performance of the other equity-method investees was also substantially below the same period of the previous year.」
The deterioration in market conditions caused by COVID-19 resulted in actual losses, including an operating loss at Cebrace, in the emerging-market joint-venture investments. - FY2020RestatedAnnual report
「The Group recognized impairment losses in prior years on investments in subsidiaries and joint ventures in these emerging markets and regions. However, there is no assurance that market conditions in these countries and regions will not deteriorate further, nor that impairment losses will not arise in the future.」
The Group continues to disclose prior impairment losses on investments in emerging markets and regions, as well as the possibility of additional future losses. - FY2019MitigatedAnnual report
「Cebrace recognized a one-off gain in the second quarter following the outcome of its objection to the method used to calculate taxes paid in prior years based on sales revenue. The Group recognized ¥2.321 billion of that gain.」
Improved performance at Brazil's Cebrace and a one-off gain increased equity-method investment income. No additional impairment losses relating to emerging-market joint-venture investments were disclosed. - FY2019-Q3AdvancedAnnual report
「Equity-method investment income for the nine months ended the third quarter was ¥4.9 billion, compared with ¥1.7 billion in the same period of the previous year.」
In addition to higher profit at Brazil's Cebrace, the Group recognized a ¥2.3 billion one-off gain resulting from an objection concerning taxes paid in prior years, increasing equity-method investment income from ¥1.7 billion in the same period of the previous year to ¥4.9 billion. - FY2019-Q2MitigatedAnnual report
「As a result, equity-method investment income was ¥3.8 billion, compared with ¥1.0 billion in the same period of the previous year.」
Higher profit at Brazil's Cebrace and a one-off gain increased equity-method investment income from ¥1.0 billion in the same period of the previous year to ¥3.8 billion. - FY2019-Q1MitigatedAnnual report
「Equity-method investment income for the three months ended the first quarter improved year on year, mainly due to improved performance at Cebrace, the Group's Brazilian joint venture. As a result, equity-method investment income was ¥0.5 billion, compared with ¥0.4 billion in the same period of the previous year.」
Improved performance at Brazil's Cebrace led to year-on-year improvement in equity-method investment income, which reached ¥0.5 billion. - FY2018MitigatedAnnual report
「As SP Glass Holdings BV's performance was steadily recovering, the Group reassessed its future outlook and recognized a ¥4.065 billion reversal of the valuation allowance on its investment in the company as a separately disclosed item.」
The Group reversed ¥4.065 billion of valuation losses recognized in prior years on its Russian joint venture SP Glass Holdings BV following its recovery in performance. - FY2018-Q3MitigatedAnnual report
「Equity-method investment income for the nine months ended the third quarter improved year on year, mainly because profit at Cebrace, the Group's Brazilian joint venture, increased year on year. As a result, equity-method investment income was ¥1.7 billion, compared with ¥0.8 billion in the same period of the previous year.」
Higher profit at Brazil's Cebrace improved equity-method investment income, which reached ¥1.7 billion. - FY2018-Q2RestatedAnnual report
「There were no material changes to the business and other risks described in the securities report for the previous fiscal year during the cumulative second quarter of the current fiscal year.」
The Group stated that there had been no material change in impairment risk relating to emerging-market businesses and investments. - FY2018-Q1RestatedAnnual report
「There were no material changes to the business and other risks described in the annual securities report for the previous fiscal year during the first quarter of the current consolidated cumulative period.」
The Group stated that there had been no material change in impairment risk relating to emerging-market businesses and investments. - FY2017-Q3RestatedAnnual report
「Profit at Cebrace, the Group's Brazilian joint venture, declined year on year due to severe market conditions. However, this decrease was offset by the effect of no further investment losses being recognized following the recognition of impairment losses at the end of the previous fiscal year on the Group's equity interests in joint ventures in Russia and China.」
Despite the decline in profit at the Brazilian joint venture, no additional investment losses have been recognized for the Russian and Chinese joint ventures since impairment losses were recognized at the end of the previous fiscal year. - FY2017-Q2RestatedAnnual report
「However, this decrease was offset by the effect of no further investment losses being recognized following the recognition of impairment losses at the end of the previous fiscal year on the Group's equity interests in joint ventures in Russia and China.」
Following the recognition of impairment losses at the end of the previous fiscal year, the Group reconfirmed that no additional investment losses had been recognized for the Russian and Chinese joint ventures. - FY2017-Q1MitigatedAnnual report
「However, this decrease was offset by the effect of no further investment losses being recognized following the recognition of impairment losses at the end of the previous fiscal year on the Group's equity interests in joint ventures in Russia and China.」
Profits at the Brazilian joint venture declined, but following the recognition of impairment losses at the end of the previous fiscal year, no additional investment losses were recognized for the Russian and Chinese joint ventures, leaving equity-method investment losses for the quarter virtually zero. - FY2016First statedAnnual report
「During the consolidated fiscal year, the Group recognized multiple impairment losses related to investments in subsidiaries and joint ventures in response to the severe market conditions in these emerging markets and regions. However, there is no assurance that these market conditions will not deteriorate further.」
Severe market conditions in emerging markets and regions resulted in multiple impairment losses.