Risk of failing to meet plans and impairment after acquisitions and capital alliances
First written in FY2021. 1 of 2 entries say "Restated". Latest entry: FY2022.
The whole theme swung hardest in 2024: 39 of 92 companies on the "Worse" side.
- FY2022RestatedAnnual report
「The Group recognizes that acquisitions and capital alliances are important and effective for future business expansion, but cannot rule out the possibility that unrecognized liabilities, such as contingent liabilities arising after an acquisition, may be discovered and result in losses.」
The Company continues to disclose the risks of contingent liabilities, failure to meet plans, and impairment of goodwill and other assets following acquisitions and capital alliances, together with responses through due diligence. - FY2021First statedAnnual report
「If changes in the business environment or competitive conditions after an acquisition hinder the execution of the original business plan and the plan does not proceed as expected, losses such as impairment losses may arise and affect the Group's performance. The amount of goodwill related to acquisitions recorded on the consolidated balance sheet at the end of the consolidated fiscal year was ¥1 billion.」
As acquisitions such as AltaSteel progressed, failure to meet post-acquisition business plans, contingent liabilities, impairment losses and other matters were explicitly identified as risks specific to business acquisitions.