Failure to Meet Earnings Targets After Investments in Affiliates and Acquisitions and Goodwill Impairment
First written in FY2018. 2 of 4 entries say "Restated". Latest entry: FY2023.
The whole theme swung hardest in 2026: 17 of 32 companies on the "Worse" side.
6 other companies' latest entry also says "Restated".
- FY2023RestatedAnnual report
「We believe that goodwill arising from acquisitions appropriately reflects future earning power, but if the expected results are not achieved, this may adversely affect the Group’s financial position, results of operations and cash flows.」
The possibility of failure to achieve post-acquisition earnings targets and goodwill impairment continues to be disclosed as a risk. - FY2022MaterialisedAnnual report
「During the current consolidated fiscal year, the Group recognized impairment losses mainly on the following asset groups.」
Due to lower profitability and other factors, the Company recognized impairment losses of ¥1,404 million in the current fiscal year, including ¥905 million for Faltec Europe. - FY2019RestatedAnnual report
「We believe that goodwill arising from acquisitions appropriately reflects future earning power, but if the expected results are not achieved, we may recognize impairment losses.」
The possibility of failure to achieve post-acquisition earnings targets and goodwill impairment is reiterated as an annual risk. - FY2018First statedAnnual report
「We make decisions on investments in affiliates after considering their future earnings potential relative to the investment, but planned returns may not be achieved because of internal or external uncertainties. We believe that goodwill arising from acquisitions appropriately reflects future earning power, but if the expected results are not achieved, an impairment loss may be recognized.」
Explicitly identifies the risk of failing to achieve planned returns on investments in affiliates and the possibility of goodwill impairment following acquisitions.