Changes in Estimates of Fixed Asset Useful Lives and Asset Retirement Obligations upon Vacating the Head Office
First written in FY2021-Q3. 2 of 4 entries say "Advanced", first in FY2021. Latest entry: FY2025.
0 other companies' latest entry also says "Mitigated".
- FY2025MitigatedAnnual report
「28 February 2025 1,147」
Asset retirement obligations related to head-office facilities decreased from ¥1,248 million at the end of the previous fiscal year to ¥1,147 million. - FY2024AdvancedAnnual report
「During the current fiscal year, we revised the estimate for asset retirement obligations recorded for restoration costs under the lease agreements, based on new information obtained regarding the restoration costs required upon vacating the premises.」
Asset retirement obligations increased in connection with the relocation of the head office, and the balance at the end of the period was ¥1,248 million. The estimate was also revised based on new information regarding restoration costs. - FY2021AdvancedAnnual report
「As a result, compared with the previous method, operating profit, ordinary profit, and profit before income taxes for the current fiscal year each decreased by ¥18 million. In addition, we revised the estimate for asset retirement obligations recorded for restoration costs under the lease agreements, based on new information obtained regarding the restoration costs required upon vacating the premises.」
For the shortening of the useful lives of property, plant and equipment associated with vacating the head-office premises, full-year operating profit, ordinary profit, and profit before income taxes each decreased by ¥18 million. The revision of the estimate for asset retirement obligations was also disclosed on an ongoing basis. - FY2021-Q3First statedAnnual report
「During the current third-quarter accounting period, we shortened the useful lives of property, plant and equipment that is not expected to be used in the future and changed them prospectively, as we intend to vacate certain leased head-office premises after the lease agreements expire. As a result, compared with the previous method, operating profit, ordinary profit, and quarterly profit before income taxes for the cumulative current third-quarter period each decreased by ¥7 million. In addition, we revised the estimate for asset retirement obligations recorded for restoration costs under the lease agreements, based on new information obtained regarding the restoration costs required upon vacating the premises. The impact of this change in estimate on profit or loss for the cumulative current third-quarter period was immaterial.」
Based on the planned vacating of the head-office premises after the lease agreements expire, the company shortened the useful lives of property, plant and equipment and revised its estimate of asset retirement obligations. As a result of the change in useful lives, operating profit, ordinary profit, and quarterly profit before income taxes each decreased by ¥7 million.