Impairment Risk Relating to Significant Goodwill
First written in FY2018. 6 of 15 entries say "Mitigated", first in FY2019. Latest entry: FY2026.
QB Net Holdings moved to the "Worse" side of this theme in 2025, 2 years after the typical company in this theme (2023).
The whole theme swung hardest in 2019: 5 of 12 companies on the "Worse" side.
5 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「At the end of the consolidated fiscal year, estimated recoverable amount exceeded the carrying amount of the cash-generating unit group, including goodwill, by ¥5,038 million. However, the recoverable amount could equal the carrying amount if the pretax discount rate rose by 1.4% or estimated future cash flows declined by 15.1%. At the end of the consolidated fiscal year, estimated recoverable amount exceeded the carrying amount of the cash-generating unit group, including goodwill, by ¥455 million. However, the recoverable amount could equal the carrying amount if the pretax discount rate rose by 0.7% or estimated future cash flows declined by 7.8%.」
The excess of recoverable amount for the domestic business decreased from ¥7,290 million to ¥5,038 million. For the overseas business, sensitivity was shown at which the amounts would be equal following a 0.7% increase in the discount rate or a 7.8% decline in cash flows. The headroom against goodwill impairment has decreased from the previous fiscal year. - FY2025WorsenedAnnual report
「For impairment testing of goodwill, the Group allocates goodwill to 2 cash-generating unit groups, the domestic business segment and the overseas business segment. ① Domestic business segment At the end of the consolidated fiscal year, estimated recoverable amount exceeded the carrying amount of the cash-generating unit group, including goodwill, by ¥7,290 million. However, the recoverable amount could equal the carrying amount if the pretax discount rate rose by 2.0% or estimated future cash flows for each period declined by 29.7%. ② Overseas business segment At the end of the consolidated fiscal year, estimated recoverable amount exceeded the carrying amount of the cash-generating unit group, including goodwill, by ¥215 million. However, the recoverable amount could equal the carrying amount if the pretax discount rate rose by 0.8% or estimated future cash flows for each period declined by 13.2%.」
Impairment testing was changed from the former single business segment to separate domestic and overseas segments. In particular, for the overseas business, sensitivity was shown at which carrying amount and recoverable amount would be equal following a 0.8% increase in the discount rate or a 13.2% decline in cash flows. - FY2025-H1RestatedAnnual report
「During the interim period of the consolidated fiscal year, there was no acquisition or disposal of goodwill and no indication of impairment.」
It was confirmed that during the interim period of the consolidated fiscal year there was no acquisition or disposal of goodwill and no indication of impairment. - FY2024MitigatedAnnual report
「At the end of the consolidated fiscal year, estimated recoverable amount exceeded the carrying amount of the cash-generating unit group, including goodwill, by ¥13,752 million. However, the recoverable amount could equal the carrying amount if the pretax discount rate rose by 3.8% or estimated future cash flows for each period declined by 35.6%.」
The excess of recoverable amount increased from ¥10,465 million in the previous fiscal year to ¥13,752 million. Sensitivity to impairment also changed from a 3.2% increase in the discount rate or a 30.0% decline in cash flows to a 3.8% increase or a 35.6% decline. - FY2024-Q3RestatedAnnual report
「During the third quarter of the consolidated fiscal year, there was no acquisition or disposal of goodwill and no indication of impairment.」
It was confirmed that during the third-quarter cumulative period there was no acquisition or disposal of goodwill and no indication of impairment. - FY2024-Q1MitigatedAnnual report
「During the first quarter of the consolidated fiscal year, there was no acquisition or disposal of goodwill and no indication of impairment.」
The disclosure states that during the first quarter there was no acquisition or disposal of goodwill and no indication of impairment. - FY2023WorsenedAnnual report
「At the end of the consolidated fiscal year, estimated recoverable amount exceeded the carrying amount of the cash-generating unit group, including goodwill, by ¥10,465 million. However, the recoverable amount could equal the carrying amount if the pretax discount rate rose by 3.2% or estimated future cash flows for each period declined by 30.0%.」
The excess of recoverable amount decreased from ¥18,154 million in the previous fiscal year to ¥10,465 million, while sensitivity to impairment changed to a 3.2% increase in the discount rate or a 30.0% decline in cash flows. No goodwill impairment loss itself was recognized. - FY2023-Q2MitigatedAnnual report
「During the second quarter of the consolidated fiscal year, there was no acquisition or disposal of goodwill and no indication of impairment.」
It was confirmed that during the second quarter of the consolidated fiscal year there was no acquisition or disposal of goodwill and no indication of impairment. - FY2022WorsenedAnnual report
「At the end of the consolidated fiscal year, estimated recoverable amount exceeded the carrying amount of the cash-generating unit, including goodwill, by ¥18,154 million. However, the recoverable amount could equal the carrying amount if the pretax discount rate rose by 4.6% or estimated future cash flows for each period declined by 42.9%.」
The excess of recoverable amount decreased from ¥23,967 million in the previous fiscal year to ¥18,154 million, while sensitivity to impairment changed from a 5.7% increase in the discount rate or a 49.4% decline in cash flows to a 4.6% increase or a 42.9% decline. No goodwill impairment loss itself was recognized. - FY2022-Q3MitigatedAnnual report
「During the third quarter of the consolidated fiscal year, there was no acquisition or disposal of goodwill and no indication of impairment.」
It was confirmed that during the third quarter of the consolidated fiscal year there was no acquisition or disposal of goodwill and no indication of impairment. - FY2021MitigatedAnnual report
「At the end of the consolidated fiscal year, estimated recoverable amount exceeded the carrying amount of the cash-generating unit, including goodwill, by ¥23,967 million. However, the recoverable amount could equal the carrying amount if the pretax discount rate rose by 5.7% or estimated future cash flows for each period declined by 49.4%.」
The excess of recoverable amount increased from ¥14,701 million in the previous fiscal year to ¥23,967 million, while sensitivity to impairment changed to a 5.7% increase in the discount rate or a 49.4% decline in cash flows. - FY2020WorsenedAnnual report
「At the end of the consolidated fiscal year, estimated recoverable amount exceeded the carrying amount of the cash-generating unit, including goodwill, by ¥14,701 million. However, the recoverable amount could equal the carrying amount if the pretax discount rate rose by 4.0% or estimated future cash flows for each period declined by 36.4%.」
The excess of recoverable amount decreased from ¥14,869 million in the previous fiscal year to ¥14,701 million, while sensitivity to impairment changed from a 5.5% increase in the discount rate or a 34.0% decline in cash flows to a 4.0% increase or a 36.4% decline. - FY2020-Q3WorsenedAnnual report
「During the third quarter of the consolidated fiscal year, the Group revised the assumptions used in impairment tests for property, plant and equipment, leases and goodwill in response to the spread of COVID-19. The impact of COVID-19 was reflected in future cash flows on the assumption that it would continue for approximately 6 months from March 2020, and was incorporated into the accounting estimates.」
In response to the spread of COVID-19, the assumptions used in impairment tests for property, plant and equipment, leases and goodwill were revised, and the assumption that the impact would continue for approximately 6 months from March 2020 was reflected in future cash flows. No indication of goodwill impairment or goodwill impairment loss itself was disclosed. - FY2019MitigatedAnnual report
「At the end of the consolidated fiscal year, estimated recoverable amount exceeded the carrying amount of goodwill by ¥19,538 million. However, the recoverable amount could equal the carrying amount if the pretax discount rate rose by 9.5% or estimated future cash flows for each period declined by 44.2%.」
The excess of recoverable amount over the carrying amount of goodwill increased from ¥9,548 million in the previous fiscal year to ¥19,538 million, while sensitivity to impairment improved from a 4.6% increase in the discount rate or a 30.6% decline in cash flows to a 9.5% increase or a 44.2% decline. - FY2018First statedAnnual report
「At the end of the consolidated fiscal year, estimated recoverable amount exceeded the carrying amount of goodwill by ¥9,548 million. However, the recoverable amount could equal the carrying amount if the pretax discount rate rose by 4.6% or estimated future cash flows for each period declined by 30.6%.」
Against a goodwill carrying amount of ¥15,430 million, the Group specifically disclosed impairment sensitivity to changes in the discount rate and future cash flows.