Risk of Goodwill Impairment Following the Acquisition of AKARI
First written in FY2024. 4 of 5 entries say "Materialised", first in 2026-05-15. Latest entry: FY2026.
The whole theme swung hardest in 2024: 36 of 89 companies on the "Worse" side.
- FY2026MaterialisedAnnual report
「During the current consolidated fiscal year, the company identified indications of impairment in the goodwill described above and recorded an impairment loss of ¥74.248 million.」
Because the earnings initially projected for the goodwill associated with AKARI's acquisition could no longer be expected, an impairment loss of ¥74.248 million was actually recorded. - FY2024First statedAnnual report
「The Company determines whether there are indications of impairment using operating profit based on the acquired company’s business plan. If indications of impairment exist, it determines whether to recognize an impairment loss. For the goodwill described above, there were no indications of impairment during the fiscal year. The business plan used to identify indications of impairment includes forecasts of future business conditions, such as market growth rates, and therefore involves estimation uncertainty. If the assumptions underlying the estimates or the business environment change, the consolidated financial statements from the following fiscal year onward could be materially affected.」
The Company first disclosed as a separate risk the uncertainty in testing ¥93.409 million of goodwill arising from the acquisition of AKARI for impairment based on business plans and forecasts such as market growth rates. It stated that there were no indications of impairment during the fiscal year.