First EIE's Failure to Meet Its Earnings Plan and Goodwill Impairment
First written in FY2018-Q3. 5 of 12 entries say "Worsened", first in FY2020-Q2. Latest entry: FY2021.
The whole theme swung hardest in 2024: 36 of 89 companies on the "Worse" side.
- FY2021MaterialisedAnnual report
「During the fiscal year, the company recorded valuation losses on investment securities of ¥5 million on shares of パスイメージング株式会社, ¥500 million on the first unsecured convertible bond with stock acquisition rights issued by クラーロ株式会社 (current name: パスイメージング株式会社), and ¥376 million on shares of First EIE SA (Switzerland), formerly a consolidated subsidiary.」
The company recorded a valuation loss of ¥375.948 million on shares of First EIE SA and a combined valuation loss of approximately ¥505 million on shares and convertible bonds related to パスイメージング, bringing planning and valuation risks related to acquisition and capital alliance partners to the surface as losses. - FY2021-Q3WorsenedAnnual report
「During the first nine months of the current fiscal year, the Company decided to transfer all shares of First EIE SA, its consolidated subsidiary in the precision substrate manufacturing equipment segment, to First EIE SA's CEO. Accordingly, the unamortized balance of goodwill of ¥120.396 million was recognized as an extraordinary loss through goodwill amortization.」
Following the policy of transferring all shares of First EIE SA, ¥120.396 million of unamortized goodwill was amortized. Additional effects related to the failure to meet the profit plan and goodwill impairment have emerged. - FY2021-Q2MitigatedAnnual report
「As a result, revenue for this business was ¥205 million, down 22.6% year on year, and the segment loss was ¥17 million, compared with a segment loss of ¥26 million in the same period of the previous fiscal year.」
First EIE's revenue fell 22.6% year on year and continued to fall short of plan, while the segment loss narrowed from ¥26 million in the same period of the previous fiscal year to ¥17 million. - FY2021-Q1WorsenedAnnual report
「As a result, revenue for this business was ¥90 million, down 48.2% year on year, and the segment loss was ¥27 million, compared with a segment profit of ¥8 million in the same period of the previous fiscal year.」
First EIE's revenue fell 48.2% year on year due to postponed investment in the Chinese market, and the business moved from a segment profit of ¥8 million in the same period of the previous fiscal year to a loss of ¥27 million. The impact from the failure to meet the profit plan is worsening. - FY2020WorsenedAnnual report
「As a result, revenue from the business was ¥467 million, down 16.6% from the previous consolidated fiscal year, and the segment loss was ¥110 million, compared with a segment loss of ¥22 million in the previous year.」
After narrowing its loss in the previous fiscal year, First EIE saw its segment loss widen to ¥110 million as investment in the Chinese market was postponed due to US-China trade friction and the spread of COVID-19. - FY2020-Q3WorsenedAnnual report
「A tendency to defer investment timing continued in the Chinese market because of the impact of U.S.-China trade frictions and other factors, causing revenue for the third quarter cumulative consolidated period to fall short of the initial plan. As a result, revenue from the business was ¥368 million, down 14.8% year on year, and the segment loss was ¥69 million, compared with a segment loss of ¥16 million in the same period of the previous year.」
First EIE's revenue fell short of plan, and the segment loss widened from ¥16 million in the same period of the previous fiscal year to ¥69 million. The impact from the failure to meet the profit plan continued to worsen from the previous quarter. - FY2020-Q2WorsenedAnnual report
「Amid the impact of the US-China trade friction and other factors, there was a tendency for investment timing to be postponed in the Chinese market, causing revenue for the cumulative second quarter of the fiscal year to fall below the initial plan. As a result, revenue for this business was ¥265 million, down 7.0% year on year, while the segment loss was ¥26 million, compared with a segment loss of ¥6 million in the same period of the previous fiscal year.」
At First EIE, revenue fell short of plan as investment was postponed in the Chinese market, and the segment loss widened from ¥6 million in the same period of the previous fiscal year to ¥26 million. The business returned to a loss after turning profitable in the previous quarter, indicating a worsening impact from the failure to meet the profit plan. - FY2020-Q1MitigatedAnnual report
「As a result, revenue for this business was ¥174 million, up 35.8% year on year, and the segment posted a profit of ¥8 million, compared with a segment loss of ¥14 million in the same period of the previous fiscal year.」
First EIE moved from a segment loss of ¥14 million in the same period of the previous fiscal year to a profit of ¥8 million. Although the delay in delivery of the large photoplotter remains, the impact on performance from the failure to meet the profit plan that emerged in the previous fiscal year eased during the quarter. - FY2019RestatedAnnual report
「Revenue for the consolidated fiscal year fell below the initial plan, mainly because delivery of the large photoplotter scheduled at the beginning of the fiscal year was pushed back to the following fiscal year. As a result, revenue for this business was ¥559 million, up 3.2% year on year, while the segment posted a loss of ¥22 million, compared with a segment loss of ¥98 million in the previous consolidated fiscal year.」
First EIE continued to fall short of its plan, but the segment loss narrowed from ¥98 million to ¥22 million. Although the risk of failure to meet the profit plan remains, the extent of the loss has improved. - FY2019-Q3RestatedAnnual report
「During the third quarter cumulative consolidated period, photoplotters and direct imaging equipment, the business’s main products, drove revenue. However, revenue for the period fell short of the initial plan because delivery of a large photoplotter scheduled at the start of the period was pushed back to the fourth quarter or later.」
At First EIE, revenue fell short of the initial plan because delivery of a large photoplotter was delayed. The failure to meet the profit plan has continued to affect performance, following the plan review and goodwill impairment recognized in the previous fiscal year. - FY2018RestatedAnnual report
「As performance remained below the initially projected profit plan, we reviewed First EIE's future plans. Based on the revised plan, we assessed the recoverability of goodwill arising on the acquisition and subsequent additional acquisition of the business, and recorded ¥274 million as an impairment loss on goodwill under extraordinary losses.」
The full-year report continued to explain the plan review following First EIE's failure to meet its profit plan and the ¥274 million goodwill impairment. - FY2018-Q3MaterialisedAnnual report
「As performance remained below the initially projected profit plan, the company reviewed its future plans and reduced goodwill to its recoverable amount, recording the resulting ¥274 million reduction as an impairment loss under extraordinary losses.」
First EIE fell below its initially projected profit plan, and following a review of the plan, ¥274 million of goodwill was recognized as an impairment loss.