Risk of failure in acquisitions, joint ventures, investments, capital expenditures and organizational restructuring
First written in FY2022-Q1. 4 of 8 entries say "Materialised", first in FY2026-H1. Latest entry: FY2026.
Sony Group moved to the "Worse" side of this theme in 2023, 1 year after the typical company in this theme (2022).
The whole theme swung hardest in 2025: 9 of 29 companies on the "Worse" side.
8 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「In fiscal 2025, in light of Bungie’s business environment, the Company reviewed its future outlook and determined that it would not generate sufficient future cash flows in excess of its carrying amount. As a result, the Company recognized ¥120.1 billion in impairment losses on Bungie’s intangible assets and other assets.」
Following a review of Bungie’s post-acquisition business environment and future outlook, actual impairment losses of ¥120.1 billion were recognized on Bungie’s intangible assets and other assets. - FY2026-H1MaterialisedAnnual report
「Following a review of Bungie, Inc.’s future outlook in light of its business environment, Sony determined that it would not generate sufficient future cash flows in excess of its carrying amount and recognized the related impairment loss.」
Following a review of the post-acquisition business environment and future outlook, the Company recognized total impairment losses of ¥31.5 billion on content assets, intangible assets and other assets related to Bungie. - FY2024WorsenedAnnual report
「The execution and timing of this spin-off are subject to obtaining approvals, certifications, authorizations and permits from stock exchanges and other relevant authorities for the method ultimately selected after considering these matters.」
The Company specifically added to the scope of acquisition, joint venture and organizational restructuring risks the tax-qualified requirements, listing market and relevant-authority approval risks associated with the SFGI partial spin-off. - FY2024-Q2WorsenedAnnual report
「Completion of an acquisition or merger may be subject to obtaining approvals, authorizations and permits from the relevant authorities. However, as competition law regimes and reviews by competition authorities become more stringent, Sony may lose business opportunities or fail to realize some or all of the anticipated benefits of an acquisition or merger if reviews following the execution of a definitive agreement take longer than expected or the required approval or permit is not obtained. Sony conducts comprehensive analyses and evaluations of the company to be acquired or merged with from technological, accounting, tax, financial, human resources and legal perspectives, among others. However, its performance may be adversely affected by substantial acquisition or integration costs, IT and information security risks at the newly acquired company, failure to realize anticipated synergies, failure to generate the expected revenue and achieve cost improvements, loss of key personnel or assumption of liabilities.」
The Company specified the potential effects of risks associated with acquisitions, joint ventures and investments, including prolonged or denied competition law reviews, IT and information security risks at acquired companies, integration costs, unrealized synergies and failure to generate revenue. - FY2022-Q2RestatedAnnual report
「When Sony makes an acquisition, its performance may be adversely affected by substantial acquisition or integration costs, failure to realize synergies, failure to generate the expected revenue and achieve cost improvements, the loss of key personnel or the assumption of liabilities.」
After listing achievements including making SFH a wholly owned subsidiary, investing in Bilibili and Epic Games, and acquiring AWAL and Crunchyroll, the Company reaffirmed the risks associated with acquisitions and investments, including integration costs and unrealized synergies. - FY2022-Q1First statedAnnual report
「When Sony makes an acquisition, its performance may be adversely affected by substantial acquisition or integration costs, failure to realize synergies, failure to generate the expected revenue and achieve cost improvements, the loss of key personnel or the assumption of liabilities.」
The Company identified as separate risks the impact of integration costs, unrealized synergies, failure to generate revenue, loss of personnel and assumption of liabilities in connection with acquisitions, joint ventures, strategic investments, capital expenditures and organizational restructuring.