Risk of failing to meet new-store and M&A plans and failing to realize synergies
First written in FY2022. 1 of 2 entries say "Restated". Latest entry: FY2025.
The whole theme swung hardest in 2025: 9 of 29 companies on the "Worse" side.
34 other companies' latest entry also says "Restated".
- FY2025RestatedAnnual report
「As a basic M&A policy, the Company conducts acquisitions at levels allowing the investment to be recovered within a certain number of years through the future cash flows obtained from the target company. However, if it cannot open stores as planned because it is unable to secure properties meeting its opening criteria, or cannot generate the planned revenue after opening because of competition, delays in the progress of the separation of prescribing and dispensing, or other factors,」
The Company continues to describe its policy of opening stores and conducting M&A with an emphasis on profitability and investment recovery, as well as the risk of impairment losses arising from an inability to secure properties, failure to meet revenue targets, changes in the environment after acquisitions, and synergies not materializing. - FY2022First statedAnnual report
「If the Company is unable to open stores as planned because it cannot secure properties meeting its opening criteria, cannot generate the planned revenue after opening because of competition, delays in the progress of the separation of prescribing and dispensing, or other factors, or experiences a decline in store revenue because a medical institution relocates or closes, or if its business plan and actual results diverge because of changes in economic conditions or the industry environment after an acquisition, or if the expected synergies do not materialize, impairment losses related to goodwill may arise and affect the Company's performance.」
While pursuing store openings and M&A with an emphasis on profitability, the Company identifies as risks the inability to secure properties, competition, failure to meet revenue targets, changes in the environment after acquisitions, and synergies not materializing.