Goodwill Impairment Risk Associated with M&A
First written in FY2019. 13 of 15 entries say "Worsened", first in FY2021. Latest entry: 2026-08-12.
Colowide moved to the "Worse" side of this theme in 2021, 2 years before the typical company in this theme (2023).
The whole theme swung hardest in 2019: 22 of 50 companies on the "Worse" side.
29 other companies' latest entry also says "Worsened".
- 2026-08-12WorsenedResults
「Goodwill increased by ¥3.8601 billion, property, plant and equipment by ¥706.6 million, and right-of-use assets by ¥856.5 million.」
The goodwill balance increased in connection with the acquisition of C-United and other transactions, further expanding M&A-related impairment exposure. - FY2026WorsenedAnnual report
「This was due to a ¥28,946 million increase in goodwill.」
Goodwill increased from ¥9,187.7 million to ¥12,082.3 million, including as a result of the acquisition of Seagrass, expanding the impairment exposure associated with M&A. - FY2026-H1WorsenedAnnual report
「This was mainly due to increases of ¥11,412 million in cash and cash equivalents, ¥6,233 million in property, plant and equipment, ¥26,692 million in goodwill and ¥3,108 million in right-of-use assets.」
Goodwill increased by ¥26,692 million in the interim period, including as a result of the acquisition of Seagrass, expanding the impairment exposure associated with M&A in terms of the balance. - FY2025WorsenedAnnual report
「This was mainly due to increases of ¥25,230 million in cash and cash equivalents, ¥9,344 million in goodwill, ¥4,783 million in property, plant and equipment and ¥3,910 million in intangible assets.」
Goodwill increased from ¥8,253.4 million in the previous fiscal year to ¥9,187.7 million, expanding the impairment exposure associated with M&A in terms of the balance. - FY2025-H1WorsenedAnnual report
「This was mainly due to increases of ¥18,292 million in cash and cash equivalents, ¥6,403 million in property, plant and equipment and ¥12,122 million in goodwill.」
Goodwill increased by ¥12,122 million, including as a result of the acquisition of Nihon Meika Souhonten, expanding the impairment exposure associated with M&A in terms of the balance. - FY2024-Q2WorsenedAnnual report
「This was mainly due to increases of ¥3,978 million in property, plant and equipment and ¥1,111 million in goodwill, partly offset by decreases of ¥4,545 million in cash and cash equivalents and ¥1,232 million in deferred tax assets.」
Goodwill increased by ¥1,111 million from the end of the previous fiscal year, expanding the impairment exposure associated with M&A in terms of the balance. - FY2024-Q1WorsenedAnnual report
「This was due to a ¥793 million increase in goodwill.」
Goodwill increased by ¥793 million from the end of the previous fiscal year to ¥8,098.1 million, expanding the goodwill impairment exposure in terms of the balance. - FY2023MaterialisedAnnual report
「During the current consolidated fiscal year, an impairment loss of ¥790 million was recognised on goodwill related to Doma-Doma, reflecting the recovery in operating performance from the COVID-19 pandemic.」
The impairment risk associated with goodwill from M&A materialised as a ¥790 million impairment loss related to Doma-Doma. - FY2023-Q2WorsenedAnnual report
「Goodwill 80,218 81,769」
Goodwill increased by ¥155.1 million from ¥8,021.8 million at the end of the previous fiscal year to ¥8,176.9 million, expanding the impairment exposure associated with M&A. - FY2023-Q1WorsenedAnnual report
「This was due to a ¥989 million increase in goodwill.」
Goodwill increased from ¥8,021.8 million at the end of the previous fiscal year to ¥8,127 million, expanding the impairment exposure associated with M&A. - FY2022WorsenedAnnual report
「However, for some subsidiaries, the excess of the recoverable amount of the cash-generating unit group over its carrying amount is small. If estimated future cash flows or fair value less costs of disposal declines, an impairment loss may be recognised.」
No impairment was recognised in the goodwill impairment test, but the company specified that the headroom in the recoverable amount of certain subsidiaries is small and that impairment could arise if future cash flows or fair value declines. - FY2021WorsenedAnnual report
「As a result of pursuing M&A as a key pillar of our growth strategy, goodwill is recognised on the consolidated statement of financial position.」
Goodwill increased from ¥71,795 million to ¥81,028 million, including as a result of Ootoya becoming a consolidated subsidiary, expanding the impairment exposure associated with M&A. - FY2019First statedAnnual report
「As a result of pursuing M&A as a key pillar of our growth strategy, goodwill is recognised on the consolidated statement of financial position. If the valuation of assets to which goodwill is allocated falls significantly below their carrying amount, an impairment loss will be recognised, which could affect the operating results and financial position of our group.」
The impairment risk associated with declines in the valuation of goodwill recognised through M&A was disclosed independently for the first time as a business risk.