Impairment Risk for Store Fixed Assets

「Impairment loss 3,170 3,232」

「Impairment loss 2,900 3,170」

「Impairment loss 281 104」

「Impairment loss　7,061　2,900」

「Impairment loss 575 466」

「Impairment loss 539 281」

「Impairment loss 130 2」

「In addition to these initiatives, we recorded an impairment loss of ¥7,061 million as a one-time expense to achieve fundamental earnings improvement from the fiscal year ending March 2024 onward. This includes the 37 stores scheduled to close in the fiscal year ending March 2024 as part of a review of the business portfolio and other measures.」

「Impairment loss 8 130」

「Impairment loss　4,121　2,753」

「Impairment loss 505 164」

「Impairment Losses」

「Impairment loss 665 505」

「Based on a policy of pursuing “the acquisition of future value,” including closing stores, primarily in the izakaya format, in response to changes in consumer habits caused by the novel coronavirus disease, the company additionally recognized an impairment loss of ¥9,954 million and an ¥240 million provision for store closure losses.」

「Operating income was ¥6,809 million after recognizing an impairment loss of ¥665 million,」

「Operating income was ¥4,228 million after recognizing an impairment loss of ¥571 million,」

「An impairment loss of ¥4,890 million was recognized due in part to difficulties in the izakaya and steak formats and the delayed recovery of the conveyor-belt sushi format.」

「If profit or loss arising from operating activities at company-operated stores and other locations declines substantially, or if the market price of an asset falls substantially below its carrying value, an impairment loss may be recognized, potentially affecting the group’s operating results.」