Risk of prolonged holding and deterioration of inventory
First written in FY2019. 5 of 8 entries say "Materialised", first in FY2020. Latest entry: FY2026.
Seed moved to the "Worse" side of this theme in 2020, 3 years before the typical company in this theme (2023).
The whole theme swung hardest in 2018: 3 of 7 companies on the "Worse" side.
7 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「At the end of the current consolidated fiscal year, the company recognized an inventory valuation loss of ¥244.164 million in cost of sales by writing down the carrying amount of inventory whose profitability had declined, in accordance with the method described above.」
The inventory valuation loss increased from ¥90.892 million in the previous fiscal year to ¥244.164 million, indicating heightened risk of declining inventory profitability. - FY2025Inventory valuation losses decreasedAnnual report
「At the end of the current consolidated fiscal year, the company recognized an inventory valuation loss of ¥90.892 million in cost of sales by writing down the carrying amount of inventory whose profitability had declined, in accordance with the method described above.」
Although the decline in inventory profitability continued, the valuation loss decreased from ¥387.678 million in the previous fiscal year to ¥90.892 million. - FY2023MaterialisedAnnual report
「At the end of the current consolidated fiscal year, the company recognized an inventory valuation loss of ¥379.161 million in cost of sales by writing down the carrying amount of inventory whose profitability had declined, in accordance with the method described above.」
The decline in inventory profitability materialized, resulting in a ¥379.161 million valuation loss. Inventory accumulated in Europe in preparation for regulatory changes also reached its shipping deadline and was discontinued, contributing to the valuation loss. - FY2022MaterialisedAnnual report
「At the end of the current consolidated fiscal year, the company recognized an inventory valuation loss of ¥141.448 million by writing down the carrying amount of inventory whose profitability had declined, in accordance with the method described above.」
The decline in inventory profitability due to extended storage and other factors materialized as a ¥141.448 million valuation loss. - FY2021-Q2MaterialisedAnnual report
「During the second quarter, the company recognized an additional ¥30 million valuation loss in cost of sales on inventory of “JILL STUART １day UV,” whose sales were below plan, in addition to the amount recognized in the first quarter.」
For JILL STUART 1day UV, whose sales fell short of plan, the company recognized an additional ¥30 million inventory valuation loss on top of the first-quarter amount, and the risk of inventory remaining in stock and deteriorating continued to materialize. - FY2021-Q1MaterialisedAnnual report
「During the current first quarter cumulative consolidated period, taking current market conditions into account, the company recognized an approximately ¥170 million valuation loss in cost of sales on existing-color inventory of “JILL STUART １day UV,” whose sales were below plan.」
The company recognized an approximately ¥170 million valuation loss on existing-color inventory of “JILL STUART 1day UV,” whose sales fell short of plan. - FY2020MaterialisedAnnual report
「For “JILL STUART １day UV,” the company changed its marketing policy in light of the impact of COVID-19. As shipments continued below the initial plan, it estimated the value of inventory that would be difficult to ship before its expiration date and recognized an inventory valuation loss of ¥607 million as an extraordinary loss.」
The company recognized an inventory valuation loss of ¥607 million on “JILL STUART １day UV” because sales fell short of plan and shipment before expiration was difficult. - FY2019First statedAnnual report
「If changes in the sales environment caused by rapid changes in market conditions or the entry of competing products result in inventory remaining in stock for an extended period, the Group may recognize inventory valuation losses on inventory that reaches its expiration date, which could affect the Group's operating results and financial position.」
The company stated that, given the products' expiration dates, inventory could remain in stock due to market conditions and the entry of competitors, potentially resulting in inventory valuation losses.